HomeMy WebLinkAbout446_Adopting an Employee Retirement System Defined Contribution PlanBOOK 5442 PAGE 980 92 089392
ORDINANCE NO. 446
CITY OF OWASSO, OKLAHOMA
AN ORDINANCE ADOPTING AN EMPLOYEE RETIREMENT SYSiTTEM, c
DEFINED CONTRIBUTION PLAN FOR OWASSO, OKLAHOMA;
PRO VIDING RETIREMENT BENEFITS FOR ELIGIBLE EMPLOYEES OF
THE CITY OF OWASSO, OKLAHOMA; PROVIDING FOR PURPOSE
AND ORGANIZATION; PROVIDING FOR DEFINITIONS; PROVIDING
FOR ELIGIBILITY AND PARTICIPATION; PROVIDING FOR
EMPLOYER AND EMPLOYEE CONTRIBUTIONS; PROVIDING FOR
ACCOUNTING, ALLOCATION, AND VALUATION; PROVIDING
BENEFITS; PROVIDING FOR REQUIRED NOTICE; PROVIDING FOR
AMENDMENTS AND TERMINATION; PROVIDING FOR TRANSFER TO
AND FROM OTHER PLANS; CREATING A RETIREMENT COMMITTEE
AND PROVIDING FOR POWERS, DUTIES AND RIGHTS OF
RETIREMENT COMMITTEE; PROVIDING FOR PAYMENT OF
CERTAIN OBLIGATIONS; PROVIDING FOR DURATION AND
PAYMENT OF EXPENSES; PROVIDING FOR EFFECTIVE DATE;
PROVIDING FOR VESTING SCHEDULES; PROVIDING FOR A FUND
TO FINANCE THE SYSTEM TO BE POOLED WITH OTHER
INCORPORATED CITIES, TOWNS AND THEIR AGENCIES AND
INSTRUMENTALITIES FOR PURPOSES OF ADMINISTRATION,
MANAGEMENT AND INVESTMENT AS PART OF THE OKLAHOMA
MUNICIPAL RETIREMENT FUND; PROVIDING FOR PAYMENT OF
ALL CONTRIBUTIONS UNDER THE SYSTEM TO THE TREASURER OF
THE CITY OF OWASSO, OKLAHOMA, AND FOR TRANSFER OF SUCH
CONTRIBUTIONS AND FUND ASSETS TO THE OKLAHOMA
MUNICIPAL RETIREMENT FUND FOR MANAGEMENT AND
INVESTMENT; PROVIDING FOR REPEALER AND SEVERABILITY;
AND DECLARING AN EMERGENCY.
NOW, THEREFORE, BE IT ORDAINED BY THE CITY COUNCIL OF THE CITY OF
OWASSO, OKLAHOMA:
Section One: That pursuant to the authority conferred by the laws of the State
of Oklahoma, and for the purpose of encouraging continuity and meritorious service on the part
of City employees and thereby promote public efficiency, there is hereby authorized, created,
established, and approved and adopted, effective as of July 1, 1992, the funded Pension Plan
designated "Employee Retirement System of Owasso, Oklahoma, Defined Contribution Plan,"
(hereinafter called System), an executed counterpart of which is marked Exhibit "A" and Exhibit
"B" and attached hereto as part hereof.
Section Two: ADMINISTRATION. For the purpose of administration of the
System there is hereby established a Board of Trustees, which shall be the members of the City
Council or the City of Owasso, Oklahoma, as now existing or as from time to time duly elected
or appointed and constituted. The powers and duties of the Board of Trustees shall be as set
forth in the System instrument attached hereto as Exhibit "A ".
