HomeMy WebLinkAboutRES 091404-K - Amend Spending PlansRESOLUTION NO. ©q A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF GEORGETOWN TEXAS AMENDING THE CITY OF GEORGETOWN EMPLOYEE CAFETERIA PLAN, THE HEALTH CARE SPENDING ACCOUNT ARRANGEMENT, AND THE DAY CARE SPENDING ACCOUNT ARRANGEMENT; REPEALING CONFLICTING RESOLUTIONS; PROVIDING A SEVERABILITY CLAUSE; AND PROVIDING AN EFFECTIVE DATE. WHEREAS, the City Council of the City of Georgetown, Texas (the "City") has previously adopted the City of Georgetown Employee Cafeteria Plan (the "Cafeteria Plan"), the City of Georgetown Health Care Spending Account Arrangement (the ` Health FSA") and the City of Georgetown Day Care Spending Account Arrangement (the "Dependent FSA") (the Cafeteria Plan, the Health FSA and the Dependent FSA shall be collectively referred to herein as the "Plans") for benefit of the eligible employees of the City and WHEREAS, the City desires to amend the Plans to incorporate certain design changes to the Plans; NOW, THEREFORE, BE IT RESOLVED by the City Council of the City of Georgetown Texas that: Section 1 The amendments to the Plans referenced herein are hereby adopted to be effective on the date and pursuant to the terms of the attached instruments entitled ` First Amendment to the City of Georgetown Employee Cafeteria Plan,' ` First Amendment to the City of Georgetown Health Care Spending Account Arrangement,' and ` First Amendment to the City of Georgetown Day Care Spending Account Arrangement," copies of which are attached hereto as Exhibits A, B, and C, respectively, and incorporated herein by reference for all purposes as if set forth in full. Section 2: The appropriate officers of the City are hereby authorized and directed to do and perform all such acts and things, to sign such documents or instruments, and to take any other steps they or any of them may deem necessary, advisable, convenient or proper to effectuate the same and accomplish the purpose of the foregoing Section 3: All ordinances and resolutions, or parts of ordinances and resolutions, in conflict with this Resolution are hereby repealed, and are no longer of any force and effect. Section 4: If any provision of this Resolution or application thereof to any person or circumstance shall be held invalid, such invalidity shall not affect the other provisions, or application thereof, of this Resolution which can be given effect without the invalid provision or application, and to this end the provisions of this Resolution are hereby declared to be severable. Re ©qv'/v4-k �©fz Section 5: This Resolution shall become effective immediately upon its passage, and the amendments to the Plans attached hereto shall become effective on October 1, 2004. PASSED AND APPROVED on the -e.:tt, , 2004. ATTEST: Sandra Lee, City Secre APPROVED AS TO FORM: Patricia E Carls City Attorney Brown & Carls, LLP day of THE CITY OF GEORGETOWN: ary Ne on, Mayor Exh ih;+ FIRST AMENDMENT TO THE CITY OF GEORGETOWN EMPLOYEE CAFETERIA PLAN WHEREAS, the City of Georgetown, Texas (the "City") has heretofore adopted the City of Georgetown Employee Cafeteria Plan (the "Plan") for the benefit of its eligible employees; and WHEREAS, the City desires to amend the Plan to permit participants to obtain reimbursements under the Health Care Spending Account Arrangement for certain over-the- counter medicines, drugs and dietary supplements; NOW, THEREFORE, the Plan shall be amended as follows and such amendments shall supersede the provisions of the Plan to the extent those provisions are inconsistent with the provisions of such amendments: I. Effective p(2r , 2004, Section 5.01(a) of the Plan shall be deleted and the followmg shall be substituted therefor: "(a) Health Care Spending Account Benefit. Pursuant to a separate, written document, a copy of which is attached hereto and made a part hereof, the City maintains a self -funded Health Care Spending Account Arrangement. Under such Arrangement, payment shall be made to the Participant in cash as reimbursement for health -related expenses incurred during the Plan Year for which the Participant's election is effective, by the Participant or his dependents, which-- (1) are not covered, paid or reimbursed from any other source; (2) qualify as expenses for items of medical care as described in Section 213(d)(1) or (2) of the Code, as amended and the regulations thereunder, to the extent provided in Section 1.06 of the Health Care Spending Account Arrangement; and have not been taken as a deduction from income on the Participant's federal income tax