Great Western Savings and Loan Association (1980) ,
DEFERRED COMPENSATION PROGRAM fah
j- 1980
CUSTODIAL AGREEMENT 3-ax Savings
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The ("Agency") pursuant to Resolution No . ''ri - 71 of its
Governing Body has established an Employees' Deferred Compensation
Plan ("Plan") , a copy of which is enclosed . The Plan is in effect
for those employees ("Participants") who execute a Participation
Agreement in accordance with the Plan and file it with the Agency' s
Treasurer.
Great Western Savings and Loan Association ("Great Western")
is a California corporation operating as a savings and loan associa-
tion according to Federal and California law and regulation. This
Agreement sets forth the manner by which the Agency will invest Plan
funds with Great Western, and Great Western, will accept such funds
for investment and will account for such funds on a regular basis.
The parties agree as follows :
1 . Great Western agrees to accept for investment funds deposited
by the Agency in accordance with the Plan, and to establish and admin-
ister
dmin-
ister the accounts in accordance with the provisions of this Agreement.
2. The Agency shall have the same rights and obligations as any
other savings account holder having the same type of savings account
with Great Western.
3. On a regular basis, the Agency will prepare one check repre-
senting the total amount of deferments for the period applicable for
participants, and a list containing each participant' s name, social
security number and the amount to be credited in each participant' s
account. These items will be sent promptly to Great Western. Upon
receipt, Great Western will make the appropriate credits to the applic-
able accounts. Any earnings shall be automatically credited to each
account in accordance with Great Western' s prevailing practice.
4. The accounts established under this agreement shall be titled :
TheCit of Rancho Palos Verdes Deferred Compensation Plan. The title
and owners ip o a suc accounts shall be vested in the Agency. The
Agency shall have the sole custody of all passbooks or other evidence
of account ownership and no additions or withdrawal of funds shall be
made in or from such accounts except by the Agency.
5. The term of this Agreement shall commence on j':.alAt l�
and shall continue for two (2) years. This Agreement shall be renewed
( )
for successive two-year terms if not cancelled by either party, by
written notice to the other party, at least six (6) months prior to
the end of any term. Notwithstanding the above , this Agreement may
be terminated at any time by either party upon six (6) months prior
notice.
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6. The type of account to be established under this Agreement
shall be a 30-day Certificate of Deposit. The rate of interest paid
on Deferred Compensation Funds shall be determined as follows :
• Plans whose funds on deposit are less than $1 ,000 will
receive the regular passbook rate of 5. 50% compounded
daily and payable quarterly for an annual effective
yield of 5.65%
• Plans whose funds on deposit are at least $1 ,000 but
less than $100,000 will receive 8.00% compounded daily
and payable quarterly for an annual effective yield of
8.47%.
• Plans whose funds on deposit are $100,000 or greater
will receive a rate established quarterly and indexed
to the 26 week U.S. Government Treasury Bill rate less
1/2%. This rate ' will be determined by the auction held
in the last week of the preceding quarter. The rate
will be effective as of the first day of each calendar
quarter. This rate will be guaranteed each quarter and
will be paid simple interest quarterly with interest
credited reinvested in the plan to allow quarterly com-
pounding . In addition these plans will have a floor
rate of 8.47% simple interest. The floor rate will be
guaranteed for 10 years from the date the Plan is
established.
7. As desired by the Agency Great Western will provide the
following :
• Social Security/Account Number Cross Reference Listing :
This report will be generated monthly for Plans having
multiple accounts.
• Monthly Deposit Transaction Register :
This report is available only to deferred compensation
Plans utilizing magnetic tape deposits or deposits keyed
by Great Western' s Systems and Data Processing Department.
This report is generated each time a deposit is received .
• Participant Listing:
An alphabetical listing of participants with their social
security number and account number . This report is gener-
ated on the last day of the month and is available to all
deferred compensation plans. This report will be generated
only for plans having multiple accounts.
• Transaction Register:
On a quarterly basis, Great Western will provide a Trans-
action Register listing all deposits, withdrawals, and
interest earnings on the account. Great Western pays
interest on a quarterly basis only.
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. 8 . Great Western will withdraw funds from the applicable
account(s) solely as instructed in writing by the Agency.
9. In the event the Agency shall make any written presentation
to its employees describing the Plan and setting forth the manner of
investment or conduct any educational meetings or programs for the
same purpose, Great Western shall have the right to participate in
such presentations provided Great Western shall bear the costs
incurred by Great Western' s participation.
10. Great Western shall not have privity of contract with the
participants of the Plan. Great Western shall not be required to
accept any instructions that may be submitted by any participant or
to provide any information regarding the account or any transactions
of any kind except upon written instruction of the Agency or as
required by law.
11. Any written notice or statement to be given under this Agree—
ment must be sent by certified or registered mail , postage prepaid ,
addressed as follows, or to such other address as either party may
designate for itself.
If to Agency: Crs b V= Kik"te irk o%4‘...S V t`=.ovz S
Attention: Goa .c wuLN, e .ttsJ
If to Great Western:
GRET WESTERN SAVINGS AND LOAN ASSOCIATION
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to tion: anch Manager
With a copy to : GREAT WESTERN SAVINGS AND LOAN ASSOCIATION
8484 Wilshire Boulevard
Beverly Hills, California 90211
Attention: Tax Savings Center
.
By.
Au ori zed Officer
Approved as to form:
V C—b--,3 0.-- -‘4(
L- • al *o1=1 DOUGLAS W. GUE
R HANDS, WAT ON, DREYFUS GERS HON,
A PROFESSIONAL CORPORATION
GREAT WE ER VINGS AND LOAN ASSOCIATION
406Y 44r `
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. , Vice President