APPENDIX D

CHECKLIST – IS THE SUBMISSION COMPLETE?

Instructions. The application must include a completed checklist placed on top of the application. This 

will help ensure that the application is complete. Answer each question in the checklist by circling Y for 

yes, N for no or N/A for not applicable, as appropriate, in the blank next to the item. Also insert in the 

appropriate blank next to each item the page number or numbers where the item appears in the 

application.

APPLICATION FOR APPROVAL OF BENEFIT SUSPENSION FOR

THE I.B.E.W. LOCAL UNION NO. 237 PENSION PLAN

Response Item 

number

Description of item Page number 

in application

Yes 1. Does the application include an original signature of the plan sponsor or 

an authorized representative of the plan sponsor? See section 2.01 of 

this revenue procedure.

3

Yes

2. Does the application include a description of the proposed benefit 

suspension – calculated as if no other limitations apply – that includes:

• the suspension’s effective date (and its expiration date, if

applicable),

• whether the suspension provides for different treatment of

participants and beneficiaries,

• a description of the different categories or groups of individuals

affected, and

• how the suspension affects these individuals differently?

See section 2.02 of this revenue procedure.

4

Yes 3. Does the application include a penalties-of-perjury statement signed by 

an authorized trustee on behalf of the board of trustees? See Section 

2.03 of this revenue procedure.

5

Yes

4. Does the application include a statement, signed by an authorized

trustee on behalf of the board of trustees, acknowledging that the 

application and the application’s supporting material will be publicly 

disclosed on the Treasury Department’s website? See section 2.04 of this 

revenue procedure.

6

Yes

5. Does the application include the plan actuary’s certification of critical and 

declining status and the supporting illustrations, including:

• the plan-year-by-plan-year projections demonstrating projected

insolvency during the relevant period, and

• separately identifying the available resources (and the market

value of assets and changes in cash flow) during each of those

years?

See section 3.01 of this revenue procedure.

8 and 

Exhibit 3.01
Yes

6. Does the application include the plan actuary’s certification that, taking 

into account the proposed suspension and, if applicable, a proposed 

partition, the plan is projected to avoid insolvency if the suspension takes 

effect, and the supporting illustrations, including:

• the plan-year-by-plan-year projections demonstrating projected 

solvency during the relevant period,

• separately identifying the available resources (and the market 

value of assets and changes in cash flow) during each of those 

years?

See section 3.02 of this revenue procedure.

8 and 

Exhibit 3.02

Yes

7. Does the application include the plan sponsor’s determination of 

projected insolvency that includes the documentation set forth in section 

5 of the revenue procedure? See section 3.03 of this revenue procedure.

8 - 13

Yes

8. Does the application include a demonstration that the limitations on 

individual suspensions are satisfied, including a description of each 

benefit based on disability, as defined under the plan, that is paid to an 

individual under the plan (without regard to whether the disability 

benefits are available to newly disabled participants) and calculations 

regarding:

• the guarantee-based limitation,

• the disability-based limitation,

• the age-based limitation, taking into account the guaranteebased limitation, and

• if applicable, the age-based limitation taking into account both 

the guarantee-based limitation and the disability-based 

limitation?

See section 4.01 of this revenue procedure.

14 and 

Exhibit 4.01

Yes

9. Does the application include a demonstration that the proposed 

suspension is reasonably estimated to achieve the level necessary to 

avoid insolvency for the extended period, including illustrations 

regarding the plan’s solvency ratio and available resources? See section 

4.02(1) of this revenue procedure.

15 and 

Exhibit 4.02

N/A

10. Does the application include an illustration that the proposed suspension 

is reasonably estimated to achieve the level necessary to avoid 

insolvency for the extended period utilizing stochastic projections? (This 

illustration is optional if the plan is not required to appoint a retiree 

representative under § 432(e)(9)(B)(v)(I).) See section 4.02(2) of this 

revenue procedure.

Yes

11. Does the application include a demonstration that the proposed 

suspension is not projected to materially exceed the level necessary to 

avoid insolvency, including:

• the plan-year-by-plan-year projections demonstrating projected 

insolvency during the relevant period, and

• a separate identification of the available resources (and the 

market value of assets and changes in cash flow) during each of 

those years?

See section 4.03 of this revenue procedure.

15 and 

Exhibit 4.03
Yes

12. Does the application include a demonstration that the proposed 

suspension is equitably distributed, including:

• information on the effect of the suspension on the plan in the 

aggregate,

• information on the effect of the suspension for different 

categories or groups,

• a list of the factors taken into account,

• an explanation of why none of the factors listed in § 

432(e)(9)(D)(vi) were taken into account (if applicable),

• for each factor taken into account that is not one of the factors 

listed in § 432(e)(9)(D)(vi), an explanation why the factor is 

relevant, and

• an explanation of how any difference in treatment among 

categories or groups of individuals results from a reasonable 

application of the relevant factors?

See section 4.04 of this revenue procedure.

16 - 17

and

Exhibit 4.04

Yes

13. Does the application include a copy of the notices (excluding personally 

identifiable information) that meet the requirements under 

§ 432(e)(9)(F)? See section 4.05(1) of this revenue procedure.

17 and 

Exhibit 4.05a

Yes

14. Does the application include a description of the efforts that are being 

taken to contact participants, beneficiaries in pay status, and alternate 

payees? See section 4.05(2) of this revenue procedure.

17

N/A 15. Does the application describe the steps the plan sponsor has taken to 

ensure that notices delivered electronically are reasonably accessible to 

the recipients? See section 4.05(3) of this revenue procedure.

Yes

16. Does the application include a list of each employer who has an 

obligation to contribute under the plan and each employee organization 

representing participants under the plan? See section 4.05(4) of this 

revenue procedure.

17 and 

Exhibit 4.05b

Yes 17. Does the application include information on past and current measures 

taken to avoid insolvency? See section 5.01 of this revenue procedure.

18

Yes

18. Does the application include information regarding the plan factors 

described in § 432 (e)(9)(C)(ii), for the past 10 plan years immediately 

preceding the plan year in which the application is submitted? See 

section 5.02 of this revenue procedure.

18

Yes

19. Does the application describe how the plan sponsor took into account –

or did not take into account – the factors listed in section 5.02 of this 

revenue procedure in the determination that all reasonable measures 

were taken to avoid insolvency? See section 5.03 of this revenue 

procedure.

18

Yes 20. Does the application describe how the plan sponsor took into account –

or did not take into account – in the determination that all reasonable 

measures have been taken to avoid insolvency, the impact of:

18
• benefit and contribution levels on retaining active participants 

and bargaining groups under the plan, and

• past and anticipated contribution increases under the plan on 

employer attrition and retention levels?

See section 5.03 of this revenue procedure.

Yes 21. Does the application include a discussion of any other factors the plan 

sponsor took into account including how and why those factors were 

taken into account? See section 5.04 of this revenue procedure.

18

Yes

22. Does the application include a copy of the proposed ballot, excluding the 

information regarding the statement in opposition, the individualized 

estimated, and the voting procedures? See section 6.01 of this revenue 

procedure.

19 and 

Exhibit 6.01

Yes

23. Does the application indicate whether the plan sponsor is requesting 

approval from PBGC of a proposed partition under section 4233 of 

ERISA? See section 6.02 of this revenue procedure.

19

N/A

24. If the answer to item 23 is yes, does the application specify the effective 

date of the proposed partition and include a plan-year-by-plan-year 

projection of the amount of the reduction in benefit payments 

attributable to the partition? See section 6.02 of this revenue procedure.

Yes

25. Does the application include:

• a description of each of the assumptions used in the projections 

required under sections 3.01, 3.02, 4.02(1), 4.02(2), and 4.03 of 

this revenue procedure,

• supporting evidence for the selection of those assumptions, and 

• an explanation of any differences among the assumptions used 

for various purposes?

See section 6.03 and Appendix B of this revenue procedure.

19 and 

Exhibit 6.03

Yes

26. Does the application describe the plan’s experience with certain critical 

assumptions, including a disclosure for each of the 10 plan years 

immediately preceding the application that separately identifies:

• the total contributions,

• the total contribution base units,

• the average contribution rates,

• the withdrawal liability payments, and

• the rate of return of plan assets?

See section 6.04 of this revenue procedure.

19 and 

Exhibit 6.04

Yes

27. Does the application include deterministic projections of the sensitivity 

of the plan’s solvency ratio throughout the extended period by taking 

into account the more conservative assumptions of investment 

experience and future contribution base units than assumed elsewhere 

in the application? See section 6.05 of this revenue procedure.

20 and 

Exhibit 6.05
Yes

28. Does the plan include deterministic projections for each year in the 

extended period of:

• the value of plan assets,

• the plan’s accrued liability, and

• the plan’s funded percentage?

See section 6.06 of this revenue procedure.

20 and 

Exhibit 6.06

Yes

29. Does the application include the plan sponsor’s representation that, if it 

receives the Treasury Department’s final authorization to suspend and 

then chooses to implement the suspension, it will also amend the plan:

• to provide that the suspension will cease upon the plan 

sponsor’s failure to maintain a written record of its annual 

determination that (i) all reasonable measures continue to be 

taken to avoid insolvency and (ii) the plan would not be 

projected to avoid insolvency without a suspension,

• to require that any future benefit improvements must satisfy § 

432(e)(9)(E), and

• to specify that the plan sponsor will not modify these 

amendments, notwithstanding any other provision of the plan 

document?

See section 6.07 of this revenue procedure.

21

Yes 30. Does the application indicate whether the plan is a plan described in § 

432(e)(9)(D)(vii) and, if it is, how that is reflected in the proposed benefit 

suspension? See section 6.08 of this revenue procedure.

22

Yes

31. Does the application include a narrative statement of the reasons the 

plan is in critical and declining status? See section 6.09 of this revenue 

procedure.

22 and 

Exhibit 6.09

Yes 32. Does the application include the required plan sponsor identification and 

contact information? See section 7.01 of this revenue procedure.

23

Yes 33. Does the application include the required plan identification 

information? See section 7.02 of this revenue procedure.

23

Yes 34. Does the application include the required retiree representative 

information (if applicable)? See section 7.03 of this revenue procedure.

23

Yes 35. Does the application include the required enrolled actuary information? 

See section 7.04 of this revenue procedure.

23

Yes

36. Does the application include a designation of power of attorney for each 

authorized representative who will represent the plan sponsor in 

connection with the application? See section 7.05 and Appendix C of this 

revenue procedure.

24 and 

Exhibit 7.05

Yes

37. Does the application include:

• the required plan documents

• any recent amendments

• the summary plan description (SPD)

24 and 

Exhibit 7.06

I.B.E.W. Local Union No. 237 Pension Plan

Application for Approval of Suspension of Benefits

Under the Multiemployer Pension Reform Act of 2014

June 28, 2019
I.B.E.W. Local Union No. 237 Pension Plan

EIN/PN - 16-6094914/001

Table of Contents

Background and Purpose................................................................................................................................................................ 2

Application Procedures................................................................................................................................................................... 3

2.01 Plan Sponsor Submission ................................................................................................................................................... 3

2.02 Terms of Proposed Benefit Suspension .............................................................................................................................. 4

2.03 Penalties of perjury statement........................................................................................................................................... 5

2.04 Public disclosure statement............................................................................................................................................... 6

2.05 Submission of Application.................................................................................................................................................. 7

2.06 Signature ........................................................................................................................................................................... 7

2.07 Duty to Correct .................................................................................................................................................................. 7

2.08 Resubmission Review......................................................................................................................................................... 7

Demonstration the Plan is Eligible for Suspension.......................................................................................................................... 8

3.01 Plan actuary’s certification of critical and declining status................................................................................................ 8

3.02 Plan Actuary’s Certification that the Plan is projected to avoid Insolvency........................................................................ 8

3.03 Plan Sponsor’s Determination of Projected Insolvency ...................................................................................................... 8

Demonstration that the Plan’s Proposed Suspension Satisfies the Statutory Requirements ....................................................... 14

4.01 Demonstration that limitations on individual suspensions are satisfied .......................................................................... 14

4.02 Demonstration that the proposed suspension is reasonably estimated to enable the plan to avoid insolvency.............. 15

4.03 Demonstration that the proposed suspension is reasonably estimated to not materially exceed the level necessary to 

avoid insolvency. ...................................................................................................................................................................... 15

4.04 Demonstration that the proposed benefit suspension is distributed equitably................................................................ 16

4.05 Notice .............................................................................................................................................................................. 16

Plan Sponsor Determination Relating to Reasonable Measures Taken to Avoid Insolvency ........................................................ 18

5.01 Measures taken to avoid insolvency ................................................................................................................................ 18

5.02 Plan factors...................................................................................................................................................................... 18

5.03 How plan factors were taken into account...................................................................................................................... 18

5.04 Other factors considered ................................................................................................................................................. 18

Other Required Information......................................................................................................................................................... 19

6.01 Ballot ............................................................................................................................................................................... 19

6.02 Partition........................................................................................................................................................................... 19

6.03 Actuarial assumptions used for projections..................................................................................................................... 19

6.04 Ten-year experience for certain critical assumptions....................................................................................................... 19

6.05 Demonstration of sensitivity of projections ..................................................................................................................... 20

6.06 Projection of funded percentage ..................................................................................................................................... 20

6.07 Plan sponsor certifications relating to plan amendments................................................................................................ 21

6.08 Whether a plan is described in section 432(e)(9)(D)(vii) .................................................................................................. 22

6.09 Narrative statement........................................................................................................................................................ 22

Identification and Background Information on the Plan............................................................................................................... 23

7.01 Plan sponsor.................................................................................................................................................................... 23

7.02 Plan identification............................................................................................................................................................ 23

7.03 Retiree representative ..................................................................................................................................................... 23

7.04 Plan’s enrolled actuary .................................................................................................................................................... 23

7.05 Power of Attorney............................................................................................................................................................ 24

7.06 Plan documents............................................................................................................................................................... 24

7.07 Collective bargaining and side agreements..................................................................................................................... 24

7.08 Annual Return.................................................................................................................................................................. 24

7.09 Rehabilitation Plan .......................................................................................................................................................... 24

7.10 Valuation Reports............................................................................................................................................................ 24

7.11 Completed Checklist ........................................................................................................................................................ 24

Signature Page.............................................................................................................................................................................. 25
2

Background and Purpose

Pursuant to Internal Revenue Service Revenue Procedure 2017-43 and the Department of the Treasury’s 

Proposed and Temporary regulations issued under Section 432(e)(9) of the Internal Revenue Code of 

1986 (the “Code”) and published in the Federal Register on April 28, 2016 (collectively, the 

“Regulations”), the Board of Trustees of the I.B.E.W. Local Union No. 237 Pension Plan (the “Plan”) 

submits this application, and the accompanying Exhibits, to the Secretary of the Treasury for approval of 

suspension of benefits.

Section 432(e)(9)(G) of the Code provides that the Secretary of the Treasury shall approve an application 

for the approval of suspension of benefits upon finding that the plan is eligible for the benefits 

suspension and has satisfied the criteria set forth in subparagraphs (C), (D), (E), and (F) of Section 

432(e)(9) of the Code. As explained herein, the Plan is eligible to suspend benefits and has satisfied each 

of the enumerated criteria under the Regulations. Therefore, the Plan respectfully requests that the 

Secretary approve this application to suspend benefits.

4

Application Procedures (continued)

2.02 Terms of Proposed Benefit Suspension

(1) Effective Date

July 1, 2020

(2) Expiration Date

The terms of the proposed benefit suspension will remain in effect indefinitely and will not expire 

by its own terms.

(3) The proposed suspension provides for different treatment for service earned prior to 2009 

differently than service earned after 2008. Although the new benefit formula is being applied 

the same across all participants and beneficiaries, the impact on each individual will vary. The 

application of the individual limitations of § 432(e)(9)(D)(i), (ii), and (iii) (the “individual 

limitations”) will also impact individuals differently. Benefits will be determined as if the following 

formula has been in effect for all retirements, subject to the individual limitations as required:

For Plan Years from 1976 through 2008, Pension Service credits will be limited to a maximum 

of 1.4 credits in a year. This is the same as the service limit that exists currently for Plan Years 

from 2009 and later. So all Plan Years from 1976 and later will be treated with the same 

service limit.

The benefit multiplier for Pension Service credits earned up through 2008 will be limited to 

$71. This is a reduction from the current benefit level of $85 per Pension Service credit. 

Members who retired or had a break in service that resulted in a benefit multiplier of less than 

$71 will have their currently applicable multiplier remain in place.

The benefit multiplier for Pension Service credits earned in 2009 and later will be reduced to 

$76. This is a reduction from the current benefit level of $80 per service credit.

Participants who retired prior to the effective date of the suspension will have their benefit 

recalculated using the new service limit and benefit multipliers, and using the same early 

retirement and optional form conversion factors that were applicable at their retirement date. 

Participants who elected a Level Income Option will have their new pre-62 and post-62 

amounts determined based on the ratio of the benefits payable in the Plan’s normal form at 

retirement date using the before and after the application of the MPRA suspension.

All other plan provisions, including eligibility, early retirement adjustments, etc. will remain as 

in effect prior to the suspension of benefits.

(4) The proposed suspension provides for different treatment for service earned prior to 2009 

differently than service earned after 2008, but otherwise does not create separate groups of 

participants and beneficiaries (other than as a result of application of the individual limitations) to 

receive different benefits under the plan.


7

Application Procedures (continued)

2.05 Submission of Application

This application has been submitted to the Secretary via www.treasury.gov/mpra pursuant to the 

requirements of Rev. Proc. 2017-43.

2.06 Signature

The signatures required for this application have been submitted electronically in pdf format.

2.07 Duty to Correct

The Plan hereby acknowledges that if, after submission of the application for a suspension of benefits, 

any error in the application is discovered, the Trustees shall provide prompt notice to the Treasury 

Department.

2.08 Resubmission Review

This is the second application for the Plan and is being submitted following the first application being 

withdrawn in April 2019. This second application is not under the resubmission review process pursuant 

to § 1.432(e)(9)-1(g)(3).
8

Demonstration the Plan is Eligible for Suspension

3.01 Plan actuary’s certification of critical and declining status

Exhibit 3.01 contains the Actuary’s certification of critical and declining status for the Plan Year 

beginning January 1, 2019, the Plan Year in which the applications is submitted. 

The Exhibit also provides supporting information used in developing the January 1, 2019 certification, 

including a year-by-year projection of the available resources and benefit payments (by participant 

status), demonstrating that the plan is projected to become insolvent during the relevant period.

The certification and supporting information are based, in part, on the results of the January 1, 2018

actuarial valuation, included in Exhibit 7.10.

3.02 Plan Actuary’s Certification that the Plan is projected to avoid Insolvency

The attached Exhibit 3.02 is the Actuary’s certification to the plan sponsor that the plan is projected to 

avoid insolvency within the meaning of Code. Documentation supporting this certification is included in 

the Exhibit. This includes a plan-year-by-plan-year projection of the available resources and benefit 

payments over the extended period (30 years).

3.03 Plan Sponsor’s Determination of Projected Insolvency

The Trustees of the Plan have made a prudent determination under Code § 432(e)(9)(C)(ii), after 

consideration of all of the available information and possible plan changes, that the Plan is projected to 

become insolvent unless benefits are suspended as proposed in the application. The Trustees have 

determined this to be so even though they have taken all reasonable measures to avoid insolvency. The 

Trustees determination of projected insolvency includes consideration of all measures taken to avoid 

insolvency over the past 10 plan years or more, as discussed below.

On January 1, 2008, the Plan’s actuary certified the Plan’s funding status as endangered for the 2008

Plan Year. The Trustees adopted a Funding Improvement Plan with the aim of restoring the Fund’s longterm health. However, the market losses of 2008 made worse the funding issues, and in 2013 the Fund 

was first certified in critical status. The Trustees adopted a Rehabilitation Plan that exhausted all 

reasonable measures but was able to extend the projected solvency of the Fund.

In spite of additional efforts taken by the Trustees since the 2013 Rehabilitation Plan, the Plan has not 

recovered. The Trustees have been considering their options under MPRA ever since the law was 

passed in 2014. In 2017 following conversations with the Trustees, the Plan’s actuary reduced the 

investment return assumption from 7.50% to 7.00%, which shortened the period of projected solvency 

of the Fund. The Plan was first certified in critical and declining status in 2017. The Trustees have 

determined that the Plan cannot be projected to avoid insolvency if the proposed suspension of benefits 

is not applied to the Plan.
9

Demonstration the Plan is Eligible for Suspension (continued)

(1) For the 10 plan years immediately preceding the plan year in which the application is submitted:

Contribution levels.

Contribution rates have increased drastically over the last 10+ years. In 1999 the rate was 

$3.65 per hour. The rate was $4.00 in 2000 through 2002, and in 2003 some of the 

contribution going into the Defined Contribution Plan was reallocated to the Pension 

Plan, thereby increasing the rate to $6.50 per hour. During the period from 2000 to 2008 

the benefit multiplier was left unchanged at $85 per year of service, so all of the increases 

in the contribution rate were being made to help plan funding. 

Rates increased slowly through 2007, but from 2008 until now they have increased 

drastically, both on a voluntary basis and increases required as part of the Rehabilitation 

Plan dated December 3, 2013. The contribution rate, as of the time of this application, is 

now $13.25 per hour. Contribution rates over the last 10+ years are as follows:

Effective Date Contribution Rate

6/01/2006 $6.75

6/18/2007 6.95

6/02/2008 7.50

6/01/2009 8.30

5/31/2010 9.05

5/30/2011 9.55

7/30/2012 10.05

5/27/2013 10.55

5/26/2014 11.25

6/01/2015 11.75

5/30/2016 12.25

5/29/2017 12.75

5/28/2018 13.25

5/27/2019 13.25

The contribution rates of nearby IBEW Locals as well as some other Building Trades 

Unions are shown to provide illustration that the IBEW Local 237 Pension Fund is already 

strained in its ability to remain competitive on a contribution basis.

Nearby IBEW Local Contribution Rate

Buffalo IBEW L.U. 41 $9.55

Jamestown IBEW L.U. 106 7.59

Rochester IBEW L.U. 86 7.63

Syracuse IBEW L.U. 43 9.83
10

Demonstration the Plan is Eligible for Suspension (continued)

Nearby B&CT Local Contribution Rate*

Operating Engineers L.U. 463 $8.87

Steamfitters L.U. 22 11.15

Iron Workers L.U. 9 9.85

*Contribution rates as reported or estimated from information reported on 2017

Form 5500.

Levels of benefit accruals, including any prior reductions in the rate of benefit accruals.

The benefit multiplier was historically increased every couple years to coincide with the 

expenditure of excess plan funding. Changes were always made on a basis of retroactive 

application so long as the participant didn’t incur a break in service. Additionally, cost of 

living adjustments (COLAs) were granted on several occasions during the 1990’s. 

In 2000 the Board was again faced with the issue of excess plan funding that was creating 

a situation where employer contributions may not be tax deductible. This was not an 

uncommon situation at that time, and many plans rectified the situation by granting a 

benefit improvement that increased the tax deductible limitation. The IBEW Local 237 

Pension Plan did the same thing. Actuarial studies at the time showed that the benefit 

multiplier should be increased to at least $85, and potentially as high as $100 per year of 

service, and applied as in the past – with retroactive application. The Board of Trustees 

was reluctant to make such a drastic change (the multiplier at the time was $71 per year 

of service), but they agreed that maintaining the deductibility of contributions was 

necessary. While this was the right and necessary decision for the Board to have made at 

the time, the unexpected market losses of the following decade made the funding 

situation of the plan deteriorate fairly quickly.

As part of the Funding Improvement Plan adopted in 2008, the Board of Trustees limited 

the amount of service that can be accrued in a year and also reduced the benefit 

multiplier. 

Previously, the plan provided Pension Service by giving .001 of a year of service for every 

hour worked. There was no limit on the amount of Pension Service that could be earned 

in a plan year. Starting with 2009 the service accrual was changed to put in place a limit 

of 1.4 years of Pension Service to be earned in a plan year.

Additionally, in 2009 the plan reduced the benefit multiplier to $80 per year of service. It 

was previously $85 per year of service.
11

Demonstration the Plan is Eligible for Suspension (continued)

Prior reductions, if any, of adjustable benefits under section 432(e)(8).

The Rehabilitation Plan dated December 3, 2013 changed the early retirement reduction 

effective June 1, 2014. Prior to that date the reduction for early retirement was 3% per 

year reduced from age 60. In 2014 the reduction was increased to 6% per year from age 

55-58.

Additionally, in 2018 the plan was amended to completely eliminate any early retirement 

subsidy for participants who retire from terminated vested status. This status is 

determined by the number of aggregate hours worked in the 60 months prior to 

commencement of benefits.

Any prior suspension of benefits under section 432(e)(9).

None.

Measures undertaken by the plan sponsor to retain or attract contributing employers.

In order to attract contributing employers, IBEW Local 237 has added the full-time 

position of organizer. This has helped to turn a few non-union contractors into 

participating union employers. But the larger impact has been to organize a few 

electricians at a time from non-union contractors and initiating them into the union. They 

then remain at the contractor which, oftentimes, slowly causes the entire contractor to 

become a union contractor.

The national portability rules of the IBEW make it easy for a contractor located out of the 

jurisdiction to do work in Niagara Falls with members from another jurisdiction. The 

contributions are then reciprocated to the other local instead of remaining in the Plan to 

help restore funding. The Union has often staked out along the major roads leading into 

the jurisdiction keeping watch for trucks of those contractors. On a few occasions they 

have been able to catch one and work to make sure the portability rules aren’t abused. 

But the efforts to continue to patrol this are costly, making it implausible to continue on 

an ongoing basis.
12

Demonstration the Plan is Eligible for Suspension (continued)

(2) Plan Factors

In accordance with § 432(e)(9)(C)(ii), the following specific information with respect to the plan:

The impact on plan solvency of the subsidies and ancillary benefits, if any, available to active 

participants.

There are certain plan benefits and features that are extremely valuable. Of specific note is the 

unreduced early retirement benefit at age 60 with 20 years of service. If this and other plan 

benefits were reduced or eliminated as an “adjustable benefit” then the suspensions under 

MPRA may not need to be as drastic. However, the Trustees do not believe that eliminating or 

reducing those benefit features to be reasonable as it would have an adverse impact on the 

Industry. The contribution rate at its current level is already stretching both the Employer and 

the Member. Active participants expressed their overwhelming preference for a solution that 

would save the early retirement option, even at the cost of a lesser accrual rate and increased 

contribution rates. 

Compensation levels of active participants relative to employees in the participants’ industry 

generally.

Most IBEW pension plans in the nearby geography are fairly well funded so they are not strained 

for the increasing contribution rates. This helps to maintain a strong set of fringe benefits while 

providing for a nice level of take home pay. All maintain larger contributions in the Defined 

Contribution (DC) plan as well. 

Below is a chart showing, by Western NY Locals within the IBEW, the division of the total wage 

package between the fringes and the wage rate (gross take home pay).

IBEW 

Local 

Union Geography

Total 

Package 

per Hour

Pension 

Fund

Welfare 

Fund

Annuity 

Fund (DC)

Wage 

Rate 

Combined 

DC and 

Wage 

Rate

Local 41 Buffalo, NY $63.04 $9.55 $12.50 $5.35 $35.64 $40.99

Local 43 Syracuse, NY 62.82 9.83 10.99 3.25 38.75 42.00

Local 86 Rochester, NY 57.33 7.63 10.99 4.60 34.00 38.60

Local 106 Jamestown, NY 58.00 7.59 9.80 4.10 36.51 40.61

Local 237 Niagara Falls, NY 62.62 13.25 12.57 1.00 35.80 36.80

As can be seen, Local 237 has one of the highest total packages, but has the lowest total amount 

that is viewed as member discretionary (the combination of the take-home wage rate and the DC 

plan contribution).
13

Demonstration the Plan is Eligible for Suspension (continued)

Competitive and other economic factors facing contributing employers.

The impact of having a large, well-funded plan nearby has played a significant role in reducing 

the work performed by members of the Collective Bargaining Unit. This is, in large part, due to 

portability rules allowing Employers based in the jurisdiction of the nearby local to bring their 

employees in to the jurisdiction of IBEW Local 237. Reciprocity rules then require the 

contributions associated with that work to be sent back to the home local. Even without further 

increases to the contribution rate leading to market share changes for the Union workforce, the 

electrical industry as a whole has decreased in the Western New York area. The industry in 

Niagara Falls specifically has shrunk, reducing the level of work available to bring contributions 

into the Fund. Several plants have left the area, including Great Lakes Carbon, Bell Aerospace, 

and other carbon plants.

The non-union presence in Niagara Falls has kept the wage package from increasing too much. 

Increases needed in the Pension contribution have often, at least partially, come by way of a 

reduction in the take home pay for members. The number of non-union contractors has 

increased in recent years, putting even more pressure on the contractors to win work.

The climate in Niagara Falls makes working into late 50’s and 60’s extremely difficult to take 

physically. The work itself is physically demanding in nature, but when it’s April and there’s still 

three feet of snow on the ground, the rigors of a six month winter start to exhaust the body. The 

membership puts great value in the early retirement benefits under the plan and would not 

support reductions in that benefit feature. 
14

Demonstration that the Plan’s Proposed Suspension Satisfies the Statutory Requirements

4.01 Demonstration that limitations on individual suspensions are satisfied

See Exhibit 4.01 for a demonstration of how the proposed suspension satisfies the limitations described

in § 432 (e)(9)(D)(i), (ii), and (iii). Separate benefit demonstrations supporting the proposed benefits 

suspensions satisfies the individual limitations set forth in Rev. Proc. 2017-43 Section 4.01.