return in any tax year (3) For purposes of this Section 5.01(a), the term "dependents" shall include any person who is a dependent as defined in Code Section 152 as amended, and the regulations thereunder. Not more than the amount specified in the Participant s Enrollment Form can be allocated for this Benefit during any Plan Year. In no event may the annual benefit provided for any Participant during any Plan Year under this Section exceed $5,000. To receive benefits under this Section, the Participant must file a written claim for benefits with the Plan Administrator on the foini provided by the Plan Administrator, which shall include substantiation of any such claims prior to being eligible to receive reimbursement for eligible health care expenses under this part." II As amended hereby, the Plan is specifically ratified and reaffirmed. IN WITNESS WHEREOF, the undersigned has caused these presents to be executed this 15a day of S tomb r, 2004. THE CITYFk F GIDRGETOWN By: Name: Title: 1636474_1.DOC gcc/ 'Air) Yak Y Ai h" /2 11 FIRST AMENDMENT TO THE CITY OF GEORGETOWN HEALTH CARE SPENDING ACCOUNT ARRANGEMENT WHEREAS, the City of Georgetown, Texas (the "City") has heretofore adopted the City of Georgetown Employee Cafeteria Plan (the "Cafeteria Plan') for the benefit of its eligible employees; and WHEREAS, the City has also heretofore adopted the City of Georgetown Health Care Spending Account Arrangement (the "Health FSA"), which focus part of and is incorporated by reference into the Cafeteria Nan; and WHEREAS, the City desires to amend the Health FSA to permit participants to obtain reimbursements for certain over-the-counter medicines, drugs and dietary supplements; NOW, THEREFORE, the Health FSA shall be amended as follows and such amendment shall supersede the provisions of the Health FSA to the extent its provisions are inconsistent with the provisions of such amendment I. Effective , 2004: 1. Section 1.06 of the Health FSA shall be deleted and the following shall be substituted therefor: "1.06 `Eligible Health Care Expenses' means those expenses incurred by the Employee or the Employee's dependents, on or after pciv6eri, 2004, for items of medical care as described in Section 213(d)(1) or (2) of the Code, but shall not include (i) an expense incurred for the payment of premiums under any health insurance plan, whether or not sponsored by the City, (ii) amounts paid for any medicines drugs or dietary supplements purchased without a physician's prescription if such medicines, drugs or dietary supplements are not identified on Exhibit A of the Arrangement, which Exhibit may be revised by the Plan Administrator from time to time without the need for a formal amendment to the Arrangement in which case a revised Exhibit A willbe attached hereto, and (iii) amounts paid for long term care service within the meaning of Code Section 7702(B)(s) or qualified long term care contracts within the meaning of the Code Section 7702(B)(b). For purposes of this Arrangement, an expense is `incurred' when the Participant or beneficiary is furnished the health care or services giving rise to the claimed expense or is otherwise deemed to have been incurred pursuant to applicable rules promulgated pursuant to the Code." 2. The attached Exhibit A shall be added to the end of the Health FSA. As amended hereby, the Health FSA is specifically ratified and reaffirmed. IN WITNESS WHEREOF, the undersigned has caused these presents to be executed this°'` day of S4r?fnfrr , 2004. THE CIT 'i OF G ORGETOWN By: Name: Title: THE CITY OF GEORGETOWN HEALTH CARE SPENDING ACCOUNT ARRANGEMENT EXHIBIT A List of Reimbursable Non -Prescription Medicines, Drugs and Dietary Supplements Amounts paid for the following over-the-counter medicines, drugs and dietary supplements will qualify as Eligible Health Care Expenses as such term is defined in Section 1.06 of this Arrangement OVER THE COUNTER ELI : ° '4 T ® V t like Aspirin, Tylenol, Ibuprofen Analgesics, such as Fever and Pain Reducers Antacids and Heartburn Relief, such as Alka-Seltzer, Mylanta, and Milk of Magnesia Stomach & Digestive Relief, such as Pepto-Bismol, Imodium, Colace, Lactaid Laxatives Cold Medicine, Cough drops, throat lozenges Eye care, such as contacts, salme solution, and lubricant eye drops (Visine, etc) bracelets Motion Sickness, such as Dramamine, patches, heat bandages, tape, dressing, adhesive pads, band First aids, Aid, first such aid kits as , crutches wraps, compresses, gauze Jomt Support Bandages and Hosiery, such as knee & elbow supports Arthritis