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HomeMy WebLinkAboutResolution 142 " AMBROSE. FITZGERALD . CROOKSTON AlIOm",'"d Co""oolo.. P.O. Bo,m M"'dI8". Idaho 83...2 T",pho", ........' RESOLUTION NO. ~ A RESOLUTION OF THE CITY OF MERIDIAN ADOPTING A GENERAL EMPLOYEES NONQUALIFIED DEFERRED COMPENSATION PLAN FOR THE CITY EMPLOYEES OF THE CITY OF MERIDIAN; NAMING AN INITIAL CONSULTANT AND ADVISOR FOR THE PLAN; SETTING FORTH THAT THE PLAN SHALL BE MANAGES BY A GROUP OF TRUSTEES; NAMING AND APPOINTING THE INITIAL TRUSTEES GROUP AND SETTING FORTH THE TERMS OF OFFICE FOR THE INITIAL TRUSTEES AND PROVIDING FOR SUCCESSORS; AUTHORIZING THE TRUSTEES TO SIGN ALL APPLICATIONS AND OTHER PLAN DOCUMENTS AND PAPERS; AND PROVIDING AN EFFECTIVE DATE. WHEREAS, Internal Revenue Code, Section 457 authorizes and allows the City of Meridian to set up and establish a nonqualified deferred compensation plan; WHEREAS, some of the city employees of the City of Meridian have requested the City to adopt and implement a plan for deferred compensation; WHEREAS, the City has considered the concept of deferred compensation and has looked into a couple of programs for a deferred compensation plan; WHEREAS, it is in the best interests of the city employees to have a deferred compensation plan available to them; WHEREAS, é;;;s-;;-~h;.;~~ has presented a proposal to the City of Meridian for a nonqualified deferred compensation ~ ..~._--..__..._-- plan; and WHEREAS, there are applications and documents to be executed to implement the plan and there is a need to appoint a Trustees group - to assist with the deferred compensation plan an d RESOLUTION ADOPTING DEFERRED COMPENSATION PLAN Page - 1 OfF. (p~ ",,--,+4-...- C~.\\ ç..."",,^<-.. ~ Aó~ ;~; \ -\v-~.r c.Ð"",-,:~ ') AMOROSE, FITZGERALD > CROOKSTON Allorney. ""d COnn."o.. P,O. Oon '" Me"d'en, Ideho """ T"epho..~.., 'I investment. NOW, THEREFORE, BE IT RESOLVED BY THE MAYOR AND THE CITY COUNCIL OF THE CITY OF MERIDIAN, IDAHO: SECTION 1. That the City of Meridian hereby adopts that particular deferred compensation plan, attached hereto as Exhibit "A" and by this reference incorporated herein as if set forth in full herein, known as the GENERAL EMPLOYEES NONQUALIFlED DEFERRED COMPENSATION ~ OF THE CITY OF MERIDIAN, the deferred as compensation plan for the city employees of the City of Meridian; said plan shall herein after be referred to as the .PLAN". That(fEi~:rs..o_~investment firm is hereby named as the initial advisor and consultant of the Plan; SECTION 2. that the Trustees Group may change advisors and consultants for the Plan as the Trustees Group deems appropriate. SECTION 3. That the Plan shall be managed by a Trustees Group which shall be made up of city elected officials and/or employees. SECTION 4. That the initial Trustees Group shall consist of GraAt P. KiAgsfGrri. J"~k NiemiRn, Janice Gass, aA~ Earl Uard; t.!rü+~j;-P. Killgsfðl& SRi" <prvp a tpr:lIl---O-f.--HrtTr (4) years; that \/Jack Niema~~~,syall serve a term of three (3) years;, that/Ja'ni_~~) I Ga.=..:'yhall serve a term of two (tL~s; that(Êa~!jJ) shall serve a term of one (IJ~; that upon the termination of the term of each Trustee above the Mayor shall appoint__a name successor to that Trustees term and which successor shall be RESOLUTION ADOPTING DEFERRED COMPENSATION PLAN Page - 2 -", \ approved by the City Council; that the Trustees shall serve at the pleasure of the Mayor and City Council and may be removed without cause by the City Council and upon removal the Mayor shall appoint a successor who shall be confirmed by the City Counci 1 and the tlM'fl ~I>-~\.v-t; c,~\ serve the unexpired term of his predecessor Pl an, including, but not 1 imi ted to an application for SECTION 5. That the Trustees Group is hereby authorized to sign all appl ications and other documents pertaining to the American Funds Group; that a majority of the Trustees must all documents, applications and other papers. PASSED BY THE CITY COUNCIL AND APPROVED BY THE MAYOR OF THE CITY OF MERIDIAN, this 15th day of October, 1991. APPROVED: ~ K~~R--- ATTEST: , CITY CLERK AMBROSE. FITZGERALD . CROOKSTON AU"""""nd Co...""", RESOLUTION ADOPTING DEFERRED COMPENSATION PLAN Page - 3 P.O. Bo>427 ".,ldlOn,ld,M 83.... T,lephone"""'" EXHIBIT "A" GENERAL EMPLOYEES NONQUALIFIED DEFERRED ÇOMPENSATION PLAN WHEREAS, The City of Meridian desires to provide a Section 457 plan for general employees deferred compensation. WHEREAS, The general employees deferred compensation Plan Trustee Group recommends the following deferred compensation plan in order to comply with the Internal Revenue Code to meet certain trustee objectives. Now, therefore, by executing this agreement, the City of Meridian ("Employer") agrees to do the following: 1. COMPENSATION DEFERRAL A. Monthly Deferral. Employer shall credit on its records to a book reserve (herein called Deferred Compensation Account) for the Participants monthly contribution to the plan. This contribution shall be included as part of the employees assets. The minimum amount of compensation which may be deferred in anyone pay period is TWENTY-FIVE and NO/IOO DOLLARS ($25.00). B. Timing and Changes. Compensation will be deferred for any calendar month only if an agreement providing for such deferral has been entered into before the 20th of such month and provided the Employee has met all probationary requirements. with respect to unearned income, the amount to be deferred may increase or decrease, by completion of a revised deferred compensation agreement form. However, such deferral of income shall be subject to maximum and minimum limitations herein and shall become effective for the calendar months beginning after the date of execution of the revised agreement. /\ oX A participant may terminate any and all deferred compensation agreements previously executed by an agreement in writing signed by Participant and Employer. However such termination only operates prospectively and does not affect amounts previously credited to the Deferred Compensation Account which remain subject to the provisions of the terminated agre ent. ~...,. . Maximum Deferral. Except as may be permitted in . Paragraph 1.D. below, based upon the Employee's income the maximum amount of co.mpensation which may be deferred under , the plan for a taxable year shall not exceed the lesser of 1. ~ THOUSAND FIVE HUNDRED and NO/IOO DOLLARS 11,000- GENERAL EMPLOYEES NONQUALIFIED DEFERRED COMPENSATION PLAN PAGE - 1 V AMBROSE. Ii FITZGERALD, . CROOKSTON Allom,y,and Co""lo," P.O. 50' 427 M"Id"n,ldoho &3542 T",phon"""'" AMBROSE. FITZGERALD & CROOKSTON A"o,"ey. BOd Co"..lo," P.O. eo"" M..ldlon, Idaho '36" TalaphoOB ......." 2 . ($7,500.00); or THIRTY-THREE PERCENT (33%) includible compensation. of the Participant's The term "includible compensation" means compensation for service performed for the Employer which (taking into account the provisions of Section 457 and 403 (b) of the Internal Revenue Code) is currently includible in gross income. Includible compensation for a taxable year only includes Employer compensation attributable to services performed for the Employer and includible ~. Participant's base annual compensation for the taxable year. . Limited Catch-Up Clause. For any of the Participant's last three taxable years ending before the Participant attains normal retirement age, the Plan ceiling set forth in Paragraph 1. C., herein above shall be the lesser of 1. FIFTEEN THOUSAND and NO/IOO DOLLARS ($15,000,00) reduced by any annual amount excludible from the Participant's gross income for the taxable year under Section 403 (b) on account of contributions made by the Employer; or 2. The sum of (a) The plan ceiling established for purpose of Paragraph 1. C. for the taxable year (determined without regard to this paragraph), plus (b) So much of the plan ceiling established for purposes of Paragraph l.C. for taxable years bet '~e the taxable year as has not therefore been u\ . under Paragraph 1.C. or this Paragraph 1.D. . The limited catch-up provision in Paragraph 1. D. 1 restricted to: 1) use only once, 2) whether or not i has been utilized in less than all three taxable year. ending before the Participant attains normal retirement age, and 3) whether or not the Participant or former Participant rejoins the plan or participates in another eligible plan after retirement. E. Normal Retirement Age. Normal retirement age is the earliest age at which the Participant can retire under the existing retirement plan without a reduction in benefits. If a Participant continues to work beyond this age, normal retirement age shall be the age designated by the Participant GENERAL EMPLOYEES NONQUALIFIED DEFERRED COMPENSATION PLAN PAGE - 2 I ~fX AMSROSE. FITZGERALD . CROOKSTON A,,",",y, ond Cou","o," P.O.So,<Z7 M"'d"'. 