HomeMy WebLinkAboutMO #2838MUNICIPAL ORDER NO. 2838
A MUNICIPAL ORDER APPROVING AND ADOPTING THE CITY OF PADUCAH SELF-
INSURED RETIREE LIFE INSURANCE PLAN DOCUMENT, AND AUTHORIZING THE
MAYOR TO EXECUTE ALL DOCUMENTS RELATED TO SAME
BE IT ORDERED BY THE BOARD OF COMMISSIONERS OF THE CITY OF
PADUCAH,KENTUCKY:
SECTION 1. The City of Paducah, through Ordinance and other contractual
obligations, provides retirees with the option of continuing their group life insurance. An
employee participating in the group life insurance plan may continue coverage in the amount of
$4,000, for which the retiree shall pay fifty percent (50%) of the total monthly premiums. In no
event shall the City pay more than 50% of any such premium.
SECTION 2. The City no longer has an insurance company to provide this life
insurance policy, and is now moving this obligation to a self-insured plan document. Said plan
document will provide the same benefits as mentioned in Section 1 hereinabove. (See Exhibit
"A" attached hereto and made a part hereof.)
SECTION 3. That the City of Paducah Self -Insured Retiree Life Insurance Plan
Document shall become effective January 1, 2024.
SECTION 4. This expenditure will be charged to Life Insurance Retirees
Account 1000 3501 524280.
SECTION 5. This order shall be in full force and;.(feet from and after the date of
its adoption. D
7
George Bray, Mayor
ATTP
L,
Lindsay Pari ,City Clerk
Adopted by the Board of Commissioners, December 12, 2023
Recorded by Lindsay Parish, City Clerk, December 12, 2023
\mo\Self-Insured Retiree Life Insurance Plan Document
CITY OF PADUCAH
RETIREE DEATH BENEFIT PLAN
Effective January 1, 2024
#234841597v3<ACTIVB> - City of Paducah Death Benefit Plan
Document Ref D3LIA-WAKEC-Q7MEZ-V02GB'
CITY OF PADUCAH
RETIREE DEATH BENEFIT PLAN
INTRODUCTION
The City of Paducah, Kentucky (the "City") has heretofore provided death benefits on
behalf of retired employees of the City through life insurance contracts. The City hereby
establishes this Retiree Death Benefit Plan (the "Plan") to provide the death benefits described in
this instrument. This Plan is intended to fulfill the City's obligations under City Ordinance 2009-
4-7530, Section 78-40, and as provided under the collective bargaining agreements between the
City and the IAFF, dated March 14, 2023, and the City and the FOP, dated April 11, 2023. In
providing this Plan, the City hereby modifies its retiree life insurance program by self-insuring
such death benefits by the City.
ARTICLE L BENEFITS
1.1 Death Benefit. A benefit of $4,000 will be paid to the beneficiary of an Eligible
Retiree (defined below) upon the death of the Eligible Retiree.
1.2 Eligibility. An individual who has retired from employment with the City is
eligible for benefits under this Plan as an "Eligible Retiree" if they qualify for retirement under
the Kentucky Public Pensions Authority (KPPA), according to criteria set by the retirement plan
they are enrolled in. The original hire date of an employee determines the retirement plan they
are enrolled in and the qualifications for meeting retirement eligibility requirements under that
plan.
1.3 Eligibility Termination. An Eligible Retiree will cease to be eligible for benefits
under the Plan on the date that the Eligible Retiree begins active duty in the Armed Forces,
National Guard or Reserves of any state or country (except for temporary active duty of 31 days
or less), or (b) returns to employment with the City. Eligibility will cease if premiums for the
Eligible Retiree are not paid by the due date set forth each year.
1.4 Beneficiary Designation. Death benefits under the Plan are payable to the
beneficiary designated by the Eligible Retiree in writing and in accordance with the procedures for
designation maintained by the City. An Eligible Retiree may change a beneficiary in writing under
the procedures established by the City. If a beneficiary is not designated, or the designated
beneficiary does not survive the Eligible Retiree, the beneficiary will be deemed to be the
following, in respective order:
(a) Surviving spouse of the Eligible Retiree;
(b) If there is no surviving spouse, the surviving children of the Eligible Retiree
(natural and adopted children) in equal shares;
(c) If there is no surviving spouse and no surviving children, the surviving
parents in equal shares;
-_-
Document ReED3LIA-WAKEC-07MEZ-V02GB`
(d) If there is no surviving spouse, no surviving children, and no surviving
parents, the death benefit will be paid to the estate of the Eligible Retiree.
