ILIAC Addendum 457/401ADDENDUM TO ILIAC 457/401(a) PLAN SERVICES AGREEMENT
This addendum modifies and/or extends the provisions of the lNG Section 457 and
401(a) Plan Services Agreements. Where there is conflict between the terms of the
Agreements and the terms of this Addendum, the terms most favorable to the City of
Carmel or plan participants shall control.
ILIAC affirms that the services it provides to the City of Carmel relevant to its 457 and
401(a) plans (as outlined below and in the lNG Section 457 and 401(a) Plan Services
Agreements) will be rendered in accordance with applicable law, including but not
limited to, the Internal Revenue Code.
ILIAC further affirms that standard services (as outlined below and in the lNG Section
457 and 401(a) Plan Services Agreements) provided by itself and its representatives in
association with the 457 plan and the 401(a) matching plan shall be provided at no cost to
the City of Carmel other than incidental expenses related to payroll deduction.
Additional services may be requested by the City, with the fee for such services to be
agreed upon in writing by both parties.
City of Carmel Responsibilities:
rn Establish and maintain the appropriate 457 and 401(a) plans for the employees of the
City of Carmel.
cl Develop and administer payroll procedures to defer employee contributions and
assess City matching contributions, and to remit such contributions to ILIAC in a
timely manner.
cl Disseminate from time to time communication/promotional material provided by
ILIAC for employee distribution.
[3 Arrange for representatives of 1LIAC to conduct initial enrollment meetings with City
employees and periodic meetings for ongoing service to employees, as deemed
necessary by the City.
ra Furnish ILIAC with sufficient information to initiate and maintain participant records,
including name and address, birth date, social security number, deferral amount and
other pertinent data necessary for the efficient administration of the participant
account.
~ Promptly forward all information it receives from employees pertaining to enrollment
and account maintenance, and notify 1LIAC in writing of all disbursements that
require the authorization of the City.
Ca Act as plan administrator, through the Board of Public Works and Safety, to manage
all material matters relating to the activities of the 457 and 401 (a) plans.
~1 Assist ILIAC, as necessary, in the development and maintenance of investment and
service specifications.
Ca Develop and maintain the plan document, amending it as necessary from time to time
to comply with regulatory provisions and the requirements of the City.
ILIAC Responsibilities:.
Establish and maintain the funding options and administrative operations so as to
comply with all applicable regulations, including Internal Revenue Code and other
regulatory authorities and requirements.
Provide the City with ongoing technical support and assistance to as it relates to the
457 and 401(a) plans in accordance with the needs and objectives of the City.
Provide the City with specimen plan documents updated to reflect such federal and/or
legislative modifications which may be necessary to operate the 457 and 401 (a) plans
in accordance with the needs and objectives of the City.
Provide a comprehensive administrative service system to facilitate disbursement of
employee deferrals and City matching contributions, maintain individual and City
account records, provide quarterly participant statements, coordinate participant
distributions and ensure proper tax withholding and reporting systems.
Periodically review the administrative, operational and financial arrangements and
take such actions as are necessary to ensure that the City and its employees receive
the best possible combination of costs, benefits and services.
Provide such accounting and audit systems as are necessary to ensure the fiscal
integrity of the assets of the 457 and 401(a) plans invested with ILIAC and provide
the City with reports and work papers as are reasonably necessary to meet the City's
financial reporting requirements with respect to such assets.
r~ Provide such reports to the City as may be necessary to monitor and evaluate plan
activity.
Cl Employ or contract with representatives who have the appropriate training,
credentials, licensing and expertise to assist employees with their retirement planning
and to work within the guidelines of the plan and the regulatory environment.
Cl Provide for an initial and continuous employee educational program to allow ail
interested employees to understand the advantages and restrictive provisions of the
plans.
Cl Be available on City premises, as deemed necessary by the City, to provide plan
information and guidance, answer questions and facilitate individual enrollment and
maintenance.
rn Provide such communication/promotional materials and other forms, documents and
agreements as are necessary to administer the plans and the individual employee
accounts.
cl Maintain all forms pertaining to enrollment, beneficiary designation, investment
direction and other participant elections.
ra Allow employee access to account information, maintenance services and customer
serviCe representatives through a web site and toll-free telephone number.
Cl Adhere to all such standards of conduct and ethical guidelines as have been or may be
promulgated for your industry.
providers, and do nothing to impede
Cl Cooperate fully with the City's other 457/401(a)
their ability to meet with employees, enroll employees, service employee accounts
and expeditiously transfer funds from one program to another, as allowed by the City
and by regulatory authorities.
Cl Keep employee and Plan information confidential as required by law.
CITY OF CARMEL, INDIANA
By and through its Board of Public Works and Safety
Ja/~es B;ain , . . . Date
Date
ATTEST:
~r~~MC~, C~i~~ Date
lNG LIFE INSURANCE AND ANNUITY COMPANY
Printed Name_ BRIAN K. HAENBIGES
VICE PREBIgENT
Title
10/30/02
Date