Bricklayct·s & Allied Cn1ftsmen Local No. 7 Pension Piau 

Checklist Item #07 

Does the application include the plan actuary's certification that the plan is projected to avoid 

insolvency if the suspension takes effect and the supporting illustrations, including: 

• the plan-ycar-by-plan-year projections demonstrating projected solvency during 

the relevant period; 

• a description of the assumptions used, including the new entrant pro tile, the total 

contribution base units, and the average contribution rates; and 

• separately identifying the available resomccs (and the market value of assets and 

changes in cash flow) during each of those years. 

Sec section 3.02. 

Document 7. 1 provides the actuary's certification that the Pension Plan is projected to avoid 

insolvency if the proposed suspension takes effect. Document 7.2 provides several exhibits 

supplementing the actuarial analysis, which is based on the actuary's interpretation of the 

requirements under Revenue Procedure 2016-27, Section 3 .02. 

7. t 
3.02 Plan Actuary's Certification that the Plan Is Pt·ojcctcd to A void Insolvency 

Document 7.1 

Actuary Certification that the Pension Plan 

Is Projected to Avoid Insolvency 

Document 7.1 is the Pension Plan's actuurial celtitication of plan solvency under ERISA 

§ 305(c)(9)(c)(i) and Internal Rt:venue Code (IRC) § 432(e)(9)(C)(i) as of the proposed benefit 

~u~pension et1i::ct.ive on May I, 2017. 

Document 7.2 provides supplemental reports that include year-by-year solvency 

projections, which demonstrate that the Pension Plan will become insolvent in the 2024-2025 plan 

yeur. Additionully, Exhibit IV, provided below, demonstrates that the Pension Plun would avoid 

insolvency if the proposed benefit suspensions were to take eftt:ct as of May I, 2017. Additionall y, 

the reports separately identify the market value of assets, contributions, investment eurnings, 

benefit payments, and plun expenses. These repotts arc based on the actuary's interpretution of the 

requirements undt:r Revenue Procedure 2016-27, Section 3.02. 

For the actuarial certification, see the 1\.lllowing pages. 

7.2 
J United Actuarial 

Services, Inc. 

A.<: lu.:"u iCs ;·1nd C ol"l-.u fl. 1111 •, 

June 28, 2016 

The llonorable Jacob J. Lew 

U.S. Secretary of the Treasury 

U.S. Department of the Treasury 

1500 l'cJmsylvania Avenue, NW 

Wash in ~lon, DC. 20220 

Rc: Certification that the Pension Plan Is Projected to Avoid Insolvency under the 

Proposed Benefit Suspension 

Dear Secretary Lew: 

This is to certify that United Actuarial Services, Inc. has prepared an actuarial solvency 

certification under ERISA Section 30S(e)(9)(C)(i) and Internal Revenue Code ("IRC") Section 

432(e)(9)(C)(i), lakin~ into account regulation 1.432(e)(9)·1, and Revenue Procedure 2016-27, 

for the Bricklayers & Allied Craftsmen Local No. 7 Pension Plan based on pru·ticipant data as of 

May l, 2015 and asset values as of April 30, 2016 in accordance with generally accepted 

actuarial principles and practices. It has been prepared at the request of the Board of Trustees to 

assist in meeting the filing and compliance requi1·ements under federal law. 

Based on the items discussed below, the proposed bcnelit suspensions are reasonably estimated 

to enable the Plan to avoid insolvency within the meaning of ERISA Section 4245, assuming the 

suspensions of benefits continue indefinitely and the benefit accrual reduction becomes effective 

upon the proposed May 1, 2017 suspension eflective data in accordance with the Section 

30S(e)(9)(D)(iv) and IRC Section 432(e)(9)(D)(iv) (taking into account regulation 1.432(e)(9)-l 

and Revenue Procedure 20 16-27). 

Note that, as required by law, this certification is only intended to demonstrate that the proposed 

Plan changes are reasonably projected to be sufficient to avoid insolvency within the meaning of 

ERISA Section 4245 and IRC Section 4 I 8E. The measurements shown are not applicable for 

other purposes. Future acttlarial measurements may differ significantly from the current 

measurements presented in this report due to such factors as the following: plan experience 

differing from that anticipated by the economic or demographic assumptions; changes in 

economic or demographic assumptions; differences in statutory interpretation; differences in 

methodology; and changes in plan provisions or applicable Jaw. Due to the legal requirements 

for this certification, it does not include an analysis of such future measurements. 

This certification was prepared on behalf of the Bricklayers & Allied Craftsmen Local No. 7 

Pension Plan based on the May I, 20 15 actuarial valuation, dated October 30, 2015, as well as 

l I ~90 Nortl1 ndi<~n Street. ui ~ 6 I 0 • C.mn el. lndJ<lf'\'.J:l46032-4 529 • (3 17) SSG-8670 • filx (3 1 7) 80.86 ~ 1 
Redacted by the U.S. Department of the Treasury
Sec I he tollowing pages. 

oc nl 7.2 

Supplemental Reports 

7.5 
Actual"ial Solvency Certification Contents 

Rricklaycrs & Allied Cr aftsmen Local :"'o. 7 Pension Plan 

EXIJIBIT I 

£X1118 1T II 

~XJ11 81T Ill 

£X11181T IV 

£XJII8 1T V 

EXHIBTTVT 

EXHTBTTVTT 

EXHIBTTVTTT 

EXHIBIT IX 

EXHIBIT X 

Summary of Key In fom1ation and Results 

Development of Projected Af2ril 30, 2016 Assets 

Deterministic Projection ofCumml Plan without Pro~oscd SUSf2Cnsion 

Deterministic Project inn of' Proposed Suspension 

Projection of Benefit Reduction Equal to the Greater of 5% of C 

Proposed Reduction or 2% of Participant's or Bene liciary' s 

urrent 

l'a) ' lllCilt 

Without Regard to Pro~o ed Reduction 

Projected Toh1l Contribution Base Units and A vera1lt: Contribution Rate s 

Actuarial As~umptions and Methodology 

Proposed Benelit Suspensions 

Breakdown of Benefit Payouts Under Proposed Sus12cnsion (F.xhibit IV ) 

Breakdown of Benefit Payouts for Exhibit V 

7.6 
..., 

:... 

