VEBA III Clause Samples
The VEBA III clause establishes the terms and conditions for a Voluntary Employees' Beneficiary Association (VEBA) trust, specifically the third iteration or version of such an agreement. This clause typically outlines how the trust is funded, managed, and used to provide employee benefits such as health care or life insurance, often specifying eligibility, contribution requirements, and the rights of beneficiaries. By clearly defining the structure and administration of the VEBA trust, this clause ensures that employee benefits are managed in compliance with legal requirements and that both employers and employees understand their respective obligations and entitlements.
VEBA III. In the January pay packet, the District will notify all employees who qualify for inclusion in a VEBA plan. The District will also notify the Association. Notification will include a list of employees who qualify and an agreement-to-participate form, with a one- week deadline for submitting the form to the District Office. If all who are eligible agree to participate, then the District Office will enroll the qualified employees in VEBA III and make arrangements as necessary for the transfer of sick leave to VEBA III accounts. In the event that all qualified do not submit their forms to the District Office by the deadline, or that there is not unanimous agreement to participate, the Association President will be notified within two (2) days. The Association will prompt employees to return their paperwork and/or arrange a meeting to gain consensus among the group of eligible employees. When consensus has been achieved, the Association will notify the district to proceed with enrollment.
VEBA III. The Yakima School District has adopted the VEBA III Sick Leave conversion Medical Reimbursement Plan (the "Plan") pursuant to RCW 28A.400.210 and agrees to make contributions to the Plan on behalf of all employees in the collective bargaining unit who are eligible to participate in the Plan by reason of having excess sick leave conversion rights. Contributions on behalf of each eligible employee shall be based on the conversion value of sick leave days accrued by such employee available for contribution on an annual basis and at retirement in accordance with the statute. It is understood that all eligible employees will be required to sign and submit to the District a hold harmless agreement complying with the statute. If an eligible employee fails to sign and submit such agreement to the District, he/she will not be permitted to participate in the Plan at any time during the term of this agreement, and any and all excess sick leave which in the absence of this agreement would accrue to such employee during the term hereof shall be forfeited together with all cash conversion rights that pertain to such excess sick leave.
VEBA III. 4.3.1 A certificated employee retiring may have his/her sick leave buyout payments remitted directly to a sick leave conversion program selected by the Association. Such program will provide reimbursement of medical, dental and vision expenses, if the employee completes the enrollment form and signs a hold harmless provision. Any retiring certificated employee participating in the sick leave conversion program shall hold the District and the Association harmless should the IRS find that the District or the employee is in debt to the United States government for not paying income taxes due on any amounts or as a result of the District not withholding or deducting any tax, assessment, or other payment on such funds as required by federal law. Neither the District nor the Association makes any representations or warranties with respect to the tax consequences of the program nor to the ability of the program sponsor or insurer to fulfill its obligations under the program.
4.3.2 Any eligible certificated employee who does not wish to sign the hold harmless provision will not be permitted to participate in the plan at any time during the term of this agreement, and any and all excess sick leave which in the absence of this agreement would accrue to such employee during the term hereof, shall be forfeited together with all cash conversion rights that pertain to such excess sick leave.
VEBA III. In the January pay packet, the District will notify all employees who qualify for inclusion in a VEBA plan. The District will also notify the Association. Notification will include a list of employees who qualify and an agreement-to-participate form, with a one- week deadline for submitting the form to the District Office. If all who are eligible agree to participate, then the District Office will enroll the qualified employees in VEBA III and make arrangements as necessary for the transfer of sick leave to VEBA III accounts. In the event that all qualified do not submit their forms to the District Office by the deadline, or that there is not unanimous agreement to participate, the Association President will be notified within two (2) days. The Association will prompt employees to return their paperwork and/or arrange a meeting to gain consensus 2413 2414 2415 2416 2417 2418 2419 2420 2421 2422 2423 2424 2425 2426 2427 2428 2429 2430 2431 2432 2433 2434 2435 2436 2437 2438 2439 2440 2441 2442 2443 2444 2445 2446 2447 2448 2449 2450 2451 2452 2453 2454 2455 2456 2457 among the group of eligible employees. When consensus has been achieved, the Association will notify the district to proceed with enrollment.
VEBA III. Provide that in February of each contract year, the district will purchase VEBA III benefits for all members of the group who are eligible to convert, and who elect to convert unused sick leave from the previous year. Plus, upon retirement of any covered employee during the term of the contract, the district will use sick leave conversion funds to provide VEBA III benefits for the retiree.
VEBA III. The VEBA III Plan is a pre-retirement and post-retirement health reimbursement plan. VEBA III Plan enables the district to use funds that would otherwise be paid to eligible employees for unused sick leave cash-outs to instead be deposited tax-free into the employee’s VEBA Trust account. In addition, the bargaining unit has the option to make monthly mandatory employee contributions. The VEBA III Plan must annually be adopted/renewed for 1) retirement, 2) annual sick leave cash-out contributions, and/or 3) mandatory employee contributions in order to be in effect.
VEBA III. 13 The parties mutually agree that VEBA III shall be available to members of the bargaining unit. The