HomeMy Public PortalAbout1985_02_27_O004The Town of Leesburg in Virginia
ORDINANCE NO.
AN ORDINANCE:
PRESENTED February 27, 1985
85-0-4 ADOPTED February 27, 1985
AMENDING SECTION 12.1-49.2 OF THE TOWN CODE REGARDING THE EMPLOYEE
OPTIONAL BENEFITS PROGRAM
WHEREAS, in 1982 the Leesburg Town Council adopted an optional benefits program
for the employees of the town; and
WHEREAS, recent regulations promulgated by the Internal Revenue Service re-
quire adjustments in the structure of the adopted optional benefits program; and
WHEREAS, these adjustments will not require additional funds:
THEREFORE, ORDAINED by the Council of the Town of Leesburg in Virginia as
follows:
SECTION I. Article 17, Employee Benefits, of Chapter 12.1 of t'he Town Code,
Section 12.1-49.2 thereof, is repealed and a revised Section 12.1-49.2 is adopted
to read as follows:
Section 12.1-49.2 Employee Optional Benefit Program.
(a)
Ail full-time employees are eligible to participate in an optional bene-
fit program which is hereby established. Subject to annual appropriations
the amount available for each employee shall be $500. The plan will be
administered by the town manager under the following policies:
(1)
The plan will be administered on a fiscal year basis. New employees
are eligible to participate in this program following six months of
service.
(2)
Prior to the beginning of the fiscal year, each employee shall
select his or her optional benefits for the ensuing year from
those available. The optional benefits selected cannot be
changed during the fiscal year unless the employee has had a
change in family status such as marriage, divorce, death of
immediate family member, birth or adoption of a child or a
change in the employement of spouse.
(3)
Employees may select from both non-taxable and taxable benefits
annually. No part of any unused optional benefit may be
carried over to subsequent fiscal years.
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EMPLOYEE OPTIONAL BENEFITS PROGRAM
(b)
(4)
Benefits shall be paid twice per fiscal year on
December 31 and June 30 based on requests for reimbursement
to be received by the Department of Finance no later than
December 15 and June 15, respectively. Employees electing
to use the benefit for dependent or family group health/
major medical premiums payments will have the pro rata amount
of the premium applied to the biweekly payroll deduction for
hospitalization/major medical insurance. Requests :for reimburse-
ment must include documentation supporting the costs to be
reimbursed. This documentation will include paid receipts,
cancelled checks and/or other evidence to support the claim
as approved by the town manager.
Employees are authorized to select any of the following benefits in
any combination up to a maximum amount of $500. Ail benefits under
the heading of "non-taxable" will not be subject to federal and state
income taxes or social security withholding. Benefits under the heading
"taxable" are subject to federal and state income taxes and social se-
curity withholding.
NON-TAXABLE BENEFITS
(1)
(2)
Group life insurance. Additional amounts of group life insurance
may be selected in $10,000 increments up to $40,000 exclusive of
the $10,000 of insurance available to all full-time employees.
Spouse or dependent health care insurance. Coverage up to $500
of the total annual premium for family or dependent hospitalization/
major medical coverage under the town's group plan may be selected.
(3)
Medical expense reimbu~sement:~ EmpIsyeesmay elect to receive
reimbursements for medical expenses incurred by immediate family
members not covered in whole or in part by payments under the
town's major medical/hospitalization group plan. These expenses
include the professional services of a physician, dentist,
ophthalmologist, psychiatrist, optician, psychologist, family
counselor, chiropractor, any prescribed or required diagnostic
examination, prescribed drugs or medical, ophthalmological or
dental devices or applicances.
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EMPLOYEE OPTIONAL BENEFITS PROGRAM
(4)
Life insurance. Additional amounts of group life insurance
may be selected in increments of $10,000 for coverages ex-
ceeding $50,000.
(5)
Health club memberships. Employees may elect to seek
reimbu~ement for individual memberships to health, fitness
and/or swim clubs whose purpose is to promote physical fit-
ness. Examples of eligible activities include swimming pool
memberships, aerobic and/or weight training programs. Speci-
fically excluded are dues and membership fees for country
clubs, golf courses, tennis and other racket sports.
Employees selecting taxable benefits shall have an obligation to report
the value of this benefit on their income tax return and to pay all applicable
federal and state income taxes as appropriate.
SECTION II. Ail prior ordinances and resolutions in conflict are hereby
repealed.
SECTION III. This ordinance shall be in effect upon its passage.
PASSED this 27th day of February , 1985.
~harles ~. Williams, Vice-Mayor
Town of Leesburg
ATTEST:
Clerk of Council ' '