Exhibit 1- Summary of Key Information and Results 

Bricklayers & Allied Craftsmen Local No.7 Pension Plan 

A summary of key information and of results of different tests (and subtcsts) required for the certification arc shown below. 

A. Key Information 

I. Projected year of insolvency without consideration of proposed suspension 

2. Proposed effective date of suspension of benefits 

3. End of extended period 

4. Projected funded percentage (under fRC Section 432(j)(2)) at end of extended period 

5. Number of Plan active participants (based on May I, 2015 actuarial valuation) 

6. Is the proposed suspension in combination with a partition? 

B. Limitation on aggregate size of s uspension 

l. The proposed suspension is reasonably estimated to enable the Plan to avoid insolvency. 

April 30. 2025 

Ytayl ,2017 

April 30. 2050 

82.8% 

144 

No 

a. The solvency ratio is projected on a determin ~tic basis to be at least 1.0 for each plan year throughout the extended period. 

(see Exhibit TV) 

b. T he Plan's projected funded percentage at the end of the extended period does not exceed 100%, but the Plan's solvency 

ratio and its available resources arc not projected to decrease at any time during the last five plan years of the extended 

period. (Sec Exhibit IV) 

Because of the results summarized ill B.l, the proposed suspension of benefits satisfies the t·cquircmcnt that it he 

reasonably estimated to enable the Plan to avoid insolvency. 

2. The proposed suspension does not materially exceed the level that is necessary to avoid insolvency, as required under lRC 

Section 432(e)(9)(D)(iv). 

a. The Pla11 would fai l one or more of the tests in B.l under a benefit reduction equal to the greater or 5% of the current 

proposed reduction or 2% of the pm1icipant's or beneficiary's pa}~nent detennined without regard to the proposed 

reduction. (Sec Exhibit V) 

b. The PBGC did not issue an order partitioning the Plan. 

Because of the results in 8.2, the proposed suspension of benefits satisfies the requircmcnt·s that the proposed 

suspension not m:llcrially exceed the level that is necessary to avoid insolvency. 

The proposed benefit suspension satisfies the limitation on aggregate size of suspension. 
_, 

"' 

Exhibit II - Development of Projected April 30, 2016 Assets 

Bricklayers & Allied Craftsmen Local ~o. 7 Pension Plan 

The estimated change in Market Value of Assets from May 1, 2015 through April 30, 2016 is shown below. Contribution income. 

benefit payments, administrative expenses and investment income were based on the April 30. 2016 unaudited financial statements 

provided by the plan administnltor. An udditional $30,000 was added to administrative expense.~ to account for additional actuarial 

fees not yet included in the financial statemenL~. 

From "'ay I, 2015 

throueh April 30,2016 I 

I 

I. Market Value at bt:ginni11g_ of period 17,411.864 

2. Contributions 895,158 

3. Bencfil_!l!y_ments 2.886,190 -- 4. Administrative eXJ:l_enses 232,064 

5. Investment earnings/{loss) -562,507 

6. Market Value at end of period: 

( 1 >-:ill·(3_2·(i) (5) 14,626,26 1 
--.1 

"' 

Exhibit TIT - Deterministic Pr·ojection of Current Plan without Proposed Suspension 

Bricklayers & Allied Craftsmen Local No. 7 Pension Plan 

The projected Market Value or Assets and Solvency Ratio for the Plan Years begim1ing May I, 2015 through April 30,2025 

PYB 5/l/2015 5/ 112016 5/1/2017 5/1/2018 5/1/2019 

PYE 4/30/2016* 4/30/2017 4/30/2018 4/30/2019 __ /_3 2(~2.QJ 

I. Market Value at beg. of yr. 17,411 ,864 14,626,26 1 1?,792,803 11,409,589 9,956,494 I 

2. Contributions 895,158 848,542 964,833 978,833 99">,833 

3. Benefit payments 2,886,190 3,305,35 [ 2,99o,oo7 I 2,984,609 3,013,028 I 

4. Administrative expenses 232,064 240,000 12o,ooo I 12o,ooo I 120,000 

5. Investment eamin ~s (562,507) 863,352 761__,960 I 672,681 577,761 

6. Market Value at end of yr. 

(I )+(2)-(3)-( 4)+(5) 14,6?6,261 I 12,792,803 11,409,589 ' 9,956,494 8,394,060 

7. Available resources 

(1 )-r(2)-(4)+(5) 17.512,451 I 16,098,154 14,399,596 12,941,103 II ,407,088 

8. Solvency ratio: (7)/(3) 607 1 4.87 4.82 4.34 1 3.79 

PYB 5/ 112020 5/1/2021 5/112022 5/112023 5/ 1/2024 

PYE 4/30/2021 4/30/2022 4/30/2023 4/30/2024 4/30/2025 

I. Market Value at beg. of yr. I 8,394,060 6,12s,so1 I 4,975,047 3,047,342 900,400 

2. Contributions I [ ,006,833 1,020,833 I 1,022,000 1,022,000 1,022,000 

3. Benefit payments I 3,028,256 3,023,130 I 3,082,367 3, [ 73,346 3, 166,968 

4. Administrative expenses I 120,000 12o,ooo I 120,000 120,000 120,000 

5. Investment camings 476,163 368,543 252,662 124,404 (14,940) 

6. Market Value at end of yr. 

(I )+(2)-(3)-(4)+(5) 6,728,801 4,975,047 3,047,342 900,400 Insolvent 

7. Available resources I 

(1)+(2)-(4)+(5) 9,757,057 7,998,177 6,129,709 4,073,746 1,787,460 

8. Solvency ratio: (7)/(3) 3.22 2.65 1.99 1.28 0.56 

*Based on actual e.xperiencefor the year. 
:-' 

