HomeMy WebLinkAboutReso 2011-217RESOLUTION NO. 2011-217
RESOLUTION OF THE CITY COUNCIL OF THE CITY OF
CHULA VISTA APPROVING AN AMENDMENT TO THE
NATIONWIDE RETIREMENT SOLUTIONS, INC.
GOVERNMENTAL MONEY PURCHASE PLAN AND TRUST
(401(A) PLAN) REVISING SECTIONS E2 AND ES AND
ADDING A FINAL PAY PROVISION
WHEREAS, Staff is recommending that the City's Governmental Money Purchase Plan
(401(a) Plan) be amended to include a final pay provision for all eligible employees who are
actively participating in the Plan; and
WHEREAS, the proposed provision requires that, for any employee who is actively
participating in the 401 (a) Plan when the employee separates from employment with the City, the
City shall contribute the employee's accrued vacation payout to the 401 (a) Plan; and
WHEREAS, for those employees to which the proposed final pay provision would apply,
the provision would mean that the employees' accumulated vacation pay would be paid into a
tax-deferred program, rather than paid directly to the employees; and
WHEREAS, the it is not anticipated that the City would incur any costs as a result of the
proposed final pay provision and, in fact, there may be a slight savings because the 1.45% FICA
tax would not be paid on the funds deposited into the 401(a) Plan; and
WHEREAS, staff is also recommending that Sections E2 and ES of the 401(a) Plan be
amended to accurately reflect the current status of the plan contributions.
NOW, THEREFORE, BE IT RESOLVED that the City Council of the City of Chula Vista
does hereby approves the Amendment to the Nationwide Retirement Solutions, Inc.
Governmental Money Purchase Plan and Trust (401(a) Plan), a copy of which is on file in the
Office of the City Clerk.
Presented by
Approved as to form by
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Maria ~achadoorian Glen R. Googins \
Director of Finance/Treasurer ~ At ey ~J
Resolution No. 2011-217
Page 2
PASSED, APPROVED, and ADOPTED by the City Council of the City of Chula Vista,
California, this 15th day of November 2011 by the following vote:
AYES: Councilmembers: Aguilaz, Bensoussan and Cox
NAYS: Councilmembers: None
ABSENT: Councilmembers: Castaneda and Ramirz
Cheryl Cox, May '
ATTEST:
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Donna R. Norris, CMC, City Clerk
STATE OF CALIFORNIA
COUNTY OF SAN DIEGO
CITY OF CHULA VISTA
1, Donna R. Norris, City Clerk of Chula Vista, California, do hereby certify that the foregoing
Resolution No. 2011-217 was duly passed, approved, and adopted by the City Council at a
regular meeting of the Chula Vista City Council held on the 15th day of November 2011.
Executed this 15th day of November 2011.
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Donna R. Norris, CMC, City Clerk