Common use of RETIREMENT AND RETIREE INSURANCE Clause in Contracts

RETIREMENT AND RETIREE INSURANCE. A. For full time Employees hired into the Township prior January 1, 2018: 1. The Employer agrees to continue to provide Michigan Employees Retirement System (MERS) benefits as follows; B-2 (2% multiplier), 6-V, age 60, FAC-5, calculated on base wages only (no add-ons), no purchasing of years, two percent (2%) Employee contribution. Full time Employees hired after January 1, 2014 will be eligible for MERS benefits based on age 60, 10-V. 2. Based upon length of service at the time of retirement, an Employee with at least fifteen (15) years of full time service and age fifty-five (55) is eligible for and will receive full retiree medical and prescription benefits including dental and optical coverage for the retiree, spouse at the time of retirement, and eligible dependents (as determined by the Employer) of the retiree. 3. An Employee who retires from the Township under the MERS pension plan, and is receiving MERS retirement payments, will be eligible for medical and prescription benefits including dental and optical coverage from the Township as described in Paragraph 2, above. For an Employee hired into the Township prior to January 1, 2010, the Employer will provide the same coverage to eligible retirees as they had upon retirement, until such time as the retiree is eligible for the Medicare Program. For an Employee hired into the Township after January 1, 2010, the Employer will provide the same coverage as active Employees including any future negotiated changes, at the Employer’s discretion, until such time as the retiree is eligible for the Medicare Program. Employees hired into the Township after January 1, 2010, will have the ability to voluntarily elect to have his/her retiree healthcare governed by Paragraph B.2., below and receive a five thousand four hundred dollar ($5,400) contribution to that Plan for each year of Township service prior to 2018, and two thousand, six hundred dollars ($2,600.00) per year for years of service in 2018, and 2019, then the contribution amounts in Paragraph B.2., will apply for future Township service. These Employees must make this election by June 30, 2020. For these Employees who have elected this option, they will be eligible for the Medicare Program as described below. For Paragraph 3, above, retirees and/or their eligible spouse shall apply and participate in the Medicare Program, when eligible, and must obtain parts A & B at their cost. At that time, the Employer's obligation shall be only to provide medical and prescription drug coverage that will coordinate or supplement with the Medicare Program. Failure to participate in the aforementioned Medicare Program shall be cause for termination of Employer paid coverage. Dental and optical coverage will continue to be provided at the Township’s cost for the retiree and eligible spouse. 4. Upon retirement of an Employee from employment with the Employer, until his or her death, the Employer will continue group life insurance coverage in the amount of fifteen thousand dollars ($15,000.00) for the retiree only. 5. A retiree who elects not to participate in the Employer’s medical and prescription drug plans and who does have coverage elsewhere, shall receive an annual insurance waiver payment of two thousand dollars ($2,000.00) for a single contract, and four thousand dollars ($4,000.00) for a two- person/family contract. The retiree shall only be entitled to receive the insurance waiver payment until they are enrolled in the Medicare Program. At that time eligibility will cease. B. For full-time Employees hired into the Township on or after January 1, 2018: 1. The Employer agrees to continue to provide Michigan Employees Retirement System (MERS) benefits as follows; B-2 (2% multiplier), 10-V, age 60, FAC-5, calculated on base wages only (no add-ons), no purchasing of years, two percent (2%) Employee contribution. 2. Will not be eligible for or receive any Employer provided retiree medical, prescription drug, dental coverage, vision coverage and life insurance. The eligible Employee, however, shall receive one hundred dollars ($100.00) per pay period deposited by the Employer into the Defined Contribution Retirement Plan, or another savings vehicle, as determined by the Employer with the annual amount not to exceed two thousand six hundred dollars ($2,600.00) per year. Employees shall be immediately vested in these Employer contributions. Full-time employees hired into the Township on or after January 1, 2020, will receive one hundred fifty dollars ($150.00) per pay period, deposited by the Employer into the Health Care Savings Program (HCSP), or another savings vehicle, as determined by the Employer with the annual amount not to exceed three thousand, nine hundred dollars ($3,900.00) per year. Full-time employees hired on or after January 1, 2018 shall receive the increase in contributions to the HCSP, effective January 1, 2020. Employees shall be immediately vested in these Employer contributions. C. A retiree who has elected to waive health insurance in retirement, per this section (Article 26, Section A, 5), shall be entitled to re-enroll in the insurance plan during annual open enrollment periods, or within thirty (30) days from a Qualified Life Event (QLE). The retiree shall be entitled to benefits that the retiree would have otherwise been entitled to at the time of retirement provided under Sections A, 2 and 3 of this Article. The retiree shall be limited to re-enrolling themselves, their spouse at the time of retirement, and qualified dependents.

