G6-97 Ordinance No. G6-97
AN ORDINANCE
AMENDING AN ORDINANCE ESTABLISHING A PROGRAM FOR CONTINUATION
OF HEALTH INSURANCE
WHEREAS, it is necessary and desirable to amend the
ordinance which established a program for the continuation of
group health insurance by certain officers and employees who
terminate their employment with the City of Elgin.
NOW, THEREFORE, BE IT ORDAINED BY THE CITY COUNCIL OF THE
CITY OF ELGIN, ILLINOIS, that Ordinance No. G14-94 passed on
March 23, 1994 be and is hereby amended to read as follows :
"Section 1 . That there is hereby established a program
for the continuation of the group health insurance benefits of
certain officers and employees whose employment is terminated.
Section 2 . That upon termination of employment the
following officers and employees may continue participation in
the city' s group health insurance plan:
A. Retiring officers or employees who are eligible for
the immediate receipt of retirement pension benefits under the
eft. Pension Code of the State of Illinois .
B. Officers or employees who have been employed by the
City of Elgin upon retirement after twenty years or more.
C. Elected officers, city clerk, city manager and
department heads upon retirement at age 55 or over.
Section 3 . That eligible officers and employees who
elect to continue participation in the city' s group health
insurance plan shall make payment of a monthly premium equal
to the cost of equivalent coverage provided to covered
employees who continue to be employed, except as otherwise
provided herein.
Section 4 . That payment of premiums shall be made in the
following manner:
A. Premiums shall be paid monthly and shall be due and
payable five ( 5 ) days prior to the date for which the payment
is to be applied. Failure to timely pay said monthly payment
shall result in the automatic removal from the group health
insurance program. Any person so removed shall not be
entitled to reinstatement or any further benefits under this
program.
B. Upon reaching the age of 60, officers and employees
who have continued to participate in the City' s group health
insurance program as permitted by this ordinance shall be
#11,., entitled to continued participation in the program pursuant to
sub-paragraph (C) and (D) hereof . Any person who retires
before the age of 60 and fails to participate on a continuous
basis in the city's group insurance program until attaining
age 60 shall not be eligible to continued insurance benefits
as provided in subparagraphs C and D.
C. Retirees who retire on or after their 60th birthday
or upon qualifying for retirement or who retire after twenty
(20) years or more of service and continue to participate in
the city' s group health insurance program until they reach the
age of 60, shall continue to participate in such program, at
no cost to the retiree, up to a maximum of twenty-four (24)
months from the date of reaching the age of 60 . The
participation in this insurance program as provided in this
subparagraph C shall cease on the expiration of 24 months or
upon the retiree reaching the age of 65 or upon becoming
eligible for participation in Medicare, whichever occurs
first, or upon the retiree's death.
D. Provided continued participation has not ceased,
expired or been terminated pursuant to this ordinance,
retirees may continue to participate on a shared cost basis in
the city' s group health insurance program after the expiration
of the twenty-four ( 24 ) month no cost period specified in the
preceding subparagraph. The retiree' s shared cost
e'` contribution shall be based on one-half of the then current
monthly premium at the time of payment and such continued
participation shall cease upon failure to make timely payment,
death or at age 65, whichever occurs first.
Section 5 . That participation in the city' s group
insurance program shall cease upon the death of a participant
or upon said participant reaching the age of 65 or upon said
participant becoming eligible for participation in Medicare
before age 65 or upon such removal from this program for
non-payment pursuant to Sections 4A or 4D above, whichever
occurs first.
Section 6 . That the terms of this ordinance shall not be
construed to create any vested rights in any person not
participating in the program and this ordinance may be amended
or repealed at any time and without notice.
Section 7 . That all ordinances or parts of ordinances in
conflict with the provisions of this ordinance be and are
hereby repealed.
Section 8 . That this ordinance shall be in full force
and effect immediately after its passage in the manner
provided by law. "
Kevin Kelly, Mayo
Presented: February 12 , 1997
Passed: February 12, 1997
Omnibus Vote: Yeas 6 Nays 0
Recorded: February 13, 1997
Published:
Attest:
i /7'
Dolonna Mecum, City Clerk
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