Administrative Allowance Account Clause Samples
The Administrative Allowance Account clause establishes a designated account or fund used to cover administrative costs associated with managing a contract or project. Typically, this account is funded by a set percentage of the overall budget or through specific contributions, and it is used to pay for expenses such as management fees, overhead, or other administrative services. By clearly defining how administrative costs are handled and funded, this clause ensures transparency and prevents disputes over the allocation and reimbursement of such expenses.
Administrative Allowance Account. Amounts collected through the application of the asset-based fee described in section 8(a) above in excess of the Revenue Requirement specified in subsection 8(b) above, if any, shall be held in an Administrative Allowance Account for each Plan (that is maintained as a Plan asset by ICMA-RC). Employer understands that the Plan administrative allowance is to be used only to pay for reasonable plan administrative expenses of the applicable Plan or allocated to Plan participants at the instruction of the Employer. Employer may determine that funds from the Administrative Allowance Account should directly pay the invoices of consultants to the plan. If Employer makes such a determination, Employer will direct ICMA-RC in a separate letter to send Administrative Allowance monies to such consultants. The payment will be made only from the above-referenced Plan’s Administrative Allowance Account. Should the amount in the Plan’s Administrative Allowance Account be insufficient to cover the fee due, ICMA-RC will seek written instruction from the Plan or Plan Sponsor as to the amount to pay the consultant. For processing purposes, the consultant may submit an invoice to ICMA-RC for payment of the fee; provided, however, that ICMA-RC will pay the consultant only as set forth above. The consultant shall have no authority to calculate the fee amount, change the frequency of the payment, or change the payee. Employer acknowledges and agree that, for the purposes of these payments, ICMA-RC is acting as the agent of the Plan. Employer also acknowledges that in following our direction ICMA-RC is not exercising any discretion regarding whether the above fee payment is an appropriate or reasonable use of Plan funds. Accordingly, Employer agrees to hold ICMA-RC harmless from adverse consequences that may result from making such payments.
Administrative Allowance Account. Amounts collected through the application of the asset-based fee described in section 6(a) above in excess of the Revenue Requirement specified in subsection 6(b) above, if any, shall be held in an Administrative Allowance Account (that is maintained as a Plan asset by ICMA-RC). Employer understands that the Plan administrative allowance is to be used only to pay for reasonable plan administrative expenses of the Plan or allocated to Plan participants at the instruction of the Employer.
Administrative Allowance Account. Amounts collected (1) through the application of the asset-based fee described in Section 6(a)(1)(i) that are in excess of 0.55%, if any, or (2) through the application of the Participant Fee described in Section 6(b) shall be held in an Administrative Allowance Account (that is maintained as a Plan asset by ICMA-RC). City understands that the Plan administrative allowance is to be used only to pay for reasonable plan administrative expenses of the Plan or allocated to Plan participants at the instruction of the City. For processing purposes, the Consultant shall submit an invoice to the Employer, who shall submit the invoice to ICMA-RC for payment from the Plan’s Administrative Allowance Account. Should the amount in the Plan’s Administrative Allowance Account be insufficient to cover the Consultant’s fee due, ICMA-RC will notify the Employer in writing.
Administrative Allowance Account. ICMA-RC shall collect a fee from participant accounts on behalf of the City and those funds shall be held in a Plan Administrative Allowance Account. At the commencement of this contract, the amount of this fee collected by ICMA-RC shall be $40 per participant per year. These fees shall be collected quarterly, in advance, at the rate of $10 per participant account each quarter. The City may, from time to time, direct ICMA- RC to increase, decrease or suspend this fee. Each quarter ICMA- RC shall produce a report showing the amounts collected from participant accounts. Employer understands that the Plan’s Administrative Allowance is to be used only to pay for reasonable plan administrative expenses of the Plan or allocated to Plan participants at the instruction of the Employer.