R-8986
.
e
RESOLUTION 8986 (CCS)
(CITY COUNCIL SERIES)
A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF SANTA MONICA
AUTHORIZING THE CITY OF SANTA MONICA TO IMPLEMENT THE PROVISIONS
OF SECTION 414(h)(2) OF THE INTERNAL REVENUE CODE
WHEREAS , the City of Santa MOnica has the authority to Implement the
provIsions of Section 414{h)(2) of the Internal Revenue Code (IRC); and
WHEREAS, the Board of Administration of the Public Employees' Retirement
System adopted Its resolution re Section 414{h)(2) IRC on September 18, 1985; and
WHEREAS, the Internal Revenue Service has stated In December 1985 that the
ImplementatIon of the provIsIons of SectIon 414(h}(2) IRC pursuant to the ResolutIon
of the Board of Administration would satisfy the legal requirements of Section
414(h)(2) IRC; and
WHEREAS, the City of Santa MOnica has determined that even though the
Implementation of the provIsions of Section 414{h)(2) IS not reqUired by law, the tax
benefit offered by Section 414(h)(2) IRC should be proVided to its employees who are
members of the Public Employees' Retirement System,
NOW, THEREFORE, THE CITY COUNCIL OF THE CITY OF SANTA MONICA
DOES RESOLVE AS FOLLOWS:
.
e
Section 1. That the City of Santa MOnica will implement the provIsions of
Section 414(h)(2) IRC by making employee contributions pursuant to California
Government Code Section 20615 to the Public Employees' Retirement System on
behalf of its employees who are members of the Public Employees' Retirement
System "Employee contributions" shall mean those contributions of the Public
Employees' Retirement System which are deducted from the salary of employees and
are credited to Individual employee's accounts pursuant to California Government
Code Section 20615.
Section 2. That the contributions made by the City of Santa MOnica to the
Public Employees' Retirement System, although deSignated as employee contributions,
are being paid by the City of Santa MOnica In lieu of contributions by the employees
who are members of the Public Employees' Retirement System.
SectIon 3. That employees shall not have the option of choosing to receive the
contributed amounts directly Instead of haVing them paid by the City of Santa MOnica
to the Public Employees' Retirement System.
SectIon 4. That the City of Santa MOnica shall pay to the Public Employees'
RetIrement System the contributIons deSIgnated as employee contributIons from the
same source of funds as used In paYing salary
Section 5. That the amount of the contributions deSignated as employee
e
e
contributions and paid by the City of Santa MOnica to the Public Employees'
Retirement System on behalf of an employee shall be the entire contribution required
of the employee by the Public Employees' Retirement Law (California Government
Code Sections 20000, et seq.).
Section 6. That the contnbutlons desIgnated as employee contributions made
by the City of Santa MOnica to the Public Employees' Retirement System shall be
treated for all purposes, other than taxation, In the same way that member
contnbutlOns are treated by the Public Employees' Retirement System
Section 7. The City Clerk shall certify to the adoption of this Resolution and
thenceforth and thereafter the same shall be In full force and effect.
APPROVED AS TO FORM:
~L<i nuu~
MARSHA J~~UTRIE -
City Attorney
e
e
Adopted and approved tlus 9th of January, 1996
~~~
Mayor
I hereby certIfy that the foregomg ResolutIOn 8986 (CeS) was duly adopted at a meetmg
of the CIty Councll held on the 9th of January, 1996 by the followmg vote
Aves
"'
CouncIl members
Abdo, Ebner, Genser, Holbrook, Rosenstem
Noes
CouncIl members
None
Abstam
CouncIl members
None
Absent
CouncIl members
Greenberg, O'Connor
ATTEST
~ ~ .~t
CIty Clerk \