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Ordinance 90-2680 ORDINANCE NO. 90-2680 AN ORDINANCE OF THE CITY OF MIAMI BEACH, FLORIDA, AMENDING MIAMI BEACH CITY CODE CHAPTER 2, ENTITLED "ADMINISTRATION", AMENDING ARTICLE IV, ENTITLED "EMPLOYEES' BENEFIT PLAN" AND ARTICLE V, ENTITLED "EMPLOYEES' GROUP LIFE INSURANCE PLAN" BY PROVIDING THAT THE CITY MANAGER SHALL DESIGNATE A GOVERNING BOARD FOR BOTH PLANS CONSISTING OF SEVEN REGULAR EMPLOYEE MEMBERS AS AUTHORIZED BY THE VOTERS AT THE NOVEMBER 7, 1989 SPECIAL ELECTION; PROVIDING THAT THE CITY FINANCE DIRECTOR SHALL REPLACE THE CITY CLERK AS TREASURER FOR BOTH PLANS AND PROVIDING THAT ALL REFERENCES TO "CITY COUNCIL" IN ARTICLES IV AND V SHALL BE REPLACED BY "CITY COMMISSION"; PROVIDING FOR A REPEALER; PROVIDING FOR SEVERABILITY; AND PROVIDING FOR AN EFFECTIVE DATE. WHEREAS, as a result of the Special Election held in the City of Miami Beach on November 7, 1989, the voters approved Amendment 3 on the ballot, amending Chapter 281 of the City Charter and Section 100 of the City's Related Laws providing that the City Manager or his designee administer the life and health plans for city officers and employees rather than the Board of Trustees of the employees' retirement system; and, WHEREAS, it is appropriate and necessary that the City Finance Director rather than the City Clerk be named Treasurer of both plans; and, WHEREAS, it is expedient and proper that all references to "City Council " be replaced by "City Commission" in these sections. NOW, THEREFORE, BE IT ORDAINED BY THE CITY COMMISSION OF THE CITY OF MIAMI BEACH, FLORIDA: SECTION 1. That Section 2-48 of Article IV, entitled "Employees' Benefit Plan" of the Miami Beach City Code, Chapter 2, entitled "Administration" be amended to read as follows: Sec. 2-48. Definitions. The following words and phrases, as used in this article, unless a different meaning is clearly indicated by the context, shall have the following meanings: Board. The governing board as provided for in this article. City. The City of Miami Beach, Florida Member. Any regular employee of the city participating in this plan. Plan. The City of Miami Beach Employees' Benefit Plan. Regular employee. Any member of the city council commission officer, department head, regular employees in the legal department employed on a full -time basis, servant or agent of the city regularly receiving compensation from the city for personal services; except unless otherwise qualified, members of boards or commissions, officers and employees who receive no salary or a nominal salary, contractual employees or persons who are employed on a provisional , original probationary or other temporary status under civil service regulations. For the purpose of this article, persons otherwise meeting this definition of "regular employee" who are granted leaves of absence under civil service procedures or by the city council commission and persons otherwise meeting this definition of "regular employee" who are injured in line of duty with the city and who are receiving compensation under the workmen's compensation law shall be considered as regular employees during such periods of absence from active duty with the city until formally separated from service with the city, and members who are retired for service or disability under any city pension system and pensioners, subject to such conditions as hereinafter specified, shall be considered employees. In all cases in which the above definition requires interpretation, the board shall decide who is a regular employee within the intent of this article. Provided, however, that no person who has attained his sixty- fifth birthday at the time of his entrance into the employment of the city shall be deemed to be a regular employee within the meaning of this article, and shall not :be deemed to be eligible for the benefits provided under the terms and provisions thereof. Provided further, however, that any employee whose employment with the city is terminated, voluntarily or involuntarily, and who, at the time of such termination of employment possesses a vested right to future pension benefits from any pension system of the city, shall not be eligible for membership in the plan herein provided for until such time as pension benefits become payable to him. (Ord. No. 1107 §1 ; Ord. No. 1316; Ord. No. 1388; Ord. No. 1803, §1 ; Ord. No. 1870, §1 ; Ord. No. 73-1964, § 1 ; Ord. No. 74-1990, §1) SECTION 2. That Section 2-50 of Article IV, entitled "Employees' Benefit Plan" of the Miami Beach City Code, Chapter 2, entitled "Administration" be amended to read as follows: Sec. 2-50. Governing board. The Governing board shall consist of the members of the board of trustees of the city