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Ordinance 94-2944 ORDINANCE NO. 94-2944 AN ORDINANCE OF THE MAYOR AND CITY COMMISSION OF THE CITY OF MIAMI BEACH, FLORIDA, AMENDING MIAMI BEACH CITY CODE CHAPTER 2, ARTICLE V ENTITLED, "EMPLOYEES' GROUP LIFE INSURANCE PLAN" BY INCREASING THE RETIREES' LIFE INSURANCE TO $5,000; AND FURTHER PROVIDING THAT ANY PREMIUMS FOR THE ADDITIONAL COVERAGE BE PAID IN FULL BY RETIREE CONTRIBUTION; PROVIDING FOR REPEALER; PROVIDING FOR SEVERABILITY; AND PROVIDING FOR AN EFFECTIVE DATE. BE IT ORDAINED BY THE MAYOR AND THE CITY COMMISSION OF THE CITY OF MIAMI BEACH, FLORIDA: SECTION 1. That Section 2-62, Article V, Chapter 2 of the Miami Beach City Code, entitled "Benefits" , be amended to read as follows : Sec. 2-62 . Benefits. The employees ' group life insurance plan shall provide the following benefits : (a) To regular employees and officers of the city, excluding retirees or pensioners : (1) Life insurance in an amount equal to annual salary increased to the next higher one thousand dollars. The term "annual salary" shall mean the employee's regular rate of pay, computed for each forthcoming policy year, on the payroll nearest to December first of the calendar year, except that the annual salary of new employees who have attained regular status during a different payroll period will be calculated as of the date such employees attained regular status . (2) Regardless of the annual salary of any eligible employee participating in the plan, minimum life insurance benefits shall be six thousand dollars . (b) To regular employees and officers of the city who shall have retired from service under any city pension system prior to January 1, 1964 and who were participants in the plan on the date of retirement, group life insurance shall be payable in the amount of two thousands, or five thousand dollars, if they elect to increase the benefit on or after the effective date of November 1, 1994 . (c) To regular employees and officers of the city who shall have retired from service under any city pension system subccqucnt to after January 1, 1964, and prior to November 1, 1994 and who were participants in the plan on the date of retirement, group life insurance shall be payable in the amount of one thousand dollars or five thousand dollars, if they elect to increase the benefit on or after the effective date of November 1, 1994 . (d) To regular employees and officers of the city who shall have retired from service under any city pension system subsequent to November 1, 1994 and who were participants in the plan on the date of retirement, group life insurance shall be payable in the amount of five thousand dollars . (d- e) To the estate or designated beneficiary of any regular employees and officers of the city, excluding retirees and pensioners, who are eligible to receive death benefits under section 5B of Ordinance No. 845, there shall be payable an amount equal to the difference between the primary life insurance benefit provided in subsections (a) , (b) and , (c) , and (d) hereof, and the twenty thousand dollar service- connected accidental death benefit provided in section 5B of Ordinance No. 845. Such payment in excess of the primary life insurance benefit shall be in lieu of the lump sum payment provided in section 5B of Ordinance No. 845 . (Ord. No. 1357; Ord. No. 1503, § 3 ; Ord. No. 1712 . § 2 . Ord. No. 1811, § 1 . ) SECTION 2. That Section 2-64, Article V, Chapter 2 of the Miami Beach City Code, entitled "Contributions" , be amended to read as follows : Sec. 2-64 . Contributions. a. Member. The contribution of a member shall be one-half of the cost of the benefits provided for in the agreements as such costs are determined by the board, except for the retirees ' additional life insurance subsequent to November 1, 1994 . The additional four thousand dollars life insurance coverage shall be paid fully by the retiree. b. City. The contribution of the city on behalf of the members shall be one-half of the cost of the benefits provided for in the agreements as such costs are determined by the board. The city shall continue to contribute at the same rate for members who are on approved leaves but shall make no contribution on behalf of members who are absent from their