HomeMy WebLinkAbout1999-08-30-Resolutions 99-102_ICMA Retirement Trust - Admin Services AgrRESOLUTION NO.99-102
ADMUNITRATIVESERVICESAGREEMENT
This Agreement,made as of the 30th day of August,1999,(herein referred to as
the "Inception Date"),between The International City Management Association
Retirement Corporation ("RC"),a nonprofit corporation organized and existing under the
laws of the State of Delaware;and the City of Waukee ("Employer")a City organized
and existing under the laws of the State ofIowa with an office at P.O.Box 847,230 Hwy
6,Waukee,Iowa 50263.
Recitals
Employer acts as a public plan sponsor for a retirement plan ("Plan")with
responsibility to obtain investment alternatives and services for employees participating
in that Plan;
The ICMA Retirement Trust (the "Trust")is a common law trust governed by an
elected Board of Trustees for the commingled investment of retirement funds held by
state and local govemmental units for their employees;
RC acts as investment adviser to the Trust;RC has designed,and the Trust offers,
a series of separate funds (the "Funds")for the investment of plan assets as referenced in
the Trust's principal disclosure document,"Making Sound Investment Decisions:A
Retirement Investment Guide."The Funds are available only to public employers and
only through the Trust and RC.
In addition to serving as investment adviser to the Trust,RC provides a complete
offering of services to public employers for the operation of employee retirement plans
including,but not limited to,communications concerning investment alternatives,
account maintenance,account record-keeping,investment and tax reporting,form
processing,benefit disbursement and asset management.
Agreements
1.Appointment ofRC
Employer hereby designates RC as Administrator of the Plan to perform all non-
discretionary functions necessary for the administration of the Plan with respect to
assets in the Plan with respect to assets in the Plan deposited with the Trust.The
functions to be performed by RC include:
(a)allocation in accordance with participant direction of individual
accounts to investment Funds offered by the Trust;
(b)maintenance of individual accounts for participants reflecting amounts
deferred,income,gain,or loss credited,and amounts disbursed as
benefits;
(c)provision of periodic reports to the Employer and participants of the
status of Plan investments and individual accounts;
(d)communication to participants of information regarding their rights
and elections under the Plan;and
(e)disbursement of benefits as agent for the Employer in accordance with
terms of the Plan.
2.Adoption of Trust
Employer has adopted the Declaration of Trust of the lCMA Retirement Trust and
agrees to the commingled investment of assets ofthe Plan within the Trust.
Employer agrees that operation of the Plan and investment,management and
disbursement of amounts deposited in the Trust shall be subject to the Declaration
of Trust,as it may be amended from time to time and shall also be subject to
terms and conditions set forth in disclosure documents (such as the Retirement
Investment Guide or Employer Bulletins)as those terms and conditions may be
adjusted from time to time.It is understood that the term "Employer Trust"as it
is used in the Declaration of Trust shall mean this Administrative Services
Agreement.
3.Employer Duty to Furnish Information
Employer agrees to furnish to RC on a timely basis such information as is
necessary for RC to carry out is responsibilities as Administrator of the Plan,
including information needed to allocate individual participant accounts to Funds
in the Trust,and information as to the employment status of participants,and
participant ages,addresses and other identifying information (including tax
identification numbers).RC shall be entitled to rely upon the accuracy of any
information that is furnished to it by a responsible official of the Employer or any
information that is furnished to it by a responsible official of the Employer or any
other information relating to an individual participant or beneficiary that is
fumished by such participant or beneficiary,and RC shall be responsible for any
error arising from its reliance on such information.RC will provide account
information in reports,statements or accountings.
4.Certain Representations,Warranties,and Covenants
RC represents and warrants to Employer that:I
(a)RC is a non-profit corporation with full power and authority to enter
into this Agreement and to perform its obligations under this
Agreement.The ability ofRC to serve as investment adviser to the
Trust is dependent upon the continued willingness of the Trust for RC
to serve in that capacity.
(b)RC is an investment adviser registered as such with the Securities and
Exchange Commission under the Investment Advisers Act of 1940,as
amended.ICMA-RC Services,Inc.(a wholly owned subsidiary of
RC)is registered as a broker-dealer with the Securities and Exchange
Commission (SEC)and is a member in good standing ofthe National
Association of Securities Dealers,Inc.
RC covenants with employer that:
(c)RC shall maintain and administer the Plan in compliance with the
requirements for eligible deferred compensation plans under Section
457 of the Internal Revenue Code;provided,however,RC shall not be
responsible for the eligible status of the Plan in the event that the
Employer directs RC to administer the Plan or disburse assets in a
mauner inconsistent with the requirements of Section 457 or otherwise
causes the Plan not to be carried out in accordance with its terms;
provided,further,that if the plan document used by the Employer
contains terms that differ from the terms ofRC's standardized plan
document,RC shall not be responsible for the eligible status of the
Plan to the extent affected by the differing terms in the Employer's
plan document.
Employer represents and warrants to RC that:
(d)Employer is organized in the form and manner recited in the opening
paragraph of this Agreement with full power and authority to enter
into and perform its obligations under this Agreement and to act for
the Plan and participants in the Agreement will not conflict with any
law,rule,regulation or contract by which the Employer is bound or to
which it is a party.
