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I <br />CITY OF COLTON <br />AGENDA REPORT <br />For Council Meeting of April 7, 1998 <br />TO: HONORABLE MA <br />FROM: CITY ATTORNEY <br />DATE: March 17, 1998 <br />CITY COUNCILMEMBERS <br />RE: RETIREE HEALTH BENEFITS FOR DENNIS MORRIS <br />Background: <br />The City Council, at its February 17, 1998 meeting, agreed that Mr. Morris shall be eligible for retiree <br />health benefits after five years of service with the City. Generally, City employees must serve the City <br />for twenty years to become eligible for retiree health benefits as provided in City of Colton Resolution <br />No. 4598. <br />Discussion: <br />Retirement benefits are part of the contemplated compensation of city employees and, therefore, are <br />consideration of employment. The City Council agreed to provide. retirement benefits to Dennis <br />Morris after five years of service with the City. In order to fulfill this agreement, it is necessary to <br />approve an exception to Resolution No. 4598, which requires twenty years of service before a city <br />employee becomes eligible for retiree health benefits. <br />The precise fiscal impact for providing Mr. Morris with retiree health benefits after five years of <br />service is uncertain at this time. The fiscal impact could vary depending on how long Mr. Morris <br />remains in the City's employ and when he actually retires. Additionally, the fiscal impact could be <br />mitigated by factors such as Medicare contributions. <br />Recommendation: <br />Adopt Resolution of the City Council of the City of Colton providing retiree health benefits to Dennis <br />Morris after five years of service. <br />RVPUB\JLR\40940 <br />Item # 10 <br />