§ 62-138. Administration.

(a)

Powers of the city. The city shall have the following powers and duties:

(1)

To appoint and remove, with or without cause, the service provider;

(2)

To appoint and remove, with or without cause, the trustee of any trust used to hold the assets of the plan;

(3)

To amend or terminate the plan pursuant to the provisions of section 62-139;

(4)

To engage an independent qualified public accountant, when required to do so by law, to prepare annually the audited financial statements of the plan's operation;

(5)

To take all actions and to communicate to the administrative committee and the service provider all necessary information to carry out the terms of the plan and trust; and

(6)

To exercise all such other powers and duties specifically granted to the city by the terms of the plan or any applicable law or ordinance.

(b)

Duties of administrative committee. The administrative committee shall have all the powers and duties assigned to the named fiduciary of the plan, the plan administrator of the plan and the board of trustees of the plan by F.S. §§ 112.656(2), 112.66(3) and 112.66(8), respectively. In addition, the administrative committee shall have the following powers and duties:

(1)

To construe and interpret the provisions of the plan and to make all factual determinations relating to benefits under the plan, including to provide relief to participants as permitted by the IRS in response to declared emergencies, disasters and other situations for which the IRS grants relief and in accordance with this plan;

(2)

To maintain or cause to be maintained and to provide such returns, reports, schedules, descriptions, and individual account statements as are required by law within the times prescribed by law; to furnish to the city, upon request, copies of any or all such materials; and, further, to make copies of such instruments, reports, descriptions, and statements as are required by law to be available for examination by participants and such of their beneficiaries who are or may be entitled to benefits under the plan in such place and in such manner as required by law;

(3)

To obtain from the city such information as shall be necessary for the proper administration of the plan;

(4)

To monitor, supervise and administer the agreement with the service provider;

(5)

To determine the amount, manner, and time of payment of benefits under the plan;

(6)

To appoint and retain such agents, counsel, and accountants needed for the purpose of properly administering the plan;

(7)

To pay expenses from the trust pursuant to section 62-135(b) and subsection (d) of this section; and

(8)

All such other powers and duties specifically granted to the administrative committee by the terms of the plan or any applicable law or ordinance and all such other powers and duties reasonably required to administer the plan in accordance with its provisions.

(c)

Duties of the service provider. Subject to the direction and control of the administrative committee, the service provider shall be responsible for the day-to-day operation of the plan; shall perform all nondiscretionary administrative functions in connection with the plan, including, but not limited to, the maintenance of participants' accounts, the provision of periodic reports of the status of each account and disbursement of benefits on behalf of the city in accordance with the provisions of the plan; and shall have such other powers and duties as may be specifically set forth in the plan or as may be delegated to it by the city or the administrative committee in accordance with the provisions of subsection (d) of this section.

(d)

Allocation and delegation of responsibility. The city and the administrative committee may allocate and delegate responsibilities as follows:

(1)

The city and the administrative committee may establish such other committees or subcommittees as they shall determine; may authorize one or more persons or any agent to execute or deliver any instrument or make any payment on their behalf; may retain counsel, employ agents, and provide for such clerical, accounting and consulting services as they may require in carrying out the provisions of the plan; and may pay for such services using the assets of the plan; and may allocate among themselves or delegate to other persons or to the service provider all or such portion of their powers and duties under the plan, other than those granted to the trustee under the trust, as they, in their sole discretion, shall decide. However, no allocation or delegation of any powers or duties to the service provider shall be effective unless and until the service provider accepts the allocation or delegation in writing.

(2)

The city allocates and delegates to the human resources director the responsibilities for the day-to-day operating procedures and processes over the plan's administration including, but not limited to, employee education and training; plan marketing and communications; enrollment; coordination of rollovers and transfers; coordination between and among the employee, the service provider and the city; claim, benefit and loan origination and recommendation for approval or disapproval; reporting to participants, the city, service provider and IRS, as appropriate; employee deferral limit determination; and, subject to the approval of the administrative committee, the development of such operating procedures and forms considered necessary to effect the plan provisions. The human resources director shall assign these responsibilities only to an individual with the requisite plan training and expertise.

