HomeMy WebLinkAboutCDC/2011-52
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RESOLUTION NO. CDC/2011-52
RESOLUTION OF THE COMMUNITY DEVELOPMENT COMMISSION OF
THE CITY OF SAN BERNARDINO IMPLEMENTING PROVISIONS OF
THE INTERNAL REVENUE CODE SECTION 414(H)(2) FOR
MISCELLANEOUS EMPLOYEES AND AUTHORIZING A PRE-TAX
PAYROLL DEDUCTION PLAN FOR SERVICE CREDIT PURCHASES
WHEREAS, the Redevelopment Agency of the City of San Bernardino (the "Agency") is a
public body, corporate and politic; and
WHEREAS, the Board of Administration of the California Public Employees' Retirement
System ("CaIPERS") at the 1996 meeting approved a pre-tax payroll deduction plan for service
credits purchases under Internal Revenue Code ("IRC") Section 414(h)(2); and
WHEREAS, the Community Development Commission of the City of San Bernardino
("Commission") 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 member of CaIPERS; and
WHEREAS, the Commission elects to participate in the pre-tax payroll deduction plan for
all employees in the Miscellaneous CalPERS Coverage Group.
NOW, THEREFORE, THE COMMUNITY DEVELOPMENT COMMISSION OF THE
CITY OF SAN BERNARDINO DOES HEREBY RESOLVE, DETERMINE AND ORDER, AS
FOLLOWS:
Section 1.
The Commission hereby approves the implementation of 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 CalPERS
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 CalPERS which are
deducted from the salary of employees and are credited to individual employee accounts for services
credit purchases, thereby resulting in tax deferral of employee contributions.
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CDc/2011-52
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Section 2.
The contributions made by the City of San Bernardino Economic
2 Development Agency to CaIPERS, although designated as employee contributions, are being paid
3 by the City of San Bernardino Economic Development Agency in lieu of contributions by the
4 employees who are members ofCaIPERS.
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Section 3.
The employees shall not have the option of choosing to receive the
6 contributed amounts directly instead of having them paid by the City of San Bernardino Economic
7 Development Agency to CaIPERS.
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Section 4.
The City of San Bernardino Economic Development Agency shall pay to
9 CalPERS the contributions designated as employee contributions from the same source of funds as
10 used in paying salary, thereby resulting in tax deferral of employee contributions.
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Section 5.
The effective date for commencement of the pre-tax deduction plan carmot be
12 any earlier than the date the completed Resolution is received and approved by CaIPERS.
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Section 6.
The governing body of the City of San Bernardino Economic Development
14 Agency shall participate in and adhere to requirements and restrictions of the pre-tax payroll
15 deductions when authorized by CalPERS for those employees of the above stated Coverage Group
16 who have elected to participate in the plan.
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Section 7.
This Resolution shall take effect from and after its date of adoption by this
18 Commission.
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P:\Agendas\Resolutions\ResolutionsI2011108-01-11 PERS Service Credit buy back programdocx
CDC/2011-52
1
RESOLUTION OF THE COMMUNITY DEVELOPMENT COMMISSION OF
THE CITY OF SAN BERNARDINO IMPLEMENTING PROVISIONS OF
THE INTERNAL REVENUE CODE SECTION 414(H)(2) FOR
MISCELLANEOUS EMPLOYEES AND AUTHORIZING A PRE-TAX A
PAYROLL DEDUCTION PLAN FOR SERVICE CREDIT PURCHASES
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I HEREBY CERTIFY that the foregoing Resolution was duly adopted by the Community
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Development Commission of the City of San Bernardino at a joint regular
meeting
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thereof, held on the 1st day of August
,2011 by the following vote, to wit:
8 Commission Members:
Aves Navs
9 MARQUEZ x
10 JENKINS x
-
11 BRINKER x
12 SHORETT ---'L
13 KELLEY --X-
14 JOHNSON x
15 MC CAMMACK x
-
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Abstain
Absent
~.Qf?
Secretary
19 The foregoing Resolution is hereby approved this 02'l..(dayof
All~w::t
,2011.
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Approved as to Form:
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26 By: C. ~gA V'tJ
27 Agency Coudsel
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