Title
A resolution ratifying the City Manager’s execution of the revision and restatement to the City of Mesquite’s 457(b) Deferred Compensation Plan with Lincoln Financial Group as required by the Internal Revenue Service.
Body
The City of Mesquite adopted a supplemental retirement plan effective October 1, 2000. All City employees were eligible to participate, on a voluntary basis. Assets accumulated under the plan are invested by Lincoln Financial, which is a part of the Lincoln Financial Group.
The plan is called the City of Mesquite Supplemental Retirement Plan. The Internal Revenue Service has announced that governmental plans have until December 31, 2022, to be amended to comply with the current rules for tax qualifications. The document that is proposed for consideration is intended to address the current requirements for qualification.
The Amendment includes the adoptions of the following regulations:
• SECURES ACT (“SECURES”)
• CARES ACT (“CARES”)
The document that is proposed for consideration does not change the benefit structure of the existing plan or reflect any increased operational or funding cost to the City.
Recommended/Desired Action
Staff recommends approval of the resolution.
Attachment(s)
Resolution
457 Plan Document
Drafter
Libby Craven
Head of Department
Rick French