The following is a summary of the individual demonstrations included to show that the limitations set 

forth in section 4.01 are properly satisfied.

• Example 1 – Disability based limitation, currently in payment

• Example 2 – Disability based limitation, contingent beneficiary

• Example 3 – Disability based limitation, future disabled retiree

• Example 4 – 110% of PBGC limitation, currently in payment

• Example 5 – 110% of PBGC limitation, contingent beneficiary

• Example 6 – 110% of PBGC limitation, future retiree

• Example 7 – Age-based limitation, currently in payment

• Example 8 – Age-based limitation, contingent beneficiary

The proposed suspension does not affect any participant or beneficiary that is at least 80 as of the 

effective date.

In determining the extent to which any participant’s benefit will be reduced pursuant to the Plan’s 

suspension of benefits, no participant’s monthly guaranteed benefit, calculated under § 4022A of ERISA, 

is reduced on account of any of the following limitations or exclusions: (1) the § 4022A exclusion of 

certain forfeitable benefits; (2) the § 4022(b)(1)(A) exclusion of certain benefits and benefit increases in 

effect for less than 60 months; (3) the limitations contained in the § 4022A(c)(2) definition of the accrual 

rated used for calculating the monthly guaranteed benefit, so that the accrual rate is based on a benefit 

that is no greater than the monthly benefit payable under the plan at normal retirement age in the form 

of a single life annuity and is calculated without regard to any reduction under § 411(a)(3)(E) of the 

Code, divided by years of credited service (limiting credited service to 1 year for any year of 

participation); (4) the § 4022A(d) limitation that the guaranteed benefit will not exceed the benefit 

calculated under the plan as reduced under § 411(a)(3)(E) of the Code; and (5) the § 4022A(e) exclusion, 

pursuant to § 4022(b)(6), of benefits that would not be guaranteed if paid under a single-employer plan.

(1) The proposed suspension does not affect any participant or beneficiary in the Plan that was 

awarded, or will be awarded, a disability pension.
15

Demonstration that the Plan’s Proposed Suspension Satisfies the Statutory Requirements (continued)

4.02 Demonstration that the proposed suspension is reasonably estimated to enable the plan to avoid 

insolvency

See Exhibit 4.02 for a demonstration that, in accordance with § 432(e)(9)(D)(iv), the proposed benefit 

suspension is reasonably estimated to enable the Plan to avoid insolvency. It contains a year-by-year 

projection of the Plan’s solvency ratio and available resources during the projection period.

The demonstration is shown on a deterministic basis, and shows that:

(a) For each plan year during the extended period of 30 years, the Plan’s solvency ratio (the ratio of 

the Plan’s available resources to the scheduled benefit payments under the Plan), is projected to 

be at least 1.0.

(b) Since the Plan’s projected funded percentage at the end of the 30 year extended period is less 

than 100%, neither the Plan’s solvency ratio nor its available resources are projected to decrease 

in any of the last five plan years of the extended period.

Since the Plan is not a plan described in § 432(e)(9)(B)(v)(l) so it is not required to use stochastic 

projections in demonstrating that it is reasonably expected to avoid insolvency.

Information on the actuarial assumptions used for the illustrations is included in Exhibit 6.03.

4.03 Demonstration that the proposed suspension is reasonably estimated to not materially exceed the 

level necessary to avoid insolvency.

See Exhibit 4.03 for a demonstration that, in accordance with § 432(e)(9)(D)(iv), the proposed benefit 

suspension is reasonably estimated to not materially exceed the level necessary to enable the Plan to

avoid insolvency. This illustration shows that the plan would not reasonably avoid suspension if the 

dollar amount of the proposed suspension were reduced, not below zero, by the greater of (1) 5% of the 

reduction in the period payment proposed for that participant, or (2) 2% of the period payment 

determined without regard to the proposed suspension.

For this purpose, years are shown beyond the 30 year extended period so that the projection of 

insolvency can be illustrated.

Information on the actuarial assumptions used for the illustration is included in Exhibit 6.03.
16

Demonstration that the Plan’s Proposed Suspension Satisfies the Statutory Requirements (continued)

4.04 Demonstration that the proposed benefit suspension is distributed equitably.

Exhibit 4.04 provides a demonstration that, in accordance with § 432(e)(9)(D)(vi), the proposed benefit 

suspension is distributed in an equitable manner across the participant and beneficiary population. The 

Exhibit contains illustrations that provide the following:

(1) For the plan in aggregate,

(a) The number of participants, beneficiaries, and alternate payees; the average monthly 

benefit before the suspension; the average monthly benefit after the suspension and 

taking into account the individual limitations; and the aggregate present value of the 

reduction in benefits for all individuals.

(b) A demonstration of the distribution of the benefit suspension. This demonstration is 

illustrated through a count of individuals whose benefits are reduced by a percentage 

that falls within a series of ranges of 10%.

(2) The proposed suspension provides for different treatment for service earned prior to 2009 

differently than service earned after 2008. 

(a) Exhibit 4.04 contains the information above in (1)(a) of this section 4.04.

(b) Factors that were considered in designing the proposed suspension are the following:

• Amount of benefit – Since service in plan years after 2008 has been limited to a 

maximum of 1.4 years, current members have borne the majority of efforts to 

date aimed at restoring plan funding. The benefit multiplier has been lower since 

2009 also. Applying changes that impacted those with higher benefit amounts 

was not the specific effort, but instead the Board of Trustees desired to create a 

final plan design that was more equitable reflecting the plan provisions in place for 

plan years 2009 and later.

• Current and past contribution levels – As is described in Section 3.02, the 

contribution rate has increased significantly over the recent past.

• The extent to which active participants are reasonably likely to withdraw support 

for the plan, accelerating employer withdrawals from the plan and increasing the 

risk of additional benefit reductions for participants in and out of pay status – the 

multiplier is cut more significantly for service earned prior to 2009 than it is for 

service earned after 2008 and for future accruals. This is done to ensure that the 

plan is able to retain participation and attract new participants as older active 

participants retire.
17

Demonstration that the Plan’s Proposed Suspension Satisfies the Statutory Requirements (continued)

(c) Several of the factors listed in (b) above are listed in § 432(e)(9)(D)(vi)(I) through (XI).

(d) All factors identified in (b) above are listed in § 432(e)(9)(D)(vi)(I) through (XI).

(e) The relevant factors considered reflect the Trustees desire to make the final plan design 

have all participants bear a portion of the responsibility of restoring plan health. The 

differences in treatment under the proposed suspension among the categories is not an 

effort to target a specific group of individuals, but instead to a plan design that has shared 

the burden of solving the Plan’s funding issues among all groups. 

4.05 Notice

To satisfy the notice requirements of § 432(e)(9)(F) of the Code, the following information is included:

(1) Individual Notices

See Exhibit 4.05a for each type of notice that will be given to each participant and beneficiary 

under the Plan; to each employer that has an obligation to contribute to the Plan, and to each 

employee organization representing participants in the Plan.

(2) Description of the Efforts Made to Contact Participants, Beneficiaries, and Alternate Payees

The Board of Trustees believes that it has up-to-date address information for all of the 

participants and beneficiaries. Should any of the mailed notices be return as undeliverable, the 

Trustees will use the Plan’s missing participant procedures to attempt to locate those missing. 

These procedures include contacting the Local Union as well as members who may know of their 

whereabouts. Should that provide no help in locating the individual, a third party company such 

as PBI or The Berwyn Group will be hired to provide assistance. Once an individual who was 

previously missing is located, notices will be mailed within five days of location.

(3) Notices will not be delivered electronically.

(4) A list of:

a) See Exhibit 4.05b for a list of contributing employers that have to contribute to the Plan.

b) The only employee organization representing participants under the Plan is the 

International Brotherhood of Electrical Workers, Local No. 237.
18

Plan Sponsor Determination Relating to Reasonable Measures Taken to Avoid Insolvency

5.01 Measures taken to avoid insolvency

See information provided in Section 3.03 as well as the Narrative Statement.

5.02 Plan factors

See information provided in Section 3.03 as well as the Narrative Statement.

5.03 How plan factors were taken into account

See information provided in Section 3.03 as well as the Narrative Statement.

5.04 Other factors considered

See information provided in Section 3.03 as well as the Narrative Statement.
19

Other Required Information

The application must also include the following information:

6.01 Ballot

See Exhibit 6.01 for a proposed ballot that is intended to satisfy the requirements of § 432(e)(9)(H)(iii). 

The ballot does not include the statement in opposition to the proposed benefit suspension described in 

§ 432(e)(9)(H)(iii)(II), the individualized estimate that was provided as part of the notice described in 

§ 432(e)(9)(F), or the voting procedures as described in 1.432(e)(9)-1(h)(3)(i)(M)).

6.02 Partition

The Plan is not requesting approval for a partition.

6.03 Actuarial assumptions used for projections

See Exhibit 6.03 for a description of each of the assumptions used in the projections required under 

sections 3.01, 3.02, 4.02(1), 4.02(2), and 4.03 of Revenue Procedure 2017-43. Supporting evidence for 

the selection of the assumptions are included within Exhibit 6.03.

The assumptions detailed in Exhibit 6.03 were used for all projections required under Revenue 

Procedure 2017-43. The only items included within the MPRA Suspension Application that utilized 

actuarial assumptions that differ from those described in the aforementioned Exhibit are (1) the details 

of the actuarial certification of critical and declining status under Section 3.01 of this Application, (2) the 

actuarial calculations included in the Form 5500s requested under Section 7.08, and (3) the Actuarial 

Valuation Reports requested under Section 7.10. In these situations, the actuarial assumption used for 

the measurements are included in the respective Exhibits for those Sections.

6.04 Ten-year experience for certain critical assumptions

See Exhibit 6.04 for details of the Plan’s experience with respect to certain critical assumptions for each 

of the 10 plan years immediately preceding the plan year in which the application is submitted. Census 

information is only available through January 1, 2018 so the 10 plan years preceding the 2018 plan year 

are provided. The exhibit separately identifies 1) total contributions, 2) total contribution base units, 3) 

average contribution rates, 4) withdrawal liability payments, and 5) rate of return on plan assets.
20

Other Required Information (continued)

6.05 Demonstration of sensitivity of projections

See Exhibit 6.05 for a presentation of the sensitivity of projections to the plan’s solvency ratio based 

upon certain key assumptions. The Exhibit contains the following presentations:

(1) Illustration #1 - projection of the Plan’s solvency ratio using a 1.0% lower assumed rate of return

(2) Illustration #2 - projection the Plan’s solvency ratio using a 2.0% lower assumed rate of return

(3) Illustration #3 - projection of the Plan’s solvency ratio assuming that future contribution base 

units increase at 0.73% per year. This is the average annual decrease experienced over the 10 

plan years preceding the 2019 plan year

(4) Illustration #4 – projection of the Plan’s solvency ratio assuming that future contribution base units 

decrease at 0.27% per year. This is the average annual increase experienced over the 10 plan years 

preceding the 2019 plan year reduced by 1 percentage point

6.06 Projection of funded percentage

See Exhibit 6.06 which projects the accrued liability of the plan using the unit credit funding method, 

assets, and funded percentage for each year in the extended period. 

22

Other Required Information (continued)

6.08 Whether a plan is described in section 432(e)(9)(D)(vii)

The Plan is not a plan described in § 432(e)(9)(D)(vii)(III).

6.09 Narrative statement

See Exhibit 6.09 for the required Narrative Statement.
23

Identification and Background Information on the Plan

The application must include the following identification and background information:

7.01 Plan sponsor

Name, contact information (for example, address, telephone number, email address, and fax number) 

and employer identification number (EIN) of the plan sponsor.

Name of Plan Sponsor: I.B.E.W. Local 237 Pension Plan Board of Trustees

Telephone Number: (716) 297-3899

Address: 8803 Niagara Falls Blvd.

Niagara Falls, NY 14304

Employer Identification Number: 16-6094914

7.02 Plan identification

Plan Name: I.B.E.W. Local 237 Pension Plan

Employer Identification Number: same as plan sponsor

Plan Number: 001

The Plan is a multiemployer pension plan within the meaning of Code Section 414(f) and ERISA Section 

3(37).

7.03 Retiree representative

The Plan is not required to appoint a Retiree Representative under the Regulations as it is not a plan 

with 10,000 or more participants.

7.04 Plan’s enrolled actuary

Bradford L. Rigby, ASA, EA, MAAA

17-07217

Cowden Associates, Inc.

444 Liberty Avenue, Suite 605

Pittsburgh, PA 15222

(412) 394-9330
24

Identification and Background Information on the Plan (continued)

7.05 Power of Attorney

See Exhibit 7.05. The Plan’s representatives are attorney Mark L. Stulmaker of Lipsitz Green Scime 

Cambria LLP, and Bradford L. Rigby, ASA, EA, MAAA, of Cowden Associates, Inc.

7.06 Plan documents

See Exhibit 7.06 for the Fund’s most recently restated Plan Document, including all amendments, the 

most recent Summary Plan Description as defined under § 102 of ERISA and any subsequent Summaries 

of Material Modifications (SMMs), and the Plan’s most recent Determination Letter.

7.07 Collective bargaining and side agreements

See Exhibit 7.07 for excerpts from the Collective Bargaining Agreements and side agreements pursuant 

to which the Plan is maintained.

7.08 Annual Return

See Exhibit 7.08 for the following sections of Plan’s most recently filed Form 5500: (1) pages 1 and 2 of 

the Form 5500, (2) the Schedule MB, including attachments, and (3) the Schedule R with attachments.

7.09 Rehabilitation Plan

See Exhibit 7.09 for a copy of the Plan’s most recently updated Rehabilitation Plan.

7.10 Valuation Reports

See Exhibit 7.10 for the January 1, 2018 and January 1, 2017 actuarial valuation reports for the Plan.

7.11 Completed Checklist

See Exhibit 7.11 for the completed checklist of information required to be included in the Plan’s 

application.


6

Zone Status Determination

The following questions work to determine the status of the Fund for the current plan year by reviewing 

the criteria necessary for each zone.

Y or N

Critical Status – Red zone if any of a), b), c), or d) apply

a) Is the Plan’s Funded Percentage less than 65% and the Plan’s fair market value of 

assets plus present value of expected employer contributions for the current and 

following 6 plan years less than the present value of all nonforfeitable benefits and 

administrative expenses projected to be payable under the plan during the current 

and following 6 plan years? N

b) Does the plan have an accumulated funding deficiency (negative credit balance) in 

any of the current or following 3 plan years (4 plan years if the Funded Percentage is 

65% or less), without reflecting amortization extensions? Y

c) Each of the following are applicable.

i) The Plan’s normal cost plus interest on unfunded liability exceeds the present 

value of anticipated employer and employee contributions for the year. Y

ii) The present value of nonforfeitable benefits of inactive participants is greater 

than the present value of nonforfeitable benefits for active participants. Y

iii) The plan has an accumulated funding deficiency (negative credit balance) in 

any of the current or following 4 plan years, without reflecting amortization 

extensions. Y

Do all apply? Y

d) Is the Plan’s fair market value of assets plus present value of expected employer 

contributions for the current and following 4 plan years less than the present value 

of all nonforfeitable benefits and administrative expenses projected to be payable 

under the plan during the current and following 4 plan years? N

Critical and Declining Status – both a) and b) apply

a) Does the Plan meet the criteria above for Critical Status? Y

b) Is the Plan projected to become insolvent within the current or following 14 plan 

years (19 plan years if the ratio of inactive to active participants is at least 2:1 or if 

the plan is less than 80% funded)? Y

Endangered Status – Yellow zone if a) does not apply and either b) or c) apply. Orange zone 

if not a) and both b) and c) apply.

a) Is the Plan in either Critical or Critical and Declining Status? Y

b) Is the Plan’s Funded Percentage less than 80%? Y

c) Is the Plan projected to have an accumulated funding deficiency (negative credit 

balance) in any of the current or following 6 plan years (reflecting any amortization 

extensions)? Y

Conclusion Critical and Declining Status
10

Actuarial Methods and Assumptions

As of January 1, 2019

Interest Rates Current Year Prior Year

Minimum/Maximum Funding 7.00% 7.00%

Present Value of Accrued Benefits 7.00% 7.00%

Mortality Healthy: RP-2014 Combined Healthy Blue Collar Headcount Weighted Mortality 

Table, with fully generational projection using scale MP-2017

Disabled: RP-2014 Disabled Retiree Headcount Weighted Mortality Table, with 

fully generational projection using scale MP-2017

Turnover Age Rate Age Rate

<25 4.35% 40-44 3.68%

25-29 3.73% 45-49 4.42%

30-34 5.31% 50-54 3.86%

35-39 4.71% 55+ 100%

Retirement Based on age and service as follows:

If Active If Terminated

Age

Service

< 5

Service

>= 5

Service

< 5

Service

>= 5

55 - 0.15 - 0.25

56 - 0.10 - -

57 - 0.10 - -

58 - 0.05 - -

59 - 0.40 - -

60 - 0.25 - 0.50

61 - 0.30 - -

62 - 0.75 - 0.25

63 - 1.00 - -

64 - 1.00 - -

65 1.00 1.00 1.00 1.00
11

Actuarial Methods and Assumptions (continued)

Disability 1973 Disability Model, Transactions of Society of Actuaries, XXVI. Sample rates are 

as follows:

Age Rate

25 0.0008

35 0.0012

45 0.0032

55 0.0122

Expenses Administrative expenses, expressed as of the beginning of the year, are assumed to 

be prior year non-investment related expenses, and increasing by 2.5% for inflation 

each year thereafter. It is also expected that an additional $100,000 will be 

incurred in 2019 related to the MPRA Application.

Percent 

Married

80% of the participants are assumed to be married with the female spouse three 

years younger than the male spouse.

Asset Valuation Plan assets are carried at market value with a 5 year averaging of the difference 

between actual and expected investment performance. The Actuarial Value of 

Assets is subject to limits of 80% and 120% of Market Value.

Funding 

Method

Unit Credit. The unit credit actuarial cost method develops normal cost and 

actuarial accrued liability separately for each individual in the plan. The normal 

cost is the present value of the individual’s benefits expected to be earned in the 

current year. The individual’s actuarial accrued liability is the present value of the 

individual’s benefits earned in previous years.

Incomplete 

Data

None.

Benefit Accrual 

Rate

Pension credits and expected contributions were projected on the assumption that 

all active participants would work annual hours equal to the average of the prior 

three years, with contribution rates set forth in the current collective bargaining 

agreement(s).
Actuarial Methods and Assumptions (continued)

Calculation of 

Actuarial 

Present Value 

of Accrued Plan 

Benefits

The actuarial present value of accrued benefits has been calculated as of the 

valuation date, based upon the Plan specifications then in effect and upon each 

participant’s age and service as of that date. These calculations consider the same 

actuarial assumptions as were used in the actuarial valuation.

Projected

Industry

Activity

For the purpose of the credit balance projection, future covered employment for

2019 and beyond has been estimated to be 262,000 total hours per year. This

assumption has been set with input from the Board of Trustees.
I.B.E.W. Local Union No. 237 Pension Plan

Exhibit 3.01

Supporting Information for Critical and Declining Status

Plan 

Year

Assumed 

Return MVA @ BOY Contributions

Withdrawal 

Liability 

Payments

Benefit 

Payments

Administrative 

Expenses

Investment 

Return MVA @ EOY

Available 

Resources

Solvency 

Ratio

2018 -3.54% $ 19,322,588 $ 3,399,082 $ 0 $ 4,686,703 $ 393,702 $ (647,755) $ 16,993,510 $21,680,212 4.63 

2019 7.00% 16,993,510 3,471,500 0 5,291,022 252,500 1,101,593 16,023,081 21,314,103 4.03 

2020 7.00% 16,023,081 3,479,142 0 5,445,686 155,063 1,031,476 14,932,950 20,378,636 3.74 

2021 7.00% 14,932,950 3,522,808 0 5,546,378 107,689 954,536 13,756,227 19,302,605 3.48 

2022 7.00% 13,756,227 3,588,308 0 5,666,064 110,381 869,825 12,437,915 18,103,979 3.20 

2023 7.00% 12,437,915 3,653,808 0 5,904,143 113,141 770,712 10,845,152 16,749,295 2.84 

2024 7.00% 10,845,152 3,719,308 0 5,980,081 115,969 658,533 9,126,943 15,107,024 2.53 

2025 7.00% 9,126,943 3,784,808 0 6,106,601 118,869 535,652 7,221,933 13,328,534 2.18 

2026 7.00% 7,221,933 3,850,308 0 6,156,051 121,840 402,615 5,196,966 11,353,017 1.84 

2027 7.00% 5,196,966 3,915,808 0 6,128,654 124,886 264,092 3,123,326 9,251,980 1.51 

2028 7.00% 3,123,326 3,943,100 0 6,170,929 128,008 118,180 885,668 7,056,597 1.14 

2029 7.00% 885,668 3,943,100 0 6,211,326 131,209 (40,100) (1,553,867) 4,657,459 0.75 

2030 7.00% (1,553,867) 3,943,100 0 6,255,313 134,489 (212,650) (4,213,218) 2,042,095 0.33 

2031 7.00% (4,213,218) 3,943,100 0 6,208,897 137,851 (397,162) (7,014,029) (805,132) (0.13)

2032 7.00% (7,014,029) 3,943,100 0 6,224,256 141,297 (593,922) (10,030,404) (3,806,148) (0.61)

2033 7.00% (10,030,404) 3,943,100 0 6,206,146 144,830 (804,505) (13,242,785) (7,036,639) (1.13)

2034 7.00% (13,242,785) 3,943,100 0 6,108,367 148,451 (1,025,791) (16,582,293) (10,473,926) (1.71)

2035 7.00% (16,582,293) 3,943,100 0 5,994,057 152,162 (1,255,352) (20,040,764) (14,046,707) (2.34)

2036 7.00% (20,040,764) 3,943,100 0 5,908,031 155,966 (1,494,317) (23,655,978) (17,747,947) (3.00)

2037 7.00% (23,655,978) 3,943,100 0 5,889,723 159,865 (1,746,824) (27,509,290) (21,619,567) (3.67)

2038 7.00% (27,509,290) 3,943,100 0 5,786,765 163,862 (2,012,792) (31,529,609) (25,742,844) (4.45)

2039 7.00% (31,529,609) 3,943,100 0 5,718,523 167,958 (2,291,770) (35,764,760) (30,046,237) (5.25)

2040 7.00% (35,764,760) 3,943,100 0 5,651,300 172,157 (2,585,829) (40,230,946) (34,579,646) (6.12)

2041 7.00% (40,230,946) 3,943,100 0 5,589,522 176,461 (2,896,270) (44,950,099) (39,360,577) (7.04)

2042 7.00% (44,950,099) 3,943,100 0 5,494,969 180,873 (3,223,180) (49,906,021) (44,411,052) (8.08)

2043 7.00% (49,906,021) 3,943,100 0 5,471,245 185,394 (3,569,353) (55,188,913) (49,717,668) (9.09)

2044 7.00% (55,188,913) 3,943,100 0 5,403,150 190,029 (3,936,736) (60,775,728) (55,372,578) (10.25)

2045 7.00% (60,775,728) 3,943,100 0 5,364,757 194,780 (4,326,523) (66,718,688) (61,353,931) (11.44)

2046 7.00% (66,718,688) 3,943,100 0 5,355,257 199,650 (4,742,341) (73,072,836) (67,717,579) (12.65)

2047 7.00% (73,072,836) 3,943,100 0 5,377,762 204,641 (5,188,159) (79,900,298) (74,522,536) (13.86)

2048 7.00% (79,900,298) 3,943,100 0 5,438,679 209,757 (5,668,570) (87,274,203) (81,835,524) (15.05)
I.B.E.W. Local Union No. 237 Pension Plan

Exhibit 3.01

Supporting Information for Critical and Declining Status - Expected Benefit Payment Detail

Plan Year

Current 

Retirees/Beneficiaries

Current Terminated 

Vested Current Active

Future New 

Entrants Total

2019 $ 4,732,783 $ 165,282 $ 392,631 $ 326 $ 5,291,022 

2020 4,608,966 203,980 632,169 571 5,445,686 

2021 4,476,649 227,868 840,732 1,129 5,546,378 

2022 4,336,927 256,886 1,070,410 1,841 5,666,064 

2023 4,190,877 430,091 1,280,455 2,720 5,904,143 

2024 4,039,504 473,466 1,464,507 2,604 5,980,081 

2025 3,883,723 580,667 1,639,795 2,416 6,106,601 

2026 3,724,344 628,688 1,800,262 2,757 6,156,051 

2027 3,562,103 629,138 1,933,302 4,111 6,128,654 

2028 3,397,730 671,770 2,095,018 6,411 6,170,929 

2029 3,231,923 669,192 2,300,619 9,592 6,211,326 

2030 3,065,355 714,897 2,460,748 14,313 6,255,313 

2031 2,898,668 712,259 2,576,447 21,523 6,208,897 

2032 2,732,461 747,282 2,713,827 30,686 6,224,256 

2033 2,567,285 755,546 2,841,965 41,350 6,206,146 

2034 2,403,662 750,012 2,900,938 53,755 6,108,367 

2035 2,242,138 734,447 2,950,416 67,056 5,994,057 

2036 2,083,300 725,375 3,017,212 82,144 5,908,031 

2037 1,927,770 742,081 3,119,696 100,176 5,889,723 

2038 1,776,209 742,218 3,147,379 120,959 5,786,765 

2039 1,629,232 736,671 3,208,769 143,851 5,718,523 

2040 1,487,367 732,074 3,260,503 171,356 5,651,300 

2041 1,351,070 710,059 3,308,775 219,618 5,589,522 

2042 1,220,749 687,028 3,304,169 283,023 5,494,969 

2043 1,096,708 662,977 3,357,217 354,343 5,471,245 

2044 979,185 637,925 3,352,990 433,050 5,403,150 

2045 868,423 620,152 3,350,092 526,090 5,364,757 

2046 764,683 593,146 3,309,189 688,239 5,355,257 

2047 668,253 565,302 3,280,899 863,308 5,377,762 

2048 579,379 536,721 3,279,550 1,043,029 5,438,679 

Page 2 of 3

I.B.E.W. Local Union No. 237 Pension Plan

Exhibit 3.02

Supporting Information for Certification of Projection to Avoid Insolvency Reflecting Proposed Suspension

Plan Year

Assumed 

Return MVA @ BOY Contributions

Withdrawal 

Liability 

Payments

Benefit 

Payments

Administrative 

Expenses

Investment 

Return MVA @ EOY

Available 

Resources

Solvency 

Ratio

2019 6.83% $ 16,993,510 $ 3,471,500 $ 0 $ 5,128,071 $ 252,500 $ 1,081,532 $ 16,165,971 $ 21,294,042 4.15

2020 5.90% 16,165,971 3,509,708 0 4,776,882 155,063 900,093 15,643,828 20,420,710 4.27

2021 5.90% 15,643,828 3,537,000 0 4,347,038 107,689 885,226 15,611,327 19,958,365 4.59

2022 5.90% 15,611,327 3,537,000 0 4,435,394 110,381 880,406 15,482,958 19,918,352 4.49

2023 5.90% 15,482,958 3,537,000 0 4,498,689 113,141 870,728 15,278,856 19,777,545 4.40

2024 5.90% 15,278,856 3,537,000 0 4,544,494 115,969 857,139 15,012,532 19,557,026 4.30

2025 5.90% 15,012,532 3,537,000 0 4,580,116 118,869 840,201 14,690,748 19,270,864 4.21

2026 5.90% 14,690,748 3,537,000 0 4,599,740 121,840 820,501 14,326,669 18,926,409 4.11

2027 5.90% 14,326,669 3,537,000 0 4,584,834 124,886 799,407 13,953,355 18,538,189 4.04

2028 5.90% 13,953,355 3,537,000 0 4,609,257 128,008 776,509 13,529,599 18,138,856 3.94

2029 7.12% 13,529,599 3,537,000 0 4,636,419 131,209 905,742 13,204,713 17,841,132 3.85

2030 7.12% 13,204,713 3,537,000 0 4,644,157 134,489 882,195 12,845,262 17,489,419 3.77

2031 7.12% 12,845,262 3,537,000 0 4,616,971 137,851 857,531 12,484,971 17,101,942 3.70

2032 7.12% 12,484,971 3,537,000 0 4,596,296 141,297 832,553 12,116,931 16,713,227 3.64

2033 7.12% 12,116,931 3,537,000 0 4,572,033 144,830 807,159 11,744,227 16,316,260 3.57

2034 7.12% 11,744,227 3,537,000 0 4,498,050 148,451 783,347 11,418,074 15,916,124 3.54

2035 7.12% 11,418,074 3,537,000 0 4,429,759 152,162 762,626 11,135,779 15,565,538 3.51

2036 7.12% 11,135,779 3,537,000 0 4,364,940 155,966 744,891 10,896,764 15,261,704 3.50

2037 7.12% 10,896,764 3,537,000 0 4,327,220 159,865 729,189 10,675,868 15,003,088 3.47

2038 7.12% 10,675,868 3,537,000 0 4,251,808 163,862 716,228 10,513,426 14,765,234 3.47

2039 7.12% 10,513,426 3,537,000 0 4,194,371 167,958 706,731 10,394,828 14,589,199 3.48

2040 7.12% 10,394,828 3,537,000 0 4,134,562 172,157 700,444 10,325,553 14,460,115 3.50

2041 7.12% 10,325,553 3,537,000 0 4,074,309 176,461 697,682 10,309,465 14,383,774 3.53

2042 7.12% 10,309,465 3,537,000 0 4,015,202 180,873 698,659 10,349,049 14,364,251 3.58

2043 7.12% 10,349,049 3,537,000 0 3,974,173 185,394 702,899 10,429,381 14,403,554 3.62

