Exh 6A Part 1AGENDA ITEM 6A
FEBRUARY 11, 2002
CITY OF ATLANTIC BEACH
CITY COMMISSIONER MEETING
STAFF REPORT
ACTION REQUESTED: Approved Resolution adopting the ICMA-RC Mode1401 Qualified
Money Purchase Retirement Plan and authorize Mayor to sign the
Adoption Agreement.
SUBMITTED BY: George Foster, Human Resource Manager
DATE: February 4, 2002
BACKGROUND: In 1996, the City of Atlantic Beach established an ICMA 401
qualified retirement plan.
Based upon significant changes to the caws governing Code
Section 401 money purchase plans over the past years, and
specifically, January 1, 2002 per the Economic Growth and Tax
Relief Reconciliation Act of 2001 ("EGTRRA"), it is necessary to
adopt a new 401 Government Money Purchase Plan and Trust
Document and Adoption Agreement.
The proposed Adoption Agreement is identical to the current
Adoption Agreement with the exception of the Normal Retirement
Age which has been increased from age 54 to age 65 and the
employer contribution rate which has been reduced from 15% to
9.25%.
FUNDING: There are no changes to funding requirements.
RECOMMENDATIONS: That the City Commission approve the Resolution and authorize
the Mayor to sign the Adoption Agreement to the Atlantic Beach
401 Qualified Money Purchase Retirement Plan.
ATTACHMENTS: 1 Resolution
2. Proposed Adoption Agreement
3. Current (1996) Adoption Agreement
4. New Plan and Trust Document
CITY MANAGER:
AGENDA ITEM 6A
FEBRUARY 11, 2002
RESOLUTION NO:
02-01
A RESOLUTION OF THE CITY OF ATLANTIC BEACH, FLORIDA,
ADOPTING THE ICMA-RC MODEL 401 QUALIFIED MONEY PURCHASE
RETIREMENT PLAN DOCUMENT AND ESTABLISHING AN
AMENDMENT
WHEREAS, the City of Atlantic Beach (Employer) has a City Manager rendering valuable services;
and
WHEREAS, the employer has established a qualified plan for the City Manager that serves the
interest of the Employer by enabling it to provide reasonable retirement security for the City Manager,
by providing increased flexibility in its personnel management system, and by assisting in the
attraction and retention of City Managers; and
WHEREAS, the Employer has determined that the continuance of the qualified retirement plan will.
serve these objecfives; and
WHEREAS, amendments to the Internal Revenue Code have been enacted that require changes to the
structure of and allow enhancements of the benefits of the qualified retirement plan;
NOW THEREFORE BE IT RESOLVED that the Plan is hereby amended and restates the
qualified retirement plan (the "Plan's in the form of The ICMA Retirement Corporation Government
Money Purchase Plan & Trust.
BE IT FURTHER RESOLVED that the assets of the Plan shall be held in trust, with the Employer
serving as trustee ("Trustee"), for the exclusive benefit of Plan participants and their beneficiazies, and,
the assets shall not be diverted to any other purpose. The Trustee's beneficial ownership of Plan assets
held in Vantage Trust shall be held for the further exclusive benefit of Plan participants and their
beneficiaries.
BE IT FURTHER RESOLVED that the employer hereby agrees to serve as Trustee under the Plan.
This resolution shall take effect upon its final passage and adoption.
PASSED AND ADOPTED on this day of
Approved as to form and correctness:
Alan C. Jensen, Esquire
City Attorney
2002.
John S. Meserve
.,Mayor
Attested:
.Maureen King, CMC
City Clerk
AGENDA ITEM 6A
FEBRUARY 11, 2002
AMENDMENT
ICMA RETIREMENT CORPORATION
GOVERNMENTAL MONEY PURCHASE PLAN & TRUST
ADOPTION AGREEMENT
ICMA-RC Accoun[ #: 109494
The Employer hereby establishes a Money Purchase Plan and Trust to be known as
The City Manager's Plan (the "Plan") in the form of the ICMA
:Retirement Corporation Governmental Money Purchase Plan and Trust.
