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RESOLUTION NO. 00 -3842
A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF TEMPLE
CITY UPDATING AND APPROVING THE CITY OF TEMPLE CITY'S
OPTIONAL BENEFIT PLAN (rRC SECTION 125, CAFETERIA PLAN)
PROGRAM FOR CITY EMPLOYEES
WHEREAS, the City of Temple City has provided an Optional Benefit Plan program for city
employees since the early 1980's; and
WHEREAS, the Optional Benefit program provides a specific amount of compensation to each
employee to apply toward insurance premiums for medical, dental, vision, life, and other qualifying benefits
not otherwise covered by the city; and
WHEREAS, such payments are considered pretax compensation and, therefore, not subject to
withholding or income taxes; and
WHEREAS, any Optional Benefit compensation not used for the payment of employee benefits
under the Optional Benefit Plan program may be taken as cash paid biannually, which is subject to
withholding and income taxes; and
WHEREAS, the City of Temple City's Optional Benefit Plan is subject to conditions and
restrictions established by Congress in the Internal Revenue Code (IRC) Section 125, and commonly
referred to as a "Section 125, Cafeteria Plan"; and
WHEREAS, the Optional Benefit Plan document describes in detail the administrative policies
and conditions of the Temple City Optional Benefit Plan program; and
WHEREAS, approval of the Optional Benefit Plan document is in fulfillment of requirements of
the Internal Revenue Service to maintain the tax benefits of the program;
NOW THEREFORE, the City Council of the City of Temple City does resolve to update and
approve the city's Optional Benefit Plan (IRC Section 125, Cafeteria Plan) document which updates and
approves the city's Optional Benefit Plan program in conformance with applicable federal law.
APPROVED AND ADOPTED THIS 26TH DAY OF JUNE, 2000.
A'1 "PEST:
City Clerk
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I hereby certify that the foregoing Resolution, Resolution No. 00 -3842, was adopted by the City
Council of the City of Temple City at a special meeting held on the 26th day of June, 2000 by the following
vote:
AYES: Councilmember- Brook, Gillanders, Wilson, and Souder
NOES: Councilmember -None
ABSENT: Councilmember - Breazeal
FC
City Clerk U