HomeMy WebLinkAbout81-031BE TT RESOLVED by tliis Boa~d that the attached Deferred
Compensation plan and contract are incorporated herein as if set
forth in full, and the Chairman of this Board is hereby authorized
to execute said contract on behalf o~ the County o~ Butte.
PASS~ll A[~D AllOPTED by t~e Butte County Board of Supervisors
this ~-~th day of February 1g81, by t?-ie follow~.ng
,
'~roCe :
A'YE S: Supervisors Aolan, Lemke, Saracenf and Chairman Moseley
IQOES : None
ABS~NT: Superv~.sor Wheeler
NOT VOTING: None
BERTHA MOSELEY, hairLn o the
Butte Cou.nty Board of upervisors
ATT~ST:
CLARK A. VELSON, County Clerk and
ex-o£ficio Clerk of the Board
By
~tESOLUtION RECOMM~NDTNG SEL~CTIQN OP AN'b
AUTHORIZATION TO EXECUTE DEFERR~D COP~IPENSATION
PLAN FOR EMPLOYEES OF TH~ COU~TY OF B~TTE
AGREEMENT
FOR
ADMINISTRATIQN
DEFERRED CqM~ENSATION PLAN
THIS AGREEME~T, made and entered ~n~o this ~~Tx day
of February , 1981, by and betiween the EOUNTY OF BUTTE,
S'~ate of Cali~ornia, hereina~tex xeferred to as "COUNTY",
and SACRAMENTO SAVTNGS ~~OAN ASSOC~ATION, a Gal.i.~ornia corpoxation,
hereinafter referred to as the "P1an Ac~ministrator";
WITNESSETH:
WHEREAS, County has adopted Sacramenfio Savings' Deferr~d
Compensation P~.an for ~.he benefit of its employees; and
WHEREAS, P~.an i.s an E~igible S~ate Deferxed.Compensation
P].an under Internal Revenue Code section 457, £unded solely
by the contributions o£ eligible partiici.pants; and
WHEREAS, In order ~or County ~o provide such a Plan, Caun~ty
~ has ~ound that it reauires services relating ta the administration
of such P1an; and
WHEREAS, P1an.Administxa~ar has represented tha~ it possesses
~he knowledge and experience ta~administex and prflvide such
administrative services;
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NOW 'THEREFORE, in consideratinn of the mutual covenan~Cs
and agreemen~s herein set for~h, the parties do hereby agree
as follows:
1. A~POINTMENT. Coun~y, pursuant to Resolu~ian/Ord.~nance
No. 81--31 •, does hereby appoint SACRAMENTO SAVINGS F~
LOAN ASSOCIATI~N as ~he P~.an Administratar for ~.he.Coun~y of
Butte Defexred Compensation P1an (hereina~ter referred to as
"Plan").
2. INVESThiENT OF FUN~S. County agrees to invest the funds
of P~an with Plan Adminis~ratar, and P1an Administxator agrees
to accept such funds for inves~ment in Certif~cates o~ Deposit
5U~~8G'~ ~Co Federal xegulations then ~n effect:
(a) The minimum investment allawed manthly per participant
in P~an sha~1 not t~e less ~han $~,q.OQ, nr if more than
this minimum amount, in multiples of $5.00.
(i~} If the Account is 1~ss than $~.O,OQ0.00 at the
beginning of a calendax quaz~ter, the interest rate shall
be 8o compounded dai~y, the maximum presently al~owed
by law. The Account shall, have a thirty (30) day tiex~m,
and the maturity date sha1.1 be extended an additional
thirty (30) days by any ~urther depos~t.