This Plan is an amendment and restatement of an existing defined contribution money purchase plan.
X .Yes No
If yes, please specify the name ofthe defined contribution money purchase plan which this Plan hereby
amends and restates:
The City Manager's Plan
Employer: City of Atlantic Beach
The Effective Date of the Plan shall be the first day of the Plan Yeaz duzing which the Em-
ployer adopts the. Plan, unless an alternate Effective Date is hereby specified:
N/A
Plan Yeaz will mean:
( j The twelve (12) consecutive month period which coincides with the limitation
yeaz. (See Section. S.Q4(i) of the Plan.)
(X) The twelve (12) consecutive month period commencing on 10/1
and each anniversary thereof.
.Normal Retirement Age shall be age 65 (not to exceed age 65).
AGENDA ITEM 6A
FEBRUARY 11, 2002
V. ELIGIBLLITY REQUIREMENTS:
1. The following group or groups of Employees are eligible to participate in the Plan:
All Employees
All. Full-Time Employees
Salaried. Employees
Non-union Employees
' Management Employees
Public Safety Employees
General Employees
X Other (specify below)
City Manager
The group specified must correspond to a group of the same designation that is defined
in the statutes, ordinances, rules, regulations, personnel manuals or other material in
effect in the state or locality of the Employer.
2. The Employer hereby waives or reduces the requirement of a twelve (12) month
Period of Service for participation. The required Period of Service shall be N A'
(write N/A ff an Employee is eligible to participate upon employment).
If this waiver or reduction is elected, it shall apply to all Employees within the Covered
Employment Classification.
3. A minimum as requirement is hereby specified for eligibility to participate. The
m;n;mum age requirement is N/A (not to exceed age 21. Write N/A if no mini-
mum age is declared.)
VI. CONTRIBUTION PROVISIONS
1. The Employer shall contribute as follows (choose one):
(X) Fixed Employer Contributions. With Or Without Mandatory
Participant Contributions.
The Employer shall contribute on behalf of each Participant 9.25 % of
Earnings or $ £or the Plan Yeaz (subject to the limitations of
Article V of the Plan): Each Participant is required to contribute
0 % of Earning or $ for the Pian Yeaz as a condition of
participation in the Plan.. (Write "0" if no contribution is required.) -If
Pazticipant Contributions are required under this option, a Participant
shall not have the right to discontinue oz vary the rate of such contribu-
dons after becoming a Plan Participant.
AGENDA ITEM 6A
FEBRUARX 11, 2002
The Employer hereby elects to "pick up" the Mandatory/Required
Participant Contribution.
_ .Yes X No
[Note to Employer: Adetermination-letter issued to an adopting .
Employer is not a ruling by the Internal Revenue Service chat Partici-
pant contributions that are picked up by the Employer are not includ-
able in the Participant's gross income for federal income tax purposes.
The Employer may seek such a ruling.
Picked up contributions are excludable from the Participant's gross
income under section 414(h)(2) of the Intemal Revenue Code of 1986
. only if they meet the requirements of Rev. Rul. 81-35, 1981-1 C.B.
255. Those requirements aze (1) that the Employer musrspecify that
the contributions, although designated as employee contributions, are
being paid by the Employer in lieu of contributions by the employee;
and (2) the employee must not have .the option of receiving the contrib-
. uted amounts directly instead of having them paid by the Employer to
the plan.]
( ) 'Fixed Employer Match of Participant Contributions.
The Employer shall contribute bn behalf of each Participant _% of
Earnings forahe Plan Year (subject to the limitations of Article V of the
Plan) for each Plan Yeaz that such Participant has contributed _% of
Earnings or $ .Under this option, there is a single, fated rate
of Employer contributions, but a Participant may decline to make the
required Participant contributions in any Plan Yeaz, in which case no
Employer contribution will be made on the Participant's behalf in that
Plan Year. .
( ) Variable Employer Match Of Participant Contributions.
