Loading...
HomeMy WebLinkAbout2007-030 CCRMember Kay Lasman introduced the following resolution and moved its adoption: RESOLUTION NO. 2007-30 RESOLUTION AUTHORIZING THE CITY MANAGER TO EXECUTE A JOINT POWERS AGREEMENT FOR PARTICIPATION IN THE RETIREMENT ENHANCEMENT AND BENEFIT ALTERNATIVES PROGRAM AND NAMING A CITY REPRESENTATIVE TO THE ADVISORY COUNCIL WHEREAS, certain governmental units have come together to form the Retirement Enhancement and Benefit Alternatives Program ("REBA") for the purpose of jointly providing certain health benefits to their employees, former employees and spouses and dependents thereof; and WHEREAS, REBA is governed by an advisory council (the "Advisory Council") consisting of a representative from each member of REBA and the Advisory Council is governed by the Bylaws of the Retirement Enhancement and Benefit Alternatives Program Advisory Council, as amended from time to time; and WHEREAS, REBA sponsors the Retirement Enhancement and Benefit Alternatives Program Voluntary Employees' Beneficiary Association Plan (the "Plan"); and WHEREAS, REBA sponsors the Retirement Enhancement and Benefit Alternatives Program Voluntary Employees' Beneficiary Association Trust (the "Trust"); and WHEREAS, the City of Brooklyn Center originally adopted the Plan and the Trust effective January 1, 2007; and WHEREAS, because of its adoption of the Plan and the Trust, the City of Brooklyn Center is a member of REBA and has the right to be represented on the Advisory Council; and WHEREAS, REBA is a joints powers arrangement pursuant to Minn. Stat. § 471.59, as reflected by the Joint Powers Agreement for Retirement Enhancement and Benefit Alternatives Program (the "Joint Powers Agreement"), which is attached hereto as Exhibit A; and WHEREAS, the City of Brooklyn Center wishes to ratify and reconfirm its participation in REBA and to acknowledge REBA as a joint powers arrangement by entering into the Joint Powers Agreement; and NOW, THEREFORE, BE IT RESOLVED, that the City Council ratifies and reconfirms the participation of the City of Brooklyn Center in REBA effective January 1, 2007. BE IT FURTHER RESOLVED, that the City Council ratifies and reconfirms the adoption of the Plan and the Trust, as amended from time to time, effective January 1, 2007. RESOLUTION NO. 2007-30 BE IT FURTHER RESOLVED, that the City Council hereby authorizes the City of Brooklyn Center to enter into the Joint Powers Agreement and directs City Manager Curt Boganey to execute said Agreement on behalf of the City. BE IT FURTHER RESOLVED, that the City Council hereby appoints the Human Resources Director to serve as the City's representative to the Advisory Council. / ~C ..GEC t. ~~fk Februarv 12. 2007 1 -)ate Mayor ATTEST: City Clerk The motion for the adoption of the foregoing resolution was duly seconded by member Mark Yelich and upon vote being taken thereon, the following voted in favor thereof: Tim Willson, Kay la.sman, Mary O'Connor, Dan Ryan, and Mark Yelich; and the following voted against the same: none; whereupon said resolution was declared duly passed and adopted. RESOLUTION NO. 2007-30 JOINT POWERS AGREEMENT FOR Exhibit A RETIREMENT ENHANCEMENT AND BENEFIT ALTERNATIVES PROGRAM 1 Qc HaynesHtesMn. PC 2005 REBA Joint Powers Agra RESOLL MIN INO. 2007-30 TABLE OF CONTENTS 1. PURPOSE, INTENT AND OBJECTIVE 1 2 2. DEFINITIONS 3. JOINT POWERS GOVERNING BOARD . 3 4. RIGHTS AND RESPONSIBILITIES OF THE ADVISORY COUNCIL 4 S. RIGHTS AND RESPONSIBILITIES OF ADOPTING EMPLOYERS S 6' 6. CONTRIBUTIONS & ASSESSMENTS 7. LENGTH OF AGREEMENT AND TERMINATION 6 6 S. LIABILITY OF PARTIES . 6 9. AGREEMENT BY PARTICIPATION 7 10. DISPOSITION UPON DISSOLUTION I (i HaynesHitesman, PC 1 2005 REBA Joint Powers Agmt RESOLUTION NO. 2007-30 30INT POWERS AGREEMENT FOR RETIREMENT ENHANCEMENT AND BENEFIT ALTERNATIVES PROGRAM This Joint Powers Agreement ("Agreement") Is made by and among the Adopting Employers that are now or may hereafter become parties to this Agreement, RECITALS WHEREAS, governmental units may provide health benefits to employees, former employees and spouses and dependents thereof; and WHEREAS; ;Minn. Stat. § 471.59, subds. 1 and 10 authorize two or more governmental units to exercise jointly or cooperatively powers which they possess in common; and WHEREAS, certain governmental units ("Adopting Employers") wish to authorize the Retirement Enhancement and Benefit Alternatives Program ("REBA") to act as a joint powers entity for the purpose of exercising certain powers as set forth in this Agreement; and WHEREAS, the Adopting Employers acknowledge REIN as a representative of the parties to this Agreement; and WHEREAS, REBA sponsors the Retirement Enhancement and Benefit Alternatives Program Voluntary Employees' Beneficiary Association Plan (the °Pian"); and WHEREAS, REBA sponsors the Retirement Enhancement and Benefit Alternatives Program Voluntary Employees' Beneficiary Association