Los Angeles Municipal Code § 4.307 City Contributions to Health Plan Costs

(a) Represented Employees. The amount of City contribution to health plan costs for employees in representation units shall be in accordance with the various Memoranda of Understanding approved and implemented by the City Council.

(b) Non-Represented Full-Time Employees. The City shall contribute for each full-time employee who is a member of the Los Angeles City Employees’ Retirement System (LACERS) a monthly subsidy equal to the cost of the employee’s City-sponsored medical plan, as determined by the Personnel Department in accordance with Section 4.303, not to exceed the Kaiser family rate (“maximum monthly healthcare subsidy”). Adjustments in this monthly subsidy shall be effective the beginning of the pay period in which the Kaiser yearly premium rate change is implemented. The amount of the adjusted subsidy shall be certified by the General Manager Personnel Department to the Controller.

Effective January 1, 2013, non-represented, full-time employees shall pay five percent (5%) of their monthly medical plan premium on a biweekly basis when the amount of their monthly premium for the City-sponsored medical plan in which they are enrolled is equal to or less than the amount of the City’s maximum monthly healthcare subsidy. Effective January 1, 2015, this amount shall increase to ten percent (10%) and terminate effective January 1, 2020.

Effective January 1, 2013, in the event that non- represented, full-time employees are enrolled in a City- sponsored medical plan that has a monthly premium that exceeds the City’s maximum monthly subsidy, then such employees shall pay on a biweekly basis the total of the difference between the cost of their monthly medical plan premium and the City’s maximum monthly healthcare subsidy, plus five percent (5%) of the City’s maximum monthly healthcare subsidy. Effective January 1, 2015, this amount shall increase to ten percent (10%) and terminate effective January 1, 2020.

The amount of the City’s contribution which is applied toward the coverage of the dependents of an employee enrolled in both Part A and Part B of Medicare shall not exceed that amount which may be applied toward the coverage of the dependents of an employee not enrolled in both Part A and Part B of Medicare and covered by the same health, medical or hospital benefit program.

The amounts provided for the City’s health insurance contribution shall be applied first to the employee’s health insurance coverage with any balance applied toward the coverage of the employee’s dependents under the same plan.

(c) Non-Represented Half-Time Employees. The City shall contribute for each half-time employee (as defined by Section 4.110 of this Code) a monthly subsidy not to exceed the Kaiser employee-only rate, toward the cost of the employee’s City-sponsored medical plan. Adjustments in this monthly subsidy shall be effective at the beginning of the pay period in which the Kaiser Permanente yearly premium rate change is implemented.

Effective January 1, 2013, half-time employees who are members of LACERS and are enrolled in a City- sponsored medical plan shall pay five percent (5%) of the monthly Kaiser employee-only rate on a biweekly basis, when the cost of their medical plan is at or below the amount of the Kaiser employee-only rate. Effective January 1, 2015, this amount shall increase to ten percent (10%) and terminate effective January 1, 2020. When the cost of their medical plan is greater than the Kaiser employee-only rate, then such employees shall pay on a biweekly basis the total of the difference between the cost of their monthly medical plan premium and the Kaiser employee-only rate, plus five percent (5%) of the Kaiser employee-only rate. Effective January 1, 2015, this amount shall increase to ten percent (10%) and terminate

effective January 1, 2020.

A half-time employee who, prior to January 23, 1990, was receiving the same subsidy as full-time employees, shall continue to receive that subsidy and shall be eligible to receive any adjustments provided in Subsection (b), as long as such employee does not have a break in service. In addition, such employees shall contribute five percent (5%) toward the cost of their healthcare premium as described above for full-time employees, increasing to ten percent (10%) effective January 1, 2015, and terminating effective January 1, 2020.

The City will apply the subsidy first to the employee’s coverage. Any remaining balance will be applied toward the coverage of the employee's dependents under the plan.

Employees who transfer from full-time to half-time under the provisions of Section 4.129, Family and Medical Leave, shall continue to receive the same subsidy as full- time employees and be subject to the required employee contribution toward the cost of their healthcare premium as described in this section.

(d) Non-Represented Employees Eligible for Affordable Care Act Coverage. Effective January 1, 2015 (or a subsequent date if revised by federal regulations), pursuant to the federal Affordable Care Act (ACA), employees who do not receive a healthcare subsidy under Subsection (b) or (c) above, but meet the ACA eligibility requirements as determined by the Personnel Department shall be referred to as “ACA Qualified Employees”. For each ACA Qualified Employee, the City shall contribute a monthly healthcare subsidy equivalent to the Kaiser single-party (employee only) premium rate, toward the cost of the employee’s City-sponsored medical plan, less the required employee contribution amount described in Subsections (b) and (c) above. Adjustments in the monthly healthcare subsidy for ACA Qualified Employees shall be effective at the beginning of the pay period in which the Kaiser Permanente yearly premium rate change is implemented. The amount of the adjusted subsidy shall be certified by the General Manager of the Personnel Department to the Controller.

