92-126
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RESOLUTION NO. 126 -92
A RESOLUTION AMENDING THE HEALTH CARE REIMBURSEMENT PROGRAM
PORTION OF THE SHOREWOOD CAFETERIA PROGRAM
WHEREAS, the Shorewood City Council established the
Shorewood Cafeteria Program effective January 1, 1990; and,
WHEREAS, the Health Care Reimbursement Program portion of
that program set a maximum participation ceiling of $1,000 per
employee per program year; and,
WHEREAS, the City Council has reviewed the program and
determined it in the best interests of the City and its employees
to amend the maximum participation ceiling.
THEREFORE, BE IT RESOLVED by the City Council of
Shorewood to amend the Health Care Reimbursement Program portion of
the Shorewood Cafeteria Program to allow a maximum participation of
$1,500 per employee per program year.
ADOPTED BY THE CITY COUNCIL OF THE CITY OF SHOREWOOD this 14th day
of December, 1992.
ATTEST:
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MAYOR
Barb Brancel
COUNCI L
Kristi Stover
Bob Gagne
Rob Daugherty
Daniel Lewis
, CITY OF
SHOREWOOD
5755 COUNTRY CLUB ROAD . SHOREWOOD, MINNESOTA 55331 . (612) 474-3236
MEMO
TO:
MAYOR AND COUNCILMEMBERS
AL ROLEK {If!--
FROM:
DATE:
DECEMBER 7, 1992
INCREASE IN MAXIMUM SECTION 125 HEALTH CARE REIMBURSEMENT
CONTRIBUTION
RE:
The ciuy Council established the Shorewood Caf~teria Progra~ in
1990. This program allows employees who participate to witphold
part of,thefr salary to pay for insurance prendums, health care
costs and dependent care costs with pre-tax dollars. The program
is of benefit to both the employee and the city in that no taxes,
including FICA, are withheld from the dollars contributed to the
pre-tax p~an.
At the time/the program was established, the Council set a maximum
withholding of $1,000 per employee per program year for the Health
Care Reimbursement Program.: There has beep interest by employees
to increase the maximum to $1,500 per employee per program year.
Because the program has worked very weLl in the past ~hree years,
and because the City saves FICA contributions on these
contributions, this would be a win/win proposal for the City and
its employees.
It is, thel$efore, recommended that the . City Council amend the
Shorewooa,. Cafeteria Program to allqw paI'ticipation in, the Health
Care Reimbursement Program toa maximum of $1, 500 p~r employee per
program year. A resolution which would amend the program is
incluqed in your council agenda/packet.
Should you have any question relative to this matter, please give
me a call.
A Residential Community on Lake Mitmetonka's South Shore