2044 7.12% 10,429,381 3,537,000 0 3,920,909 190,029 710,508 10,565,950 14,486,859 3.69

2045 7.12% 10,565,950 3,537,000 0 3,878,001 194,780 721,717 10,751,886 14,629,887 3.77

2046 7.12% 10,751,886 3,537,000 0 3,848,799 199,650 735,909 10,976,347 14,825,146 3.85

2047 7.12% 10,976,347 3,537,000 0 3,813,391 204,641 753,078 11,248,393 15,061,784 3.95

2048 7.12% 11,248,393 3,537,000 0 3,821,259 209,757 771,962 11,526,339 15,347,598 4.02

2049 7.12% 11,526,339 3,537,000 0 3,808,591 215,001 792,054 11,831,802 15,640,393 4.11

2050 7.12% 11,831,802 3,537,000 0 3,815,918 220,376 813,329 12,145,837 15,961,755 4.18
Page 3 of 3

I.B.E.W. Local Union No. 237 Pension Plan

Exhibit 3.02

Expected Benefit Payment Detail Reflecting Proposed Benefit Suspension

Plan Year

Current 

Retirees/Beneficiaries

Current Terminated 

Vested Current Active

Future New 

Entrants Total

2019 4,687,737 $ 86,482 $ 353,852 $ 0 $ 5,128,071 

2020 4,149,609 112,165 515,109 0 4,776,882 

2021 3,610,658 123,241 613,139 0 4,347,038 

2022 3,486,149 170,039 779,206 0 4,435,394 

2023 3,356,280 208,969 933,440 0 4,498,689 

2024 3,222,143 252,061 1,070,155 135 4,544,494 

2025 3,084,728 292,425 1,202,775 188 4,580,116 

2026 2,944,913 330,227 1,324,168 432 4,599,740 

2027 2,803,495 352,683 1,427,412 1,244 4,584,834 

2028 2,661,243 395,849 1,549,532 2,633 4,609,257 

2029 2,518,885 413,137 1,699,958 4,439 4,636,419 

2030 2,377,110 441,751 1,818,155 7,141 4,644,157 

2031 2,236,558 457,675 1,911,663 11,075 4,616,971 

2032 2,097,792 463,993 2,018,553 15,958 4,596,296 

2033 1,961,305 480,201 2,108,860 21,667 4,572,033 

2034 1,827,528 482,073 2,160,043 28,406 4,498,050 

2035 1,696,872 490,404 2,206,930 35,553 4,429,759 

2036 1,569,748 486,456 2,264,960 43,776 4,364,940 

2037 1,446,558 490,371 2,336,500 53,791 4,327,220 

2038 1,327,701 490,054 2,368,761 65,292 4,251,808 

2039 1,213,516 486,361 2,416,616 77,878 4,194,371 

2040 1,104,261 480,990 2,456,242 93,069 4,134,562 

2041 1,000,125 474,559 2,484,385 115,240 4,074,309 

2042 901,265 468,326 2,501,290 144,321 4,015,202 

2043 807,778 459,104 2,528,596 178,695 3,974,173 

2044 719,724 447,886 2,535,490 217,809 3,920,909 

2045 637,171 437,334 2,538,313 265,183 3,878,001 

2046 560,207 422,902 2,537,225 328,465 3,848,799 

2047 488,955 407,039 2,516,621 400,776 3,813,391 

2048 423,507 390,479 2,527,592 479,681 3,821,259 

2049 363,872 373,010 2,506,290 565,419 3,808,591 

2050 309,981 356,540 2,494,204 655,193 3,815,918 
Page 1 of 8

I.B.E.W. Local Union No. 237 Pension Plan

Exhibit 4.01

Demonstration that limitations on individual suspensions are satisfied

Example #1 – Disability-based limitation – participant currently receiving benefits

Participant Information

1) Date of Birth 8/19/1957

2) Age at end of month that includes suspension date (July 31, 2020) 62 years 11 months

3) Years of credited service earned prior to 2009 at normal retirement age (plan's definition) 44.61 

4) Years of credited service earned after 2008 at normal retirement age (plan's definition) * 0.00 

5) Total years of credited service at normal retirement age (plan's definition) * [(3) + (4)] 44.61 

6) Multiplier for service prior to 2009 $85.00 

7) Multiplier for service after 2008 $80.00 

8) Total accrued benefit payable at normal retirement age * [(3) x (6) + (4) x (7)] $3,791.67 

9) Total years of credited service at normal retirement age (PBGC's definition) * 27.00 

10) Type of participant (retiree, active, terminated vested, beneficiary, disabled) Disabled

11) Form of payment for pension

Joint & Survivor 

Annuity

12) Contingent beneficiary continuation percentage 50%

13) Contingent beneficiary continuation amount [(8) x (12)] $1,895.83 

Calculation of 110% of PBGC Guarantee

14) Plan implied accrual rate [(8) / (9)] $140.43 

15) PBGC guaranteed accrual rate [100% of first $11 of (14) + 75% of (14) between $11 and $44] ** $35.75 

16) PBGC guaranteed benefit [(9) x (15)] $965.25 

17) 110% of PBGC guaranteed benefit [(16) x 110%] $1,061.78 

Participant Information

18) Proposed years of credited service earned prior to 2009 35.43 

19) Proposed years of credited service earned after 2008 0.00 

20) Proposed multiplier for service prior to 2009 [lesser of $71 and (6)] $71.00 

21) Proposed multiplier for service after 2008 [lesser of $76 and (7)] $76.00 

22) Initial proposed monthly benefit, reflection suspension [(18) x (20) + (19) x (21)] $2,515.25 

23) Initial proposed suspension amount [(8) - (22)] $1,276.42 

24) Maximum suspension allowed under the 110% of PBGC guarantee restriction [(8) – (17)] $2,729.89 

25) Is 110% of PBGC guarantee restriction applicable? No

26) Proposed suspension amount reflecting the 110% of PBGC guarantee restriction (23) ** N/A

27) Maximum suspendable benefit [lesser of (23) and (26)] $1,276.42 

28) Months from age 80 (at suspension date), max 60; also zero if benefit is due to disability 0 

29) Applicable percentage for age based limitation [(28) / 60] 0.00%

30) Final proposed benefit suspension [(27) x (29)] $0.00 

July 1, 2020 accrued benefit (payable at normal retirement) under Proposed Suspension [(8) – (30)] $3,791.67 

* Includes assumed accruals and service through July 1, 2020 for purposes of determining the PBGC guarantee.

** Results to these formulas were rounded in a manner to ensure the participant benefited from the rounding.
Page 2 of 8

I.B.E.W. Local Union No. 237 Pension Plan

Exhibit 4.01

Demonstration that limitations on individual suspensions are satisfied

Example #2 – Disability-based limitation – contingent beneficiary of an individual currently receiving benefits

Participant Information

1) Date of Birth 8/19/1957

2) Age at end of month that includes suspension date (July 31, 2020) 62 years 11 months

3) Years of credited service earned prior to 2009 at normal retirement age (plan's definition) 44.61 

4) Years of credited service earned after 2008 at normal retirement age (plan's definition) * 0.00 

5) Total years of credited service at normal retirement age (plan's definition) * [(3) + (4)] 44.61 

6) Multiplier for service prior to 2009 $85.00 

7) Multiplier for service after 2008 $80.00 

8) Total accrued benefit payable at normal retirement age * [(3) x (6) + (4) x (7)] $3,791.67 

9) Total years of credited service at normal retirement age (PBGC's definition) * 27.00 

10) Type of participant (retiree, active, terminated vested, beneficiary, disabled) Disabled

11) Form of payment for pension

Joint & Survivor 

Annuity

12) Contingent beneficiary continuation percentage 50%

13) Contingent beneficiary continuation amount [(8) x (12)] $1,895.83 

Calculation of 110% of PBGC Guarantee

14) Plan implied accrual rate [(13) / (9)] $70.22 

15) PBGC guaranteed accrual rate [100% of first $11 of (14) + 75% of (14) between $11 and $44] ** $35.75 

16) PBGC guaranteed benefit [(9) x (15)] $965.25 

17) 110% of PBGC guaranteed benefit [(16) x 110%] $1,061.78 

Participant Information

18) Proposed years of credited service earned prior to 2009 35.43 

19) Proposed years of credited service earned after 2008 0.00 

20) Proposed multiplier for service prior to 2009 [lesser of $71 and (6)] $71.00 

21) Proposed multiplier for service after 2008 [lesser of $76 and (7)] $76.00 

22) Initial proposed monthly benefit, reflection suspension [(18) x (20) + (19) x (21)] $2,515.25 

23) Initial proposed contingent beneficiary continuation amount, reflecting suspension $1,257.63 

24) Initial proposed suspension amount [(13) - (23)] $638.21 

25) Maximum suspension allowed under the 110% of PBGC guarantee restriction [(13) – (17)] $834.06 

26) Is 110% of PBGC guarantee restriction applicable? No

27) Proposed suspension amount reflecting the 110% of PBGC guarantee restriction (23) ** N/A

28) Maximum suspendable benefit [lesser of (24) and (27)] $638.21 

29) Months from age 80 (at suspension date), also zero if benefit is due to disability 0 

30) Applicable percentage for age based limitation [(29) / 60] 0.00%

31) Final proposed benefit suspension [(28) x (30)] $0.00 

July 1, 2020 accrued benefit (payable at normal retirement) under Proposed Suspension [(13) – (31)] $1,895.83 

* Includes assumed accruals and service through July 1, 2020 for purposes of determining the PBGC guarantee.

** Results to these formulas were rounded in a manner to ensure the participant benefited from the rounding.
Page 3 of 8

I.B.E.W. Local Union No. 237 Pension Plan

Exhibit 4.01

Demonstration that limitations on individual suspensions are satisfied

Example #3 – Disability-based limitation – future retiree after Suspension Effective Date

Participant Information

1) Date of Birth 5/27/1970

2) Age at end of month that includes suspension date (July 31, 2020) 50 years 2 months

3) Years of credited service earned prior to 2009 at normal retirement age (plan's definition) 12.41 

4) Years of credited service earned after 2008 at normal retirement age (plan's definition) * 10.79 

5) Total years of credited service at normal retirement age (plan's definition) * [(3) + (4)] 23.20 

6) Multiplier for service prior to 2009 $85.00 

7) Multiplier for service after 2008 $80.00 

8) Total accrued benefit payable at normal retirement age * [(3) x (6) + (4) x (7)] $1,918.24 

9) Total years of credited service at normal retirement age (PBGC's definition) * 18.39 

10) Type of participant (retiree, active, terminated vested, beneficiary, disabled) Active

11) Form of payment for pension Not Retired

12) Contingent beneficiary continuation percentage N/A

13) Contingent beneficiary continuation amount [(8) x (12)] N/A

Calculation of 110% of PBGC Guarantee

14) Plan implied accrual rate [(8) / (9)] $104.30 

15) PBGC guaranteed accrual rate [100% of first $11 of (14) + 75% of (14) between $11 and $44] ** $35.75 

16) PBGC guaranteed benefit [(9) x (15)] $657.47 

17) 110% of PBGC guaranteed benefit [(16) x 110%] $723.22 

Participant Information

18) Proposed years of credited service earned prior to 2009 11.84 

19) Proposed years of credited service earned after 2008 10.79 

20) Proposed multiplier for service prior to 2009 [lesser of $71 and (6)] $71.00 

21) Proposed multiplier for service after 2008 [lesser of $76 and (7)] $76.00 

22) Initial proposed monthly benefit, reflection suspension [(18) x (20) + (19) x (21)] $1,660.89 

23) Initial proposed suspension amount [(8) - (22)] $257.35 

24) Maximum suspension allowed under the 110% of PBGC guarantee restriction [(8) – (17)] $1,195.03 

25) Is 110% of PBGC guarantee restriction applicable? No

26) Proposed suspension amount reflecting the 110% of PBGC guarantee restriction (23) ** N/A

27) Maximum suspendable benefit [lesser of (23) and (26)] $257.35 

28) Months from age 80 (at suspension date), max 60; also zero if benefit is due to disability 0 

29) Applicable percentage for age based limitation [(28) / 60] 0.00%

30) Final proposed benefit suspension [(27) x (29)] $0.00

July 1, 2020 accrued benefit (payable at normal retirement) under Proposed Suspension [(8) – (30)] $1,918.24

* Includes assumed accruals and service through July 1, 2020 for purposes of determining the PBGC guarantee.

** Results to these formulas were rounded in a manner to ensure the participant benefited from the rounding.
Page 4 of 8

I.B.E.W. Local Union No. 237 Pension Plan

Exhibit 4.01

Demonstration that limitations on individual suspensions are satisfied

Example #4 – Guarantee-based limitation and age-based limitation – participant currently receiving benefits

Participant Information

1) Date of Birth 3/13/1943

2) Age at end of month that includes suspension date (July 31, 2020) 77 years 4 months

3) Years of credited service earned prior to 2009 at normal retirement age (plan's definition) 20.97 

4) Years of credited service earned after 2008 at normal retirement age (plan's definition) * 0.00 

5) Total years of credited service at normal retirement age (plan's definition) * [(3) + (4)] 20.97 

6) Multiplier for service prior to 2009 $17.55 

7) Multiplier for service after 2008 $80.00 

8) Total accrued benefit payable at normal retirement age * [(3) x (6) + (4) x (7)] $368.04 

9) Total years of credited service at normal retirement age (PBGC's definition) * 11.74 

10) Type of participant (retiree, active, terminated vested, beneficiary, disabled) Retired

11) Form of payment for pension

Joint & Survivor 

Annuity

12) Contingent beneficiary continuation percentage 50%

13) Contingent beneficiary continuation amount [(8) x (12)] $184.02

Calculation of 110% of PBGC Guarantee

14) Plan implied accrual rate [(8) / (9)] $31.34 

15) PBGC guaranteed accrual rate [100% of first $11 of (14) + 75% of (14) between $11 and $44] ** $26.26 

16) PBGC guaranteed benefit [(9) x (15)] $308.37 

17) 110% of PBGC guaranteed benefit [(16) x 110%] $339.21 

Participant Information

18) Proposed years of credited service earned prior to 2009 18.25 

19) Proposed years of credited service earned after 2008 0.00 

20) Proposed multiplier for service prior to 2009 [lesser of $71 and (6)] $17.55 

21) Proposed multiplier for service after 2008 [lesser of $76 and (7)] $76.00 

22) Initial proposed monthly benefit, reflection suspension [(18) x (20) + (19) x (21)] $320.20 

23) Initial proposed suspension amount [(8) - (22)] $47.84 

24) Maximum suspension allowed under the 110% of PBGC guarantee restriction [(8) – (17)] $28.83 

25) Is 110% of PBGC guarantee restriction applicable? Yes

26) Proposed suspension amount reflecting the 110% of PBGC guarantee restriction (23) ** $28.83 

27) Maximum suspendable benefit [lesser of (23) and (26)] $28.83 

28) Months from age 80 (at suspension date), max 60; also zero if benefit is due to disability 32

29) Applicable percentage for age based limitation [(28) / 60] 53.33%

30) Final proposed benefit suspension [(27) x (29)] $15.38

July 1, 2020 accrued benefit (payable at normal retirement) under Proposed Suspension [(8) – (30)] $352.66

* Includes assumed accruals and service through July 1, 2020 for purposes of determining the PBGC guarantee.

** Results to these formulas were rounded in a manner to ensure the participant benefited from the rounding.
Page 5 of 8

I.B.E.W. Local Union No. 237 Pension Plan

Exhibit 4.01

Demonstration that limitations on individual suspensions are satisfied

Example #5 – Guarantee-based limitation – contingent beneficiary of an individual currently receiving benefits

Participant Information

1) Date of Birth 6/03/1949

2) Age at end of month that includes suspension date (July 31, 2020) 71 years 1 months

3) Years of credited service earned prior to 2009 at normal retirement age (plan's definition) 40.63 

4) Years of credited service earned after 2008 at normal retirement age (plan's definition) * 0.00 

5) Total years of credited service at normal retirement age (plan's definition) * [(3) + (4)] 40.63 

6) Multiplier for service prior to 2009 $35.90 

7) Multiplier for service after 2008 $80.00 

8) Total accrued benefit payable at normal retirement age * [(3) x (6) + (4) x (7)] $1,458.73 

9) Total years of credited service at normal retirement age (PBGC's definition) * 20.24 

10) Type of participant (retiree, active, terminated vested, beneficiary, disabled) Retired

11) Form of payment for pension

Joint & Survivor 

Annuity

12) Contingent beneficiary continuation percentage 50%

13) Contingent beneficiary continuation amount [(8) x (12)] $729.37 

Calculation of 110% of PBGC Guarantee

14) Plan implied accrual rate [(13) / (9)] $36.04 

15) PBGC guaranteed accrual rate [100% of first $11 of (14) + 75% of (14) between $11 and $44] ** $29.78 

16) PBGC guaranteed benefit [(9) x (15)] $602.61 

17) 110% of PBGC guaranteed benefit [(16) x 110%] $662.87 

Participant Information

18) Proposed years of credited service earned prior to 2009 28.24 

19) Proposed years of credited service earned after 2008 0.00 

20) Proposed multiplier for service prior to 2009 [lesser of $71 and (6)] $35.90 

21) Proposed multiplier for service after 2008 [lesser of $76 and (7)] $76.00 

22) Initial proposed monthly benefit, reflection suspension [(18) x (20) + (19) x (21)] $1,013.65 

23) Initial proposed contingent beneficiary continuation amount, reflecting suspension $506.83 

24) Initial proposed suspension amount [(13) - (23)] $222.54 

25) Maximum suspension allowed under the 110% of PBGC guarantee restriction [(13) – (17)] $66.49 

26) Is 110% of PBGC guarantee restriction applicable? Yes

27) Proposed suspension amount reflecting the 110% of PBGC guarantee restriction (23) ** $66.49 

28) Maximum suspendable benefit [lesser of (24) and (27)] $66.49 

29) Months from age 80 (at suspension date), also zero if benefit is due to disability 60 

30) Applicable percentage for age based limitation [(29) / 60] 100.00%

31) Final proposed benefit suspension [(28) x (30)] $66.49 

July 1, 2020 accrued benefit (payable at normal retirement) under Proposed Suspension [(13) – (31)] $662.87 

* Includes assumed accruals and service through July 1, 2020 for purposes of determining the PBGC guarantee.

** Results to these formulas were rounded in a manner to ensure the participant benefited from the rounding.
Page 6 of 8

I.B.E.W. Local Union No. 237 Pension Plan

Exhibit 4.01

Demonstration that limitations on individual suspensions are satisfied

Example #6 – Guarantee-based limitation – future retiree

Participant Information

1) Date of Birth 4/27/1953

2) Age at end of month that includes suspension date (July 31, 2020) 67 years 3 months

3) Years of credited service earned prior to 2009 at normal retirement age (plan's definition) 18.83 

4) Years of credited service earned after 2008 at normal retirement age (plan's definition) * 0.00 

5) Total years of credited service at normal retirement age (plan's definition) * [(3) + (4)] 18.83 

6) Multiplier for service prior to 2009 $19.00 

7) Multiplier for service after 2008 $80.00 

8) Total accrued benefit payable at normal retirement age * [(3) x (6) + (4) x (7)] $357.74 

9) Total years of credited service at normal retirement age (PBGC's definition) * 10.66 

10) Type of participant (retiree, active, terminated vested, beneficiary, disabled) Terminated Vested

11) Form of payment for pension Not Retired

12) Contingent beneficiary continuation percentage N/A

13) Contingent beneficiary continuation amount [(8) x (12)] N/A

Calculation of 110% of PBGC Guarantee

14) Plan implied accrual rate [(8) / (9)] $33.55 

15) PBGC guaranteed accrual rate [100% of first $11 of (14) + 75% of (14) between $11 and $44] ** $27.92 

16) PBGC guaranteed benefit [(9) x (15)] $297.68 

17) 110% of PBGC guaranteed benefit [(16) x 110%] $327.45 

Participant Information

18) Proposed years of credited service earned prior to 2009 14.64 

19) Proposed years of credited service earned after 2008 0.00 

20) Proposed multiplier for service prior to 2009 [lesser of $71 and (6)] $19.00 

21) Proposed multiplier for service after 2008 [lesser of $76 and (7)] $76.00 

22) Initial proposed monthly benefit, reflection suspension [(18) x (20) + (19) x (21)] $278.16 

23) Initial proposed suspension amount [(8) - (22)] $79.58 

24) Maximum suspension allowed under the 110% of PBGC guarantee restriction [(8) – (17)] $30.28 

25) Is 110% of PBGC guarantee restriction applicable? Yes

26) Proposed suspension amount reflecting the 110% of PBGC guarantee restriction (23) ** $30.28 

27) Maximum suspendable benefit [lesser of (23) and (26)] $30.28 

28) Months from age 80 (at suspension date), max 60; also zero if benefit is due to disability 60 

29) Applicable percentage for age based limitation [(28) / 60] 100.00%

30) Final proposed benefit suspension [(27) x (29)] $30.28 

July 1, 2020 accrued benefit (payable at normal retirement) under Proposed Suspension [(8) – (30)] $327.45 

* Includes assumed accruals and service through July 1, 2020 for purposes of determining the PBGC guarantee.

** Results to these formulas were rounded in a manner to ensure the participant benefited from the rounding.
Page 7 of 8

I.B.E.W. Local Union No. 237 Pension Plan

Exhibit 4.01

Demonstration that limitations on individual suspensions are satisfied

Example #7 – Aged-based limitation – participant currently receiving benefits

Participant Information

1) Date of Birth 1/02/1938

2) Age at end of month that includes suspension date (July 31, 2020) 82 years 6 months

3) Years of credited service earned prior to 2009 at normal retirement age (plan's definition) 29.11 

4) Years of credited service earned after 2008 at normal retirement age (plan's definition) * 0.00 

5) Total years of credited service at normal retirement age (plan's definition) * [(3) + (4)] 29.11 

6) Multiplier for service prior to 2009 $46.40 

7) Multiplier for service after 2008 $80.00 

8) Total accrued benefit payable at normal retirement age * [(3) x (6) + (4) x (7)] $1,350.74 

9) Total years of credited service at normal retirement age (PBGC's definition) * 13.00 

10) Type of participant (retiree, active, terminated vested, beneficiary, disabled) Retired

11) Form of payment for pension Life Annuity

12) Contingent beneficiary continuation percentage N/A

13) Contingent beneficiary continuation amount [(8) x (12)] N/A

Calculation of 110% of PBGC Guarantee

14) Plan implied accrual rate [(8) / (9)] $103.90 

15) PBGC guaranteed accrual rate [100% of first $11 of (14) + 75% of (14) between $11 and $44] ** $35.75 

16) PBGC guaranteed benefit [(9) x (15)] $464.75 

17) 110% of PBGC guaranteed benefit [(16) x 110%] $511.23 

Participant Information

18) Proposed years of credited service earned prior to 2009 18.12 

19) Proposed years of credited service earned after 2008 0.00 

20) Proposed multiplier for service prior to 2009 [lesser of $71 and (6)] $46.40 

21) Proposed multiplier for service after 2008 [lesser of $76 and (7)] $76.00 

22) Initial proposed monthly benefit, reflection suspension [(18) x (20) + (19) x (21)] $840.58 

23) Initial proposed suspension amount [(8) - (22)] $510.16 

24) Maximum suspension allowed under the 110% of PBGC guarantee restriction [(8) – (17)] $839.51 

25) Is 110% of PBGC guarantee restriction applicable? No

26) Proposed suspension amount reflecting the 110% of PBGC guarantee restriction (23) ** N/A

27) Maximum suspendable benefit [lesser of (23) and (26)] $510.16 

28) Months from age 80 (at suspension date), max 60; also zero if benefit is due to disability 0 

29) Applicable percentage for age based limitation [(28) / 60] 0.00%

30) Final proposed benefit suspension [(27) x (29)] $0.00 

July 1, 2020 accrued benefit (payable at normal retirement) under Proposed Suspension [(8) – (30)] $1,350.74 

* Includes assumed accruals and service through July 1, 2020 for purposes of determining the PBGC guarantee.

** Results to these formulas were rounded in a manner to ensure the participant benefited from the rounding.
Page 8 of 8

I.B.E.W. Local Union No. 237 Pension Plan

Exhibit 4.01

Demonstration that limitations on individual suspensions are satisfied

Example #8 – Aged-based and guarantee-based limitation – contingent beneficiary of an individual currently receiving benefits

Participant Information

1) Date of Birth 8/10/1938

2) Age at end of month that includes suspension date (July 31, 2020) 81 years 11 months

3) Years of credited service earned prior to 2009 at normal retirement age (plan's definition) 39.81 

4) Years of credited service earned after 2008 at normal retirement age (plan's definition) * 0.00 

5) Total years of credited service at normal retirement age (plan's definition) * [(3) + (4)] 39.81 

6) Multiplier for service prior to 2009 $46.40 

7) Multiplier for service after 2008 $80.00 

8) Total accrued benefit payable at normal retirement age * [(3) x (6) + (4) x (7)] $1,847.36 

9) Total years of credited service at normal retirement age (PBGC's definition) * 23.00 

10) Type of participant (retiree, active, terminated vested, beneficiary, disabled) Retired

11) Form of payment for pension

Joint & Survivor 

Annuity

12) Contingent beneficiary continuation percentage 50%

13) Contingent beneficiary continuation amount [(8) x (12)] $923.68 

Calculation of 110% of PBGC Guarantee

14) Plan implied accrual rate [(13) / (9)] $40.16 

15) PBGC guaranteed accrual rate [100% of first $11 of (14) + 75% of (14) between $11 and $44] ** $32.87 

16) PBGC guaranteed benefit [(9) x (15)] $756.01 

17) 110% of PBGC guaranteed benefit [(16) x 110%] $831.61 

Participant Information

18) Proposed years of credited service earned prior to 2009 30.56 

19) Proposed years of credited service earned after 2008 0.00 

20) Proposed multiplier for service prior to 2009 [lesser of $71 and (6)] $46.40 

21) Proposed multiplier for service after 2008 [lesser of $76 and (7)] $76.00 

22) Initial proposed monthly benefit, reflection suspension [(18) x (20) + (19) x (21)] $1,418.15 

23) Initial proposed contingent beneficiary continuation amount, reflecting suspension $709.08 

24) Initial proposed suspension amount [(13) - (23)] $214.60 

25) Maximum suspension allowed under the 110% of PBGC guarantee restriction [(13) – (17)] $92.07 

26) Is 110% of PBGC guarantee restriction applicable? Yes

27) Proposed suspension amount reflecting the 110% of PBGC guarantee restriction (23) ** $92.07 

28) Maximum suspendable benefit [lesser of (24) and (27)] $92.07 

29) Months from age 80 (at suspension date), also zero if benefit is due to disability 0 

30) Applicable percentage for age based limitation [(29) / 60] 0.00%

31) Final proposed benefit suspension [(28) x (30)] $0.00 

July 1, 2020 accrued benefit (payable at normal retirement) under Proposed Suspension [(13) – (31)] $923.68 

* Includes assumed accruals and service through July 1, 2020 for purposes of determining the PBGC guarantee.