pension system authorized under chapter 18691 . Laws of Florida, Acts of 1937, and shall at all times coincide in its membership with such board of trustees (Ord. No. 1107, § 1 . ) seven regular employee members designated by the City Manager. SECTION 3. That Section 2-51 of Article IV, entitled "Employees' Benefit Plan" of the Miami Beach City Code, Chapter 2, entitled "Administration" be amended to read as follows: Sec. 2-51. Administration. (a) The board shall be responsible for general administra- tion, management and proper operation of the plan and for making effective the provisions of this article. The director of personnel 2 shall furnish such clerical and other assistance as is required to enable the board to properly administer the plan. (b) The board is hereby authorized to enter into agreements, contracts or other legal arrangements with service, insurance or other similar organizations to provide hospitalization, medical and surgical benefits or any combination of such benefits; or the board may organize and operate any or all parts of the plan as a self- administered city plan. (c) The city attorney or his assistant shall be legal advisor to the board. (d) The city clerk finance director of the city shall be treasurer of the plan, and shall have custody of its funds. All payments from the funds of the plan shall be made by regular city vouchers. (e) The board shall have authority, limited by the funds provided for its operation in the city budget, to designate as consultants such specialists as medical doctors, osteopathic physicians, surgeons, actuaries,: accountants and auditors, and may fix the fees for such consulting services. (f) The fiscal year of the plan shall begin with January 1st and end with December 31st of each year, and an annual report shall be prepared covering each fiscal year's operations, which report shall be reviewed by auditors selected by the board. (Ord. No. 1107, § 1; Ord. No. 1388; Ord. No. 1503, § 1 . ) SECTION 4. That Section 2-53 of Article IV, entitled "Employees' Benefit Plan" of the Miami Beach City Code, Chapter 2, entitled "Administration" be amended to read as follows: Sec. 2-53. Membership (a) Regular employees of the city as of January 5, 1952, for a period of six months after the board and the city council commission shall first approve agreements shall have their option as to becoming members of this plan without preliminary medical examination. Such regular employees as do not elect to become members within the six-month period prescribed may later be admitted to membership subject to the passing of a medical examination by those persons proposed to be covered by such regular employee and by him and the payment of such reasonable fee as the board shall determine. (b) Persons who become regular employees of the city subsequent to January 5, 1952, may voluntarily be included in the membership of the plan without further medical examination. (c) Membership in the plan, once established, may continue so long as the member remains a regular employee. The board shall prescribe conditions under which a member who is retired under any pension system of the city and any pensioner may continue his agreement and be entitled to benefits during the period of 3 retirement or pension; provided, however, that a pensioner's right to participate in the plan shall terminate upon marriage or remarriage; and may also provide means by which members who suffer service-connected injuries and who receive benefits under the workmen's compensation law may discontinue agreements during such periods. (d) The board, with the approval of the city council commission, may make such changes in the character and kind of hospitalization, surgical service and medical service to be afforded the members as the board, from time to time, shall deem required to be made by change in circumstances and cost, and no member shall ever acquire a vested interest in the provisions for hospitaliza- tion, surgical service and medical service as may exist at any particular time. (e) In order to be eligible for Medicare benefits at the first possible date of July 1, 1966, eligible members of the city employees' benefit plan who shall be age sixty-five or over on July 1 , 1966, must register for Medicare benefits at any Social Security Administration Office on or before March 31, 1966, or lose a portion of the benefits under the city employees' benefit plan. (f) Notwithstanding anything herein to the contrary, all unclassified city employees, upon their first day of employment, and all classified employees, upon having been continuously employed for ninety days, shall be eligible to become members of the city's health plan. (Ord. No. 1107, § 1 ; Ord. No. 1388; Ord. No. 