2023/11/29 Council Agenda Packet

© Peak One Administration 2016 12 VEBA SERVICES APPENDIX The Client has established the (“VEBA”), to provide benefits to participants under one or more employee benefit plans. Client has asked PSP to assist it with providing certain ministerial administrative services related to the VEBA. This Service Appendix is incorporated into and made a part of the Administrative Plan Services Agreement (the “Agreement”). The effective date of this Service Appendix is the effective date of the Agreement or if later, the date that both parties have signed this Service Appendix as set forth below. The responsibilities of the parties set forth in this Service Appendix are in addition to any responsibilities set forth in the Agreement. If there is a conflict between this Service Appendix and the Agreement, the Agreement controls. In consideration for the mutual promises set forth below, the Client and PSP agree as follows: A. Responsibilities of PSP The services PSP will perform pursuant to this Appendix are limited to the following: 1. Receiving Contributions. PSP will receive contributions which are due the VEBA from participating employers and participants. PSP’s receiving duties will include the following: (a) PSP will, by the tenth (10th) business day of each month, record for the preceding month (“Reconciliation Period”): (i) the payments of employer contributions received; (ii) reconcile payments to the accompanying remittance form; (iii) post payments to the appropriate individual records; (iv) deposit contributions to the VEBA account designated from time to time by the Board of Trustees; and (v) close each Reconciliation Period and perform appropriate electronic backup procedures. (b) PSP will receive participant contributions, post them to the appropriate individual records and deposit the participant contributions timely in the VEBA account designated by the Board of Trustees. PSP will not perform the reconciliation of the designated VEBA account. (c) PSP will maintain records of each contributor’s reports on both a monthly and annual basis, showing the Reconciliation Periods reported, the contributions received, shortages and overpayments for each contributor and other information mutually agreed upon by PSP and Client. 2. Participant and Beneficiary Records. PSP will maintain, based solely on information provided by Client and participating employers, a record for each participant and beneficiary (as defined in the applicable plan document): (i) full name; (ii) address; (iii) Social Security Number (to the extent required by applicable law; (iv) identity of dependents; (v) date of birth; and (vi) any additional information appropriate to compute and pay benefits under the Benefit Plan. 3. Transfer of Data. PSP will establish a standard procedure for exchanging information. 4. Service Fee Billing. PSP will bill Client monthly for its service fees. B. Responsibilities of Client 1. Establishment and Operation of VEBA. Client has sole responsibility and authority for establishment and operation of the VEBA. It is Client’s sole responsibility and duty to ensure that the VEBA complies in design and operation with all applicable laws and regulations, and PSP’s provision of services under this Agreement does not relieve the Client of this obligation. Client will maintain the official records for the VEBA consistent with applicable law. In the event that it is finally determined by a taxing authority or a court the Client or any Benefit Plans offered through the Client, Client will be responsible for the payment of such taxes. PSP will have no responsibility under this Agreement to pay such taxes or assessments and Client will not be entitled to any reimbursement for amounts