** Results to these formulas were rounded in a manner to ensure the participant benefited from the rounding.
Page 1 of 2 

I.B.E.W. Local Union No. 237 Pension Plan

Exhibit 4.02

Demonstration that the Proposed Suspension is Reasonably Estimated to Enable the Plan to Avoid Insolvency

0.0

1.0

2.0

3.0

4.0

5.0

6.0

7.0

8.0

9.0

10.0

0.00

5.00

10.00

15.00

20.00

25.00

30.00

35.00

40.00

45.00

50.00

Solvency Ratio

Available Resources and Benefit Payments

Available Resources Benefit Payments
Page 2 of 2

I.B.E.W. Local Union No. 237 Pension Plan

Exhibit 4.02

Demonstration that the Proposed Suspension is Reasonably Estimated to Enable the Plan to Avoid Insolvency

Plan Year

Assumed 

Return MVA @ BOY Contributions

Withdrawal 

Liability 

Payments

Benefit 

Payments

Administrative 

Expenses

Investment 

Return MVA @ EOY

Available 

Resources

Solvency 

Ratio

2019 6.83% $ 16,993,510 $ 3,471,500 $ 0 $ 5,128,071 $ 252,500 $ 1,081,532 $ 16,165,971 $ 21,294,042 4.15

2020 5.90% 16,165,971 3,509,708 0 4,776,882 155,063 900,093 15,643,828 20,420,710 4.27

2021 5.90% 15,643,828 3,537,000 0 4,347,038 107,689 885,226 15,611,327 19,958,365 4.59

2022 5.90% 15,611,327 3,537,000 0 4,435,394 110,381 880,406 15,482,958 19,918,352 4.49

2023 5.90% 15,482,958 3,537,000 0 4,498,689 113,141 870,728 15,278,856 19,777,545 4.40

2024 5.90% 15,278,856 3,537,000 0 4,544,494 115,969 857,139 15,012,532 19,557,026 4.30

2025 5.90% 15,012,532 3,537,000 0 4,580,116 118,869 840,201 14,690,748 19,270,864 4.21

2026 5.90% 14,690,748 3,537,000 0 4,599,740 121,840 820,501 14,326,669 18,926,409 4.11

2027 5.90% 14,326,669 3,537,000 0 4,584,834 124,886 799,407 13,953,355 18,538,189 4.04

2028 5.90% 13,953,355 3,537,000 0 4,609,257 128,008 776,509 13,529,599 18,138,856 3.94

2029 7.12% 13,529,599 3,537,000 0 4,636,419 131,209 905,742 13,204,713 17,841,132 3.85

2030 7.12% 13,204,713 3,537,000 0 4,644,157 134,489 882,195 12,845,262 17,489,419 3.77

2031 7.12% 12,845,262 3,537,000 0 4,616,971 137,851 857,531 12,484,971 17,101,942 3.70

2032 7.12% 12,484,971 3,537,000 0 4,596,296 141,297 832,553 12,116,931 16,713,227 3.64

2033 7.12% 12,116,931 3,537,000 0 4,572,033 144,830 807,159 11,744,227 16,316,260 3.57

2034 7.12% 11,744,227 3,537,000 0 4,498,050 148,451 783,347 11,418,074 15,916,124 3.54

2035 7.12% 11,418,074 3,537,000 0 4,429,759 152,162 762,626 11,135,779 15,565,538 3.51

2036 7.12% 11,135,779 3,537,000 0 4,364,940 155,966 744,891 10,896,764 15,261,704 3.50

2037 7.12% 10,896,764 3,537,000 0 4,327,220 159,865 729,189 10,675,868 15,003,088 3.47

2038 7.12% 10,675,868 3,537,000 0 4,251,808 163,862 716,228 10,513,426 14,765,234 3.47

2039 7.12% 10,513,426 3,537,000 0 4,194,371 167,958 706,731 10,394,828 14,589,199 3.48

2040 7.12% 10,394,828 3,537,000 0 4,134,562 172,157 700,444 10,325,553 14,460,115 3.50

2041 7.12% 10,325,553 3,537,000 0 4,074,309 176,461 697,682 10,309,465 14,383,774 3.53

2042 7.12% 10,309,465 3,537,000 0 4,015,202 180,873 698,659 10,349,049 14,364,251 3.58

2043 7.12% 10,349,049 3,537,000 0 3,974,173 185,394 702,899 10,429,381 14,403,554 3.62

2044 7.12% 10,429,381 3,537,000 0 3,920,909 190,029 710,508 10,565,950 14,486,859 3.69

2045 7.12% 10,565,950 3,537,000 0 3,878,001 194,780 721,717 10,751,886 14,629,887 3.77

2046 7.12% 10,751,886 3,537,000 0 3,848,799 199,650 735,909 10,976,347 14,825,146 3.85

2047 7.12% 10,976,347 3,537,000 0 3,813,391 204,641 753,078 11,248,393 15,061,784 3.95

2048 7.12% 11,248,393 3,537,000 0 3,821,259 209,757 771,962 11,526,339 15,347,598 4.02

2049 7.12% 11,526,339 3,537,000 0 3,808,591 215,001 792,054 11,831,802 15,640,393 4.11

2050 7.12% 11,831,802 3,537,000 0 3,815,918 220,376 813,329 12,145,837 15,961,755 4.18
DISABILITY RETIREMENT BENEFIT

Each Participant who retires on a Disability Retirement Date, shall be eligible to receive a 

monthly retirement benefit commencing on such date. The amount of a Disability Retirement 

Benefit shall be equal to the Participant's accrued benefit as of his DisabilityRetirement Date, and 

shall be subject to the distribution rules as set forth under Article VIII herein. A disability retiree 

shall continue to be so regarded until he/she 1s no longer disabled, dies or attains Normal Retirement Age, 

whichever occurs first.

A Participant shall be entitled to this benefit only if such Participant has been deemed disabled under New 

York State Disability Benefits Law, the Federal Social Security Act or Workers' Compensation. 

Effective April 1, 2018, the amount of a Disability Retirement Benefit shall be equal to the Early Retirement 

Benefit or Special Early Retirement Benefit to which the Participant would be entitled if he were to retire on 

his Disability Retirement Date, but in no event will the Participant's Disability Retirement benefit be less 

than his monthly Accrued Benefit payable on his Normal Retirement Date reduced by thirty (30%) per cent. 

A disability retiree shall continue to be so regarded until he/she is no longer disabled, dies or first becomes

eligible for an Early Retirement Benefit. 

Effective April 1, 2018, a Participant shall be entitled to this benefit only if such Participant has been deemed

Totally and Permanently Disabled and has qualified for a benefit under New York State Disability Benefits 

Law, the Federal Social Security Act or Workers' Compensation.

Section 4.02 Description of Disability Retirement Provisions
Page 1 of 2

I.B.E.W. Local Union No. 237 Pension Plan

Exhibit 4.03

Demonstration that the Prescribed Lesser Suspension is Not Reasonably Estimated to Enable the Plan to Avoid Insolvency

0.0

1.0

2.0

3.0

4.0

5.0

6.0

7.0

8.0

9.0

10.0

0.00

5.00

10.00

15.00

20.00

25.00

30.00

35.00

40.00

45.00

50.00

Solvency Ratio

Available Resources and Benefit Payments

Available Resources Benefit Payments
Page 2 of 2

I.B.E.W. Local Union No. 237 Pension Plan

Exhibit 4.03

Demonstration that the Prescribed Lesser Suspension is Not Reasonably Estimated to Enable the Plan to Avoid Insolvency

Plan Year

Assumed 

Return MVA @ BOY Contributions

Withdrawal 

Liability 

Payments

Benefit 

Payments

Administrative 

Expenses

Investment 

Return MVA @ EOY

Available 

Resources

Solvency 

Ratio

2019 6.83% $ 16,993,510 $ 3,471,500 $ 0 $ 5,128,071 $ 252,500 $ 1,081,532 $ 16,165,971 $ 21,294,042 4.15

2020 5.90% 16,165,971 3,509,708 0 4,806,073 155,063 899,160 15,613,704 20,419,777 4.25

2021 5.90% 15,613,704 3,537,000 0 4,398,256 107,689 881,812 15,526,570 19,924,826 4.53

2022 5.90% 15,526,570 3,537,000 0 4,491,377 110,381 873,616 15,335,428 19,826,805 4.41

2023 5.90% 15,335,428 3,537,000 0 4,558,759 113,141 860,104 15,060,632 19,619,391 4.30

2024 5.90% 15,060,632 3,537,000 0 4,608,114 115,969 842,230 14,715,779 19,323,893 4.19

2025 5.90% 14,715,779 3,537,000 0 4,647,018 118,869 820,555 14,307,447 18,954,465 4.08

2026 5.90% 14,307,447 3,537,000 0 4,669,571 121,840 795,655 13,848,691 18,518,262 3.97

2027 5.90% 13,848,691 3,537,000 0 4,656,602 124,886 768,913 13,373,116 18,029,718 3.87

2028 5.90% 13,373,116 3,537,000 0 4,684,007 128,008 739,886 12,837,986 17,521,993 3.74

2029 7.12% 12,837,986 3,537,000 0 4,714,063 131,209 853,505 12,383,220 17,097,283 3.63

2030 7.12% 12,383,220 3,537,000 0 4,724,249 134,489 820,616 11,882,098 16,606,347 3.52

2031 7.12% 11,882,098 3,537,000 0 4,698,407 137,851 785,813 11,368,653 16,067,060 3.42

2032 7.12% 11,368,653 3,537,000 0 4,679,022 141,297 749,881 10,835,214 15,514,236 3.32

2033 7.12% 10,835,214 3,537,000 0 4,656,084 144,830 712,659 10,283,960 14,940,044 3.21

2034 7.12% 10,283,960 3,537,000 0 4,581,922 148,451 676,141 9,766,728 14,348,650 3.13

2035 7.12% 9,766,728 3,537,000 0 4,513,453 152,162 641,823 9,279,936 13,793,389 3.06

2036 7.12% 9,279,936 3,537,000 0 4,448,372 155,966 609,537 8,822,135 13,270,507 2.98

2037 7.12% 8,822,135 3,537,000 0 4,411,046 159,865 578,243 8,366,467 12,777,513 2.90

2038 7.12% 8,366,467 3,537,000 0 4,334,892 163,862 548,594 7,953,308 12,288,200 2.83

2039 7.12% 7,953,308 3,537,000 0 4,277,124 167,958 521,259 7,566,484 11,843,608 2.77

2040 7.12% 7,566,484 3,537,000 0 4,216,796 172,157 495,894 7,210,425 11,427,221 2.71

2041 7.12% 7,210,425 3,537,000 0 4,155,991 176,461 472,735 6,887,708 11,043,699 2.66

2042 7.12% 6,887,708 3,537,000 0 4,096,294 180,873 451,903 6,599,445 10,695,739 2.61

2043 7.12% 6,599,445 3,537,000 0 4,054,986 185,394 432,810 6,328,874 10,383,860 2.56

2044 7.12% 6,328,874 3,537,000 0 4,001,209 190,029 415,455 6,090,091 10,091,300 2.52

2045 7.12% 6,090,091 3,537,000 0 3,958,038 194,780 399,949 5,874,222 9,832,260 2.48

2046 7.12% 5,874,222 3,537,000 0 3,928,946 199,650 385,528 5,668,154 9,597,100 2.44

2047 7.12% 5,668,154 3,537,000 0 3,893,570 204,641 372,043 5,478,987 9,372,557 2.41

2048 7.12% 5,478,987 3,537,000 0 3,902,441 209,757 358,050 5,261,839 9,164,280 2.35

2049 7.12% 5,261,839 3,537,000 0 3,890,432 215,001 342,865 5,036,271 8,926,703 2.29

2050 7.12% 5,036,271 3,537,000 0 3,898,858 220,376 326,288 4,780,326 8,679,184 2.23
Page 1 of 2

I.B.E.W. Local Union No. 237 Pension Plan

Exhibit 4.04

Demonstration that the Proposed Benefit Suspension is Distributed Equitably

Section 4.04(1)(a)

Average Average Monthly Average Monthly Aggregate Present

Participant Age at Benefit Before Benefit After Value of Redution in 

Participant Groups defined under 2.02(4) of Rev. Proc. 2017-43 Count 7/1/2020 Suspension Suspension Benefits at 1/1/2018

Active with pre-2009 service only, average hrs < 1400 0 0 0 0 0

Active with pre-2009 service only, average hrs 1400-1800 0 0 0 0 0

Active with pre-2009 service only, average hrs 1800+ 0 0 0 0 0

Active with service pre-2009 and post-2008, average hrs < 1400 60 50 1,816 1,504 1,280,035

Active with service pre-2009 and post-2008, average hrs 1400-1800 46 52 2,805 2,148 2,260,392

Active with service pre-2009 and post-2008, average hrs 1800+ 10 51 3,767 2,609 839,568

Active with post-2008 service only 58 34 478 454 34,762

Total Active Participants 174 45 1,744 1,388 1,098,805

Terminated Vested with pre-2009 service only, average hrs < 1400 27 56 831 656 409,348

Terminated Vested with pre-2009 service only, average hrs 1400-1800 25 58 1,608 1,115 1,003,364

Terminated Vested with pre-2009 service only, average hrs 1800+ 0 0 0 0 0

Terminated Vested with service pre-2009 and post-2008, average hrs < 1400 6 52 1,220 991 63,932

Terminated Vested with service pre-2009 and post-2008, average hrs 1400-1800 7 44 1,490 1,101 128,699

Terminated Vested with service pre-2009 and post-2008, average hrs 1800+ 2 43 1,390 985 24,912

Terminated Vested with post-2008 service only 1 45 640 608 632

Total Terminated Vested Participants 68 54 1,232 909 551,050

Disabled with pre-2009 service only, average hrs < 1400 6 79 1,411 1,411 0

Disabled with pre-2009 service only, average hrs 1400-1800 11 77 2,622 2,622 0

Disabled with pre-2009 service only, average hrs 1800+ 1 70 4,157 4,157 0

Disabled with service pre-2009 and post-2008, average hrs < 1400 5 58 1,972 1,972 0

Disabled with service pre-2009 and post-2008, average hrs 1400-1800 2 59 2,644 2,644 0

Disabled with service pre-2009 and post-2008, average hrs 1800+ 0 0 0 0 0

Disabled with post-2008 service only 0 0 0 0 0

Total Disabled Participants 25 72 2,265 2,265 0

Retiree with pre-2009 service only, average hrs < 1400 10 74 1,716 1,376 411,612

Retiree with pre-2009 service only, average hrs 1400-1800 43 77 2,596 2,044 2,041,119

Retiree with pre-2009 service only, average hrs 1800+ 21 79 2,222 1,916 655,400

Retiree with service pre-2009 and post-2008, average hrs < 1400 17 65 2,121 1,633 761,926

Retiree with service pre-2009 and post-2008, average hrs 1400-1800 14 66 3,745 2,594 1,774,640

Retiree with service pre-2009 and post-2008, average hrs 1800+ 7 67 4,580 2,983 1,221,327

Retiree with post-2008 service only 0 0 0 0 0

Total Retired Participants 112 73 2,643 2,025 1,357,095

Beneficiary with pre-2009 service only, average hrs < 1400 12 83 1,386 1,357 40,281

Beneficiary with pre-2009 service only, average hrs 1400-1800 10 85 1,488 1,487 1,138

Beneficiary with pre-2009 service only, average hrs 1800+ 8 84 2,004 1,898 0

Beneficiary with service pre-2009 and post-2008, average hrs < 1400 1 58 1,178 796 50,766

Beneficiary with service pre-2009 and post-2008, average hrs 1400-1800 0 0 0 0 0

Beneficiary with service pre-2009 and post-2008, average hrs 1800+ 0 0 0 0 0

Beneficiary with post-2008 service only 0 0 0 0 0

Total Beneficiaries 31 83 1,572 1,520 17,597

Alternate Payees with pre-2009 service only, average hrs < 1400 2 76 334 334 0

Alternate Payees with pre-2009 service only, average hrs 1400-1800 1 75 189 173 1,406

Alternate Payees with pre-2009 service only, average hrs 1800+ 3 71 1,385 1,062 98,161

Alternate Payees with service pre-2009 and post-2008, average hrs < 1400 0 0 0 0 0

Alternate Payees with service pre-2009 and post-2008, average hrs 1400-1800 0 0 0 0 0

Alternate Payees with service pre-2009 and post-2008, average hrs 1800+ 0 0 0 0 0

Alternate Payees with post-2008 service only 0 0 0 0 0

Total Alternate Payees 6 74 835 671 49,315
Page 2 of 2

I.B.E.W. Local Union No. 237 Pension Plan

Exhibit 4.04

Demonstration that the Proposed Benefit Suspension is Distributed Equitably

Section 4.04(1)(b)

> 0% and > 10% and > 20% and > 30% and > 40% and > 50% and > 60% and

Participant Groups treatments defined under 2.02(4) of Rev. Proc. 2017-43 0% <= 10% <= 20% <= 30% <= 40% <= 50% <= 60% <= 70% Total

Active with pre-2009 service only, average pre-2009 hrs < 1400 0 0 0 0 0 0 0 0 0

Active with pre-2009 service only, average pre-2009 hrs 1400-1800 0 0 0 0 0 0 0 0 0

Active with pre-2009 service only, average pre-2009 hrs 1800+ 0 0 0 0 0 0 0 0 0

Active with service pre-2009 and post-2008, average pre-2009 hrs < 1400 1 9 39 11 0 0 0 0 60

Active with service pre-2009 and post-2008, average pre-2009 hrs 1400-1800 0 0 13 32 1 0 0 0 46

Active with service pre-2009 and post-2008, average pre-2009 hrs 1800+ 0 0 1 3 6 0 0 0 10

Active with post-2008 service only 0 58 0 0 0 0 0 0 58

Total Active Participants 1 67 53 46 7 0 0 0 174

Terminated Vested with pre-2009 service only, average pre-2009 hrs < 1400 0 7 7 8 5 0 0 0 27

Terminated Vested with pre-2009 service only, average pre-2009 hrs 1400-1800 0 3 5 5 12 0 0 0 25

Terminated Vested with pre-2009 service only, average pre-2009 hrs 1800+ 0 0 0 0 0 0 0 0 0

Terminated Vested with service pre-2009 and post-2008, average pre-2009 hrs < 1400 0 1 3 2 0 0 0 0 6

Terminated Vested with service pre-2009 and post-2008, average pre-2009 hrs 1400-1800 0 0 0 6 1 0 0 0 7

Terminated Vested with service pre-2009 and post-2008, average pre-2009 hrs 1800+ 0 0 0 1 1 0 0 0 2

Terminated Vested with post-2008 service only 0 1 0 0 0 0 0 0 1

Total Terminated Vested Participants 0 12 15 22 19 0 0 0 68

Disabled with pre-2009 service only, average pre-2009 hrs < 1400 6 0 0 0 0 0 0 0 6

Disabled with pre-2009 service only, average pre-2009 hrs 1400-1800 11 0 0 0 0 0 0 0 11

Disabled with pre-2009 service only, average pre-2009 hrs 1800+ 1 0 0 0 0 0 0 0 1

Disabled with service pre-2009 and post-2008, average pre-2009 hrs < 1400 5 0 0 0 0 0 0 0 5

Disabled with service pre-2009 and post-2008, average pre-2009 hrs 1400-1800 2 0 0 0 0 0 0 0 2

Disabled with service pre-2009 and post-2008, average pre-2009 hrs 1800+ 0 0 0 0 0 0 0 0 0

Disabled with post-2008 service only 0 0 0 0 0 0 0 0 0

Total Disabled Participants 25 0 0 0 0 0 0 0 25

Retiree with pre-2009 service only, average pre-2009 hrs < 1400 3 0 3 2 2 0 0 0 10

Retiree with pre-2009 service only, average pre-2009 hrs 1400-1800 14 9 3 4 13 0 0 0 43

Retiree with pre-2009 service only, average pre-2009 hrs 1800+ 11 5 0 2 2 1 0 0 21

Retiree with service pre-2009 and post-2008, average pre-2009 hrs < 1400 0 2 3 11 1 0 0 0 17

Retiree with service pre-2009 and post-2008, average pre-2009 hrs 1400-1800 0 0 1 4 9 0 0 0 14

Retiree with service pre-2009 and post-2008, average pre-2009 hrs 1800+ 0 0 0 0 7 0 0 0 7

Retiree with post-2008 service only 0 0 0 0 0 0 0 0 0

Total Retired Participants 28 16 10 23 34 1 0 0 112

Beneficiary with pre-2009 service only, average pre-2009 hrs < 1400 11 0 0 1 0 0 0 0 12

Beneficiary with pre-2009 service only, average pre-2009 hrs 1400-1800 9 1 0 0 0 0 0 0 10

Beneficiary with pre-2009 service only, average pre-2009 hrs 1800+ 7 0 0 1 0 0 0 0 8

Beneficiary with service pre-2009 and post-2008, average pre-2009 hrs < 1400 0 0 0 0 1 0 0 0 1

Beneficiary with service pre-2009 and post-2008, average pre-2009 hrs 1400-1800 0 0 0 0 0 0 0 0 0

Beneficiary with service pre-2009 and post-2008, average pre-2009 hrs 1800+ 0 0 0 0 0 0 0 0 0

Beneficiary with post-2008 service only 0 0 0 0 0 0 0 0 0

Total Beneficiaries 27 1 0 2 1 0 0 0 31

Alternate Payees with pre-2009 service only, average pre-2009 hrs < 1400 2 0 0 0 0 0 0 0 2

Alternate Payees with pre-2009 service only, average pre-2009 hrs 1400-1800 0 1 0 0 0 0 0 0 1

Alternate Payees with pre-2009 service only, average pre-2009 hrs 1800+ 1 0 0 0 1 1 0 0 3

Alternate Payees with service pre-2009 and post-2008, average pre-2009 hrs < 1400 0 0 0 0 0 0 0 0 0

Alternate Payees with service pre-2009 and post-2008, average pre-2009 hrs 1400-1800 0 0 0 0 0 0 0 0 0

Alternate Payees with service pre-2009 and post-2008, average pre-2009 hrs 1800+ 0 0 0 0 0 0 0 0 0

Alternate Payees with post-2008 service only 0 0 0 0 0 0 0 0 0

Total Alternate Payees 3 1 0 0 1 1 0 0 6

Total 84 97 78 93 62 2 0 0 416
I.B.E.W. LOCAL UNION NO. 237 PENSION PLAN

NOTICE OF APPLICATION FOR APPROVAL OF A

PROPOSED REDUCTION OF BENEFITS

NOTICE OF A PROPOSED REDUCTION OF YOUR PENSION BENEFITS

On June 28, 2019, the Board of Trustees of the I.B.E.W. Local Union No. 237 Pension Plan (“Plan”) 

submitted an application to the U.S. Treasury Department for approval to reduce benefits under 

the Plan. This type of benefit reduction is allowed by the Federal law called the Multiemployer 

Pension Reform Act of 2014 (MPRA).

You are getting this notice because you have a pension benefit under the Plan. The end of this 

notice describes the proposed reduction of your monthly payments.7 This notice will also 

answer the following questions for you—

1. Why is the Board of Trustees proposing to reduce benefits?

2. What will happen if the Plan runs out of money?

3. How did the Board of Trustees decide whose benefits to reduce and by how much?

4. What are the proposed reductions in benefits?

5. What comes next?

1. Why is the Board of Trustees proposing to reduce benefits?

The Plan’s actuary estimated that, unless benefits are reduced, the Plan will not have enough 

money to pay benefits in the year 2028, based on the Plan’s 2019 Pension Protection Act 

certification. This estimate is based on how much money the actuary expects the Plan to receive 

and to pay out each year. The Plan’s actuary estimated that, with the reduction of benefits that 

the Board of Trustees has proposed, the plan is not expected to run out of money.

2. What will happen if the Plan runs out of money?

If the Plan does not have enough money to pay benefits, then only the amount guaranteed by the 

Pension Benefit Guaranty Corporation (“PBGC”) will be paid. You can find the amount of your 

benefit that is guaranteed by PBGC at the end of this notice.

7 A version of this notice that does not include the estimate of the effect on your benefit is being sent to unions 

that represent Plan participants and to all contributing employers.
I.B.E.W. LOCAL UNION NO. 237 PENSION PLAN

3. How did the Board of Trustees decide whose benefits to reduce and by how much?

Under Federal law, the Board of Trustees must apply the following rules to the proposed 

reduction—

• The total reduction in everybody’s benefits must be estimated to be large enough to keep

the plan from running out of money but not larger than needed to do that.

• Your monthly benefit and the benefit of your beneficiary cannot be reduced below 110% 

of the amount guaranteed by PBGC.

• Benefits of people who have qualified for a Disability Pension (as defined under the Plan) 

cannot be reduced.

• The benefits of people who are at least 80 years old on June 30, 2020 and their 

beneficiaries cannot be reduced.

• The benefits of people who are at least 75 years old on June 30, 2020 and their 

beneficiaries are partially protected, and the closer the person is to age 80 the less the 

benefits can be reduced.

• The reduction of benefits must be spread fairly among the people who have a pension 

benefit under the plan.

In deciding whether the proposed reduction is spread fairly, the Board of Trustees took into 

account the following: 

• Age and life expectancy of Plan participants.

• Status in the Plan (active, terminated vested, retired).

• Amount of benefits provided by the Plan.

• History of benefit increases and reductions.

• Historical contribution rates.

• Discrepancies between benefits provided to active and retired participants.

• Likelihood of active participants to support the Plan, which is needed to for survival of the 

Plan and, consequently, the local Union Electrical industry.

4. What are the proposed reductions in benefits?

This proposed plan is called the MPRA Recovery Plan.

The Board has committed to increased contribution levels should the Treasury Department 

approve the application and the membership vote to approve the benefit suspension. 

Contribution increases will be at least $0.25 per hour in the calendar year 2020.

Additionally, the Board of Trustees proposes the following reduction of benefits: 
I.B.E.W. LOCAL UNION NO. 237 PENSION PLAN

• For Plan Years (January 1 to December 31) from 1976 through 2008, Pension Service 

credits will be limited to a maximum of 1.4 credits in a year. This is the same as the service 

limit that exists currently for Plan Years from 2009 and later. So all Plan Years from 1976 

and later will be treated with the same service limit.

• The benefit multiplier for Pension Service credits earned up through 2008 will be limited 

to $71. This is a reduction from the current benefit level of $85 per Pension Service credit. 

Members who retired or had a break in service that resulted in a benefit multiplier of less 

than $71 will have their currently applicable multiplier remain in place.

• The benefit multiplier for Pension Service credits earned in 2009 and later will be reduced 

to $76. This is a reduction from the current benefit level of $80 per service credit.

• In no situation will the above changes result in a benefit of less than 110% of the PBGC 

guaranteed benefit for each affected participant.

• No category or group will be treated differently for the purpose of the benefit reduction, 

except for the following:

- Disability pension benefits are not reduced.

- Benefits for participants who have reached age 80 by July 1, 2020 are not 

reduced.

- Benefits for participants between ages 75 and 80 on July 1, 2020 will have their 

reduction applied in partially as required.

The proposed reduction in benefits will remain in effect indefinitely.

The proposed changes are expected to keep the Plan from running out of money.

These changes in benefit structure will be apply to all participants in the same way. There are 

no different categories or groups of participants that will have a different set of benefits. But 

because every participant has their own work history, these changes will impact each participant 

differently. To help you understand the impact each of the proposed reductions will have on 

you, we have designated the following 7 categories based upon the pre-suspension benefit 

accrual formula:

• Category 1 – Participants with service before 2009 only, with average hours per year of 

less than 1400 

• Category 2 – Participants with service before 2009 only, with average hours per year 

between 1400 and 1800

• Category 3 – Participants with service before 2009 only, with average hours per year of 

at least 1800

• Category 4 – Participants with service both and after 2009, with average hours per year 

of less than 1400

• Category 5 – Participants with service both before and after 2009, with average hours per 

year between 1400 and 1800
I.B.E.W. LOCAL UNION NO. 237 PENSION PLAN

• Category 6 – Participants with service both before and after 2009, with average hours per 

year of at least 1800

• Category 7 – Participants with service after 2008 only

5. What comes next?

Approval or denial of the application by the Treasury Department

The Treasury Department will review the application to see whether it meets all of the legal 

requirements under Federal law. If the application meets all of those requirements, the Treasury 

Department is required to approve the application. If the application does not meet the legal 

requirements, the Treasury Department will deny the application. The Treasury Department will 

have until February 8, 2020 to make a decision.

You can get information from the Treasury Department

More information about the proposed benefit reductions and a copy of the application will be 

available at www.treasury.gov/mpra. 

The application will be available on that website within 30 days after the Treasury Department 

receives it. The application includes more information about the proposed reduction, including 

details about: 1) the Plan actuary’s certification that the Plan will run out of money (that is, that 

the plan is in “critical and declining status”); 2) how the proposed reduction would satisfy the 

requirement that it be large enough so that the Plan is estimated not to run out of money, while 

not being larger than needed; and 3) the sensitivity of these estimates to the assumptions used.

The application describes the steps the Board of Trustees has already taken to keep the Plan from 

running out of money and why the Board of Trustees believes that a benefit reduction is the only 

remaining option to keep the plan from running out of money. In addition, the application 

explains why the Board of Trustees believes that the proposed reduction is spread fairly among 

the people who have a pension benefit under the plan.

The Treasury Department website will also provide updated information on the application, such 

as whether the application has been withdrawn.

For further information and assistance you can also write to the Treasury Department at the 

following address:

Department of the Treasury

Attn: MPRA Office, Room 1204

1500 Pennsylvania Avenue, NW 

Washington, DC 20220
I.B.E.W. LOCAL UNION NO. 237 PENSION PLAN

You can comment on the application to reduce benefits

You will be able to submit a comment on the application by going to www.treasury.gov/mpra.

Comments may also be mailed to the Treasury Department, at the address listed above. All 

interested parties can make comments, and the comments will be publicly available.

Retiree Representative

If a plan has 10,000 or more participants, the Board of Trustees must select a retiree 

representative to advocate for the interests of retirees, beneficiaries, and deferred vested 

participants as part of this process. A plan is required to pay the reasonable expenses of the 

retiree representative.

The Board of Trustees is not required to select a retiree representative, because the Plan has 

fewer than 10,000 participants. The Board of Trustees has not chosen to select a retiree 

representative.

Vote on the proposed benefit reduction 

If the application for the proposed reduction of benefits is approved by the Treasury Department, 

then you will have the opportunity to vote on the proposed reduction. Unless a majority of all 

participants and beneficiaries of the Plan vote to reject the reduction, the Treasury Department 

must allow the reduction of benefits to take effect. This means that not voting counts the same 

as a vote to approve the reduction.

Your right to see Plan documents

You may want to review Plan documents to help you understand your rights and the proposed 

reduction to your benefits. The Plan administrator must respond to your request for the following 

documents within 30 days:

• The Plan document (including any amendments adopted to reflect an authorized 

reduction of benefits), trust agreement, and other documents governing the Plan (such 

as collective bargaining agreements).

• The Plan’s most recent summary plan description (SPD or plan brochure) and any 

summary of material modifications.

• The Plan’s Form 5500 annual reports, including the accountant’s report and audited 

financial statements, filed with the U.S. Department of Labor during the last six years.

• The annual funding notices furnished by the Plan during the last six years.

• Actuarial reports, including reports prepared in anticipation of the benefit reduction, 

furnished to the Plan within the last six years.

• The Plan’s current rehabilitation plan, including contribution schedules, and, if the 

proposed benefit reduction goes into effect, annual plan-sponsor determinations that 

all reasonable measures to avoid running out of money continue to be taken and that 

the Plan would run out of money if there were no benefit reductions.
I.B.E.W. LOCAL UNION NO. 237 PENSION PLAN

• Any quarterly, semi-annual, or annual financial reports prepared for the Plan by an 

investment manager, fiduciary, or other advisor and furnished to the Plan within the 

last six years.

The Plan administrator may charge you the cost per page to the Plan for the cheapest way of 

copying documents, but cannot charge more than 25 cents per page. The Plan’s Form 5500 

Annual Return/Report of Employee Benefit Plan is also available free of charge at 

www.dol.gov/ebsa/5500main.html. Some of the documents also may be available for 

examination, without charge, at the Plan administrator’s office, your worksite or union hall.

