HomeMy Public PortalAboutRES-CC-2014-14Resolution 14-2014
A RESOLUTION OF THE MOAB CITY COUNCIL SUPPORTING LEGISLATION PERMITTING SPECIAL SERVICE
DISTRICTS TO MAKE AN ELECTION OF NON -PARTICIPATION IN THE UTAH RETIREMENT SYSTEM
WHEREAS, Canyonlands Health Care Special Service District, located in Grand County, Utah, as owner of Canyonlands Care
Center ("Care Center"), has the fiduciary responsibility for the financial well-being of the Care Center; and
WHEREAS, the financial well-being of the Care Center has been significantly and negatively impacted by participation in the
Utah Retirement System (URS) due to the State -mandated dollar amount of the contribution required to be paid by the Care
Center to the System, a sum which has increased the Care Center's retirement contribution expense fivefold; and
WHEREAS, staff turnover at the Care Center has significantly reduced the number of employees who are able to satisfy the
four (4) year vesting requirement of the URS due to their limited tenure, thus reducing URS benefit to the terminated
employee; and
WHEREAS, the statutory mandate for the Care Center to participate in this system is projected to have an ongoing deleterious
impact on the Care Center's efforts to maintain a sound and stable financial position; and
WHEREAS, amendments to Utah Code Ann. § 49-12-202 that would allow a Special Service District to "make an election of
non -participation as an employer for retirement programs under this chapter", would resolve the financial and logistical
difficulties produced by continued participation; and
WHEREAS, Canyonlands Health Care Special Service District intends to replace the URS program with an affordable and
adequate retirement savings program once out of the URS system to ensure an acceptable benefits program for the Care
Center staff.
NOW THEREFORE, be it resolved that the Moab City Governing Body hereby declares support of legislation to amend Utah
Code Ann. § 49-12-20, allowing Canyonlands Health Care Special Service District to make an election of non -participation in
the Utah Retirement System in the manner and according to the dates set forth in the amended law.
This resolution shall take effect immediately upon passage.
Passed and adopted by action of the Governing Body of the City of Moab in open session this 25th day of February,
2014.
CITY
By:
Mayor David L. Sakrison
Attest:
Rachel Stenta City Ree-61•de:
Resolution #14-2014