Common use of Establishment of VEBA Clause in Contracts

Establishment of VEBA. The School District will make available a “VEBA Plan and Trust “to all qualified participants who exercise their option to enroll in the health insurance program. This arrangement is intended to constitute a VEBA under Section 501 (c) (9) of the Internal Revenue Code. The School District will specify that eligible health expenses will be paid from the participant’s flexible spending account (FSA) first, until that account is exhausted, and from the “VEBA Plan” second.