Your right to challenge incorrect calculations

If you think the Plan miscalculated the reduction to your benefits, then you have the right to 

submit a claim to the Plan to have the calculation corrected. The Plan’s SPD tells you how to 

submit a claim. The SPD also describes your right to have a court review the Plan’s final decision 

on your claim.

If you believe the information used to calculate your estimate at the end of this notice is wrong, 

please contact the Plan office at:

I.B.E.W. Local Union #237 Funds Office

L.P.O. Box 120

8803 Niagara Falls Blvd.

Niagara Falls, NY 14304

Tel (716)297-3899 Fax (716)297-8471

ibew237funds@yahoo.com
I.B.E.W. LOCAL UNION NO. 237 PENSION PLAN

[DISABLED RETIREE]

HOW YOUR MONTHLY PAYMENTS WILL BE AFFECTED

[Participant’s Name]

[Address]

[City], [State] [Zip]

Benefit

Estimated 

Benefit as of

January 1, 2018 Description

Current Plan $2,517.28 This is your current monthly benefit.

Proposed Benefit under

MPRA Recovery Plan

$2,517.28 Because you are receiving a disability pension, your monthy benefit would 

not change under the MPRA Recovery Plan.

Pension Benefit 

Guaranty Corporation 

(PBGC)

$ 849.83 This is your estimated benefit guaranteed by the PBGC.

Note: Without the proposed benefit reduction, you will receive $2,517.28

until the Plan runs out of money. Then you will receive the estimated PBGC 

guaranteed benefit of $ 849.83 thereafter.

The PBGC benefit applies if the Plan does not have enough money to pay 

benefits. However, your PBGC guaranteed benefit may be significantly less 

if the PBGC runs out of money itself.

The above estimates are based on the following information from Plan records:

Factor Description

Service Credits as of January 1, 2018

- Pre08 Credits You earned 28.6200 years of service credit by the end of 2008 under the Plan. 

- Post08 Credits You earned 0.0000 years of service credit after 2008 under the Plan.

Your Age on July 31, 2020 68 years and 6 months

Disability Benefit $2,517.28 - This is the portion of you benefit that is based on disability

Contact the Fund Office if you have a question about the factors used to determine your Plan benefit.

Phone: (716) 297-3899

Mail: I.B.E.W. Local Union #237 Funds Office, L.P.O. Box 120, 8803 Niagara Falls Blvd.

Niagara Falls, NY 14304

Email: ibew237funds@yahoo.com
I.B.E.W. LOCAL UNION NO. 237 PENSION PLAN

[IN PAYMENT OVER AGE 80]

HOW YOUR MONTHLY PAYMENTS WILL BE AFFECTED

[Participant’s Name]

[Address]

[City], [State] [Zip]

Benefit

Estimated 

Benefit as of

January 1, 2018 Description

Current Plan $1,670.90 This is your current monthly benefit.

Proposed Benefit under

MPRA Recovery Plan

$1,670.90 Because you will be at least age 80 on July 31, 2020, your monthly benefit 

would not change under the MPRA Recovery Plan.

Pension Benefit 

Guaranty Corporation 

(PBGC)

$ 676.44 This is your estimated benefit guaranteed by the PBGC.

Note: Without the proposed benefit reduction, you will receive $1,670.90

until the Plan runs out of money. Then you will receive the estimated PBGC 

guaranteed benefit of $ 676.44 thereafter.

The PBGC benefit applies if the Plan does not have enough money to pay 

benefits. However, your PBGC guaranteed benefit may be significantly less 

if the PBGC runs out of money itself.

The above estimates are based on the following information from Plan records:

Factor Description

Service Credits as of January 1, 2018

- Pre08 Credits You earned 27.1928 years of service credit by the end of 2008 under the Plan. 

- Post08 Credits You earned 0.0000 years of service credit after 2008 under the Plan.

Your Age on July 31, 2020 87 years and 3 months

Disability Benefit $ 0.00 - This is the portion of you benefit that is based on disability

Contact the Fund Office if you have a question about the factors used to determine your Plan benefit.

Phone: (716) 297-3899

Mail: I.B.E.W. Local Union #237 Funds Office, L.P.O. Box 120, 8803 Niagara Falls Blvd.

Niagara Falls, NY 14304

Email: ibew237funds@yahoo.com
I.B.E.W. LOCAL UNION NO. 237 PENSION PLAN

[IN PAYMENT BETWEEN AGES 75 AND 80]

HOW YOUR MONTHLY PAYMENTS WILL BE AFFECTED

[Participant’s Name]

[Address]

[City], [State] [Zip]

Benefit

Estimated 

Benefit as of

January 1, 2018 Description

Current Plan $4,325.60 This is your current monthly benefit.

Proposed Benefit under

MPRA Recovery Plan

$3,830.11 This is your estimated monthly benefit under the MPRA Recovery Plan, 

beginning on July 1, 2020. Because you will be 25 months younger than age 

80 on July 31, 2020, your benefit is partially protected under MPRA. Only 

42% (25/60 months) of the proposed reduction can be applied to your 

current monthly benefit.

Note: This is not a final benefit calculation. This is an estimate of the effect 

of the proposed reduction on your Plan benefit. The estimate assumes the 

proposed benefit reduction is effective on July 1, 2020. If the benefit 

reduction starts later, the effect of the proposed reduction on your benefit 

might be different.

The proposed reduction is permanent.

Pension Benefit 

Guaranty Corporation 

(PBGC)

$ 939.84 This is your estimated benefit guaranteed by the PBGC.

Note: Without the proposed benefit reduction, you will receive $4,325.60

until the Plan runs out of money. Then you will receive the estimated PBGC 

guaranteed benefit of $ 939.84 thereafter.

The PBGC benefit applies if the Plan does not have enough money to pay 

benefits. However, your PBGC guaranteed benefit may be significantly less 

if the PBGC runs out of money itself.

The above estimates are based on the following information from Plan records:

Factor Description

Service Credits as of January 1, 2018

- Pre08 Credits You earned 51.5335 years of service credit by the end of 2008 under the Plan. 

This is proposed to reduce to 44.7341 years of service credit.

- Post08 Credits You earned 0.0000 years of service credit after 2008 under the Plan.

Your Age on July 31, 2020 77 years and 10 months

Disability Benefit $ 0.00 - This is the portion of you benefit that is based on disability

Contact the Fund Office if you have a question about the factors used to determine your Plan benefit.

Phone: (716) 297-3899

Mail: I.B.E.W. Local Union #237 Funds Office, L.P.O. Box 120, 8803 Niagara Falls Blvd.

Niagara Falls, NY 14304

Email: ibew237funds@yahoo.com
I.B.E.W. LOCAL UNION NO. 237 PENSION PLAN

[IN PAYMENT UNDER AGE 75]

HOW YOUR MONTHLY PAYMENTS WILL BE AFFECTED

[Participant’s Name]

[Address]

[City], [State] [Zip]

Benefit

Estimated 

Benefit as of

January 1, 2018 Description

Current Plan $4,409.65 This is your current monthly benefit.

Proposed Benefit under

MPRA Recovery Plan

$2,880.76 This is your estimated monthly benefit under the MPRA Recovery Plan, 

beginning on July 1, 2020.

Note: This is not a final benefit calculation. This is an estimate of the effect 

of the proposed reduction on your Plan benefit. The estimate assumes the 

proposed benefit reduction is effective on July 1, 2020. If the benefit 

reduction starts later, the effect of the proposed reduction on your benefit 

might be different.

The proposed reduction is permanent.

Pension Benefit 

Guaranty Corporation 

(PBGC)

$1,125.56 This is your estimated benefit guaranteed by the PBGC.

Note: Without the proposed benefit reduction, you will receive $4,409.65

until the Plan runs out of money. Then you will receive the estimated PBGC 

guaranteed benefit of $1,125.56 thereafter.

The PBGC benefit applies if the Plan does not have enough money to pay 

benefits. However, your PBGC guaranteed benefit may be significantly less 

if the PBGC runs out of money itself.

The above estimates are based on the following information from Plan records:

Factor Description

Service Credits as of January 1, 2018

- Pre08 Credits You earned 61.0332 years of service credit by the end of 2008 under the Plan. 

This is proposed to reduce to 47.7342 years of service credit.

- Post08 Credits You earned 0.0000 years of service credit after 2008 under the Plan.

Your Age on July 31, 2020 68 years and 8 months

Disability Benefit $ 0.00 - This is the portion of you benefit that is based on disability

Contact the Fund Office if you have a question about the factors used to determine your Plan benefit.

Phone: (716) 297-3899

Mail: I.B.E.W. Local Union #237 Funds Office, L.P.O. Box 120, 8803 Niagara Falls Blvd.

Niagara Falls, NY 14304

Email: ibew237funds@yahoo.com
I.B.E.W. LOCAL UNION NO. 237 PENSION PLAN

[IN PAYMENT WITH CURRENT BENEFIT LESS THAN 110% OF PBGC GUARANTEE]

HOW YOUR MONTHLY PAYMENTS WILL BE AFFECTED

[Participant’s Name]

[Address]

[City], [State] [Zip]

Benefit

Estimated 

Benefit as of

January 1, 2018 Description

Current Plan $ 194.92 This is your current monthly benefit.

Proposed Benefit under

MPRA Recovery Plan

$ 194.92 This is your estimated monthly benefit under the MPRA Recovery Plan, 

beginning on July 1, 2020.

Note: Without the protections provided through MPRA, your benefit under 

the MPRA Recovery Plan is calculated at $ 179.85. However, under MPRA 

your reduced benefit cannot be lower than 110% of the PBGC guaranteed 

beenfit (noted below); therefore, your reduction is limited to $ 194.92.

Note: This is not a final benefit calculation. This is an estimate of the effect 

of the proposed reduction on your Plan benefit. The estimate assumes the 

proposed benefit reduction is effective on July 1, 2020. If the benefit 

reduction starts later, the effect of the proposed reduction on your benefit 

might be different.

The proposed reduction is permanent.

Pension Benefit 

Guaranty Corporation 

(PBGC)

$ 179.45 This is your estimated benefit guaranteed by the PBGC.

Note: Without the proposed benefit reduction, you will receive $ 194.92

until the Plan runs out of money. Then you will receive the estimated PBGC 

guaranteed benefit of $ 179.45 thereafter.

The PBGC benefit applies if the Plan does not have enough money to pay 

benefits. However, your PBGC guaranteed benefit may be significantly less 

if the PBGC runs out of money itself.

The above estimates are based on the following information from Plan records:

Factor Description

Service Credits as of January 1, 2018

- Pre08 Credits You earned 23.9361 years of service credit by the end of 2008 under the Plan. 

This is proposed to reduce to 20.4005 years of service credit.

- Post08 Credits You earned 0.0000 years of service credit after 2008 under the Plan.

Your Age on July 31, 2020 71 years and 10 months

Disability Benefit $ 0.00 - This is the portion of you benefit that is based on disability

Contact the Fund Office if you have a question about the factors used to determine your Plan benefit.

Phone: (716) 297-3899

Mail: I.B.E.W. Local Union #237 Funds Office, L.P.O. Box 120, 8803 Niagara Falls Blvd.

Niagara Falls, NY 14304

Email: ibew237funds@yahoo.com
I.B.E.W. LOCAL UNION NO. 237 PENSION PLAN

[IN PAYMENT WITH SUSPENSION LIMITED TO 110% OF PBGC GUARANTEE]

HOW YOUR MONTHLY PAYMENTS WILL BE AFFECTED

[Participant’s Name]

[Address]

[City], [State] [Zip]

Benefit

Estimated 

Benefit as of

January 1, 2018 Description

Current Plan $ 429.34 This is your current monthly benefit.

Proposed Benefit under

MPRA Recovery Plan

$ 396.55 This is your estimated monthly benefit under the MPRA Recovery Plan, 

beginning on July 1, 2020.

Note: Without the protections provided through MPRA, your benefit under 

the MPRA Recovery Plan is calculated at $ 332.87. However, under MPRA 

your reduced benefit cannot be lower than 110% of the PBGC guaranteed 

beenfit (noted below); therefore, your reduction is limited to $ 396.55.

Note: This is not a final benefit calculation. This is an estimate of the effect 

of the proposed reduction on your Plan benefit. The estimate assumes the 

proposed benefit reduction is effective on July 1, 2020. If the benefit 

reduction starts later, the effect of the proposed reduction on your benefit 

might be different.

The proposed reduction is permanent.

Pension Benefit 

Guaranty Corporation 

(PBGC)

$ 360.50 This is your estimated benefit guaranteed by the PBGC.

Note: Without the proposed benefit reduction, you will receive $ 429.34

until the Plan runs out of money. Then you will receive the estimated PBGC 

guaranteed benefit of $ 360.50 thereafter.

The PBGC benefit applies if the Plan does not have enough money to pay 

benefits. However, your PBGC guaranteed benefit may be significantly less 

if the PBGC runs out of money itself.

The above estimates are based on the following information from Plan records:

Factor Description

Service Credits as of January 1, 2018

- Pre08 Credits You earned 28.2463 years of service credit by the end of 2008 under the Plan. 

This is proposed to reduce to 21.8993 years of service credit.

- Post08 Credits You earned 0.0000 years of service credit after 2008 under the Plan.

Your Age on July 31, 2020 73 years and 11 months

Disability Benefit $ 0.00 - This is the portion of you benefit that is based on disability

Contact the Fund Office if you have a question about the factors used to determine your Plan benefit.

Phone: (716) 297-3899

Mail: I.B.E.W. Local Union #237 Funds Office, L.P.O. Box 120, 8803 Niagara Falls Blvd.

Niagara Falls, NY 14304

Email: ibew237funds@yahoo.com
I.B.E.W. LOCAL UNION NO. 237 PENSION PLAN

[IN PAYMENT BEFORE AGE 62 WITH LEVEL INCOME OPTION]

HOW YOUR MONTHLY PAYMENTS WILL BE AFFECTED

[Participant’s Name]

[Address]

[City], [State] [Zip]

Benefit

Estimated 

Benefit as of

January 1, 2018 Description

Current Plan $3,996.94 This is your current monthly benefit.

Proposed Benefit under

MPRA Recovery Plan

$2,993.38 This is your estimated monthly benefit under the MPRA Recovery Plan, 

beginning on July 1, 2020. This reflects your election of a Level Income 

Option. If you are younger than age 62 at the time of suspension, your 

benefit will be further reduced in accordance with the form of payment.

Note: This is not a final benefit calculation. This is an estimate of the effect 

of the proposed reduction on your Plan benefit. The estimate assumes the 

proposed benefit reduction is effective on July 1, 2020. If the benefit 

reduction starts later, the effect of the proposed reduction on your benefit 

might be different.

The proposed reduction is permanent.

Pension Benefit 

Guaranty Corporation 

(PBGC)

$1,162.65 This is your estimated benefit guaranteed by the PBGC.

Note: Without the proposed benefit reduction, you will receive $3,996.94

until the Plan runs out of money. Then you will receive the estimated PBGC 

guaranteed benefit of $1,162.65 thereafter.

The PBGC benefit applies if the Plan does not have enough money to pay 

benefits. However, your PBGC guaranteed benefit may be significantly less 

if the PBGC runs out of money itself.

The above estimates are based on the following information from Plan records:

Factor Description

Service Credits as of January 1, 2018

- Pre08 Credits You earned 41.4567 years of service credit by the end of 2008 under the Plan. 

This is proposed to reduce to 35.2796 years of service credit.

- Post08 Credits You earned 6.4280 years of service credit after 2008 under the Plan.

Your Age on July 31, 2020 61 years and 10 months

Disability Benefit $ 0.00 - This is the portion of you benefit that is based on disability

Contact the Fund Office if you have a question about the factors used to determine your Plan benefit.

Phone: (716) 297-3899

Mail: I.B.E.W. Local Union #237 Funds Office, L.P.O. Box 120, 8803 Niagara Falls Blvd.

Niagara Falls, NY 14304

Email: ibew237funds@yahoo.com
I.B.E.W. LOCAL UNION NO. 237 PENSION PLAN

[IN PAYMENT AFTER AGE 62 WITH LEVEL INCOME OPTION]

HOW YOUR MONTHLY PAYMENTS WILL BE AFFECTED

[Participant’s Name]

[Address]

[City], [State] [Zip]

Benefit

Estimated 

Benefit as of

January 1, 2018 Description

Current Plan $3,478.69 This is your current monthly benefit.

Proposed Benefit under

MPRA Recovery Plan

$2,203.42 This is your estimated monthly benefit under the MPRA Recovery Plan, 

beginning on July 1, 2020. This reflects your election of a Level Income 

Option. If you are younger than age 62 at the time of suspension, your 

benefit will be further reduced in accordance with the form of payment.

Note: This is not a final benefit calculation. This is an estimate of the effect 

of the proposed reduction on your Plan benefit. The estimate assumes the 

proposed benefit reduction is effective on July 1, 2020. If the benefit 

reduction starts later, the effect of the proposed reduction on your benefit 

might be different.

The proposed reduction is permanent.

Pension Benefit 

Guaranty Corporation 

(PBGC)

$1,001.74 This is your estimated benefit guaranteed by the PBGC.

Note: Without the proposed benefit reduction, you will receive $3,478.69

until the Plan runs out of money. Then you will receive the estimated PBGC 

guaranteed benefit of $1,001.74 thereafter.

The PBGC benefit applies if the Plan does not have enough money to pay 

benefits. However, your PBGC guaranteed benefit may be significantly less 

if the PBGC runs out of money itself.

The above estimates are based on the following information from Plan records:

Factor Description

Service Credits as of January 1, 2018

- Pre08 Credits You earned 51.1448 years of service credit by the end of 2008 under the Plan. 

This is proposed to reduce to 38.7832 years of service credit.

- Post08 Credits You earned 0.0000 years of service credit after 2008 under the Plan.

Your Age on July 31, 2020 71 years and 0 months

Disability Benefit $ 0.00 - This is the portion of you benefit that is based on disability

Contact the Fund Office if you have a question about the factors used to determine your Plan benefit.

Phone: (716) 297-3899

Mail: I.B.E.W. Local Union #237 Funds Office, L.P.O. Box 120, 8803 Niagara Falls Blvd.

Niagara Falls, NY 14304

Email: ibew237funds@yahoo.com
I.B.E.W. LOCAL UNION NO. 237 PENSION PLAN

[NOT IN PAYMENT]

HOW YOUR MONTHLY PAYMENTS WILL BE AFFECTED

[Participant’s Name]

[Address]

[City], [State] [Zip]

Benefit

Estimated 

Benefit as of

January 1, 2018

Projected 

Benefit as of

July 1, 2020 Description

Current Plan $5,064.80 $5,364.00 These are your estimated current and projected monthly 

benefits under the current plan if you start to receive 

benefits on or after your Normal Retirement Date in the 

form of a Single Life Annuity.

Proposed Benefit 

under

MPRA Recovery Plan

$3,514.03 $3,798.26 This is your estimated monthly benefit under the MPRA 

Recovery Plan, beginning on July 1, 2020.

Note: This is not a final benefit calculation. This is an 

estimate of the effect of the proposed reduction on your 

Plan benefit. The estimate assumes the proposed benefit 

reduction is effective on July 1, 2020. If the benefit 

reduction starts later, the effect of the proposed 

reduction on your benefit might be different.

The proposed reduction is permanent.

Pension Benefit 

Guaranty Corporation 

(PBGC)

$1,251.25 $1,322.75 This is your estimated benefit guaranteed by the PBGC.

Note: Without the proposed benefit reduction, you will 

receive $5,064.80 until the Plan runs out of money. Then 

you will receive the estimated PBGC guaranteed benefit 

of $1,251.25 thereafter.

The PBGC benefit applies if the Plan does not have 

enough money to pay benefits. However, your PBGC 

guaranteed benefit may be significantly less if the PBGC 

runs out of money itself.

The above estimates are based on the following information from Plan records:

Factor Description

Service Credits as of January 1, 2018

- Pre08 Credits You earned 47.7271 years of service credit by the end of 2008 under the Plan. 

This is proposed to reduce to 36.0060 years of service credit.

- Post08 Credits You earned 12.6000 years of service credit after 2008 under the Plan.

Your Age on July 31, 2020 56 years and 1 months

Disability Benefit $ 0.00 - This is the portion of you benefit that is based on disability

Contact the Fund Office if you have a question about the factors used to determine your Plan benefit.

Phone: (716) 297-3899

Mail: I.B.E.W. Local Union #237 Funds Office, L.P.O. Box 120, 8803 Niagara Falls Blvd.

Niagara Falls, NY 14304

Email: ibew237funds@yahoo.com
Page 1 of 3

I.B.E.W. Local Union No. 237 Pension Plan

Exhibit 4.05b

Employers with an Obligation to Contribute

Employer Address City State Zipcode

7 Gens LLC 12587 Route 438 Irving NY 14081

AC Lighting Protection PO Box 127 Westpoint NB 68788

Ahlstrom Schaeffer Electric 46 Hopkins Avenue Jamestown NY 14701

American Rated Cable & Communications 790 E. Delavan Avenue Buffalo NY 14215

Bethany Techologies Company LLC 7072 E. Bethany-Leroy Rd Leroy NY 14482

Billitier Electric, Inc. 790 Brooks Avenue Rochester NY 14619

BN Systems, Inc. P.O. Box 347 Orchard Park NY 14127

Bridge Utility Construction Company 211 Courtwright Street Fort Erie Ontario, CA L2A2R9

Buffalo Security & Fire P.O. Box 823 Buffalo NY 14207

Callea Electric 40 Ajax Road Rochester NY 14624

Catco Electric Contractors 1266 Townline Road Alden NY 14004

Cellectric Electrical Corporation 14 Corporate Circle,

PO Box 160

East Syracuse NY 13057

CIR Electric 400 Ingham Avenue Lackawanna NY 14218

Clarkson Electrical Contractors, Inc. 2730 Colby Street Brockport NY 14420

Concord Electric Corp. 705 Maple Street Rochester NY 14611

Connors-Haas Inc. 6337 Dean Parkway Ontario NY 14519

Control Network Communications 16 Jupiter Lane, Suite 7 Albany NY 12205

Cupertino Electric, Inc. 1132 North Seventh Street San Jose CA 95112-4427

DGI Electrical Services Inc. 978 Upper Mountain Road Lewiston NY 14092

D. Jones Electric 8565 Roll Road Clarence Ctr NY 14032

Deltex 220 Elk Street Buffalo NY 14210

Dave Rulli Electric 2944 Linwood Avenue Niagara Falls NY 14301

Donahue Control Company 11834 Westwood Road Alden NY 14004

East Coast Electric 546 Lyell Avenue Rochester NY 14606

ELDU Energy Services Corporation 165 North Water Street Rochester NY 14604

Electrical Builders Inc. 2720 1 1/2 Street Sourth Saint Cloud MN 56301

Electri-Comm Installation & Service 3900 Broadway Cheektowaga NY 14227

Electrical Corporation of America 7320 Arlington Avenue,

PO Box 18070

Raytown MO 64133

Electrical Service & Systems Installation 35 Lee Street Buffalo NY 14201

EZ Electric 4812 West Pea Ridge Road Huntington WV 25705

Fal-Ken Electric 3306 Dry Brook Road Falconer NY 14733

Falls Electric 626- 67th Street Niagara Falls NY 14304

Ferguson Electric 333 Ellicott Street Buffalo NY 14203

Fredrock Electric, Inc. PO Box 257 Niagara Falls NY 14305

Frey Electric Construction Company 100 Pearce Avenue Tonawanda NY 14150

Goodwin Electric 201 South Youngs Road Williamsville NY 14221

Hatzel & Buehler, Inc. 3600 Silverside Rd,

PO Box 7499

Wilmington DE 19803
Page 2 of 3

I.B.E.W. Local Union No. 237 Pension Plan

Exhibit 4.05b

Employers with an Obligation to Contribute (continued)

Employer Address City State Zipcode

HMT Inc. P.O. Box 1957 Cicero NY 13039

Hoot LLC 25 Short Street,

PO Box 428

Lockport NY 14095

Industrial Power & Lighting Corporation 60 Depot Street Buffalo NY 14206

J&E Electric 2116 Ellis Drive,

PO Box 624

Auburn NY 13021

Kaplan Schmidt 50 Saginaw Drive Rochester NY 14623

KAP Electrical & Industrial, Inc. P.O. Box 2023 Williamsville NY 14231

KW Electric 5950 Diller Road Sanborn NY 14132

Kyle Lawrence Electric 101 Hyde Parkway Palmyra NY 14522

LMC Industrial 2060 Lakeville Road Avon NY 14414

Lacur Electric 201 South Youngs Road Williamsville NY 14221

Lauper Electric 357 Davis Street Elmira NY 14901

Liberty Electric Company LLC 1843 Liberty Drive Williamsport PA 17701

Marinucci Electric 8020 Ashwood Drive Niagara Falls NY 14304

M&M ELECTRIC 4819 Henry Avenue Niagara Falls NY 14304

Matco Electric Corp 320 North Jensen Road Vestal NY 13850

Metro Electric 100 Atlantic Avenue Sloan NY 14212

Michels Corporation P.O. Box 128 Brownsville WI 53006

John Mills Electric, Inc. P.O. Box 2068 Elmira Heights NY 14903

MJM Electric 453 Richmond Avenue Buffalo NY 14222

Modern Tech Design & Service Inc 485 Michigan Avenue Buffalo NY 14203

Network Wiring Solutions 100 Pearce Avenue Tonawanda NY 14150

New Dawn Electrical Corp. 2294 Genesee Street Cheektowaga NY 14227

Northeastern Electrical 53 Regency Oak Blvd, Ste 3 Rochester NY 14624

Northline Utilities 15 School Lane,

PO Box 656

Ausable Forks NY 12912

O'Connell Electric 830 Phillips Road Victor NY 14564

OS Electric 397 Cottonwood Drive Williamsville NY 14221

PISA Electric PO Box 85 Fredonia NY 14063

Point to Point Networking 1 Griffin Brook Drive Methuen MA 1844

Rath Electric 3525 Roosevelt Highway Hamlin NY 14464

Sargent Electric PO Box 30 Pittsburgh PA 15230

Schuler-Haas Electric Corp 240 Commerce Drive Rochester NY 14263

Signorelli Electric 671-69th Street Niagara Falls NY 14304

South Buffalo Electric 1250 Broadway Street Sloan NY 14212

Slifco Electric LLC 1904 Woodslee Drive Troy MI 48083

State Group Industrial Limited (USA) 13800 N. Highway 57 Evansville IN 47725

Suburban Electric of Albion, Inc. 225 E. Bank Street Albion NY 14411

Superior Electric Great Lakes 264 Executive Drive Troy MI 48083

Suttles Electrical Contracting 960 Eggert Road Amherst NY 14226

T&J Electrical Associates LLC 5 Fairchild Square Clifton Park NY 12065
Page 3 of 3

I.B.E.W. Local Union No. 237 Pension Plan

Exhibit 4.05b

Employers with an Obligation to Contribute (continued)

Employer Address City State Zipcode

Twin City Electric 1868 Niagara Falls Blvd,

Ste 311

Tonawanda NY 14150

Union Lighting Protection Installers 5800 Milo Road Dayton OH 45414

West Electric 3304 Colleen Terrace Sanborn NY 14132

Westphal & Company Inc. 14 Marsh Court, PO Box 

7428

Madison WI 53707

Weydman Electric 747 Young Street Tonawanda NY 14150
I.B.E.W. LOCAL UNION NO. 237 PENSION PLAN

BALLOT ON THE PROPOSED REDUCTION OF BENEFITS FOR THE 

I.B.E.W. LOCAL UNION NO. 237 PENSION PLAN

The proposed reduction of benefits under the I.B.E.W. Local Union No. 237 Pension Plan (the 

"Plan") is explained in a notice to you dated June 28, 2019. The notice detailed the proposed 

benefit reductions pursuant to the Multiemployer Pension Reform Act of 2014 (MPRA), which 

would take effect on July 1, 2020 if the Application was approved by the Department of Treasury. 

On [date], the proposed reduction was approved by the Secretary of the Treasury, in consultation 

with the Pension Benefit Guaranty Corporation (the "PBGC") and the Secretary of Labor. It is now 

time to vote on the proposed suspension. The following information is intended to assist you as 

you consider whether to vote for or against the suspension.

The ballot includes the following information:

• Information about the MPRA Recovery Plan

• The proposed reduction’s impact on your benefits

• Factors considered by the Trustees in preparing the MPRA Recovery Plan

• Important information on what happens now that the MPRA Recovery Plan has been 

approved by the Treasury

Information about the MPRA Recovery Plan

The Pension Benefit Reduction and Recovery Plan is scheduled to go into effect on July 1, 2020

and stay in place indefinitely. The Board of Trustees proposed the following reduction to your 

benefits:

The Board has committed to increased contribution levels should the Treasury Department 

approve the application and the membership vote to approve the benefit suspension. 

Contribution increases will be at least $0.25 per hour for 2020.

Additionally, the Board of Trustees proposes the following reduction of benefits: 

• For Plan Years (January 1 to December 31) from 1976 through 2008, Pension Service 

credits will be limited to a maximum of 1.4 credits in a year. This is the same as the service 

limit that exists currently for Plan Years from 2009 and later. So all Plan Years from 1976 

and later will be treated with the same service limit.

• The benefit multiplier for Pension Service credits earned up through 2008 will be limited 

to $71. This is a reduction from the current benefit level of $85 per Pension Service credit. 

