Medicare Part D Administration. The Medicare Modernization Act of 2003 added a prescription drug benefit to the Medicare program in the form of premium subsidies for low-income retirees. Xxxxxx Permanente implemented Medicare Part D effective January 1, 2006. The Patient Protection and Affordable Care Act (PPACA) of 2010 reduced the Medicare Part D premium subsidies for retirees with incomes above $85,000 per individual and $170,000 per couple and added a surcharge for these high wage-earning retirees ranging from $12 to $69 per month effective January 1, 2011. KP shall reimburse eligible individual retirees, as defined, who are being surcharged. The eligible individual retirees will be determined as the result of a two-year look-back that is based only on active KP W-2 wages as opposed to retiree income. Where the resulting two-year look-back of active KP W-2 wages exceeds $85,000, the retiree is determined to be eligible for surcharge reimbursement regardless of marital status. Xxxxxxxx retirees will be reimbursed for a maximum period of two years. The reimbursements will be executed, beginning with a time table to be determined by KP, using the existing reimbursement process KP has in place for Medicare Part B. For background and implementation details, see Medicare Part D Grievance Resolution of January 17, 2012, as found on the LMP website. This section 2.B.2.i. is intended to supersede any contrary Local Agreement provisions, with the exception of No. 4., Previously Legacy Employees, as discussed above.
Medicare Part D Administration. The Medicare Modernization Act of 2003 added a prescription drug benefit to the Medicare program in the form of premium subsidies for low-income retirees. Xxxxxx Permanente implemented Medicare Part D effective January 1, 2006. The Patient Protection and Affordable Care Act (PPACA) of 2010 reduced the Medicare Part D premium subsidies for retirees with incomes above $85,000 per individual and $170,000 per couple and added a surcharge for these high wage-earning retirees ranging from $12 to $69 per month effective January 1, 2011. 76 | 2021 NATIONAL AGREEMENT Note: This contract is complete with the exception of the UFCW Local 3000 pension language. The table of contents, pagination, and indexing may change once the UFCW Local 3000 pension language is resolved. KP shall reimburse eligible individual retirees, as defined, who are being surcharged. The eligible individual retirees will be determined as the result of a two-year look-back that is based only on active KP W-2 wages as opposed to retiree income. Where the resulting two-year look-back of active KP W-2 wages exceeds $85,000, the retiree is determined to be eligible for surcharge reimbursement regardless of marital status. Xxxxxxxx retirees will be reimbursed for a maximum period of two years. The reimbursements will be executed, beginning with a time table to be determined by KP, using the existing reimbursement process KP has in place for Medicare Part B. For background and implementation details, see Medicare Part D Grievance Resolution of January 17, 2012, as found on the LMP website. This section 2.B.2.i. is intended to supersede any contrary Local Agreement provisions, with the exception of No. 4., Previously Legacy Employees, as discussed above.
