[Adopted 1-14-2009 by Ord. No. 1454-2009; amended 4-8-09 by Ord. No. 1461-2009; 11-22-2010 by Ord. No. 1536-2010; 12-14-2016 by Ord. No. 1825-2016]
A.
Employees of the City of Perth Amboy who are eligible for health
coverage, but also have other health care coverage may waive the City's
coverage pursuant to N.J.S.A. 40A:10-17.1.
B.
The waiver request must be made on the official City of Perth Amboy
form as attached hereto and must be filed with the City Business Administrator
by December 1 of the current year to be effective January 1 of the
succeeding year. Attached to the waiver form must be proof of the
other healthcare coverage.[1]
[1]
Editor's Note: The form referred to herein may be found at
the end of this section.
C.
In consideration of the waiver, the City will pay, semiannually,
to the employee who has coverage outside of the City's plan, a cost
sharing waiver payment based on the following calculation:
The total cost of the health coverage, as determined by the
City, based on the coverage level, minus the healthcare contribution
that would have been made by the employee if coverage was not waived,
times 25%, with the maximum payment amount capped at $2,500 semiannually
(for an annual cap of $5,000).
Waiver amounts will be paid through via payroll in the second
pay period of both June and December of the year for which the waiver
was granted, with the calculation noted herein being performed based
on the employee's salary as of June 1st for the first semiannual payment
and as of December 1st for the second semiannual payment.
D.
Any employee who waives coverage shall be permitted to resume coverage
immediately under the City's plan should the alternate coverage be
terminated by submitting the same form as noted herein. The semiannual
payment amount will be pro-rated for the applicable portion.
 |