Trust and the Retirement Enhancement Benefit and Alternatives Program Voluntary Employees' Beneficiary Association Trust II (collectively referred to as the "Trusts"); and WHEREAS, the Trusts are voluntary employee beneficiary associations under Section 501(c)(9); of the Internal Revenue Code; NOW THEREFORE in consideration of the mutual promises and agreements contained herein and subject to the provisions of Minn, Stat. § 471.59 and all other applicable statutes, rules and regulations, the parties agree as follows: 1. PURPOSE, INTENT AND OB9ECTIVE 1.,1 !Purpose. Under the provisions of Minnesota law, governmental units may enter into contracts for the purposes of providing medical benefits to current employees, former employees, and their respective families including, but not limited to, contracts for services deemed necessary or beneficial for their operation. Under the provisions of Minn. Stat. § 471.59, two or more governmental units (including, but not limiters to, school districts, counties, towns, other governmental agencies, and service cooperatives) may agree to exercise jointly or cooperatively powers which they possess in common. The purpose of this Agreement is to authorize the exercise of common powers of the Adopting Employers in connection with certain matters pertaining to the administration and funding of the Plan and Trusts, all as described herein. cD HaynesHitesman, PC 2005 REBA Joint Powers Agmt RESOLUTION' NO. 2007-30 1.2 Name. The name of this joint powers entity shall be the Retirement Enhancement and Benefit Alternatives Program ("REBA"). 1.3 Compliance with Applicable. Laws. It is the Adopting Employers' intent to comply with applicable federal and state statutory requirements. 1.4 Effective Date. This Agreement shall be effective with respect to a particular Adopting Employer as of the date of such Adopting Employer's Initial participation as identified below. 2. DEFINI'tTt' NS The following Definitions shall apply to this Agreement a) Administrative Services Agreement CASA") means an agreement by and between the Advisory Council and a Provider, or an Adopting Employer and a Provider, that establishes terms for the administration of the Plan and/or Trusts. b) Adopting Employer means a governmental unit that has adopted the Ilan, thereby becoming a member of REBA;. c) Advisory Council means the advisory council of the REBA, acting as the joint board authorized to exercise certain powers of the Adopting Employers, as permitted by Minn. Stat. § 471.59, subd. 2, and as set forth in this Agreement. d) Agreement means this Joint Powers Agreement as the same may be amended from time to time. This document, and all other documents in the same form executed (or deemed executed as provided in Section 9 of this Agreement) by Adopting Employers, all as amended from time to time, shall together constitute a single Agreement. e) Bylaws means the bylaws of the Advisory Council. f) Code means the Internal Revenue Cade of 1986, as amended from time to time. g) Plan means Retirement Enhancement and Benefit Alternatives Program Voluntary Employees` Beneficiary Association Plan. h) Provider means a service provider, Including, but not limited to, third party administrators, consultants, accountants, brokers, attorney and trustees, providing services to health plan and trusts such as the Plan and Trusts. i) REBA means the Retirement Enhancement and Benefit Alternatives Program, the joint powers entity created by the Adopting Employers as reflected in this Agreement:. j) Trusts mean the Retirement Enhancement and Benefit Alternatives Program Voluntary Employees' Beneficiary Association Trust and the Retirement Enhancement and Benefit HaynesHEtesman, PC 2 2005 REBA Joint Powers Agmt RESOLUTION NO. 2007-30 Alternatives Program Voluntary Employees' Beneficiary Association Trust II. Each is Intended to be a voluntary employees' beneficiary association as described § 501(c)(9) of the Code. 3. 30INT'POWERS GOVERNING BOARD 3..1 Membership. Membership in REBA shall be open to any govemmFenntat unit or other political subdivision as set forth In Minn. Stat. § 471.59, subd. 1, and Minn. Stan § 471.981 Including, but snot limited to, joint powers agencies of the State of Minnesota that are deemed by the Advisory Council to qualify for membership. The Advisory Council may Impose such conditions on membership as It deems appropriate to protect the interest of REBA and to provide for the benefit of the Adopting Employer; and such conditions as are required by the Agreement, the Bylaws, or by applicable statutes, rules, or regulations. The Advisory Council, at its discretion and In accordance with the Bylaws, may create classes, levels or types of membership within REBA with differing member rights, privileges or obligations. Upon adoption of the Plan, an Adopting Employer shall also execute this Agreement and file it with the Advisory Council. 