(a) The Mayor is hereby authorized and directed to enter into agreements with one or more insurance companies, duly designated by motion of Council, for health, medical, dental and prescription drug insurance coverage and life insurance coverage for the employees of the Village, including a high deductible health plan (“Plan”). Copies of such agreements are on file in the office of the Clerk-Treasurer of the Village.
(b) (1) In conjunction with the implementation of the Plan, the Mayor is hereby authorized to establish a Health Savings Account program in conformance with any and all requirements under applicable laws, which will permit eligible employees of the Village to contribute pre-tax dollars to a Health Savings Account. The Mayor is authorized to enter into an agreement or agreements with a third party administrator and other necessary parties, duly designated by motion of Council, as may be necessary to create, maintain, and administer the Health Savings Account program, upon terms and conditions acceptable to the Mayor. Employees participating in the Health Savings Account program are responsible for ensuring that contributions to a Health Savings Account do not exceed the maximum annual contribution limit required by laws. The Village is not responsible for any penalties, taxes, or expenses associated with any contribution to a Health Savings Account exceeding a maximum annual contribution limit and shall have the right to seek indemnification from noncompliant employees or any third parties as the Mayor deems appropriate. Employees are encouraged to review their Health Savings Account balances on a regular basis and to consult with their Health Savings Account administrator during the last quarter of each calendar year in order to avoid any potential penalties.
(2) In calendar year 2009, the first year of the implementation of the Plan, the Clerk-Treasurer is authorized to contribute up to two thousand five hundred dollars ($2,500.00) to the Health Savings Account of each full-time employee enrolled in the Plan. Such contribution shall be made by the Village though monthly installments in the amount of two hundred dollars ($200.00) with an additional one hundred dollar ($100.00) contribution in the month of January, provided, however, the Clerk-Treasurer shall, upon written notification that an employee’s Health Savings Account meets or exceeds the annual contribution limits established by laws, cease monthly contributions to such employee’s Health Savings Account. The Clerk- Treasurer, upon the written approval of the Mayor, may accelerate the Village’s contribution for any employee that has incurred qualified medical expenses in excess of the amount contributed to the Health Savings Account at the time the expenses are incurred. This acceleration option is available throughout calendar year 2009 to all eligible employees. The Mayor is authorized to promulgate rules and regulations necessary to ensure the implementation of the acceleration program on an equal and uniform basis.
(Ord. 2009-2. Passed 1-12-09.)
(3) In calendar year 2015 and each year thereafter, the Clerk-Treasurer is authorized to match the contribution made by each employee enrolled in the plan to his or her Health Savings Account, up to one thousand six hundred dollars ($1,600.00) annually, provided, however, the Clerk-Treasurer shall, upon written notification that an employee’s Health Savings Account meets or exceeds the annual contribution limits established by laws, cease match contributions to such employee’s Health Savings Account. Employee’s contributions to the Health Savings Account must be through a payroll deduction in order to be eligible for the Village match contribution. The Council may increase that match contribution by motion of Council.
(Ord. 2015-15. Passed 10-12-15.)
(4) The Mayor is hereby authorized to adopt new or amend any existing benefits plan documents of the Village, including the Village’s cafeteria plan, that are necessary to ensure that the Health Savings Account program complies with all applicable laws.
(Ord. 2009-2. Passed 1-12-09.)
(Ord. 2009-2. Passed 1-12-09.)