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HomeMy WebLinkAboutResolution 2008-0006 CITY OF WHEAT RIDGE, COLORADO RESOLUTION NO. 06-2008 Series of 2008 TITLE: A RESOLUTION APPROVING WITHDRAWAL FROM THE CITY'S CCOERA RETIREMENT PLAN AND TRANSFERRING THOSE FUNDS TO THE CITY'S ICMA RETIREMENT PLAN WHEREAS, the City of Wheat Ridge, Colorado, (the "City) is an employer with certain employees participating in an Internal Revenue Code Section 401 (a) Plan administered by the Colorado County Officials and Employees Retirement Association ("CCOERA Plan"); and WHEREAS, in excess of 65% of the employees of the City who currently participate in the CCOERA Plan have formally expressed their desire to participate in a 401 (a) qualified plan administered by another provider; and WHEREAS, the City has established an Internal Revenue Code Section 401(a) qualified plan with ICMA ("ICMA Plan") for those employees currently participating in the CCOERA Plan; and WHEREAS, the City desires to withdraw from CCOERA and the CCOERA Plan on the Effective Date, as defined below; and WHEREAS, the City is covered by Resolution No.2, Series of 2004 [RESOLUTION OF THE GOVERNING BOARD OF COLORADO COUNTY OFFICIALS AND EMPLOYEES RETIREMENT ASSOCIATION (Portability of Funds of Employees Currently Employed by Participating Employer)]; and WHEREAS, the City desires to and intends to formally request that CCOERA make a transfer of all assets currently administered by CCOERA into accounts established for eligible current and former employees in the ICMA Plan at a time determined by the City Manager; and WHEREAS, the City intends to hold a vote by secret personal and absentee ballot (the "Employee Vote") on the issue of withdrawal from the CCOERA Plan; and WHEREAS, those employees entitled to vote shall be all of those employees currently contributing to the CCOERA Plan ("Eligible Electors"); and WHEREAS, in conjunction with this Resolution and the Employee Vote, each employee will be advised that: (a) if 65% of Eligible Electors approve withdrawal from the CCOERA Plan, then all employees with account balances in the CCOERA Plan will have their CCOERA Plan accounts liquidated, and those accounts will be transferred to the ICMA Plan; and (b) the state of Colorado shall not be held liable for any deficit that occurs in any defined benefit or defined contribution plan or system of any political subdivision within the state of Colorado or any public agency created by such a political subdivision which is an employer which has terminated affiliation with the Public Employees' Retirement Association; and WHEREAS, the results of the Employee Vote shall be certified by the City Clerk; and WHEREAS, if the Employee Vote establishes that at least 65% of Eligible Electors desire to withdraw from the CCOERA Plan, the City Manager and the Human Resources Department shall provide appropriate notices to CCOERA to effectuate a withdrawal from the CCOERA Plan. NOW THEREFORE, BE IT RESOLVED by the Wheat Ridge City Council, that: Section 1. The City desires to withdraw from CCOERA and the CCOERA Plan; and The City desires to and intends to formally request that CCOERA make a transfer of all assets currently administered by CCOERA into accounts established for eligible current and former employees in the ICMA Plan; and There shall be a vote by secret personal and absentee ballot on the issue of withdrawal from the CCOERA Plan; and, Those employees entitled to vote shall be all of those employees currently contributing to the CCOERA Plan; and Each Eligible Elector will be advised on their election ballot that: (a) if 65% of Eligible Electors approve withdrawal from the CCOERA Plan, then all employees with account balances in the CCOERA Plan will have their CCOERA Plan accounts liquidated, and the assets in those accounts will be transferred to the ICMA Plan; and (b) the state of Colorado shall not be held liable for any deficit that occurs in any defined benefit or defined contribution plan or system of any political subdivision within the state of Colorado or any public agency created by such a political subdivision which is an employer which has terminated affiliation with the Public Employees' Retirement Association; and The results of the Employee Vote shall be certified by the City Clerk and communicated to the CCOERA Board of Directors on the next business day following the Employee Vote; and If the Employee Vote establishes that at least 65% of Eligible Electors desire to withdraw from the CCOERA Plan, the City Manager and the Human Resources Department shall provide appropriate notices to CCOERA to effectuate a withdrawal from the CCOERA Plan. 2 Section 2. Effective Date. This Resolution shall be effective immediately upon the certification by the City Clerk that at least 65% of the Eligible Electors have cast their votes in favor of withdrawal from the CCOERA Plan (the "Effective Date") without further action by the City Council. Jh.. "'-'J DONE AND RESOLVED this / day of f;e1J-rv-,),;r",- . 2008. J4IJt.T~ ATTEST: /lk;~~ Michael Snow, City Clerk 3