Common use of Health Insurance for Retirees Clause in Contracts

Health Insurance for Retirees. 3.1 Through CalPERS the District agrees to provide qualifying unit members upon retirement at age sixty-five (65) with eligibility to participate in the CalPERS benefits program at CalPERS Retiree Supplement Rates. Said retirees will receive the district-paid minimum benefit provided for health insurance for all employees, active and retired. The minimum amount shall be established by CalPERS. In addition, a retiree whose eligibility status qualifies him or her for district-paid, lifetime retiree benefits shall receive a taxable service credit equal to the highest single active premium for HMO coverage minus the minimum benefit amount established by CalPERS. The total dollar obligation of the District, each year, to provide the benefits specified in the paragraph immediately above shall not exceed 0.88% (0.0088) of the prior year’s total revenue limit sources income. In any year in which the cost of the health benefits for retirees age sixty-five (65) and older as specified in the paragraph immediately above exceeds 0.88% (0.0088) of the prior year’s total revenue limit sources income, retirees sixty-five and older as specified in the paragraph immediately above shall contribute a pro-rata amount based upon the level of premiums paid on their behalf by the District, in order to make up the difference between cost and income. The 0.88% (0.0088) revenue limit cap on post-65 lifetime retiree benefits shall only be applied to those individuals receiving a Sequoia District retirement service credit. Eligible retirees who retire between the ages of fifty-five (55) and sixty-five (65) will be eligible to remain on the district-paid group health insurance plans and participate in CalPERS at the active employee rates until they reach age sixty- five (65). At age sixty-five (65), if the retired eligible unit member is not eligible for Medicare A, at no cost to the retiree, the District agrees to reimburse the retiree an amount up to the cost of the premiums for Medicare B and the Medicare supplement offered by the District’s health carriers for verifiable expenditures for the retiree’s health insurance premiums. 3.1.1 Eligibility for retiree benefits in CalPERS is determined by CalPERS to be five years of fully paid contributions as a member of STRS or PERS. All retirees past or present who meet this minimum eligibility qualification and have retired or subsequently will retire from Sequoia District shall be eligible to receive retiree benefits as described in paragraphs one and two of Section 3.1 above. 3.1.2 If a retiree over age sixty-five (65) moves outside of the CalPERS provider service area and does not wish to rely only on Medicare Part A and Medicare Part B, the District will continue to reimburse Medicare Part B. In addition, the District will reimburse the retiree for the cost of an available managed care program. This reimbursement shall not exceed the average cost of a single active HMO premium. In the event that no managed care program is available, the District will reimburse the retiree’s costs. The reimbursement will be limited to the average premium of the District’s current year managed care program. For retirees under age sixty-five (65), the District will reimburse the retiree up to the average cost of a single active HMO premium. This reimbursement benefit is eligible only if the employee relocates to an area where there is no CalPERS health provider within a 30 mile radius. 3.2 Unit members employed before February 26, 1985, and who meet the following conditions shall be eligible for district-paid health insurance pursuant to Section 3.1 and shall be entitled to receive the service credit denoting district fully-paid lifetime retiree benefits: 3.2.1 Employed by the District continuously for a period of ten (10) years immediately prior to retirement if retiring at age sixty-five (65) or older. 3.2.2 If retiring at less than age sixty-five (65), employed continuously by the District for a period of ten (10) years immediately prior to retirement, and A. Have accumulated a total of thirty (30) years in public education, including the ten years with the District, or B. Have accumulated one additional year in the district for each year under age sixty-five (65) at the time of retirement up to a total of ten

Health Insurance for Retirees. 3.1 Through CalPERS the District agrees to provide qualifying unit members upon retirement at age sixty-five (65) with eligibility to participate in the CalPERS benefits program at CalPERS Retiree Supplement Rates. Said retirees will receive the district-district- paid minimum benefit provided for health insurance for all employees, active and retired. The minimum amount shall be established by CalPERS. In addition, a retiree whose eligibility status qualifies him or her for district-paid, lifetime retiree benefits shall receive a taxable service credit equal to the highest single active premium for HMO coverage minus the minimum benefit amount established by CalPERS. The total dollar obligation of the District, each year, to provide the benefits specified in the paragraph immediately above shall not exceed 0.88% (0.0088) of the prior year’s total revenue limit sources income. In any year in which the cost of the health benefits for retirees age sixty-five (65) and older as specified in the paragraph immediately above exceeds 0.88% (0.0088) of the prior year’s total revenue limit sources income, retirees sixty-five and older as specified in the paragraph immediately above shall contribute a pro-rata amount based upon the level of premiums paid on their behalf by the District, in order to make up the difference between cost and income. The 0.88% (0.0088) revenue limit cap on post-65 lifetime retiree benefits shall only be applied to those individuals receiving a Sequoia District retirement service credit. Eligible Xxxxxxxx retirees who retire between the ages of fifty-five (55) and sixty-five (65) will be eligible to remain on the district-paid group health insurance plans and participate in CalPERS at the active employee rates until they reach age sixty- five (65). At age sixty-five (65), if the retired eligible unit member is not eligible for Medicare A, at no cost to the retiree, the District agrees to reimburse the retiree an amount up to the cost of the premiums for Medicare B and the Medicare supplement offered by the District’s health carriers for verifiable expenditures for the retiree’s health insurance premiums. 