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NOTE 17 - DEFERRED COMPENSATION PLANS:
<br />Marion County offers its employces a deferred compensation plan cirated ia aexotdance with Internal Revenue Code
<br />Section 457. 'Ilie Plan, available to all mnployces, permits them to defer a portion of their salary until future years.
<br />Participation in the plan is optional. Tbe deferred compensation is not available to employxs until termination, retirement,
<br />death, or unforesaable emergency. 'ILe fimds accumulated nnda this plan are ~ deposit with Adaa Life Insurance and
<br />Annuity Company. All amounts of compeasation deferred under the plan, all propaty sad rights pur~hased with those
<br />amounts, and all income attributable to those amounts, property, or rights ~(until paid or ma~e available to tt-e employa
<br />or other beaeficiary) solely the property and rights of Marion County subject ~ly to th~ claims of the County's ge.neral
<br />creditors. Participants' rights ~mdet the plaa are equal w those of gene,ral creditor in m amouat equal to the fair market
<br />value of the defexred account for each patticipan~
<br />Tl~e amount defeired firom inception of the plan through June 30, 1993 and invesm~ent emnings thereon amount to
<br />54,337,221 at cost and market value. 'Ihe plan's assets aad related lisbility are re~ozded in the Treas~rer's Trust Fund,
<br />an agency fund. The amounts ac~umulated by the County undcr the deferrod compensation plan, including invesmient
<br />earnings, are excluded from resourcas for budgetary putposes.
<br />It is the opinion of the County's l~gal counsel that the County has no liability fa losses under the plan but does have the
<br />duty of due care that would be roquired of an ordinary prudent investor. The County believes that it is unlikely that it will
<br />use the assexs to sarisfy the claims of g~eral creditors in the future.
<br />Investrnents are managed by the plan's trustce under one of four investment options, or a combination thereof. 'Ihe choice
<br />of the invest~nent option(s) is made by the participauts.
<br />In addition, the County has a defe~red compensation plan in conformity with Internal Reveaue Code Section 401(k) for
<br />certain management personnel ~d ela~ed officials. Contributions to this plsn ae+e ta~c deferred until withdrawal. Under
<br />this plan, the County contributes 1.5%, 5.5%, and 6% for supervisory employas, elected officials, and depattment heads,
<br />respectively, regardless of the employas' contribution. 1n addition, employas may coninbute up to 18% of their gross
<br />compensation subject to certain limits imposed by regulation. 11ie plan is administand by Standard Insurance Company,
<br />and participants have three investiment options which they may select in say c~ombiaarion. Payments from this plan will
<br />normally only be available upon death, retirement, or termination of employmeat All County contributions vest upon
<br />payment. The accumulated contn'butions and earnings on the plan are the property of the pffiticipants and, accordingly,
<br />are not included in the County's financial statements. Total County's payroll for employxs cover~ed by the 401(k) plan
<br />for the year ended June 30, 1993 was 510,105,413; the Conaty's Wtal payroll was 532,550,481. '!be County's required
<br />and actual contribution to the plan this yeaz was 5175,7Z8, and the employce's aetual eontn'bution (voluntary) to the plsn
<br />was $219,000. These contributions represent 1.5%, 5.5% and 6.0% respectively of the current year coverad payroll.
<br />NOTE 18 - COMMITMENTS AND CONTINGENCIES:
<br />'Il~e County is party in its official capacity to various lawsuits. and claims, all of which, in the opinion of management and
<br />legal counsel, are covered by the County's excess insurance policies if they should excxd the Connty's retained risk
<br />The County has construction commitments for the new County restitution centa/sheriff substation that will be met by the
<br />Capital Project Fund assets. No deficit is expxted.
<br />Regular County employees accrue sick leave. Sick leave can be taken only ffi the eveat of illness and is not convertible
<br />to pay upon termination of e~t-ploytnent, with e;ertain minor exceptions. Accumulatod sick leave, totaling approximately
<br />$5,045,514 at June 30, 1993, is not accruod.
<br />During fiscal 1985 the County used its bonding authority to issue bonds on behalf of a corporation for the purpose of
<br />constructing a solid waste incineration and electricity cogeneration plant. The bonds had a principal amount of $59,325,000
<br />but are specifically not an obligation of the County. The bonds are to be paid solely from the revenues and assets of the
<br />plant.
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