Deferred Compensation Board

MINUTES UNIFIED GOVERNMENT OF ATHENS-CLARKE COUNTY DEFERRED COMPENSATION BOARD SPECIAL CALLED MEETING Wednesday, April 27, 2020, 10:30 AM The Athens-Clarke County Deferred Compensation Board held a special called meeting on Wednesday, April 27, 2020 by WebEx and Live Stream on YouTube in accordance with the Open Meetings Act and in response to the COVID-19 Situation. The following were in attendance by WebEx: ACCGov Pension Board Ordinance - Section 1-14-15 Members: 1. Tim Denson, Commissioner and Deferred Compensation Board Chair 2. Blaine Williams, Manager 3. David Boyd, Finance Director 4. Jeff Hale, Human Resources Director 5. John Spagna, Employee Representative 6. Richard Steed, Employee Representative 7. Community Representative, not yet appointed Ex Officio members: John Hawkins, Chief Assistant Attorney Laura Welch, Assistant Human Resources Director Traci Mason, Benefits & Wellness Administrator Todd Dickey, Public Information Office Other Attendees: Kerri Jenkins, David Michaux, and Roger Pearson of AIG, Deferred Compensation Provider The meeting was called to order at 10:39 a.m. 1. Discussion of Coronavirus Aid, Relief, and Economic Security Act (CARES). On March 27, 2020 the CARES Act was signed into law, making access to retirement funds easier for participants. The Deferred Compensation Board called the meeting to consider: Option #1 COVID-19 Hardship Clause – Applies to participants directly or indirectly impacted (self, spouse, or dependent) by COVID-19. Those with COVID or have been furloughed, experienced reduced hours, or been laid off are eligible. This clause allows up to $100k withdrawal with a required affidavit or documentation. No tax is applied on withdrawal, with participants required to return all money back into account within 3 years, through contributions or payment. a. If not paid back, tax is due in full at the end of the 3 years b. Roth 457 has early withdrawal penalty if not paid back c. Potential garnishment d. Questions about what happens if employee terminates/retirees within 3 years Option #2: Increase/add ability to take out loans of 100% of vested amount of employee contributions ACCGov DEFERRED COMPENSATION BOARD Minutes – Special Called Meeting, April 27, 2020 Page 1 of 2  a. Repayment schedule of 5-10 years b. ACH from bank account c. Not taxable if repaid. Taxable if loan defaults d. If separate from service, continue to make payments Option #3: Amend plan (similar to in 2008) to allow non-forced Required Minimum Distributions in 2020 a. Can stop requiring those at age 70 ½ to take money from account for 1 year; birthday prior to 07/01/1949 b. Waives requirement for beneficiaries Jeff Hale moved to adopt Option #1, seconded by John Spagna. The motion passed unanimously. Jeff Hale moved to adopt Option #3, seconded by Blaine Williams. The motion passed unanimously. David Boyd moved to adjourn the meeting, seconded by Jeff Hale. The meeting adjourned at 11:00 a.m. Respectfully submitted, Laura Welch, Assistant Human Resources Director Secretary to the Deferred Compensation Board ACCGov DEFERRED COMPENSATION BOARD Minutes – Special Called Meeting, April 27, 2020 Page 2 of 2