3.1.1 Eligibility for retiree benefits in CalPERS is determined by CalPERS to be five years of fully paid contributions as a member of STRS or PERS. All retirees past or present who meet this minimum eligibility qualification and have retired or subsequently will retire from Sequoia District shall be eligible to receive retiree benefits as described in paragraphs one and two of Section 3.1 above. 3.1.2 If a retiree over age sixty-five (65) moves outside of the CalPERS provider service area and does not wish to rely only on Medicare Part A and Medicare Part B, the District will continue to reimburse Medicare Part B. In addition, the District will reimburse the retiree for the cost of an available managed care program. This reimbursement shall not exceed the average cost of a single active HMO premium. In the event that no managed care program is available, the District will reimburse the retiree’s costs. The reimbursement will be limited to the average premium of the District’s current year managed care program. For retirees under age sixty-five (65), the District will reimburse the retiree up to the average cost of a single active HMO premium. This reimbursement benefit is eligible only if the employee relocates to an area where there is no CalPERS health provider within a 30 mile radius. 3.2 Unit members employed before February 26, 1985, and who meet the following conditions shall be eligible for district-paid health insurance pursuant to Section 3.1 and shall be entitled to receive the service credit denoting district fully-paid lifetime retiree benefits: 3.2.1 Employed by the District continuously for a period of ten (10) years immediately prior to retirement if retiring at age sixty-five (65) or older. 3.2.2 If retiring at less than age sixty-five (65), employed continuously by the District for a period of ten (10) years immediately prior to retirement, and A. Have accumulated a total of thirty (30) years in public education, including the ten years with the District, or B. Have accumulated one additional year in the district for each year under age sixty-five (65) at the time of retirement up to a total of ten

Health Insurance for Retirees. 3.1 Through CalPERS the District agrees to provide qualifying unit members upon retirement at age sixty-five (65) with eligibility to participate in the CalPERS benefits program at CalPERS Retiree Supplement Rates. Said retirees will receive the district-district- paid minimum benefit provided for health insurance for all employees, active and retired. The minimum amount shall be established by CalPERS. In addition, a retiree whose eligibility status qualifies him or her for district-paid, lifetime retiree benefits shall receive a taxable service credit equal to the highest single active premium for HMO coverage minus the minimum benefit amount established by CalPERS. The total dollar obligation of the District, each year, to provide the benefits specified in the paragraph immediately above shall not exceed 0.88% (0.0088) of the prior year’s total revenue limit sources income. In any year in which the cost of the health benefits for retirees age sixty-five (65) and older as specified in the paragraph immediately above exceeds 0.88% (0.0088) of the prior year’s total revenue limit sources income, retirees sixty-five and older as specified in the paragraph immediately above shall contribute a pro-rata amount based upon the level of premiums paid on their behalf by the District, in order to make up the difference between cost and income. The 0.88% (0.0088) revenue limit cap on post-65 lifetime retiree benefits shall only be applied to those individuals receiving a Sequoia District retirement service credit. Eligible retirees who retire between the ages of fifty-five (55) and sixty-five (65) will be eligible to remain on the district-paid group health insurance plans and participate in CalPERS at the active employee rates until they reach age sixty- five (65). At age sixty-five (65), if the retired eligible unit member is not eligible for Medicare A, at no cost to the retiree, the District agrees to reimburse the retiree an amount up to the cost of the premiums for Medicare B and the Medicare supplement offered by the District’s health carriers for verifiable expenditures for the retiree’s health insurance premiums. 3.1.1 Eligibility for retiree benefits in CalPERS is determined by CalPERS to be five years of fully paid contributions as a member of STRS or PERS. All retirees past or present who meet this minimum eligibility qualification and have retired or subsequently will retire from Sequoia District shall be eligible to receive retiree benefits as described in paragraphs one and two of Section 3.1 above. 