1503, § 2; Ord. No. 1583 § 3; Ord. No. 1856 § 1 ; Ord. No. 82-2309 § 3; Ord. No. 85-2496, § 3. ) SECTION 5. That Section 2-54 of Article IV, entitled "Employees' Benefit Plan" of the Miami Beach City Code, Chapter 2, entitled "Administration" be amended to read as follows: Sec. 2-54. Agreements of Members Members shall enter into agreements with the plan, which agreements shall be prepared by the board and approved by the city council commission, and which may provide for optional benefits as follows: (a) Hospitalization only. (b) Hospitalization and surgical service. (c) Hospitalization, medical service and surgical service. Such agreements may be for members only, may be for member and spouse, or may be on a family basis including spouse and unmarried children of either or both under the age of nineteen years. (Ord. No. 1107, § 1 ; Ord. No. 1388) . SECTION 6. That Section 2-58 of Article V, entitled "Employees' Group Life Insurance Plan" of the Miami Beach City Code, Chapter 2, entitled "Administra- tion" be amended to read as follows: Sec. 2-58. Definitions. 4 The following words and phrases as used in this article shall have the following meanings, unless a different meaning is clearly indicated by the context: Board. The governing board of trustees of the city employees, retirement system, administrators of the plan as provided for in Section 2-60 of this Article. City. The City of Miami Beach, Florida. Council Commission. The city council commission of the City of Miami Beach, Florida. Officers. All department heads, appointed officers and members of the city council commission. Pensioners. All regular employees who are retired from service or disability under any city pension system subsequent to December 31, 1959. Plan. The group life insurance plan. Regular employee. Any member of the city council commission, officer, department head, regular employees in the legal department employed on a full -time basis, servant or agent of the city regularly receiving compensation from the city for personal services; except unless otherwise qualified, members of boards or commissions, officers and employees who receive no salary or a nominal salary, contractual employees or persons who are employed on a provisional , original probationary or other temporary status under civil service regulations. For the purpose of this article, persons otherwise meeting this definition of "regular employee" who are granted leaves of absence under civil service procedures or by the city council commission and persons otherwise meeting this definition of "regular employee" who are injured in line of duty with the city and who are receiving compensation under the workmen's compensation law shall be considered as regular employees during such periods of absence from active duty with the city until formally separated from service with the city, and members who are retired for service or disability under any city pension system shall not be considered employees. In all cases in which the above definition requires interpretation, the board shall decide who is a regular employee within the meaning of this article. Provided further, however, that any employee whose employment with the city is terminated, voluntarily or involuntarily, and who, at the time of such termination of employment possesses a vested right to future pension benefits from any pension system of the city, shall not be eligible for membership in the plan herein provided for until such time as pension benefits become payable to him. (Ord. No. 1357; Ord. No. 1803, § 1 ; Ord. No. 1871 , §1 ; Ord. No. 73-1964, § 2; Ord. No. 74-1990, §2; Ord. No. 77-2108, § 1 . ) SECTION 7. That Section 2-60 of Article V, entitled "Employees' Group Life Insurance Plan" of the Miami Beach City Code, Chapter 2, entitled "Administra- tion" be amended to read as follows: 5 Sec. 2-60. Governing body. The governing board shall consist of the members of the board of trustees of the city pension system authorized under chapter 18691, Laws of Florida, Acts of 1937 and shall at all times coincide in its membership with such board of trustees. (Ord. No. 1357. ) seven regular employee members designated by the City Manager and shall be the same members as provided in Section 2-50, Article IV. SECTION 8. That Section 2-61 of Article V, entitled "Employees' Group Life Insurance Plan" of the Miami Beach City Code, Chapter 2, entitled "Administra- tion" be amended to read as follows: Sec. 2-61. Administration (a) The board shall be responsible for general administra- tion, management and proper operation of the plan and for making effective the provisions of this article. (b) The board shall have. full power and authority to enter into contractual obligations