[Added 5-10-2010 by Ord. No. 2010-09 (1081)]
Notwithstanding the provisions of any other law to the contrary,
any employee of the Borough of Lavallette who is eligible for other
health care coverage may waive coverage under the State Health Benefits
Program to which the employee is entitled by virtue of employment
with the Borough of Lavallette.
The waiver shall be in such form as the Director of the Division
of Pensions and Benefits for the State of New Jersey shall prescribe,
shall be readily available from the Office of the Borough Administrator
and Borough Clerk, and shall be filed with the Division of Pensions
and benefits and the Office of the Borough Clerk.
After such waiver has been filed and for so long as that waiver
remains in effect, no premium shall be required to be paid by the
employer for the employee who has waived such benefits or the employee's
dependents.
In consideration of filing a waiver as permitted in § 45-31 of this article, an employer may pay to the employee annually an amount, to be established in the sole discretion of the employer, which shall not exceed 25% of the amount saved by the employer because of the employee's waiver of coverage or $5,000, whichever is less, of the amount saved by the employer because of the employee's waiver of coverage. The Chief Financial Officer of the Borough of Lavallette shall calculate the amount of savings and advise the Borough Administrator and the employee of the amount of savings. The Borough Administrator shall then determine the amount to be paid to the employee because of the employee's waiver of coverage and notify the employee of the amount. Such decision of the Borough Administrator shall be final.
Employees of the Borough of Lavallette who waive coverage as permitted in § 45-31 of this article shall receive a biweekly payment representing 1/24 of the annual savings to the Borough, in accordance with § 45-34 of this article, for the calendar year during which the waiver is filed. If an employee's application for a waiver is received by the State Health Benefits Commission by the fifth day of any given month, the employee shall receive the monthly payment described above during the following month. All payments made by the Borough of Lavallette to employees who file a waiver under § 45-31 of this article shall be made through the payroll system of the Borough of Lavallette and shall be subject to all applicable Internal Revenue Service rules and regulations and New Jersey State Department of the Treasury rules and regulations.
An employee who waives coverage shall be permitted to immediately
resume coverage if the employee ceases to be eligible for other health
care coverage for any reason, including, but not limited to, the retirement
or death of the spouse or divorce. An employee who resumes coverage
shall repay, on a pro rata basis, any amount received from the employer
which represents an advance payment for a period of time during which
coverage is resumed. An employee who wishes to resume coverage shall
notify the employer in writing and file a declaration with the Division
of Pensions and Benefits for the State of New Jersey and the Borough
Clerk and administrator that the waiver is revoked. The declaration
to resume coverage shall be in such form as the Director of the Division
of Pensions and benefits for the State of New Jersey shall prescribe
and shall be readily available from the Office of the Borough administrator
and Borough Clerk.
The decision of an employer to allow its employees to waive
coverage and the amount of consideration to be paid therefore shall
not be subject to the collective bargaining process.
As used in this article, the following terms shall have the
meanings indicated:
For the purposes of this article, any employee, officer or
official, including elected and/or appointed officials, who are eligible
for health benefits coverage through the Borough's health coverage
plan.
