SMCCE 18.4 Sick Leave Conversion to Medical Insurance Premiums Upon Retirement

Employees whose employment with the County is severed by reason of retirement during the term of this (MOU) shall be reimbursed by the County for their unused, accrued sick leave at time of retirement on the following basis:

(a) Employees Hired Prior to July 10, 2011:

For employees hired prior to July 20, 2011 who retire with less than fifteen (15) years of service with the County of San Mateo the conversion rate for each eight (8) hours of sick leave will be four hundred forty dollars ($440.00).

For employees hired prior to July 10, 2011, who retire with at least fifteen (15) years of service with the County of San Mateo, the conversion rate for each eight (8) hours of sick leave will be four hundred seventy two dollars and ninety-eight cents ($472.98). This amount will increase annually on January 1st by two percent (2%). Such contribution shall not exceed ninety percent (90%) of the Kaiser Employee-Only premium non-Medicare rate..

For employees hired prior to July 10, 2011 who retire with twenty (20) or more years of service with the County of San Mateo, the conversion rate for each six (6) hours of sick leave will be five hundred thirty one dollars and forty-three cents ($531.43). This amount shall be increased annually on January 1st by four percent (4%).  Such contribution shall not exceed ninety percent (90%) of the Kaiser Employee-only premium non-Medicare rate.

(b) Employees Hired On or After July 10, 2011:

For employees hired on or after July 10, 2011 who retire from service with the County of San Mateo the conversion rate for each eight (8) hours of accrued sick leave will be four hundred dollars ($400). No inflation factor and no conversion at a lower number of hours based on years of service.

(c) Payment of Difference in Premium Cost: The County provides a specified contribution to retirees who have unused sick leave at the time of retirement. For each unused six (6) or eight (8) hours of sick leave at time of retirement the County will make a specified contribution, as defined above, to the monthly premium for the retiree. If the cost of the premium is greater than the County’s contribution, the retiree pays the difference through their retirement pay warrant. If the cost of the premium is less than the County’s contribution, the County will apply the difference to the retiree’s Medicare Part B premium cost.

Additional Sick Leave Credit Upon Disability Retirement: The County will provide up to a maximum of two hundred eighty eight and six tenths (288.6) hours of sick leave (three (3) years of retiree health coverage) to employees who receive a disability retirement. For example, if an employee who receives a disability retirement has one hundred 100 hours of sick leave at the time of retirement, the County will add another one hundred eighty eight and six tenths (188.6) hours of sick leave to his/her balance.