The Employer shall contribute on behalf of each Participant an amount
determined as follows .(subject to the limitations of Article V of the
Plan):
of the contributions made by the Participant for the Plan Yeaz
(not including Participant contributions exceeding _% of Earnings
or $ l;
PLUS % of the contributions made by the Participant'for the Plan
Year in excess of those included in the above paragraph (but not indud-
ing Participant contributions exceeding in the aggregate _% of
Earnings or $_ 1•
AGENDA ITEM 6A
FEBRUARY 11, 2002
Employer Contributions on behalf of a Participant for a Plan Year shall
not exceed ~$ or _% of Earnings, whichever is _ more
or less.
2. Each Participant may make a voluntary (unmatched), after-tax contribution, subject to
the limitations of Section 4.05 and Article V of the Plan.
X Yes - No
3. Employer contributions and Participant contributions shall be contributed to the Trust
in accordance with the following payment schedule:
• Bi-weekly
VII. EARNINGS
Earnings, as defined under Section 2.09 of the Plan, shall include:
(a) Overtime
Yes X No
ro) Bonuses
X `Yes ~ No
VIIL LIMITATION ON ALLOCATIONS
If the Employer maintains or ever maintained another qualified plan in which any Participant
in this.Plan is (or was) a participant or could possibly become a participant, the Employer
hereby agrees to limit contributions to all such plans as provided herein, if necessary in order to
avoid excess contributions (as described in Sections 5.02 and 5.03 of the Plan).
1. If the Participant is covered under another qualified defined contribution plan main-
rained by the Employer, the provisions of Section 5.02(a) through (f) of.the Plan will.
,apply unless another method has been indicated below. -
( ) Other Method. (Provide. the method under which the plans wiIl,limit
total Annual Additions to the Maximum Permissible Amount, and will
properly reduce any excess amounts, in a manner that precludes Em-
ployer discretion.)
AGENDA ITEM 6A
FEBRUARY 11, 2002
2. If the Participant is or has ever been a participant in a defined benefit plan maintained
by the Employer, and if the limitation in Section 5.03 of the Plan would be exceeded,
then the Participant's Projected Annual Benefit under the defined benefit plan shall be .
reduced in accordance with the terms thereof to the extent necessary to satisfy such
limitation: If such plan does not provide for such reduction, or if the limitation is still
exceeded after the reduction, annual additions shall be reduced to the extent necessary
in the manner described in Sections 5.02 and 5.02. The methods of avoiding the
limitation described in this paragraph will not apply. if the Employer indicates another
method below.
( ) Other Method. (Note to Employer: Provide below language which
will satisfy the 1.0 limitation of section 415(e) of the Code. Such
language must preclude Employer discretion. See section 1.415-1 of
the Regulations for guidance.)
3. The limitation yeaz is the following 12-consecutive month period:
IX. VESTING PROVISIONS
-The, Employer hereby specifies the following vesting schedule; subject to (1) the m;n;mum
.vesting requirements as noted and (2) the concurrence of the Plan: Administrator.
Years of
Service Percent
Completed Vestine
Zero 100
One %
Two
Three
Four /°
Five
.. %
SLY %
Seven
Eight
Nine
Ten
AGENDA ITEM 6A
FEBRUARY 11, 2002
X. Loans are permitted under the Plan, as provided in Article XIII:
X Yes No
XI. The Employer hereby attests that it is a unit of state or local govemment or an agency or
instrumentality of one or more units of state or local government.
XII. The Plan Administrator hereby agrees to inform the Employer of any amendmenu to the Plan
made pursuant to Section 14.05 of the Plan or of the discontinuance or abandonment of the
Plan.
XIII. The Employer hereby appoints the ICMA Retirement Corporation as the Plan Administrator
pursuant to the terms and conditions of the ICMA RETIREMENT CORPORATION
GOVERNMENTAL MONEY PURCHASE PLAN & TRUST.
The Employer hereby agrees to the provisions of the Plan and Trust.
XIV. The Employer hereby acknowledges it understands that failure to properly fill out this Adop-
tion Agreement. may result in disqualification of the Plan.
