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Home My WebLink AboutReso 2002-454 RESOLUTION NO. 2002- ~ A RESOLUTION OF THE CITY COMMISSION OF THE CITY OF SUNNY ISLES BEACH, FLORIDA, APPROVING AN AGREEMENT BETWEEN THE CITY OF SUNNY ISLES BEACH AND THE FLORIDA DEPARTMENT OF MANAGEMENT SERVICES RELA TING TO ENROLLMENT INTO THE FLORIDA RETIREMENT SYSTEM; PROVIDING THE MAYOR WITH THE AUTHORITY TO EXECUTE SAID AGREEMENT; PROVIDING THE CITY MANAGER WITH THE AUTHORITY TO DO ALL THINGS NECESSARY TO EFFECTUA TE THIS RESOLUTION; PROVIDING FOR AN EFFECTIVE DATE. WHEREAS, the City of Sunny Isles Beach provides its employees with a 401 A deferred contribution plan as a retirement benefit; and WHEREAS, the City is seeking to provide its employees with a defined benefit pension plan; and WHEREAS, the City, after extensive research, has decided to join the Florida Retirement System in order to provide its employees with an option to enroll in a defined benefit pension plan; NOW THEREFORE, BE IT RESOLVED BY THE CITY COMMISSION OF THE CITY OF SUNNY ISLES BEACH, FLORIDA, AS FOLLOWS: 1. Approval of Agreement. The City Commission hereby approves the Agreement between the City of Sunny Isles Beach and the Florida Retirement System, attached hereto as Exhibit "A." 2. Authority of Mayor. The Mayor is hereby authorized to execute the Agreement attached hereto as Exhibit "A" and made a part hereof. 3. Authority of City Manager. The City Manager is hereby directed to do all things necessary to effectuate the intentions of this Resolution. 4. Effective Date. This Resolution will become effective upon adoption. PASSED and ADOPTED this /<if' day of , , ,.. . . ATTEST-', '\ ".. ~. ~ : : . ~:-~~'. '~' ......, ::Jrit~~' .J:"i ',', · Ut. .~ichim,l B ~fi~MOrina, City Clerk \.. . " l{ . . t :?.J .,'" ,:....'J, I ,(;; ) .', ~ ,,' ,. ~.. :.r, ~ ,.:....... ~,~ Ii. ~ ',,..' ... APPROVED AS TO FORM AND LEGAL SUFFICIENCY Vote: 5-0 Mayor Samson Vice Mayor Iglesias Commissioner Edelcup Commissioner Goodman Commissioner Kauffman ~ , 2002. ~ /l~ ,- f/Qr- '. I DavId Samson, Mayor' Moved by: ~~~~ 'I~iA-~ Seconded by: ~ <eft ~bn\M ~Y es) _(Yes) --L'(Y es) ~Yes) (Yes) _(No) _(No) _(No) _(No) _(No) \. STATE-CITY OF SUNNY ISLES BEACH AGREEMENT NO. The Department of Management Services, Division of Retirement, of the State of Florida, under the Authority of Chapter 121, Florida Statutes, and City of Sunny Isles Beach, herein referred to as "City of Sunny Isles Beach", in order to extend to officials and employees of said City of Sunny Isles Beach (except such as are hereinafter excluded) the benefits of the Florida Retirement System established by Chapter 121, Florida Statutes, hereby agree as follows: 1. Definitions: For the purpose of the Agreement- (a) The definitions, words and phrases as set out in Section 121.021, Florida Statutes, shall have the respective meaning set forth therein. 2, Services Covered: The ag reement includes and covers all services performed by officers and employees of thiS) City of Sunny Isles Beach except any service, position, employee, or official excluded by , Chapter 121, Florida Statutes'lthe rules and regulations of the Florida Retirement System:+ OY .~ 3. Contributions by Employees: The City of Sunny Isles Beach agrees to impose upon its employees covered by this Agreement the required contributions with respect to wages if such services constituted employment within the meaning of Chapter 121, Florida Statutes, and to deduct the amount of such required contributions from the wages as and when paid. Contributions so collected shall be paid to the Administrator of the Retirement System in partial discharge of the liability of said City of Sunny Isles Beach, said payments to be made in accordance with rules and regulations relating to the Florida Retirement System. It is agreed and understood that the failure of said City of Sunny Isles Beach to deduct such contributions shall not relieve it of liability therefore. 