HomeMy WebLinkAboutResolution 2023-031 Approving Establishment of Nationwide Retirement Solutions 457 Plan MARANA RESOLUTION NO. 2023-031
RELATING TO PERSONNEL; APPROVING THE ESTABLISHMENT OF THE ARI-
ZONA STATE RETIREMENT SUPPLEMENTAL SALARY DEFERRAL 457 PLAN AD-
MINISTERED BY NATIONWIDE RETIREMENT SOLUTIONS
WHEREAS on November 15, 1994, the Town Council adopted Resolution No. 94-
34 adopting the deferred compensation plan and appointing ICMA Retirement Corpora-
tion, now known as MissionSquare, to serve as administrator of the plan; and
WHEREAS effective September 29, 2021, the Arizona Legislature passed Senate
Bill 1348, Consolidation of State Deferred Compensation Plans, amending A.R.S. § 38-
781; and
WHEREAS the amended A.R.S. § 38-781 mandates that as of July 1, 2022, any em-
ployee of an Arizona State Retirement System (hereinafter "ASRS") employer will have
the opportunity to voluntarily participate in any deferred compensation plan offered by
ASRS; and
WHEREAS Nationwide Retirement Solutions (hereinafter "Nationwide") has
partnered with ASRS to offer the Supplemental Salary Deferral (SSDP) 457 Plan, which
can be offered to all benefit-eligible employees,including employees covered by the Pub-
lic Safety Personnel Retirement System; and
WHEREAS because A.R.S. § 38-781 mandates that any employee of an ASRS em-
ployer will have the opportunity to voluntarily participate in any deferred compensation
plan offered by ASRS, the Town must offer the SSDP 457 Plan administered by Nation-
wide as an option for employees; and
WHEREAS upon reviewing both MissionSquare and Nationwide, Town staff de-
termined that the SSDP 457 plan administered by Nationwide is financially advantageous
to employees and, therefore, Town staff sought to terminate our agreement with Mis-
sionSquare and transition to Nationwide effective March 25, 2023; and
WHEREAS in order to terminate our agreement with MissionSquare, Town staff
was required to send a 60-day notice of termination to MissionSquare; and
WHEREAS on January 17, 2023, via Resolution 2023-006, the Town Council au-
thorized Town staff to send 60-day notice of termination of 457 deferred compensation
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Resolution No.2023-031
plan to MissionSquare and to begin the transition process to the Nationwide SSDP 457
plan; and
WHEREAS the Town desires to establish a supplemental defined contribution
plan for all of its eligible officer and employees to be administered by ASRS under Article
2, Chapter 5, Title 38 of the Arizona Revised Statutes; and
WHEREAS the Town Council finds that transitioning to the ASRS SSDP 457 Plan
administered by Nationwide is in the best interest of the Town and its citizens.
NOW, THEREFORE, BE IT RESOLVED BY THE MAYOR AND COUNCIL OF
THE TOWN OF MARANA, ARIZONA, as follows:
SECTION 1. The Town hereby adopts the Supplemental Salary Deferral Plan established
by ASRS pursuant to A.R.S. § 38-781, attached hereto as Exhibit A, for officers and em-
ployees of the Town who are eligible for participation in the Arizona State Retirement
Supplemental Salary Deferral 457 Plan.
SECTION 2. The Town Manager is designated as the Authorized Agent of the Town and
directed as the representative of the Town to conduct all negotiations, conclude all ar-
rangements and modifications of agreements which may be necessary to carry out the
intent of the Agreement in conformity with all applicable federal and state laws, rules
and regulations.
SECTION 3. The Town Manager and staff are hereby directed and authorized to under-
take all other and further tasks required or beneficial to carry out the terms of this Reso-
lution.
PASSED AND ADOPTED by the Mayor and Council of the Town of Marana, Ar-
izona, this 4th day of April, 2023.
Mayor Ed Honea
ATTEST: APPROV _ • AS TO FORM:
SW
David L. Udall, Town Clerk Ja itrrairall, Town Attorney
MARANA AZ
ESTABLISHED 1977 - 2 -
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