The city authorizes and approves participation and membership of its eligible employees and appointive and elected officials both in the Washington Public Employees Retirement System pursuant to RCW 41.40.062 and the money purchase pension plan administered pursuant to Section 401(a) of the Internal Revenue Code of 1986, as amended, and a self-directed deferred compensation retirement plan administered pursuant to Section 457(b) of the Internal Revenue Code, as amended (collectively “retirement plans”); and authorizes the expenditure of the necessary funds to cover its proportionate share for participation in the money purchase pension plan, in lieu of contributions to the federal Social Security Program. Participation in the money purchase pension plan and/or the PERS plan is hereby declared to be the city’s qualifying retirement program in lieu of participation in the federal Social Security System under Internal Revenue Code Section 3121(b)(7).
(Ord. 29 § 1, 1995; Ord. 56 § 1, 1995; Ord. 71 § 1, 1996; Ord. 684 § 1, 2014)
The city of Shoreline hereby authorizes and directs the city manager to perform all acts and sign all documents necessary to put said plans into operation. The city manager or their designee is authorized and directed to file an application, together with any supporting documents, with the United States Treasury Department, with a request for a determination that the defined contribution plan meets the requirements of Internal Revenue Code Section 401(a), and execute such powers of attorney, schedules and other documents as may be necessary and required in connection with such application. Further, the city manager or their designee is authorized and empowered in the city manager’s or their designee’s discretion to execute such further amendments to such plan as may be required in order to obtain the approval of the United States Treasury Department, if, in the city manager’s or their designee’s judgment, such amendments are in the best interests of the city.
The city manager or their designee is hereby appointed as trustee and administrator of the retirement plans. The city manager shall provide qualified record keeping, employee education and other technical, financial and administrative services relating to the plans pursuant to city purchasing policies and procedures. The city manager is authorized to promulgate policies and procedures necessary to maintain the plans’ legal compliance, establish expectations and objectives for investments available for employees’ self-directed pension funds, select investment options for retirement plans, recommend plan fees necessary to pay the plan record keeper and other necessary plan expenses, and provide timely information to employees regarding fees and investment alternatives.
(Ord. 71 § 3, 1996. Formerly 2.30.030; Ord. 684 § 1, 2014)
The city manager is authorized to execute contracts with the Association of Washington Cities and its related agencies and trusts to provide medical, dental, vision, long term disability insurance and other benefits to city employees pursuant to the interim city manager’s September 11, 1995, memorandum, a copy of which is attached to the ordinance codified in this section and on file in the office of the city clerk.
(Ord. 56 § 2, 1995. Formerly 2.30.050; Ord. 684 § 1, 2014)
The city manager is authorized to expend such funds as may be necessary to carry out this section.
A. 
Effective January 1, 2018, the city’s allotment towards a regular employee’s benefit package shall remain at the 2017 levels, which are a maximum of $1,876 and a minimum of $1,003 per month, unless the formula in subsection B of this section results in an increase to the maximum and minimum allotment; and
B. 
Effective on the first day of the year in which the allotment in subsection A of this section would increase as a result of the following formula:
1. 
The maximum allotment toward the employee’s benefit choices shall be 95 percent of the cost for the least expensive city-offered medical, dental and vision coverage for an employee, spouse or domestic partner, and two children; and
2. 
The minimum monthly allotment for a full-time regular employee shall be increased annually by 50 percent of the percentage increase to the maximum monthly allotment from the previous year, but in no case more than five percent annually. The city’s contribution shall be prorated for a part-time regular employee.
3. 
Employee benefit choices for medical, dental, vision, supplemental life insurance and any other voluntary benefit election shall be deducted from the city’s allotment.
a. 
If an employee’s benefit choices don’t use all of the minimum allotment, the remaining minimum allotment will be placed in a 457 deferred compensation plan for the employee.
b. 
If an employee’s benefit choices use more than the maximum allotment, the amount over the maximum will be paid by the employee through payroll deduction.
4. 
Other mandatory insurance or benefits shall not be deducted from the allotment, such as Social Security replacement, Public Employees Retirement System, term life, accidental death and disability, and long-term disability insurance.
(Ord. 56 § 3, 1995. Formerly 2.30.060; Ord. 106 § 1, 1996; Ord. 151 § 1, 1998; Ord. 185 § 1, 1998; Ord. 220 § 1, 1999; Ord. 343 § 1, 2003; Ord. 684 § 1, 2014; Ord. 799 § 1, 2017)