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CC Resolution 2008-083RESOLUTION NO. 2008-083 A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF LA QUINTA, CALIFORNIA, TO TAX DEFER MEMBER PAID CONTRIBUTIONS TO THE CALIFORNIA PUBLIC EMPLOYEES' RETIREMENT SYSTEM EMPLOYER "PICK-UP" OF EMPLOYEE CONTRIBUTIONS WHEREAS, the City of La Quinta has the authority to implement the provisions of section 414(h112) of the Internal Revenue Code (IRC); and WHEREAS, the Board of Administration of the Public Employees' Retirement System adopted its resolution regarding section 414(h112) IRC on September 18, 1985; and WHEREAS, the Internal Revenue Service has stated in December 1985, that the implementation of the provisions of section 4141h-12) IRC pursuant to the Resolution of the Board of Administration would satisfy the legal requirements of section 414(h)(2) IRC; and WHEREAS, the City of La Quinta has determined that even though the implementation of the provisions of section 414(h112) IRC is not required by law, the tax benefit offered by section 414(h112) IRC should be provided to its employees who are members of the Public Employees' Retirement System, and the City of La Quinta has been providing this benefit to employees since 1983. NOW, THEREFORE, BE IT RESOLVED by the City Council of the City of La Quinta, California, as follows: I. That the City of La Quinta will implement the provisions of section 414(h)12) Internal Revenue Code by making employee contributions pursuant to California Government Code section 20691 to the Public Employees' Retirement System on behalf of its employees who are members of the Public Employees Retirement System. "Employee contributions" shall mean those contributions to the Public Employees' Retirement System which are deducted from the salary of employees and are credited to individual employee's accounts pursuant to California Government Code section 20691. II. That the contributions made by the City of La Quinta to the Public Employees' Retirement System, although designated as employee contributions, are being paid by the City of La Quinta in lieu of contributions by the employees who are members of the Public Employees' Retirement System. Resolution No. 2008-083 Employee 'Pick-up' of Employer Contribution to CeIPERS Adopted: December 18, 2008 Page 2 III. That employees shall not have the option of choosing to receive the contributed amounts directly instead of having them paid by the City of La Quinta to the Public Employees' Retirement System. IV. That the City of La Quinta shall pay to the Public Employees' Retirement System the contributions designated as employee contributions from the same source of funds as used in paying salary. V. That the amount of the contributions designated as employee contributions and paid by the City of La Quinta to the Public Employees' Retirement System on behalf of an employee shall be the entire contribution required of the employee by the Public Employees' Retirement Law (California Government Code sections 20000, et seq.1. VI. That the contributions designated as employee contributions made by the City of La Quinta to the Public Employees' Retirement System shall be treated for all purposes, other than taxation, in the same way that member contributions are treated by the Public Employees' Retirement System. VII. The effective date of this Resolution shall be November 1, 1983, (bringing past and current practices into compliance. PASSED, APPROVED, and ADOPTED at a regular meeting of the La Quinta City Council held on this 16th day of December, 2008, by the following vote: AYES: Council Members Franklin, Henderson, Kirk, Sniff, Mayor Adolph NOES: None ABSENT: None ABSTAIN: None DON ADOLPH, City of La Quinta, Resolution No. 2008-063 Employee "Pick-up" of Employer Contribution to CaIPERS Adopted: December 16, 2008 Page 3 ATTEST: City of (SEAL) APPROVED AS TO FORM: KATHERINE JENS City of La Quinta,