(A) Employee retirement system created. Pursuant to the authority conferred by the laws of the state, 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 October 1, 2007, the funded pension plan designated Employee Retirement System of City of Hobart, Oklahoma, Defined Contribution Plan, (hereinafter called system), an executed counterpart of which is marked exhibit A and exhibit B and attached to the ordinance codified herein and made a part hereof.
(Prior Code, § 2-620)
(B) Administration. For the purpose of administration of the system, there is hereby established a Retirement Committee, which shall be the members of the City Council, as now existing or as from time to time duly elected or appointed and constituted. The powers and duties of the Committee shall be as set forth in the system instrument marked as exhibit A as mentioned in division (A) above.
(Prior Code, § 2-621)
(C) 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 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 any levy when the annual estimate is made to the County Excise Board.
(Prior Code, § 2-622)
(D) Appropriations. The city 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 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 or her duly transferred to the Oklahoma Municipal Retirement Fund.
(Prior Code, § 2-623)
(E) Contributions. The plan contains provisions which are intended to constitute a pick up program by the employer which satisfies the requirements of 26 U.S.C. § 414(h)(2); and the plan, be, and it is, approved and adopted as of the date therein stated; and required contributions described in section 4 of the joinder are designated as “picked up” by the employer so as to not be included in plan participants’ gross income for federal income tax purposes as provided in 26 U.S.C. § 414(h)(2). All such required contributions are to be paid by the employer in lieu of contributions by the plan participant. No participant in the plan shall have the option of choosing to receive the amounts of required contributions directly in lieu of having such amounts paid by the employer to the trustees of the plan.
(Prior Code, § 2-624)
(F) Execution.
(1) 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 26 U.S.C. §§ 401(a) and 501(a). The counterpart attached as exhibit A, which has been duly executed as aforesaid in division (A) above and made a part hereof, is hereby ratified and confirmed in all respects.
(2) This committee is hereby authorized and directed to proceed immediately on behalf of the city 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.
(Prior Code, § 2-625)
(Ord. 08-01, passed 10-9-2007)