HomeMy WebLinkAboutTC Res 2010-06-16 (5)RESOLUTION NO. 36-2010
A RESOLUTION OF THE TOWN COUNCIL OF THE TOWN OF TIBURON
TO TAX DEFER MEMBER PAID CONTRIBUTIONS - IRC 414(h)(2)
EMPLOYER PICK UP
Whereas, the Town of Tiburon has the authority to implement the provision of
Section 414(h)(2) of the Internal Revenue Code (IRC); and
WHEREAS, the Town of Tiburon 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 in the
Management, Mid-Management/Unrepresented, and the Tiburon Police Association
employees who are members of the California Public Employees' Retirement System:
NOW, THEREFORE, BE IT RESOLVED:
I. That the Town of Tiburon will implement the provisions of section 414(h)(2)
Internal Revenue Code by making employee contributions pursuant to
California Government Code Section 20691 to the California Public
Employees' Retirement System on behalf Management, Mid-
Management/Unrepresented Employees and Tiburon Police Association
employees who are members of the California Public Employees Retirement
System. "Employee contributions" shall mean those contributions to the
Public Employees' Retirement System which are deducted from the salary of
employees and are credited to individual employee's accounts pursuant to
California Government Code section 20691.
II. That the contributions made by the Town of Tiburon to the California Public
Employees' Retirement System, although designated as employee
contributions, are being paid by the Town of Tiburon in lieu of contributions
by the employees who are members of the California Public Employees'
Retirement System.
III. That employees shall not have the option of choosing to receive the
contributed amounts directly instead of having them paid by the Town of
Tiburon to the California Public Employees' Retirement System.
IV. That the Town of Tiburon shall pay to the California Public Employees'
Retirement System 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 Town of Tiburon to the California Public Employees'
Retirement System on behalf of an employee shall be the entire contribution
required of the employee by the California Public Employees' Retirement
Law (California Government Code Sections 20000, et seq.)
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VI. That the contributions designated as employee contributions made by the
Town of Tiburon to the California Public Employees' Retirement System
shall be treated for all purposes, other than taxation in the same way that
member contributions are treated by the California public Employees'
Retirement System.
PASSED AND ADOPTED at a regular meeting of the Town Council of the Town of
Tiburon on June 16, 2010, by the following vote:
AYES: COUNCILMEMBERS: Collins, Fraser, Fredericks, O'Donnell, Slavitz
NOES: COUNCILEMBMERS: None
ABSENT: COUNCILMEMBERS: None
`RICHARD COLLINS, MAYOR
TOWN OF TIBURON
ATTEST:
DIANE CRANE PL TOWN CLERK
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