WHEREAS, Section 13.01 of the Metropolitan Charter provides that a system of employee benefit plans, which include disability and retirement benefits and which may include medical insurance benefits, shall be adopted for officers and employees of the Metropolitan Government; and

WHEREAS, Section 13.06 of the Metropolitan Charter states that there shall be a Study and Formulating Committee that shall make a study and formulate a plan for employee benefits, which shall include disability and retirement benefits and which may include medical insurance benefits and life insurance benefits; and

WHEREAS, in 1964 the original Study and Formulating Committee recommended an employee benefit plan which included medical care benefits for retired members who were receiving a pension, as well as for officers and employees of the Metropolitan Government, and the proposed benefit plan was approved by the Metropolitan Benefit Board and adopted by the Metropolitan Council; and

WHEREAS, in 1973 the section of the Metropolitan Code that expressly stated that medical benefits were to be provided to retired members receiving a pension was inadvertently deleted, such amendment occurring without any reference in the amending ordinance that such a substantial and material change to the benefit plan was ever recommended by the Study and Formulating Committee and without any evidence that it was ever the intent of the Metropolitan Benefit Board or of the Metropolitan Council to affect the medical benefits of retired members, such contrary intent being evidenced by the uninterrupted medical benefits provided retired members in the medical insurance plans to date, as well as all communications received by employees and officers of their medical benefits upon retirement through employee benefit handbooks provided pursuant to Section 13.05(b) of the Metropolitan Charter; and

WHEREAS, the Study and Formulating Committee has recommended that this error in the Metropolitan Code of Laws be corrected by explicitly stating in the Metropolitan Code of Laws that retired employees receiving pension benefits pursuant to Chapters, 3.32, 3.33, 3.36, or 3.37 of the Metropolitan Code of Laws are entitled to medical care benefits.

NOW, THEREFORE, BE IT ENACTED BY THE COUNCIL OF THE METROPOLITAN GOVERNMENT OF NASHVILLE AND DAVIDSON COUNTY:

Section 1. That Section 3.08.010 of the Metropolitan Code is amended to add the following definition of the word, “Pensioner” that shall apply to both Division A and Division B:
“Pensioner” shall mean a disabled member who is receiving disability pension benefits pursuant to Chapters 3.28 or 3.29. “Pensioner” shall also mean a retired member who is receiving pension benefits pursuant to Chapters 3.32, 3.33, 3.36, or 3.37.

Section 2. That Section 3.12.050 of the Metropolitan Code is amended by adding the following new subsection 3.12.050.B. immediately following subsection A:

“B. A retired member shall not be entitled to receive medical benefits until the retired member begins receiving pension benefits pursuant to Chapters 3.32, 3.33, 3.36, or 3.37. Once the retired member becomes a pensioner, he shall be entitled to receive medical benefits and may continue to receive medical benefits unless he ceases to be a member pursuant to subparagraphs 1. through 3. immediately preceding this subsection B.”

Section 3. That section 3.16.010 of the Metropolitan Code is amended by amending subsection A. by inserting the phrase, “or pensioners” in the first sentence of the subsection after the word, “employees” and before the word, “shall”.

Section 4. That Section 3.16.010 of the Metropolitan Code is amended by amending subsection B. by inserting the phrase, “or pensioners” after the word, “employee” and before the word, “contribution” in the first sentence of the subsection.

Section 5. That Section 3.16.020 of the Metropolitan Code is amended by deleting subsection A. in its entirety and substituting in lieu thereof the following new subsection:

“A. Only covered members who are eligible employees or pensioners and are covered for medical care benefits in accordance with Chapter 3.24 shall pay employee contributions or pension deductions for medical care benefits for each payroll or pension period during which he is covered for such benefits. The board shall establish, in its discretion, a contribution rate for life insurance benefits, a contribution rate for medical care benefits, and a contribution rate for dental care benefits for covered members.

Section 6. That Section 3.16.020 of the Metropolitan Code is amended by amending subsection C. by inserting the phrase, “and covered pensioner” between the word, “employee” and the word, “shall” in this subsection.

Section 7. That Section 3.16.020 of the Metropolitan Code is amended by amending subsection D. by inserting the phrase, “and pensioners” in the first sentence after the phrase “eligible employees” and before the period.

Section 8. That Section 3.16.020 of the Metropolitan Code is further amended by amending subsection D. by inserting the phrase, “and pensioners” after the phrase, “eligible employees” and before the word, “shall” in the second sentence of the subsection. The second sentence of the subsection is further amended by deleting the word, “employee” and by substituting instead the word, “member”.

Section 9. That Section 3.16.040 of the Metropolitan Code is amended by amending subsection A. by inserting the phrase, “and pensioner” between the words, “employee” and “contributions” in the first sentenced of the subsection.

Section 10. That Section 3.24.010 of the Metropolitan Code is amended by amending subsection A. by inserting the phrase, “or pensioner” after the phrase, “eligible employee” and before the word, “and” in the first sentence of the subsection.

Section 11. That Section 3.24.010 of the Metropolitan Code is amended by amending subsection C. by inserting the phrase, “or pensioner” after the phrase, “eligible employee” and before the word, “may” in the first sentence of the subsection.

Section 12. That Section 3.24.020 of the Metropolitan Code is amended by amending subsection B. by inserting the phrase, “and pensioners” after the phrase, “eligible employees” and before the word, “through” in the first sentence of the subsection.

Section 13. That Subsection 3.24.020 of the Metropolitan Code is amended by amending subsection C. by inserting the phrase, “or pensioner’s” after the phrase, “eligible employee’s” and before the word, “spouse”.

Section 14. This Ordinance shall take effect from and after its passage, the welfare of The Metropolitan Government of Nashville and Davidson County requiring it.

Sponsored by: Rip Ryman, Parker Toler, Buddy Baker, Walter Hunt, Michael Craddock, Jim Forkum, Robert Duvall, Jim Gotto, Phil Claiborne, Karen Bennett, Duane Dominy, Bo Mitchell, Tim Garrett

LEGISLATIVE HISTORY
Introduced:	December 18, 2007
Passed First Reading:	December 18, 2007
Referred to:	Budget & Finance Committee Personnel Committee
Passed Second Reading:	January 15, 2008
Passed Third Reading:	February 5, 2008
Approved:	February 11, 2008
By: