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Res 1268 - Amend Retire Plan PM COUNCIL BILL NO. 1593 RESOLUTION NO. 1268 A RESOLUTION AMENDING THE RETIREMENT PLAN FOR THE EMPLOYEES OF THE CITY OF WOODBURN ADMINISTERED BY PACIFIC MUTUAL LIFE INSURANCE COMPANY. WHEREAS, the City of Woodburn has maintained a private retirement plan for its employees since 1973 which is administered by Pacific Mutual Life Insurance Company, and WHEREAS, on November 8, 1994, the voters of the state of Oregon passed a measure (known as Ballot Measure 8) which sets constitutional requirements on specific provisions of retirement plans offered by all state and local governments, and WHEREAS, it is necessary to make immediate specific plan amendments regarding supplemental contributions and unused sick leave to meet the intent of the law as it is currently written, now, therefore, THE CITY OF WOODBURN RESOLVES AS FOLLOWS: Section 1. That, on behalf of the City, the Mayor be authorized to sign Plan Amendments No. 17 and 18 as prepared by the City's Retirement Plan Consultants, Milliman & Robertson, Inc., copies of which are attached hereto as exhibit "A" and exhibit "B" and, by this reference, incorporated herein. Approved as to Form~~ 12.:-1 i - '7 t.f City Attorney Date Submitted to the Mayor APPROVED /-:2-.........- A~ N~CYA/KI~SEY, ~ R December 19, 1994 December 20, 1994 December 20, 1994 Passed by the Council Approved by the Mayor Filed in the Office of the Recorder December 20, 1994 ATTEST 171 ~d Mar~nnant, Recorder City of Woodburn, Oregon Page 1 - COUNCIL BILL NO. 1593 RESOLUTION NO. 1268 T- ''''_~-_'..-"_..........".-,~_........,~...,;..;,-",... Exhibit "All Page 1 of 2 THE RETIREMENT PLAN FOR EMPLOYEES OF CI'IY OF WOODBURN, OREGON Amendment No. Seventeen WHEREAS, the City of Woodburn (the "Employer") established the Plan effective July 1, 1973, and has amended the Plan from time to time to make changes so as to comply with State of Oregon law; and WHEREAS, the Employer desires to modify the Plan in such a manner as to apply IRS Code Section 414(h)(2) to pick-up mandatory employee contributions. Employees will not have the option of receiving the salazy payment, and paying the employee contn'bution directly, and employees' reported salary on the W-2 form. for purposes will be reduced by the amount of the employees' contributions. NOW THEREFORE, effective on the later of ])ecemberl,1994,and the day following the expiration of applicable collective bargaining contracts, or as otherwise specified below: and in accordance with the provisions of the Plan pertaining to amendments thereof, the City of Woodburn hereby amends the Plan as follows: The Supplemental Employer Contributions Section on pages 5 ~d 6 shall be amended as follows: Effective July 1, 1991, the employer shall make the following supplemental contributions for employees: For police officers covered under the collective bargaining agreement the amount of such contribution shall be the appropriate percentage from the following table: Monthly Earnings less than $500 $500 but less than $1,000 $1,000 but less than $1,500 $1,500 or more Contribution Rate Effective 7/1/91 4% 5% 6% 7% wob:l:9405006 'T' Exhibit NAu Page 2 of 2 The employer shall make supplemental contributions at the rate of 6% of Monthly Earnings for all non-union non-uniformed employees and employees covered under the American Federation of State, County and Municipal collective bargaining agreement Effective July 1, 1993, the employer shall make supplemental contributions at the rate of 6% of Monthly Earnings for communication personnel Effective December 1, 1994, or as required by state law, the employer shall not make supplemental contributions for employees. The Required Employee Contributions Section on page 6 shall be replaced in its entirety by the following: Effective December 1, 1994, or as required by state law, the employer shall pick-up and pay on behalf of all employees a six percent (6%) mandatoIY contribution of Monthly Earnings. Such picked-up mandatory contributions shall be made pursuant to the provisions of the Internal Revenue Code, Section 414(h). IN WITNESS WHEREOF, the Employer has caused this Plan to be executed by its duly appointed officers this day of . 1994. CI'lY OF WOODBURN, OREGON By: Title \ wob:I:9405006 T' ~-~..._."--,-''',.;-''.".~,.... ",..~"".,- ..,-",-, '_.~.,,,.,, ""-'-"-""-'-+-4-__~_~_. .. r Exhibit aBu, Page 1 of 1 THE RETIREMENT PLAN FOR EMPWYEES OF CI1Y OF WOODBURN, OREGON Amendment No. Eighteen WHEREAS, the City of Woodburn (the "Employer") established the Plan effective July 1, 1973, and has amended the Plan from time to time to make changes so as to comply with State of Oregon law; and WHEREAS, the Employer desires to modify the Plan in such a manner as to comply with Ballot Measure No.8 passed on November 8, 1994 with regard to the elimination of unused sick leave compensation in the determination of retirement benefits for police officers, NOW THEREFORE, For retirements effective on or after January 1, 1995, and in accordance with the provisions of the Plan pertaining to amendments thereof, the City of Woodburn hereby amends the Plan as follows: A new subparagraph shall be added on Page 9 to read as follows: (iv) The adjustment as defined in subparagraphs (i) through (ill) shall apply to average monthly earnings in the manner allowed under State of Oregon law. IN WITNESS WHEREOF, the Employer has caused this Plan to be executed by its duly appointed officers this day of , 1994. CI1Y OF WOODBURN, OREGON \ By: Title wob:l:9405003 MILLIMAN & ROBElUSON, INC. ..,-. "-'-'~-"-'" .""."_'.."..~_..~~...,~,...,.".~..-, "..,-'-""......,,-~'-~"'''.,.._.......~......._><~~--,~~_.,-''''''-