0 

Exhibit IV- Deterministic Projection of P•·oposcd Suspension 

Bricklayers & Allied Craftsmen Local No. 7 Pension Plan 

The projected \1arkct Value of Assets and Solvency Ratio tor the Plan Years beginning May I, 2015 through April 30. 2050 

~ 

PYB 5/In015 5/1/2016 5/1/2017 5/1/2018 5/1/2019 

PYE 4/3012016* 4130/2017 4/30/2018 4/30/2019 4/30/2020 

I. Market Value at beg. of yr. 17.411.864 14,626,?61 1?,792.803 12,427 810 12,086.715 - ? . Contributions 895.158 848,542 964.833 978.833 992.833 

3. Benefit payments 2.886.190 3,305,351 2,003,836 1,971,713 I ,963,424 

4. Administrative expenses 232.064 240,000 120.000 120,000 120,000 

~Investment camin~ _{_562,507~ 863,352 794,010 771.785 750.338 

6. :vlarket Value at end of yr. 

12,4?7,810 ' 

I 

(1 }r(?) (3} (4) (5) 14,626.26 1 12.792,803 12,086,715 I 1,746,462 -

7. Available resources 

(1)+(2)-(:!) t (5) 17.5 12.45 1 16,098,154 14,43 1,646 14 058,428 13 709,886 

L.!_Solvency ratio: (7)/(3) 6.07 4.87 1 7.20 7. 1.L _ 6.98 

PYB 5/1/2020 5/1/2021 5/1/2022 5/1/2023 5/ 112024 

PYE 4/30/2021 4/30/2022 I 4/30/2023 - 4/30/2024 4/30/2025 

I. Market Value at beg. of yr. II 746 462 11,415,826 1 II ,096,838 - I 0,752 32 1 10 348,888 

2. Contributions I ,006,833 1,020,833 1,022,000 1,022,000 I 022,000 

3. Benefit payments 1,946,689 1,928,593 I ,934,404 I 969,777 I 95~957 

4. Administrative expenses 120.000 120,000 - 120,000 120.000 120,000 

5. Investment earnings 729 220 708,772 687,887 664 344 638,602 

6. Market Value at end of yr. 

(I )+(2)-(3)-(4)+(5) II 4 15 826 11,096,838 10,752,321 10,348,888 9,934,533 

7. Availahte. resources 

( 1 (2) ( 4)•(5) 13,362,515 13,025,431 12,686,725 12 318 665 11 889,490 

8. Solvency mtio: (7)/(3) 6.86 6.75 6.56 6.25 6.08 

*Based on actual experience for 1he year. 
·"' 

Exhibit IV (cont.) - Deterministic Projection of Proposed Suspension 

Bricklayers & Allied Craftsmen Local :'<lo. 7 Pension Plan 

.-- PYB 511 /2025 5/ 1/2026 

PYF. I 4/30/2026 4/30/2027 

I. Markel Value at beg. of yr. 9,934,533 9,5?8,4? 5 

2. Contri butions 1,022.000 I ,02?,000 

3. Bene/it pavments I ,920,884 1,920,336 

~ Administrati ve expenses 120,000 120,000 

5. lnvestmelll earn ng.~ 612.776 676,612 

6. Market Value at end of yr. 

( 1)- (2)-(3)-(4}+(5) 9,528.425 9,186,701 

7. Available csoure~ 

(1 )+(2}-(4}.,.(5} 11,449,309 11.1 07,037 

8. Solvency r.Jtio: (7)1(3) 5.96 5.78 

PYB 5/ 1/2030 5/ l/2031 

PYE 4/30/2031 4/30/2032 

~~ar ct Value at beg. ofvr. I 8.244,926 7,927,467 

2. Contributions 1,022 000 1,022,000 

3. I3enefit payments 1,804 165 1,782,019 

4. Administrative expenses 120.000 1?0,000 

5. Investment earnin.l's 584.706 56 1,727 

6. \llarket Value at end of yr. 

(I) t (2)-(3)-(4)---(5) 7,927.467 7,609,176 

7 . Available resources 

(I) t-(2)-(4) t(5) 9.73 1.632 9,39 1,194 

I 8. Solvency r.uio: (7)1(3) 5.39 ------ 5.27 

5/ 1/2027 5/1/2028 5/1/2022._ 

4/30/2028 4/30/2029 4/30/2030 

9,186.701 8,866,530 8.552.844 

1,022.000 1,022,000 1,022,000 

1,874 860 1,845,464 1,8 17,228 

120,000 120,000 120,000 

652,688 629,778 607,310 

8,866 530 8,552,844 8,244,926 

10,741 ,389 10,398,308 10,062,154 

5.73 5.63 1 5.54 

5/112032 5/1/2033 5/ 1/2034 

4/30/2033 4/30/2034 4/30/2035 

7,609,176 7,323,993 7,039,234 

1,022 000 I ,022,000 1,022,000 

1,727,097 I ,706,074 1,693,258 

120 000 120,000 120,000 

539.9 15 51 9,315 498 438 

7,323 993 7,039,?34 1 6.746,414 

9,051 ,09 1 8,745,308 8,439,673 

5.24 5.13 I 4.98 
:-' 

