REPORT TO COUNCIL
SUBJECT
Title
Action on a Resolution to Rename the existing “Advisory Committee” on Deferred Compensation matters to the “Deferred Compensation Committee,” Expand its Role to Advise on All City Deferred Compensation Plans, and Clarify the Committee’s Duties and Responsibilities
Report
BACKGROUND
On or about January 21, 1975, through passage and adoption of Resolution No. 3444, the City created an Advisory Committee on deferred compensation which has advised concerning the City’s deferred compensation plan. Subsequently, the City adopted an IRS section 457(b) Deferred Compensation Plan, and on or about October 7, 2025, the City adopted another deferred compensation plan, an IRS section 401(a) Deferred Compensation Plan (Attachment 1). Staff recommends that the Advisory Committee be authorized to advise the City concerning both the IRS section 457(b) and 401(a) Deferred Compensation Plans.
Additionally, staff recommends renaming the Advisory Committee to the “Deferred Compensation Committee,” clarify that the Deferred Compensation Committee is created to advise the City concerning its Deferred Compensation Plans, and state that the Deferred Compensation Committee has duties and responsibilities consistent with those enumerated in the City’s Municipal Code for the City’s Boards and Commissions.
DISCUSSION
In order to better reflect its role and function, City staff recommends the City Council adopt a resolution to rename the Advisory Committee the Deferred Compensation Committee, and clarify the Committee is created to advise the City concerning all of its Deferred Compensation Plans. Additionally, staff recommends that the duties and responsibilities of the Committee be updated to be as consistent with those enumerated in the City’s Municipal Code for the City’s Boards, Commissions, and Committees as follows:
The Advisory Committee is renamed the Deferred Compensation Committee, continues to and operates under the authority of the City Manager, and shall be comprised of up to seven persons who are eligible officers and employees under the City’s Deferred Compensation Plans, who shall be appointed by the City Manager; and
The Committee shall act in an advisory capacity and make recommendations to the City Manager or designee concerning the City’s deferred compensation plans and shall have the powers and duties granted to City’s boards and commissions, as set forth in the City’s Municipal Code, including but not limited to, Municipal Code §§2.120.020 (Powers and duties generally - Attachment 2), 2.120.030 (Meetings), and 2.120.040 (Utilization of City personnel).
ENVIRONMENTAL REVIEW
The action being considered does not constitute a “project” within the meaning of the California Environmental Quality Act (“CEQA”) pursuant to CEQA Guidelines section 15378(b)(5) in that it is a governmental organizational or administrative activity that will not result in direct or indirect changes in the environment.
FISCAL IMPACT
There should be no or minimal fiscal impact with the renaming and clarifying duties and responsibilities of the Advisory Committee. Staff time to prepare this report and support the Deferred Compensation Committee is budgeted in the City’s Adopted Operating Budget.
COORDINATION
This report has been coordinated with the Finance Department and City Attorney’s Office.
PUBLIC CONTACT
Public contact was made by posting the Council agenda on the City’s official-notice bulletin board outside City Hall Council Chambers. A complete agenda packet is available on the City’s website and in the City Clerk’s Office at least 72 hours prior to a Regular Meeting and 24 hours prior to a Special Meeting. A hard copy of any agenda report may be requested by contacting the City Clerk’s Office at (408) 615-2220, email clerk@santaclaraca.gov, or at the public information desk at any City of Santa Clara public library.
RECOMMENDATION
Recommendation
Adopt the Resolution renaming the existing “Advisory Committee” on deferred compensation as the “Deferred Compensation Committee,” updating its duties and responsibilities on the terms presented.
Staff
Reviewed by: Marco Mercado, Acting Director of Human Resources
Approved by: Jōvan D. Grogan, City Manager
ATTACHMENTS
1. Resolution to Rename and Set Forth Duties and Responsibilities of the Advisory Committee on Deferred Compensation
2. Municipal Code section 2.120.020, 2.120.030, and 2.120.040.