SECTION HISTORY

Based on Ord. No. 13,678. Amended by: Ord. No. 137,446; Ord. No. 138,673, Eff. 5-21-69; Ord. No. 140,308, Eff. 4-24-70; Ord. No. 142,735, Eff. 12-22-72, Oper. 4-1-72; Ord. No. 145,054, Eff. 8-31-73; Ord. No. 146,274, Eff. 7-10-74, Oper. 7-7-74; Ord. No. 146,396, Eff. 7-31-74, Oper. 7-7-74 except for Police and Fire Depts. which are Oper 7-21-74; Ord. No. 147,603, Eff. 8-20-75; Ord. No. 147,672, Eff. 9-8-75; Ord. No. 148,785, Eff. 9-6-76, Oper. 8-14-76; Ord. No. 148,588, Eff. 7- 16-76, Oper. 8-14-76; Ord. No. 148,785, Eff. 9-6-76, Oper. 8-28-76; Ord. No. 148,785, Eff. 9-6-76, Oper. 8-28-76; Ord. No. 150,272, Eff. 11-3-77, Oper. 10-22-77; Ord. No. 150,272, Eff. 11-3-77, Oper. 11-4-78; Ord. No. 150,764, Eff. 5-26-78, Oper. 10-8-78; Ord. No. 152,543, Eff. 7-3-79, Oper. 7-15-79; Ord. No. 154,343, Eff. 7-1-80, Oper. 7-1-80; Ord. No. 155,667, Eff. 7-31-81, Oper. 7-1-81; In Entirety, Ord. No. 158,643, Eff. 2-24-84, Oper. 1-1-84; In Entirety, Ord. No. 165,482, Eff. 2-1-90; In Entirely, Ord. No. 170,101, Eff. 11-17-94, Oper. 7-1-94; Subsecs. (b) and (c), Ord. No. 171,780, Eff. 11-17-97, Oper. 11-23-97; Subsecs. (b) and (c), Ord. No. 175,048, Eff. 1-23-03; In Entirety, Ord. No. 182,211, Eff. 8-10-12; Subsec. (d) added, Ord. No. 182,320, Eff. 11-29-12; Subsecs. (b), (c) and (d) amended and Subsec. (e) added, Ord. No. 182,974, Eff. 4-18-14; Subsecs. (b) and (c), Ord. No. 186,343, Eff. 11-3-19; Subsec. (d) deleted and Subsec. (e) amended and renumbered as Subsec. (d), Ord. No. 188,810, Eff. 3-7-26.

For non-represented employees on a Family or Medical Leave pursuant to the provisions of Section 4.129 of this Code, the Personnel Department is hereby authorized to expend the monthly premium subsidy necessary to cover the cost of continuing the health plan benefit for non-represented employees of the City who are enrolled in a City health plan prior to the beginning of the leave. Employees shall be eligible for the continuation of the monthly premium subsidy while on a Family or Medical Leave in accordance with Section 4.129; however, for any unpaid portion of a Family or Medical Leave, the health plan subsidy shall be continued for a maximum of four months (nine pay periods), except while an employee is on a Pregnancy Disability Leave absence (up to four months) then the City’s health plan subsidy shall be continued for the employee’s pregnancy health coverage in compliance with the provisions of SB 299 and AB 592 enacted in 2011.

SECTION HISTORY

Added by Ord. No. 165,312, Eff. 1-6-90, Oper. 12-4-89. Amended by: In Entirety, Ord. No. 170,101, Eff. 11-17-94, Oper. 7-1-94; Ord. No. 171,780, Eff. 11-17-97, Oper. 11-23-97; Section Title and Section In Entirety, Ord. No. 179,999, Eff. 7-11-08, Oper. 7-1-07; Last Sentence, Ord. No. 182,211, Eff. 8-10-12.

The Personnel Department is hereby authorized to expend the monthly sum necessary to cover the cost of an Employee Assistance Program approved by the Personnel Department for each unrepresented employee of the City of Los Angeles (excluding employees of the Department of Water and Power) who is a member of the City Employees’ Retirement System.

SECTION HISTORY

Added by Ord. No. 167,301, Eff. 11-2-91, Oper. 7-1-91.

SECTION HISTORY

Added by Ord. No. 169,373, Eff. 4-2-94, Oper. 3-2-94. Repealed by Ord. No. 172,941, Eff. 1-21-00, Oper. 7-1-00.

The Personnel Department is hereby authorized to expend the monthly sum necessary to cover the cost of a life insurance policy, approved by the Personnel Department, for each General Manager, as defined in Section 4.321. Persons employed in classes listed in Section 4.245.1, excluding General Managers, shall receive flexible benefit credits in the amount of $16.00 biweekly, effective January 1, 2000 for the purpose of purchasing life insurance or other benefits provided under the City’s flexible benefits plan. The amount of the biweekly flexible benefit credits shall be adjusted on an annual basis by the percentage adjustment in the supplemental life insurance premiums for the plan provided under the City’s flexible benefits plan.

Effective July 1, 2014, the life insurance benefit described above shall be continued only for those General Managers who were already enrolled and receiving the benefit prior to July 1, 2014. No new enrollments shall occur on or subsequent to July 1, 2014, other than what is available to employees through enrollment in the City’s flexible benefits program.

SECTION HISTORY

Added by Ord. No. 171,270, Eff. 9-10-96. (See Sec. 5 of this Ordinance No. 171,270 regarding operative date.) Amended by: Title and Sec., Ord. No. 172,791, Eff. 9-3-99, Oper. 1-1-00; Second para. added, Ord. No. 182,972, Eff. 4-18-14.

In those instances where the benefits offered to sworn and civilian employees are not the same, the Director of the Office of Administrative and Research Services is authorized to determine the appropriate benefits for the Chief of Police and the Chief Engineer Fire Department.

SECTION HISTORY

Added by Ord. No. 172,248, Eff. 10-22-98. Amended by: Ord. No. 173,308, Eff. 6-30-00, Oper. 7-1-00.