..., 

Exhibit IV (cont.) - Deterministic Projection of Proposed Suspension 

Bricklayers & Allied Cr aftsmen Local No.7 Pension Plan 

PYB S/1/2035 S/112036 

f>YE 4/30/2036 4/30/2037 

I. \llarket Value at be~. of yr. 6,746,414 6,488,544 

2. Contributions 1,022,000 1.01?,000 

. 3. Benefit payments 1,638,404 1,598,340 

4. Administrative expenses 120,000 1 ?0,000 

5. Investment earnings 478,534 460,696 

6. Market Value at end of yr. 

. (1)+{2)-(3)-(4)-(5) 6,488,544 6,252,900 I 

7. Available resources 

( 1 )+(2)-(4)+(5) 8,126,948 7.851,?40 I 

8. Solvency ratio: (7)/(3) I 4.96 4.91 

PYB 5/ 112040 5/1/2041 

PYE 4/30/2041 413012042 I 

I. Market Value at beg. of yr. 5,7 11.576 5,585,483 

2. Contributions 2~ 0 1,022,000 

3. Benefit payments 1 436,582 1,406,124 

4. Administrative expenses 120,000 120,000 

5. Investment amin~s 408,489 400,174 

6. Market Value at end of yr. 

(l )+(2)-(3)-( 4)+(5) 5,585,483 5,481,534 

7. Available resource:; 

(W(2)-(4)+(5) 7.022 065 6,887,658 - - 8. Solvency ratio: (7)1(3) 4.89 4.90 

S/ ln037 S/112038 s11n039 

4/30/2038 413ono39 4/30/2040 

6,252,900 6.060,623 5,872,859 

1.022,000 I 022.000 1,022,000 

1,539,506 1,521,257 1,482,159 

120,000 120.000 120,000 

445,229 431,492 418,876 

6,060,623 5 872,859 5,711,576 

7,600,129 7 394,116 7,193,735 

4.94 4.86 4.85 

511/2042 5/ 1/2043 511 /2044 

4/30/2043 4/30/2044 4/30/2045 

5,481,534 5 422.967 5,415,029_ 

I ,Q.22,000 1,022.000 1,022,000 

1,354,868 I 301 834 I ,250,811 

120,000 120,000 120,000 

394,300 39 1.897 393,215 

5,422,967 5 415,029 5,459,433 

6,777.835 6.716,864 6,7 10,244 

5.00 5.16 5.36 
:-> 

..., 

Exhibit IV (cont.)- Deterministic Projection of Proposed Suspension 

Bricklayers & Allied Craftsmen Local No. 7 Pension Plan 

PVB 5/1/2045 S/1/2046 - PYE 4/30/2046 4/30/2047 

l. Market Value at beg. of yr. 5,459,433 5,556,454 

? . Contributions 1,022,000 1,022,000 

3. Benefit payments 1,203,306 1,158,492 

I 4. Administrative exDenses 120,000 120,000 

5. Investment camings 398,326 407,283 

6. Market Value at end of yr. 

( 1 )+(2)-(3)-( 4)+(5) 5,556,454 5,707,245 

7. Available resources 

( l )+(2)-( 4)+(5) I 6,759,760 6.865,737 

8. Solvency ratio: (7)i(3) I 5.62 5.93 

5/1/2047 s/ 112048 I 5/1/2049 

4/30/2048 413012049 I 4/30/2050 

5,707,245 5,916,768 6,187,145 

1,022,000 1,022, 000 1,022,000 

1,112,784 1,069,276 1,027,275 

120,000 120,000 120,000 

420,307 437,653 459,506 

5,916,768 6,187,145 6,521,375 

7,0?9,552 7,256,421 7,548,651 

6.32 6.79 7.35 I ----
:-' 

... 

Exhibit V - Projection of Bcncnt Reduction <Jual to the Greater of 5% of Current Proposed Reduction or 

2% of Participant's or Beneficiary's P:lyment Without Regard to Proposed Reduction 

Bricklayers & Allied Craftsmen Local No.7 Pension Plan 

The projected Market Value of A~ets and Solvency Ratio for the Plan Years beginning Ylay I. 201 5 through April 30, 2046 

PYB 5/1/2015 5/112016 5/U2017 S/ 1/2018 5/ 112019 I 

I J>YE 4/30/2016* 4/3012017 4/30/2018 4/30/2019 4/30/2020 . 

I. \-farket Value at beg. of yr. 17,411,864 14.626,261 12,792,803 12 368,885 11,9()4,328 

2. Contributions 895,158 848,542 964,833 978,833 992,833 

3. Benefit paymenL~ 2,886,190 3,305,351 2,060,907 2.029,467 2,022,307 

4. Administratiw expense:; 232,064 240,000 120,000 120,000 120.000 

5. Investment earnings (562,507) 863,352 792,155 766 077 740,469 

6. Market Value at end of yr. 

(I )+(2)·(3)·(4)+(5) 14 626,261 12,792,803 12,368,885 11 964 328 I I ,555,324 : 

7. Available resources 

( I )+(2)·( 4)+(5) 17,5 12,451 16,098,154 14,429,792 I 3,993,796 13,577,631 ~ 8. Solvency ratio: (7)/(3) 6.07 - 4.87 7.00 6.90 . 6.71 