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(c) ~~ the Account is ~ess than $100,~00.00, but with
a minimum a~ $10,QOU.00 at the beginn~ng of a calendar
quarter, that amount sha11 be invested in Six-Manth
Money Market Certi~icates (Treasu~y Bi11s), a~ the
ra~e then prevailing and with simple in~erest calcu-
Xa~ion. ALL INTERIM DEPOSITS (contributions) intn
the Account shaii earn 8% campounded daily until eithe~:
(1) The interim depos~ts {contr~butions) eQual or
exceed _$~0,000.00 and are, on the first day o~ the
quar~ex fo~lowing that oceurrence, d~posited into a
Six-Month Maney Market Certificate; or
(2) On~ o~ ~he ~Xan's Six-Month Maney Market
Certzficates ~atures, at which time the ~nt~rim
deposits (contxibutzans) sha~l be added to the funds
in the maturing Certificate and rsinves~ed in a new
Szx-Manth Money Market Certi~zcate.
Again, this procedure~max~mizes the ra~e that ~s allowed
by cuxxent Federal Regulations on accaunts with these.
balances.
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(d} ~f the Acc~un~ is $100,000.00 ar mare at the
beginning of a cal.endar quarter, ~he in'texest rate
will be a~ tha~ rate then being offered by Plan
Administrator an Certificates of Deposi.t in excess of
$100,000.00, bearing ninety (90) days maturity daties
(common~,y re~erred to as the "Jumbo Ra~e"), wirh interest
paid and compounded t{uarterly, ar that rate then being
of~fered on Six-Month Money Market Certificat~s,~which-
ever is higher. This xate wi~.I be adjus~.ed quax~Cexl.y.
(e) No~withstand~.ng, Plan Administrator guarantees
that the minimum rate shal.]. be the stated rate on
Plan Administrator's longest term fixed rate certi£icate
w~.th ~nterest paid and compaunded daily, pxesentily 8~.
All funds on depas~.~C shali be suhject to a1.~. app~icable
ru~es, regulatians and statutes af the Cal,a.fornia Department of
Savings and I~oan, the Fedexal Home Loan Bank Boaxd, the Federal
Savi.ngs and Loan Insurance Corpora~ion, and all o~ther applicabl,e
regt~latory authorities.
3. CONTR.ACTUAL RELATIONSHIP.
F1an Admi.ni.stra~tar shal~. have
no privity of contrac~ with the ind~.vi.dual participants of Plan,
and P].an Administrator agrees nvt to accept nor hanox any inst~u~-
tions pertaining to transac~ions that may be submi~ted by paxti.cipants.
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4. 4WNERSH~P OF FUN~S. Title and Ownership of the Accaunt
estab~ished und~x the Plan sha11 at a11 ~imes be in the County of
Butte and named "County o£ Butte D~farred Compensa~ion Plan Account".
As funds of P~an remain the property of Coun~y until
such time as the funds are "made available" {Death, Disabil.ity,
Retirement, Termination or such "Unfoxeseeable Emergency" as
specifica~.ly determined by and puxsuant to reguJ.a~ians issued
by the S~cretary of Treasury, ~578-5) to participant, no par~icipant
sha11 have any.right to encumber, hypotheca~e, or alienate his
ox her interest in P1an. .
5. PARTICTPANT ELIGIB~~ITY. Elig~.bl.e participants in the
Plan are those who are compensated far servi.ces rendered ~o County,
whether employee or ~ndependent con~ractor. Consistent with
Xnternal Revenue Service~policy governing all such p].ans, discri-
mination ~avoring any segment of eligible participan~s is speci.fi-
cally prohibited.
6. ALLOWABLE CONTRIBUTI~NS. Puxsuant to Internal R~venue
Code Section 457, the maximum ~hat may be deferr~d ta a taxab].e
y~ax sha11 nat exceed the lesser of:
(a) $7,500.00; or
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(b} 33 1/3~ ot the participant's i.nc].udable compensatian.
The term "includable compensation" means compensation
fox serv'a.ces perfvrmed £or County which (taking inta
account Sectian 457 of Internal Revenue Service Code)
is curxently ancludable in gross income.
Al1 such contributians sha17. be in the form of a payroll
deduction per pay period and ~oxwarde~ ta P].an Administrator by
warrant alang with a 1~sting of deductians pex paxticipant.
The deductions will be creditcd to the "Sub-Accounts" established
in the name of ~the County for each participant i.e., "Caun-Cy a~
$utte Accaunt Under Deferred Compensation for John Doe".