4. Contributions by the City of Sunny Isles Beach: (a) The City of Sunny Isles Beach represents that it has duly and legally adopted, and that there is now in full force and effect, an ordinance requiring an appropriation from available funds in its general or special funds derived from ad valorem tax or other sources, which shall be in an amount not less than the sums withheld as the contributions of employees covered by the Agreement, the sum to equal the total amount due from said City of Sunny Isles Beach (employer's and employee's contributions) under applicable provisions of Chapter 121, Florida Statutes. (b) As assurance of its ability to pay its share of the contributions which will become due and payable to the Administrator under the terms of this Agreement and as assurance that said contributions will be adequate, the City of Sunny Isles Beach hereby obligates itself to maintain, and represents that at all times hereafter there will be maintained, in the appropriation provided in paragraph 4.(a), above, a sum fully sufficient to pay its share of the contributions: and that same (together with contributions deducted from salaries, wages, etc., of employees) will be paid promptly when due. ~ c.o....{'e~d '81u/o'J- 5. Reports-Compliance with Regulations: The City of Sunny Isles Beach agrees that it will make such reports, in such form and containing such information, as the Administrator may require. The City of Sunny Isles Beach further agrees that it will comply with all provisions of Chapter 121, Florida Statutes, and with all rules and regulations adopted and promulgated by the Administrator of the Florida Retirement System necessary to carry out the purposes of Chapter 121, Florida Statutes. It is further understood and agreed that late payments come under provisions of Section 121.061, paragraphs (2) (a), (b), and (c), Florida Statutes, 6. Termination: Once this agreement is made and approved it may not be revoked and all present officers and employees electing coverage under this agreement and all future officers and employees shall be compulsory members of the Florida Retirement System. This Agreement shall be effective as of the ,200Y 1 ~ day of N D"eM.~"'" Approved this day of - , . . '. . - "i t ~ / ":1 City of Sunny Isles Beach ~~lt> ~~~ON ~ '>j1o. -"\, .~ ::~ ~~~~ "Clerk ; , '~(S~AL) \ . ". f~ -. By Title ~ F * FLO9 5 c /rY of suN r�,o City of Sunny Isles Beach 17070 Collins Avenue, Suite 250 Sunny Isles Beach, Florida 33160 (305) 947 -0606 City Hall (305) 949 -3113 Fax (305) 947 -2150 Building Department (305) 947 -5107 Fax MEMORANDUM TO: The Honorable Mayor and City Commission; FROM: Christopher J. Russo, City Manager af- DATE: July 18, 2002 City Commission David Samson, Mayor Danny Iglesias, Vice Mayor Norman S. Edeleup, Commissioner Gerry Goodman, Commissioner Lila Kauffman, Commissioner Christopher J. Russo, City Manager Lynn M. Dannheisser, City Attorney Richard Brown - Morilla, City Clerk RE: MEMBERSHIP AGREEMENT WITH THE FLORIDA RETIREMENT SYSTEM (t'FRS ") RECOMMENDATION It is recommended that the City Commission consider approving the attached resolution entering into an agreement with the Florida Department of Management Services to join the Florida Retirement System ( "FSR "), authorizing the Mayor the execute said attached agreement. REASON In response to an initial request by the Police Department, the Manager's office, in conjunction with the Human Resources Department and the Office of the City Attorney researched the possibility of membership in the FRS. It was explained that the City of Sunny Isles Beach seeks to attract and retain well - qualified, competent persons, particularly in the police service. In order to remain competitive with those communities in which we compete for the same qualified applicants, and also provide current employees with a choice between the current 401A defined contribution plan and a defined benefit regular pension plan, it is recommended that the City join the FRS, which is a recognized defined benefit pension plan. ADDITIONAL INFORMATION We have been informed that the upcoming fiscal year FRS contribution rates are low as compared to previous years. However, we have also been advised to expect progressively higher rates in the next few years. As such, I advise that we use the most recent four (4) year average contribution rate in projecting costs. The projected increase in the City's total contribution rate for the upcoming year is Fifty Thousand Nine Hundred Forty -Nine Dollars ($50,949.00); using the four (4) year average; the projected increase is One Hundred Twelve Thousand Three Hundred Fifty -Six Dollars ($112,356.00). CJR/pw Frs Agrmt Reso Agenda memo