PYB 5/1/2020 5/1/2021 5/1/2022 5/1/2023 5/112024 

PYE 4/30/2021 4/30/2022 4/3012023 4/30/2024 4/30/2025 

1. Market Value at be.g. of yr. II 555,324 II, 150,517 10,752,370 10 32 1 277 9,823,237 

2. Contributions 1,006,833 1,020,833 1,022,000 I 022 000 1,022,000 

3. Benefit payments 2 006,493 I ,988,559 I 1,996,568 2 034,270 2,019,639 

4. Administrative expenses 120,000 120,000 120,000 120~000 12o,ooo I ~ 

5. Investment eamings 714,853 689,578 663.476 634.230 602,333 - 6. Market Value at end of yr. 

(I )+(2}-(3)-( 4 )+(5) II, 150,517 1 0,75?,370 I 0.321.277 9,823.237 ~ 

9,307,93 1 

7. Available resources 

(I )+(2!-{ 4} {5} 13,157,010 1?,740,929 12,317,846 II 857,507 I II ,327,570 

1 8. Solvency ratio: (7)1(3) - 6.56 6.41 I 6.17 5.83 I 5.61 

* Based 011 actual experie11ce for the year. 
:-> 

'-" 

Exhibit V (cont.) - Pro,iection of Benefit Reduction Equal to the Greater of 5% of Current Proposed Reduction or 

2% of Participant's or Beneficiary's Payment Without Regard to Proposed Reduction 

Bricklnyers & Allied Crnftsmen Local No.7 Pension Plan 

PVB 5/I/2025 5/112026 5/ 1./2027 5/1/2028 

PYE 4/3012026 4/30/2027 4/30/2028 4/3012029 I 

I. Market Value at beg;. of yr. 9,307,93 1 8,794,531 8,330,574 7,8g0,310 

2. Contributions I ,02? ,000 I 1,022,000 1,022,000 1 022,000 

3. Benefit payments 1,985,351 I 1,985,099 1,938,362 1,907,884 

~ :~dministrative expenses 120,000 I :>0,000 120,000 120,000 

5. Investment earnings 569,952 619,1 42 586,097 553,470 

6. Market Value at end of )'T. 

(1)+(2)-(3)-( 4)+(5) 8,794,531 8,330,574 7,8S0,31 0 7,427,896 

7. Available resources 

(1) 1(2)-(4)+(5) I 0, 779,883 I 0,315,673 9,818,671 9,335,780 

- 8. Solvency ratio: (7)/(3) I 5.43 5.20 I 5.07 4.89 

PVB I 5/1/2030 5/J/2031 I 5/J/2032 5/ll2033 

PYE I 4/30/2031 4130/2032 I 4/30/2033 4/30/2034 

l. Market Value at beg. of yr. 6,972,527 6,496,743 6,009, I 03 5.543,576 

2. Contributions 1,022,000 1,022,000 1,022,000 1,022,000 

3. Renefit payments I ,864,786 1 ,841 ,8:>0 1 ,785,?56 1,762,529 

4. Administrative expenses 120,000 120,000 120,000 120,000 

5. Investment earnings 487,003 452,1 80 4 17,7:>9 383,666 

6. Market Value at end of yr. 

( I )+(2)-(3)-( 4)+(5) 6,496,743 6,009, 103 5,543,576 1 5,066,713 

7. Available resources 

(1 )+(2)-(4)+(5) 8,361 ,530 I 7,850,924 7,328,832 1 6,829,242 

8. Solvency ratio: (7)/(3) 4.48 1 4.26 4.11 I 3.87 1 

5/1/2029 

4/30/2030 

7,427,g96 

1,022,000 

1,878,028 

120,000 

520,659 

6,972,527 

8,850,555 

4.71 

5/J/2034 

4/30/2035 

5,066:713 . 

1.022,ooo I 

1,749,38 1 i 

12o,ooo I 

348,395 

4,567,727 

6,3 17,108 

3.61 
:-• 

"' 

Exhibit V (cont.) - Projection of Benefit Reduction Equal to the Greater of 5% of Current Proposed Reduction or 

2% of Participant's or Beneficiary's Payment W.ithout Regard to Proposed Reduction 

Bricklayers & Allied Craftsmen Local No. 7 Pension Plan 

PYB 511/2035 5/112036 5/1/2037 5/1/2038 

PYE 4/30/2036 4/30/2037 4/30/2038 4/30/2039 

I. Market Value at beg. ofvr. 4,567,727 4,090,957 3,621 ,325 I 3, 180,168 

2. Contributions 1,022,000 1,022,000 t,o22,ooo I 1,022,000 

3. Benet]t payments 1,691,896 1,650,55 1 1,589,156 1 t ,569,575 I 

4. Administrative expenses 1?0,000 120,000 120,000 12o,ooo I 

5. Investment earnings 313,126 278,919 245,999 2!3,646 1 

6. ~vtarkct Value at end of yr. 

( 1 )+(2)-(3 )-( 4)• ( 5) 4,090,957 3,62 1,325 3,180, 168 2,726,239 1 

7. Available resources 

(1)+(2)-(4)+(5) 5,782,853 ,27 76 4,769,324 4,295,814 

Jl, Solvency ratio: (7)/(3) 3.42 3.19 3.00 2.74 

PYB 5/112040 5/112041 5/112042 5/1/2043 

PYE I 4/30/2041 4/30/2042 4/30/2043 4/30/2044 

I. Market Value at heg. of vr. I 2,280,983 1,851 ,783 1 1 ,424, 109 I ,019,884 

2. Contributions I ,022,000 1,022,000 1,022,000 1,022,000 

3. Benefit ~a)::ments 1,480,739 !,448,241 I ,394,724 1,339,520 

4. Administrative expenses !20,000 120,000 120,000 120,000 

5. Investment earnings __ 149,539 118,_568 88,499 60,252 

6. Market Value at end of yr. 

(I )+(2)-(3 )-{ 4) I ( 5) 1,851,783 1,424,109 1,0!9,884 642,617 

7. Available resource~ 

(1)- (2)-( 4 )+( 5) 3~332 2 2,872,351 2,414,608 1 1,98?,137 

8. Solvency ratio: (7)/(3) 2.25 1.98 1.73 1.48 

5/1/2039 ! 

