City of Alexandria, Virginia
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MEMORANDUM
DATE: JANUARY 8, 2014
TO: THE HONORABLE MAYOR AND MEMBERS OF CITY COUNCIL
FROM: RASHAD M. YOUNG, CITY MANAGER
DOCKET TITLE:
TITLE
Consideration of a Resolution to Amend and Restate the Supplemental Retirement Plan. [ROLL-CALL VOTE]
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ISSUE: Consideration of the proposed amendment to the City of Alexandria Supplemental Retirement Plan (the "Plan").
RECOMMENDATION: That City Council adopt the attached resolution (Attachment 1) which amends and restates the Supplement Plan. Below are the reasons these changes are necessary.
* To make technical corrections that add, delete, or modify the Plan Document language to clarify the Plan administration and to comply with Internal Revenue Service ("IRS") regulatory requirements;
* To restate the Plan Document to combine the January 1, 2009 Restatement and the subsequent amendments into one document;
These changes, which are recommended at this time, make no change to benefits, contributions, or eligibility and are cost neutral to the City.
BACKGROUND: The Plan provides both retirement and disability benefits in a defined benefit form to all benefited employees who are not firefighters and police officers. The Plan was originally effective on August 1, 1970. The plan was last restated at the December 9, 2008 City Council meeting and took effect on January 1, 2009. Amendment One, Two, Three, Four and Five to the January 1, 2009 Plan Restatement were adopted in 2010, 2010, 2011, 2012, and 2013 respectively.
The proposed changes in the restatement make technical corrections to ensure that the Plan Document reflects actual practice and to comply with the IRS regulatory requirement.
DISCUSSION: The attached List of Section Changes Made for IRS Compliance (Attachment 2) lists all of the proposed changes. The changes can be summarized as noted belo...
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