5.Participation in Certain Proceedings
The Employer hereby authorizes RC to act as agent,to appear on its behalf,and to
join the Employer as a necessary party in all legal proceedings involving the
garnishment of benefits or the transfer of benefits pursuant to the divorce or
separation of participants in the Employer Plan.Unless Employer notifies RC
otherwise,Employer consents to the disbursement by RC of benefits that have
been garnished or transferred to a former spouse,spouse or child pursuant to a
domestic relations order.
6.Compensation and Payment
(a)Plan Administration Fee.The amount to be paid for plan
administration services under this Agreement shall be 0.55%per annum of the
amount of Plan assets invested in the Trust.Such fee shall be computed based on
average daily net Plan assets in the Trust.
(b)Account Maintenance Fee.(i)There shall be an annual account
maintenance fee of$18.00.The account maintenance fee is payable in full on
January 1 of each year on each account in existence on that date.For accounts
established AFTER January 1,the fee is payable on the first day of the calendar
quarter following establishment and is prorated by reference to the number of
calendar quarters remaining on the day of payment.
(ii)The account maintenance fee will be waived beginning in
the year following the year in which total Plan assets
exceed $4 million.
(c)Compensation for Management Services to the Trust and Advisory and
other Services to the Vantagepoint Funds.Employer acknowledges that in
addition to amounts payable nnder this Agreement,RC receives fees from
the Trust for investment management services furnished to the Trust.
Employer further acknowledges that certain wholly-owned subsidiaries of
RC receive compensation for advisory and other services furnished to the
Vantagepoint Funds,which serve as the underlying portfolios of a number
of funds offered through the Trust.The fees referred to in this subsection
are disclosed in the Retirement Investment Guide.These fees are not
assessed against assets invested in the Trust's Mutual Fund Series.
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(d)Mutual Fund Services Fee.There is an annual charge of 0.40%assessed
against average daily net Plan assets invested in the Trust's Mutual Fund
Series,
(e)Model Portfolio Fund Fcc.Thee is an annual charge of 0.10%assessed
against daily average net Plan assets invested in the Trust's Model
Portfolio Funds.
(f)Payment Procedures.All payments to RC pursuant to this Section 6 shall
be paid out of the Plan assets held by the Trust and shall be paid by the
Trust.The amount of Plan assets held in the Trust shall be adjusted by the
Trust as required to reflect such payments.
7.Custody
Employer understands that amounts invested in the Trust are to be remitted
directly to the Trust in accordance with instructions provided to Employer by RC I
and are not to be remitted to RC.In the event that any check or wire transfer is
incorrectly labeled or transferred to RC,RC will return it to Employer with proper
instructions.
8.Responsibility
RC shall not be responsible for any acts or omissions of any person other than RC
in connection with the administration or operation of the Plan.
9.Term
This Agreement may be terminated without penalty by either party on sixty days
advance notice in writing to the other.
10.Amendments and Adjustments
(a)This Agreement may not be amended except by written instrument
signed by the parties.
(b)The parties agree that compensation for services under this Agreement
and administrative and operational arrangements may be adjusted as
follows:
RC may propose an adjustment by written notice to the Employer
given at least 60 days before the effective date of the adjustment and
the notice may appear in disclosure documents such as Employer
Bulletins and the Retirement Investment Guide.Such adjustment shall
become effective unless,within the 60 day period before the effective
date the Employer notifies RC in writing that it does not accept such
adjustment,in which event the parties will negotiate with respect to the
adjustment.
(c)No failure to exercise and no delay in exercising any right,remedy,
power or privilege hereunder shall operate as a waiver of such right,
remedy,power or privilege.
11.Notices
All notices required to be delivered under Section 10 of this Agreement shall be
delivered personally or by registered or certified mail,postage prepaid,return
receipt requested,to (i)Legal Department,ICMA Retirement Corporation,777
North Capitol Street,N.E.,Suite 600,Washington,D.C.,20002-4240;(ii)
Employer at the office set forth in the first paragraph hereof,or to any other
address designated by the party to receive the same by written notice similarly
given,
12.Complete Agreement
This Agreement shall constitute the sole agreement between RC and Employer
relating to the object ofthis Agreement and correctly sets forth the complete
rights,duties and obligations of each party to the other as of its date.Any prior
agreements,promises,negotiations or representations,verbal or otherwise,not
expressly set forth in this Agreement are of no force and effect.
13.Governing Law
This agreement shall be governed by and construed in accordance with the laws
of the State ofIowa applicable to contracts made in that jurisdiction without
reference to its conflicts of laws provisions.
In Witness Whereof,the parties hereto have executed this Agreement as of the Inception
Date first above written.
CITY OF WAUKEE
BY:_
Signature/Date
1
Name and Title (Please Print)
INTERNATIONAL CITY MANAGEMENT
ASSOCIATION RETIREMENT
CORPORATION
By:__-:-:::-:-:-----,------:::----,--_
Paul Ga11agherfDate
Corporate Secretary
PASSED AND APPROVED this 30th day of Augu t 1 99.
1
ROLL CALL VOTE
Nicholas C.Gruber
Marvin Berger
Robyn S.Heath
Bill Peard
Larry Lyon
AYE NAY ABSENT
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