Per Article 11, Sec G, Subd. 2 of the IFO contract, MnSCU contributes $800 to a Health Reimbursement Arrangement (HRA) account at the beginning of each calendar year for faculty members eligible to participate as provided in the written HRA Plan Document as follows:
Faculty members are not assessed any administrative fees on their MnSCU HRA account that is provided as part of our contract; the IFO has negotiated for MnSCU to pay all expenses associated with implementation and administration of the HRA Plan.
At the end of each calendar year, if you have a balance of less than $700 in your MnSCU HRA account, the employer’s new $800 contribution will be added to your MnSCU HRA account at the beginning of the next calendar year.
If you have $700 or more in your MnSCU HRA account as of December 31, the employer’s $800 contribution for the next calendar year will go into a Health Care Savings Plan instead of your HRA account. Money deposited in a Health Care Savings Plan is tax free, but you cannot access the funds to pay for medical expenditures until you separate from employment.