HomeMy WebLinkAbout300-57POLICY & PROCEDURE
Subject: Index: HUMAN RESOURCES
ALTERNATIVE RETIREMENT PROGRAM RISK MANAGEMENT
Number: 300-i7
Effective Date Supersedes Page Staff Contact Approve By
9/1/97 ps"y"'"'c-'1/1/94 1 of 2 B. Nelson Glode
1.0 PURPOSE:
To establish polic} for an alten ative retirement plan for those employees hired into regular
positions ho are receiving benefits under another Washington State sponsored retirement
system and are excluded from establishing membership in either the PERS or LEOFF Plan.
2.0 ORGANIZATIONS AFFECTED:
All departments/divisions.
3.0 REFERENCES:
Title 41 RCW
4.0 POLICY:
It is the policy of tl e Citv of Renton to establish an alteniative retirement plan through deferred
compensation plan contributions.
0 DEFINITIONS:
i.l A regular employee is one who occupies an authorized and budgeted e empt or non-
exempt positiou on a fiill-time, part-time or limited tenn basis.
2 The employee must meet the minimum hours of work required to establish eligibilit in
the appropriate state spousored retirement program.
5.3 The employee should othen ise be eligible for membership in a state sponsored
retirement program offered by the City of Renton, but is ineligible due to receipt of
benefits from another separate state sponsored retirement program. The emplo ee
nnist not othenvisc be excluded for retirement benefits due to contractual agrecment
vith tl e Cit.
i.4 Tl e deferred compensation plan is a IRS approved method for deferring federal
income tZxes on contributions until retirement.
4.1 The City of Renton offers a choice of deferred compensatiou plans: Tlle
Hartford Life Insurauce Compan, and ICMA Retirement Corporation (a
retirement trust plan).
3UU-i7
ALTERNATIVE RETIREMENT PROGRAM
Page 2
6.0 PROCEDURES:
6.1 The employee shall enroll in the deferred compensation plan of their choice by completing
appropriate enrolhnent fornis.
6.2 Employee contributions shall be made by payroll deductiou in an amount equivalent to
participation in the appropriate state approved PERS or LEOFF Plan Il. The Cit} ill
also contribute at a rate equivzlent to the Plan II employer's share.