Council Meetings

  • Increase font size
  • Default font size
  • Decrease font size
Home

Resolution No. 2013-23

Print PDF

     CITY COUNCIL MEETING MINUTES OCTOBER 21, 2013

 

                                                                             RESOLUTION NO. 2013-23

                                                     A RESOLUTION of the City Council of the City of Lakewood,
                                                    Washington, approving an Interlocal Agreement with the
                                                    Association of Washington Cities Benefit Trust to manage the
                                                    Health Care Program account to provide self-insured health benefit
                                                    plans and programs for City employees.


           WHEREAS, the Association of Washington Cities Employee Benefit Trust (the “Trust”)
is an entity to which contributions by cities and towns and non-city entities organized and
existing under the Constitution or laws of the State of Washington and who are members of the
Trust (“Participating Cities and Towns,” and “Participating Non-City Entities”) and their
employees can be paid and through which the Board of Trustees of the Trust (“Trustees”)
provides one or more insured health and welfare benefit plans or programs to Participating Cities
and Towns’ and Non-City Entities’ employees, their dependents and other beneficiaries
(“Beneficiaries”), on whose behalf the contributions were paid; and

          WHEREAS, the Trust qualifies as a voluntary employee beneficiary association within
the meaning of Section 501(c)(9) of the Internal Revenue Code, providing for the payment of
life, sick, accident or other benefits to Beneficiaries; and 

          WHEREAS, the Trust and Participating Cities and Towns and Non-City Entities have
determined that it is in the best interest of Participating Cities and Towns and Non-City Entities
to jointly self-insure certain health benefit plans and programs for Beneficiaries through a
designated account within the Trust, while at the same time having the Trust continue as the
entity to which other insured health and welfare benefit program contributions are paid and
through which insured health and welfare benefit plans and programs are provided to
Beneficiaries; and

          WHEREAS, it appears economically feasible and practical for the parties to do so; and

          WHEREAS, Chapter 48.62 RCW provides that two or more local government entities
may, by Interlocal agreement under chapter 39.34 RCW, jointly self-insure health benefit plans
and programs, and/or jointly hire risk management services for such plans or programs by any
one or more of certain specified methods; and

          WHEREAS, the Association of Washington Cities Employee Benefit Trust Interlocal
Agreement (the “Interlocal Agreement”) as described in Exhibit A creates a joint self-insured
health and welfare benefit program (the “Health Care Program”) to be administered by the Trustees
for the purposes of providing self-insured health benefits to Beneficiaries; and
     
          WHEREAS, WAC 200-110-030 requires every local government entity participating in a
joint self-insurance health and welfare benefit program to adopt such program by resolution; and

          WHEREAS, Chapter 48.62 requires Health Care Program assets to be managed
consistent with existing authority over use of municipal funds in RCW 35.39.030.  The Trust will
manage Health Care Program reserves in compliance with Chapter 48.62 RCW; RCW
35.39.030, and the Health Care Program Investment Policy; and
     
           WHEREAS, all premium contributions for use in the Health Care Program are deposited
into a designated account within the Trust, the Health Care Program Account (the “HCP
Account”), and the HCP Account represents a pool of funds that is independent of all other Trust
or AWC funds; and
     
          WHERAS, the Trust intends to manage the HCP Account assets in compliance with
federal and state laws and the Interlocal Agreement; and
     
           WHEREAS, the City of Lakewood believes it is in the best interest of the Health Care
Program to allow the Trust to manage the HCP Account.

                                              NOW, THEREFORE, THE CITY COUNCIL OF THE CITY OF LAKEWOOD,

WASHINGTON HEREBY RESOLVES, as Follows:

             Section 1.  That the Interlocal Agreement, a copy hereto attached as Exhibit A,
creating the Health Care Program is hereby adopted.
     
             Section 2.  That by adopting such Agreement, the City of Lakewood acknowledges
that it shall be subject to assessments as required by the Health Care Program.

             Section 3. That this Resolution shall be in full force and effect upon passage and
signatures heron.
     
      PASSED by the City Council this 21st day of October, 2013.
                                         
                                         
                                                                                                             CITY OF LAKEWOOD


                                                                                                              ____________________________________
                                                                                                             Don Anderson, Mayor
Attest:


_______________________________   
Alice M. Bush, MMC, City Clerk


Approved as to Form:


_______________________________
Heidi Wachter, City Attorney