Approval of an Amendment to the Existing Professional Services Agreement with Hanson Bridgett LLP to Establish a Health Reimbursement Arrangement for Retiree Medical Payments in an Amount Not To Exceed $25 000. Item Number: C 2 City of Culver City California Agenda Item Report Meeting Date: 02/06/12 CITY COUNCIL AGENDA ITEM: Approval of an Amendment to the Existing Professional Services Agreement with Hanson Bridgett LLP to Establish a Health Reimbursement Arrangement for Retiree Medical Payments in an Amount Not To Exceed $25 000. Phone Number: (310)253 5865 Contact Person/Dept.: Jeff Muir Finance General Fund: Yes X No Fiscal Impact: Yes X No Public Hearing: Attachments: Public Notification: (E Mail) Meetings and Agendas City Council (02/03/12); (E Mail) Hanson Bridget LLP (02/02/12) Department Approval: Jeff Muir (02/02/12) Chief Financial Officer Approval: Jeff Muir (02/02/12) City Attorney Approval: Carol Schwab (by H. Baker) (02/02/12) City Manager Approval: John M. Nachbar (02/03/12) Action Item: RECOMMENDATION: Staff recommends the City Council approve an amendment to the existing professional services agreement with Hanson Bridgett LLP to establish a Health Reimbursement Arrangement for retiree medical payments in an amount not to exceed $25 000. BACKGROUND: The City provides certain medical benefits through CalPERS to current employees and retirees consistent with the Public Employees Medical and Hospital Care Act (PEMHCA). To minimize the future costs of retirees PEMCHA benefits the City recently adopted PEMHCA s equal contribution structure under which the City must pay only the statutory minimum contribution for active employees and retirees (currently $108 per month). Current premiums for medical coverage under PEMHCA are more expensive than $108 per month. For current employees the City adopted a cafeteria plan which provides active employees additional dollars for use toward the costs of additional benefits including medical premiums. For retirees th...
Click here for full text