(A) Transfers. This Plan shall accept and allow transfers, pursuant to § 457 of the Code, of amounts deferred by an individual under this Plan or another eligible deferred compensation plan meeting the requirements of § 457(g) of the Code, provided the conditions of this division (A) are met.
(1) Directed by individual participant or beneficiary.
(a) A transfer from this Plan to another eligible governmental deferred compensation plan or from another eligible governmental deferred compensation plan to this Plan is permitted only if the transferor plan provides for transfers, the receiving plan provides for the receipt of transfers, the participant or beneficiary whose amounts deferred are being transferred shall have an amount deferred immediately after the transfer at least equal to the amount deferred with respect to that participant or beneficiary immediately before the transfer, and in the case of a transfer for a participant, the participant whose amounts deferred are being transferred has had a severance from employment with the transferring employer and is performing services for the employer maintaining the transferee plan. Upon the transfer of assets from this Plan under this division (A)(1), the Plan’s liability to pay benefits to the participant or beneficiary under this Plan shall be discharged to the extent of the amount so transferred for the participant or beneficiary.
(b) Any such transferred amount shall not be treated as a deferral subject to the limitations of the definition of maximum limitation in § 9-1-3, except that, for purposes of applying the limit of the definition of maximum limitation in § 9-1-3, an amount deferred during any taxable year under the plan from which the transfer is accepted shall be treated as if it had been deferred under this Plan during such taxable year and compensation paid by the transferor employer shall be treated as if it had been paid by the employer.
(2) Permissive service credit transfers.
(a) Subject to any limitations imposed by an investment provider, if a participant is also a participant in a tax-qualified defined benefit governmental plan (as defined in § 414(d) of the Code) that provides for the acceptance of plan-to-plan transfers with respect to the participant, then the participant may elect to have any portion of the participant’s account transferred to the defined benefit governmental plan. A transfer under this division (A)(2) may be made before the participant has had a severance from employment.
(b) A transfer may be made under this division (A)(2) only if the transfer is either for the purchase of permissive service credit (as defined in § 415(n)(3)(A) of the Code) under the receiving defined benefit governmental plan or a repayment to which § 415 of the Code does not apply by reason of § 415(k)(3) of the Code.
(B) Rollovers. A participant may elect to roll an eligible rollover distribution to an eligible retirement plan. The participant shall be provided with a description of available rollover rights and rules in advance of such a distribution. A distribution that is an eligible rollover distribution and that is paid in a form other than a rollover shall be subject to mandatory withholding of 20%, or such other mandatory withholding rate as may be imposed under the Code from time to time. This Plan shall be permitted to accept a rollover distribution from an eligible retirement plan (including a distribution from an IRA) to this Plan, subject to any administrative restrictions imposed by the Plan or by the investment provider. To the extent required under the Code, the Plan shall separately account for any rollover contributions it receives. Rollover contributions to the Plan before January 1, 2006, shall be subject to the same restrictions on distributions applicable to other amounts held under the Plan. Rollover contributions to the Plan on or after January 1, 2006, shall not be subject to the same restrictions on distributions applicable to other amounts held under the Plan, and such rollover contributions may be distributed at any time.
(Ord. 05-11, passed 10-18-2005)