HomeMy WebLinkAboutCC RES 10-41RESOLUTION NO. 10-41
~ : A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF
TUSTIN, CALIFORNIA, AUTHORIZING TAX DEFERRED
MEMBER CONTRIBUTIONS TO THE CALIFORNIA
PUBLIC EMPLOYEES' RETIREMENT SYSTEM UNDER
INTERNAL REVENUE CODE SECTION 414(h)(2)
WHEREAS, the City of Tustin, California (the "City") has the authority to
implement the provisions of Section 414(h)(2) of the Internal Revenue Code (IRC); and
WHEREAS, the City has determined that even though the implementation of the
provisions of Section 414(h)(2) IRC is not required by law, the tax benefit offered by
Section 414(h)(2) IRC should be provided to all employees who are members of the
California Public Employees' Retirement System (CaIPERS):
NOW, THEREFORE, BE IT RESOLVED:
That the City will implement the provisions of Section 414(h)(2) IRC by making
employee contributions pursuant to California Government Code Section 20691
to CaIPERS on behalf of its employees who are members of CaIPERS.
"Employee contributions" shall mean those contributions to CaIPERS which are
deducted from the salary of employees and are credited to individual employees'
accounts pursuant to California Government Code Section 20691.
II. That the contributions made by the City to CaIPERS, although designated as
employee contributions, are being paid by the City in lieu of contributions by the
employees who are members of CaIPERS.
III. That employees shall not have the option of choosing to receive the contributed
amounts directly instead of having them paid by the City to CaIPERS.
IV. That the City shall pay to CaIPERS the contributions designated as employee
contributions from the same source of funds as used in paying salary.
V. That the amount of the contributions designated as employee contributions and
paid by the City to CaIPERS 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.).
VI. That the contributions designated as employee contributions made by the City to
CaIPERS shall be treated for all purposes, other than taxation, in the same way
that member contributions are treated by CaIPERS.
Resolution 10-41
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PASSED AND ADOPTED at a regular meeting of the City Council of the City of
Tustin held on the 18t" day of May 2010.
ATTEST:
PA ELA STOKER
City Clerk
STATE OF CALIFORNIA )
COUNTY OF ORANGE ) SS
CITY OF TUSTIN )
I, Pamela Stoker, City Clerk and ex-officio Clerk of the City Council of the City of Tustin,
California, do hereby certify that the whole number of the members of the City Council of
the City of Tustin is five; that the above and foregoing Resolution No. 10-41 was duly
passed and adopted at a regular meeting of the Tustin City Council, held on the 18t" day
of May 2010, by the following vote:
COUNCILMEMBER AYES: Amante, Nielsen, Davert, Palmer, Gavello (5)
COUNCILMEMBER NOES: None (~)
COUNCILMEMBER ABSTAINED: None (~)
COUNCILMEMBER ABSENT: None (~)
PA LA STOKER
City Clerk
Resolution 10-41
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