RETIREMENT AND RETIREE INSURANCE. A. For full time Employees employees hired into the Township prior January 1, 2018: 1. The Employer agrees to continue to provide Michigan Employees Retirement System (MERS) benefits as follows; B-2 (2% multiplier), 6-V, age 60, FAC-5, calculated on base wages only (no add-ons), no purchasing of years, two percent (2%) Employee employee contribution. Full time Employees employees hired after January 1, 2014 will be eligible for MERS benefits based on age 60, 10-V. 2. Based upon length of service at the time of retirement, an Employee with at least fifteen (15) years of full time service and age fifty-five (55) is eligible for and will receive full retiree medical and prescription benefits including dental and optical coverage for the retiree, spouse at the time of retirement, and eligible dependents (as determined by the Employer) of the retiree. 3. An Employee who retires from the Township under the MERS pension plan, and is receiving MERS retirement payments, will be eligible for medical and prescription benefits including dental and optical coverage from the Township as described in Paragraph 2, . above. For an Employee employee hired into the Township prior to January 1, 2010, the Employer will provide the same coverage to eligible retirees as they had upon retirement, until such time as the retiree is eligible for the Medicare Program. For an Employee employee hired into the Township after January 1, 2010, the Employer will provide the same coverage as active Employees employees including any future negotiated changes, at the Employer’s discretion, until such time as the retiree is eligible for the Medicare Program. Employees hired into the Township after January 1, 2010, will have the ability to voluntarily elect to have his/her retiree healthcare governed by Paragraph B.2., below and receive a five thousand four hundred dollar ($5,400) contribution to that Plan for each year of Township service prior to 2018, and two thousand, thousand six hundred dollars ($2,600.002,600) per year for years of service in 2018, 2018 and 2019, then the contribution amounts in Paragraph B.2., will apply for future Township service. These Employees employees must make this election by June 30, 2020. For these Employees employees who have elected this option, they will be eligible for the Medicare Program as described below. For Paragraph 3, . above, retirees and/or their eligible spouse shall apply and participate in the Medicare Program, when eligible, and must obtain parts A & B at their cost. At that time, the Employer's obligation shall be only to provide medical and prescription drug coverage that will coordinate or supplement with the Medicare Program. Failure to participate in the aforementioned Medicare Program shall be cause for termination of Employer paid coverage. Dental and optical coverage will continue to be provided at the Township’s cost for the retiree and eligible spouse. 4. Upon retirement of an Employee from employment with the Employer, until his or her death, the Employer will continue group life insurance coverage in the amount of fifteen thousand dollars ($15,000.00) for the retiree only. 5. A retiree who elects not to participate in the Employer’s medical and prescription drug plans and who does have coverage elsewhere, shall receive an annual insurance waiver payment of two thousand dollars ($2,000.00) for a single contract, and four thousand dollars ($4,000.00) for a two- person/family contract. The retiree shall only be entitled to receive the insurance waiver payment until they are enrolled in the Medicare Program. At that time eligibility will cease. B. For full-time Employees employees hired into the Township on or after January 1, 2018: 1. The Employer agrees to continue to provide Michigan Employees Retirement System (MERS) benefits as follows; B-2 (2% multiplier), 10-V, age 60, FAC-5, calculated on base wages only (no add-ons), no purchasing of years, two percent (2%) Employee employee contribution. 2. Will not be eligible for or receive any Employer provided retiree medical, prescription drug, dental coverage, vision coverage and life insurance. The eligible Employeeemployee, however, shall receive one hundred dollars ($100.00) per pay period deposited by the Employer into the Defined Contribution Retirement Plan, or another savings vehicle, as determined by the Employer with the annual amount not to exceed two thousand six hundred dollars ($2,600.00) per year. Employees shall be immediately vested in these Employer contributions. Full-time employees who previously waived retiree healthcare or are hired into the Township on or after January 1, 2020, 2020 will receive one hundred fifty dollars ($150.00) per pay period, period deposited by the Employer into the Health Care Savings Program (HCSP), or another savings vehicle, as determined by the Employer with the annual amount not to exceed three thousand, thousand nine hundred dollars ($3,900.00) per year. Full-time employees hired on or after January 1, 2018 shall receive the increase in contributions to the HCSP, HSCP effective January 1, 2020. Employees shall be immediately vested in these Employer contributions. C. A retiree who has elected to waive health insurance in retirement, per this section (Article 26, Section A, 5), shall be entitled to re-enroll in the insurance plan during annual open enrollment periods, or within thirty (30) days from a Qualified Life Event (QLE). The retiree shall be entitled to benefits that the retiree would have otherwise been entitled to at the time of retirement provided under Sections A, 2 and 3 of this Article. The retiree shall be limited to re-enrolling themselves, their spouse at the time of retirement, and qualified dependents.

