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14.2 Hospital and Medical-Retired Employees <br /> A. Federal or State Legislation <br /> Plan Design <br /> The City reserves the right to meet and confer with the Association for the purposes of <br /> coordinating retired employees hospital and medical care in the event Federal or State <br /> legislation is implemented that effects retiree's medical insurance. <br /> B. Benefits for Medicare Eligible Retirees <br /> All retirees eligible for Medicare are required to apply for benefits when eligible to remain on <br /> the City's group health plans. Upon qualifying for and receiving parts A and B of Medicare, <br /> the City shall not be obligated to contribute a monthly amount in excess of the monthly <br /> premium for the Kaiser supplement to Medicare Health Plan through June 30, 2009. For <br /> employees who retire after July 1, 2009, the City shall not be obligated to contribute a monthly <br /> amount in excess of the monthly premium for the lowest cost HMO health plan supplement to <br /> Medicare as provided below. <br /> C. Spousal Continuation of Benefits <br /> In the event the employee is eligible for two-party coverage and the eligible employee is <br /> deceased, the amount the City is obligated to pay shall be reduced by 1/2 (one half). If the <br /> spouse remarries, the obligation by the City shall terminate. <br /> D. Plan Design for Employees Who Retire Prior to July 1, 2009 <br /> Hospital and Medical - Retired Employees <br /> Effective March 1, 1990, for all employees who retire for service after March 1, 1990 the City <br /> shall pay for each year of service with the City of Pleasanton, four percent (4%) of the monthly <br /> premium for employee and one dependent of the City's current Kaiser S-1 Health Plan <br /> coverage. Effective March 1, 1990 for all employees who retire for disability after March 1, <br /> 1990, the City shall pay a percentage of the monthly premium for employee and one dependent <br /> of the City's current Kaiser S-1 Health Plan coverage in accordance with the schedule set forth <br /> below: <br /> Years of Service City's Contribution <br /> 10 20% <br /> 11 25% <br /> 12 30% <br /> 13 35% <br /> 14 40% <br /> 15 45% <br /> 16 48% <br /> 17 51% <br /> 18 54% <br /> 19 57% <br /> 20 80% <br /> 21 84% <br /> 22 88% <br /> 15 <br />