3.2 3oint Powers Board. There is hereby created a joint powers board, herein referred to as the "Advisory Council," which shall be empowered to oversee and administer REBA. The Advisory Council shall be empowered to manage all the affairs of REBA and do to all things necessary or convenient for the furtherance of the purposes of RI=BA,, including but not limited to: expending and receiving funds; entering into contracts,. leases, and other agreements; renting, leasing, purchasing and otherwise procuring or receiving property real or personal; employing personnel either as employees or by contract; and employing consultants such as attorneys, auditors, accountants, risk managers, actuaries and others. 3.3 Advisory Council Representation. Each member of REBA shall have representation on the Advisory Council equal to every other member. Subject to the foregoing, representation shall; be determined pursuant to the Bylaws. The Advisory Council shall act by majority vote of the representatives appointed to It. As appropriate, the Advisory Council may designate one or more representatives to act on its behalf. 3.4 Committee(s). The Advisory Council may, but is not required to, establish one or more committees. The purpose of any such committee may Include, without limitation, the management of the affairs of REBA and the receipt and processing of information relating to Plan and Trusts. 3.5 Upon Dissolution of REBA. In the event that REBA, Is dissolved, the Advisory Council shall continue to exist for a reasonable period to wind up REBA's affairs. Any administrative services provided to the Plan or Trusts prior to the dissolution of'REBA shall be provided thereafter as determined by the Advisory Council in Its discretion. Q HaynemHitesman, Pc 2005 REBA Nnt Powers igmt RESOLUTION NO. 2007-30 4. RIGHTS AND RESPONSIBILITIES OF THE ADVISORY COUNCIL 4.1 Authorized Powers. Pursuant to Minn. Stat. § 471.59, subd. 2, in addition to any other powers specifically delegated to the Advisory Council by this Agreement, the Advisory Council is hereby authorized to a) establish, procure, and administer the Plan and the Trusts; b) define and clarify requests for proposals, rights and responsibilities, length of contract, premium or contribution rates and other costs, termination guidelines, the relative liability of the parties, and the method(s) by which parties to this Agreement shall exercise their common powers; and c) receive, collect, hold, invest, expend and disburse contributions to the Trusts in connection with the exercise of its powers under this Agreement; and d) adopt Bylaws, which shall provide for the operation and administration of the Advisory Council, and adopt other operating policies and procedures to direct and document the specific activities of REBA. 4.2 Reserves. The Advisory Council shall from time to time determine the minimum amount of funds needed for purposes of risk management, administration, and other needs of the Plan and Trusts. Any such funds shall be held and used in accordance with, and subject to the limitations set forth In, Section f,. 4.3 Administrative Services Agreements. The Advisory Council may negotiate one or more Administrative Services Agreements for the benefit of REBA with respect to the Plan and the Trusts. Such Administrative Services Agreements may establish, among other things: a) the applicable responsibility of the Provider; b) the applicable responsibilities of the Advisory Council, and c) the amount of service fees payable to the Provider. 4.4 Liability Limited. The Advisory Council, its authorized representatives, employees and designees shall have no duty or liability due to negligence of Adapting Employers or Providers. When it is not exercising the joint powers authorized by this Agreement (and therefore not acting as the Advisory Council), the Advisory Council shall have no duty or obligation whatsoever to act for the benefit of the Adopting Employers. Q HaynesHltesman, PC 4 2005 REBA }Dint Powers Agrnt 1 RESOLUTION NO. 2007-30 5. RIGHTS AND RESPONSIBILITIES OF ADOPTING EMPLOYERS 5,1. Adopting Employers to Furnish Data. Each Adopting Employer agrees to furnish all reasonably necessary data to the Advisory Council, or Provider or other third party as directed by the Advisory Council. 5.2 Remittance of Contributions and Fees. The Adopting Employers shall remit contributions and/or administrative fees in the time and manner as set forth In the Plan, the Trusts, and/or the Administrative Services Agreements. 5.3 COBRA Administration. To the extent an Adopting; Employer is, through the Public Health Services Act, subject to the Consolidated Omnibus Budget Reconciliation Act of 1985, as amended ("COBRA', such Adopting Employer shall be responsible for complying with the requiremerits of COBRA with respect to their employees participating in the Plan. Such responsibility shall include all aspic of administering the continuation coverage required by COBRA including, but not limited to, providing notices required by COBRA. The Advisory Council, as the "plan administ rator" of the Plan, has delegated Its responsibilities under COBRA to the Adapting Employers. 