Common use of HEALTH PLANS AND LIFE INSURANCE Clause in Contracts

HEALTH PLANS AND LIFE INSURANCE. 14.1 FLEXIBLE BENEFIT PLAN Effective January 1, 1993, pursuant to Section 125, Section 105, Section 106 and Section 129 of the Internal Revenue Code, the City established the City of Piedmont Flexible Benefit Plan to provide taxable and non-taxable benefits to its employees and to permit employees to choose which of the benefits they wish to receive. The City shall maintain the Flexible Benefit Plan which includes accounts for health care expenses, dependent care expenses and premium contributions. The City may pay the employer contribution toward medical premiums (less the statutorily mandated PEMHCA minimum paid directly to CalPERS) through the Flexible Benefit Plan. The parties understand that the City’s use of the Flexible Benefit Plan as a vehicle for its premium contributions does not change the City or employee’s contribution to medical insurance premiums as described in this Section 14.