XV. An adopting Employer may not rely on a determination letter issued by the National or Dis-
trio Office of the Internal Revenue.Service as evidence that the Plan is qualified under section
401 of the Intemal Revenue Code. In order to obtain reliance with respect to plan qualifica-
tion, the Employer must apply to the appropriate key district office for a detemunation letter.
In Witness Whereof, the Employer hereby causes this Agreement to be executed on this l lth day of
..February ,2002
EMPLOYER ICMA RETIREMENT CORPORATION
sy: By:
.Title: Mayor Title: Corporate Secretary
Attest: Artest:
AGENDA ITEM 6A
FEBRUARY 11, 2002
ICMA RETFREMENT CORPORATION
PROTOTYPE MONEY PURCHASE PLAN &TRUST
ADOPTION AGREEMENT
#001
Account Number 9494
The Employer hereby establishes a Money Purchase Plan and Trust to be known as
The City Mana¢er's Plan (the "Plan") in the form of the ICMA Retirement
Corporation Protorype Money Purchase Plan and Trust.
This Plari is an amendment and restatement of an existing defined contribution money purchase plan.
^ Yes xl ! No
If yes, please specify the name of the defined contribution money purchase plan which this Plan
hereby amends and restates:
I. Employer: City of Atlantic Beach
IL Prototype Sponsor:
Name: ICMA Retirement Corporation
Address: 777 N. Capitol Street, N.E.
Washington, D:C. 20002'-4240
Telephone Number:. (202) 962-4600
III. The Effective Date of the Plan shall be the first day of the Plan Year during which the
.Employer adopts the Plan, unless an alternate Effective Date is hereby specified:
_tyLy., 7 996
IV. Plan Year will mean:
^ The twelve (1 Z) consecutive month period which coincides with the 1'tmita-
^
Lion year. (See Section 6.05(i) of the Plan.)
The twelve (12) consecutive month period commencing on to / t and
each anniversary thereof.
MPP Adoption Agreement 12/23/94
AGENDA ITEM 6A
FEBRUARY 11, 2002
V. Normal Retirement Age shall be age 54 (not to exceed age 65 ).
VI. ELIGIBILITY REQUIREMENTS:
1. The following group or groups of Employees are eligible co participate in the Plan:
A11 Employees
All Fu11-Time Employees
Salaried Employees
Non-union Employees
Management Employees
Public Safety Employees
General Employees
x Other (specify below)
Citv Manager
The group specified must correspond to a group of the same desibonation that is defined
in the statutes, otdinances, rules, regulations, personal manuals or other material. in
effect in the state or locality of the Employer.
2. The Employer hereby waives or reduces the requirement of a twelve (12) month
Period of Service for participation. The required Period of Service shall be ~jJn
(write N/A if an Employee. is eligible to participate upon employment).
If this waiver or reduction is elected, it shall apply to all Employees within the
Covered Employment Classification.
3. A minimum age requirement is hereby specified for eligibility to participate. The
minimum age requirement is ~_ (not to exceed age 21. Write N/A if no
minimum age is declared.)
VII. CONTRIBUTION PROVISIONS _ _
1. The Employer shall contribute as follows (choose one, if applicable):
~ Fixed Employer Contributions With Or Without Mandatory Participant
.Contributions..
The Employer shall contribute on behalf of each Participant 15 % of
Earnings or $_ for the Plan Year (subject to the limitaeions of Article VI ,
of the Plan). Each Participant is required to contribute 0 % of Earnings
or $,for the Plan Year as a'condition of participation in the Plan. (Write
"0" if no contribution is required.) If Participant Contributions are required
undec this option, a Participant shall not have the right to discontinue or
vary the rate of such contributions after becoming. a Plan Participant:
® MPP Adoption Agreement 12/23/94
AGENDA ITEM 6A
FEBRUARY 11, 2002
The Employer hereby elects to "pick up" the lvlandatory/Required Participant
Contribution.