and Joint Pain Relieving Creams Special ointment or cream for sunburned skin (not regular skin moisturizers) Antibiotic ointments Anti -itch and hydrocortisone creams Allergy Relief, such as oral medications, nasal sprays, and patches Athlete's Foot treatment, such as nail and foot anti -fungal creams Suppositories and creams for hemorrhoids Wart removal medication Diabetes, such as glucose monitor and related equipment Blood pressure monitor and related equipment Cholesterol, HIV, Hormone test equipment Vaporizers and humidifiers Urinary Pain Relief Smoking Cessation Relief such as patches, gum infections and cramp relievers Feminine care relating to treatment of vaginal and menstrual pain Tooth & Mouth Pain Relief, such as Orajel, Anbesol s® 01140 .h, i "87 p foams Pregnancy Test Kits, Ovulation Kits, condoms, spermicidal Eye patches Incontinence Products, such as Depends and Serenity pads Thermometers OVER THE COUNTER DUAL PURPOSE REQUIRING A LETTER FROM A PHYSICIAN Weight Loss drugs (special diet drinksand supplements not reimbursable) Pills for persons that are lactose Intolerant Nasal sprays for Snoring Cessation Orthopedic Shoes & Inserts that are not custom made Feminine Hygiene Products (usually ineligible, but some medical conditions/diseases may allow for reimbursement Sunscreen Acne Treatment products and drugs Glucosamine/Chondroiton for arthritis St. John's Wort (for depression) for for symptoms such as hot flashes, night sweats, Hormone etc. therapy and treatment menopause disease for to treat specific medical condition or a Dietary supplements or herbal medicines a deficiency) specific treatment period (vitamin Prenatal Vitamins allow for Shampoos reimbursement) and Soaps (usually ineligible, but some medical conditions/diseases may for Fiber Supplements (usually ineligible, but some medical conditions/diseases may allow reimbursement) for Sleep Aids (usually not reimbursable, but some medical conditions/diseases may allow reimbursement) OVER INELIGIBLE THE COUNTER FOR REIMBURSEMENT Chap stick, lip balm, Lipsticks Face cream, lotions, moisturizers Suntan lotion (*) Shampoo dry scalp and are Conditioner, not eligible hair color conditions and treatments under the Medicated dual purpose shampoos list) and soaps (dandruff and medical One -a -day vitamins Toothpaste condition and Toothbrushes (electric or otherwise) even when recommended special to one's Cavity Fighting Gum Fingernail polishes and Coats Top Deodorants Make -Up and perfumes In or altering general, otherwise appearances. articles applied that to are the intended human to body...for be rubbed, cleansing, poured, sprinkled beautifying, or sprayed promoting on, introduced attractiveness into or 1636484 1 DOC FIRST AMENDMENT TO THE CITY OF GEORGETOWN DAY CARE SPENDING ACCOUNT ARRANGEMENT WHEREAS, the City of Georgetown, Texas (the "City") has heretofore adopted the City of Georgetown Employee Cafeteria Plan (the "Cafeteria Plan") for the benefit of its eligible employees; and WHEREAS, the City has also heretofore adopted the City of Georgetown Day Care Spending Account Arrangement (the "Dependent FSA"), which forms part of and is incorporated by reference into the Cafeteria Plan; and WHEREAS, the City desires to amend the Dependent FSA to limit the participation of fowler employees in certain respects; NOW, THEREFORE, the Dependent FSA shall be amended as follows and such amendment shall supersede the provisions of the Dependent FSA to the extent its provisions are inconsistent with the provisions of such amendment: I. Effective OG,&ber', 2004, Section 4.05 of the Dependent FSA shall be deleted and the following shall be substituted therefor: "4.05 Termination of Employment If a Participant ceases to be an Employee of the City, such Participant shall cease to qualify as a Participant as of date of such Participant's termination of employment with the City; provided, however, Qualifying Employment -Related Expenses incurred by such Participant while such Participant was an Employee of the City are eligible for reimbursement, up to the amounts specified in Section 4.02, so long as a written claim for benefits is submitted to the Plan Administrator with respect to such Qualifying Employment -Related Expenses at any time within 90 days after such Participant's termination of employment." As amended hereby, the Dependent FSA is specifically ratified and reaffirmed. IN WITNESS WHEREOF, the undersigned has caused these presents to be executed this / day of ££fjfernbt , 2004. THE CITY,S F G ORGETOWN By: Name: Title: 1636479_1.DOC