City of Oak Creek

Common Council Report

Meeting Date: March 4, 2003

Recommendation: That the Council approve the Health Insurance Reimbursements For Military Personnel policy.

Background: The City adopted a policy on Military Leave of Absence in 1999 which is consistent with the Federal law and the labor agreements. At different times before and after the adoption of that policy, the City bargained the issue of military leave. The results of that bargaining left our policy and contracts unchanged.

This policy provides for the reimbursement of out of pocket expenses for the dependents and spouses of City employees called to active duty. The maximum in-network out of pocket cost for military personnel is $1,000 per year. This policy reimburses activated military employees up to that amount.

This policy would fund those costs from the self-funded plan. Our insurance policy excludes medical costs directly related to military action, so the exposure for the City is only for dependents. The City has a $60,000 exposure for each spouse and dependent.

This policy was discussed at several meetings by the Personnel Committee and is recommended for approval.

Fiscal Impact: The potential cost for reimbursements can be funded from the Health Insurance Fund balance.

Respectfully submitted,

Robert L. Kufrin

City Administrator

Fiscal Review by:

Beverly A. Buretta, CMC

City Clerk

File name: S:\CLERK\COMMON COUNCIL AGENDAS\2003\03-04\Health Insurance For Military.Doc

Print Date: 2/27/2003 9:37 AM