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CASE #: ~ <br /> <br /> HEALTH INSURANCE CONTRIBUTION CONTRACT NEGOTIATIONS <br /> By: Curt Boganey, Acting Human Resources Manager <br />Background: <br /> <br />The collective bargaining agreements with AFSCME and LELS require that we annually <br />negotiate the city contribution toward the cost of health insurance benefits. On January 9, 2003, <br />the City's negotiating team and representatives of both bargaining groups reached a tentative <br />agreement on the contribution for calendar year 2003. The members of each bargaining unit are <br />scheduled to meet and vote on the proposals prior to the City Council meeting January 14, 2003. <br />Should the tentative agreements be approved by the membership, we will recommend that the <br />City Council approve the proposed agreement. The contract provisions include: <br /> <br />Insurance: <br /> <br />Employer contribution to single coverage will increase fi.om <br />$ 297.33 to $ 376.00 effective January I, 2003; <br /> <br />Employer contribution to family coverage wilt increase from <br />$ 500 per month to $ 592.00 per month, effective January 1, <br />2003; <br /> <br />Beginning February 1st 2003, the City will offer Major Medical <br />Health Insurance as a new low cost option. <br /> <br />Beginning February 1st 2003, the City will offer Managed Care <br />Health Insurance with a $ 15.00 Office Visit Co-Pay and 100 % <br />Hospitalization. <br /> <br />Employer agrees t6 continue exploring options for the most cost- <br />effective health insurance program with input from the employee <br />relations committee. <br /> <br />Employees who waived coverage prior to 01/01/2002 will continue <br />to receive $ 290.00 per month in accordance with previous Council <br />action. <br /> <br />-295- <br /> <br /> <br />