(a) Declaration of trust. The balance of funds in the Reserve Fund for Retiree Health Benefits on July 1, 2015 shall on that date be deemed, as a matter of law and without the necessity of further administrative or legislative action, to be held in trust under the Retiree Health Benefits Trust and shall be transferred to the Retiree Health Benefits Trust as a contribution to the separate asset pool for Anne Arundel County, Maryland in the manner directed by the Board.
(b) Contributions to the Trust.
(1) Beginning with fiscal year 2016, appropriations for the purposes of paying the health care benefits of eligible retired County employees and their eligible spouses and dependents, the health care benefits of the eligible survivors of County employees and retired County employees, the expenses of administering those benefits, and the expenses of administering the Trust may be made directly to the Trust as contributions to the separate asset pool for Anne Arundel County, Maryland.
(2) Beginning with fiscal year 2016, contributions shall be made to the Trust from the cost-sharing portion of the health benefit payments of eligible retired County employees and their eligible spouses and dependents, the health care benefits of the eligible survivors of County employees and retired County employees.
(3) The amount of appropriations to the Trust for each purpose, if any, shall be determined in the annual budget of the County and shall be governed by the provisions of § 718(i) of the Charter as follows:
(i) The County Council may increase the appropriations to the Trust in amounts exceeding the recommendations of the County Executive.
(ii) Appropriations to the Trust shall be subject to the limit on contingency reserves set forth in § 706(c) of the Charter only to the extent that the appropriation would cause the separate asset pool for Anne Arundel County, Maryland, to exceed the unfunded accrued liability for the health care benefits of eligible retired County employees and their eligible spouses and dependents, and the health care benefits of the eligible survivors of County employees and retired County employees.
(c) Payments and distributions from the Trust. Payments and distributions from the separate asset pool for Anne Arundel County, Maryland, held in trust under the Retiree Health Benefits Trust, shall be solely for the purposes of paying health care benefits of retired County employees and their spouses, dependents, and survivors, and for paying the expenses of administering those benefits and for paying the expenses of administering the Trust.
(d) Trust expenses. Payment of benefits under the Trust, expenses of administering benefits, and expenses of administering the Trust shall be authorized on behalf of the County by the County Personnel Officer.
(Bill No. 13-15)