RETIREMENT AND RETIREE INSURANCE. A. For full full-time Employees hired into the Township prior January 1, 2018: 1. The Employer agrees to continue to provide the Michigan Employees Retirement System Systems (MERS) benefits benefit as follows; B-2 (2% multiplier): MERS B-3, 610-V, age 60FAC-3, FAC-5F50/25, calculated D2, defined benefit pension plan with final average compensation based on base wages only (no add-ons), no purchasing of years, two percent (2%) Employee contributionW-2 wages. Full time Employees hired into the Township on or after January 1, 2014 shall have their final average compensation based on base wage only. Each participating bargaining unit member hired into the Township prior to January 1, 2014 shall contribute 4.5% of W-2 wages to the MERS plan through payroll deduction. Each member hired into the Township on or after January 1, 2014 shall contribute 4.5% of base wage only to the MERS plan through payroll deduction. Participating in the MERS plan shall be a condition of continued employment unless otherwise mutually agreed in writing by the Employer and Union. All members shall be allowed to purchase service credit pursuant to MERS guidelines. 2. For an Employee hired into the Township prior to January 1, 2010 and who retires from the Township under the MERS pension plan and is receiving MERS retirement payments, will be eligible for MERS benefits based on age 60, 10-V. 2. Based upon length of service at the time of retirement, an Employee with at least fifteen (15) years of full time service and age fifty-five (55) is eligible for and will receive full retiree medical and prescription benefits including dental and optical coverage from the Township for the retiree, spouse at the time of retirement, and eligible dependents (as determined by the Employer) of the retiree. The Employer will provide the same coverage to these eligible retirees as they had upon retirement, until such time as the retiree is eligible for the Medicare Program. 3. An For an Employee hired into the Township after January 1, 2010 and who retires from the Township under the MERS pension plan, plan and is receiving MERS retirement payments, will be eligible for medical and prescription benefits including dental and optical coverage from the Township for the retiree, spouse at the time of retirement, and eligible dependents (as described in Paragraph 2, abovedetermined by the Employer) of the retiree. For an Employee hired into the Township prior to January 1, 2010, the The Employer will provide the same coverage to these eligible retirees as they had upon retirement, until such time as the retiree is eligible for the Medicare Program. For an Employee hired into the Township after January 1, 2010, the Employer will provide the same coverage as active Employees including any future negotiated changes, changes at the Employer’s discretion, until such time as the retiree is eligible for the Medicare Program. Employees hired into the Township after January 1, 2010, will have the ability to voluntarily elect to have his/her retiree healthcare governed by Paragraph B.2., below For both Paragraphs 2 and receive a five thousand four hundred dollar ($5,400) contribution to that Plan for each year of Township service prior to 2018, and two thousand, six hundred dollars ($2,600.00) per year for years of service in 2018, and 2019, then the contribution amounts in Paragraph B.2., will apply for future Township service. These Employees must make this election by June 30, 2020. For these Employees who have elected this option, they will be eligible for the Medicare Program as described below. For Paragraph 3, above, retirees retired Employees and/or their eligible spouse shall apply and participate in the Medicare Program, when eligible, and must obtain parts A & B at their cost. At that time, the Employer's obligation shall be only to provide medical and prescription drug coverage that will coordinate or supplement with the Medicare Program. Failure to participate in the aforementioned Medicare Program shall be cause for termination of Employer paid coverage. Dental and optical coverage will continue to be provided at the Township’s cost for the retiree and eligible spouse. 