'd,ho -, T,lopho,,""'" but not later than the mandatory age stated in the existing retirement plan or the date the Participant separates from Employer's service. If no age is stated, sixty-~ (65) is the assumed normal retirement age. :;", v'- Normal retirement age for this plan is sixty-five (65) for a combination of age plus service equal to ninety (90). . s will commence no later than the close of the tax in which the Participant attains age seventy and one- (70 1/2). . Plans notes, mutual by the F. INVESTMENT. The employer through the trustees is authorized to invest in such bonds, debentures, mortgages, preferred or common stock, funds and cash equivalents as deemed advisable trustees. It is understood that said investment will be managed by a professional money manager. 2. All dividends, earnings and other distributions of the Deferred Compensation Account will be reinvested on behalf of the Participant. AVAILABILITY OF FUNDS. / ~~m;:ns~~~~~ :::;~e~~e b:~: 1'v~l~~~~e u~~e~het~~r~~;~~~~~ or other beneficiaries ~rlier than when the Participant is separated from service/with the employer or is faced with an unfor eeable emerge~y. ) . SEPARATION OF/SERVICE. Separation from service occurs when paryfcipant is separated from the service within the meaping of Section 402(e) (4) (A) (iii) of the Internal Re~enue Code, relating to lump sum distributio~; and on account of the Participant's death or retir~ent. In the event thp p~rticipant is se ar m' e with he 0 er, the Emplover s all d' ec or to a partici ant an amount as s e ified in the Settlement Opt~on. Any alteration of tJ;le payment commencement ate on the Settlement Opt~n must be executed prior to separation or within 60; days of separation of service. If payment c encement date is not elected prior to separation of ervice or within 60 days after separation of service, ayments shall commence 60 days after separation of service. ""..J:'s!ft1""d °f};';-- è r/ ,:¡.r~. , If the Settlement Option is not signed, selecting method GENERAL EMPLOYEES NONQUALIFIED DEFERRED COMPENSATION PLAN PAGE - 3 AMBROSE. FITZGERALD . CRDOKSTON Anome,.end Co,n.elo", P.O. Bo.m Me"dlen, Ideho 83'" Telephone"""" Ii "7 ,) ENCY. Unforeseeable emergency nancial hardship to participate nd unexpected illness or accident of a dependent of the Participant, , s property due to casualty, or ry and unforeseeable circumstances of events beyond the control of the B. UNFORESEEABLE EME is defined as severe resulting from sudden of the Participant 0 loss of Participa similar extraordi arising as a resu Participant. The circumst ces constituting an unforeseeable emergency dep nd upon the facts of each case, but, payment may n t be made to the extent that such hardship is or may be relieved: 1. T rough reimbursement or compensation by nsurance or otherwise. 3. OF DEFERRED COMPENSATION ACCOUNT. 2. By liquidation of Participant's assets to the extent that liquidation would not itself cause severe financial hardship. By cessation of deferrals under the Plan. A. COMMENCEMENT DATE. Payments of amounts deferred co ence no later than 60 days after close of the plan in which separation occurs or 60 days after close of ye r in which the Participant attains (or would a tained) normal retirement age, whichever comes last. plan have BENEFITS OF RETIREMENT. The pay-out option esignated by a Participant may be subsequently modified by the Participant before distribution begins. Should the participant die at any time after Retirement, whether prior to or after he has begun to receive the Retirement payment(s) pr~deà þ~ Ärticl§ 3.B.l., his designated Beneficiary or Beneficiaries shall be entitled to receive the balance remaining of such payment(s). If no Beneficiary is designated as provided in Paragraph 2. of this Plan, or if the designated GENERAL EMPLOYEES NONQUALIFIED DEFERRED COMPENSATION PLAN PAGE - 4 AMBROSE, FITZGERALD & CROOKSTON Atlo,"oy.." eo,","lo," P.D.So,427 M"'dlan.Id'ho 83'" T",pho","""" Beneficiary does not survive the per):od during which such payment (s) are to be made, the;( the executors or administrators of the particip~~X shall receive the lump-sum amount equal to the rem~ing account balance. 