Common use of Individual VEBA Clause in Contracts

Individual VEBA. The FCCSC shall establish a VEBA account for each individual employee hired after June 30, 1999. Once retired, an eligible employee may use VEBA funds to pay health insurance premiums, life insurance premiums, long-term care premiums, and to be reimbursed for unreimbursed medical expenses of the employee, spouse, and dependents. Ongoing Individual VEBA accounts are individual accounts managed by each individual teacher. Each eligible employee may determine how his/her account shall be invested among the investment options made available by the VEBA vendor. The vendor shall be mutually selected by the FCCSC and the FCEA. Only teachers participating in the group Health plan are eligible for the Individual VEBA. The Board shall contribute 1% of each individual teacher's base salary per year into the Individual VEBA account. All teachers hired after June 30, 1999 are 100% vested in the Individual VEBA account after completing two (2) years with the FCCSC. Monies in Individual VEBA accounts from teachers who sever employment with the FCCSC prior to meeting the eligibility criteria for retirement benefits shall be held in a forfeiture account. The spouse or eligible dependents of a teacher or retiree who dies, shall receive the Individual VEBA benefit for the purpose of paying Health insurance premiums for the spouse or eligible dependents if all eligible criteria for retirement had been met at the time of death.