4. Upon retirement of an Employee from employment with the Employer, until his or her death, the Employer will continue group life insurance coverage in the amount of fifteen thousand dollars ($15,000.00) for the retiree only. 5. A retiree who elects not to participate in the Employer’s medical and prescription drug plans and who does have coverage elsewhere, shall receive an annual insurance waiver payment of two thousand dollars ($2,000.00) for a single contract, contract and four thousand dollars ($4,000.00) for a two- two (2) person/family contract. The retiree shall only be entitled to receive the insurance waiver payment until they are enrolled in the Medicare Program. At that time eligibility and payment will cease. B. For full-time Employees hired into the Township on or after January 1, 2018: 1. The Employer agrees to continue to provide the Michigan Employees Employees’ Retirement System Systems (MERS) benefits benefit as follows; B-2 (2% multiplier): MERS B-3, 10-V, age 60FAC-3, FAC-5F50/25, calculated D2, defined benefit pension plan, with Final Average Compensation based on base wages wage only. Each participating bargaining unit member shall contribute 4.5% of base wage only (no add-ons), no purchasing to the MERS plan through payroll deduction. Participating in the MERS plan shall be a condition of years, two percent (2%) Employee contributioncontinued employment unless otherwise mutually agreed in writing by the Employer and Union. All members shall be allowed to purchase service credit pursuant to MERS guidelines. 2. Will not be eligible for or receive any Employer provided retiree medical, prescription drug, dental coverage, vision coverage and life insurance. The eligible Employee, however, shall receive one hundred dollars ($100.00) per pay period deposited by the Employer into the Defined Contribution Retirement Plan, or another savings vehicle, as determined by the Employer Employer, with the annual amount not to exceed two thousand six hundred dollars ($2,600.00) per year. Employees shall be immediately vested in these Employer contributions. Full-time employees hired into the Township on or after January 1, 2020, will receive one hundred fifty dollars ($150.00) per pay period, deposited by the Employer into the Health Care Savings Program (HCSP), or another savings vehicle, as determined by the Employer with the annual amount not to exceed three thousand, nine hundred dollars ($3,900.00) per year. Full-time employees hired on or after January 1, 2018 shall receive the increase in contributions to the HCSP, effective January 1, 2020. Employees shall be immediately vested in these Employer contributions. C. A retiree who has elected to waive health insurance in retirement, per this section (Article 26, Section A, 5A.5.), shall be entitled to re-enroll in the insurance plan during annual open enrollment periods, or within thirty (30) days from a Qualified Qualifying Life Event (QLE). The retiree shall be entitled to benefits that the retiree would have otherwise been entitled to at the time of retirement provided under Sections A, 2 A.2 and 3 A.3 of this Article. The retiree shall be limited to re-enrolling themselves, their spouse at the time of retirement, and qualified dependents.