with insurance carriers authorized to do business in the state or by establishing a self-administered plan or by a combination thereof and to establish rates of costs based on actuarial analyses subject to the approval by the city council commission. (c) The city attorney or his assistant shall be legal advisor to the board. (d) The city clerk finance director of the city shall be treasurer of the plan and shall have custody of its funds. All payments from the funds of the plan shall be made by regular city vouchers. (e) The board shall have authority, limited by the funds provided for its operation in the city budget, to designate as consultants such specialists as medical doctors, osteopathic physicians, surgeons, actuaries, accountants and auditors and may fix the fees for such consulting services. (f) The fiscal year of the plan shall begin with January 1st and end with December 31st of each year, and an annual report shall be prepared covering each fiscal year's operations, which report shall be reviewed by auditors selected by the board. (g) The personnel division shall furnish such clerical and other assistance as is required to enable the board to properly administer the plan. (Ord. No. 1357; Ord. No. 1742, § 1 . ) SECTION 9. That Section 2-64 of Article V, entitled "Employees' Group Life Insurance Plan" of the Miami Beach City Code, Chapter 2, entitled "Administra- tion" 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 his agreements as such 6 costs are determined by the board. 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 contribute at the same rate on behalf of members who have retired and who elect to continue their agreements. 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, recommen- dations and submission to the city council commission for their approval and inclusion in the annual budget. (Ord. No. 1357. ) SECTION 10 - REPEALER. All ordinances or parts of ordinances insofar as they are inconsistent or in conflict with .the provisions of this ordinance, are hereby repealed. SECTION 11 - SEVERABILITY. If any section, part of section, paragraph, clause, phrase or word of this Ordinance is declared invalid, the remaining provisions of this Ordinance shall not be affected. SECTION 12 - EFFECTIVE DATE. This ordinance shall become effective 10 days after passage on 17th day of February _, 1990. PASSED AND ADOPTED THIS 7th day of February , 1990. Abe Resnick, Vice-Mayor 22) ATTEST: • ),LQ CITY CLERK FORM APPROVED 1st Reading 1/17/90 2nd Reading 7/90 - 35/10 L V . D E PA' IT Words which are underlined are additions; Words which are typed over are deletions. PFL:me 7 Net Zeal <gcti� FLORIDA 3 3 1 3 9 f*�INCORO/*• "VACA TIO N/A NU U. S. A. " Apj 9H 16_. OFFICE OF THE CITY MANAGER CITY HALL ROB W.PARKINS 1700 CONVENTION CENTER DRIVE CITY MANAGER TELEPHONE: 673-7010 COMMISSION MEMORANDUM NO. t4 C 1k DATE: January 17 , 1990 TO: Mayor Alex Daou. . Members of - City Corn sio/ (7 FROM: Rob W. Par.' s /�'� e, City Manager 3► SUBJECT: AN ORDINANCE •MENDING CHAPTER 2 ARTICLES IV AND V OF THE CITY CODE, PROVIDING FOR THE CITY MANAGER TO APPOINT AN ADMINISTRATIVE BOARD FOR GROUP HEALTH AND LIFE INSURANCE PLANS FOR CITY OFFICERS AND EMPLOYEES AS PROVIDED BY THE CHARTER AMENDMENT TO CHAPTER 28$AND SECTION 100 OF THE CITY'S RELATED LAWS. BACKGROUND On November 7, 1989, the voters of the City of Miami Beach adopted an amendment to Section 282 of the City Charter and Section 100 of the City's Related Laws providing for the City Manager or his designee to administer the life insurance and health plans for city officers and employees rather than the Board of Trustees of the employees retirement system. In order to implement these amendments, it is now necessary to amend appropriate sections of Chapter 2, Articles IV and V of the City Code. The seven (7) member board being proposed, shall administer both the health and life insurance plans, and consists of regular employees representing both the administration and participating employee groups. Other amendments are "housekeeping' in nature and are as follows: 1 Changing all references of "Council " to "Commission" ; and, 2 Changing the treasurer of the health and life insurance plans from the "City Clerk" to the "Finance Director" . ADMINISTRATION RECOMMENDATION The Administration recommends that the City Commission adopt the attached Ordinance, which amends Chapter 2 Articles IV and V of the City Code, providing for an administrative board for the health and life insurance plans for City officers and employees and other housekeeping amendments. PFL:me f ,END ITE11 DATE -�_� L • • bD +J W G S+ cd U) +J a) bO SSS •rl C) ,1-1 OJ OU v G +) o ,u U U > _. 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