PREPARED BY: ARTURO CASTILLO DATE OF MEETING: 06/02/2025
SUBJECT:
TITLE
CONSIDER ADOPTING RESOLUTION OF THE CITY COUNCIL OF THE CITY OF SAN PABLO (1) APPOINTING THE CITY MANAGER AS PLAN ADMINISTRATOR FOR THE CITY'S 457(B) AND RETIREE HEALTH SAVINGS ("RHS") PLANS ("THE PLANS"); (2) AUTHORIZING THE CITY MANAGER TO EXECUTE NECESSARY SERVICE PROVIDER AGREEMENTS RELATED TO THE ADMINISTRATION OF THE PLANS; AND (3) GRANTING THE CITY MANAGER THE AUTHORITY TO DELEGATE/ASSIGN DUTIES FOR THE PLAN TO APPROPRIATE DEPARTMENTS AND STAFF TO FULFILL THE CITY'S FIDUCIARY RESPONSIBILITIES AND DUTIES AS OUTLINED IN ARTICLE XVI, SECTION 17 OF THE CALIFORNIA CONSTITUTION
CEQA: This proposed action is not a project as defined by CEQA.
Label
CITY MANAGER RECOMMENDATION
Recommendation
Adopt Resolution
BODY
COMPLIANCE STATEMENTS
Continue Best Management Practices, Fiscal Excellence, and Fiscal Transparency is an adopted City Council Priority contained in the adopted Fiscal Year 2025-2027 City Council Priority Workplan, effective April 7, 2025.
RECOMMENDATION:
City staff recommend that the City Council adopt a resolution (1) appointing the City Manager as Plan Administrator for the City's 457(b) and RHS Plans, (2) authorizing the City Manager to execute necessary service provider agreements related to the administration of the plans, and (3) granting the City Manager the authority to delegate/assign duties for the plan to the appropriate departments and staff to fulfill the City's fiduciary responsibilities and duties as outlined in Article XVI, Section 17 of the California Constitution.
BACKGROUND
The City provides an employer-sponsored deferred compensation plan under Section 457(b) of the Internal Revenue Code ("IRC") and a RHS plans under Section 105(h) the IRC. The 457(b) Plan provides tax benefits to employees who make deposits into the Plan for their retirement. The RHS Plan provides tax-free reimbursement for qualified health expenses funded by City paid defined contr...
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