Res. #15-001 - Approving Amendment to Personnel Policy

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Appendix A to Personnel Policy Adopted 01-14-2015 Health Care Savings Plan City of Centerville, Minnesota All unrepresented City of Centerville employees(exempt and non-exempt) are eligible to participate in the Minnesota Post Employment Health Care Savings Plan(HCSP). This plan is established under Minnesota Statutes, Section 352.98 (Minn. Supp. 2001)and as outlined in the Minnesota State Retirement System's Trust and Plan Documents. All funds collected by the employer on the behalf of the employee will be deposited into the employee's post-employment health care savings plan(HCSP) account. Employees will contribute to the Post Employment Health Care Savings Plan as described below: 1. All employees with at least five years of service in the Public Employees Retirement Association(PERA) shall contribute the dollar value of the amount of Paid Time Off(PTO)balance at the end of each calendar year that exceeds the maximum allowed carryover of PTO hours. Hours in excess of the maximum carryover at the end of each calendar year,up to a maximum of sixteen hours shall be paid into the employee's HCSP at the hourly rate in effect at December 31 of the year. Payments shall be made to the employee's HCSP by the Employer within 30 days of the close of the calendar year. If the employee dies before the annual lump sum payment is remitted by the employer, the payment will be made to the employee's heirs. 2. All employees with at least five years of service in the Public Employees Retirement Association(PERA)who terminate and are not immediately eligible to receive a PERA pension, shall contribute the amount of their severance(unused PTO balance)that exceeds $2000 into the HCSP upon termination or retirement. All employees with at least five years of service in PERA and who are immediately eligible to receive a PERA pension shall contribute 100%of their severance(unused PTO balance)into the HCSP upon termination or retirement. This policy will take effect on January 16,2015.