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HomeMy WebLinkAboutCC RES 97-087(�j- ��� RESOLUTION 97-87 A RESULUTION OF THE CITY COUNCll. FOR THE CITY OF P.4LM DESERT, CALIFORNIA, ESTABLISHING A CUSTODIAL ACCOUNT AND LIFE INSURANCE TRANSFER AUTAORIZATION MTH THE PUBLIC EMPLOYEES BENEFIT SERVICES CORPORATION (PEBSCO) WEIEREAS, the City is the owner of one or more life insurance policies issued to it by Commonwealth Life Insurance Company, Kentucky Commonwealth Life Insurance Company, Peoples Security Life Insurance Company, or Providian Life and Health Insurance Company (the "Policies") in connection with the deferred compcnsation plan it maintains for its employees (the "Plan") pursuant to Scction 457 of the Intemal Revenuc Code of 1986, as amended (the "Code"); and WHEREAS, as a result of an amendment to the Code, all assets and income of the Plan must be held in a trust, custodial account or annuity contract; and WHEREAS, the Plan has been amended to reflect the changes required by the amendment to the Code; and WHEREAS, the Employer desires to adopt the Code Custodial Account (the "Custodial Account") to hold assets, other than annuity contracts, which will provide benefits for the participants and beneficiaries; and WHEREAS, as a result of the amenciment to the Code, the Employer desires to transfer ownership of the Policies to Bank One Trust Company, N.A. (the "Custodian") for ihe exclusive benefit of the Plan's participanu and beneficiaries; and NOW 'I'HEREFORE BE IT RESOLVED, The City of Palm Desert City Council hereby accepts the Code Custodial Account Agreement, adopts the Custodial Account, authorizes uansfer of ownership to the Policies to the Custodian, and designates the Custodian as the beneficiary to the Policies. YASSED, APPROVED AND ADOP'I'ED, by the City Council of the City of Palm Desert on this 9th day of October, 1997, by the following vote, to wit: AYES: NOES BENSON, CRITES, SNYDER, SP�GEL, KELLY hONE ABSENT: NONE AI3STAIV FI�: 1VONF. ATTEST: �, /�' � /' . ,� // �.c./�...../''� . ., �' �. SIIEILA R. GIIZIGAN,