Members who retired or had a break in service that resulted in a benefit multiplier of less 

than $71 will have their currently applicable multiplier remain in place.
I.B.E.W. LOCAL UNION NO. 237 PENSION PLAN

• The benefit multiplier for service credits earned in 2009 and later will be reduced to $76. 

This is a reduction from the current benefit level of $80 per service credit.

• In no situation will the above changes result in a benefit of less than 110% of the PBGC 

guaranteed benefit for each affected participant.

• No category or group will be treated differently for the purpose of the benefit reduction, 

except for the following:

- Disability pension benefits are not reduced.

- Benefits for participants who have reached age 80 by July 1, 2020 are not 

reduced.

- Benefits for participants between ages 75 and 80 on July 1, 2020 will have their 

reduction applied in partially as required.

The effect of the suspension on your benefit is shown on the statement delivered with this ballot. 

Factors considered by Trustees

Federal law requires that any reduction of benefits under a suspension plan be distributed fairly 

among the various categories or groups of participants and beneficiaries under the Plan. In 

deciding whether the proposed reduction would be distributed fairly under the Plan, the Board 

of Trustees took into account the following factors:

• Age and life expectancy of Plan participants.

• Status in the Plan (active, terminated vested, retired).

• Amount of benefits provided by the Plan.

• History of benefit increases and reductions.

• Historical contribution rates.

• Discrepancies between benefits provided to active and retired participants.

• Likelihood of active participants to support the Plan, which is needed to for survival of the 

Plan and, consequently, the local Union Electrical industry.

The Plan’s Trustees support the proposed reduction, because you will receive a larger benefit 

than if the Fund became insolvent and ran out of money.

Taking into account the proposed reduction of benefits, the Fund's actuary has certified that 

insolvency will be avoided. Although not certain, it represents the actuary's best projection 

based on all available data.
I.B.E.W. LOCAL UNION NO. 237 PENSION PLAN

What happens next?

If the proposed reduction is rejected by the majority of voters, the 2019 PPA Certification 

indicated the Plan is expected to become insolvent during the 2029 Plan Year. Based on the 

updated assumptions and information we are using to demonstrate the actions taken to avoid 

insolvency, the revised projected insolvency is during the 2028 Plan Year. The projected 

insolvency date is determined using certain assumptions that are reasonably expected to occur 

in the future, but not guaranteed. For example, higher than expected investment returns may 

postpone the insolvency date past 2028, but lower than expected investment returns may bring 

an earlier insolvency date.

If the Plan becomes insolvent, the PBGC will step in and provide the Plan with financial assistance 

and continue paying a portion of your benefits. As illustrated in the individual benefit statements, 

this is capped at a maximum guaranteed amount that is significantly less than the current benefit 

for most participants. The PBGC does not take into account your age or status as a disabled 

participant in making these adjustments to your benefit.

The ability of the Plan to receive financial assistance from the PBGC upon insolvency is also based 

upon the financial stability of the PBGC. In a recent report, the PBGC projected that its 

Multiemployer Plan Program would fully exhaust its own assets within ten years, possibly 

becoming insolvent before the Plan’s projected insolvency date.

In the event that the Plan and the PBGC both become insolvent, participants and beneficiaries in 

pay status would be at risk of receiving benefits that would be dramatically lower than benefits 

otherwise paid in the case of the Plan’s insolvency. If both the Plan and the PBGC Multiemployer 

Program become insolvent, your benefits could be reduced to almost zero.
I.B.E.W. LOCAL UNION NO. 237 PENSION PLAN

The proposed reduction will go into effect on July 1, 2020 unless a majority of all eligible voters 

reject it. Not voting by the deadline is the same as approving the proposed reduction. To 

register your vote, please check one of the two boxes below, sign and print your name, date 

this ballot, and return the completed ballot to Board of Trustees, by [insert appropriate date].

☐ I approve the suspension of benefits.

☐ I reject the suspension of benefits.

Signed

Name (Printed)

Last four of SSN

Date
Page 1 of 12

I.B.E.W. Local Union No. 237 Pension Plan

Exhibit 6.03

Actuarial Assumptions Used for Projections

This Exhibit details the information on actuarial assumptions and methods that, pursuant to Section 6.03 

of Revenue Procedure 2017-43, must be described in an application for approval of a proposed benefit 

suspension. The three parts of this Exhibit correspond to the subsections of Section 6.03 of Revenue 

Procedure 2017-43.

Part 1 - Actuarial assumptions and methods used for projections.

Provided is information regarding specific actuarial assumptions (per Revenue Procedure 2017-43) used 

in the cash flow projections included in the application, with the exception of the projections included in 

Exhibit 3.01 and Exhibit 7.10. The differences in the assumptions used for Exhibit 3.01 and Exhibit 7.10 are 

addressed in Part 3 of this Exhibit.

Investment returns

• Net investment return for deterministic projections:

o Actual year-to-date results for the 2019 plan year through March 31, 2019

o Assumed annualized investment return of 5.90% for the remainder of the 2019 calendar 

year and through 2028

o 7.12% per year during calendar years 2029 and later

• Assumptions used for stochastic projections (if applicable): Not applicable

Mortality assumptions

• Healthy Lives: Society of Actuaries (SOA) baseline 2006 Headcount-weighted table with Blue Collar 

adjustment, gender distinct, with separate rates for pre-commencement and postcommencement. Mortality improvement: MP-2018 projection scale beginning in 2006.

• Disabled Lives: SOA baseline 2006 Headcount-weighted disabled retiree mortality, gender distinct. 

Mortality improvement: MP-2018 projection scale beginning in 2006.

Other demographic assumptions

• The complete list of disability, withdrawal, and retirement decrement rates is included as Exhibit 

6.03-1.
Page 2 of 12

Assumptions regarding form and commencement age of benefits

• Form of payment election assumptions:

o For active and terminated vested participants at retirement:

 45% of all participants elect the straight life annuity

 40% of all participants elect the 50% joint and survivor annuity

 5% of all participants elect the 75% joint and survivor annuity

 10% of all participants elect the 100% joint and survivor annuity

o For active and terminated vested participants at disablement:

 50% of all participants elect the straight life annuity

 30% of all participants elect the 50% joint and survivor annuity

 20% of all participants elect the 100% joint and survivor annuity

• Assumptions regarding the probability of benefit commencement by age for participants who have 

terminated with deferred benefits or who are assumed to terminate with deferred benefits in the 

future are included in Exhibit 6.03-1.

• Assumptions regarding the probability of benefit commencement by age for participants who have 

become disabled or who are assumed to become disabled in the future are included in Exhibit 

6.03-1.

New entrant profile

• The following is a description of the composition of the new hire profile, including the weights

applicable to each assumed age of entry:

o The new hire profile is comprised of the 66 participants who were either first reported as 

plan participants or reported as participants returning to work during plan years 2009-

2018, grouped down to 11 records by accrued benefit, age and sex, weighted as follows:

Accrued Benefit = 0 Accrued Benefit > 0

Age Male Female Male Female

>20 0 1 0 0

20-24 51 0 0 0

25-29 3 0 0 0

30-34 8 0 0 0

35-39 0 0 1 0

40-44 2 0 0 0

45+ 0 0 0 0

Assumptions regarding missing or incomplete data

• Assumption regarding terminated vested participants beyond normal retirement age who, 

because they have not commenced receiving benefit payments, could be considered missing:

None. All such participants are included for valuation and cash flow projection purposes.

• Assumptions to fill in other missing data:

o Spouses of active male/female participants assumed to be 3 years younger/older than the 

participant.

o There are no other missing or incomplete data that would be considered material.
Page 3 of 12

Contribution rates

• An effective hourly contribution rate, reflecting non-reciprocated and net-reciprocated hours, of

$13.25 per hour according to the CBA and rehabilitation plan in place. The Trustees have indicated 

that they will, upon approval of the MPRA Application and affirmative vote by the membership, 

amend the Rehabilitation Plan to replace the remaining contribution schedule with a single $0.25 

per hour contribution increase for 2020. The resulting 2020 contribution rate of $13.50 is assumed 

to continue thereafter without further increase. The tentative increase is used for projection 

purposes.

Contribution base units

• Contribution base units for projection purposes are equal to hours worked in covered

employment, including both non-reciprocated and net reciprocated hours.

• For purposes of calculating future Normal Costs, the assumption regarding number of hours 

associated with each active participant is the average of hours for the three years prior to the 

valuation date; however, only years for which the participant was active in the plan are used in the 

averaging. Each active participant’s average number of contribution base units is then adjusted to 

reflect the total expected number of contribution base units for the plan year versus the number 

of contribution base units reported for the given year.

• For purposes of calculating future employer contributions, it is assumed that 262,000 contribution 

base units (hours) will be worked for the current and all future plan years.

Withdrawal liability payments

• There are no current and no assumed future withdrawal liability payments.

Administrative expenses

• Administrative expenses, expressed as of the beginning of the year, are assumed to be prior year 

non-investment related expenses, and increasing by 2.5% for inflation each year thereafter. It is 

also expected that an additional $150,000 in 2019 and $50,000 in 2020 will be incurred. 

Administrative expenses are expected to return to the inflation adjusted 2017 amounts.

Projection methodology

• A description of any approximation or data grouping techniques that were used: Grouping was 

used on the new entrants file as indicated above. No other approximation or grouping techniques 

were used.

• A description of any changes to the cash flow projections that would normally be provided by the 

actuarial software, including both changes to the programming that affect the results generated 

by the software and modifications to the results generated by the software: None
Page 4 of 12

Part 2 - Supporting documentation for selection of certain assumptions

Investment Returns

• The assumed investment returns, both short- and long-term, were determined using the 2018 

Horizon Survey which provides capital market assumptions for each major asset class. The 

portfolio return is developed using these average survey assumptions and the current portfolio 

allocation. The following table shows the development:

• The estimated portfolio returns of 5.92% for the short-term (i.e., 10-year time period) and the 

7.12% long-term return (i.e 20+ year time period) fall within the range of reasonable long-term 

assumptions provided in a national survey of investment consultants.

Demographic experience

• Provide any study of the plan’s demographic experience performed over the last ten years.

o Attached as Exhibit 6.03-2 are the results of the retirement rates experience study.

o Attached as Exhibit 6.03-2 are the results of the withdrawal rates experience study.

o Attached as Exhibit 6.03-2 are the results of the disability rates experience study.

o Attached as Exhibit 6.03-3 are the results of the form of payment experience study.

• Provide any liability gain or loss analysis performed over the last ten years. If the gain or loss 

analysis is by source, provide the results by source.

10-Year Returns 20-Year Returns

Arithmetic Geometric Arithmetic Geometric

US Equity - Large Cap 36.9% 7.34% 6.07% 8.73% 7.42% 16.39%

US Equity - Small/Mid Cap 3.6% 8.49% 6.57% 10.13% 8.18% 20.20%

Non-US Equity - Developed 11.5% 8.36% 6.71% 9.46% 7.71% 18.67%

Non-US Equity - Emerging 3.8% 10.52% 7.64% 11.94% 8.82% 24.89%

US Corporate Bonds - Core 10.0% 3.54% 3.37% 4.63% 4.46% 5.71%

US Corporate Bonds - Long 

Duration

0.0% 3.90% 3.32% 5.14% 4.44% 10.83%

US Corporate Bonds - High Yield 2.8% 5.29% 4.78% 6.44% 5.82% 10.24%

Non-US Debt - Developed 3.9% 2.37% 2.18% 3.56% 3.22% 6.86%

Non-US Debt - Emerging 0.8% 5.63% 5.00% 6.85% 6.13% 11.43%

US Treasuries (Cash Equivalents) 4.5% 2.55% 2.48% 3.10% 3.05% 2.74%

TIPS (Inflation-Protected) 0.0% 3.08% 2.88% 4.26% 4.04% 6.25%

Real Estate 12.0% 6.89% 5.90% 7.67% 6.66% 13.86%

Hedge Funds 10.2% 5.29% 4.96% 6.61% 6.19% 7.87%

Commodities 0.0% 5.46% 3.97% 6.47% 4.92% 17.60%

Infrastructure 0.0% 7.61% 6.56% 8.24% 7.14% 14.74%

Private Equity 0.0% 10.72% 8.33% 12.17% 9.52% 22.16%

Estimated Portfolio Returns 100.00% 6.50% 5.92% 7.70% 7.12%

Allocation 

Asset Class Percentage

Standard 

Deviation
o No liability gain or loss analysis by demographic assumption has been performed. Cowden 

Associates, Inc. has been retained as the actuary starting with the work for the 2017 

Valuation.

• The percentage of the plan population that is married: According to data provided by the plan 

administrator, of the participants reported with a marriage status, 65% were married and 35% 

were either single or divorced.

• Distribution of each optional form of benefit selected at retirement and disablement for the last 

five years: Please see Exhibit 6.03-3

• Retirement rates by age for benefit commencements during the last 5 years, separately for active 

and terminated vested participants: Please see Exhibit 6.03-2.

Mortality assumptions

• The assumed mortality rates used for Healthy Participants are those from the Society of Actuaries 

(SOA) baseline 2006 Headcount-weighted table with Blue Collar adjustment, gender distinct, with 

separate rates for pre-commencement and post-commencement

• Description of the process that was used to construct the mortality rates based on experience 

study data and the rationale for selecting that process: See the RP-2014 Mortality Tables Report.

• The assumed mortality improvement rates are those published in the SOA MP-2018 improvement 

scale. These mortality improvement rates are applied to the mortality rates starting with the 2006

year.

New entrant profile

• Information and analysis used in the selection of the new entrant profile is provided below:

o A distribution of ages of all new active entrants for each of last five years is shown below. 

A new entrant for purposes of the table below is someone who was an active participant 

as of the valuation date shown but who was not a plan participant as of the prior valuation 

date.

o The new hire profile is comprised of the 66 participants who were either first reported as 

plan participants or reported as participants returning to work during plan years 2009-

2018, grouped down to 11 records by accrued benefit, age and sex, weighted as follows:

Accrued Benefit = 0 Accrued Benefit > 0

Age Male Female Male Female

>20 0% 2% 0% 0%

20-24 77% 0% 0% 0%

25-29 5% 0% 0% 0%

30-34 12% 0% 0% 0%

35-39 0% 0% 2% 0%

40-44 3% 0% 0% 0%

45+ 0% 0% 0% 0%

• A description of the extent to which a material proportion of the new entrants over the last five 

years have had prior vesting service or benefit service: The portion of new entrants with prior 

vesting service is not material (1 out of 66, or 1.5%, having 3 years of prior service).
Contribution base units and employer withdrawals

• For each year starting with the 2009 plan year, Exhibit 6.03-6 provides a table of employers that 

contributed 5% or more of the annual contributions to the plan. The exhibit includes the number 

of contribution base units, the average contribution rate, and the total contribution for each such 

employer.

• The historical trends experienced by the plan with respect to contribution base units and 

contribution rates is documented in several sections within the application, including Sections

5.01(II), 5.02(1)(e), 5.02(3), 5.02(4), and 6.04.

• The assumption of 262,000 hours worked (contribution base units) has been developed by 

reviewing several years of recent plan years of data. Total plan year contributions net of 

reciprocity was divided by the contribution rate to determine an approximate equivalent number 

of hours worked within IBEW Local 237’s jurisdiction. Trustees have advised that this looks to 

produce a reasonable expectation of the amount of contributions to the plan during the current 

and future plan years. 

• Contribution rates are assumed to remain constant at the current collectively bargained rate of 

$13.25 effective May 27, 2019. The Trustees have expressed their commitment to amending the 

Rehabilitation Plan for contribution increases should the Treasury approve this Application and the 

Union membership vote to approve the suspension. The Trustees have indicated their intent to 

increase contributions by $0.25 effective June 1, 2020. Contribution rates for projections are 

assumed to increase according to the indicated intent of the Trustees.

• The Plan has not had an employer withdrawal within, at least, any of the last 5 years. Since the 

Plan is a Construction Industry Plan, we have assumed that there will not be any future 

withdrawals.

Take-up rate with respect to selection of benefit/contribution schedules

• Description of the plan’s experience for take-up of each benefit/contribution schedule made 

available to bargaining units under the rehabilitation plan: Not applicable as only one schedule is 

available to employers.

Projection methodology

• No Approximation techniques were utilized in any of the projections.

• There were no changes to the cash flow projections that would normally be generated by the 

actuarial software, including both changes to the programming that affect the results generated 

by the software and modifications to the results generated by the software.
Page 7 of 12

Part 3 – Additional disclosures relating to use of different assumptions

• Deterministic projections: See Exhibit 6.03-4 for differences. Assumptions listed in italics

correspond with assumptions used in section 3.01 and assumptions not in italics correspond with 

assumptions used in section 4.02(1)

• Stochastic projections: Not applicable.
Page 8 of 12

Exhibit 6.03-1

Decrement Tables

Age

Disability 

Incidence*

Withdrawal 

Incidence Service < 5 Service >= 5 Service < 5 Service >= 5

15 0.000693 0.0435 - - - -

16 0.000693 0.0435 - - - -

17 0.000693 0.0435 - - - -

18 0.000693 0.0435 - - - -

19 0.000700 0.0435 - - - -

20 0.000709 0.0435 - - - -

21 0.000719 0.0435 - - - -

22 0.000731 0.0435 - - - -

23 0.000744 0.0435 - - - -

24 0.000760 0.0435 - - - -

25 0.000779 0.0373 - - - -

26 0.000800 0.0373 - - - -

27 0.000825 0.0373 - - - -

28 0.000853 0.0373 - - - -

29 0.000886 0.0373 - - - -

30 0.000925 0.0531 - - - -

31 0.000970 0.0531 - - - -

32 0.001022 0.0531 - - - -

33 0.001082 0.0531 - - - -

34 0.001152 0.0531 - - - -

35 0.001233 0.0471 - - - -

36 0.001327 0.0471 - - - -

37 0.001437 0.0471 - - - -

38 0.001564 0.0471 - - - -

39 0.001711 0.0471 - - - -

40 0.001882 0.0368 - - - -

41 0.002080 0.0368 - - - -

42 0.002311 0.0368 - - - -

43 0.002578 0.0368 - - - -

44 0.002888 0.0368 - - - -

45 0.003248 0.0442 - - - -

46 0.003665 0.0442 - - - -

47 0.004150 0.0442 - - - -

48 0.004712 0.0442 - - - -

49 0.005365 0.0442 - - - -

50 0.006122 0.0386 - - - -

51 0.007001 0.0386 - - - -

52 0.008021 0.0386 - - - -

53 0.009205 0.0386 - - - -

54 0.010579 0.0386 - - - -

55 0.012173 - - 0.15 - 0.25

56 0.014023 - - 0.10 - -

57 0.016171 - - 0.10 - -

58 0.018663 - - 0.05 - -

59 0.021554 - - 0.40 - -

60 0.024910 - - 0.25 - 0.50

61 0.028805 - - 0.30 - -

62 - - - 0.75 - 0.25

63 - - - 1.00 - -

64 - - - 1.00 - -

65 - - 1.00 1.00 1.00 1.00

*1973 Disability Model, Transactions of Society of Actuaries XXVI

Retirement Incidence 

from Active status

Retirement Incidence 

from terminated status
Page 9 of 12

Exhibit 6.03-2

Experience Review - Decrements

Exposures Exposures

Age Count Count Observed Rate New Rate Age Count Count Observed Rate New Rate

55 53 8 15% 15% 55 26 4 15% 15%

56 41 4 10% 10% 56 20 1 5% 10%

57 35 4 11% 10% 57 18 2 11% 10%

58 27 2 7% 5% 58 14 1 7% 5%

59 21 6 29% 40% 59 10 4 40% 40%

60 13 3 23% 25% 60 6 1 17% 25%

61 7 2 29% 30% 61 5 2 40% 30%

62 4 3 75% 75% 62 2 2 100% 75%

63 1 1 100% 100% 63 1 1 100% 100%

64 0 0 0% 100% 64 0 0 0% 100%

65 0 0 0% 100% 65 0 0 0% 100%

66 0 0 0% 100% 66 0 0 0% 100%

67 0 0 0% 100% 67 0 0 0% 100%

68 0 0 0% 100% 68 0 0 0% 100%

69 0 0 0% 100% 69 0 0 0% 100%

 70+ 0 0 0% 100% 70+ 0 0 0% 100%

Retirement Experience for Active participants from 2014-2018

Actual Experience Actual Experience

Retirement Experience for Active participants from 2008-2018

Exposures Exposures

Age Count Count Observed Rate New Rate Age Count Count Observed Rate New Rate

55 29 4 14% 15% 55 16 1 6% 25%

56 23 2 9% 10% 56 18 0 0% 0%

57 21 2 10% 10% 57 15 0 0% 0%

58 16 1 6% 5% 58 12 0 0% 0%

59 12 5 42% 40% 59 7 1 14% 0%

60 10 2 20% 25% 60 8 0 0% 50%

61 5 2 40% 30% 61 5 0 0% 0%

62 3 2 67% 75% 62 5 1 20% 25%

63 1 1 100% 100% 63 4 0 0% 0%

64 0 0 0% 100% 64 3 0 0% 0%

65 0 0 0% 100% 65 1 0 0% 100%

66 0 0 0% 100% 66 1 0 0% 100%

67 0 0 0% 100% 67 0 0 0% 100%

68 0 0 0% 100% 68 0 0 0% 100%

69 0 0 0% 100% 69 0 0 0% 100%

 70+ 0 0 0% 100% 70+ 0 0 0% 100%

Actual Experience

Retirement Experience for Active participants from 2013-2018 Retirement Experience for Terminated participants from 2013-2018

Actual Experience

Exposures Exposures

Age Count Count Observed Rate New Rate Age Count Count Observed Rate

<25 46 2 4.35% 4.35% <25 0 0 0.00%

25-29 161 6 3.73% 3.73% 25-29 46 0 0.00%

30-34 245 13 5.31% 5.31% 30-34 161 0 0.00%

35-39 255 12 4.71% 4.71% 35-39 245 0 0.00%

40-44 299 11 3.68% 3.68% 40-44 255 0 0.00%

45-49 339 15 4.42% 4.42% 45-49 299 0 0.00%

50-54 311 12 3.86% 3.86% 50-54 339 1 0.29%

55-59 5 0 0.00% 100% 55-59 311 2 0.64%

60-64 4 0 0.00% 100% 60-64 182 4 0.00%

65+ 2 1 0.00% 100% 65+ 29 0 0.00%

<Total> 1667 72 0.00% 100% <Total> 2 0 0.00%

Withdrawal Experience for Active participants from 2008-2018

Actual Experience

Disability Experience for Active participants from 2008-2018

Actual Experience
Page 10 of 12

Exhibit 6.03-3

Experience Review – Payment Form Election

Level income payment option is considered an accelerated form of payment and is not permitted under 

§432(f)(2)(A)(i).

Form of Payment

Number 

Electing

Percentage 

Electing

Election 

Assumption

Life Annuity 10 43.5% 45%

Joint and 50% Survivor 7 30.4% 40%

Joint and 50% Survivor w/ Popup 0 0.0% 0%

Joint and 75% Survivor 1 4.3% 5%

Joint and 75% Survivor w/ Popup 0 0.0% 0%

Joint and 100% Survivor 3 13.0% 10%

Joint and 100% Survivor w/ Popup 0 0.0% 0%

Level Income 2 8.7% 0%

23 100% 100%

Form of Payment

Number 

Electing

Percentage 

Electing

Election 

Assumption

Life Annuity 3 100.0% 50%

Joint and 50% Survivor 0 0.0% 30%

Joint and 50% Survivor w/ Popup 0 0.0% 0%

Joint and 75% Survivor 0 0.0% 0%

Joint and 75% Survivor w/ Popup 0 0.0% 0%

Joint and 100% Survivor 0 0.0% 20%

Joint and 100% Survivor w/ Popup 0 0.0% 0%

Level Income 0 0.0% 0%

3 100% 100%

Retirement Decrement Election

Disability Decrement Election
Page 11 of 12

Exhibit 6.03-4

Disclosures relating to use of different Assumptions

Mortality Healthy: Society of Actuaries (SOA) baseline 2006 Headcount-weighted table 

with Blue Collar adjustment, gender distinct, with separate rates for 

pre-commencement and post-commencement. Mortality 

improvement: MP-2018 projection scale beginning in 2006.

Disabled: SOA baseline 2006 Headcount-weighted disabled retiree mortality, 

gender distinct. Mortality improvement: MP-2018 projection scale 

beginning in 2006.

Healthy: RP-2014 Combined Healthy Blue Collar Headcount Weighted Mortality 

Table, with fully generational projection using scale MP-2015

Disabled: RP-2014 Disabled Retiree Headcount Weighted Mortality Table, with 

fully generational projection using scale MP-2015

Interest Rate Net investment return for deterministic projections:

• Assumed investment return of 6.83% for the 2019 calendar year

• 5.90% per year during calendar years 2020-2028 and 7.12% per year during 

calendar years 2029 and later

7.00%

Expenses Administrative expenses, expressed as of the beginning of the year, are assumed to 

be prior year non-investment related expenses, and increasing by 2.5% for inflation 

each year thereafter. It is also expected that an additional $150,000 in 2019 and 

$50,000 in 2020 will be incurred. Administrative expenses are expected to return to 

the inflation adjusted 2017 amounts.

The normal cost is increased by $110,000 for non-investment related expenses.

Incomplete 

Data

None.

Beneficiary date of birth is missing for one participant. The beneficiary is assumed to 

be three years younger than the participant.

Contribution 

Rates

An effective hourly contribution rate, reflecting non-reciprocated and netreciprocated hours, of $13.25 per hour according to the CBA and rehabilitation plan 

in place. The Trustees have indicated that they will, upon approval of the MPRA 

Application and affirmative vote by the membership, amend the Rehabilitation Plan 

to include a $0.25 contribution increase for 2020. The resulting 2020 contribution 

rate of $13.50 is assumed to continue thereafter without further increase. The 

tentative increase are used for projection purposes.