duties without approved leave. The city shall continue to 9 contribute at the same rate on behalf of members who have retired and who elect to continue their agreements, except for the retirees ' additional four thousand dollars life insurance coverage, subsequent to November 1, 1994 . The board shall ascertain annually the total amount of the contribution to be made by the city on behalf of the members of this plan and shall certify such amount, together with an estimate of administrative costs, to the city manager for his review, recommendations and submission to the city commission for their approval and inclusion in the annual budget. (Ord. No. 1357; Ord. No. 90-2680, § 9 . ) SECTION 3 . SEVERABILITY. If any section, subsection, sentence, clause, provision, or phrase of this Ordinance is held to be invalid or unconstitutional by any court of competent jurisdiction, then said holding shall in no way affect the validity of the remaining portions of this Ordinance. SECTION 4 . REPEALER. All Ordinances or parts of Ordinances in conflict herewith be and the same are hereby repealed. SECTION 5. EFFECTIVE DATE. This Ordinance shall take effective ten (10) days after its adoption on 15th day of October , 1994 . PASSED and ADOPTED this 5th day of October 1994 . �,� imd M yor ATTEST: Cl(�r1v� ITY CLERK -ORM APPROVED 1st reading 9/26/94 LEGAL DEPT, 2nd reading 10/5/94 By Date i'- / 5' Underlined words are added. Ovcrotruck words are deleted. CITY OF MIAMI BEACH CITY HALL 1700 CONVENTION CENTER DRIVE MIAMI BEACH FLORIDA 33139 COMMISSION MEMORANDUM NO. 7.39-W- TO: Mayor Seymour Gelber and DATE: October 5, 1994 Members of the City Commission FROM: Roger M. Carlton City Manager SUBJECT: ORDINANCE AMENDING CHAPTER 2 OF THE CITY OF MIAMI BEACH CITY CODE RELATING TO EMPLOYEES' GROUP LIFE INSURANCE PLANS ADMINISTRATION RECOMMENDATION: The Administration recommends that the Mayor and City Commission adopt on second reading the attached Ordinance which amends Miami Beach City Code Chapter 2, Article V, Section 2-26 and Section 2-64, entitled "Benefits" and "Contributions" respectively. BACKGROUND: Pursuant to Miami Beach City Code, Chapter 2, Article V, Section 2-62 and Section 2-64, retirees are only eligible for one thousand dollars ($1,000) life insurance coverage. The premium contributions are paid half by the retirees and the other half by the City. Due to the high cost of living in today's economy,many retirees have inquired about additional life insurance coverage through the City of Miami Beach. The City's Administration prepared the group basic, supplemental, accidental death and dismemberment plans bid specifications, with t'-e bid objectives and benefits changes requested being developed in conjunction with the Grcup insurance Board which is comprised of administration, employee and retiree representatives. The First Reading of this Ordinance was held on September 26, 1994. ANALYSIS: 59 On June 30, 1994, the Group Insurance Board recommended amending the Miami Beach City AGENDA ITEM — 3- DATE 1 0-5 G } ORDINANCE AMENDING CHAPTER 2 October 5, 1994 Page 2 Code,Article V, Section 2-62 and Section 2-64, by increasing the retiree life insurance benefits to a total of five thousand dollars ($5,000). The City and retirees will each continue to pay one-half of the premium for the one thousand dollar ($1,000) coverage. However, the premium for the additional four thousand dollars($4,000)coverage will be fully paid by retirees with no contribution from the City. Retirees who are presently covered for life insurance coverage will have a one-time opportunity to increase their present coverage to five thousand dollars ($5,000). However,those who retire on or after November 1, 1994, may elect to continue their life insurance coverage through the City of Miami Beach at five thousand dollars ($5,000). CONCLUSION: As this Ordinance would provide additional life insurance coverage for retirees at no additional cost to the City,the Administration recommend the Mayor and City Commission adopt this Ordinance on the Second Reading. RMC:TCA:DMR:mdc 60 1 v U •r1 �+ 4J qj }d r-1 Q Pa O\ - N N N U 1 �- $s cd O• N }-i .0 a. u) o cd 0 i-1 z H -t4V z w v H V W 4-I 1-4 . V a or-1 A D, O •r1 }� V C7 • W▪ u . N v • • OU O • A -I • a • • a w • c I