HomeMy WebLinkAbout88-011W I
~,, .Y ~ ~_ BOARD OF SU~'ERVI
,~ ~ti 5 ,) - -y ~ COUNTY OF BUTTB, STATE OF CALlI
•a _ :: +
r
Kesolufion P
RESOLUTION OF THE BOARD OF SUPERVISORS
OF THE COUNTY OF BUTTE IMPLEMENTING RETIREMENT CONTRIBUTIONS
"PICK UP" FOR JUDGES PAID BY BUTTE COUNTY
WHEREAS, Government Code Section 75103.3 authorized the County to
"pick up", for the sole purpose of deferring income taxes thereon, the normal
contributions made by county paid members of the Judges' Retirement System;
and
WHEREAS, Section 414(h)(2) of the Internal Revenue Code empowers
employers to "pick up" retirement contributions on behalf of employees; and
WHEREAS, such contributions are not included in the employee's gross
income in the year in which such amounts are contributed by the employer; and
WHEREAS, such amounts are includable in the gross income of the
employee, or beneficiary, in the taxable year in which such amounts are
distributed; and
WHEREAS, Section 17501 of the Revenue and Taxation Code incorporates
the provisions of Section 4141h)l2); and
WHEREAS, the County Counsel has determined that the Board of
Supervisors is authorized to implement the "pick up" of such member
contributions; and
WHEREAS, the adopt of this resolution will not result is any
additional cost to the County of Butte.
NOW, THEREFORE, BE iT RESOLVED by the Board of Supervisors of the
County of Butte that:
1. The Auditor-Controller shall implement the "pick up" of county
paid member contributions to the Judges' Retirement System effective with the
earnings paid and the contributions made on or after March 1, 1988.
2. The county shall make member contributions on behalf of county
paid judicial officers, which shall be in lieu of contributions by said
officers to the Judges' Retirement System. such contributions shall be
treated as employer contributions for purposes of reporting and wage
withholding under the Internal REvenue Code and the Revenue and Taxation Code.
-2-
3. The amount "picked up", under Section 414{h)(2), shall be
recouped through an offset against the salary of each judicial officer for
whom the county "picks up" member contributions. This offset is similar to a
reduction in salary and shall be made solely for purposes of income tax
reporting and withholding. The member contributions "picked ug" by the county
shall be treated as compensation paid to judicial officers for all other
purposes.
4. County paid employer contributions to the IRS shall be paid for
the same source of Funds as used in paying the salaries of the affected
judicial officers.
5. No judicial officer shall have the option to receive the county
employer contributed amounts directly instead of having them paid to the
Judges' Retirement System.
5. The county paid member contributions shall be reported to the
Judges' Retirement System as employer-paid normal contributions; under
Section 75103.3 such contributions will be created to the judges' account in
the Judges' Retirement Fund.
BE IT FURTHER RESOLVED that this resolution shall remain in effect
until repealed, or until such time as employer paid employee retirement
contributions are no longer excludable from employee gross income wader the
provisions of the Internal Revenue Code.
PASSED AND ADOPTED by the Board of Supervisors of the County of
Butte, this 2nd day of February. 1988, by the following vote:
AYES: Supervisors Dolan, Fulton, McLaughlin, Uercruse and
Chairman McInturf
NOES: None
ABSENT: None
NOT VOTING: None
HASKEL McINTURF, Chair of the
Butte County Board of upervisors
ATTEST:
MARTIN J. NICHOLS, Chief Administrative
Offic and_.~b~,Cl~)lerk of the Board
By : ~ ~ / Ls a~ G~ ..