An effective hourly contribution rate of $13.25 per hour according to the CBA and 

rehabilitation plan in place.
Page 12 of 12

Exhibit 6.03-5

Average Average

Number of Contribution Total Number of Contribution Total

Employer CBUs Rate Contributions Employer CBUs Rate Contributions

2009

Ferguson Electric 99,594 $8.30 $826,630 2014

Frey Electric 41,943 $8.30 $348,128 Ferguson Electric 107,637 $11.25 $1,210,918

CIR Electric 32,817 $8.30 $272,381 Frey Electric 63,198 $11.25 $710,977

Industrial Power and Lighting 24,048 $8.30 $199,601 CIR Electric 47,781 $11.25 $537,531

Cupertino Electric 82,751 $11.25 $930,954

2010

Cupertino Electric 82,906 $9.05 $750,296

Ferguson Electric 58,655 $9.05 $530,829 Ferguson Electric 106,240 $11.75 $1,248,324

Frey Electric 28,495 $9.05 $257,878 Frey Electric 25,234 $11.75 $296,503

Weydman Electric 30,729 $9.05 $278,093 CIR Electric 39,885 $11.75 $468,654

CIR Electric 24,413 $9.05 $220,934 Cupertino Electric 15,806 $11.75 $185,720

O'Connell Electric 17,534 $9.05 $158,680 O'Connell Electric 15,476 $11.75 $181,839

2011

Ferguson Electric 45,634 $9.55 $435,803 Ferguson Electric 83,748 $12.25 $1,025,911

O'Connell Electric 35,855 $9.55 $342,420 Frey Electric 31,739 $12.25 $388,806

Frey Electric 34,483 $9.55 $329,316 CIR Electric 55,167 $12.25 $675,801

Weydman Electric 28,810 $9.55 $275,137 Industrial Power & Lighting 15,507 $12.25 $189,963

CIR Electric 25,594 $9.55 $244,419 O'Connell Electric 18,379 $12.25 $225,145

Industrial Power & Lighting 20,633 $9.55 $197,047 The State Group Industrial 12,708 $12.25 $155,679

2012

Ferguson Electric 98,549 $10.05 $990,415 Ferguson Electric 63,479 $12.75 $809,343

CIR Electric 38,389 $10.05 $385,805 Frey Electric 26,198 $12.75 $334,019

Frey Electric 20,376 $10.05 $204,777 CIR Electric 71,511 $12.75 $911,769

Industrial Power & Lighting 13,771 $12.75 $175,579

2013 O'Connell Electric 14,867 $12.75 $189,556

Ferguson Electric 103,529 $10.55 $1,092,235 Suburban Electric 12,086 $12.75 $154,093

Frey Electric 77,026 $10.55 $812,622

CIR Electric 56,953 $10.55 $600,852

2015

2016

2017
I.B.E.W. Local Union No. 237 Pension Plan

Exhibit 6.04

Ten-Year Experience for Certain Critical Assumptions

Year

Total 

Contributions

Total 

Contribution 

Base Units

Effective 

Contribution 

Rate

Average 

contribution 

rates

Withdrawal 

liability 

payments

Rate of 

return on 

plan assets

2009 $1,942,642 246,242 $7.89 $8.30 $0 10.4%

2010 2,404,309 275,108 8.74 9.05 0 9.6%

2011 2,280,479 248,708 9.17 9.55 0 (3.7%)

2012 2,075,728 213,354 9.73 10.05 0 8.9%

2013 2,811,957 279,014 10.08 10.55 0 11.6%

2014 3,739,668 293,208 12.75 11.25 0 4.4%

2015 2,773,727 243,669 11.38 11.75 0 4.5%

2016 3,098,866 270,980 11.44 12.25 0 7.2%

2017 2,981,401 246,750 12.08 12.75 0 12.4%

2018 3,399,082 262,983 12.93 13.25 0 (3.54%)
Page 1 of 8

I.B.E.W. Local Union No. 237 Pension Plan

Exhibit 6.05

Demonstration of Sensitivity of Projections

Illustration #1 – 1% lower assumed investment return

0.0

1.0

2.0

3.0

4.0

5.0

6.0

7.0

8.0

9.0

10.0

0.00

5.00

10.00

15.00

20.00

25.00

30.00

35.00

40.00

45.00

50.00

Solvency Ratio

Available Resources and Benefit Payments

Available Resources Benefit Payments
Page 2 of 8

I.B.E.W. Local Union No. 237 Pension Plan

Exhibit 6.05

Demonstration of Sensitivity of Projections

Illustration #1 – 1% lower assumed investment return

Plan Year Available Resources Benefit Payments Solvency Ratio

2019 21,146,204 5,128,071 4.12 

2020 20,296,113 4,776,882 4.25 

2021 19,677,626 4,347,038 4.53 

2022 19,474,634 4,435,394 4.39 

2023 19,164,505 4,498,689 4.26 

2024 18,768,668 4,544,494 4.13 

2025 18,301,471 4,580,116 4.00 

2026 17,770,447 4,599,740 3.86 

2027 17,190,093 4,584,834 3.75 

2028 16,593,092 4,609,257 3.60 

2029 16,073,557 4,636,419 3.47 

2030 15,489,765 4,644,157 3.34 

2031 14,859,470 4,616,971 3.22 

2032 14,216,584 4,596,296 3.09 

2033 13,553,457 4,572,033 2.96 

2034 12,874,215 4,498,050 2.86 

2035 12,230,354 4,429,759 2.76 

2036 11,617,787 4,364,940 2.66 

2037 11,033,749 4,327,220 2.55 

2038 10,452,378 4,251,808 2.46 

2039 9,913,136 4,194,371 2.36 

2040 9,399,499 4,134,562 2.27 

2041 8,915,459 4,074,309 2.19 

2042 8,463,150 4,015,202 2.11 

2043 8,042,583 3,974,173 2.02 

2044 7,636,807 3,920,909 1.95 

2045 7,259,247 3,878,001 1.87 

2046 6,900,065 3,848,799 1.79 

2047 6,545,919 3,813,391 1.72 

2048 6,202,141 3,821,259 1.62 

2049 5,823,989 3,808,591 1.53 

2050 5,430,356 3,815,918 1.42 
Page 3 of 8

I.B.E.W. Local Union No. 237 Pension Plan

Exhibit 6.05

Demonstration of Sensitivity of Projections

Illustration #2 – 2% lower assumed investment return

(2.0)

0.0

2.0

4.0

6.0

8.0

10.0

(10.00)

0.00

10.00

20.00

30.00

40.00

50.00

Solvency Ratio

Available Resources and Benefit Payments

Available Resources Benefit Payments
Page 4 of 8

I.B.E.W. Local Union No. 237 Pension Plan

Exhibit 6.05

Demonstration of Sensitivity of Projections

Illustration #2 – 2% lower assumed investment return

Plan Year Available Resources Benefit Payments Solvency Ratio

2019 21,146,204 5,128,071 4.12 

2020 20,143,418 4,776,882 4.22 

2021 19,370,183 4,347,038 4.46 

2022 19,008,787 4,435,394 4.29 

2023 18,537,346 4,498,689 4.12 

2024 17,977,902 4,544,494 3.96 

2025 17,345,342 4,580,116 3.79 

2026 16,647,655 4,599,740 3.62 

2027 15,899,579 4,584,834 3.47 

2028 15,134,117 4,609,257 3.28 

2029 14,428,129 4,636,419 3.11 

2030 13,653,863 4,644,157 2.94 

2031 12,829,126 4,616,971 2.78 

2032 11,987,780 4,596,296 2.61 

2033 11,122,140 4,572,033 2.43 

2034 10,236,022 4,498,050 2.28 

2035 9,380,394 4,429,759 2.12 

2036 8,550,642 4,364,940 1.96 

2037 7,743,591 4,327,220 1.79 

2038 6,932,864 4,251,808 1.63 

2039 6,157,292 4,194,371 1.47 

2040 5,399,739 4,134,562 1.31 

2041 4,663,529 4,074,309 1.14 

2042 3,950,078 4,015,202 0.98 

2043 3,258,731 3,974,173 0.82 

2044 2,571,841 3,920,909 0.66 

2045 1,902,091 3,878,001 0.49 

2046 1,238,971 3,848,799 0.32 

2047 568,458 3,813,391 0.15 

2048 (104,629) 3,821,259 (0.03)

2049 (825,476) 3,808,591 (0.22)

2050 (1,575,629) 3,815,918 (0.41)
Page 5 of 8

I.B.E.W. Local Union No. 237 Pension Plan

Exhibit 6.05

Demonstration of Sensitivity of Projections

Illustration #3 – 0.73% annual increase in hours worked (contribution base units)

0.0

2.0

4.0

6.0

8.0

10.0

12.0

14.0

0.00

10.00

20.00

30.00

40.00

50.00

60.00

Solvency Ratio

Available Resources and Benefit Payments

Available Resources Benefit Payments
Page 6 of 8

I.B.E.W. Local Union No. 237 Pension Plan

Exhibit 6.05

Demonstration of Sensitivity of Projections

Illustration #3 – 0.73% annual increase in hours worked (contribution base units)

Plan Year Available Resources Benefit Payments Solvency Ratio

2019 21,172,294 5,128,071 4.13 

2020 20,529,583 4,777,268 4.30 

2021 20,153,549 4,348,045 4.64 

2022 20,231,420 4,437,361 4.56 

2023 20,241,761 4,501,910 4.50 

2024 20,207,497 4,549,245 4.44 

2025 20,144,670 4,586,675 4.39 

2026 20,062,716 4,608,362 4.35 

2027 19,978,402 4,595,712 4.35 

2028 19,926,812 4,622,769 4.31 

2029 20,046,390 4,652,868 4.31 

2030 20,167,389 4,663,754 4.32 

2031 20,311,959 4,639,889 4.38 

2032 20,518,864 4,622,874 4.44 

2033 20,785,459 4,602,551 4.52 

2034 21,121,580 4,532,483 4.66 

2035 21,585,355 4,468,452 4.83 

2036 22,179,383 4,408,225 5.03 

2037 22,907,917 4,375,680 5.24 

2038 23,752,461 4,305,344 5.52 

2039 24,761,163 4,253,500 5.82 

2040 25,926,105 4,199,538 6.17 

2041 27,260,807 4,145,376 6.58 

2042 28,777,631 4,092,640 7.03 

2043 30,487,414 4,058,574 7.51 

2044 32,384,484 4,012,231 8.07 

2045 34,495,024 3,976,688 8.67 

2046 36,822,229 3,955,427 9.31 

2047 39,366,574 3,927,964 10.02 

2048 42,148,545 3,945,312 10.68 

2049 45,104,718 3,941,708 11.44 

2050 48,269,014 3,958,608 12.19 
Page 7 of 8

I.B.E.W. Local Union No. 237 Pension Plan

Exhibit 6.05

Demonstration of Sensitivity of Projections

Illustration #4 – 0.27% annual decrease in hours worked (contribution base units)

0.0

1.0

2.0

3.0

4.0

5.0

6.0

7.0

8.0

9.0

10.0

0.00

5.00

10.00

15.00

20.00

25.00

30.00

35.00

40.00

45.00

50.00

Solvency Ratio

Available Resources and Benefit Payments

Available Resources Benefit Payments
Page 8 of 8

I.B.E.W. Local Union No. 237 Pension Plan

Exhibit 6.05

Demonstration of Sensitivity of Projections

Illustration #4 – 0.27% annual decrease in hours worked (contribution base units)

Plan Year Available Resources Benefit Payments Solvency Ratio

2019 21,136,555 5,128,071 4.12 

2020 20,391,084 4,776,738 4.27 

2021 19,897,740 4,346,667 4.58 

2022 19,815,399 4,434,671 4.47 

2023 19,620,427 4,497,509 4.36 

2024 19,333,350 4,542,760 4.26 

2025 18,967,638 4,577,729 4.14 

2026 18,530,007 4,596,613 4.03 

2027 18,034,302 4,580,902 3.94 

2028 17,512,428 4,604,389 3.80 

2029 17,068,213 4,630,513 3.69 

2030 16,551,134 4,637,144 3.57 

2031 15,978,172 4,608,798 3.47 

2032 15,382,509 4,586,851 3.35 

2033 14,755,752 4,561,226 3.24 

2034 14,101,477 4,485,901 3.14 

2035 13,470,682 4,416,157 3.05 

2036 12,858,859 4,349,780 2.96 

2037 12,262,642 4,310,311 2.84 

2038 11,655,693 4,233,199 2.75 

2039 11,076,808 4,173,896 2.65 

2040 10,508,920 4,112,149 2.56 

2041 9,955,368 4,049,889 2.46 

2042 9,417,593 3,988,695 2.36 

2043 8,894,797 3,945,394 2.25 

2044 8,369,261 3,889,889 2.15 

2045 7,853,370 3,844,608 2.04 

2046 7,336,242 3,812,856 1.92 

2047 6,803,432 3,774,915 1.80 

2048 6,258,700 3,779,756 1.66 

2049 5,665,166 3,764,220 1.51 

2050 5,040,284 3,768,506 1.34 
Page 1 of 2

I.B.E.W. Local Union No. 237 Pension Plan

Exhibit 6.06

Projection of Funded Percentage

0%

5%

10%

15%

20%

25%

30%

35%

0.00

10.00

20.00

30.00

40.00

50.00

60.00

70.00

80.00

90.00

100.00

Funded Percentage

Plan Assets and Liabilities

Plan Assets Accrued Liability (UC)
Page 2 of 2

I.B.E.W. Local Union No. 237 Pension Plan

Exhibit 6.06

Projection of Funded Percentage

Plan Year Actuarial Value of Assets Actuarial Accrued Liability Funded Percentage

2019 16,852,103 74,269,406 25.04%

2020 15,609,617 66,495,116 23.47%

2021 15,370,552 58,596,753 26.23%

2022 15,581,947 58,312,914 26.72%

2023 15,484,900 57,895,864 26.74%

2024 15,312,226 57,365,357 26.69%

2025 15,047,869 56,738,756 26.52%

2026 14,728,171 56,022,570 26.28%

2027 14,366,299 55,229,331 26.01%

2028 13,995,324 54,398,301 25.72%

2029 13,574,044 53,482,666 25.38%

2030 13,252,323 53,090,494 24.96%

2031 12,896,262 52,664,435 24.48%

2032 12,539,602 52,238,393 24.00%

2033 12,175,452 51,803,811 23.50%

2034 11,806,914 51,371,175 22.98%

2035 11,485,223 50,998,351 22.52%

2036 11,207,709 50,682,984 22.11%

2037 10,973,816 50,423,302 21.76%

2038 10,758,406 50,198,340 21.43%

2039 10,601,841 50,050,646 21.18%

2040 10,489,538 49,965,286 20.99%

2041 10,427,005 49,947,480 20.87%

2042 10,418,140 50,005,105 20.83%

2043 10,465,463 50,139,458 20.87%

2044 10,554,083 50,335,102 20.96%

2045 10,699,532 50,610,172 21.14%

2046 10,894,979 50,959,038 21.37%

2047 11,129,628 51,368,245 21.66%

2048 11,412,588 51,847,674 22.01%

2049 11,702,225 52,355,008 22.35%

2050 12,020,210 52,911,712 22.71%
Page 1 of 4

I.B.E.W. Local Union No. 237 Pension Plan

Exhibit 6.09

NARRATIVE STATEMENT

A. INTRODUCTION

We, the Trustees of the I.B.E.W. Local 237 Pension Plan (the “Plan”), are applying for a suspension of 

benefits under the Multiemployer Pension Relief Act of 2014 (MPRA) because we believe it is the solution 

that is in the best interests of all parties involved. 

The Plan finds itself in the current situation primarily as a result of poor asset returns during the 2000’s 

coupled with periods of reduced work hours over that same time frame. Despite the Trustee’s efforts to 

save the plan through drastic contribution increases, reduced future benefit accruals, and reductions to 

certain plan benefits under a Rehabilitation Plan, the Plan is projected to become insolvent in 2029. The 

plan pays out significantly more in benefits than it receives in contributions, and the industry cannot 

support further efforts to save the Plan with contributions. The Trustees have decided that the only 

possible solution for the Plan to be saved is through benefit suspensions to those already in payment.

B. BACKGROUND

Over the past ten years the Board of Trustees has enacted a number of significant changes that have had 

the effort of improving the funding situation of the Plan. Large contribution increases and significant 

changes in the retirement benefits have been implemented. But the Trustees believe that environment 

in which the Plan sits makes it so that restoring the Pension Plan to long-term solvency and health cannot 

be done at the expense of the future retiree. 

During the 1990’s many multiemployer pension plans, including the IBEW Local 237 Pension Plan, had to 

frequently increase benefits in order to ensure that the contributions required would be tax deductible. 

As such, benefits were often increased for both active participants, by way of higher benefit multipliers, 

and for those participants retired at the time, by way of cost of living adjustments (COLAs). In each 

situation, the amount of the increase was based upon the advice of hired consultants.

During the early 2000’s, investment markets were less than stable. Few funds earned their actuarial 

return assumption over the course of that decade, and unfortunately the IBEW Local 237 Pension Fund 

fell into this group as well. 

Effective January 1, 2001, the benefit multiplier was increased from $71 per year of Pension Service to the 

current $85 per year of Pension Service. The Plan was 98% funded at that time with assets of $45,535,206.

As the result of investment losses, the Plan had assets of $28,641,900 on January 1, 2003 and was 60% 

funded.
Page 2 of 4

In 2008, the Plan suffered another large investment loss, starting the year with $30,349,000 in assets and 

ending with $22,566,500.

There were other factors that had negative consequence on plan funding as well:

• Industries leaving the area, increased non-union competition, and national portability rules 

resulted in decreasing work hours within the Local’s jurisdiction, and reduced contributions 

coming into the Plan.

• The Plan is significantly cash flow negative, paying out more annually in benefits than it receives in 

contributions, and has grown even more cash flow negative over recent years. During the years 

of insufficient investment return this compounded the funding troubles as it was more difficult to 

earn the excessive return to make up for investment losses.

• Increasing life expectancies coupled with active membership declines made it difficult to have 

sufficient contributions to reduce unfunded liabilities.

When the Pension Protection Act (PPA) first became effective in the 2008 plan year, the Plan was certified 

to be in Endangered Status (“Yellow Zone”).The Trustees promptly enacted a Funding Improvement Plan 

effective January 1, 2009 which, at the time it was enacted, anticipated much of the investment loss of 

2008. While investment returns in the subsequent years were good, they weren’t sufficient to overcome 

work hours below actuarial assumptions. In 2013 the Plan was first certified in Critical Status (“Red Zone”) 

and a Rehabilitation Plan was adopted. In this instance, however, the Board was unable to come to 

agreement on a Rehabilitation Plan with reasonable measures that would allow the Fund to emerge from 

the Red Zone within the prescribed time. Therefore the Rehabilitation Plan was adopted with the goal of 

forestalling insolvency as long as possible.

The Funding Improvement and Rehabilitation Plans have worked to put the Plan in a better position than 

would otherwise be the case. However, the Board feels that additional actions available to them in the 

law are not in the best interests of the Plan, the local electrical industry, and the Union. 

There have been significant challenges in the Local with regard to providing enough work for the 

membership: 

1) Industry has generally decreased – the amount of work within the electrical industry has generally

decreased over the last decade or two. Several large plants have either left the area or gone out 

of business, immediately reducing the amount of union work available.

2) Non-union competition has increased

3) National portability rules coupled with reciprocity – these rules allow contractors who are 

headquartered in the jurisdiction of a different local to employ union members from that local 

while performing work within the jurisdiction of IBEW Local 237. This takes away a job that would 

otherwise go to an IBEW 237 member together with the contributions to the IBEW Local 237 

Pension Fund. Instead, those contributions are sent to the traveling employee’s home Local 

pension plan under the National Reciprocity Agreement. This reduces the work hours needed to 

address the Plan’s funding problem. This issue is especially prevalent in the case of IBEW Local 237, 

since it’s a smaller local located adjacent to the larger Buffalo Local where most contractors are 

headquartered.
Page 3 of 4

C. WHY THE TRUSTEES FEEL THE MPRA SUSPENSION IS THE ONLY VIABLE SOLUTION

Efforts taken by the Board thus far have had an impact on anyone who has retired since 2009 through the 

limiting of benefit accruals. But the Trustees feel the largest impact is felt by those who are actively 

working because of the significant increases in the contribution rate over recent years.

The Pension Protection Act of 2006 that created the rules applicable to multiemployer plans and made 

the annual zone certifications a requirement, also created the mechanisms that allow for a plan to make 

changes to benefits and contributions that will rectify the issue. When a plan is in critical status, the law 

provides for changes in benefit that can be substantial – including reductions or complete elimination of 

death benefits, disability benefits, early retirement benefits and other features. The Board recognized 

from the beginning that although the law permitted the removal of certain benefits, those were not 

reasonable changes even if it was something that would save the Plan. Active participants expressed their 

overwhelming preference for a solution that would save the early retirement option, even at the cost of 

a lesser accrual rate.

The Board has considered a number of questions and issues as it determines how to best move the Plan 

forward. The issues that hang in the balance are not small ones and they range from local union 

businesses to local union households and the electrical industry in Niagara Falls as a whole.

• How can the active member be expected to contribute over $13 per hour from their wage package 

for a pension that doesn’t protect them if they become disabled before retirement?

• Will an active member continue to support a defined benefit plan that is increasing in cost while 

benefits are decreasing?

• Why would a union member continue to support such a large portion of their wage package being 

devoted to a plan that doesn’t provide decent benefits when a non-union contractor is offering 

more take-home pay?

• How can union contractors remain competitive with rising contribution rates?

• After years of work in harsh winters, will members support any change to the early retirement age 

under the Plan?

In the end, after much consideration and debate since the passage of MPRA, the Trustees have 

determined that in order to preserve the Union, and the unionized electrical industry of Niagara County, 

the active membership of the Plan cannot be asked to alone bear the burden of restoring the Plan to 

health. The burden must be shared by the retirees who are already in payment.

D. BENEFIT SUSPENSION SOLUTION

The way that the Trustees propose to solve the funding problem is to indefinitely reduce the benefits to 

those in payment according to a uniform formula that will also apply to the accrued benefit of continuing 

actives. The Board has gone through the process to make sure that all of the necessary protections for 

the benefits of those who are older, disabled, or who have benefits under 100% of the Pension Benefit 

Guaranty Corporation (PBGC) have been preserved. The Board has also followed all of the necessary and 

required projections that help to design a new benefit structure that give the Plan the optimal chance for 

recovery within the prescribed limits.
Page 4 of 4

Upon approval by the Treasury Department and vote of Plan Participants, the Plan would be amended as 

follows:

For Plan Years from 1976 through 2008, Pension Service credits will be limited to a maximum of 1.4 

credits in a year. This is the same as the service limit that exists currently for plan years from 2009 

and later. So all years from 1976 and later will be treated with the same service limit.

The benefit multiplier for Pension Service credits earned up through 2008 will be limited to $71. This 

is a reduction from the current benefit level of $85 per service credit. Members who retired or had a 

break in service that resulted in a benefit multiplier of less than $71 will have their currently applicable 

multiplier remain in place.

The benefit multiplier for service credits earned in 2009 and later will be reduced to $76. This is a 

reduction from the current benefit level of $80 per service credit.

The Board of Trustees regrets the measures that are necessary to restore the Fund, but conditions outside 

of their control have created a situation that calls for extreme measures. The Board has given extensive 

thought to all available options, and is confident that of everything available to them, this option provides 

the greatest opportunity for the Plan to regain health and continue to provide benefits to good union 

IBEW members and the highest quality labor to its contractors for generations to come.


~~~~~~~r=~r~ur~~ 

OF THE 

I.B.E.W. LOCAL UNION NO.237 

PENSION PLAN 

April 1, 2018 

EIN: 16-6094914 
TABLE OF CONTENTS 

ARTICLE I 

DEFINITIONS 

ARTICLE II 

TOP HEAVY 

2.1 TOP HEAVY REQUIREMENTS .........................................................................................10 

2.2 DETERMINATION OF TOP HEAVY STATUS .................................................................10 

2.3 DETERMINATION OF PRESENT VALUES AND AMOUNTS ......................................13 

2.4 MINIMUM BENEFITS ..........................................................................................................14 

2.5 EXCLUSION OF COLLECTIVELY BARGAINED EMPLOYEES .................................. 14 

ARTICLE III 

ELIGIBILITY/PARTICIPATION 

3.l COMMENCEMENT OF PARTICIPATION ........................................................................14 

3.2 ALTERNATE COMMENCEMENT OF PARTICIPATION ...............................................14 

3.3 DETERMINATION OF ELIGIBILITY ................................................................................. 14 

3.4 TERMINATION OF ELIGIBILITY ......................................................................................15 

3.5 OMISSION OF ELIGIBLE EMPLOYEE .............................................................................15 

3.6 INCLUSION OF INELIGIBLE EMPLOYEE .......................................................................15 

ARTICLE IV 

CONTRIBUTIONS 

4.1 FORMULA FOR DETERMINING EMPLOYER'S CONTRIBUTION .............................16 

4.2 TIME OF PAYMENT OF EMPLOYER'S CONTRIBUTION ............................................16 

4.3 ACTUARIAL METHODS ....................................................................................................16 

i 

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50300.001? 
ARTICLE V 

PENSION SERVICE 

5.1 PENSION SERVICE 

5.2 LIMITATIONS ......... 

ARTICLE VI 

VESTING SERVICE 

16 

17 

6.1 VESTING ...............................................................................................................................17 

6.2 VESTING SERVICE ..............................................................................................................18 

6.3 BREAKS IN SERVICE ..........................................................................................................18 

6.4 INTERRUPTED PENSION SERVICE .................................................................................19 

ARTICLE VII 

BENEFITS 

7.1 NORMAL RETIREMENT BENEFIT ................................................. 

7.2 SPECIAL EARLY RETIREMENT BENEFIT ................................... 

7.3 EARLY RETIREMENT BENEFIT ..................................................... 

7.4 DISABILITY RETIREMENT BENEFIT ............................................ 

7.5 CHANGES IN AMOUNT OF BENEFITS ......................................... 

7.6 BENEFIT INCREASES ....................................................................... 

7.7 MINIMUM BENEFIT REQUIREMENT FOR TOP HEAVY PLAN 

7.8 COMMENCEMENT OF BENEFITS ................................................. 

7.9 SUSPENSION OF BENEFITS ............................................................ 

7.10 NOTIFICATION OF SUSPENSION OF BENEFITS ........................ 

~~ 

# l 792761.v2 

50300.0012 

................19 

................ 20 

................ 20 

................21 

................ 22 

................ 22 

................ 23 

................ 25 

................ 26 

................ 27 
ARTICLE VIII 

FORMS OF BENEFIT 

8.1 QUALIFIED JOINT AND SURVNOR ANNUITY ............................................................27 

8.2 STRAIGHT-LIFE ANNUITY ................................................................................................28 

8.3 LEVEL INCOME OPTION ................................................................................................... 28 

8.4 WAIVER OF JOINT AND SURVIVOR ANNUITY ...........................................................29 

8.5 DISTRIBUTION OF BENEFITS UPON DEATH ............................................................... 31 

8.6 DESIGNATED BENEFICIARY ........................................................................................... 32 

8.7 DISTRIBUTION OF BENEFITS ...........................................................................................32 

8.8 DISTRIBUTION FOR MINOR BENEFICIARY ................................................................. 32 

8.9 LOCATION OF PARTICIPANT OR BENEFICIARY UNKNOWN ................................. 32 

8.10 DIRECT ROLLOVER ............................................................................................................33 

8.11 QUALIFIED DOMESTIC RELATIONS ORDER DISTRIBUTION ..................................35 

8.12 HEART ACT .......................................................................................................................... 35 

ARTICLE IX 

REQUIRED DISTRIBUTIONS 

9.1 GENERAL ..............................................................................................................................36 

9.2 TIME AND MANNER OF DISTRIBUTION .......................................................................37 

9.3 AMOUNT TO BE DISTRIBUTED EACH YEAR ..............................................................38 

9.4 ANNUITY DISTRIBUTIONS THAT COMMENCE DURING LIFETIME ...................... 39 

9.5 REQUIREMENTS FOR MINIMUM DISTRIBUTIONS WHERE 

PARTICIPANT DIES BEFORE DISTRIBUTION BEGINS ............................................... 40 

9.6 DEFINITIONS ........................................................................................................................ 41 

~~~ 

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50300.001? 
ARTICLE X 

CODE SECTION 415 LIMITATIONS 

10.1 EFFECTIVE DATE ................................................................................................................41 

10.2 GRANDFATHER PROVISIONS ..........................................................................................41 

10.3 INCORPORATION BY REFERENCE .................................................................................42 

10.4 ADJUSTMENT TO DOLLAR LIMIT AFTER SEVERANCE ...........................................42 

10.5 COMPENSATION PAID AFTER SEVERANCE FROM EMPLOYMENT ..................... 42 

10.6 ADMINISTRATIVE DELAY ...............................................................................................43 

10.7 OPTION TO APPLY COMPENSATION PROVISIONS EARLY .....................................43 

10.8 ANNUAL COMPENSATION LIMIT ...................................................................................43 

10.9 DEFINITION OF COMPENSATION ...................................................................................43 

10.10 AGGREGATION WITH OTHER EMPLOYER PLANS .................................................... 44 

10.11 PENSION FUNDING EQUITY ACT ................................................................................... 44 

10.12 BENEFIT RESTRICTIONS UNDER THE PENSION PROTECTION ACT .....................47 

ARTICLE XI 

EMPLOYEE RIGHTS 

11.1 GENERAL RIGHTS OF EMPLOYEES AND BENEFICIARIES ......................................48 

11.2 REGULAR REPORTS AND DISCLOSURE REQUIREMENTS ......................................49 

11.3 INFORMATION GENERALLY AVAILABLE ................................................................... 49 

11.4 SPECIAL DISCLOSURES ....................................................................................................49 

11.5 EMPLOYEE RIGHT TO COMMENT ................................................................................. 50 

11.6 CLAIMS PROCEDURE ........................................................................................................ 50 

11.7 CLAIMS REVIEW PROCEDURE ....................................................................................... 51 

11.8 ACTION OF TRUSTEES ...................................................................................................... 53 

11.9 PROTECTION FROM REPRISAL ....................................................................................... 53 

iv 

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ARTICLE XII 

AMENDMENT, TERMINATION AND MERGERS 

12.1 AMENDMENT ...................................................................................................................... 53 

12.2 TERMINATION .....................................................................................................................54 

12.3 MERGER OR CONSOLIDATION ....................................................................................... 54 

ARTICLE XIII 

MISCELLANEOUS 

13.1 PARTICIPANT'S RIGHTS ................................................................................................... 55 

13.2 ALIENATION ........................................................................................................................ 55 

13.3 CONSTRUCTION OF PLAN ................................................................................................55 

13.4 GENDER AND NUMBER ....................................................................................................55 

13.5 LEGAL ACTION ................................................................................................................... 55 

13.6 PROHIBITION AGAINST DIVERSION OF FLTNDS .........................................................56 

13.7 BONDING .............................................................................................................................. 56 

13.8 EMPLOYERS' AND TRUSTEES' PROTECTIVE CLAUSE ............................................ 56 

13.9 INSURER'S PROTECTIVE CLAUSE .................................................................................57 

13.10 RECEIPT AND RELEASE FOR PAYMENTS .................................................................... 57 

13.11 ACTION BY THE TRUSTEES ............................................................................................. 57 

13.12 NAMED FIDUCIARIES AND ALLOCATION OF RESPONSIBILITY ........................... 57 

13.13 HEADINGS ............................................................................................................................ 58 

13.14 APPROVAL BY INTERNAL REVENUE SERVICE ......................................................... 58 

13.15 UNIFORMITY ........................................................................................................................58 

v 

# l 792761.v2 

50300.0012 
RESTATEMENT 

I.B.E.W. LOCAL UNION NO.237 

PENSION PLAN 

THIS PLAN is hereby adopted this o~. I~~day of September, 2018, by the Trustees of the 

I.B.E.W. Local Union No. 237 Pension Fund (the "Trustees"). 

WITNESETH: 

WHEREAS, the Trustees of I.B.E.W. Local Union No. 237 Pension Fund have heretofore 

entered into an Agreement and Declaration of Trust (the "Trust Agreement") establishing a Pension 

Plan effective January 1, 1976, in order to provide retirement income to members of the Union 

employed by certain participating employers; and 

WHEREAS, the Trustees of I.B.E.W. Local Union No. 237 Pension Fund have previously 

adopted a Restated Plan of Benefits ("the Plan") effective the first day of, January 2014; and 

WHEREAS, under the teens of the Trust Agreement, the Trustees have the ability to amend 

the Plan of Benefits; 

NOW, THEREFORE, effective April 1, 2018, except as otherwise provided, the Trustees in 

accordance with the provisions of Trust Agreement pertaining to amendments thereof, hereby 

amends the Plan in its entirety and restates the Plan to provide as follows: 

ARTICLE I 

DEFINITIONS 

1.1 "Accrued Benefit' means a Participant's earned Normal Retirement Benefit under the Plan 

on any date. The monthly amount of a Participant's Normal Retirement Benefit is equal to the 

monthly benefit determined in accordance with Article V, which would be payable to the 

Participant on his Early Retirement Date, Special Early Retirement Date, or Normal Retirement 

Date based on his Pension Service completed as of the date of determination, whichever benefit is 

greater. 

1.2 "Act" means the Employee Retirement Income Security Act of 1974, as it maybe amended 

from tine to tune. 