Section Three: FUND. A fund is hereby provided for the exclusive use and
benefit of the persons entitled to benefits under the System. All contributions to such fund shall
be paid over to and received in trust for such purpose by the City Treasurer, who shall be the
Treasurer of the System. Such Fund shall be pooled for purposes of . management and
investment with similar funds of other incorporated cities, towns and municipal trusts in the state
of oklahoma as a part of the Oklahoma Municipal Retirement Fund in accordance with the trust
agreement of the Oklahoma Municipal Retirement Fund, a public trust. The City Treasurer shall
hold such contributions in the form received, and from time to time pay over and transfer the
same to the Oklahoma Municipal Retirement Fund, as duly authorized and directed by the Board
of Trustees. The Fund shall be nonfiscal and shall not be considered in computing and lefy
when the annual estimate is made to the County Excise Board.
BOOK 5442 PAGE 981
Section Four: APPROPRIATIONS. The City of Owasso, Oklahoma is hereby
authorized to incur the necessary expenses for the establishment, operation, and administration
of the System, and to appropriate and pay the same. In addition, the City of Owasso,
Oklahoma, is hereby authorized to appropriate annually such amounts as are required in addition
to employee contributions to maintain the System and the Fund in accordance with the provisions
of the Defined Contribution Plan. Any appropriation so made to maintain the System and Fund
shall be for deferred wages or salaries, and for the payment of necessary expenses of operation
and administration to be transferred to the trustees of the Oklahoma Municipal Retirement Fund
for such purposes, and shall be paid into the Fund when available, through the City Treasurer,
to be by him duly transferred to the Oklahoma Municipal Retirement Fund.
Section Five: EXECUTION. The Mayor and City Clerk be and they are each
hereby authorized and directed to execute (in counterparts, each of which shall constitute an
original) the System instrument, and to do all other acts and things necessary, advisable, and
proper to put said System and related trust into full force and effect, and to make such changes
therein as may be necessary to qualify the same under Sections 401(a) and 501(a) of the Internal
Revenue Code of the United States. The counterpart attached hereto as exhibit "A ", which has
been duly executed as aforesaid simultaneously with the passage of this Ordinance and made a
part hereof, is hereby ratified and confirmed in all respects.
This Owasso City Council is hereby authorized and directed to proceed immediately on
behalf of the City of Owasso, Oklahoma, to pool and combine the Fund into the Oklahoma
Municipal Retirement Fund as a part thereof, with similar funds of such other cities and towns,
for purposes of pooled management and investment.
Section Six: REPEALER. Any Ordinance inconsistent with the terms and
provisions of this Ordinance is hereby repealed, provided however, that such repeal shall be only
to the extent of such inconsistency and in all other respects this Ordinance shall be cumulative
of other ordinances regulating and governing the subject matter covered by this Ordinance.
Section Seven: SEVERABILITY. If regardless of cause, any section, subsection,
paragraph, sentence or clause of this Ordinance, including the System as set forth in Exhibit "A"
is held invalid or to be unconstitutional, the remaining sections, subsections, paragraphs,
sentences, or clauses shall continue in full force and effect and shall be construed thereafter as
being the entire provisions of this Ordinance.
Section Eieht: EMERGENCY. Whereas, in the judgment of the City Council of
the City of Owasso, Oklahoma, the public peace, health, safety and welfare of the City of
Owasso, Oklahoma, and the inhabitants thereof demand the immediate passage of this
Ordinance, an emergency is hereby declared, and this Ordinance shall be in full force and
effective upon the passage of this emergency clause separately.
Dated this 16th day of June, 1992.