5.4 Adopting Employer Withdrawal. An Adopting Employer's participation In this Agreement may be terminated as follows; 5.4.1 Voluntary Withdrawal. At any time during a year, an Adopting Employer may terminate its participation In this Agreement upon ninety (90) days written notice to the Advisory Council and to all Providers. 5.4.2 Deemed Withdrawal. An Adopting Employer shall be deemed to have terminated its participation in this Agreement upon withdrawal from the Plan and the Trusts. 53.3 Involuntary Withdrawal. The Advisory Council may terminate an Adapting Employees participation in this Agreement for cause upon ninety (90) days notice to said Adopting Employer. 5.5 Effect of Adopting Employer Withdrawal. Upon an Adopting Employer's withdrawal from this Agreement, the following rules shall apply: 5.5.1 Withdrawal from the Plan and Trust. Upon withdrawal from this Agreement, an Adapting Employer shall be deemed to have withdrawn from the Plan and Trusts. 5.5.2 Continuance of REBA. The withdrawal of an Adopting Employer shall not affect the continuance of REBA by the remaining Adopting Employers. 5.5.3 Liability of Withdrawing Adopting; Employer. An Adopting Employer that withdraws shall remain jointly and severally liable for all debts, obligations and liabilities Incurred on its behalf during the term of Its membership. The liability of an Adopting Employer upon withdrawal shall be determined In accordance with the Bylaws, Plait, Trusts and/or Administrative Services Agreements. Q HayneOitesman, PC 2005 REBA ant Powers Agmt RESOLUTION NO, 2007-30 6. CONT'RIBUTIONS'& ASSESSMENTS f.! Contributions. Adopting Employers shalt make contributions as required under the Plan. All contributions shall be held in the Trusts. 6.2 As sess€nents. The Advisory Council may, at Its discretion, determine that an a-cpcsment Is necessary to Insure the financial integrity of the Flan and/or the Trusts, to operate and maintain the Plan and/or the Trusts, or to carry out other purposes of REBA pursuant to this Agreement. Such assessments shall be in a form, manner and amount as determined by the Advisory Council, provided that an assessment against an Adopting Employer shall not exceed $7,500 for any calendar year. Notwithstanding the foregoing, no Adapting Employer shall be required to make, or otherwise be responsible for, a contribution to the Plan and the Trust on behalf of another Adapting Employer if such Adopting Employer falls to make a contribution required by the Plan.. The Advisory Council may, In its discretion, establish and maintain separate accounts for specified portions of the assessment, and may designate specific purposes. 7. LENGTH OF AGREEMENT AND TERMINATION This Agreement shall remain in effect until the first of the following to occur:. a) The Agreement terminates by the mutual consent of the parties to the Agreement, b) The Agreement is suspended or superseded by a subsequent agreement between the parties to the Agreement, or c) The Agreement terminates by operation of law. a. LIABILITY OF PARTIES An Adapting Employer to this Agreement holds tie Advisory Council and its members harmless from any and all causes of action arising at law or Inequity unless such action shall arise from gross negligence. The patties agree to waive any rights to litigation from any dispute arising out of this Agreement unless such action is the result of Intentional wrongdoing. 9 AGREEMENT BY PARTICIPATION Any governmental unit that adopts the Plan, and thereby becomes an Adopting Employer, shall be deemed to have approved this Agreement and, in the case of an eligible governmental unit, to have executed this Agreement by its duly authorized officers, and shall be hound by the terms and conditions of this Agreement to the same extent as If such formal approval had been obtained and such execution had occurred. 0 HaynesHitesman, PC 5 2005 PEBA Joint Powers Agmt RESOLUTION NO. 2007-30 10. DISPOSI'T'ION UPON DISSOLUTION In the event that REBA is dissolved, any property or other assets acquired by the Advisory Council shall be distributed as determined by the Advisory Council and as permitted under applicable lave. Sufficient reserves shall be retained and maintained consistent with the Plan's obligations and known or foreseeable risks under this Agreement and applicable laws or regulations. Pursuant to all applicable state and federal laws, this Agreement has been approved by the governing boards of the parties and is signed by the duly authorized officers of the parties. ADOPTING EMPLOYER Name of Governmental Unit `I' r By By Title Titre Date Date n Date of Initial Participation ~'11 1 Laj~'`lj 1 C) Hayr Hitesman, PC 7 2005 REBA. Joint Powers Agmt