1. Minimum Distribution. ,~plan meets the minimum distribution requirem;:xnt of this paragraph if such plan meets the requirements f sub paragraphs (a) and (b) and (c) : / (a) Application oVSection 401 (a) (9) - A plan meets the requirements ,(}f this subparagraph if the plan meets the require ents of Section 401 (a) (9). '7 Aé/f> I Additiona distribution Requirements - A plan meets the req rements of this subparagraph if - lump sum distribution is paid. (b) monthly, quarterly, semiannual or annually over a 1) 5 year; 2) 10 year; 3) 15 year period, as long as at least 2/3 of the total amount payable with respect to the participant will be paid during the life expectancy of such participant (determined as of the commencement of the distribution), and any amount not distributed to the participant during his life will be distributed after the death of the participant at least as rapidly as under the method of distributions being used under subclause a. as of the date of his death. b. Nonincreasing Benefits. A plan meets the requirements of the subparagraph if any distribution payable for a period of more than 1 year can only be made in substantially nonincreasing amounts (paid not less frequently than annually) . (c) C. BENEFITS ON TERMI TION OF SERVICES OR DEATH PRIOR TO RETIREMENT. In the vent the Participant terminates his services for reason other than Retirement, the Participant may choose to rece" e the balance available under one of the following forms: GENERAL EMPLOYE PAGE - 5 The ployer shall pay the Participant an amount equ to that which would be available in the De erred Compensation Account Balance in a lump sum 1. NONQUALIFIED DEFERRED COMPENSATION PLAN AMBROSE, FITZGERALD . CROOKSTON Allom.,..e" Co""elo" P.O. Bo,'" Me""e', Idaho .,oa' Teleph"e ......., ! .:) distribution. 2. The Employer shall ay the Participant an amount equa I to that w . ch would be av ai lable in the Deferred Compe sation Account Balance, such payments to b in on the first day of the month next follow' g the date of termination, and continuing or a period of sixty (60) consecutive months. '1 xdt'? I 3. The Emp yer shall transfer to any Code Section 457 deferr d compensation plan the amounts previously defer ed on behalf of the Participant. 4. amount available in the Participant's Deferred pensation Account Balance at the time of rmination shall abe deferred until such date not ater than the Participant's 65th birth date when the Participant shall retire from full-time employment, at which time the balance shall be / disbursed to the Participant in equal payments i,! which shall continue for a period of sixty (60) consecutive months. Th employer, in its sole discretion, may defer or accelerate the beginning of payments to a date not to extend beyond the Participant's 65th birthday, and/or make payment in a lump- sum or in installments over some per'od other than sixty (60) months except that once any inst ent payments have begun the trustees may not there ter alter the method of settlement. D. EVENT OF DEATH OF P TICIPANT. In the event of the death of Participant, Em oyer shall direct Depository to pay Participant's revocabl designated beneficiary the value of Deferred Compensatio 4.ccount as specified on the Designation of Beneficiary Form over: -7 1. in excess of 15 years, if the not the participant's surviving ),,~f7 Life 0 beneficiary (or any shorter period) if the benef'ciary is the Participant's surviving spouse, or 2. In the event of death of Participant, and in the event Participant has not filed Designation of Beneficiary, Employer shall direct the Depository to liquidate and pay the entire Deferred GENERAL EMPLOYEES NONQUALIFIED DEFERRED COMPENSATION PLAN PAGE 6 ...,) Compensation Ace nt to Participant's estate. E. HARDSHIP WITHDRA . In the event of the approval of a hardship withdrawa , Employer shall direct Depositary