RETIREMENT AND RETIREE INSURANCE. A. For full full-time Employees employees hired into the Township prior January 1, 2018: 1. The Employer agrees to continue to provide Michigan Employees Retirement System (MERS) benefits as follows; B-2 (2% multiplier), 6-V, age 60, FAC-5, calculated on base wages only (no add-ons), no purchasing of years, two percent (2%) Employee percent employee contribution. Full time Employees hired after January 1, 2014 will be eligible for MERS benefits based on age 60, 10-V.. 2. Based upon length of service at the time of retirement, an Employee with at least fifteen (15) years of full full-time service and age fifty-five (55) ), or a duty disability/death pension (regardless of age/service), is eligible for and will receive full retiree medical and prescription benefits including dental and optical coverage for the retiree, spouse at the time of retirement, and eligible dependents (as determined by the Employer) of the retiree. Coverage shall terminate upon the re-marriage of the surviving spouse. 3. An Employee who retires from the Township under the MERS pension plan, plan and is receiving MERS retirement payments, including a duty disability/death pension, will be eligible for medical and prescription benefits including dental and optical coverage from the Township as described in Paragraph 2, above. For an Employee employee hired into the Township prior to January 1, 2010, the Employer will provide the same coverage to eligible retirees as they had upon retirement, including HSA funding as provided under the contract, until such time as the retiree is eligible for the Medicare Program. For an Employee employee hired into the Township after January 1, 2010, the Employer will provide the same coverage as active Employees employees, including any future negotiated changes, changes at the Employer’s discretion, until such time as the retiree is eligible for the Medicare Program. Employees hired into the Township after January 1, 2010, will have the ability to voluntarily elect to have his/her retiree healthcare governed by Paragraph B.2., . below and receive a five thousand and four hundred dollar ($5,400) contribution to that Plan for each year of prior Township service prior to 2018, and two thousand, six hundred dollars ($2,600.00) per year for years of service in 2018, and 2019service, then the contribution amounts in Paragraph B.2., . will apply for future Township service. These Employees employees must make this election by June 30December 31, 20202018. For these Employees employees who have elected this option, they will be eligible for the Medicare Program as described below. For Paragraph 3, above, retirees and/or their eligible spouse shall apply and participate in the Medicare Program, when eligible, and must obtain parts A & B at their cost. At that time, the Employer's obligation shall be only to provide medical and prescription drug coverage that will coordinate or supplement with the Medicare Program. Failure to participate in the aforementioned Medicare Program shall be cause for termination of Employer paid coverage. Dental and optical coverage will continue to be provided at the Township’s cost for the retiree and eligible spouse. 4. Upon retirement of an Employee from employment with the Employer, until his or her death, the Employer will continue group life insurance coverage in the amount of fifteen thousand dollars ($15,000.0015,000) for the retiree only. 5. A retiree retiree, who elects not to participate in the Employer’s medical and prescription drug plans and who does have coverage elsewhere, shall receive an annual insurance waiver payment of two thousand dollars ($2,000.002,000) for a single contract, and four thousand dollars ($4,000.004,000) for a two- person/family contract. The retiree shall only be entitled to receive the insurance waiver payment until they are enrolled in the Medicare Program. At that time time, eligibility will cease. B. For full-time Employees employees hired into the Township on or after January 1, 2018: 1. The Employer agrees to continue to provide Michigan Employees Retirement System (MERS) benefits as follows; B-2 (2% multiplier), 10-V, age 60, FAC-5, calculated on base wages only (no add-ons), no purchasing of years, two percent (2%) Employee percent employee contribution. 2. Will not be eligible for or receive any Employer provided retiree medical, prescription drug, dental coverage, vision coverage and life insurance. The eligible Employeeemployee, however, shall receive one hundred dollars ($100.00100) per pay period deposited by the Employer into the Defined Contribution Retirement Plan, or another savings vehicle, as determined by the Employer with the annual amount not to exceed two thousand and six hundred dollars ($2,600.002,600) per year. Employees shall be immediately vested in these Employer contributions. Full-time employees hired into the Township on or after January 1, 2020, will receive one hundred fifty dollars ($150.00) per pay period, deposited by the Employer into the Health Care Savings Program (HCSP), or another