(e)

Establishment of rules. Subject to the limitations of the plan and, in the case of the service provider, the direction and control of the administrative committee, the administrative committee and the service provider shall establish rules and operating procedures and requirements for the completion of forms and provision of supporting documentation for the administration of the plan and the transaction of its business. The administrative committee shall have total and complete discretion to interpret the plan including, but not limited to, the discretion to:

(1)

Determine all questions arising in the administration, interpretation and application of the plan, including the power to construe and interpret the plan;

(2)

Decide all questions relating to an individual's eligibility to participate in the plan and/or eligibility for benefits and the amounts thereof;

(3)

Make all factual determinations relevant to the determination of eligibility for benefits or participation in the plan;

(4)

Make such adjustments which it deems necessary or desirable to correct any arithmetical or accounting errors; and

(5)

Determine the amount, form and timing of any distribution to be made under the plan.

In making its decisions, the administrative committee shall be entitled to, but need not rely upon, information supplied by a participant, beneficiary or representative thereof. The administrative committee shall have full and complete discretion to determine whether a domestic relations order constitutes a qualified domestic relations order and whether the alternate payee under such an order otherwise qualifies for benefits under the plan. The administrative committee may correct any defect, supply any omission or reconcile any inconsistency in such manner and to such extent as it shall deem necessary to carry out the purposes of the plan. The administrative committee's decision in such matters shall be binding and conclusive as to all parties, given deference in all courts of law to the greatest extent allowed by applicable law, and shall not be overturned or set aside by any court of law unless found to be arbitrary or capricious, or made in bad faith. The administrative committee shall adopt such rules governing the time, place and conduct of its meetings as it may from time to time determine; provided, however, that any such rules shall comply with the provisions of all applicable laws.

(f)

Prudent conduct. The administrative committee shall use the degree of care, skill, prudence and diligence that a prudent person, acting in a like capacity and familiar with such matters would use in his conduct of a similar situation.

(g)

Protection of the city and administrative committee. The city and the administrative committee or any of its members shall not be liable for the acts or omissions of the service provider, but only to the extent that such acts or omissions do not result from the city's or administrative committee's, as the case may be, failure to provide accurate or timely information as required or necessary for proper administration of the plan. The city the administrative committee, any of the administrative committee's members or agents or any officer, employee or agent of the city shall not incur any liability individually or on behalf of any other individuals or on behalf of the city or the administrative committee for any act or failure to act made in good faith in relation to the plan or the funds of the plan. However, this limitation shall not act to relieve any such individual, the city or the administrative committee from a responsibility or liability for any fiduciary responsibility, obligation or duty under F.S. § 112.656(1), or any other applicable law of similar import.

(h)

Protection of the service provider. The service provider may rely upon any certificate, notice or direction purporting to have been signed on behalf of the city or the administrative committee which the service provider believes to have been signed by a duly designated official of the city or by the administrative committee.

(i)

Removal of service provider. The service provider may be removed by the city at any time upon 60 days' prior written notice to the service provider. Upon the removal of the service provider, the city may appoint a successor service provider; failing such appointment, the city shall assume the powers and duties of service provider. Upon the removal of the service provider, any trust assets invested by or held in the name of the service provider shall be transferred to the trustee of the trust in cash or property, at fair market value, except that the return of trust assets invested in a contract issued by an insurance company shall be governed by the terms of that contract.

(j)

Claim of benefits. A participant, employee or beneficiary shall notify the administrative committee in writing of a claim of benefits under the plan and shall file with the administrative committee the information it shall require to establish his rights and benefits under the plan. The administrative committee shall take such steps as may necessary to decide the claim of the participant, employee or beneficiary.

(k)

Appeal procedure. If any claim for benefits is denied by the administrative committee, the administrative committee shall notify the claimant in writing of such denial, setting forth the specific reasons and citing reference to specific provisions of the plan upon which the denial is based. An appeal period of 60 days after receipt of the notification of denial shall be granted, and said notification shall advise the claimant of the appeal procedure. The claimant shall file the appeal with the administrative committee, whose decision shall be final, to the extent provided by subsection (e) of this section.

(l)

Joint investment subcommittee. The administrative committee shall appoint one employee member to serve on a joint investment subcommittee to select an investment advisor. The subcommittee shall include a representative of the 457 plan and the 457 plan administrator.

(Ord. No. 4306-10, § 1, 2-22-2011; Ord. No. 4742-17, § 2, 11-6-2017)