4t30!204o I 

2,726,239 1 

1,022,000 

I ,528,40 I I 

120,000 

181,146 

2,280,983 

3,809,384 

2.49 

5/1/2044 

4/30/2045 

642,617 I 

1,022,000 

!,286.435 

120,000 

33,948 

292,129 

1,578,564 

1.23 
,... 

..., 

I 

Exhibit V (cont.)- Projection of Benefit Reduction F. qual to the Greater of 5% of Current Proposed Reduction or 

2% of Participant's or Beneficiary's Payment Without Regard to Proposed Reduction 

Bricklayers & Allied Craftsmen Local No.7 Pension Plan 

PYB 511 /2045 - PYE 4/30/2046 

I. MarkeL Value at beg. of\.T. 292,129 

I ~ 

2. Contributions 1,022,000 -

3. Ben eli L payments 1,236,967 I 

4. Administrative expenses 120 000 I 

5. Investment earnings 9516 I 

6. :Vlarket Value at end of yr. 

(I )-'-(2)-(3)-(4)-(5) Insolvent I 

7. Available resources 

(I )+(2)-(4)+(5) 1,203,646 

[1. Solvency ratio: (7)/(3) I 0.97 

-- ---
:-> 

00 

Exhibit VI- Projected Total Contribution Base Units and Average Contribution Rates 

Bricklayers & Allied Craftsmen Local No.7 Pension l'lan 

f Year Beginning Total Contribution Contribution I Year Beginning Total Contribution I Contr·ibution 

!\lay I Base Units j Uour!l_ Rate (Hourlv) May 1 Rase Units (Hours) Rate (Hourly) 

201s . 177,033• s 6.66 2o3s t4o,ooo I s 7.3o 

?016 I 125,000 6.79 I 2036 140,000 • 7.30 

2017 I 140.000 6.89 I 2037 140,000 I 7.30 

2018 140.000 6.99 I 2038 140,000 J. 7.30 

. 2019 140,000 7.09 I 2039 140,000 I 7.30 

I '0'0 140 000 7.19 I 2040 140,000 7.30 

20?1 140MO 7.29 I 2041 140,000 7.30 _1 

I ?0?2 140000 7.30 I 2042 140,000 I 7.30 J 

?0?3 140,000 7.30 ?043 140,000 I 7.30 I 

I 2024 140,000 7.30 2044 140,000 7.30 

2025 140,000 7.30 2045 140,000 7.30 

2026 140000 7.30 2046 140,000 7.30 

I 2027 14Q,QOO -1-- 7.30 2047 140,000 7.30 

2028 140.000 7.30 2048 140 000 7.30 

2029 140 000 7.30 2049 1- 140,000 - - 7.30 

2030 140.000 7.30 2050 140,000 7.30 

203 1 I 140.000 I 7.30 I 2051 I 140.000 I 7.30 

2032 I 140.000 I 7.30 I 2052 I 140,000 I 7.30 

2033 140,000 I 7.30 I 2053 I 140,000 I 7.30 

2034 140,000 I 7.30 I 2054 I 140,000 I 7.30 

*Estimated based 011 actual hours of 162,280for the I" II mo11ths. 
:-' 

-c 

Exhibit VII- Actuarial Assumptions and Methodology 

Bricklayers & Allied Craftsmen Local No. 7 Pension Plan 

The data, actuarial assumptions and methodology are as used in the May, 2015 Acmarial Valuation, dated October 30,2015, except as 

specifically described below. The calculations arc based on a cummt understanding of the requirements of ERISA Section 305, IRC 

Section 432, temporary regulation 1.432(e)(9)-IT, proposed regulation l.432(e)(9)-1 and Revenue Procedure 20 16-27. 

Data: 

Mortality: 

Projected Industry 

Activity: 

Supplemental data was provided by the fund Office to calculate PBGC guaranteed benefits and to model the 

proposed benefit suspension. 

140% of the RP-2014 Blue Collar Mortality Tables for employees and healthy annuitants adjusted backward 

to 2006 with the MP-2014 projection scale and projected forward using the MP-2015 projection scale. 

Rationale for selection: 

The base table and projection scale are based on most recent research available and the industry of the 

population. The 140% adjustment is based on the ratio of actual deaths expet;enced by retirees and 

beneficiaries of this plan over the last tlu·ee years compared to the expected deaths under the unadjusted base 

table. 

Based on in formation provided by the Trustees regarding projection t>f future industry activity, the following 

hours were assumed: 134,408 for the plan year beginning in 2015; 125,000 for the plan year beginning in 

2016; and 140,000 for each plan year thereafter. 

Rationale for selection: 

The long te1111 hours expectation is based on trustee input ahout future industry activity. As shown in 

checklist 26 the actual average hours for the nine year period 11-om May I, 2007 to April 30, 2016 has 

averaged 139,362 hours. 

Future Contributious: $6.66 hourly contribution ralC etTective June 1, 2015; $6.80 hourly contribution rate effective June I, 20 16; 

$6.90 hourly contribution rate eiTective June 1, 20 17; $7.00 hourly contribution rate effective June I, 2018; 

57.10 hourly contribution rate effective June 1, 2019; S7.20 hourly contribution rate effective June I, 2020; 

$7.30 hourly contribution rate effective June I, 2021. 

Administrative $232,064 fi>r the 2015- 16 plan year; $240,000 for the 2016-17 plan year; $120,000 for each year thereafter. 

