EXCISE TAX AVOIDANCE. The parties agree that under no circumstances shall the District have an obligation to provide a plan of health benefits that would subject such plan to the Excise or “Cadillac” Tax provisions of the Patient Protection and Affordable Care Act (hereinafter “ACA”.) In the event the District’s actuarial consulting firm determines that the District may be subject to such provisions at a future date, the parties shall meet within thirty (30) days of such determination and negotiate plan design changes to the plan or plans then in effect, so as to avoid application of the Excise Tax. In the event the parties are unable to reach agreement on plan design changes necessary to avoid liability for the Excise Tax, the employees who are receiving health benefits that are subject to the Excise Tax shall bear the cost of such tax via payroll deduction.
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