SEC. 16.62. ESTABLISHMENT OF A SUPPLEMENTAL TAX DEFERRED PLAN.

The Retirement Board shall establish and administer a Supplemental Tax Deferred Plan ("401(a) Plan" or "Plan").

(Added by Ord. 242-02, File No. 040685, App. 9/30/2004)

The purpose of this Plan is to offer employees of the City and County of San Francisco, the San Francisco Unified School District, the San Francisco Community College District and the Superior Court of California, County of San Francisco, a Supplemental Tax Deferred Plan to provide for the deferred taxation of accumulated vacation, sick leave or other compensation defined in the Adoption Agreement which is earned by and payable to such employees on account of and after their separation from employment. The City and County of San Francisco does not and cannot represent or guarantee that any particular federal or state income, payroll or other tax consequence will occur by reason of participation in this Plan nor whether there will be gains or losses on moneys paid into this Plan.

(Added by Ord. 242-02, File No. 040685, App. 9/30/2004)

The Retirement Board shall have the exclusive authority to adopt such rules and regulations, and to prescribe such forms, as it deems necessary to carry out the purposes of the Plan. The Retirement Board shall manage the Plan in compliance with federal and state tax laws so that Plan benefits do not conflict with or reduce benefits under the Retirement System. The Retirement Board may employ consultants to advise the Board concerning the administration and investment of such funds as may be established.

The Retirement Board may contract with a financially responsible independent contractor to administer and coordinate the Plan under the direction of the Retirement Board. The Retirement Board may, in its discretion, establish guidelines or regulations for the bonding of any such contractor or any other person who handles funds or other assets of the Plan. Any such contractor shall agree to be responsible to the City and County of San Francisco for any and all services performed by a subcontractor, assignee or designee of contractor.

(Added by Ord. 242-02, File No. 040685, App. 9/30/2004)

The reasonable and necessary administrative costs of this Plan shall be borne by participants or by any contractor appointed hereunder.

(Added by Ord. 242-02, File No. 040685, App. 9/30/2004)