savings vehicle, as determined by the Employer with the annual amount not to exceed three thousand, nine hundred dollars ($3,900.00) per year. Full-time employees hired on or after January 1, 2018 shall receive the increase in contributions to the HCSP, effective January 1, 2020. Employees shall be immediately vested in these Employer contributions. C. A retiree who has elected to waive health insurance in retirement3. In the event of a duty death of an employee, per this section (Article 26, Section A, 5), shall be entitled to re-enroll in the insurance plan during annual open enrollment periods, or within thirty (30) days from a Qualified Life Event (QLE). The retiree shall be entitled to benefits that the retiree would have otherwise been entitled to surviving spouse and dependents at the time of retirement provided under Sections A, 2 and 3 of this Article. The retiree death shall be limited to re-enrolling themselvesprovided retiree healthcare as set forth in Article 26, their Paragraph A.3, under the following conditions: 1) it will cover the spouse and dependents at the time of retirementthe duty death; 2) during the period when they are eligible, the spouse and eligible dependents(s) will be provided the same health insurance and prescription drug coverage provided to active employees, as may change due to mirroring; 3) a spouse will not be eligible to receive benefits under this provision if they are eligible to receive equivalent health insurance benefits under any other health insurance plan offered by another employer; 4) upon Medicare eligibility, the survivor spouse shall be required to enroll in Medicare, and qualified dependentsthese benefits shall cease. 4. In the event a duty disability pension is granted on account of an injury or disease arising out of and in the course of his or her Township employment, the retiree, spouse and dependents shall be provided retiree healthcare as set forth in Article 26, Paragraph A.3 under the following conditions: 1) it will cover the duty disability retiree and their spouse and dependents at the time they were determined to be eligible for duty disability retirement only; 2) during the period when they are eligible, the member and eligible dependent(s) will be provided the same health insurance and prescription drug coverage provided to active employees as may change due to mirroring; 3) a member will not be eligible to receive benefits under this provision if they or are their spouse are eligible to receive equivalent health insurance benefits under any other health insurance plan offered by another employer; 4) upon Medicare eligibility, the member shall be required to enroll in Medicare, Parts A & B and will be enrolled in supplemental coverage.

RETIREMENT AND RETIREE INSURANCE. A. For full full-time Employees hired into the Township prior January 1, 2018: 1. The Employer agrees to continue to provide the Michigan Employees Retirement System Systems (MERS) benefits benefit as follows; B-2 (2% multiplier): MERS B-3, 610-V, age 60FAC-3, FAC-5F50/25, calculated D2, defined benefit pension plan with final average compensation based on base wages only (no add-ons), no purchasing of years, two percent (2%) Employee contributionW-2 wages. Full time Employees hired into the Township on or after January 1, 2014 shall have their final average compensation based on base wage only. Each participating bargaining unit member hired into the Township prior to January 1, 2014 shall contribute 4.5% of W-2 wages to the MERS plan through payroll deduction. Each member hired into the Township on or after January 1, 2014 shall contribute 4.5% of base wage only to the MERS plan through payroll deduction. Participating in the MERS plan shall be a condition of continued employment unless otherwise mutually agreed in writing by the Employer and Union. All members shall be allowed to purchase service credit pursuant to MERS guidelines. 2. For an Employee hired into the Township prior to January 1, 2010 and who retires from the Township under the MERS pension plan and is receiving MERS retirement payments, will be eligible for MERS benefits based on age 60, 10-V. 2. Based upon length of service at the time of retirement, an Employee with at least fifteen (15) years of full time service and age fifty-five (55) is eligible for and will receive full retiree medical and prescription benefits including dental and optical coverage from the Township for the retiree, spouse at the time of retirement, and eligible dependents (as determined by the Employer) of the retiree. The Employer will provide the same coverage to these eligible retirees as they had upon retirement, until such time as the retiree is eligible for the Medicare Program. 