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6.3. SR 06-15-2020
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6.3. SR 06-15-2020
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6/12/2020 9:01:04 AM
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CITY OF ELK RIVER <br />NOTES TO BASIC FINANCIAL STATEMENTS <br />DECEMBER 31, 2019 <br />NOTE 12 POST EMPLOYMENT BENEFITS OTHER THAN PENSIONS <br />A. Plan Description <br />The City provides other postemployment health insurance benefits for retired employees <br />through two defined benefit plans: Municipal Retirees Health Plan (MRHP), a single - <br />employer plan, and Utilities Retirees Health Plan (URHP), a multiemployer plan. Each <br />plan provides benefits for eligible retirees and their dependents through the City's group <br />health insurance plans, which cover both active and retired members. Since the <br />premium is a blended rate determined on the active and retiree population, the retirees <br />are receiving an implicit rate subsidy. The MRHP and the URHP do not issue publicly <br />available financial reports. <br />At December 31, 2019, the following employees were covered by the benefit terms: <br />Municipal Utility <br />Retiree Retiree <br />Health Plan Health Plan <br />Active Plan Members 124 39 <br />Active Plan Members Waiving Coverage 29 9 <br />Inactive Members or Beneficiaries Receiving Benefits 11 - <br />Inactive Members Waiving Benefits <br />Total Plan Members <br />B. Funding Policy <br />164 48 <br />Contribution requirements are reviewed at the time changes are made to the plans. <br />Benefit provisions for MRHP are established and amended by the City. The Utilities has <br />been delegated authority to establish and amend benefit provisions for URHP. Eligible <br />retirees receiving benefits are required to pay 100% of the total premium. <br />(73) <br />
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