City of Greensboro Personnel Policy Manual

City of Greensboro Personnel Policy Manuał

portability of health and dental benefit eligibility. Benefits - Regulatory Issues (page 273) 4.5 Section 125 of the Federal Internal Revenue Code (CityFlex) - A Federal law, enforced by the United States Internal Revenue Service that provides for an employee to voluntarily reduce the employee’s salary, and thereby the employee’s income taxes and social security taxes, to direct those funds to tax free benefits as long as certain requirements are met. Benefits eligible for this tax-favored treatment are health and dental premiums, vision, and parking in a City facility paid through payroll deduction and CityFlex medical and day care spending accounts. 4.6 Qualified Family Status Change - Changes in the legal status of a family that permits changes in benefit coverage. Status changes include marriage, birth or adoption of a child, placement of a child for adoption, legal separation, divorce, loss of dependent status, or a substantive change in employment status for the employee or spouse. 4.7 Open Enrollment - An annual period, normally in the fall of each year, when employees may make benefits coverage changes for the following plan year without a qualified family status change. 5.0 ORGANIZATIONAL RULES 5.1 Eligibility - All benefit eligible employees and eligible dependents, as defined in Section 4.2, are eligible to enroll in City benefit programs. A. Children under the age of 26 and children of any age who are permanently handicapped prior to age 26 may be covered, as long as the child does not have access to insurance through their own employer or a spouse’s employer. B. When requested, employees must complete a handicapped dependent eligibility verification form, and a physician’s written statement providing proof of the dependent child’s handicapped status. 5.2 Enrollment - Benefit eligible employees will be enrolled in the City’s benefit programs at benefits sign-up which normally occur on the second day of each payroll period, immediately after employment. A. Employees may enroll dependents in City benefit programs during benefits sign-up. If dependents are not added to benefit plans when first eligible, they must wait until the next open enrollment period or when a qualified family status change occurs. This restriction is imposed by Section 125 of the Internal Revenue Code (CityFlex). B. Employees may decline health and/or dental insurance coverage. 5.3 Coverage Changes A. Employees may change insurance coverage levels at open enrollment each year or during the

Table of Contents A B C D E F H I J K L List of Appendices G

G - Benefits

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