Common use of Suspension of the Retiree Medical Escalator Provision Clause in Contracts

Suspension of the Retiree Medical Escalator Provision. For the two fiscal years covered by this MOU during which the parties will be engaged in the aforementioned effort, the Retiree Medical Benefit in effect for Health Eligible Retirees as codified in the SDMC, Article 4: “City Employees’ Retirement System,” Division 12: “Retiree Health Benefits,” will remain in effect in the amount set for FY09. No increase based on the annual escalator feature set forth in SDMC 24.1202, subdivision (d) will be implemented, and this feature of the benefit will be suspended. This means that an employee who retires on or after July 1, 2009, and on or before June 30, 2011, will receive the FY09 maximum Retiree Medical Benefit but that no upward adjustment will be made based on the projected increase for National Health Expenditures published by the Centers for Medicare & Medicaid Services, Office of the Actuary.

Suspension of the Retiree Medical Escalator Provision. For the two fiscal years year covered by this MOU during which the parties will be engaged in the aforementioned effort, the Retiree Medical Benefit in effect for Health Eligible Retirees as codified in the SDMC, Article 4: “City Employees’ Retirement System,” Division 12: “Retiree Health Benefits,” will remain in effect in the amount set for FY09. No increase based on the annual escalator feature set forth in SDMC 24.1202, subdivision (d) will be implemented, and this feature of the benefit will be suspended. This means that an employee who retires on or after July 1, 2009, and on or before June 30, 2011, will receive the FY09 maximum Retiree Medical Benefit but that no upward adjustment will be made based on the projected increase for National Health Expenditures published by the Centers for Medicare & Medicaid Services, Office of the Actuary.