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<br />that now the City has councsel for their pension plans and counsel would be responsible for <br />telling the City when plans needed to be amended. Mr. Mug stated the IRS has adopted a five- <br />year cycle that requires every plan to be reviewed and submitted for a determination letter. <br /> <br />Mr. Crow asked if the City ever had an IRS audit of its pension plans. <br /> <br />Mr. Mug stated he was not aware of one. <br /> <br />Mr. Crow asked if there would be any reasons why the City would not make the suggested <br />changes. <br /> <br />Mr. Mug said he could not think of any reason not to make the changes because first the City <br />would have to meet the obligation of the determination letter and secondly, the changes had no <br />negative effects on the City or the participants. <br /> <br />Mr. Kraft stated that a plan can be in compliance with the IRS but still be insolvent. The IRS <br />was not checking on whether there was enough money or too much money in the plan and does <br />not make any statement on the solvency of the plan. <br /> <br />Mr. Mug said that was true of governmental entity plans which are exempt from the risk. <br /> <br />Mr. Kraft asked if the City was exempt from Erisa. <br /> <br />Mr. Mug stated governmental plans and church plans are exempt from Erisa Rules. He said the <br />Missouri Statutes governed the funding of these plans. <br />------------------------------------------------------------------------------------------------------------------------------- <br /> <br />Mr. Walker stated the next item on the agenda related to the possible formation of the <br />Community Improvement District (C.I.D.). He said the Loop Special Business District was <br />seeking authorization for the City Manager to enter into a legal agreement with Armstrong <br />Teasdale, to look at the possible formation of a Community Improvement District in the Loop. <br />Mr. Walker stated that there were some questions previously on the advantages and <br />disadvantages to which answers were supplied. Mr. Walker turned the meeting over to the <br />Director of Community Development Andrea Riganti. <br /> <br />Ms. Riganti provided a brief overview of the agenda item requesting authorization to enter into a <br />contract with Armstrong Teasdale for legal services to explore possible formation of a C.I.D. <br />She introduced Mr. Robert Klahr, who is a partner with Armstrong Teasdale, the proposed legal <br />firm that would perform these services and Mr. Joe Edwards representing the Loop Special <br />Business District. She added for the record that Mr. Klahr agreed to attend the meeting tonight <br />at no cost to the City. Ms. Riganti stated that hopefully Council had a chance to review the <br />material in the packet that pertained to the legal services and as well as the background <br />material pertaining to Community Improvement District. Ms. Riganti noted the Loop Special <br />Business District was started in the 1970s -1980s, to provide additional funding sources for <br />various activities for Loop merchants and property owners to engage in, which included <br />marketing. She noted many years later the east Loop saw some revitalization in <br />redevelopment. Businesses in that section of the loop formed a separate Special Business <br />3 <br /> <br /> <br />