to pay the participan the value of the Deferred Compensation Ace nt as of the last valuation date (September 30, x and March 31, xx) plus contributions made since the lag valuation date plus interest at a rate of five percent (5 per annum from the date of last valuation and the cont ution date(s) to the anticipated payment date. 4. PLAN The amount in a Deferred Compensation Account of a former Participant, shall be transferred to another eligible plan of which the former participant has become a Participant, if the following conditions are met: A. and The new plan provides for acceptance of such amounts, 01 plan provides for such transfer if the separates from service with the Employer in order employment with another eligible entity. This Plan accepts amounts of compensation deferred by Participant pursuant to another eligible deferred compensation plan as stated in the prior paragraph. RIGHTS OF EMPLOYER/PARTICIPANT. 4- AMBROSE, FITZGERALD . CROOKSTON Participant may not anticipate or assign any of the rights he or she may have under the Deferred Compensation Agreement and Employer shall reject and refuse to honor any anticipation or assignment of such rights. Allo,"".a'd Co"..to," GENERAL EMPLOYEES NONQUALIFIED DEFERRED COMPENSATION PLAN PAGE - 7 P.O. .."" M"'dlon. Idaho 83"" Telepho'e ......., 6. LEAVE OF ABSENCE. If a Participant is on an approved leave of absence from the Employer with compensation, or on an approved leave of absence without compensation, his participation in this Plan will continue. / 7.> DISTRIBUTION OF FUNDS. // Administration of the plan r!¥Ìuires participant balances twice each/year as September 30. / accounting for of MarCh .:U ana In order to facilitate distribution of funds as allowed by the plan the following procedure will be used. If funds are to be distributed at a d.ate other than March 31 or September 30 the participant wi],l receive as an interim distribution the balance in the p rticipants account as of the previous accounting date. he participant will receive a final distribution based pon the next accounting period which will include the empl ee contribution since the account balance used for the' terim distribution and the related plan earnings or 10 ses for the same period. ~~f7 I follows: as of June 30, ~ distribution of the participant account as of March 31, 19X1. A final distribution of the participant account balance as of September 30, 19X1. Balance would represent employee contribution after March 31, 19X1 plus net plan earnings or losses from March 31, 19X1 to June 30, 19X1. For the convenience and benefit of the participants, the participants have been allowed to make lump sum contributions into the plan based upon anticipated base annual earnings. 8. NONASSIGNABILITY. ? AMBROSE. FITZGERALD . CROOKSTON A. In general: Except as provided in section 8 .B., B.,o participant shall have any right to commute, sell, assign, pledge, transfer or otherwise conveyor encumber the right to receive any payments hereunder, which payments and rights are expressly declared to be non-assignable and non- transferable. A"",.e,.." Co"..elo" GENERAL EMPLOYEES NONQUALIFIED DEFERRED COMPENSATION PLAN PAGE - 8 P.O. Bo> 4" Me.dle.. Ideho 8384' Tele,ho..-"'.' , ' ) B. Domestic Relations Order: 1. Allowance of Transfers: To the extent required under a final judgment, decree, or order (including approval of a property settlement agreement) made pursuant to a state domestic relations law, any portion of the Participant's Account may be paid or set aside for payment to a spouse, former spouse, or child of the Participant. Where necessary to carry out the terms of such an order, a separate Account shall be established with respect to the spouse, former spouse, or child who shall be entitled to make investment selections with respect thereto in the same manner as the Participant; any amount so set aside for a spouse, former spouse, or child shall be paid out in a limp sum at the earliest dates that the benefits may be paid to the Participant, unless the order directs a different time or form of payment. Nothing in this Section shall be construed to authorize any amount to be distributed under the Plan at a time or in a form that is not permitted under Section 457 of the Internal REvenue Code. Any payment made to a person other than the Participant pursuant to this Section shall be reduced by required income tax withholding; the fact that payment is made to a person other than the Participant may not prevent such payment from being includible in the gross income of the Participant for withholding and income tax reporting purposes. 