Participan~s are permitted to make changes in theix authorized
payrol~ d~duc~ions subject to reasonable time limitations tha'~
may be impased by ~he County. ~ar each such change the Coun,ty
and the Participan~ ~aill~execute a new Plan and Agreement. A
capy of fi.he new P].an and Agreement wi11 be sent by the Coun-ry
to Plan Administratox by no later than the ~allowing pay period.
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7. ALLOWABLE DISTRI~UTTONS. Internal Revenue Code Section
457 provides that ~unds are "made availab~e" upon the occurrenc~
of the fallowing:
(a) Termination (voluntaxy-involuntary)
(b) Disab xlity
(c) "Unforeseeable Emexgency"
(d) Retixement
(e) Death
P~.an Adminis-Crator wa.11 honor reques~s of withdrawa~. from
the Account o~ Plan ONLY when authoxized by County.
While Plan Admznistra~.or has na pxovisions for accumulating
i,ncome-tax withha].di.ngs from disbu~sements, P1an AdminYStrator
will make direc~ payment5 in.cJ.uding periodic payments to P1an
participants at the direct~.on of County.
While Federa~ R~gulata.ons impose certain i.nterest pena].ties
for ~arly wzthdrawals, ~here are many ca~ditians under which
withdrawals may be made without penalty, and Plan Admi.na.strator
wi11 advise Caunty to.u~ilize ~hose opti,ons whenever possible.
Furthermore, should a~ intexest pena7.ty be required by Fedexal
Regul.ations, P~an Admir~istratar will invake the absolute minimum
penalty allowed.
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Any wifihdrawal made as a result of the death af a P1an
par~icipant will nat 1oe subject to penalty.
8. PRIVTTY OF CONTRACT BETWEEN C4UNTY AND PARTICIPANT.
AJ.I. participants m~zst sign an individual P].an and Agree~-en~C
£orm prova.ded by Pl.an Administratar and acknow~edg~d by Gounty.
A11 participants must also complete anc~ si.gn ~he Set~lement
Agreemen~ and ~esignatian of Ben~~iciary ~orm.
P3an Administrator iai11 xetai.n copies of a11 such agreEments
and amendments far filing.
9. PLAN ADMINISTRATOR SERV~GES.
(a) Plan Adm~nistra~Car sha11 rel~.eve Caunty af all
administrative, baokkeeping, repartz.ng and payout
procedures.
(b} P~an Adm~nistrator sha].1 provi.de detailed quarterly
~ statemen~s ta ail P1an par~icipants, as we11 as
providing a cumula~iv'e quarterly r~eport to County.
[c} Plan Admi.n~.stra~ar wi11 assist ~n impl.emen~ing plan
by conducting meetings for County and Plan ~articipants
which are norma~.ly scheduled on a bi.ann.ua~. basis.
A1~ such me~tings will be conduc~C~d by P~an Adminis-
trator Representatives.
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(d) P1an Admznistrator sha11. be the source of supply
o£ all farms reT.ated to the Plan.
(e) In-house ~1ega1 counsel sha11 assis~C Pl.an Adm3nis-
trator in monitoring P1an ~o assure that P1an is
i,n compliance with all pertinent J.aws and regula~.ions,
and Plan Administrator sha~.~ advise County af
any changes in such laws and shall do so in writing.
{f) P1an Administra~ar shall repor~ per~.inent information
to outside agencies, as now ox later may be
requirec~, and furnish infarmation regarding Plan
to County ~or its records and accounting, as now
or later may be required.
(g) ~].an Administrator shall render these services at
no cost ~o the County ar Plan parti~a.pants.
10. COUNTY SERVICES. Coun~y shall provide ar cause to be
prov~.ded to ~.he Plan Admin~s-Cratox the following:
(a) Compl~te and accurate zn~ormation and any forms
or documents ~n completed farm which are necessary
~or Plan Administratvr to perform the services
xequired h~reunder, and which are reQuested by Plan
Admi.z~istratar in a time~y manner.
