Common use of Retiree Tier 1 Reimbursement Clause in Contracts

Retiree Tier 1 Reimbursement. Tier 1 retirees who enroll in the City’s medical plan in retirement shall be eligible to receive an additional reimbursement from the City to off-set the cost of the medical premium consistent with the value of their vested benefit to retiree medical costs as described in Section 11.04(C). To the extent permitted by the IRS, the reimbursement shall be made on a pre-tax basis. The reimbursement amount shall be for the plan and coverage level selected, not to exceed the following amounts: Coverage Level Maximum Amount of Reimbursement (Minimum contribution from Section 11.04(D) to be deducted from rates below) Single Kaiser single rate for premium region including City of Ontario Two-party or Family Kaiser two-party rate for premium region including City of Ontario