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t RESOLUTION NO. 81-22 RESOLUTION AUTHORIZING AGREEMENT WITH CITY ADMINISTRATOR RELATING TO DEFERRED COMPENSATION WHEREAS, Robert C. Middaugh, (Middaugh) , City Administrator of the City of Elk River has elected to be excluded from membership in the Public Employees Retire- ment Association, which election has been approved by the City Council; and, WHEREAS, prior to such action the City has contributed an employer's contribu- tion to the Public Employees Retirement Association for his account; and, WHEREAS, by reason of such election, the City's employer contribution to PERA on his account will cease; and, WHEREAS, Minnesota Laws,. 1981, Chapter 254, Section 1, provides as follows: "[DEFERRED COMPENSATION; CITY CONTRIBUTION.] If an election of exclusion is made, and if the City Manager and the govern- ing body of the City agree in writing that the additional compensation is to be deferred and shall be contributed on behalf of the City Manager to a deferred compensation program which meets the requirements of Section 457 on the Internal Revenue Code of 1954, as amended through December 31, 1980, • the governing body may compensate the City Manager, in addition to the salary allowed under any limitation imposed on salaries by law or charter, in an amount equal to the employer contri- bution which would be required by Minnesota Laws, 1981, Chapter 254, Section 1, if the City Manager were a member of the association." WHEREAS, the City Council desires to exercise the authority conferred by the aforementioned Minnesota Laws, 1981, Chapter 254, Section 1, NOW, THEREFORE, BE IT RESOLVED by the City Council of the City of Elk River, Minnesota, as follows: 1. In addition to the City Administrator's salary now in effect or which may hereafter be established from time to time as his stated salary, shall be compensated in an additional amount equal to the employer contribution which would be required by Minnesota Laws, 1981, Chapter 254, Section, 1, if he were a member of the Public Employees Retirement Association subject, however, to the provisions of the following paragraph of this resolution. 2. Such additional compensation shall be paid only if and during the time that there is an agreement between City and Middaugh wherein it is agreed in writing that the additional compensation is to be deferred and shall be contributed on behalf of Middaugh to a deferred compensation program which meets the requirements of Section 457 of the Internal Revenue Code of 1954, as amended through December 31, 1980. S