(b) Payroll d~duc~ion procedures and faciliti~s:
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(c) Assistance ~n scheduling for and pxoviding
£ac~lities for graup meetings between P1an
Administrator and participan~s ~or the purpos~
of distrihuting infoxmation relating to Plan.
(d) Assistance ~n obtaining such oth~r information
as may be need~~ fram t~me to ~ime by Plan
Administrator fax efficient adminis~rat~an ~f
PXan.
11. TERM. This agxeement sha~~ remain in fo~ce until either
party elec~s to texm~nate the a~greement in wxiting and ~orwards
such written notice of termination by registere~ mail to th~ other
pax~y.
. 12. TERMINATION. This agreement shall ~exminate not less
. than sixty (60) days after recei t af such written no~ice.
In the even~ terminati~n is by Coun~y, and the effective
date of such termination is at a time othex ~han the end of a quarter,
then County sha11 pay Plan Adminis~rator the reasanable costs of
preparing statemen~s of activzty and such other repar~s to be given
to County by P~an Adm~nistrator.
Upon ~erminatian by Caunty ax Plan Administratox, ful~
withdrawal of funds sha11 b~ subjec~ ta Federal Regu~ations governing
early withdrawals far Certificates of D~pas~ts.
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13. WARRANTY. P~an Administra~or hereby waxrants tha~ it
sha11 per£orm al~ serv~ces required hereunder in a care£u~, diligenr
and professional mann~x, and ~hat P~an Admxn~stra~or shall carrect
promptly any and a1~ errors made by i~ in the course of performance
of said service that may be discov~red fr~m t~me ~o rime.
1~. HOLD HARMLESS - GOUNTY, P1an Adminis~rator agrees
to hold County, its Board, commissions, officers, agents, and/or
employees, ~nc~ud~ng any Advisory Commzt~ee members, harmless
from any and al~ cla~ms, ~osses, damage or liability which County
may su~fer or incur by reason o~ P1an Administrator's ~ailure
to accura~ely or correctly per£oxm the services requixed of
it hereunder.
15. HOLD HARMLESS - PLAN ADMINISTRATOR. County agrees
to hold Plan Administrator harmless fram any and all claims,
~05SeS~ damage or ~iability which Plan Administrator may suffer
or incur by reason of County's £ailure to accura~ely or correct~y
per£oxm the services ~equired of it here~nder.
~6. AMENDMENT. This agreement may be amended ar modi£i~d
either by writ~en agreemen~ signed by both parties, or when
required by changes in applicable law.
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17. CQNF~DENTIA~FTY 0~ INF~RMAT~ON. All in£ormatian suppJ.ied
to, and aZ~ wark processed ax camp~.eted by P1an Admizxi.strator
or caused to be processed or completed by PXan Administrator
in furtherance af '~exms and conditions of th~s agreement sha].~
be kept con£idential by P].an Ad~ini.s~ratax. However, P~an Administra~or
sha~.~ not be,required.to keep ~on.fidential any informatiion or
any ~rork processed or completed ox caused to be process~d ax
comple~Ced which.is rec~uixed to be disclosed by P1an Administratar
in order to comply with applicable Federal, Sta'te and County
laws and xegu~atians.
1$. NQNASSIGNABILITY, It i.s ~nutually agreed that thi.s
agreemen~. shall not be assigned, nax sha1,1 any af the serv~.ces
agreed to be pex£armed o~ provided by P~.an Admini.strator hereunder
be assigned without first obtaining the express writCen consen'C
of County.
19. PLAN ADMINISTRATOR'S STATU~. In the performance
of the obligations set £orth in this agreemenr, Plan Ad~ninistrator
shal~ have ~.he sta'tus of an ~.~.dependent contractox,~ and in no
sense sha].1 Plan Administrator be cansidered an employee of
the County of But~e.
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IN WITN~SS WH~R~OF, the parties hereta have executed this
agreement, consis~~.ng of 13 pages including this pag~, the day
and year fi~st hexea.na~ter written.
Cou ty vf Butte
by
Sacr~.mento Sa
by
Vice Pres
Publ~c Fu
~ il 5
~t ar
, ~
Pla~
Loan Associa~ion
mini.s.trator
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