CITY OF OWASSO, OKLAHOMA
By Patricia K. Marlar, Mayor
ATTEST: Jane Buchanan, City Clerk
APPROVED AS TO FROM: Ronald D. Cates, City Attorney
Attachment "A"
OKLAHOMA MUNICIPAL RETIREMENT SYSTEM
MASTER DEFINED CONTRIBUTION PLAN AND TRUST
MONEY PURCHASE PENSION AND TARGET BENEFIT
JOINDER AGREEMENT
FOR THE
CITY OF OWASSO
AS OF
JULY 1, 1992
TABLE OF CONTENTS
Page
1. Effective Date 1
2. Employee 1
3. Eligibility 1
4. Plan Design 2
5. Other Participant Contribution Options 3
6. Allocation of ; ontributions 3
7. Vesting 3
8. Committee 5
9. Employer Signature 7
10. Oklahoma Municipal Retirement
SystemSignature 7
RF30085
-ii-
City of Owasso a city, town, agency,
instrumentality, or public trust located in the State of
Oklahoma, with its principal office at Owasso ,
hereby establishes a Defined Contribution Plan and Trust to
be known as City of Owasso Plan and Trust
(the "Plan ") in the form of The Oklahoma Municipal Retirement
System Master Defined Contribution Plan and Trust.
Except as otherwise provided herein, the defini-
tions in Article II of the Plan apply.
1. The Effective Date of the Plan shall be the
first day of July 1 1992.
2. Employee.
Employee shall mean:
Any person who, on or after the Effective Date, is
receiving remuneration for personal services retidered to
the Employer (including any elected official and any
appointed officer or employee of any department of the
Employer, whether governmental or proprietary in na-
ture), including persons on Authorized Leave of Absence.
Employees shall not include independent contractors.
Elected members of the City Council shall not be consid-
ered to be Employees solely by reason of their holding
such office.
Lg/ The term Employee shall not include any
individual who is employed on a temporary or part -time
basis.
U The term Employee
individual who is covered by any
retirement system unless, with
state or local retirement system,
pay status currently receiving
active participant.
3. Eligibility.
shall not include any
other state or local
respect to the other
the individual is in
benefits and not an
Employees shall be eligible to participate in the
Plan: (Select only one)
Z months (any number of months up to
twelve) after the Employee's Employment Commencement
Date.
V On the first day the Employee's service
for the Employer is no longer temporary, probationary,
or provisional.
U On the Employee's Employment Commencement
Date.
4. The Employer hereby elects the following Plan
design:
Pick -up Option. The Employer hereby elects to have the
provisions of Section 4.9 of the Plan apply. The
Employer shall pick -up and pay % of each Partici-
pant's Compensation.
Thrift Plan Option.
Lyl The Employer shall contribute to the Fund an
amount equal to 50 % of the total Mandatory
Contributions contributed by Participants.
The Employer shall not contribute to the Fund.
An Employee shall be required to contribute to
the Plan for each Plan Year 0 to 2.0
of his Compensation ( "Mandatory Contribu-
tions"). Mandatory Contributions shall be
made by payroll deductions. An Employee shall
authorize such deductions in writing on forms
approved by, and filed with the Committee.
Money Purchase Pension Option.
The Employer shall contribute to the Fund an
amount which when added to Amounts Forfeited
for the Plan Year shall equal _% of the
total covered Compensation of all Participants
for the Plan Year.
Target Benefit Option.
The Employer shall contribute to the Plan on
behalf of each Participant an amount which
when added to the Amounts Forfeited for the
Plan Year shall equal the amount calculated
under Section 4.8 of the Plan to provide an
assumed annual retirement benefit equal to
percent (_ %) of that Participant's
total Compensation for all Plan Years at his
Normal Retirement Date.
-2-
No Employer Contribution Option.
5. Other Participant Contribution Options.
Voluntary Deductible Contributions by Participants shall
be allowed under the provisions of Section 4.4 of the
Plan.
A Participant may withdraw Voluntary Deduc-
tible Contributions as set forth in Section
6.9(a) of the Plan.
A Participant may not withdraw 'Voluntary
Deductible Contributions.
Voluntary Nondeductible Contributions by Participants
shall be allowCd under the provisions of Section 4.5 of
the Plan.
Participants shall not contribute to the Plan.