^ Yes ~ No
[Note to Employer: Neither an opinion letter issued by the Internal
Revenue Service with respect to the Prototype Plan, nor a determination
letter issued to an adopting Employer is a ruling by the Internal Revenue
Service that Participant contributions that are picked up by the Employer are
not includable in the Participant's gross income for federal income tax put-
. poses. The Employer may seek such a ruling.
Picked up eoneributioris are excludable from the Participant's gross
income under section 414(h)(Z) of the Internal Revenue Code of 1986 only
if they meet the requirements of Rev. Ru1.81-35, 1981-1 C.B. 255. Those
requirements are (1) that the Employer must specify that the contributions,,.
although designated as employee .contributions, are being paid by the Em-
ployer in Lieu of contributions by the employee; and (Z) the employee must
not have the option of receiving the contributed amounts directly instead of
having them paid by the Employer to the plan.]
^ Fixed Employer Match of Participant Contributions.
The Employer shall contribute on behalf of each Participant _% of Earn-
ings for the Plan Year (subject to the limitations of Articles V and VI of the
Plan) for each Plan Year that such Participant has contributed _% of
Earnings or $_ Under this option,. there is a single, fixed rate of Em-
ployer contributions, but a Participant may decline to make the required
Participant contributions in any Plan Year, in which case no Employer contri-
bution will be made on the Participant's behalf in that Plan Year..
^ Variable Employer Match Of Participant Contributions.
The Employer shall contribute on behalf of each Participant an amount de-
termined as follows (subject to the limitations of Articles V and VI of the Plan):
of the Participant contributions made by the Participant for
the Plan Year (not including Participant contributions exceeding _% of
Earnings or $ )~
PLUS % of the contributions made by the Participant for the
Plan Year in excess of those included in the above paragraph (burnot includ-
ing Participant contributions exceeding in the aggregate _% of Earnings
or $ )~
Employer Contributions on behalf of a Partieipane for a Plan Year
shall not exceed $ or _% of Earnings, whichever. is ^ more or
^ less.
MPP Adoption Agreement 12/23/94.
AGENDA ITEM 6A
FEBRUARY I1, 2002
2: Each Participantmay make voluntary (unmatched), after-tax contribution, subject to
the limitations of Section 4.05 and Articles V and VI of the Plan.
' ~ Yes ^ No
3. Employer contributions and Participant contributions shall be contribueed to the
Trust in accordance with the following payment schedule: gi-weekly
VIII. EARNINGS
Earnings, as defined under Section 2.09 of the Plan, shall include:
(a) Overtime
^ Yes ~ No
(b) Bonuses
~ Yes ^ No
IX. LIMITATION ON ALLOCATIONS
If the Employee (i) maintains or ever maintained another qualified plan in which any Par-
ticipant in this Plan is (or was) a participant or could possibly become a participant, and/or
(ii) maintains a welfare benefit fund (as defined in section 419(e) of the Code) or an indi-
vidual medical account (as defined in section 415(1)(2) of the Code, under which amounts
are treated as Annual Additions with respectxo any Participant in this Plan) the Employer
hereby agrees to limit contributions to all such plans as provided herein, if necessary in order
to avoid excess contributions (as described in Sections 6.03 and 6.04 of the Plan).
1. If the Participant is covered under another qualified defined contribution plan
maintained by the Employer, other than a Regional Prototype Plan, the provisions '
of Section 6.02(a) through (f) of the Plan will apply as if the other plan were a
Master Prototype Plan, unless another method has been indicated below.
^ Other Method. (Provide the method under which the plans will limit.
total Annual Additions to the Maximum Permissible Amount, and wil!
properly reduce any excess amounts, in a manner thae precludes Employer
discretion. )
MPP Adoption Agreement 12/23/94
AGENDA ITEM 6A
FEBRUARY 11, 2002
2. If the Participant is or has ever been a participant in a defined benefit plan main-
. rained by the Employer, and if the limitation in Section 6.04 of the Plan would be
exceeded, then the Participant's Projected Annual Benefit under the defined benefit
plan shall be reduced in accordance with the terms thereof to ehe extent necessary to
satisfy such limitation. If such plan does not provide for such reduction, or if the
limitation is still exceeded after the reduction, annual additions shall be reduced to
the extent necessary in the manner described in Sections 6.01 through 6.03. The
methods of avoiding the limitation described in this paragraph will not apply if the
Employer indicates another method below.
