HomeMy WebLinkAboutCC RESO 2012-95RESOLUTION NO. 2012 — 95
RESOLUTION OF THE CITY COUNCIL OF THE CITY OF NATIONAL CITY
AUTHORIZING THE CITY MANAGER EXECUTE AN AGREEMENT WITH
NATIONWIDE RETIREMENT SOLUTIONS TO ESTABLISH A DEFERRED
COMPENSATION PLAN FOR CITY OF NATIONAL CITY EMPLOYEES
REPRESENTED BY THE NATIONAL CITY FIREFIGHTERS' ASSOCIATION
WHEREAS, pursuant to Resolution No. 14,431, adopted on September 4, 1984,
the City of National City established a Deferred Compensation Plan (the "Plan") for permanent
City of National City employees, and appointed ICMA Retirement Corporation to serve as the
administrator of the Plan; and
WHEREAS, under the terms of the Plan, employees have the opportunity to
make investments for the purpose of creating retirement income on a pre-tax basis via payroll
deductions; and
WHEREAS, on August 16, 2011, the City Council adopted Resolution 2011-184,
approving a Memorandum of Understanding ("MOU") between the City and the National City
Firefighters' Association ("FFA"), for the period of January 1, 2011 through December 31, 2013;
and
WHEREAS, under the terms of Article 32 of the MOU, employees represented by
the FFA have the option of establishing a Deferred Compensation Plan through Nationwide
Retirement Solutions ("Nationwide") in lieu of the ICMA Plan; and
WHEREAS, the City seeks to establish a Deferred Compensation Plan through
Nationwide that will be made available to all eligible employees participating in said Plan
pursuant to Section 457 of the Internal Revenue Code permitting such plans; and
WHEREAS, certain tax benefits could accrue to eligible employees participating
in said Deferred Compensation Plan; and
WHEREAS, such benefits will act as incentives to employees to voluntarily set
aside and invest portions of their current income to meet their future financial requirements and
supplement their retirement; and
WHEREAS, by adoption of the Nationwide Plan, all regulatory, operational and
administrative responsibility for maintaining the Deferred Compensation Plan will be assumed
by Nationwide on behalf of the City; and
WHEREAS, Nationwide, as Plan Administrator, agrees to hold harmless and
indemnify the City of National City, its appointed and elected officers, and participating
employees from any loss resulting from the City or its Agent's failure to perform its duties and
services pursuant to the Nationwide Program; and
WHEREAS, to ensure that both the Nationwide Plan and the ICMA Plan remain
compliant with IRS provisions, eligible employees will have the option of selecting either the
ICMA Plan or the Nationwide Plan, but may not be simultaneously enrolled in both.
NOW, THEREFORE, BE IT RESOLVED that the City Council of the City of
National City hereby adopts the Nationwide Deferred Compensation Plan.
Resolution No. 2012 — 95
Page Two
BE IT FURTHER RESOLVED that the City Council hereby authorizes the City
Manager to execute an Agreement with Nationwide Retirement Solutions for the establishment
of the National City Deferred Compensation Plan for the voluntary participation of all eligible
employees. Said Agreement is on file in the office of the City Clerk.
BE IT FURTHER RESOLVED that the City Council hereby authorizes the City
Manager to execute on behalf of the City of National City individual participation agreements
with each said eligible employee requesting to participate in the National City Deferred
Compensation Plan, and to act as the "Administrator" of the Plan, and to execute such
agreements and contracts as are necessary to implement the Program.
PASSED and ADOPTED this lst day of Mj, 2012.
Ron Morrison, Mayor
ATTEST:
/1
Michael R. Dalla, City Clerk
APPROVED AS TO FORM:
Claudia Gacitu
City Attorney
Passed and adopted by the Council of the City of National City, California, on May 1,
2012 by the following vote, to -wit:
Ayes: Councilmembers Morrison, Natividad, Rios, Sotelo-Solis, Zarate.
Nays: None.
Absent: None.
Abstain: None.
AUTHENTICATED BY: RON MORRISON
Mayor of the City of National City, California
fr
er of the City of ation
City CI al City, California
By:
Deputy
I HEREBY CERTIFY that the above and foregoing is a full, true and correct copy of
RESOLUTION NO. 2012-95 the City of National City, California, passed and adopted
by the Council of said City on May 1, 2012.
City Clerk of the City of National City, California
By:
Deputy