Academic Senate
Resolution: 00/01-05
Health Benefits for
Faculty Retirees
WHEREAS, USC has
established a new health insurance program, USC Senior Care, which is available to all
Medicare eligible retirees and their spouses or mutual financial dependents over age 65,
and
WHEREAS, it is
desirable to make available a health insurance program equivalent to USC Senior Care for
faculty who must or wish to retire before they qualify for Medicare, and
WHEREAS, the
post-retirement health benefits policy endorsed by the Senate in Resolution 99/00-02
proposed to provide better benefits at lower cost to retired faculty under age 65, as
compared to retired faculty over age 65, and this is not consistent with a later Federal
court ruling, and
WHEREAS, a special
provision in Federal law permits universities to offer retirement incentive benefits to
tenured faculty retiring before a stated age, provided all eligible faculty have at least
one opportunity to retire and receive such benefits,
BE IT RESOLVED THAT,
the Senate supports the following changes in the principles underlying a new health
benefits policy for retired faculty,
1.
The health benefits policy for retired
faculty should provide equivalent coverage at equivalent cost for older and younger
eligible faculty retirees;
2.
Faculty members
eligible for these health benefits include those who have attained age 59½ and completed
15 years of full-time service to the University, the last five of which are continuous,*
and who either are untenured or elect to retire (a) when the plan is initiated, or
(b) when the individual first achieves eligibility, or (c) before the individual
becomes eligible for Medicare benefits or age 65, whichever is later.
* Eligibility
criteria are specified instead of reference to another document for clarity.
Resolution Number: 00/01-05
Motion
by: Executive Board
Date: February 15, 2001
(No second required when
For consideration at the Academic
Senate
meeting on February 21, 2001
Action Taken: Passed—19
in favor, 5 opposed, 1 abstention