^ Other Method. (Note to Employer: Provide below language which will satisfy
the 1.0 limitation of section 415(e) of the Code. Such language must
preclude Employer discretion. See section 1.415-1 of the Regulations for
guidance.)
3. The limitation year is the following 12-consecutive month period
X. VESTING PROVISIONS
The Employer hereby specifies the following vesting schedule, subject to (1) the minimum
vesting requirements as noted and (2) the concurrence of the Plan Ad ministrator.
Years of Specified Minimum
.Service Percent Vesting
'Completed Vestine Requirements**
Zero 100 % No minimum
One % No minimum
Two % No minimum
Three % Not less. than 20%
Four % Not Less than 40%
Five % Not less than 60%
Six % Not less than 80%
Seven, or more 100 % Must equal 100%
(**Theee minimum vesting. requirements conform to the Code's chree to seven year vesting
`schedule. If the employee becomes 100% vested by the completion of five years of service,
there is no minimum for years three and four.)
XI. Loans are permitted under the Plan, as provided in Article XIV:
~ Yes ^ No
MPP Adoption Anreement 12/23/94 ~
AGENDA ITEM 6A
FEBRUARY 11, 2002
XII. The Employer hereby attests that it is a unit of state or local government or an agency or
instrumentality of one or more units of state or Local government.
XIII. The Prototype Sponsor hereby agrees to inform the Employer of any amendments to the
Plan made pursuant to Section 15.05 of the Plan or of the disconeinuance or abandonment
of the Plan.
XIV. The Employer hereby appoints the Prototype Sponsor as the Plan Administrator pursuant to
the terms and conditions of the ICMA RETIREMENT CORPORATION PROTOTYPE
ivIONEY PURCHASE PLAN & TRUST.
The Employer hereby agrees to the provisions of the Plan and Trust.
XV. The Employer hereby acknowledges it understands that failure to properly fil! out this
Adoption Agreement may result in disqualification of the Plan.
XVI. An adopting Employer may not rely on a notification letter issued by the National or
District Office of the Internal Revenue Service as evidence that the Plan is qualified
under section 401 of the Incemal Revenue Code. In order to obtain reliance with-
respect to plan qualification, the Employer muse apply to the appropriate key district
office for a determination letter
This Adoption Agreement may be used only in conjunction with basic Plan document
number 001.
do Witness Whereof, the Employer hereby causes this Agreement to be executed on
this 24th day of .Tune 19 96
EMPLOYER .CITY OF ATLANTIC sEACx Accepted: ICMA ~TIR}EMENn RPORATION
Ann Meuse
Title: _ Finance Director_ Title: Corporate Secreeary
Attest: ~ ~ Attes ~
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MPP Arlnntinn Aoraamant 1 ~/72/4d
AGENDA ITEM 6A
FEBRUARY 11, 2002
PLAN & TRUST
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AGENDA ITEM 6A
FEBRUARY 1I, 2002
AGENDA ITEM 6A
FEBRUARY 11, 2002
ICMA RETIREMENT CORPORATION
GOVERNMENTAL MONEY PURCHASE PLAN & TRUST
EGTRRAAMENDMENT
PREAMBLE
A. Adoption and effecxive date of amendment. This Amendment of the ICMA Retirement Corporation
.Governmental Money Purchase Plan & Trust (the "Plan") and its Adoption Agreement is adopted eo
reflect certain provisions o£ the Economic Growth and Tax Relief Reconciliation Act of 2001
("EGTRRA"). This Amendment is intended as good faith compliance with the requirements of
EGTRRA and is to be construed in accordance with EGTRRA and guidance issued thereunder. Except
as otherwise provided, this Amendment shall be effective as of the first day of the first Plan Yeaz beginning
after December 31, 2001 and shall end December 31, 2010, unless otherwise extended by law or other-
wise. -
B. Supersession of inconsistent provisions. This Amendment shall supersede the provisions of the Plan and
Adoption Agreement to the extent those provisions aze inconsistent with the provisions of this Amend-
ment.
