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CC - 2012-30 - Establishing Annual Salary Ranges and Benefits for The City CouncilRESOLUTION NO. 2012-30 A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF ROSEMEAD, CALIFORNIA, ESTABLISHING ANNUAL SALARY RANGES AND BENEFITS FOR THE CITY COUNCIL OF THE CITY OF ROSEMEAD WHEREAS, THE FOLLOWING City Council Members are critical to the efficient and effective operations of the City, due to the policy- making nature and responsibilities of the position; and NOW THEREFORE, BE IT RESOLVED that effective beginning July 1, 2012, the salary ranges and benefits for the affected classification will be as follows: SECTION 1: COMPENSATION Members of the City Council will receive $1,118.63 per month for attendance of two City Council meetings pursuant to Ordinance No. 841. SECTION 2: HEALTH INSURANCE PROVIDER The City shall contract with CaIPERS to serve as the health insurance provider for the City of Rosemead. SECTION 3: CAFETERIA -STYLE HEALTH, WELFARE, & SAVINGS BENEFIT Beginning July 1, 2008, the City will provide members of the Council with $1,600 per month for use towards enrolling in any of the City offered health plans, dental plans, and vision plans. Any unused remainder must be applied to a deferred compensation plan. Members can also choose to take the entire benefit as deferred compensation, but must first show proof of health insurance through another source. SECTION 4: RETIREMENT HEALTH PLAN Members of the City Council elected on or before July 1, 2007, who have 20 years or more of service with the City of Rosemead, and who retire from the City, an allocation of up to $1,000 / month will be given to pay for health care benefits for the duration of their retirement. If the health insurance program selected by the Member costs more than $1,000 / month, the City will only cover the first $1,000 / month of the cost of the selected program. Once the Member reaches age 65 or becomes eligible for Medicare coverage, the Member will transition to Medicare coverage, with the City picking up the remaining cost of health insurance coverage up to a maximum of $1,000 / month. For members elected on or before July 1, 2007, who have 12 -19 years of service with the City of Rosemead, and who retire from the City, an allocation of up to $500 / month will be given to pay for health care benefits for the duration of their retirement. If the health insurance program selected by the Member costs more than $500 /month, the City will only cover the first $500 / month of the cost of the selected program. The above retirement health contributions will only be in effect for Members employed with the City as of July 1, 2007. When Member reaches 65 years of age, or becomes eligible for Medicare, said Members will transition to Medicare coverage and the City will continue to contribute towards the cost of health care coverage during the duration of the Members' retirement. Furthermore, it is expressly noted that the retirement health contribution can be used towards health coverage for the Member, their spouse, and / or any eligible dependent. SECTION 5: RETIREMENT PROGRAM (PERS) Members will be enrolled in the City's retirement program through CalPERS. Effective July 1, 2007, the City began providing the 2.7 % @55 benefit with one -year final compensation option with no cap. In addition, the City contributes the Member's share to the retirement system. Effective July 1, 2010, the City implemented a 2 -tier system with changes for newly elected members only. All newly elected members will be at the 2 % @55 formula with one -year final compensation option. SECTION 6: ENHANCED RETIREMENT PROGRAM (PARS) The City offers an enhanced retirement package through PARS for all existing Team Members elected prior to July 1, 2010. Such members who retire from Rosemead after working 20 years for the City will have their pension formula enhanced to 3 % @55, with the provision that the maximum pension allowance that Member's can accrue through PARS will be 90% of their final pay. Members must be at least 55 years of age to qualify for PARS. Effective July 1, 2010, the enhanced retirement package through PARS will no longer be offered to newly elected members. The PARS enhancement will be phased out. SECTION 7: DEFERRED COMPENSATION PROGRAM Members of the City Council receive $500 per month. Income may be deferred through the 457 Plan which allows members to make contributions through a supplemental retirement savings program. Effective July 1, 2010, the employer funded deferred compensation program has been eliminated for all newly elected Members of the City Council. SECTION H: LIFE INSURANCE Members of the City Council will receive an accidental death & dismemberment and life insurance policy of $100,000. SECTION 9: TUrnON REIMBURSEMENT The City will suspend the tuition reimbursement program for FY 2012 -2013. The City will revisit the tuition reimbursement program for FY 2013 -2014 based upon the availability of funding. SECTION 10: WELLNESS PROGRAM The City will suspend the Wellness Program for FY 2012 -2013. The City will revisit the wellness reimbursement program at $500 per year for FY 2013 -2014 based upon the availability of funding. SECTION 11: COMPUTER PURCHASE PROGRAM The City provides a computer purchase program for members of the City Council as outlined in the Administrative Policy No. 30 -09 approved by the City Manager. SECTION 12: EMPLOYEE ASSISTANCE PROGRAM The City will provide access to the Employee Assistance Program (EAP). SECTION 13: DIRECT DEPOSIT Members of the City Council will be provided with an option to authorize the automatic deposit of each paycheck into an individual's checking, savings or credit union account. Payroll checks will not be issued in advance. SECTION 14: MILEAGE REIMBURSEMENT The City will provide mileage reimbursement for conducting City business based on the standard miles rates of the Internal Revenue Service (IRS). SECTION 15: UNEMPLOYMENT INSURANCE BENEFITS Members of the City Council are not eligible for unemployment insurance benefits. PASSED, APPROVED AND ADOPTED at a Regular Meeting of the City Council of the City of Rosemead on the 22nd day of May 2012. Sandra Armenta Mayor ATTEST: A a.QU4 , Gloria Molleda City Clerk APPRg�Vr FORM: Rachel Richman City Attorney STATE OF CALIFORNIA ) COUNTY OF LOS ANGELES ) SS. CITY OF ROSEMEAD ) I, Gloria Molleda, City Clerk of the City of Rosemead, do hereby certify that the foregoing Resolution No. being 2012 -30: A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF ROSEMEAD, CALIFORNIA, ESTABLISHING ANNUAL SALARY RANGES AND BENEFITS FOR THE CITY COUNCIL OF THE CITY OF ROSEMEAD was duly and regularly approved and adopted by the Rosemead City Council on the 22nd of May, 2012, by the following vote to wit: Yes: Alarcon, Armenta, Clark, Low, Ly No: None Abstain: None Absent: None A .Qt - QA W Lag, Gloria Molleda City Clerk