Expenses: 
·..I 

Exhibit VTI (cont.) - Actuarial Assumptions and Methodology 

Bricklayers & Allied Craftsmen Local No. 7 Pension Plan 

New Entrants: The number of new entrants added annually replaces the number of actives that leave due to tennination, 

retirement, death and retirement decrements so that a stable active population of 144 is maintained. The age 

at hire for new entrants over the five years was summarized (including those that are no longer active). Based 

on this distribution we assumed new entrants at ages 25 to 55 in the following proportion: 

Age Percentage of population 

25 15% 

30 14% 

35 13% 

40 II % 

45 10% 

50 23% 

55 14% 

100% 

~ Financiallnfonnation: Contribution income, benefit pa)~nents, administrative expenses and investment income for the 2015-2016 

Investment ren1m: 

Benefit Payment 

Projections: 

plan year were based on the April 30, 2016 unaudited financial statements provided by the plan 

administrator. An additional $30,000 was added to administrative expenses to account for additional 

actuarial fees not yet included in the financial statements. 

Post-April 30, 2016 annual investment returns are assumed to be 6.50% per year t(Jr the P' 1 0 years and 

7.50% per year thereafter. This was based on analysis provided by the investment consultant and review of 

capital market as~umptions ~urvey data. 

Rationale tor selection: 

Input from the investment consultant suggested a short tenn rate of ren1m of 6.8%. 111c Horizon Acn1arial 

2015 survey of investment consultants short tenn capital market assumptions produced a 50% percentile 

return of 6.38%. We choose a final short tenn value of 6.50% rellecting a middle ground between these two 

estimates. The long tenn investment return is consistent with the Horizon Actuari al 2015 ~urvey of 

investment consultants long tcnn capital market assumptions and the Plan's investment policy statement. 

Benelit payments were based on a closed group valuation tor participants included in the 2015 actuarial 

valuation and an open group valuation for new entrants. 
.... 

;..., 

-

Exhibit Vlll- Proposed Benefit Suspensions 

BricklaycJ·s & Allied Craftsmen Local No.7 Pension Plan 

The plan of benefits is as used in the May I, 20l5 actuarial valuation, dated October 30, 2015, except as specitically described below; 

Proposed Benefit Suspensions; 

Other Amendments: 

Effective May I, 201 7, the Plan will recalculate accrued benefits or benefits in pay status for all 

aflt~cted participants as described below, but no less than II 0% of the benefit guaranteed by the 

J>BGC, and no more than the current benefit level. 

• A participant's accrued benetit will be recalculated to be 1.3% oftotal contributions. 

• This includes a credit on previously non-credited money sinc-e 2006. 

• It also includes cuJTent adjustments t(Jr earl y retirement or optional forms of benefit. 

The above changes will not affect the tl1llowing groups of participants: 

• Panicipants who were awarded with a disability pension and beneficiaries of such 

pa1ticipants, and 

• Participants and beneficiaries who are at least age 80 as of the suspension date. 

The amount of benefit payable on and after the suspension date for pa1ticipants and beneficiaries 

who are at least age 75 but less than age 80 as of the suspension date will equal the sum of; 

• The amount of benefit calculated above, and 

• li 60 of the difference between the benefit payable before the suspension date and the 

amount of benefit calculated above, if any, multiplied by the number of months the 

participant is over age 75 on the suspension date. 

Efiective for service after May 1, 2016 the benefit fonnula will be 0.30% of the first $6.66 and 

1.0% of contributions over $6.66. This is equivalent (at the current rate of S6.66) to the current 

formula of I% of the first S2 and nothing after. 
._, 

" "' 

Exhibit lX - Breakdown of Benefit Payouts Under Proposed Suspension (Exhibit IV) 

Bricklayers & Allied Craftsmen Local No.7 Pension Plan 

PYB 5/ 1/20 15 5/JJ20J6 5/t/2017 I 

New Entrant - - - I 

Active 7.900 39,036 72.178 

V csted termination 164.746 230,715 156,831 

~etired 2.713.543 3,035,600 I ,774,827 

Total 2 886.190 3,305,351 2,003,836 

I PYB 5/1/2020 5/112021 5/ 112022 

. New Entrant - 71 225 

Active 244,407 295,196 I 370,482 

Vested termination 18~394 204,387 218,272 

etired I !.,_5 1 ~888 I ,428,939 1,345,425 

Total I 1.94~689 1,928,593 1,934,404 

- PYB 5/1/2025 5/1/2026 5/ 1/2027 

New Entrant 8 639 9,912 12,768 

Active 542 247 602,489 619,736 

Vested tennination - 264, 132 277,464 284,694 

Retired 1_,_1 05 867 I ,030,471 957,662 

Total L,.920,884 1,920,336 1,874,860 

I PYB 5/1/2030 5/l/2031 5/ 112032 - ~ew Entrant 29 207 30,851 31,771 

Active 705 317 722,840 724,147 

Vested tennination 313 468 333,459 334,666 

Retired 756,173 694,869 I 636,514 

Total 1.804,165 1,782,019 1 1,727,097 

5/1/2018 5/112019 

- - 117,232 180,624 

167.212 182,825 

1,687 269 1.599,976 

1,971,713 1,963,424 

5/1/2023 5/1/2024 

8,631 8,627 

462,341 51~572 

235,220 247,108 

I ,263,586 1.183,650 

1,969,777 !.,_954,957 

5/1/2028 51112029 

- 29,393 29.297 

639,565 - 671,494 

288 892 29~008 

887 614 820,430 

1.845,464 - I ,817,228_ 

5/1/2033 5/1/2()34 

- 38,100 - 37,805 - 746,232 765 342 

340,673 361 664 

581,068 528.447 

I ,706,074 !.,_693,258 
;.., "