Section 1. Limitations on Contributions
A. Effective date. This Section shall be effective for Limitation Yeazs beginning after December 31, 2001.
B. Maximum annual addition. The maximum Annual Addition that may be conuibuted or allocated to a
Pazricipant's Account under the Plan for any Limitation Yeaz shall not exceed the lesser of
(i) $40,000, as adjusted for increases in the cost-of-living under section 415(d) of the Code, or
(ii) One hundied percent (100%) of the Pazticipant s Compensation for the Limitation Year.
The compensation limit referred co in (ii) shall not apply to any contribution for medical benefits after sepazation
from service (within the meaning of section 401(h) or section 419A(f)(2) of the Code) which is othernise treated as
an Annual Addition.
' Section 2. Increase in Earnings Limit
A. In general. For Plan Years beginning on or after January 1, 2002, the annual Eanings of each Participant
taken into account in determining all benefits provided under the Plan for any Plan Yeaz shall not exceed
$200,000, as adjusted for increases in the cost-of-living in accordance with section 401(a)(1~(B) of the'
Code. Annual Eaznings means Eanings during the Plan Yeaz or such other consecutive 12-month period
over which Earnings. is otherwise determined under the Plan (the. determination period). The cost-of-
living adjustment in effect For a calendar yeaz applies to annual Eaznings for the determination period that
begins with or within such calendaz year.
B: Prior yeazs. If Eaznings for any prior determination period aze taken into account in determining a
Patticipant s allocations or benefits for the current Plan Yeaz, the Eaznings For such prior yeaz aze subject
to the applicable annual Eaznings limit in effect for that prior yeaz.
AGENDA ITEM 6A
FEBRUARY 11, 2002
Section 3. Direct Rollovers of Plan Distributions
A. Effective date. This Section shall apply to distributions made after December 31, 2001.
B. Modification of definition of eligible retirement plan. For purposes of the direct rollover provisions in
Section 9.03 of the Plan, an eligible retirement plan shall also mean an annuity contract described in
section 403(6) of the Code and an eligible plan under section 457(6) of the Code which is maintained by
a state, political subdivision of a state, or any agency or instrumentality of a state or political subdivision
of a state and which agrees co sepazately account for amounts transferred into such plan from this Plan.
The definition of eligible retirement plan shall also apply in [he case of a distribution co a surviving
spouse, or to a spouse or former spouse who is the alternate payee under a qualified domestic relation
order, as defined in section 414(p) of the Code:
C. Modification of definition. of eligible rollover distribution co include after-tax employee contributions.
For purposes of the direct rollover provisions in Section 9.03 of the Plan, a portion of a distribution shall
not fail to be an eligible rollover distribution merely because the portion consists of after-tax employee
contributions which aze not includible in gross income. However, such portion may be transferred only'.
to an individual retirement account or annuity described in section 408(a) or (b) of the Code, or co a
qualified defined contribution plan described in section 401(a) or 403(a) of the Code that agrees to
separately account for amounts so transferred, including sepazately accounting for the portion of such
distribution which is includible in gross income and the portion of such distribution which is not so
includible.
Section 4. Rollovers From Other Plans
.Effective January 1, 2002, unless otherwise elected by the Employer in the Adoption Agreement, the Plan will accept
Participant rollover contributions and/or direct rollovers of distributions (including afer-tax contributions). made after
December 31, 2001 that aze eligible for rollover in accordance with Section 402(c), 403(a)(4), 403(6)(8),
408(d)(3)(A)(ii), or 457(e)(1G)' of the Code, from all of the following types of plans: (1) a qualified plan described in
Section 401(a) or 403(a) of the Code; (2) an annuity contract described in Section 403(6) of the Code; (3) an eligible
plan under Section 457(6) of the Code which is maintained by a state, political subdivision of a state, or any agenry or
instrumentality of a state or political subdivision of a state; and (4) an individual retirement account or annuity
described in Section 408(a) or 408(6) of the-Code (including SEPs, and SIMPLE IRAs after 2 years of pazcicipating in
the SIMPLE IRA).
