HomeMy WebLinkAboutContracts & Agreements_213-2015_CCv0001.pdf SIDE LETTER TO THE CURRENT MEMORANDUM OF UNDERSTANDING
BETWEEN THE CITY OF REDLANDS AND THE REDLANDS PROFESSIONAL
FIREFIGHTERS ASSOCIATION (RPFA)
401A / ACCUMULATED BENEFIT PROGRAM
On April 21,2015,the City Council approved a Memorandum of Understanding between
the City of Redlands (The City) and the Redlands Professional Firefighter Association
(RPFA), effective July 1, 2015 - June 30, 2017, continuing the provision allowing RPFA
members to participate in the qualified 401(a) program. The Union will continue
participation in the Accumulated Benefit Conversion program offered by Nationwide
Retirement Solutions.
The 401(a) program is utilized to allow a member who retires or is about to retire the
ability to convert accrued leave hours available and place them in a pre-tax qualified
retirement account. The 401(a) time category allows every member to participate in the
program and satisfies the IRS guidelines for participation in 401(a) programs.
All available funds shall be deposited on a pre-tax basis.
TO PARTICIPATE IN THE 401(A)PROGRAM THE EMPLOYEE MUST.
1. Be a member of Local 1354.
2. Be at least 43 years of age.
3. Must be of the rank of Captain or higher.
4. Must have 100 hours of available compensation time.
5. Have a 401(a) account in place with Nationwide.
In order to participate, all of these requirements must be met by participants the FIRST
DAYAFTER THE LAST PAY-PERIOD IN OCTOBER.
Conversion and deposit of available time shall occur during the LAST PAY-PERIOD IN
NOVEMBER.
When the contributions are made,they shall be made in the following order up to the IRS
maximum allowed:
1. One hundred percent(100%) of available sick time at the end of the year available
for buy-back shall be deposited.
2. One hundred percent (100%) of available floating holiday time may be deposited.
3. Sixty percent (60%) of vacation time shall be deposited.
4. Seventy-five percent(75%) of compensation time shall be deposited.
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UPON RETIREMENT. REGARDLESS OF AGE OR COMPENSATION TIME HOUR
LEVELS
The members may deposit the maximum amount allowable to be contributed to a 401(a)
by the IRS. A combination of all time banks may be used to reach the maximum allowable
contribution.
All available leave IN THE LAST PAY-PERIOD of employment,as well as converted sick
leave available upon separation, may be eligible for deposit in the 401(a) account.
SIGNATURES:
CITY OF REDLANDS REDLANDS PROFESSIONAL FIREFIGHTERS
ASSOCIATION
PAUL FOSTER, MAYOR BILL CONWAY,PRESIDENT,
DATE REDLANDS PROFESSIONAL DATE
FIREFIGHTERS ASSOCIATION
ATTEST:
X�
SAM I IN,CITY CLERK
Side Letter 401A-Accumulated Benefit Program.docx