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HomeMy WebLinkAboutResolutions - 1994.07.28 - 241074 • .July 28, 1994 MISCELLANEOUS RESOLUTION # 94220 BY: FINANCE COMMITTEE, JOHN P. McCULLOCH, CHAIRPERSON IN RE: RETIREMENT COMMISSION/DEFINED CONTRIBUTION RETIREMENT PROGRAM - SELECTION OF ADMINISTRATOR To the Oakland County Board of Commissioners Chairperson, Ladies and Gentlemen, WHEREAS the Oakland County Board of Commissioners adopted a Defined Contribution Retirement Plan (Misc. Resolution #94185 - June 23, 1994) for new employees, effective July 1, 1994; and WHEREAS successful implementation of a Defined Contribution Retirement Plan requires the expertise of an outside consultant specializing in the administering of such plans; and WHEREAS an extensive Request for Proposal process was engaged to identify and recommend a specialist with public sector experience and the capacity to customize a Defined Contribution Retirement Program that meets the unique needs of Oakland County employees, including self-directed investment options, national portability, participant education and information services; and WHEREAS the County Executive recommends the selection of the International City Management Association (ICMA) Retirement Corporation as the Defined Contribution Retirement Plan administrator, a nonprofit corporation serving $3.5 billion of the public employer assets, covering over 4,000 public employees; and WHEREAS the ICMA Retirement Corporation fee structure includes: - Plan Administration Fees-0.35% on assets under management - Investment Advisory Fees-0.10% on assets under management; and WHEREAS it is recommended that two sources of funds be utilized to defray the aforementioned plan administration and investment advisory expenses, first, the savings that accrues to the benefit of active employees when participants terminate prior to reaching vested status, and second, the reduced investment advisory costs of the current Defined Benefit Retirement Program that derives from migration of assets to the Defined Contribution Retirement Plan. NOW THEREFORE BE IT RESOLVED that, upon the recommendation of the County Executive and the Oakland County Retirement Commission, the Board of Commissioners authorizes the selection of the International City Management Association (ICMA) Retirement Corporation as the program administrator of Oakland County's Defined Contribution Retirement Plan. BE IT FURTHER RESOLVED that two sources of funds be utilized to defray the specified plan administration and investment advisory expenses, first, the savings that accrues to the benefit of active employees when participants terminate prior to reaching vested status, and second, the reduced investment advisory costs of the current Defined Benefit Retirement Program that derives from migration of assets to the Defined Contribution Retirement Plan. Mr. Chairperson, on behalf of the Finance Committee, I move adoption of the foregoing resolution. FIN E COMMITTEE Al July 29, 1994 Resolution #94220 Moved by McCulloch supported by Oaks the resolution be adopted. AYES: Garfield, McCulloch, McPherson, Powers, Schmid, Taub, NAYS: None. ( Gosling, Huntoon, Jensen, Johnson, Kaczmar, Kingzett, Law, Miltner, Moffitt, Newby, Oaks, Obrecht, Palmer, Pernick, Wolf, Crake, Dingeldey, Douglas. (24) 0) resolution was A sufficient majority having voted therefor, the adopted. FOREGOING RESOLUTION --ZZLtht/7 Date I HEREBY L. Brooks Pfitt‘re-o—n. county Executive STATE OF MICHIGAN) COUNTY OF OAKLAND) I, Lynn D. Allen, Clerk of the County of Oakland, do hereby certify that the foregoing resolution is a true and accurate copy of a resolution adopted by the Oakland County Board of Commissioners on July 28, 1994 with the original record thereof now remaining in my office. In Testimony Whereof, I have hereunto set my hand and ..fixed the seal of the County of Oakland at Pontiac, Michigan this 28th day of„du1y.I.994,_6;1; D. Allen, County Clerk