The amount distributed from such plan must be rolled over to this Plan no Sater than the sixtieth (60th) day after
distribution was made from the plan, unless otherwise waived by the IRS pursuant to, Section 402(c)(3) of the Code.
Section 5. Voluntary Participant Contributions
The ten percent (10%) limit on Voluntary Participant Contributions under Secriori 4.05 of the Plan shall be increased
to twenty-five percent (25%).
AGENDA ITEM 6A
FEBRUARY 11, 2002
AGENDA ITEM 6A
FEBRUARY 11, 2002
ICMA RETIREMENT CORPORATION
GOVERNMENTAL MONEY PURCHASE PLAN & TRUST
I. PURPOSE
The Employer hereby adopts this Plan and Trust to provide funds for its Employees' retirement, and to provide funds
for their Beneficiaries in the event of death. The benefits provided in this Plan shall be paid from the Trust. The Plan
and the Trust forming a pazt hereof aze adopted and shall be maintained for the exclusive benefit of eligible Employees
and their Beneficiaries. Except as provided in Sections 4.10 and 14.03, no part of the corpus or income of the Trust
shall revere to the Employer or be used for or diverted to purposes ocher than the exclusive benefit of Pazticipanes and
their Beneficiaries.
II. DEFINITIONS
2.01 Accouat. A separate record which shall be established and maintained under the Trust for each Pazticipant, and
which shall include all Participant subaccounts created pursuant to Anide IV, plus any Participant Loan Account
created pursuant to Section.13.03. Each subaccount created pursuant to Article N shall include, any earnings of the
Trust and adjustments for withdrawals, and realized and unrealized gains and losses allocable thereto. The term
"Account' may also refer to any of such separate subaccounts.
2.02 Accounting Date. Each day that the New York Stock Exchange is open foi trading, and such other dates as
may be determined by the Plan Administrator, as provided in Section 6.06 for valuing the Trust s assets.
2.03 Adoption Agreement. The separate agreement executed by the Employer through which the Employer adopts
the Plan and elects among the vazious alternatives provided thereunder, and which upon execution, becomes an
integral pazt of the Plan.
2.04 Beneficiary. The person or persons designated by the Participant who, subject to the requirements of Article
XII, shall receive any benefits payable hereunder in the event of the Participan~ s death. The designation of such
Beneficiary shall be in writing to the Plan Administrator. A Pazticipant may designate primary and contingent Benefi-
ciazies. Where no designated Beneficiary survives the Participant, the Pazticipan[ s Beneficiary shall be his/her surviv-
ing spouse or, ff noner his/her estate.
2.05 Break in Service. A Period of Severance of at least twelve (12) consecutive months.
In the case of an individual who is absent from work for maternity or paternity reasons, the twelve (12) consecutive
month period beginning on the first anniversary of the first date of such absence shall nor constirute a Break in Serv-
ice. For purposes. of this paragraph, an absence,from work for maternity or paternity reasons means an absence (1) by
reason of the pregnanry of the individual, (2) by reason of the birth of a child of the individual, (3) by reason of the
placement of a child with the individual in connection with the adoption of such child by such individual, or (4) for
purposes of Gazing for such child for a period beginning immediately following such birch or placement.
2.06 Code. The Internal Revenue Code of 1986, as amended from time to time:
2.07 Covered Employment Classification. The group or groups. of Employees eligible to make and/or have contri-
butions to this Plan made on their behalf, as specified by the Employer in the Adoption Agreement:
2.08 Disability. A physical or mental impairment which is of such permanence and degree. that, as determined by
the Employer, a Participant is unable because of such impairment to perform any substantial gainful activity for which
helshe is suited by vinue of his/her experience, training, or education and that has lasted, or can be expected to last,
for a continuous period of not less than twelve (12) months, or can be expected to result in death. The permanence