Common use of Alternative Plans Clause in Contracts

Alternative Plans. 1. Between July 15 and November 15, 2005 the District and Union will meet to discuss possible proposals for alternative retiree health insurance plan legislation that would apply to employees hired after the effective date of the legislation. If the parties mutually agree on such proposals, they will jointly request that the state legislature and the Governor approve such legislation on an urgency basis. If the proposal becomes law the District will amend its contract with PERS to adopt the new program effective January 1, 2007 or as soon thereafter as possible for employees hired after the plan takes effect, subject to satisfaction of the following conditions. First, all other District bargaining agents must agree to amend their respective labor agreements to accommodate the change under the same overall terms as for the SEIU and ATU bargaining units. Second, District actuaries must certify that using the same actuarial assumptions, contribution assumptions and ramp up percentages set forth above: a. The actuarial projection of the ARC under the new program by the District’s actuaries demonstrates that it will not rise above the ARC under the existing program at any time and that the District’s unfunded liability for retiree medical insurance will not increase at any time. b. It will not diminish budgetary savings during the ramp up period described above. In addition, if the new plan otherwise meets the conditions set forth above, but produces additional savings as determined by the District’s actuaries, the parties shall offset employee medical contributions to the extent of such savings at the time they occur. If there are remaining projected savings after the elimination of the above employee contributions, the District and Unions shall meet to discuss further distribution of the savings for employee benefit costs.

Alternative Plans. 1. Between July 15 and November 15, 2005 the District and Union Association will meet to discuss possible proposals for alternative retiree health insurance plan legislation that would apply to employees hired after the effective date of the legislation. If the parties mutually agree on such proposals, they will jointly request that the state legislature and the Governor approve such legislation on an urgency basis. If the proposal becomes law law, the District will amend its contract with PERS to adopt the new program effective January 1, 2007 or as soon thereafter as possible for employees hired after the plan takes effect, subject to satisfaction of the following conditions. First, all other District bargaining agents units must agree to amend their respective labor agreements to accommodate the change under the same overall terms as for the SEIU and ATU bargaining units. Secondterms, second, District actuaries must certify that using the same actuarial assumptions, contribution assumptions and “ramp up up” percentages set forth above: a. The actuarial projection of the ARC under the new program by the District’s actuaries demonstrates that it will not rise above the ARC under the existing program at any time and that the District’s unfunded liability for retiree medical insurance will not increase at any time. b. It will not diminish budgetary savings during the “ramp up up” period described above. In addition, if the new plan otherwise meets the conditions set forth above, but produces additional savings as determined by the District’s actuaries, the parties shall offset employee medical contributions to the extent of such savings at the time they occur. If there are remaining projected savings after the elimination of the above employee contributions, the District and Unions Association shall meet to discuss further distribution of the savings for employee benefit costs.

Alternative Plans. 1. Between July 15 and November 15, 2005 the District and Union will meet to discuss possible proposals for alternative retiree health insurance plan legislation that would apply to employees hired after the effective date of the legislation. If the parties mutually agree on such proposals, they will jointly request that the state legislature and the Governor approve such legislation on an urgency basis. If the proposal becomes law the District will amend its contract with PERS to adopt the new program effective January 1, 2007 or as soon thereafter as possible for employees hired after the plan takes effect, subject to satisfaction of the following conditions. First, all other District bargaining agents must agree to amend their respective labor agreements to accommodate the change under the same overall terms as for the SEIU and ATU bargaining units. Second, District actuaries must certify that using the same actuarial assumptions, contribution assumptions and “ramp up up” percentages set forth above: a. The actuarial projection of the ARC under the new program by the District’s actuaries demonstrates that it will not rise above the ARC under the existing program at any time and that the District’s unfunded liability for retiree medical insurance will not increase at any time. b. It will not diminish budgetary savings during the “ramp up up” period described above. In addition, if the new plan otherwise meets the conditions set forth above, but produces additional savings as determined by the District’s actuaries, the parties shall offset employee medical contributions to the extent of such savings at the time they occur. If there are remaining projected savings after the elimination of the above employee contributions, the District and Unions Union shall meet to discuss further distribution of the savings for employee benefit costs.