6. Allocation of Contributions. For purposes of
the allocation of contributions pursuant to Article V of 'the
Plan, the Employer's contribution for each Plan Year, togeth-
er with Amounts Forfeited as of the end of each Plan Year
allocable under Section 5.3 of the Plan, shall be allocated
as of the last day of such Plan Year, to the Municipality
Contribution Accounts of Participants,
in the proportion which the Compensation
of each such Participant for such Plan Year bears to the
Compensation paid to all such Participants for such Plan
Year.' (This option should be elected if neither the
Thrift Plan Option nor the Target Benefit Option is
selected.)
in the proportion which the Mandatory
Contributions of each such Participant for such Plan
Year bear to the total Mandatory Contributions
contributed by all such Participants for such Plan Year.
(This option should be elected if the Thrift Plan Option
is chosen.)
in the amount calculated for each Partic-
ipant under Section 4.8 of the Plan. (This option
should be elected if the Target Benefit Option is
elected).
7. For purposes of vesting under Section 6.4 of
the Plan, the Employer hereby elects the following Option:
(Select one)
-3-
Years of Vested Forfeited
Service Percentage Percentage
(a) L/ Option A
less than 1 0% 100%
1 but less than 2 10% 90%
2 but less than 3 20% 80%
3 but less than 4 30% 70%
4 but less than 5 40% 60%
5 but less than 6 50% 50%
6 but less than 7 60% 40%
7 but less than 8 70% 30%
8 but less than 9 80% 20%
9 but less than 10 90% 10%
10 or more less than 100% 0%
15 or more 100% (b)
Option B
less than 5 0%
5 but less than 25%
6 but less than 730%
7 but less than 8 35%
8 but less than 9 40%
9 but less than 10 45%
10 but less than 11 50%
11 but less than 12 60%
12 but less than 13 70%
13 but less than 14 80%
14 but less than 15 90%
15 or more 100%
(c) U Option C
less than 3 .. 0%
3 but less than 4 30%
4 but less than 5 40%
5 but less than 6 50%
6 but less than 7 60%
7 but less than 8 70%
8 but less than 9 80%
9 but less than 10 90%
10 or more . 100%
(d) ZT Option D:
The schedule indicated below:
-4-
100%
75%
70%
65%
60%
55%
50%
40%
30%
20%
10%
0% 0
100%
70%
60%
50%
40%
30%
20%
10%
0%
Years of
Service
Less than 2
2 but less than 3
3 but less than 4
4 but less than.5
5 or more
Vested
Percentage
0%
40%
60%
80%
100%
Forfeited
Percentage
100%
60%
40%
20%
0%
8. The .Committee, consisting of the following
members, agrees to administer the Plan and Trust pursuant to
the provisions thereof.
Name
Signature
Name
gnature
Name
Signature
Name
Signature
Name
Signature
Name
Signature
-5-
-6-
Name
Signature
Name
Signature
9. The Employer has consulted with and been
advised by its attorney concerning the meaning of the provi -..-
sions of the Plan and Trust Agreement and the effect.of entry "
into the Plan and Trust. The Employer acknowledges that if
it adopts any employee retirement benefit plan in addition to
this Plan, it must obtain another determination letter from
the Internal Revenue Service in addition to the determination
letter obtained for this Plan.
IN WITNESS WHEREOF the City of Owasso
has caused its corporate seal to be affixed hereto and this
instrument to be duly executed in its name and behalf by its
duly authorized officers this 16 day of June 1992.
City of nw
(Name of Em p oyer)
By
Attest:
Title:patricia K Marlar -Mayor
(SEAL)
10. The foregoing Joinder Agreement is hereby
approved by The Oklahoma Municipal Retirement System this
day of , 19_
Attest:
sistant Secretary
(SEAL)
RF29985
THE OKLAHOMA MUNICIPAL
RETIREMENT SYSTEM
By:
Title:
-7-
Published In the Owasso Reponer
Owasso, Tulsa County, Okla
homa. June 25, 1992.
