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HomeMy WebLinkAboutRes 1994-45L RESOLUTION NO.1994-Wg A RESOLUTION OF THE MAYOR AND COMMON COUNCIL OF THE TOWN OF FOUNTAIN HILLS,ARIZONA; APPROVING THE ADOPTION AGREEMENT FOR THE ICMA RETIREMENT CORPORATION PROTOTYPE MONEY PURCHASE PLAN AND TRUST FOR THE EMPLOYEES OF THE TOWN;PROVIDING THAT THE TOWN WILL "PICK UP"THE MANDATORY CONTRIBUTIONS BY THE EMPLOYEES;AND DECLARING AN EMERGENCY. WHEREAS,the Town has employees rendering valuable services;and WHEREAS,the establishment of a money purchase pension plan benefits such employees by providing funds for retirement and funds for their beneficiaries in the event of death;and WHEREAS,the Town desires that its money purchase pension plan be administered by the ICMA Retirement Corporation and that the funds held under such plan be invested in the ICMA Retirement Trust,a trust established by public employers for the collective investment of funds held under their retirement and deferred compensation plans;and WHEREAS,the Council desires to require the Town to "pick up"the mandatory employee contributions made on behalf of the Town employees;and NOW,THEREFORE,BE IT RESOLVED by the Mayor and Common Council of the Town of Fountain Hills,Arizona,that,effective November 1,1994,the Town hereby establishes a money purchase retirement plan known as the "Town of Fountain Hills Money Pension Plan"(hereafter,the "Plan")in the form of the ICMA Prototype Money Purchase Pension Plan and Trust,pursuant to the specific provisions of an Adoption Agreement;and BE IT FURTHER RESOLVED,that the employees eligible to participate under the Plan shall be all full-time employees of the Town,other than the Town Manager and the Deputy Marshals; and BE IT FURTHER RESOLVED,that the Plan shall be maintained for the exclusive benefit of eligible employees and their beneficiaries;and BE IT FURTHER RESOLVED,that the Mayor is hereby authorized and directed to execute the Adoption Agreement establishing the Plan;and RSL852CWWA-S SUC092994 \|gs/ Vsjijgs/ BE IT FURTHER RESOLVED,that the Town hereby agrees to serve as trustee under the Plan and to invest funds held under the Plan in the ICMA Retirement Trust;and BE IT FURTHER RESOLVED,that the Town Accountant shall be the coordinator for the Plan;shall receive necessary reports and notices from the ICMA Retirement Corporation or the ICMA Retirement Trust;shall cast,on behalf of the Town,any required votes under the ICMA Retirement Trust;may delegate any administrative duties relating to the Plan to the appropriate department;and BE IT FURTHER RESOLVED,that the Town hereby authorizes Paul L.Nordin,Town Manager,to execute all necessary agreements with the ICMA Retirement Corporation incidental to the admini stration of the plan;and BE IT FURTHER RESOLVED,that the Town has elected to pick up the mandatory employee contributions effective November 1,1994;and BE IT FURTHER RESOLVED,that although the mandatory employee contributions shall be picked up by the Town in lieu of contributions by the eligible employees,the eligible employees' salary or other compensation shall be reduced by the amount of picked up contributions;and BE IT FURTHER RESOLVED,that as a condition to employ ment and further employment by the Town,the eligible employees are required to participate in the Plan;and BE IT FURTHER RESOLVED,that the eligible employees shall not have the option to receive such picked up amounts directly;and BE IT FURTHER RESOLVED,that effective November 1, 1994,and until further Resolution of the Mayor and the Common Council,the Town's contribution rate shall be 8%of the eligible employees'earnings;and the mandatory employee contribution rate shall be 4.5%of the eligible employees'earnings;and BE IT FURTHER RESOLVED,that the plan year of the twelve month period commencing July 1 and ending June 30 shall be the limitation year under the plan;and BE IT FURTHER RESOLVED,that the immediate operation of this Resolution is necessary for the preservation of the public peace,health,and safety and therefore an emergency is hereby declared to exist and this Resolution shall be in full force and effect immediately after its passage and adoption. -2- PASSED AND ADOPTED BY THE Mayor and Common Council of the Town of Fountain Hills,Arizona,this Lrl~K &ay °f (SlAtttur 1994. ATTEST: Cassie B.Hansen, Town Clerk APPROVED AS TO FORM, William E.Farfe^ll, Town Attorney REVIEWED BY: Paul L.Nordin Town Manager John If ./Cutillo,Mayor -3-