HomeMy WebLinkAboutAmendment Number 4 to The HRA Plan for 12-01AMENDMENT NUMBER FOUR TO THE
HRA PLAN
FOR
CITY OF REXBURG
WITNESSETH:
WHEREAS, City of Rexburg has previously adopted a HRA Plan and;
WHEREAS, certain changes are now desirable;
NOW, THEREFORE, the City of Rexburg HRA Plan is hereby amended in the following particulars only;
and
FURTHER, the effective date of this amendment is January 1, 2012.
ARTICLE I DEFINITIONS has been amended with the addition of the following language:
1.8 "Eligible Retiree" means any Eligible Retiree as stated in Section 2.1 and as provided herein.
Eligible Retiree shall not include any individual who was not at any time prior to retirement
reported on the payroll records of the Employer as a common law employee. In particular, it is
expressly intended that individuals who at no time prior to retirement were treated as
common law employees by the Employer on its payroll records are not Eligible Retirees and
are excluded from Plan participation even if a court or administrative agency determines or
previously determined that such individuals had been common law employees and not
independent contractors. However, a retiree who is currently a 2-percent shareholder as
defined under Code Section 1372(b) shall not be eligible to participate in this Plan.
1.18 "Retiree" shall mean any individual who has met the conditions for retirement established by
the Employer.
ARTICLE III BENEFITS
Section 3.1 (c) Establishment of Plan has been amended to read as follows:
(c) The Employer shall make available to each Participant an Employer Contribution for the
reimbursement of Qualifying Medical Expenses. A wellness exam (physical) each Plan
Year by the Participant and spouse (if applicable) is required. A physical is not required
for children. If the Participant has two deductibles, but no spouse, only the Participant is
required to receive the physical in order to receive the HRA contribution. The physicals
must be completed in the previous HRA Plan Year to receive the HRA contribution in the
current year. The following describes each benefit:
Employees with the Cijy of Rexburg Group Health Insurance:
The Employer shall contribute an amount as set forth by motion or resolution
of the City Council to pay for all 213 expenses.
ii. Employees without the City of Rexburg Group Health Insurance:
In lieu of the Health Insurance Premium payment by the City, the City will
reimburse the employee for the cost of insurance he or she provides on their
own. This reimbursement amount will be up to the maximum portion of the
insurance premium that would otherwise be paid by the City for the employee.
In addition to the cost of insurance that the City will reimburse, the City will
also reimburse the cost of the HRA contribution the employee would have
received if they were enrolled in the City's health insurance less the cost of the
employee's share of the health insurance premiums. To maintain the integrity
of the plan sponsored by the City, the employee must have been covered by
this reimbursable insurance before the employee was hired by the City, unless
the employee is an elected official or has special permission by the Mayor and
the Human Resource Department. The City shall reimburse only after the
employee has submitted a written request along with documentation of the
premium amount they will be paying for. The benefit is paid out on an annual
basis by the City.
iii. Retirees:
The Employer shall contribute an amount as set forth by motion or resolution of
the City Council to pay for all 213 expenses and Insurance Premiums. The
contribution to the Participant during their retirement year will be pro -rated
based on the retirement date. Account balances can be carried over from year to
year until the entire balance has been depleted.
No salary reductions may be made to this Health Reimbursement Arrangement.
IN WITNESS WHEREOF, this Amendment has been executed this 15- 7�4_ day of
-r4rµ4r 14 201 Z
City of Reg
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BY: L l ,
Title: v
CERTIFICATE OF CORPORATE RESOLUTION
The undersigned Principal of City of Rexburg (the Corporation) hereby certifies that the
following resolutions were duly adopted by the board of directors of the Corporation on
0 2 j 15 / yo1?- and that such resolutions have not been modified or rescinded as of the date
hereof:
RESOLVED, that Amendment Number FOUR to the Health Reimbursement Account
Plan (HRA) effective January 1, 2012, presented to this meeting is hereby approved and adopted and that
the proper officers of the Corporation are hereby authorized and directed to execute and deliver to the
Administrator of the Plan one or more counterparts of the amendment.
RESOLVED, that the proper officers of the Corporation shall act as soon as possible to
notify the employees of the Corporation of the adoption of this Amendment Number FOUR to the HRA
Plan by delivering to each employee a copy of the summary description of the changes to the Plan in the
form of the Summary Plan Description and/or Material Modification presented to this meeting, which
form is hereby approved.
The undersigned further certifies that attached hereto as Exhibits A and B respectively,
are true copies of Amendment Number FOUR to City of Rexburg HRA Plan and Summary Plan
Description - Material Modifications approved and adopted in the foregoing resolutions.
c
Secretary— C o'4%6 C1eY{-
02/1(�/201 z
Date