1.5 Expenses. The City may in its discretion pay up to $2,000 to any person or entity
that has incurred expenses related to the death and subsequent burial of the Eligible Retiree. This
amount if paid will be deducted from the amount of the death benefits payable.
ARTICLE II. ADMINISTRATION
2.1 In General. This Plan will be administered by the City (as the "Plan Administrator")
or the office or committee established by the City to serve as the Plan Administrator. The authority
of Plan Administrator shall include, but shall not be limited to, the following:
(a) To establish such rules and regulations as it deems necessary or proper for
the efficient administration of the Plan and for the payment of benefits thereunder.
(b) To interpret the Plan, decide all questions concerning the eligibility of
persons to participate in the Plan, make findings of facts and construe any ambiguous
provision, correct any defect, supply any omission, or reconcile any inconsistency, in such
manner and to such extent as the Plan Administrator in its discretion may determine; and
any such action will be binding and conclusive upon all persons.
(c) To appoint such agents, counsel, accountants, consultants, and other
persons as may be required or desirable to assist in administering the Plan, including,
without limitation, employees of the City.
2.2 Indemnification. The City shall indemnify and save harmless the City's officers,
directors, employees, agents, heirs, executors and assigns, from and against any and all loss,
damage, action, fee, cost, claim, liability, proceeding, or expense (including reasonable attorneys'
fees) to which such indemnified parties may be subjected arising out of, resulting in whole or in
part from, or otherwise related to any act, conduct, or inaction (except willful or reckless
misconduct), in their official capacities in the administration of the Plan.
ARTICLE III. CLAIM PROCEDURES
3.1 Claims Filing Procedure. Claims for benefits under this Plan shall be administered
in accordance with the claims procedure described in this Article III. For purposes of this Article,
a "Claim" is any request for a Plan benefit, made by a claimant or by a representative of a claimant
that complies with the Plan Administrator's reasonable procedure for making benefit claims. The
Plan Administrator may designate certain person(s) to administer the Plan (i.e., Claims
Administrator) with the same rights and discretionary authority as the Plan Administrator.
(a) When Claims Should Be Filed. Claims must be filed with the Plan
Administrator within 90 days of an event that gives rise to a Claim under the Plan. Claims
filed later than that date will be declined unless:
Document Ref: D3LIA-WAKEC-Q7MEZ-V02GB
(1) It is not reasonably possible to submit the Claim in that time; and
(2) A Claim is submitted as soon as reasonably possible and within one
year from the date incurred. This one-year period will not apply when the person is
not legally capable of submitting the claim.
The Plan Administrator may require an examination by a physician selected by and at the
expense of the Plan Administrator. Unless prohibited by law, the Plan Administrator may
also require an autopsy to process a Claim at the expense of the Plan Administrator.
(b) Additional Information. The Plan Administrator will notify the Claimant
with 15 days of receiving a Claim if additional information is needed to process the Claim.
The Claimant will have no less than 30 days to provide such information.
3.2 Notice to Claimant of Adverse Determinations. The Claims Administrator shall
provide written or electronic notification of any adverse benefit determination within 90 days of
receiving a Claim, unless an extension is required to make a determination, which may be no
longer than an additional 90 days. The notice will state, in a manner calculated to be understood
by the claimant:
(a) The specific reason or reasons for the adverse determination.
(b) Reference to the specific Plan provisions on which the determination was
based.
(c) A description of any additional material or information necessary for the
claimant to perfect the Claim and an explanation of why such material or information is
necessary.
(d) A description of the appeal procedures and time limits applicable to an
appeal, including the right to request an appeal within 60 days and the right to bring a civil
action following the appeal process.
3.3 Appeals. When a Claimant receives an adverse benefit determination, the Claimant
has 60 days following receipt of the notification from the Plan Administrator in which to appeal
the decision. The Plan Administrator will respond no later than 60 days following receipt of the
request for an appeal, unless the Plan Administrator determines that an extension is required, in
which case the Claimant will be notified in writing of the extension prior to the termination of the
initial appeal period. In no event will the extension exceed 60 days from the end of the initial
appeal period. The extension notice will indicate the special circumstances requiring the extension
and the date by which the Plan Administrator expect to render the appeal decision.
