DATE: November 27, 2018
TO: Mayor and City Council
FROM: Director of Human Resources
SUBJECT
Title
Adoption of a Resolution Approving an Amended Side Letter Agreement between the City of Hayward and the Unrepresented Executives, Management, City Manager, Human Resources and City Attorney Employees to Revise Current Contributions to the Voluntary Employee Beneficiary Association (VEBA) Plan
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RECOMMENDATION
Recommendation
That the City Council adopts a Resolution authorizing an amended side letter agreement between the City of Hayward (“City”) and the Unrepresented Executives, Management, City Manager, Human Resources and City Attorney Employees (“Unrepresented Employees”) for an increase in current contributions and a decrease in contributions upon retirement, to the Voluntary Employee Beneficiary Association (VEBA) Plan.
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SUMMARY
The City makes available to members of the Unrepresented Employees group the Voluntary Employee Beneficiary Association (VEBA) Plan, which enables eligible employees to accumulate funds in a tax-exempt trust for reimbursement of qualified medical expenses.
Pursuant to the terms of the Unrepresented Employees’ VEBA agreement, changes to the plan are made with the consensus of the majority of participants. A survey was conducted by the Human Resources Department, which determined that the majority of participants wanted an increase in current contributions per pay period, and a decrease in contributions upon retirement.
ATTACHMENTS
Attachment I Staff Report
Attachment II Resolution
Attachment III Side Letter of Agreement