3. An For an Employee hired into the Township after January 1, 2010 and who retires from the Township under the MERS pension plan, plan and is receiving MERS retirement payments, will be eligible for medical and prescription benefits including dental and optical coverage from the Township for the retiree, spouse at the time of retirement, and eligible dependents (as described in Paragraph 2, abovedetermined by the Employer) of the retiree. For an Employee hired into the Township prior to January 1, 2010, the The Employer will provide the same coverage to these eligible retirees as they had upon retirement, until such time as the retiree is eligible for the Medicare Program. For an Employee hired into the Township after January 1, 2010, the Employer will provide the same coverage as active Employees including any future negotiated changes, changes at the Employer’s discretion, until such time as the retiree is eligible for the Medicare Program. Employees hired into the Township after January 1, 2010, will have the ability to voluntarily elect to have his/her retiree healthcare governed by Paragraph B.2., below For both Paragraphs 2 and receive a five thousand four hundred dollar ($5,400) contribution to that Plan for each year of Township service prior to 2018, and two thousand, six hundred dollars ($2,600.00) per year for years of service in 2018, and 2019, then the contribution amounts in Paragraph B.2., will apply for future Township service. These Employees must make this election by June 30, 2020. For these Employees who have elected this option, they will be eligible for the Medicare Program as described below. For Paragraph 3, above, retirees retired Employees and/or their eligible spouse shall apply and participate in the Medicare Program, when eligible, and must obtain parts A & B at their cost. At that time, the Employer's obligation shall be only to provide medical and prescription drug coverage that will coordinate or supplement with the Medicare Program. Failure to participate in the aforementioned Medicare Program shall be cause for termination of Employer paid coverage. Dental and optical coverage will continue to be provided at the Township’s cost for the retiree and eligible spouse. 4. Upon retirement of an Employee from employment with the Employer, until his or her death, the Employer will continue group life insurance coverage in the amount of fifteen thousand dollars ($15,000.00) for the retiree only. 5. A retiree who elects not to participate in the Employer’s medical and prescription drug plans and who does have coverage elsewhere, shall receive an annual insurance waiver payment of two thousand dollars ($2,000.00) for a single contract, contract and four thousand dollars ($4,000.00) for a two- two (2) person/family contract. The retiree shall only be entitled to receive the insurance waiver payment until they are enrolled in the Medicare Program. At that time eligibility and payment will cease. B. For full-time Employees hired into the Township on or after January 1, 2018: 1. The Employer agrees to continue to provide the Michigan Employees Employees’ Retirement System Systems (MERS) benefits benefit as follows; B-2 (2% multiplier): MERS B-3, 10-V, age 60FAC-3, FAC-5F50/25, calculated D2, defined benefit pension plan, with Final Average Compensation based on base wages wage only. Each participating bargaining unit member shall contribute 4.5% of base wage only (no add-ons), no purchasing to the MERS plan through payroll deduction. Participating in the MERS plan shall be a condition of years, two percent (2%) Employee contributioncontinued employment unless otherwise mutually agreed in writing by the Employer and Union. All members shall be allowed to purchase service credit pursuant to MERS guidelines. 2. Will not be eligible for or receive any Employer provided retiree medical, prescription drug, dental coverage, vision coverage and life insurance. The eligible Employee, however, shall receive one hundred dollars ($100.00) per pay period deposited by the Employer into the Defined Contribution Retirement Plan, or another savings vehicle, as determined by the Employer Employer, with the annual amount not to exceed two thousand six hundred dollars ($2,600.00) per year. Employees shall be immediately vested in these Employer contributions. Full-time employees hired into the Township on or after January 1, 2020, will receive one hundred fifty dollars ($150.00) per pay period, deposited by the Employer into the Health Care Savings Program (HCSP), or another savings vehicle, as determined by the Employer with the annual amount not to exceed three thousand, nine hundred dollars ($3,900.00) per year. Full-time employees hired on or after January 1, 2018 shall receive the increase in contributions to the HCSP, effective January 1, 2020. Employees shall be immediately vested in these Employer contributions. C. A retiree who has elected to waive health insurance in retirement, per this section (Article 26, Section A, 5), shall be entitled to re-enroll in the insurance plan during annual open enrollment periods, or within thirty (30) days from a Qualified Life Event (QLE). The retiree shall be entitled to benefits that the retiree would have otherwise been entitled to at the time of retirement provided under Sections A, 2 and 3 of this Article. The retiree shall be limited to re-enrolling themselves, their spouse at the time of retirement, and qualified dependents.