3.1.2 If a retiree over age sixty-five (65) moves outside of the CalPERS provider service area and does not wish to rely only on Medicare Part A and Medicare Part B, the District will continue to reimburse Medicare Part B. In addition, the District will reimburse the retiree for the cost of an available managed care program. This reimbursement shall not exceed the average cost of a single active HMO premium. In the event that no managed care program is available, the District will reimburse the retiree’s costs. The reimbursement will be limited to the average premium of the District’s current year managed care program. For retirees under age sixty-five (65), the District will reimburse the retiree up to the average cost of a single active HMO premium. This reimbursement benefit is eligible only if the employee relocates to an area where there is no CalPERS health provider within a 30 mile radius. 3.2 Unit members employed before February 26, 1985, and who meet the following conditions shall be eligible for district-paid health insurance pursuant to Section 3.1 and shall be entitled to receive the service credit denoting district fully-paid lifetime retiree benefits: 3.2.1 Employed by the District continuously for a period of ten (10) years immediately prior to retirement if retiring at age sixty-five (65) or older. 3.2.2 If retiring at less than age sixty-five (65), employed continuously by the District for a period of ten (10) years immediately prior to retirement, and A. Have accumulated a total of thirty (30) years in public education, including the ten years with the District, or B. Have accumulated one additional year in the district for each year under age sixty-five (65) at the time of retirement up to a total of ten

Health Insurance for Retirees. 3.1 Through CalPERS the District agrees to provide qualifying unit members upon retirement at age sixty-five (65) with eligibility to participate in the CalPERS benefits program at CalPERS Retiree Supplement Rates. Said retirees will receive the district-paid minimum benefit provided for health insurance for all employees, active and retired. The minimum amount shall be established by CalPERS. In addition, a retiree whose eligibility status qualifies him or her for district-paid, lifetime retiree benefits shall receive a taxable service credit equal to the highest single active premium for HMO coverage minus the minimum benefit amount established by CalPERS. The total dollar obligation of the District, each year, to provide the benefits specified in the paragraph immediately above shall not exceed 0.88% (0.0088) of the prior year’s total revenue limit sources income. In any year in which the cost of the health benefits for retirees age sixty-five (65) and older as specified in the paragraph immediately above exceeds 0.88% (0.0088) of the prior year’s total revenue limit sources income, retirees sixty-five and older as specified in the paragraph immediately above shall contribute a pro-rata amount based upon the level of premiums paid on their behalf by the District, in order to make up the difference between cost and income. The 0.88% (0.0088) revenue limit cap on post-65 lifetime retiree benefits shall only be applied to those individuals receiving a Sequoia District retirement service credit. Eligible Xxxxxxxx retirees who retire between the ages of fifty-five (55) and sixty-five (65) will be eligible to remain on the district-paid group health insurance plans and participate in CalPERS at the active employee rates until they reach age sixty- five (65). At age sixty-five (65), if the retired eligible unit member is not eligible for Medicare A, at no cost to the retiree, the District agrees to reimburse the retiree an amount up to the cost of the premiums for Medicare B and the Medicare supplement offered by the District’s health carriers for verifiable expenditures for the retiree’s health insurance premiums. 3.1.1 Eligibility for retiree benefits in CalPERS is determined by CalPERS to be five years of fully paid contributions as a member of STRS or PERS. All retirees past or present who meet this minimum eligibility qualification and have retired or subsequently will retire from Sequoia District shall be eligible to receive retiree benefits as described in paragraphs one and two of Section 3.1 above. 3.1.2 If a retiree over age sixty-five (65) moves outside of the CalPERS provider service area and does not wish to rely only on Medicare Part A and Medicare Part B, the District will continue to reimburse Medicare Part B. In addition, the District will reimburse the retiree for the cost of an available managed care program. This reimbursement shall not exceed the average cost of a single active HMO premium. In the event that no managed care program is available, the District will reimburse the retiree’s costs. The reimbursement will be limited to the average premium of the District’s current year managed care program. For retirees under age sixty-five (65), the District will reimburse the retiree up to the average cost of a single active HMO premium. This reimbursement benefit is eligible only if the employee relocates to an area where there is no CalPERS health provider within a 30 mile radius. 3.2 Unit members employed before February 26, 1985, and who meet the following conditions shall be eligible for district-paid health insurance pursuant to Section 3.1 and shall be entitled to receive the service credit denoting district fully-paid lifetime retiree benefits: 3.2.1 Employed by the District continuously for a period of ten (10) years immediately prior to retirement if retiring at age sixty-five (65) or older. 3.2.2 If retiring at less than age sixty-five (65), employed continuously by the District for a period of ten (10) years immediately prior to retirement, and A. Have accumulated a total of thirty (30) years in public education, including the ten years with the District, or B. Have accumulated one additional year in the district for each year under age sixty-five (65) at the time of retirement up to a total of ten