2. Release of Liability to Participant: The Employer's liability to pay benefits to a Participant shall be reduced to the extent that amounts have been paid or set aside for payments to a spouse, former spouse, or child pursuant to Paragraph 1 of this Section. No such transfer shall be effectuated unless the Employer or Administrator has been provided with satisfactory evidence that the Employer and the Administrator are released from any further claim by the Participant with respect to such amounts. The Participant shall be deemed to have released the Employer and Administrator from any claim with respect to such amounts, in any case in which a. the Employer or Administrator has been served with legal process or otherwise joined in a proceeding relating to such transfer, AMBROSE, FITZGERALD . CROOKSTON b. the Participant has been notified of the pendency of such proceeding in the manner prescribed by law of Idaho for service of process in such action or AIIO,"""" Co""'o,, GENERAL EMPLOYEES NONQUALIFIED DEFERRED COMPENSATION PLAN PAGE - 9 P.O, eo, 427 M"ldl,,",ldoho "'" Telepho'e"""" AMBROSE, FITZGERALD SCROOKSTON A"om.,..,' CO",,"o.. P.O.Bo'427 M""",."oho 83'" Telepho,,"""'.' 9. .' 'j by mail from the employer or Administrator to the Participant's last known mailing address, and c. the Participant fails to obtain an order of the court in the proceedings relieving the Employer or Administrator from the obligation to comply with the judgment, decree. or order. 3. Participation in Legal Proceedings: The Employer and Administrator shall not be obligated to defend against or set aside any judgment, decree, or order described in paragraph (a) or any legal order relating to the garnishment of the Participant's benefits, unless the full expense of such legal action is bone by the Participant. In the event that the Participant's action (or inaction) nonetheless causes the Employer of Administrator to incur such expense, the amount of the expense may be charged against the Participant's Account and thereby reduce the Employer's obligation to pay benefits to the Participant. In the course of any proceeding relating to divorce, separation or child support, the Employer and Administrator shall be authorized to disclose information relating to the Participant's Account to the Participant's spouse, former spouse, or child (including the legal representative of the spouse, former spouse, or child), or to a court. AMENDMENT OR TERMINATION OF PLAN. The Employer ma at an time is Plan. Upon sxn terminat10n, e artici ants in the Plan will be deemed to have withdrawn from the Plan as of the dat such termination. The participant's full compensation on a non- deferred basis will thereupon be restored and the committee ~ treat such Participants as if they had terminated their services on the date of the termination and direct the ::--'i Em¡loyer to pay such benefit or benefits prov1ded 1n Section(~~' ~ , 10. The Depository is not a party to the deferred compensation agreement. 12. In the event the terms of this Plan shall be in conflict with Section 457 of the Internal Revenue Code or the regulations thereunder, as amended, Employer and Participant aqree to cooperate in correcting sam to be' com liance t ereW1 ~.~~ s',.:.:h.',-_", This Deferred Compensation Plan shall be binding upon the assigns and successors of Employer and upon the legal representatives of Participant. GENERAL EMPLOYEES NONQUALIFIED DEFERRED COMPENSATION PLAN PAGE - 10 '. AMBROSE, FITZGERALD . CROOKSTON A"o"O" ,," c.o.."o.. P.O. Boo '27 Me,'"'en, Ideho -, Tolephone ......., '. 13. This Plan shall be construed under the laws of the State of Idaho. IN WITNESS WHEREOF, the parties have set their hands and seals on the date shown below. 