Ongoing Employee Health Costs at Closing Date Sample Clauses

Ongoing Employee Health Costs at Closing Date. To the extent feasible, as determined by AH Mendocino, District and AH Mendocino shall work cooperatively with one another to continue the District provided employee health plan once AH Mendocino becomes the employer of the District employees. District shall be responsible for employee health costs, including those costs that have been incurred but not yet reported, (to the extent of any District Employee Benefit Plan limitation) incurred by District’s employees prior to the Closing Date. AH Mendocino shall be responsible for the health costs (to the extent of AH Mendocino’s employee benefit plan limitations) of Newly Hired Employees incurred on and after the Closing Date. To the extent that a District employee who becomes a Newly Hired Employee is receiving ongoing health care services for a specific diagnosis made prior to the Closing Date, District and AH Mendocino shall allocate the health costs of treating such Newly Hired Employee between them based on whether the item or service generating a specific cost was provided to the Newly Hired Employee before or after the Closing Date, and each such Party shall pay that cost accordingly. District shall pay all costs of providing health care services to District employees who are inpatients and receiving health care services up to the Closing Date, but AH Mendocino shall be liable for all such costs on and after the Closing Date with respect to such persons who are Newly Hired Employees on and after the Closing Date and shall reimburse District for reasonable payments made by District pertaining to the charges for items and services provided on and after the Closing Date.