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HomeMy WebLinkAboutMINUTES - 12201983 - 1.39 TO: BOARD OF SUPERVISORS Contra FROM: Auditor-Controller Costa DATE: December 13, 1983 Count' Contract with Management Resources Control to provide services SUBJECT: related to obtaining employee and employer refunds and/or credits of FICA contributions paid to the Federal Government on sick .pay to employees during the period of January 1. 1980 to December 31. 1981 'SPECIFIC REQUEST(S) OR RECOMMENDATION(S) & BACKGROUND AND JUSTIFICATION RECOMMENDATION: Approve contract with Management Resources Control to provide services related to obtaining employee and employer refunds and/or credits of FICA contributions paid to the Federal Government on sick pay to employees 'during the period of January 1, 1980 to December 31, 1981. BACKGROUND: Contra Costa County has participated in the Federal Social Security Program and has paid its employees sick pay and withheld Social Security on these .wages. Effective January 1, 1980, Government Code Section 22017 empowered counties to exclude .payments to employees "on account of sickness" from covered .wages for Social Security purposes. The federal law allowing this exclusion was repealed on January 1, 1982, limiting the applicable time period from January 1, 1980 to December 31, 1981. Under this contract, Management Resources Control will review payroll records, determine eligible refund dollars for each employee and for Contra Costa County as an employer, generate corrected quarterly earnings report forms, and refund payments to employees. Payments to the Contractor for these services will be limited to the 'sum equal to forty percent (40%) of the employer's portion of all refunds and/or credits received as a result of the Contractor's effort. JUSTIFICATION: Entering into this contract with .Management Resources Control will enable the County to obtain refunds for its employees and for the County as an employer for FICA payments made on sick pay for the employees. The Contractor will effect this with very little time expended by county employees. Employees will receive all FICA .payments withheld on 'qualified sick pay 'during this exclusion period and the County will receive sixty percent (60%) of this amount, which would not otherwise be realized. CONTINUED ON ATTACHMENT: YES SIGNATURE: D. L. Bouchet, 'A4iditor-Controller ^RECOMMENDATION OF COUNTY ADMINISTRATOR RECOMMENDATION OF BOARD COMMITTEE APPROVE OTHER SIGNATURE(S) �1 i ACTION OF BOARD ON APPROVED AS RECOMMENDED OTHER VOTE OF SUPERVISORS UNANIMOUS (ABSENT ) i HEREBY CERTIFY THAT THIS IS A TRUE AYES: NOES: AND CORRECT COPY OF AN ACTION TAKEN ABSENT: ABSTAIN: AND ENTERED ON THE MINUTES OF THE BOARD OF SUPERVISORS ONTHE DATE SHOWN. CC: County Administrator ATTESTED Jiee�,&U_j 26 ) I9,?,3 Auditor-Controller J.R. OLSSON. COUNTY CLERK Personnel AND EX OFFICIO CLERK OF THE BOARD Contractor , /�/J 24 M382/7-93 S//�' ■Y DEPUTY