4425.01 - TAX SHELTERED ANNUITIES (TSAs) AND MUTUAL FUND CUSTODIAL ACCOUNTS

The Board authorizes and approves participation in tax sheltered annuities and mutual fund custodial accounts authorized under Internal Revenue Code 403(b) for eligible employees. Such contracts shall be as directed by the employee. The employee assumes full and complete responsibility for the integrity, safety, and performance of the selected contract.

Contracts must qualify under the terms outlined in the Internal Revenue Code. All rights under the annuity contract shall be exercisable by the employee concerned.

The Board authorizes the District Administrator, or his/her designee, to act on its behalf with respect to contracts and to formulate rules for the purchase and administration. To be eligible for consideration as an Eligible Provider, in addition to compliance with any established procedures, each vendor must be selected by at least ten or more employees of the District to start writing TSA reduction agreements in the district. Notwithstanding this requirement, any vendor that has qualified and which continues to operate within the District thereafter shall be allowed to continue to service each employee who has already elected to work with that vendor. The District Administrator, shall require that any vendor to which contributions are made shall enter in an agreement certifying its intent to comply with the requirements of the Internal Revenue Code.

School District of Jefferson