(1)Upon the request
of any employer, the board may administer and amend or provide for the
administration and amendment of any deferred compensation plan adopted by such
employer for members or other employees who provide direct support to the
employer's public safety department.
(2)In order to assist employers in establishing a deferred compensation
plan, the board may develop, maintain, and amend a master deferred compensation
plan document or a multi-employer deferred compensation plan document that is
intended to comply with the provisions of section 457 of the Internal Revenue
Code of 1986, 26 U.S.C. sec. 457, as amended. Any employer may adopt such
master plan for its participants with the assistance of the board; however, such
employer shall be responsible for ensuring
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(1) Upon the request
of any employer, the board may administer and amend or provide for the
administration and amendment of any deferred compensation plan adopted by such
employer for members or other employees who provide direct support to the
employer's public safety department.
(2) In order to assist employers in establishing a deferred compensation
plan, the board may develop, maintain, and amend a master deferred compensation
plan document or a multi-employer deferred compensation plan document that is
intended to comply with the provisions of section 457 of the Internal Revenue
Code of 1986, 26 U.S.C. sec. 457, as amended. Any employer may adopt such
master plan for its participants with the assistance of the board; however, such
employer shall be responsible for ensuring that such master plan is in compliance
with applicable law. Participation by nonmember employees shall be subject to the
requirements and limitations of said section 457 of the Internal Revenue Code of
1986, and the regulations promulgated under section 457.
(3) There is hereby created the fire and police members' deferred
compensation trust fund, which shall consist of the assets of deferred
compensation plans administered by the board pursuant to the provisions of this
section. The board shall be the trustee of the trust fund and shall keep a separate
account of the assets of each deferred compensation plan held within the trust
fund. The assets of each deferred compensation plan shall be held for the exclusive
purpose of providing benefits to participants and beneficiaries and defraying
reasonable expenses of the plan and any trust established to hold the assets of the
plan. The board shall allow investment of the trust fund through the fire and police
members' self-directed investment fund pursuant to section 31-31-301 (4).
(4) The expenses incurred by the board in the administration of each
deferred compensation plan shall be paid from the assets of such plan being held in
the fire and police members' deferred compensation fund pursuant to the
provisions of subsection (3) of this section. Such expenses shall not be paid for by
the fire and police pension association.
(5) For the purposes of this section, unless the context otherwise requires:
(a) Deferred compensation means that income that a participant may
legally defer pursuant to current rulings of the internal revenue service and that,
while invested under a deferred compensation plan adopted pursuant to this
section, is exempt from federal income taxes on both the employer's contribution
and all interest, dividends, and capital gains until the ultimate distribution to the
participant.
(b) Participant means:
(I) A member employed by an employer who has requested the board,
pursuant to subsection (1) of this section, to administer and amend or provide for
the administration and amendment of any deferred compensation plan adopted by
the employer; or
(II) An employee who provides direct support to the public safety department
of an employer who has requested the board, pursuant to subsection (1) of this
section, to administer and amend or provide for the administration and amendment
of any deferred compensation plan adopted by the employer.