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HomeMy WebLinkAbout42751 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 26 27 28 29 30 31 32 ORDINANCE NO. 4 2 7 5 AN ORDINANCE OF THE CITY COUNCIL OF THE CITY OF AUBURN, WASHINGTON, ADOPTING THE STATE OF WASHINGTON DEFERRED COMPENSATION PLAN AS A PLAN AVAILABLE TO THE EMPLOYEES OF THE CITY OF AUBURN. WHEREAS, the City of Auburn has established a deferred compensation plan for its employees pursuant to Ordinance No. 3644 passed by the City Council on June 15, 1981; and WHEREAS, the City has made available to the employees a choice of two deferred compensation plans, one administered by Great -West Life and another administered by ICMA Retirement Corporation; and WHEREAS, RCW 41.04.250 permits counties, municipalities and other political subdivisions to participate in the State of Washington Employee's Deferred Compensation Plan; and WHEREAS, the City of Auburn has reviewed the State plan and desires to make the plan available to its employees in addition to the other two plans; NOW, THEREFORE, THE CITY COUNCIL OF THE CITY OF AUBURN, WASHINGTON DO ORDAIN AS FOLLOWS: Section 1. The City of Auburn hereby adopts and makes available to its employees at their option the deferred compensation plan known as the State of Washington Employee's Deferred Compensation Plan, attached hereto as Exhibit A and which is administered by the Committee for Deferred Compensation in accordance with RCW 41.04.250. Section 2. The City of Auburn hereby adopts Resolution No. 1835 which is required to be signed by the State of Washington Committee for Deferred Compensation to allow the City's participation in the State's Employee Deferred Compensation Plan. The Resolution outlines the authority of the plan and the obligations of the City for membership in the plan. Section 3. The City of Auburn Finance Director shall be the coordinator for this program and shall receive necessary reports, notices and information --------------------- Ordinance No. 4275 Page One 3/8/88 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 26 27 28 29 30 31 32 1 from the State of Washington Deferred Compensation Plan and shall act on behalf of the City of Auburn, under the program. Administrative duties to carry out the plan may be assigned to the appropriate departments. Section 4. The Mayor is hereby authorized to implement such administra- tive procedures as may be necessary to carry out the directions of this legislation. Section 5. This Ordinance shall take effect and be in force five (5) days from and after its passage, approval and publication, as provided by law. ATTEST: W APPROVED AS TO FORM: INTRODUCED: MARCH 21, 1988 PASSED: MARCH 21, 1988 APPROVED: MARCH 21, 1988 /L'e004 A VO R City Attorney PUBLISHED: MARCH 27, 1988 --------------------- Ordinance No. 4275 Page Two 3/8/88 01a:g.:A:l_1mD. *LTA IN MI'Ll WA 910' U lw! were e4 s ° STATE OF WASHINGTON COMMITTEE FOR DEFERRED COMPENSATION 1400 Evergreen Park Drive S.W., FX-11 • Olympia, Washington 98504 • (206) 753-3096 • (SCAN) 234-3096 The purpose of this letter is to invite your agency to become a participant in the Washington State Employee's Deferred Compensation Plan. Such participation by counties, municipalities and other political sub -divisions of the State is permitted by RCW 41-04-250. (See reverse side). Even if you currently have a tax sheltered plan for your employees, you may find the Washington State Employee's Deferred Compensation Plan beneficial to -your employees because of the high net yield earnings obtainable in this Plan. Sincerely, George Masten Chairperson U_ RCW 41-04-250 41.04.250 Deferred compensation plans authorized for public employees --- Types of investments. "Employee" as used in this section and RCW 41.04.260 includes all full-time, part-time and career seasonal. employees of the state, a county, a municipality, or other political subdivision of the state, whether or not covered by civil service; elected and appointed officials of the executive branch of the government, including full-time members of boards, commissions, or committees; justices of the supreme court and judges of the court of appeals and of the superior and district courts; and members of the state legislature or of the legislative authority of any county, city, or town. The state, through the Committee For Deferred Compensation created in RCW 41.04.260, and any county, municipality, or other political subdivision of the state acting through its principal supervising official or governing body is authorized to contract with an employee to defer a portion of that employee's income, which deferred portion shall in no event exceed the amount allowable under 26 U.S.C. Sec. 457, and deposit or invest such deferred portion in a credit union, savings and loan association, bank, or mutual savings bank or purchase life insurance, shares of an investment company, or fixed and/or variable annuity contracts from any insurance company or any investment company licensed to contract business in this state. The Committee can provide such plans as it deems are in the interests of state employees. In addition to the types of investments described in this section, the Committee may invest the deferred portion of an employee's income, without limitation as to amount, in any of the class of investments described in RCW 43.84.150 as in effect on January 1, 1981. Any income deferred under such a plan shall continue to be included as regular compensation, for the purpose of computing the state or local retirement and pension benefits earned by an employee. Coverage of