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HomeMy WebLinkAbout1998 Augusta Money Purchase Plan Augusta Richmond GA DOCUMENT NAME: \C(S'6 AJlJ-Of:o- N\0l\"'( f"\\....rcha& \>\o.n . DOCUMENT TYPE: YEAR: 0 \ BOX NUMBER: \~ FILE NUMBER:) 5650 NUMBER OF PAGES: L\ . 10 /; 'C'A;. - .' i' -. ,. SECOND, AMENDMENT TO THE 1998 AUGUSTA MONEY PURCHASE PLAN THE Employer, Augusta/Richmond County, hereby amends the 1998 Augusta Money Purchase Plan #005 (the "Plan"), which was adopted in the fmID of a Nationwide Retirement Solutions, Inc. Model Govemmental Defined Contlibution Plan and Trust (the "Plan Document") and Adoption Agreement (the "Adoption Agreement"), pursuant to the right reserved in Section 8.1 of the Plan Document as follows: 415(c)(3) compensation definition: For Limitation Years beginning on or after January 1, 1998, for purposes of applying the limitations described in section 1.7 of the Plan Document and El. of the Adoption Agreement, compensation paid or made available during such limitation year,s shall include elective amounts that are not includible in the gross income of the employee by reason of section 132(f)( 4), IN WITNESS WHEREOF, the Employer has caused this Amendment to be executed by its duly authorized officer on this --3- day of December ,2001 ~ AUGUSTA-RICHMOND COUNTY COMMISSION JAMESB. WALL CITY ATTORNEY LEE BEARD ULMER BRIDGES JERRY BRIGHAM HENRY H. BRIGHAM ANDY CHEEK RICHARD L. COLCLOUGH WILLIAM B. KUHLKE. JR. STEPHEN E. SHEPARD MARION WILLIAMS BOB YOUNG Mayor P.O. Box2125 454 GREENE STREET AUGUSTA, GA 30903 Bus. (706) 821-2488 FAX No: (706) 722-5984 E-MAIL: JWALL@co.RICHMOND.GA.US December 6, 2001 GEORGE R. KOLB Administrator WM. "WILLIE" H. MAyS, III Mayor Pro Tem Ms. Lena Bonner Clerk, Commission 8th Floor, City-County Bldg. Augusta, GA 30911 RE: Amendment to 1998 Money Purchase Plan Our File No. AR-30-081 Dear Lena: At the Commission meeting on Monday, December 3, the Commission approved what was referenced as the "First Amendment to the 1998 Augusta Money Purchase Plan", when in fact this is the "Second" Amendment. I have spoken with Pension Services and they concur that this is in fact the Second Amendment. The First Amendment which was adopted in 1999 changed the employer contribution from 1 % to 2%. I have changed the caption on the Amendment to reflect that it is the Second Amendment. I would suggest that at the next Commission meeting that we have an amendment to the minutes to reflect that the Amendment was actually the Second Amendment, rather than the first. Should you have any questions, please give me a call. With best personal regards, I am YoUr very truly, / J I'L...... JBW/sjp Enclosure cc: Mayor Bob Young Ms. Brenda Byrd-Pelaez Mr. George Kolb DATE: TO: k;:" CLfG (IF ~ tl/l6/0) Human Resources Department -cI"-~~~ Brenda Byrd-Pelae~.~jr:~,~(6FJi;L') \ ~!:' r. ,;, t.':~ - ;! " 'J '""'J"l " \.: ::: "- \j; ~ 1 . r.,.~l r{"li~,~,\~S\ON) , ) _ '......~ :""1("',;.q0~~~r~ i~\.ILh'H 1 l.J~ 't,2~:~~~':1~!~,~:_:~~;;\~~;.~i_~~~ Room 601 - Municipal Building 30 Greene Street - Augusta, GA 30911 '(706) 821-2303 - FAX (706) 821-2867 ENDA ITEM: LtJ ...L EDITION: November 16,2001 The Honorable Bob Young, Mayor Members ofthe Commission Henry Brigham, Chairman, Administrative Services Committee THROUGH: George R. Kolb, Administrator FROM: Brenda Byrd-Pelaez, Human Resources Director SUBJECT: 1998 Augusta Money Purchase Plan CAPTION: Adopt the First Amendment to the 1998 Augusta Money Purchase Plan 5't:'-ctJ /f IJ BACKGROUND: ANALYSIS: Congress recently passed a law affecting qualified plans. The Community Renewal Relief Act of2000 and its amendment to section 415(c) of the Internal Revenue Code. This section provides a definition of compensation that applies to all plans in section 401 (a). . , The IRS recently issued a model amendment that may be adopted by plan sponsors. If Augusta adopts this amendment model on a word for word basis prior to 12/31/01 it will be deemed to satisfY the amended 415 (c) section. The IRS recently issued a favorable determination on our 98 Pension Plan, which means that our pension plan conforms to the Internal Revenue Code section 401 (a).. Ordinarily after amending plan after a favorable determination letter has been issued renders such letter invalid. However, the IRS has said that plan sponsors who adopt the amendment word-for-word can still rely on the previously issue determination letter. FINANCIAL IMPACT: None. Page 1 ,,~- ~. . ~ .> :".. AGENDA ITEM: EDITION: DATE: November 16,2001 ALTERNATIVES: Do not approve the amendment to the 1998 Augusta Money Purchase and risk noncompliance with the IRS Code. RECOMMENDATION: Approve the agenda item. REQUESTED AGENDA DATE: . Committee Meeting: November 26,2001 DEPARTMENT ~~ DIRECTOR: . " . FUNDS AVAILABLE IN THE FOLLOWING ACCOUNTS: ADMINISlRATOR:#.It ~1Ib~fNANCE: Page 2