(a) The Claimant will be provided with the following when a decision is made
on appeal: (1) information regarding the decision; and (2) information regarding other
internal or external appeal or dispute resolution alternatives, including any required state
mandated appeal rights.
Document Ref: DKIA-WAKEC-WMEZ-V02GIB
(b) The period of time within which an appeal decision is required to be made
will begin at the time an appeal is filed, without regard to whether all the information
necessary to make an appeal decision accompanies the filing. If a period of time is extended
as described above due to the Claimant's failure to submit information necessary to decide
a claim, the period for making the appeal decision shall be "tolled" or suspended from the
date on which the extension notice is sent until the earlier of (1) the date on which the Plan
Administrator receives the response; or (2) the date established by the Plan Administrator
in the notice of extension for the furnishing of the requested information.
ARTICLE IV. PLAN AMENDMENT OR TERMINATION
4.1 Amendment or Termination. The City may amend the Plan in order to add or delete
any benefit, implement employee contributions or change the amount or percentage of any
required employee contributions, or otherwise change the terms of the Plan at any time without
prior notice to any person. The City further reserves the right to terminate the Plan at any time
without the consent of or advance notice to any person. Any amendment or termination shall
subject to and conform to the requirements of applicable law.
4.2 Procedure. Any amendment or termination of the Plan or of a Component Plan must
be in a writing that is adopted by the City for the purposes stated in the writing. The effective date
of the amendment or termination shall be the effective date stated in the writing or, if no effective
date is indicated, the date that the writing is adopted by the City. The adoption of an amendment
or termination must be approved by the applicable administrative procedures regulations that are
applicable to the City with respect to the Plan.
ARTICLE V. GENERAL PROVISIONS
5.1 Costs and Expenses. The costs and expenses of administration of the Plan shall be
paid by the City.
5.2 Limitation of Rights. Neither the establishment of the Plan nor any amendment
thereof, nor the payment of any benefits, will be construed as giving to any Participant or other
person any legal or equitable right against the City except as provided herein. The .Plan will not be
deemed to constitute a contract between the City and any Participant, or to provide any Participant
or Employee with a right to continued employment. Nothing contained in this Plan shall be deemed
to give any Participant or Employee the right to be retained in the service of the City or to interfere
with the right of the City to discharge any Participant or Employee at any time regardless of the
effect that such discharge shall have upon him as a Participant of this Plan.
5.3 Governine Law. The Plan and each Component Plan will be construed and enforced
in accordance with the applicable ordinances of the City of Paducah and the laws and regulations
of the State of Kentucky.
5.4 Lost Payee. Any amount due and payable to an Eligible Retiree or Beneficiary shall
be forfeited if the Plan Administrator, after reasonable effort, is unable to locate the Eligible
Document Ref: D3LIA WAKEC-Q7MEZ V02GB
Retiree or Beneficiary to whom payment is due. The Plan Administrator shall prescribe uniform
and nondiscriminatory rules for carrying out this provision.
[Execution Page Follows]
Document Rei,. D3LIA WAKEC-07MEZ VO2GI3
IN WITNESS WHEREOF, the City has adopted this instrument as the City of Paducah
Retiree Death Benefit Plan, effective as of the date first written above.
6
Document Ref D3LIA-WAKEC-Q7MEZ-V02GB
CITY OF PADUCAH, KENTUCKY
Title: George Bray, Mayor
Signature Certificate
Reference number D3LIA-WAKEC-Q7MEZ VO2GB
Signer - Timestamp Signature
George Bray --
Email:gbray@paducahky.gov
Sent: 13 Dec 202319:53 UTC
Vi
ewed 13 Dec 2023 19:5:52:08 UTC
Signed: 13 Dec 2023 19:52:39 UTC
Recipient Verification: IP address: 199.35.135.194
✓Email verified 13 Dec 2023 19:52:08 UTC Location: Paducah, United States
Documentcompletedby all parties on:
13 Dec 2023 19:52:39 UTG
Page 1 of 1.
Signed with PandaDoc
PandaDoc Is a document workflow and certified eSignature
solution trusted by 50,000+ companies worldwide: ❑� f