an employee under a deferred compensation plan under this section shall not render such employee ineligible for simultaneous membership and participation in any pension system for public employees. Y1 vY GJ.J 1.i IUItVILiu a1 1CL11 ClIIC I I L dLL.UUIIL PI dI1J dULII•U1.1 GCU. (150)In addition to its other powers prescribed under this chapter, trie•co;TLmIttee. for deferred compensation is authorized to offer to s�:ate employees one or more individual retirement account plans -stablished under applicable state or federal law, (@59) (@60) [1962 41.04.260 Committee for deferred compensation—Created— AembershiD—Travel expenses —Fiduciary duties —Deferred compensation revolving fund, investment —Annual report. (@50)(1) There is hereby created a committee for deferred comoensation to be composed of five =_ Members appointed by the governor, one of whom shall be a representative of an employee association or union certified as an exclusive representative of at least one bargaining unit of classified emoloyees, one who shall be a representative of either a credit union, savings and loan association, mutual savings bank or bank, one who oessesses expertise in the area of insurance or investment of public funds, one who shall be the state attorney general or his designee, and one additional member selected by the governor. The committee shall serve without compensation but shall receive travel expenses as provided for in RCW 43.03.050 and 43.03.060 as now existing or hereafter amended. (2) The deferred compensation revolving fund is hereby created in the state treasury. All expenses of the committee including staffing and administrative expenses shall be paid out of the deferred compensation revolving fund. The amount of compensation deferred by emoloyees under agreements entered into under the authority contained in RCW 41.04.250 shall be oaid into the revolving fund and shall be sufficient to cover costs of administration and staffing in addition to such other amounts as determined by this committee. The revolving fund shall be used to carry out the uuroes.es of RCW 41.04.250. All eligible state emoloyees shall be given the oDDortunity to participate in agreements entered into by the committee under RCW 41.04.250. State agencies shall cooperate with the committee in providing employees -with the opportunity to participate. Any county, municipality, or other subdivision of the state may elect to participate in any agreements en=ereC into by the committee uncer RCW 41.04.250, including the making of payments therefrom to the employees participating in a deferred comoensation plan upon their seoaration from state or other oualifyina service. Accordingly, the revolving fund shall be considered to be a public pension or retirement fund within the Leaning of Article XXIX, section 1 of the state Constitution, for the ; puroose of determining eligible investments and deposits of the moneys therein. All moneys in the revolving fund, all property and rights purchased therewith, and all income attributable thereto, shall remain (until made available to the participating employee or other -,neficiary) solely the Money, property, and rights of the state and participating counties, municipalities and subdivisions (without being restric.ed to the provision of benefits under the plan) subject only to the claims of the state's and participating jurisdictions' general creditors. Participating jurisdictions shall each retain property rights separately. �].04.250 41.04.250 Deferred compensation plans authorized for public employees—, Types of investments. (@50)"Employee" as used in this section and RCW 41.04.260 includes all full-time, part-time and career seasonal employees of the state, a county, a municipality, or other political subdivision of the state, whether or not covered by civil service; elected and appointed officials of the executive branch of the government, including full-time members of boards, commissions, or committees; justices of the supreme court and judges of the court of appeals and of the superior and district courts; and members of the state legislature or of the legislative authority of any county, city, or town. The state, through the committee for deferred compensation created in RCW 41.04.260, and any county, municipality, or other ooliticai subdivision of the state acting through its principal suaervisina official or governing body is authorized to contract with an employee to defer a portion of that empiovee's income, which deferred portion shall in no event exceed the amount allowable under 26 U.S.C. Sec. 457, and deposit or invest such deferred portion in a credit union, savings and loan association, bank, or mutual savings bank or purchase life insurance, shares of an investment company, or fixed and/or variable annuity contracts from any insurance company or any investment company licensed to contract business in this state. The committee can provide such plans as it deems are in the interests of state emplovees. In addition to the types of investments described in this section, the committee may invest the deferred portion of an employee's income, without limitation as to amount, in any of the class of investments described in RCW 43.84.150 as in effect on January 1, 1981. Any income deferred under such a plan shall continue to be included as regular compensation, for the purpose of computing the state or local retirement and pension benefits earned by any emolov_ee. Coverage of an employee under a deferred compensation plan under this section shall not render such employee ineligible for simultaneous