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A. RESOLUTION NO. 2015-166 OF THE CITY COUNCIL OF THE CITY OF CHULA VISTA APPROVING AN ADMINISTRATIVE SERVICES AGREEMENT BETWEEN ICMA RETIREMENT CORPORATION AND THE CITY OF CHULA VISTA
B. RESOLUTION NO. 2015-167 OF THE CITY COUNCIL OF THE CITY OF CHULA VISTA APPROVING A SECOND AMENDMENT TO THE DEFERRED COMPENSATION PLAN ADMINISTRATION AGREEMENT BETWEEN NATIONWIDE RETIREMENT SOLUTIONS, INC. AND THE CITY OF CHULA VISTA
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RECOMMENDED ACTION
Recommended Action
Council adopt the resolutions.
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SUMMARY
The City has offered Deferred Compensation (457 (b)) Plans to City employees since 1975. The City currently uses two plan providers; Nationwide Retirement Solutions (NRS) and ICMA-RC that manage 457 (b) plan assets of approximately $46.0 million and $24.8 million, respectively. There are 657 participants in NRS and 405 for ICMA-RC.
The recommended actions will amend the deferred compensation plans to reduce fees and provide a method to reimburse for city staff time spent administering the deferred compensation program.
ENVIRONMENTAL REVIEW
The Development Services Director has reviewed the proposed activity for compliance with the California Environmental Quality Act (CEQA) and has determined that project, amending deferred compensation plans is not a "Project" as defined under Section 15378(b)(5) of the State CEQA Guidelines because it is a fiscal activity that will not result in a physical change to the environment; therefore, pursuant to Section 15060(b)(4) of the State CEQA Guidelines the actions proposed are not subject to CEQA
BOARD/COMMISSION RECOMMENDATION
Not applicable.
DISCUSSION
The California Constitution provides that retirement boards (and their members) of public pension and retirement systems, including 457(b) plans have the duty to:
* Invest the assets of the plan
* Administer the plan
* Act for the exclusive purpose of providing benefits to participants and beneficiaries; and
* Engage in a pru...
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