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PE:SEM:GY Santa Monica, California OCT 11 1983
Council Meeting: September 27, 1983
To: Mayor and City Council
From: City Staff
Subject: Resolution Amending ICMA Deferred Compensation
Plan and Executing ICMA Retirement Trust Agreement
Purpose
This report requests the adoption of a resolution amending
the ICMA Retirement Corporation Deferred Compensation plan
and executing the ICMA Retirement Trust Agreement,
Background
In addition to the City's Deferred Compensation Plan which is
separately approved by the IRS and currently using Great
~Iestern Savings as an investment;, vehicle, Council authorized
participation in the ICMA Retirement Corporation's Deferred
Compensation Plan for the City Manager as part of his
employment agreement. Reeent changes in IRS Regulations
pertaining to deferred compensation programs, referenced in
the staff report for agenda item 6D, "Resolution Amending the
City Deferred Compensation Plan to conform with IRS
Regulations", have been assessed by the ICMA Retirement
Corporation and necessary revisions to the ICMA plan have
been incorporated into the attached plan documents. The
revisions have been reviewed by staff, who concur with the
ICMA recommendation that a resolution. should be adopted to
amend 'the plan.
OCT 1 1 1983
Additionally, the ICMA suggests that the resolution establish
our participation in the Retirement Trust. This increases our
control over the plan administration by allowing the City to
vote on plan trustees.
Fiscal Impact
Amending the plan as recommended and participating in the
Trust involves no cost to the City and protects the integrity
of Deferred Compensation funds held by ICMA by bringing the
plan into conformance with IRS regulations.
Recommendation
It is recommended that Council adopt the attached resolution
amendzng the ICMA Deferred Compensation Plan to conform to
IRS regulations, and to execute the ICMA Retirement Trust
Agreement.
Prepared by: Susan McCarthy