Health Care Reimbursement Accounts
WHEREAS, the Collective Bargaining Agreement between Bowling Green State University (the "University") and the Bowling Green State University Faculty Association -AAUP (the "Faculty Association") (collectively, the "Parties") expiring July 1, 2016 provides that the "During the life of the Agreement the University will continue to offer flexible Health Care Reimbursement Accounts ... and such plans shall allow for the greatest period of time provided by law before any contributions are forfeited"; and
WHEREAS, on October 31, 2013 the U.S. Department of the Treasury and the IRS issued Notice 2013-71 modifying the "use-or-lose" rule for health flexible spending arrangements to allow participants to carryover up to $500 of unused amounts remaining at yearend (hereinafter the "FSA Rule"); and
WHEREAS, the Parties wish to allow Bargaining Unit Faculty Members to benefit from carrying over unused amounts in their Healthcare Reimbursement Accounts.
NOW, THEREFORE, the Parties agree as follows:
- Beginning with the next plan year (January 1, 2014 through December 31, 2014), the University will administer its offered flexible Healthcare Reimbursement Accounts to permit Bargaining Unit Faculty to carryover up to $500 per year as permitted by the FSA Rule.
- Bargaining Unit members will continue to submit claims accrued in the plan year in accord with the claim rules specified by the University's FSA administration vendor.
IN WITNESS WHEREOF, the Parties have caused this Memorandum of Agreement to be made effective this 9th day of December, 2013.