"' 

Exhibit IX (cont.) - Breakdown of Benefit Payouts Under Proposed Suspension (continued) 

Bricklayers & Allied Craftsmen Local No. 7 Pension Plan 

PYB 5/1/2035 5/1/2036 5/112037 

~Entrdnt 37.495 40,404 41 048 

Act1ve 769.918 770,098 765 471 

Vested tennination 352.424 356,481 346 2 19 

Retired 478,567 431,357 386,768 [ 

Total 1,638,404 1.598,340 1,539,506 

I PYB 5/ l/2040 5/1/2041 5/1/2042 

:-.lew Entrant 45.732 49,653 49,813 

Acli\'C 759.723 763,745 754.736 

Vested termination 362.572 358.316 347.341 

I Retired I 268.554 234,409 202 978 

I Total I 1,436,582 1,406,124 I ,354.868 

PYB 5/1/2045 5/1/2046 5tu2047 I 

New Entrant 52,616 57,316 56,767 I 

Active 717,583 700,683 687,909 

Ve~te<1 termination 307.992 295,979 28 1,667 

Retired 125.1 15 104,515 86 441 

Total 1,203.306 1.158,492 1, 11 2784 

5/1/2038 5/1/2039 

46,970 46 371 

760,936 760,562 

368,581 369,866 

344,770 I 305 359 

1,521,257 1,482: 159 

5/112043 5/112044 

54,738 53.709 

738,682 728 lSI 

334,122 320.569 

174,292 148.351 

1 ,301,834 I ,250,8 II 

5/1/2048 511/2049 - 59,779 58,274 

67 1,526 1 659 0 13 

267,207 252 662 

70,763 57,326 

1,069,276 1.027,275 
._, 

~ 

Exhibit X- Breakdown of Rcncfit Payouts for Exhibit V 

Bricklayers & Allied Craftsmen Local :"'o. 7 Pension Plan 

ew Entrant 

:tivc 

N 

A, 

y , ested termination 

R etired 

T' :>tal 

I )lew Entrant 

Active 

Vested termination 

Retired 

Total 

N cw Entrant 

ctive 

~ ested termination 

1 Retin 

y, 

d 

1\ew Entrant 

Active 

V estcd termination 

Retired 

Total -

l'YB 5/1/2015 

- 7.829 

169 087 

2,709.274 

2,886.190 

l'YB 51112020 

- -

250.635 

198,301 

1.557,557 

2.006,493 

PYB 5/ 1/2025 

8.637 -

556 76 1 

278.986 

1,140.967 

1,985 35 1 

PYB 5/ 1/2030 

29.194 

721,482 

332.348 

781.763 

1,864,786 

511 /2016 

-I 

38,624 

235,718 

3,03 1,009 

3,305,351 

5/ 1/2021 

7 1 

302,618 

?14,863 

I ,471,007 

1,988,559 1 

5/112026 

9,909 

617,824 

?93,652 

1,063,713 

I ,985,099 

511 /2031 

30,835 

738,812 

353,629 

718,544 

1,841,820 

5/112017 5/ 1/2018 5/1/2019 

- - - 73 546 120,029 184 799 

164 444 - 175,485 192,327 

1,822 9 17 1,733,953 I 645 18 1 

2 060 907 2,029,467 2,022,307 

5/ 1/2022 5tt t2023 I 5/ 1/2024 

225 8,630 8,625 

380,592 475,277 529.720 - 229.920 248,089 260 727 

1.385.831 1,302,?74 1.220,567 

1,996 568 2,034,270 2.019.639 

5/112027 5/1/2028 5/J/2029 

12,764 29,382 29.285 

635,12 1 655,205 687 2 14 

01 ,46~ 306,243 313 582 

989,0 16 917,054 1 847 947 

1.938,362 1.907,884 1.878 028 

- 5/ 1/2032 5/ 1/2033 5/ 1/2034 

31 '753 38,077 37,779 

739.885 762,024 780.973 

355,323 361,436 384.072 

658,296 600,992 I 546,557 

1,785,256 ] 1,762,529 1 1.749,381 
_, 

"' V> 

Exhibit X (cont.)- Breakdown of Benefit Payo uts for Exhibit V 

Bricklayers & Allied Craftsmen Local No. 7 Pension Plan 

r:-- - "-'-\lew Entrant 

Active 

Vested termination 

Retired 

Total 

l':cw Entrant 

Active 

Vested terminarion 

Retired 

Total 

I' Entrant 

ive 

Ves .ted termination 

Reti 

Tota 

red 

I 

- - -

PYB 

-

PYB 

PYB 

5/ 1/2035 Sfl/2036 

37,468 40,372 

785,216 785, 114 

I 374,295 379,055 

I 494 917 446,010 

I 1.691 896 I ,650,551 

5/ 1./2040 5/1/2041 

I 45.686 49,600 

I 773.373 777,02 1 I 

I 384.455 379,799 

277,225 241,822 

1.480,739 1.448.241 1 

5/1/2045 

I 

52,549 

729,548 I 

I 326,241 I 

128,629 

1,236,967 

5/1/2037 5/ 1/2038 5/1/2039 

41 ,0 13 46,927 46 326 

780 J 56 775,3 t t 1 774,575 

368 189 39 1,082 392 Il l 

399 797 356,255 315.389 

1.589,156 1,569,575 I ,528.40 !__ 

5/ 1/2042 5/112043 5/ 1/2044 

49.757 54,674 53.643 

767.669 751 ,281 740,460 

368 055 354,039 339.664 

209,243 179,526 152.668 

1,394.724 I ,339,520 I 1,286,435 

-