Resolution 4394 - Laserfiche WebLink

• (e) Notwithstanding any provision of the Plan to the contrary, distribution must commence no later than April 1st following the later of (i) of the calendar year in which the Participant attains age 70-1/2 or (ii) the calendar year in which the Participant separates from service, and must be completed by the Participant's allowable life expectancy, defined as a single or joint (spousal) life expectancy as set forth in the life annuity actuarial tables (Code Section 72 and regulations thereunder). Section 5.4 of the Plan is amended to read as follows: 5.4 Participation Accounts Not Exceeding $3,500. Notwithstanding any provision of the Plan to the contrary, if the total amount of a Participant's Participation Account under the Plan does not exceed $3,500, the Participant may elect to receive (or the Employer may elect to pay to the Participant without the Participant's consent) the total amount in a lump sum payable within 60 days of such election; provided, however, such amount may be distributed pursuant to this Section 5.4 only if: (a) no amount has been deferred under the Plan with respect to such Participant during the two-year period ending on the date of the distribution, and (b) there has been no prior distribution under the Plan to such Participant to which this Section 5.4 applied. Section 5.5 of the Plan is amended to read as follows: 5.5 Default Distribution Schedule. If the Participant fails to select a payment option for any event which causes amounts to become available under the Plan, the Participant shall be deemed to have elected, pursuant to Section 5.2(b) hereof, to postpone distribution of his/her benefit until the year in which the Participant attains age 70-1/2. Upon such Participant's attainment of age 70-1/2, payments shall commence for a specified period of ten (10) years as provided for in Option 2. Notwithstanding the foregoing, Participation Accounts not exceeding $3,500 shall be subject to earlier distribution in accordance with Section 5.4 hereof. BE IT RESOLVED that the Plan will not permit loans. BE IT FURTHER RESOLVED, that the members of the City Council of the City of Everett are hereby authorized to take any actions, including execution of a restated Plan document incorporating the provisions of said Amendment which are necessary and desirable to effect this Resolution. • :.111. _%A. ., ' ouncilmember Introducing Resolution Passed and approved this 26 t h day of February, 1997. Council President