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HomeMy WebLinkAboutRES CC 2007 2560 2007 0117RESOLUTION NO. 2007 -2560 A RESOLUTION OF THE CITY OF MOORPARK ADOPTING THE CALIFORNIA PUBLIC EMPLOYEE RETIREMENT SYSTEM'S EMPLOYER PICKUP RESOLUTION PRE -TAX PAYROLL DEDUCTION PLAN FOR SERVICE CREDIT PURCHASES (CONTRIBUTION CODE 14) WHEREAS, members of the California Public Employee Retirement System (CaIPERS) may elect to purchase additional service credit; and WHEREAS, CaIPERS service credit purchase payments may be deducted from employees who have purchased additional service credit as a pre -tax or after -tax payment if the employing agency has adopted the CaIPERS Employer Pickup Resolution Pre -Tax Payroll Deduction Plan for Service Credit Purchases (Contribution Code 14); and WHEREAS, the City of Moorpark has not yet adopted the CaIPERS resolution which would give the City authority to deduct pre -tax service credit payments; and WHEREAS, employee elected service credit purchases have no fiscal impact on the City of Moorpark regardless of whether they are deducted as pre -tax or after -tax payments. NOW, THEREFORE, THE CITY COUNCIL OF THE CITY OF MOORPARK DOES HEREBY RESOLVE AS FOLLOWS: SECTION 1. The City of Moorpark hereby adopts the CaIPERS Employer Pickup Resolution Pre -Tax Payroll Deductio an for Service Credit Purchases (Contribution Code 14). SECTION 2. The City Clerk 0all certify to the Adoption of this re olution and shall cause a certified resolution to b6 filed in the book of iriginal reWlutio s. PASSED AND ADOVTED this 17th day of Jfiny6ry ATTEST: Deborah S. Traffenstedt, 1!%v Clerk Attachment: CaIPERS Resolution Resolution No. 2007 -2560 Page 2 ATTACHMENT Return to CaIPERS — Unit 836 Employer code: 1362 EMPLOYER PICKUP RESOLUTION PRE -TAX PAYROLL DEDUCTION PLAN FOR SERVICE CREDIT PURCHASES (CONTRIBUTION CODE 14) WHEREAS, the Board of Administration of the California Public Employees' Retirement System (CaIPERS) at the April 1996 meeting approved a pre -tax payroll deduction plan for service credit purchases under Internal Revenue Code (IRC) section 414(h)(2); and WHEREAS, the City of Moorpark (Employer} has the authority to implement the provisions of IRC section 414(h)(2) and has determined that even though implementation is not required by law, the tax benefit offered by this section should be provided to those employees who are members of CaIPERS; and WHEREAS, the City of Moorpark {Employer} elects to participate in the pre -tax payroll deduction plan for all employees in the following CaIPERS Coverage Group(s): (Membership Coverage Group(s)} All Miscellaneous Groups NOW, THEREFORE, BE IT RESOLVED: That the City of Moorpark (Employer} will implement the provisions of IRC section 414(h)(2) by making employee contributions for service credit purchases pursuant to the California State Government Code on behalf of its employees who are members of CaIPERS and who have made a binding irrevocable election to participate in the pre -tax payroll deduction plan. "Employee contributions" shall mean those contributions reported to CaIPERS which are deducted from the salary of employees and are credited to individual employee accounts for service credit purchases, thereby resulting in tax deferral of employee contributions. II. That the contributions made by the City of Moorpark {Employer} to CaIPERS; although designated as employee contributions, are being paid by the City of Moorpark (Employer} in lieu of contributions by the employees who are members of CaIPERS. Resolution No. 2007 -2560 Page 3 III. That the employees shall not have the option of choosing to receive the contributed amounts directly instead of having them paid by the City of Moorpark (Employer} to CalPERS. IV. That the City of Moorpark {Employer} shall pay to CalPERS the contributions designated as employee contributions from the same source of funds as used in paying salary, thereby resulting in tax deferral of employee contributions. V. That the effective date for commencement of the pre -tax payroll deduction plan cannot be any earlier than the date the completed resolution is received and approved by CalPERS. VI. That the governing body of the City of Moorpark fEm foyer} shall participate in and adhere to requirements and restrictions of the pre -tax payroll deducti an by orting pre -tax payroll deductions when authorized by CalPERS for those emplo s of the above ated Coverage Group(s) wh ave elected to participate in this plan. A PASSED AND ADOPTED by the gotming body of the City of P oorpark /this 17th day of January, 1007. (year W.,if r'. Patrick Hutter, Mayor itle of Official) RETURN ADDRESS: Deborah Traffenstedt, City Clerk City of Moorpark 799 Moorpark Avenue Moorpark, CA 93021 FOR CALPERS USE ONLY Pre -tax payroll deduction plan effective date: Approved By: Title: MEMBER SERVICES DIVISION, Service credit section -Unit 830 Resolution No. 2007 -2560 Page 4 STATE OF CALIFORNIA ) COUNTY OF VENTURA ) ss. CITY OF MOORPARK ) I, Deborah S. Traffenstedt, City Clerk of the City of Moorpark, California, do hereby certify under penalty of perjury that the foregoing Resolution No. 2007 -2560 was adopted by the City Council of the City of Moorpark at a regular meeting held on the 17th day of January, 2007, and that the same was adopted by the following vote: AYES: Councilmembers Mikos, Millhouse, Parvin, Van Dam, and Mayor Hunter NOES: None ABSENT: None ABSTAIN: None 411110 WITNESS my hand and the official seal of said City this 21st day of February, �1 e—n�a I Deborah S. Traffenstedt, City erk (seal)