Resolution 2649
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RESOLUTION NO. 2649
A RESOLUTION OF THE SOUTH TAHOE PUBLIC UTILITY DISTRICT
CONCERNING THE OPERATION OF THE
SOUTH TAHOE PUBLIC UTILITY DISTRICT
EMPLOYEES' BENEFIT PLAN
WHEREAS, the South Tahoe Public Utility District (District) established the South Tahoe
Public Utility District Employees' Benefit Plan on December 19, 1996; and
WHEREAS, the Plan was established to provide eligible District employees and their
designated dependents with medical, prescription drug and dental benefits as specified in the Plan
Document and Summary Plan Description for the Plan (Plan Document); and
WHEREAS, under the terms of the Plan, funds will from time to time be contributed by the
District for the funding of the Plan for the benefit of eligible employees and their dependents; and
WHEREAS, the Board will direct the administration of such funds for the purpose of funding
the obligations of the Plan; and
WHEREAS, it is a desire of the Board to maintain the financial integrity of the Plan,
NOW, THEREFORE, BE IT RESOLVED:
1. This Resolution is intended to supplement those duties, responsibilities, rights and
obligations of the Board as set forth in the Plan Document. Except where otherwise required by
context, all of the definitions in the Plan Document shall control in the interpretation of this
Resolution.
2. The Board will annually establish and authorize the Plan's funding level, which
currently is $500 per participating employee per month. In addition to this annual authorization,
when deemed appropriate in the Board's discretion, the Board may adjust the Plan's funding level on
a more frequent basis, including for the purpose of increasing or decreasing the funding amount per
participating employee,
3. The Board shall administer, invest, distribute and otherwise direct the allocation of any
and all contributions and assets paid or delivered for the funding of the Plan and the benefits provided
thereunder, consistent with the provisions of this Resolution, the PIan Document and applicable law.
4. The amounts authorized by the Board for funding of the Plan will be segregated in a
separate accounting fund of the District, to be known as Fund 30, to be used exclusively for the
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purpose of providing eligible District employees and their eligible dependents with medical,
prescription drug and dental benefits as specified in the Plan Document. The amounts deposited in
Fund 30 shall be held, managed and administered without distinction between principal and income,
The funds in Fund 30 will be used solely to pay the claims and directly associated expenses of the
Plan,
5. Unexpended amounts in Fund 30 will be known as the Plan's Investment Balance,
which amounts will be accounted for at all times.
6. The Board shall invest and reinvest the Plan's Investment Balance, without distinction
between principal and income, in such securities or property, real or personal, wherever situated, as
the Board shall deem advisable and in a manner consistent with the District's investment policies, as
amended from time to time. The Board may invest the Plan's Investment Balance in the District's
Pooled Cash Investment Fund, known as Fund 00, or in such other common, collective, or pooled
investment accounts as the Board may deem advisable,
7. Quarterly interest on the Plan's Investment Balance invested in Fund 00 will be
credited to Fund 30 in proportion to its share of the pooled Fund 00 investments during the quarter
for which the interest is being paid, at the actual quarterly earnings rate for funds deposited in Fund
00 during applicable quarter.
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8. In the event the amount on deposit in Fund 30 is at any time insufficient to fund the
payment of Plan benefits, costs or expenses, the Board has the authority, to the extent allowed by
law, to advance or transfer other District funds, or to borrow or otherwise raise funds, for the
purpose of funding the payment of Plan benefits, costs and expenses (Transferred Funds), which
funds shall be repaid by the Plan at the earliest reasonable time. Such repayment from the Plan for
any funds which are so advanced will include the payment for interest actually incurred in connection
with the Transferred Funds, or interest equivalent to what the District would have earned on the
Transferred Funds had those amounts been on deposit in the District's Pooled Cash Investment Fund,
whichever is appropriate.
9. The District's Chief Financial Officer will provide the Board with a written financial
report and statement of account within thirty (30) days of the end of each calendar quarter, showing
the authorized Plan funding, the claims and expenses paid under the PIan, Plan interest earned or paid
and the Plan's Investment Balance, The District's Chief Financial Officer shall further provide such
financial reports or written statements of accounts concerning the Plan as directed by the Board,
10. The Board shall have the authority to do all other acts and exercise all other rights and
privileges, although not specifically mentioned in this Resolution or the Plan Document, as the Board
may deem necessary to carry out the purposes of the Plan.
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WE, THE UNDERSIGNED, do hereby certifY that the above and foregoing Resolution was
duly and regularly adopted and passed by the Board of Directors of the South Tahoe Public Utility
District at a meeting duly held on the 1 st day of May, 1997, by the following vote:
AYES: Directors Wallace, Jones, Strohm, Mason, Mosbacher
NOES: None
ABSENT: None
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Christopher H. Strohm, Board President
South Tahoe Public Utility District
ATTEST:
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