Affidavit Of Pubficatioll
ORDINANCE NO. 446
CITY OF OWAsso, OKLAHOMA
STATE OF OKLAHOMA, TULSA COUNTY, ss:
AN ORDINANCE ADOPTING
AN EMPLOYEE RETIREMENT
SYSTEM, DEFINED CONTRISU-
Bill R. Retherford , of lawful age, being duly sworn
TION PLAN FOR OWASSO,
OKLAHOMA; PROVIDING
RETIREMENT BENEFITS FOR
and authorized, says that he is the publisher of the
ELIGIBLE EMPLOYEES OF THE
CITY OF OWASSO, OKLAHOMA;
PROVIDING FOR PURPOSE AND
OWASSO REPORTER a weekly
ORGANIZATION; PROVIDING
FOR DEFINITIONS; PROVIDING
FOR ELIGIBILITY AND PARTICI.
newspaper printed in the city of OWASSO
PATION; PROVIDING FOR
EMPLOYER AND EMPLOYEE
Tulsa County, Oklahoma, a newspaper qualified to
CONTRIBUTIONS; PROVIDING
FOR ACCOUNTING, ALLOCA.
TION, AND VALUATION; PROVID.
ING BENEFITS; PROVIDING FOR
publish legal notices, advertisements and publications
REQUIRED NOTICE; PROVIDING
FOR AMENDMENTS AND TERM I.
as provided in Section 106 of Title 25, Oklahoma
NATION: PROVIDING FOR
TRANSFER TO AND FROM OTH.
ER PLANS; CRATING A RETIRE.
Statutes 1971 and 1983 as amended, and thereafter,
MENT COMMITTEE AND PRO.
VIDING FOR POWERS, DUTIES
AND RIGHTS OF RETIREMENT
and complies with all other requirements of the laws
COMMITTEE; PROVIDING FOR
PAYMENT OF CERTAIN OBLIGA-
TIONS; PROVIDING FOR DURA�
of Oklahoma with reference to legal publications.
TION AND PAYMENT OF
EXPENSES; PROVIDING FOR
EFFECTIVE DATE; PROVIDING
That said notice, a true copy of which is attached
FOR VESTING SCHEDULES;
PROVIDING FOR A FUND TO
FINANCE THE SYSTEM TO BE
hereto, was published in the regular edition of said
POOLED WITH OTHER INCOR.
PORATED CITIES, TOWNS AND
THEIR AGENCIES AND INSTRU.
newspaper during the period and time of publication
MENTALITIES FOR PURPOSES
OF ADMINISTRATION, MANAGE.
MENT AND INVESTMENT AS
and not in a supplement, on the following dates:
PART OF THE OKLAHOMA
JUNE 25 2
MUNICIPAL RETIREMENT FUND;
PROVIDING FOR PAYMENT OF
ALL CONTRIBUTIONS
199 -
UNDER
THE SYSTEM TO THE TREASUR-
ER OF THE CITY OF OWASSO,
OKLAHOMA, AND FOR TRANS-
FER OF SUCH CONTRIBUTIONS
AND FUND ASSETS TO THE
OKLAHOMA MUNICIPAL RETIRE.
Subscribed and sworn to before me this 26th
MENT FUND FOR MANAGEMENT
AND INVESTMENT, PROVIDING
FOR REPEALER AND SEVER.
day of Tun p- _?199 2
ABILITY; AND DECLARING AN
EMERGENCY.
Section Eight: EMERGENCY.
Whereas, In the judgment of the
City Council of the City of Owasso,
Notary Public
Oklahoma, the public peace
health, safety and welfare of the
My Commission expires: p jE
CRY for Owasso, Oklahoma, and
the inhabitants thereof demand the
Immediate Passage of this Ordi.
PUBLISHERS FEE $ 3 2. 8 5
nance, an emergency Is hereby
declared, and this Ordinance shall
be in full force and effective upon
the Passage of this emergency
clause separately.
Dated this 16th day of June,
1992.