Agenda 01/13/2009 Item #16E 3Agenda Item No. 16E3
January 13, 2009
Page 1 of 3
EXECUTIVE SUMMARY
Recommendation that the Board of County Commissioners recognize the receipt of a check
for $501.25 from Nationwide Retirement Solutions and authorize the Human Resources
Department to include the $501.25 in its budget for FY 2009 to use to offset some of the
expenses already incurred for the Retirement and Savings Fair held on November 20, 2008.
OBJECTIVES: To accept a check from Nationwide Retirement Solutions in the amount of $501.25
following a settlement of an administrative proceeding by the Securities and Exchange Commission
(SEC) and to recognize that amount as revenue and add that amount to the Human Resources budget
for FY 2009. This amount will be used to offset some of the expenses already incurred for the
Retirement and Savings Fair held on November 20, 2008.
CONSIDERATIONS: The County offers employees the opportunity to save for their retirement
through the deferred compensation program. Employees may elect to participate in programs
offered by Nationwide Retirement Solutions and ICMA -RC.
On March 31, 2004, the financial services firm, Massachusetts Financial Services (MFS), settled an
administrative proceeding with the SEC regarding certain practices in connection with the sales of
certain MFS funds which are part of the investment choices provided to the County's participants in
the deferred compensation program offered by Nationwide Retirement Solutions. A Settlement
Fund was established as a result of the SEC administrative action to compensate investors
determined to be harmed by late trading and other harmful market activity from September 1, 1999
through October 31, 2003.
With the approval of the SEC, a distribution plan was developed by an independent consultant to
determine how payments would be made from the Settlement Fund. The final distribution plan
recognizes that, in trying to identify and distribute recovery amounts to individual participants of the
Plan, plan sponsors such as the County might incur expenses far greater than the recovery amount
($501.25) itself.
Therefore, the distribution plan contains a "safe harbor" method of distribution that pennits plan
sponsors to apply the recovery dollars against the general expenses of the plan.
On November 20, 2008 the County's Human Resources Department sponsored a Retirement and
Savings Fair which was attended by over one hundred and fifty (150) employees. One of the
vendors participating at the Fair represented Nationwide Retirement Solutions. The expenses
incurred by Human Resources for the fair exceeded $2,000 for the rental of the facility, food, soft
dunks, giveaways and materials used to publicize the Fair. In addition, significant labor costs were
incurred by Human Resources employees who staffed the event.
Therefore, it is recommended that the check for $501.25 be recognized as revenue to Human
Resources and added to the Human Resources budget for FY 2009 to be used to offset some of the
expenses of the Retirement and Savings Fair.
', enda Itam No. 16E3
- January 13, 2009
Page 2 of 3
LEGAL CONSIDERATIONS: This item has been reviewed and approved by the County
Attorney's Office. This item is not quasi judicial, and as such ex parte disclosure is not required.
This item requires majority vote only. This item is legally sufficient for Board action. - CMG
FISCAL IMPACT: The results of this action will add $501.25 to the Human Resources budget for
FY 2009.
GROWTH MANAGEMENT IMPACT: There is no growth management impact associated with
this Executive Summary.
RECOMMENDATION: That the Board of Commissioners recognize the receipt of $501.25 from
Nationwide Retirement Solutions and add the S501.25 to the Human Resources budget for FY 2009
through the associated budget amendment.
PREPARED BY: Donald B. Albonesi, Manager — Compensation, Human Resources Department
Page ] of 1
Agenda Item No. 16E3
January 13, 2009
Page 3 of 3
COLLIER COUNTY
BOARD OF COUNTY COMMISSIONERS
Item Number: 16E3
Item Summary: Recommendation that the BCC recognize the receipt of a check for $501.25 from Nationwide
Retirement Solutions and authorize HR to include the $501.25 in its budget for FY 2009.
Meeting Date: 1/13/2009 9:00.00 AM
Prepared By
Donald Albonesi
Compensation Manager
Date
Administrative Services
Human Resources
12/8/2008 8:43:47 AM
Approved By
Donald Albonesi
Compensation Manager
Date
Administrative Services
Human Resources
12/8/2008 8:43 AM
Approved By
Amy Lyberg
Employment Operations Manager
Date
Administrative Services
Human Resources
12/8/2008 2:01 PM
Approved By
Len Golden Price
Administrative Services Administrator
Date
Administrative Services
Administrative Services Admin.
12 ?9;2008 5:29 PM
Approved By
OMB Coordinator
OMB Coordinator
Date
County Manager's Office
Office of Management & Budget
12i1812008 1:34 P10
.Approved By
Jeff Klatzkow,
Assistant County .Attorney
.,a.
County Attorney
County Attorney Office
12/2212008 8:13 AM
Approved By
Laura Davisson
Management & Budget Analyst
Date
County Manager's Office
Office of Management & Budget
12122/2008 1:20 PM
Approved By
James V. Mudd
County Manager
Date
Board of County
Commissioners
County Manager's Office
12124/2008 4S8 PM
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