RETIREMENT AND RETIREE INSURANCE. A. For full full-time Employees employees hired into the Township prior January 1, 2018: 1. The Employer agrees to continue to provide Michigan Employees Retirement System (MERS) benefits as follows; B-2 (2% multiplier), 6-V, age 60, FAC-5, calculated on base wages only (no add-ons), no purchasing of years, two percent (2%) Employee percent employee contribution. Full time Employees hired after January 1, 2014 will be eligible for MERS benefits based on age 60, 10-V.. 2. Based upon length of service at the time of retirement, an Employee with at least fifteen (15) years of full full-time service and age fifty-five (55) ), or a duty disability/death pension (regardless of age/service), is eligible for and will receive full retiree medical and prescription benefits including dental and optical coverage for the retiree, spouse at the time of retirement, and eligible dependents (as determined by the Employer) of the retiree. Coverage shall terminate upon the re-marriage of the surviving spouse. 3. An Employee who retires from the Township under the MERS pension plan, plan and is receiving MERS retirement payments, including a duty disability/death pension, will be eligible for medical and prescription benefits including dental and optical coverage from the Township as described in Paragraph 2, above. For an Employee employee hired into the Township prior to January 1, 2010, the Employer will provide the same coverage to eligible retirees as they had upon retirement, including HSA funding as provided under the contract, until such time as the retiree is eligible for the Medicare Program. For an Employee employee hired into the Township after January 1, 2010, the Employer will provide the same coverage as active Employees employees, including any future negotiated changes, changes at the Employer’s discretion, until such time as the retiree is eligible for the Medicare Program. Employees hired into the Township after January 1, 2010, will have the ability to voluntarily elect to have his/her retiree healthcare governed by Paragraph B.2., . below and receive a five thousand and four hundred dollar ($5,4005,400.00) contribution to that Plan for each year of Township service service, prior to 2018, and two thousand, thousand and six hundred dollars ($2,600.00) per year for years of service in 2018, and 2019, then the contribution amounts in Paragraph B.2., . will apply for future Township service. These Employees employees must make this election by June 30, 2020. For these Employees employees who have elected this option, they will be eligible for the Medicare Program as described below. For Paragraph 3, above, retirees and/or their eligible spouse shall apply and participate in the Medicare Program, when eligible, and must obtain parts A & B at their cost. At that time, the Employer's obligation shall be only to provide medical and prescription drug coverage that will coordinate or supplement with the Medicare Program. Failure to participate in the aforementioned Medicare Program shall be cause for termination of Employer paid coverage. Dental and optical coverage will continue to be provided at the Township’s cost for the retiree and eligible spouse. 4. Upon retirement of an Employee from employment with the Employer, until his or her death, the Employer will continue group life insurance coverage in the amount of fifteen thousand dollars ($15,000.0015,000) for the retiree only. 5. A retiree retiree, who elects not to participate in the Employer’s medical and prescription drug plans and who does have coverage elsewhere, shall receive an annual insurance waiver payment of two thousand dollars ($2,000.002,000) for a single contract, and four thousand dollars ($4,000.004,000) for a two- person/family contract. The retiree shall only be entitled to receive the insurance waiver payment until they are enrolled in the Medicare Program. At that time time, eligibility will cease. B. For full-time Employees employees hired into the Township on or after January 1, 2018: 1. The Employer agrees to continue to provide Michigan Employees Retirement System (MERS) benefits as follows; B-2 (2% multiplier), 10-V, age 60, FAC-5, calculated on base wages only (no add-ons), no purchasing of years, two percent (2%) Employee percent employee contribution. 2. Will not be eligible for or receive any Employer provided retiree medical, prescription drug, dental coverage, vision coverage and life insurance. The eligible Employeeemployee, however, shall receive one hundred dollars ($100.00100) per pay period deposited by the Employer into the Defined Contribution Retirement Plan, or another savings vehicle, as determined by the Employer with the annual amount not to exceed two thousand and six hundred dollars ($2,600.002,600) per year. Employees shall be immediately vested in these Employer contributions. Full-time employees hired into the Township on or after January 1, 2020, 2020 will receive one hundred and fifty dollars ($150.00) per pay period, period deposited by the Employer into the Health Care Savings Program (HCSP), or another savings vehicle, as determined by the Employer with the annual amount not to exceed three thousand, thousand and nine hundred dollars ($3,900.00) per year. Full-time employees hired on or after January 1, 2018 shall receive the increase in contributions to the HCSPHSCP, effective January 1, 2020. Employees shall be immediately vested in these Employer contributions. C. A retiree who has elected to waive health insurance in retirement, per this section (Article 26, Section A, 5), shall be entitled to re-enroll in the insurance plan during annual open enrollment periods, or within thirty (30) days from a Qualified Life Event (QLE). The retiree shall be entitled to benefits that the retiree would have otherwise been entitled to at the time of retirement provided under Sections A, 2 and 3 of this Article. The retiree shall be limited to re-enrolling themselves, their spouse at the time of retirement, and qualified dependents.