14. This Plan shall be in full force and effect on October 15, 1991. CITY OF MERIDIAN CITY ("EMPLOYER") ATTEST: GENERAL EMPLOYEES NONQUALIFIED DEFERRED COMPENSATION PLAN PAGE - 11 AMBROSE, FITZGERALD . CROOKSTON Anome,"'d Co.n,e'o" P.O. Bo,'" Melldlen.ldeho 8364' Telephone"""'" EXHIBIT "B" GENERAL EMPLOYEES NONQUALIFIED DEFERRED COMPENSATION PLAN TRUSTEE DUTIES AND RESPONSIBILITIES WHEREAS, the City of Meridian, by City Council Action, has adopted an employees nonqualified deferred Compensation plan, the following described Committee is established with the duties and responsibilities described below: 1. There shall established General Employees be a Nonqualified Compensation Plan Trustee Group (Trustee Group) which shall be charged with the responsibility of administration of said deferred compensation plan. The duties, responsibilities and powers of the TRUSTEE GROUP shall be delineated by this document and no amendment shall be effective unless memorialized in an addendum equal force to this document. 2. The TRUSTEE GROUP shall be initially composed o~~ P. KiBjJsfðrd, J'aek NiClllflllll, .Janiga 1"." ."". "nñ ..."...1 W¡rd. The qualifications to be Trustee and the terms of office of the Trustees Group and their mode of succession has been set forth in the resolution of the City Council to which this document has been attached. All decisions of the TRUSTEE GROUP shall be by majority vote and shall be binding on the TRUSTEE GROUP. 3. A TRUSTEE GROUP has been established by action of the City Council, however, by agreement, the Trustee Group may select an investment manager by the competitive Request for Proposal process. The investment manager shall be given, by the TRUSTEE TRUSTEE DUTIES AND RESPONSIBILITIES - PAGE 1 -. AMBROSE. FITZGERALD . CROOKSTON Allom.y.and C,""',". P.O. .., 427 M"'d'an.ldoho ...., T"00.."B88"'" GROUP, direction and investment guidelines sufficient to establish an investment portfolio goal. 4. The TRUSTEE GROUP shall meet at l~(t;;ce y~ once in the three months period form October to December of each year, and again during the period April to June of each year. Any member of the TRUSTEE GROUP may call a special meeting upon notice to other members. Such notice must be made within a reasonable period prior to the meeting. 5. The TRUSTEE GROUP shall meet to consider, but not limited to, the following: (A) Review the deferred compensation plan eve~:.~? (2) ~ to determine the feasibility of adjusting the plan to include alternative funding vehicles and pooling arrangements which are available and economically prudent. (B) Develop performance criteria for the~"y.~~_~_of..!:lLe investment manager. The investment manager ~-:1?Eõ!_-:t..erm~_.È:Y the GROUP for failure fulfill reasonable to the TRUSTEE expectations the GROUP measured against the TRUSTEE of as performance criteria developed by the TRUSTEE GROUP. (C) Review the perform;,"""" "of the investment manager at least annually. Such review shall contemplate the performance of the investment measured against the investment manager as guidelines described in Paragraph 3 and anticipated performance criteria to be established by the TRUSTEE GROUP. (D) Establish hardship guidelines consistent with the intent of the General Employees Nonqualified Deferred Compensation Plan TRUSTEE DUTIES AND RESPONSIBILITIES - PAGE 2 r AMBROSE. FITZGERALD . CROOKSTON AIt..ne,e end Coun..'o," P.O. Bo.'" Me"dlen,ldeho 8364' Telephone"""'" "~?ì and applicable Internal Revenue Service guidelines. The TRUSTEE GROUP shall review all hardship requests for the withdrawal of ... .....-"- --- ....--...... funds the General from Compensation Plan in accordance with guidelines to be established u¡;:'~~oye~.s_.. .Non5Lu..Ç\¡if":¡'êd..J:)~ ferr_ed by the TRUSTEE GROUP. (E) Periodically review and amend the plan document as and program necessary desired to or objectives. ----- ......, . -...............' .._"---,,, meet IRS guidelines 6. The TRUSTEE GROUP shall prepare an annual- performance.. Such report for presentation to the employee_s_.¡:¡:r:~. the Citj'. report shall state the performance of the fund and the achievement of its stated objectives. DATED this/.CØ day of ATTEST: @& /-0 h ~r-/ ,1991. CITY OF MERIDIAN ~ant1G;tI TRUSTEE DUTIES AND RESPONSIBILITIES - PAGE 3