membership and participation in any pension system for oubllc employees. (@59) (@60) [1981 c 256 5 2; 1975 1st ex.s. c 274 5 2, 1973 1st ex.s. c 99 5 1; 1972 ex.s. c 19 5 1; 1971 ex.s. c 264 § 1.J (@8a)•6•NOTES••• (@85) Purpose-1981 c 256: (@86) "It is the primary purpose of this act to assure that the provisions of RCW 41.04.250 and 41.04.260 and of any deferred; compensation plan established thereunder, are in conformity with the requirements of 26 U.S.C. Sec. 457 and any other reouirements of federal law relating to such a deferred compensation _plan. This act shall be construed in such a manner as to accomplish this purpose." [1981 c 256 5 1.1 "'Phis act" [1981 c 256) consists of amendments to RCW 41.04.250, 41.04.260, 41.26.030, 41.32.010, and 41.40.010. (@85) Severability---1981 c 256: (@86) "If any provision of this act or its application to any person or circumstance is held invalid, the re„minder of the act or the application of the provision to other persons or circumstances is not affected." [1981 c 256 5 7.1 (3) The'sta•te investment board, at the request of the deferred compensation committee, is authorized to invest moneys in the deferred compensation revolving fund in accordance with RCW 43.84.150. Except as provided in RCW 43.33A.160, one hundred percent of all earnings from these investments shall accrue directly to the deferred compensation revolving fund. (4) The deferred compensation committee shall keep or cause to be kept full and adequate accounts and records of the assets, obligations, transactions, and affairs of any deferred compensation plans created under RCW 41.04.250 throuah 41.04.260. The deferred compensation committee shall file an annual report of the financial condition, transactions, and affairs of the deferred compensation plans under the committee's jurisdiction. A copy of the annual report shall be filed with the speaker of the house of representatives, the president of the senate, the oovernor, and the state auditor. r (5) Members of the deferred compensation committee shall.be deemed to stand in a fiduciary relationship to the employees participating in the deferred compensation plans created under RCW. 41.04.250 through 41.04.260 and shall discharge the duties of their respective positions in good faith and with that diligence, care, -and skill which ordinary prudent persons would exercise under similar circumstances in like positions. (6) The committee may adopt rules necessary to carry out the purposes of RCW 41.04.250 and 41.04.260. (@59) (@60) [1984 c 242 S 1; 1983 c 226 S 1; 1981 c 256 S 3; 1975-'76 2nd ex.s. c 34 5 84; 1975 lst ex.s. c 274 S 1. (@8a)•••N.OTES*6* (@85) Purpese— Severability-1981 c 256: (@86) See notes following RCW 41.04.250. (a85) Effective date—Severability-1975-'76 2nd ex.s. c 34: (@86) See notes following RCW 2.08.115. REFCFT Pais' M790E * STATE OF WASHI1,GTON DEFERRED COF'FENSATION COMMITTEE DEFERRALS -- UPDATE FOR JUNE 1987 AGENCY: WASH ST FRUIT COMM 515 EMPLOYEE NAME SSA AGY SUE DATE PAID 515 05/31/87 515 05/31/67 515 05/31/87 515\ 05/ 31/87 AGEINCY 515 TOTAL This is an example of the printout you will receive from CDC after the l0th of each month. The form is in duplicate and needs to be updated by you for the current month. We need one copy back, with your check, no later than the 5th of the following month. Make the check payable to the STATE TREASURER and mail along with the report (M7905) to: Committee for Deferred Compensation 1400 Evergreen Park Drive S.W. Olympia, Wa. 98504 Attn: Accounting IF THE CHECK IS RECEIVED LATE THE PARTICIPANT'S DEFERRAL MAY NOT BE INVESTED UNTIL THE FOLLOWING MONTH. If you have any questions, please call Susan Ponsteen 753-2615 (scan 234-2615) -'or Trina Erickson 586-2797 (scan 321-2797). FALL: 1 FUN DATE: 06/09/87 tMOUNT PAID 80.00 50.00 823.00 625.00 1.578.0C l/ g C STATE OF WASHINGTO N COMMITTEE FOR DEFERRED COMPENSATION 14(X) [wrgrrrn Park Ihnr tiIV1 FX-11 * Olympa. 11' .hinglom 1)8504 • ('(X)) 75i-i(Nt) PARTICIPATION INSTRUCTIONS For a political sub -division to participate in the Washington State Deferred Compensation program a resolution, following the format of the enclosed resolution, must be passed. Please complete and sign the two (2) original resolutions enclosed, forwarding one to me, Ernie Lahn, at the above address. I will submit the resolution for approval at the next scheduled Washington State Deferred Compensation Committee meeting. Following this meeting you will receive a letter from the Committee. After receipt of the Committee letter we will contact you to give a presentation of the program to inform employees and enroll interested parties. If you need further information please call me at the above telephone number. STATE OF WASHINGPON) ss. COUNTY OF KING ) I, Robin Wohlhueter, the duly appointed, qualified City Clerk of the City of Auburn, a Municipal Corporation and Code City, situate in the County of King, State of Washington, do hereby certify that the foregoing is a full, true and correct copy of ordinance No. 4275 of the ordinances of the City of Auburn, entitled "AN ORDINANCE." I certify that said Ordinance No. 4275 was duly passed by the Council and approved by the Mayor of the said City of Auburn, on the 21st day of March A.D., 1988. I further certify that said Ordinance No. 4275 was published as pro- vided by law in the Valley News, a daily newspaper published in the City of Auburn, and of general circulation therein, on the 27th day of March A.D., 1988. WITNESS my hand and the official seal of the City of Auburn, this 25th day of April A.D., 1988. CITY CLERK OF THE CITY OF AUBURN