1.3 "Actuarial Equivalent' means a form of benefit differing in time, period, or manner of 

payment from a specific benefit provided under the Plan but having the same value when computed 

using the 1983 Group Annuity Mortality Table and an assumed interest rate of 7.5%annually. 

Notwithstanding the preceding paragraph, for purposes of determining the amount of a 

distribution in a form other than an annual benefit that is nondecreasing for the life of the 

participant or, in the case of a qualified pre-retirement survivor, the life of the participant's 

#2505297-v2 

50300.00 l 6 
spouse; or that decreases during the life of the participant merely because of the death of the 

surviving annuitant (but only if the reduction is to a level not below 50% of the annual benefit 

payable before the death of the surviving annuitant) or merely because of the cessation or 

reduction of Social Security supplements or qualified disability payments, actuarial equivalence 

will be determined on the basis of the applicable mortality table and applicable interest rate under 

Code Section 417(e), if it produces a benefit greater than that determined under the preceding 

paragraph. 

The applicable interest rate is the rate of interest on 30-year Treasury securities as specified by 

the Commissioner for the second calendar month preceding the first day of the plan quarter, that 

contains the annuity starting date for the distribution and for which the applicable interest rate 

remains constant. 

A plan amendment that changes the date for determining the applicable interest rate (including an 

indirect change as a result of a change in plan year), shall not be given effect with respect to any 

distribution during the period commencing one year after the later of the amendment's effective 

date or adoption date, if, during such period and as a result of such amendment, the participant's 

distribution would be reduced. 

The Internal Revenue Code section 4l7 applicable mortality table shall be as set forth in Rev. Rul. 

95-6, 1995-1 C.B. 80 for distributions prior to December 31, 2002, and the table set forth in Rev. 

Rul. 2001-62 for distributions occurring on or after such date and before January 1, 2008. 

For distributions occurring on ar after January 1, 2008, for purposes of the Plan's provisions 

relating to the calculation of the present value of a benefit payment that is subject to Code 

Section 417(e), as well as any other Plan provision referring directly or indirectly to the 

"applicable interest rate" or "applicable mortality table" used for purposes of Code Section 

417(e), any provision prescribing the use of the annual rate of interest on 30-year U.S. Treasury 

securities shall be iinpletnented by instead using the rate of interest determined by applicable 

interest rate described by Code Section 417(e) after its amendment by PPA. Specifically, the 

applicable interest rate shall be the adjusted first, second, and third segment rates applied under 

the rules similar to the rules of Code Section 430(h)(2)(C) for the calendar month (lookback 

month) before the first day of the Plan Year in which the anmiity starting date occurs (stability 

period), or such other lookback month and stability period as elected in Amendment Section 2.7. 

For this purpose, the first, second, and third segment rates are the first, second, and third segment 

rates which would be detei-~nined under Code Section 430(h)(2)(C) if: 

(a) Code Section 430(h)(2)(D) were applied by substituting the average yields for the 

month described in the preceding paragraph for the average yields for the 24-

month period described in such section, and 

(b) Code Section 430(h)(2)(G)(i)(II) were applied by substituting "Section 

417(e)(3)(A)(ii)(II) for "Section 412(b)(5)(B)(ii)(II)," and 

(c) The applicable percentage under Code Section 430(h)(2)(G) is treated as being 

20% in 2008, 40% in 2009, 60% in 2010, and 80% in 2011. 

2 

#2505297-v2 

50300.0016 
For purposes of the Plan's provisions relating to the calculation of the present value of a benefit 

payment that is subject to Code Section 417(e), as well as any other Plan provision referring 

directly or indirectly to the "applicable interest rate," any provision directly or indirectly 

prescribing the use of the mortality table described in Revenue Ruling 2001-62 shall be amended 

to prescribe the use of the applicable annual mortality table within the meaning of Code Section 

417(e)(3)(B), as initially described in Revenue Ruling 2007-67. 

In the event this Section is amended, the Actuarial Equivalent of a Participant's Accrued Benefit on 

or after the date of change shall be determined as the greater of (1) the Actuarial Equivalent of the 

Accrued Benefit as of the date of change computed on the old basis, or (2) the Actuarial Equivalent 

of the total Accrued Benefit computed on the new basis. 

1.4 "Administrator" means the person designated by the Trustees, to administer the Plan on 

behalf of the Trustees. 

1.5 "Affiliated Employer" means any corporation which is a member of a controlled group of 

corporations (as defined in Code Section 414(b)) which includes the Employer; any trade or 

business (whether or not incorporated) which is under common control (as defined in Code Section 

414(c)) with the Employer; any organization (whether or not incorporated) which is a member of an 

affiliated service group (as defined in Code Section 414(in)) which includes the Employer; and any 

other entity required to be aggregated with the Employer pursuant to Regulations under Code 

Section 414(0). 

1.6 "Aggregate Account" means, with respect to each Participant, the value of ail accounts 

maintained on behalf of a Participant, whether attributable to Employer or Employee contributions, 

used to determine Top Heavy Plan status under the provisions of a defined contribution plan 

included in any Aggregation Group (as defined in Article II). 

1.7 "Anniversary Date" means December 31st. 

1.8 "Beneficiary" means the person to whom the share of a deceased Participant's total account 

is payable, subject to the restrictions of Section 8.6. 

1.9 "Code" means the Internal Revenue Code of 1986, as amended or replaced from tune to 

time. 

1.10 "Collective Bargaining Agreement" means any agreement or agreements in force and effect 

between the Union and any Employer or association of Employers, which agreement or agreements 

provides for the payment of periodic contributions by the Employer to the Fund. 

1.11 "Contract" or "Policy" means any life insurance policy, retirement income or annuity 

policy, or annuity contract (group or individual) issued pursuant to the terms of the Plan. 

#2505297-v2 

50300.0016 
1.12 "Disability Retirement Date" means the first day of the month following the date the 

Employee becomes Totally and Permanently Disabled, provided the Employee (i) has not attained 

Normal Retirement Age, and (ii) has completed seven (7) years of Pension Service or seven (7) 

years of Vesting Service. The Plan's definition of Disability Retirement Date and Total and 

Permanent Disability at the time of disability will control. 

Effective April 1, 2018, "Disability Retirement Date" means the first day of the month 

following the date the Participant becomes Totally and Permanently Disabled, provided the 

Participant (i) has not attained his earliest Early or Special Early Retirement Date, (ii) has 

completed seven (7) years of Pension Service or seven (7) years of Vesting Service and (iii) has 

completed 2,500 Hours of Service in the sixty (60) calendar months iininediately preceding such 

date. 

1.13 "Early Retirement Date" shall mean the first day of a month following the Employee's fiftyfifth (55th) birthday, but before his Normal Retirement Age, providing that such employee has 

completed at least fifteen (15) years of Pension Service or ten (10) years of Vesting Service. 

Effective January 1, 2009 "Early Retirement Date" shall mean the first day of a month 

following the Employee's fifty-fifth (55th) birthday, but before his Normal Retirement Age, 

providing that such employee has completed at least fifteen (15) years of Pension Service or five (5) 

years of Vesting Service. 

1.14 "Eligible Employee" means all persons covered by a Collective Bargaining Agreement 

between the Union and an Employer where such collective bargaining agreement provides for 

periodic contributions to the Fund, including part-time employees for whom contributions are 

required to be made. 

The teen "Eligible Employee" shall also include persons in the employ of the Union, for whom the 

Union has become a contributing Employer, with the consent of the Trustees, and persons in the 

employ of the Trust Fund, with the consent of the Trustees. 

Employees of Affiliated Employers shall not be eligible to participate in this Plan unless such 

Affiliated Employers have specifically adopted this Plan in writing. 

1.15 "Employee" means any person who is employed by an Employer or Affiliated Employer, 

but excludes any person who is an independent contractor. Employee shall include Leased 

Employees within the meaning of Code Sections 414(n)(2) and 414(0)(2) unless such Leased 

Employees are covered by a plan described in Code Section 414(n)(5) and such Leased Employees 

do not constitute more than 20% of the recipient's non-highly compensated work force. 

1.16 "Employer" means: 

(a) any individual, fine, association, partnership or corporation, who is bound by a 

Collective Bargaining Agreement with the Union and in accordance therewith 

agrees to participate in and contribute to the Fund; and 

4 

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50300.00 l 6 
(b) with the consent of the Trustees, any individual, firm, association, partnership or 

corporation, who is not a member of or represented in collective bargaining but who 

is in the electrical industry and is bound by a Collective Bargaining Ageement with 

the Union and in accordance therewith, agrees to participate in and contribute to the 

fund. 

1.17 "Family Member" means, with respect to an affected Participant, such Participant's spouse, 

such Participant's lineal descendants and ascendants and their spouses, all as described in Code 

Section 414(q) (6) (B). 

1.18 "Fiduciary" means any person who (a) exercises any discretionary authority or discretionary 

control respecting management of the Plan or exercises any authority or control respecting 

management or disposition of its assets, (b) renders investment advice for a fee or other 

compensation, direct ar indirect, with respect to any monies or other property of the Plan or has any 

authority or responsibility to do so, or (c) has any discretionary authority or discretionary 

responsibility in the administration of the Plan, including, but not limited to, the Trustees, the 

Employer and its representative body, and the Administrator. 

1.19 "Forfeiture" means any amounts contributed on behalf of an Eligible Employee who shall 

fail to become a Participant in the Plan, together with any amounts that nay otherwise be forfeited 

under the Plan pursuant to Section 3.4 or 8.9. 

1.20 "Former Participant' means a person who has been a Participant, but who has ceased to be a 

Participant for any reason. 

1.21 "Fund" means the "I.B.E.W. Local Union No. 237 Pension Fund." 

1.22 "Hour of Service" means: 

(a) Each hour for which an Employee is directly or indirectly paid or entitled to 

payment by an Employer for the performance of duties. These hours shall be 

credited to the Employee for the computation period or periods in which the duties 

are perfoi-~ned; and 

(b) Each hour for which the Employee is paid or entitled to payment by an Employer on 

account of a period of dine during which no duties are performed (irrespective of 

whether the employment relationship has terminated) due to vacation, holiday, 

illness, incapacity (including disability), lay-off, jury duty, military leave or leave of 

absence. Notwithstanding the preceding sentence: 

(1) No more than five hundred one (501) Hours of Service are required to be 

credited to an Employee under this paragraph (b) on account of any single 

continuous period during which the Employee performed no duties (whether 

or not such period occurs in a single computation period); 

5 

~?sos29~-~2 

50300.0016 
(2) No hours shall be credited under this paragaph (b) for any payments made 

or due under a plan maintained solely for the purpose of complying with any 

applicable worlclnan's compensation, unemployment compensation or 

disability insurance laws; and 

(3) No hours shall be credited under this paragraph (b) for a payment, which 

solely reimburses an Employee for medical or medically related expenses 

incurred by the Employee. 

For purposes of this paragraph (b) a payment shall be deemed to be made by 

or due from an Employer regardless of whether such payment is made by or 

due from the Employer directly, or indirectly through, among others, a trust 

fund or insurer, to which the Employer contributes or pays premiums. 

(c) Each Hour for which back pay, irrespective of mitigation of damages, is either 

awarded or agreed to by an Employer. The same Hours of Service shall not be 

credited both under paragraph (a) or (b), as the case may be, and under this 

paragraph (c). Nor snore than five hundred one (501) Hours shall be credited under 

this subparagraph for a period of time during which an employee did not or would 

not have performed duties. 

The number of Hours to be credited in the computation period in which such hours shall be credited 

shall be detei7nined under Title 29, Code of Federal Regulations, Section 2530.200(b)-2(b) and (c), 

which regulations are hereby incorporated by reference. 

In addition, an Employee who is absent from work for maternity or paternity reasons shall receive 

credit for each Hour which would otherwise have been credited to him but for his absence, or in any 

case in which such hours cannot be determined eight (8) hours per day during the period of such 

absence. For purposes of this paragaph an absence (i) by reason of the pregnancy of an Employee, 

(ii) by reason of the birth of a child of the Employee, (iii) by reason of the placement of a child with 

the Employee in connection with the adoption of such child by the Employee, or (iv) for purposes 

of caring for such child for a period beginning immediately following such birth or placement. The 

Hours credited under this paragraph shall be limited to such number of Hours as is necessary to 

bring the total number of Hours credited for a computation period to five hundred one (501) Hours 

and shall be credited only for the computation period in which the absence from work commences, 

or if the Employee otherwise has at least five hundred one (501) Hours in such computation period, 

for the following computation period. 

Hours of Service performed as a partner or sole proprietor shall not be taken into consideration for 

any purposes of this Plan. 

Periods of absence due to service in the Armed Forces of the United States will be provided in 

accordance with §414(u) of the Internal Revenue Code, provided the Employee complies with all of 

the requirements of Federal Law in order to be entitled to re-employment and provided further that 

the Employee returns to employment with an Employer within the period provided by such law. In 

addition, a reemployed veteran's period of military service will constitute service with the 

6 

#2505297-~2 

50300.0016 
Employer for purposes of determining the nonforfeitability of the individual's accrued benefits and 

of determining the accrual of benefits under the plan. 

1.23 "Inveshnent Manager" means an entity that (a) has the power to manage, acquire, or dispose 

of Plan assets and (b) acknowledges fiduciary responsibility to the Plan in writing. Such entity 

must be a person, firm, or corporation registered as an investment adviser under the Investment 

Advisers Act of 1940, a bank, or an insurance company. 

1.24 "Key Employee" means any employee or former employee (including any deceased 

employee) who at any time during the plan year that includes the determination date was an 

officer of the employer having annual compensation greater than ~ 130,000 (as adjusted under 

section 416(1)(1) of the Code for plan years beginning after December 31, 2002), a 5-percent 

owner of the employer, or a 1-percent owner of the employer having annual compensation of 

snore than $150,000. For this purpose, annual compensation means compensation within the 

meaning of section 415(c)(3) of the Code. The determination of who is a key employee will be 

made in accordance with section 416 (i)(1) of the Code and the applicable regulations and other 

guidance of general applicability issued thereunder. 

1.25 "Late Retirement Date" means the Anniversary Date coinciding with or next following a 

Participant's actual Retirement Date after having reached his Normal Retirement Date. 

1.26 "Leased Employee" means any person who is not an employee of the recipient and who 

provides services to the recipient i£ 

(a) such services are provided pursuant to an agreement between the 

recipient and any other person (the "leasing organization"); 

(b) such person has performed such services for the recipient (or for the 

recipient and related persons) on a substantially full-time basis for a 

period of at least 1 year; and 

(c) such services are performed under primary direction or control by 

the recipient. 

127 "Non-Hourly Paid Employee" means an Employee who is not compensated on an hourly 

basis. Hours of service for Non-Hourly Employees shall be based on a normal work week of fifty 

(50) hours. 

1.28 "Non-Key Employee" means any Employee or former Employee (and his Beneficiaries) 

who is not a Key Employee. 

1.29 "Normal Retirement Age" means the Participant's sixty-fifth (65tt'> birthday. 

From September 1, 1986 to December 31, 1997, Normal Retirement Age was the 

Participant's sixty-second (62°d) birthday. 

7 

#2505297-v2 

50300.0016 
From January 1, 1997 to December 31, 2008, Normal Retirement Age was the Participant's 

sixtieth (60th) birthday. 

1.30 "Normal Retirement Date" means a Participant's sixty-fifth (65`l') birthday provided he has 

reached his fifth anniversary of participation in the Plan. 

Prior to September 1, 1986, Normal Retirement Date means the Participant's sixty-fifth 

(65`'') birthday provided he has completed fifteen (15) years of Pension Service or ten (10) years of 

Vesting Service. 

From September 1, 1986 to December 31, 1996, Normal Retirement Date means the 

Participant's sixty-second (62°d) birthday provided he has completed fifteen (15) years of Pension 

Service ar ten (10) years of Vesting Service. 

From January 1, 1997 to December 31, 2008, Normal Retirement Date means the 

Participant's sixtieth (60~~') birthday provided he has completed fifteen (15) years of Pension 

Service or five (5) years of Vesting Service. 

1.31 "Participant" means any Eligible Employee who elects to participate in the Plan as provided 

in Section 3.2 and who has not for any reason become ineligible to participate further in the Plan. 

1.32 "Plan" means the "I.B.E.W. Local Union No. 237 Pension Plan" set forth herein and all 

subsequent amendments thereto. 

1.33 "Plan Year" means the Plan's accounting year of twelve (12) months coininencing on 

January 1st of each year and ending the following December 31st. However, prior to May 1, 1971, 

a Plan Year shall mean each 12 month period begiru~ing May 1 and ending the following April 

30th. The period beginning May 1, 1971, tlu-ough December 31, 1971, sha11 constitute a Plan Year. 

1.34 "Pre-Retirement Survivor Annuity" is an immediate annuity for the life of the Participant's 

spouse the payments under which must be equal to the amount of benefit which can be purchased 

with the accounts of a Participant used to provide the death benefit under the Plan. 

1.35 "Regulation" means the Income Tax Regulations as promulgated by the Secretary of the 

Treasury or his delegate, and as amended from time to time. 

1.36 "Retired Participant' means a person who has been a Participant, but ~vho is receiving 

retirement benefits under the Plan. 

1.37 "Retirement Date" means the date as of which a Participant retires for reasons other than 

Total and Permanent Disability, whether such retirement occurs on a Participant's Normal, Early, 

Special Early or Late Retirement Date (see Section 7). 

1.38 "Social Security Retirement Age" means the age used as the retirement age under Section 

216(1) of the Social Security Act, except that such section shall be applied without regard to the age 

increase factor and as if the early retirement age under Section 216(1)(2) of such Act were 62. 

8 

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50300.00 16 
1.39 "Special Early Retirement Age" means the Participant's sixtieth (60`h) birthday. 

1.40 "Special Early Retirement Date" means the Participant's sixtieth (60t1i) birthday, provided 

he has completed fifteen (15) years of Pension Service, or ten (10) years of Vesting Service. 

Effective January 1, 2009 "Special Early Retirement Date" shall mean the Participant's 

sixtieth (60ti') birthday, provided he has completed fifteen years of Pension Service, ar five (5) years 

of Vesting Service. 

Effective April 1, 2018, "Special Early Retirement Date" shall mean the Participant's 

sixtieth (60t~') birthday, providing he has completed fifteen (15) years of Pension Service or five (5) 

years of Vesting Service, and further providing that the Employee has completed 2,500 Hours of 

Service in the sixty (60) calendar months immediately preceding such date. 

1.41 "Super Top Heavy Plan" means a plan described in Section 2.2(b). 

1.42 "Terminated Participant" means a person who has been a Participant, but whose 

employment has been terminated other than by death, Total and Permanent Disability or retirement. 

1.43 "Termination of Employment' means the last day of the second consecutive Plan Year 

during which the Participant fails to receive an Employer Contribution to the Trust Fund on his 

behalf. 

1.44 "Top Heavy Plan" means a plan described in Section 2.2(a). 

1.45 "Top Heavy Plan Year" means a Plan Year during which the Plan is a Top Heavy Plan. 

1.46 "Total and Permanent Disability" means a physical or mental condition resulting from 

bodily injury, disease or mental condition which renders a person incapable of continuing any 

gainful occupation and which entitles hire/her to benefits under the New York State Disability 

Benefits Law, Federal Social Security Act or Workers' Compensation. The disability of a 

Participant shall be determined by a licensed physician of the Trustees' choosing. 

The Board of Trustees may at any tune, or from tune to time, notwithstanding the prior granting 

of a Disability Retirement Benefit under the Plan, require that the individual satisfy the 

provisions of this Section as a prerequisite to the continuance of the Disability Retirement 

Benefit granted under the Plan. 

1.47 "Trustees" means the trustees appointed from time to time and named as trustees under the 

terms of the Trust Agreement. 

1.48 "Trust Fund" means the assets of the Plan and Trust as the same shall exist from tune to 

time. 

1.49 "Union" means "I.B.E.W. Local Union No. 237" its successors or assigns. 

9 

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50300.0016 
1.50 "Vested" means the portion of a Participant's benefits under the Plan that are nonforfeitable. 

ARTICLE II 

TOP HEAVY 

2.1 TOP HEAVY PLAN REQUIREMENTS 

For any Top Heavy Plan Year, the Plan shall provide the special vesting requirements of 

Code Section 416(b) and the special minimum benefit requirements of Code Section 416(c). 

2.2 DETERMINATION OF TOP HEAVY STATUS 

(a) This Plan shall be a Top Heavy Plan for any Plan Year in which, as of the 

Determination date, (1) the Present Value of Accrued Benefits of Key Employees 

and (2) the sum of the Aggregate Accounts of Key Employees under this Plan and 

all plans of any Aggregation Group, exceeds sixty percent (60%) of the Present 

Value of accrued Benefits and the Aggregate Accounts of all Key and Non-Key 

Employees under this Plan and all plans of an Aggregation Group. 

If any Participant is a Non-Key Employee for any Plan Year, but such Participant 

was a Key Employee for any prior Plan Year, such Participant's Present Value of 

Accrued Benefit and/or Aggregate Account balance shall not be taken into account 

for purposes of determining whether this Plan is a Top Heavy or Super Top Heavy 

Plan (or whether any Aggregation Group which includes this Plan is a Top Heavy 

Group). In addition, if a Participant or Former Participant has not performed any 

services for any Employer maintaining the Plan at any time during the five year 

period ending on the Determination date, any accrued benefit for such Participant or 

Former Participant shall not be taken into account for the purposes of determining 

whether this Plan is a Top Heavy or Super Top Heavy Plan. 

(b) Aggregate Account: A Participant's Aggregate Account as of the Determination 

Date shall be determined under applicable provisions of the defined contribution 

plan used in determining Top Heavy Plan status. 

(c) "Aggregation Group" means either a Required Aggregation goup or a Permissive 

Aggregation group as hereinafter determined. 

(1) Required Aggregation Group: In determining a Required Aggregation 

Group hereunder, each plan of the Employer in which a Key Employee is a 

participant in the Plan Year containing the Determination Date or any of the 

four preceding Plan Years, and each other plan of the Employer which 

enables any plan in which a Key Employee participates to meet the 

requirements of Code Sections 401(a)(4) or 410, will be required to be 

aggregated. Such group shall be known as a Required Aggegation Group. 

10 

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In the case of a Required Aggregation Group, each plan in the goup will be 

considered a Top Heavy Plan if the Required Aggregation Group is a Top 

Heavy Group. No plan in the Required Aggregation Group will be 

considered a Top Heavy Plan if the Required Aggegation group is not a Top 

Heavy Group. 

(2) Permissive Aggregation Group: The Employer inay also include any other 

plan not required to be included in the Required Aggregation Group, 

provided the resulting group, taken as a whole, would continue to satisfy the 

provisions of Code Sections 401(a)(4) and 410. Such group shall be known 

as a Permissive Aggregation Group. 

In the case of a Permissive Aggregation Group, only a plan that is part of the 

Required Aggregation group will be considered a Top Heavy Plan if the 

Permissive Aggregation Group is a Top Heavy Group. No plan in the 

Permissive Aggregation Group will be considered a Top Heavy Plan if the 

Permissive Aggregation Group is not a Top Heavy Group. 

(3) Only those plans of the Employer in which the Determination Dates fall 

within the same calendar year sha11 be aggregated in order to determine 

whether such plans are Top Heavy Plans. 

(4) An Aggregation Group shall include any terminated plan of the Employer if 

it was maintained within the last five (5) years ending on the Determination 

Date. 

(d) "Determination Date" means (a) the last day of the preceding Plan Year, or (b) in 

the case of the first Plan Year, the last day of such Plan Year. 

(e) Present Value of Accrued Benefit: In the case of a defined benefit plan, a 

Participant's Present Value of Accrued Benefit shall be determined: 

(1) in the case of a Participant other than a Key Employee, using the single 

accrual method used for all plans of the Employer and Affiliated Employers, 

or if no such single method exists, using a method which results in benefits 

accruing not more rapidly than the slowest accrual rate permitted under 

Code Section 411(b)(1)(C). 

(2) as of the most recent "actuarial valuation date," which is the most recent 

valuation date within a twelve (12) month period ending on the 

Determination Date. 

(3) for the first Plan Year, as if (a) the Participant terminated service as of the 

Determination Date; or (b) the Participant terminated service as of the 

#2sos29~-v2 

50300.0016 
acrizarial valuation date, but taking into account the estimated Accrued 

Benefits as of the Determination Date. 

(4) for the second Plan Year, the Accrued Benefit taken into account for a 

current Participant must not be less than the Accrued Benefit taken into 

account for the first Plan Year unless the difference is attributable to using 

an estimate of the Accrued Benefit as of the Determination Date for the first 

Plan Year and using the actual Accrued Benefit for the second Plan Year. 

(5) for any other Plan Year, as if the Participant terminated service as of the 

actuarial valuation date. 

(6) the actuarial valuation date must be the same date used for computing the 

defined benefit plan minimum funding costs, regardless of whether a 

valuation is performed that Plan Year. 

(7) by not taking into account proportional subsidies. 

(8) by taking into account nonproportional subsidies. 

(fl The calculation of a Participant's Present Value of Accrued Benefit as of a 

Determination Date shall be the sum of: 

(1) the Present Value of Accrued Benefit using the actuarial assumptions of 

Section 1.3, which assumptions shall be identical for all defined benefit 

plans being tested for Top Heavy Plan status. 

(2) any Plan distributions made within the Plan Year that includes the 

Determination Date. However, in the case of distributions made after the 

valuation date and prior to the Determination Date, such distributions are not 

included as distributions for top heavy purposes to the extent that such 

distributions are already included in the Participant's Present Value of 

Accrued Benefit as of the valuation date. Notwithstanding anything herein 

to the contrary, all distributions, including distributions made prior to 

January 1, 1984, and distributions under a terminated plan which if it had 

not been terminated would have been required to be included in an 

Aggregation Group, will be counted. Further, benefits paid on account of 

death, to the extent such benefits do not exceed the Present Value of 

Accrued Benefits existing immediately prior to death, shall be treated as 

distributions for the purposes of this paragraph. 

(3) any Employee contributions, whether voluntary or mandatory. However, 

amounts attributable to tax deductible Qualified Voluntary Employee 

Contributions shall not be considered to be a part of the Participant's Present 

Value of Accrued Benefit. 

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#2505297-v2 

50300.00 l 6 
(4) with respect to unrelated rollovers and plan-to-plan transfers (ones which are 

both initiated by the Employee and made from a plan maintained by one 

employer to a plan maintained by another employer), if this Plan provides 

the rollovers or plan-to-plan transfers, it shall always consider such rollovers 

or plan-to-plan transfers as a distribution for the purposes of this Section. If 

this Plan is the plan accepting such rollovers or plan-to-plan transfers, it 

shall not consider such rollovers or plan-to-plan transfers accepted after 

December 31, 1983, as part of the Participant's Present Value of Accrued 

Benefit. 

(5) with respect to related rollovers and plan-to-plan transfers (ones either not 

initiated by the Employee or made to a plan maintained by the same 

employer), if this Plan provides the rollovers or plan-to-plan transfers, it 

shall not be counted as a distribution for purposes of this Section. If this 

Plan is the plan accepting such rollovers or plan-to-plan transfers, it shall 

consider such rollovers or plan-to-plan transfers as part of the Participant's 

Present Value of Accrued Benefit, irrespective of the date on which such 

rollovers or plan-to-plan transfers are accepted. 

(6) for the purposes of determining whether two employers are to be treated as 

the same employer in (4) and (5) above, all employers aggregated under 

Code Section 414(b), (c), (m) or (o) are treated as the same employer. 

(g) "Top Heavy Group" means an Aggregation Group in which, as of the Determination 

Date, the suin of: 

(1) the Present Value of Accrued Benefits of Key Employees under all defined 

benefit plans included in the group, and 

(2) the Aggregate Accounts of Key Employees under all defined contribution 

plans included in the group, exceeds sixty percent (60%) of a similar suin 

determined for all Participants. 

2.3 DETERMINATION OF PRESENT VALUES AND AMOUNTS 

This section 2.3 shall apply for the purposes of determining the present values of Accrued 

Benefits and the amounts of account balances of Employees as of the Determination Date, for 

Plan Years beginning after December 31, 2001. 

(a) Distributions during year ending on the Determination Date: The present values 

of Accrued Benefits and the amounts of account balances of an Employee as of 

the Determination Date shall be increased by the distributions made with respect 

to the Employee under the Plan and any plan aggregated with the Plan under 

section 416(g)(2) of the Code during the 1-year period ending on the 

Determination Date. The preceding sentence shall also apply to distributions 

under a terminated plan which, had it not been terminated, would have been 

13 

#2505297-v2 

50300.0016 
aggregated with the Plan under section 416(g)(2)(A)(i) of the Code. In the case of 

a distribution made for a reason other than severance from einployinent, death, or 

disability, this provision shall be applied by substituting "5-year period" for "1-

year period." 

(b) Employees not performing services during year ending on the Determination 

Date: The Accrued Benefits and accounts of any individual who has not 

performed services for the Employer during the 1-year period ending on the 

Determination Date shall not be taken into account. 

2.4 MINIMUM BENEFITS 

For Plan Years beginning after December 31, 2001, for purposes of satisfying the 

minimum benefit requirements of section 416(c)(1) of the Code and the Plan, in determining 

years of service with the Employer, any service with the Employer shall be disregarded to the 

extent that such service occurs during a Plan Year when the Plan benefits (within the meaning of 

section 410(b) of the Code) no Key Employee or Former Key Employee. 

2.5 EXCLUSION OF COLLECTIVELY BARGAINED EMPLOYEES 

The provisions of this Article II do not apply with respect to any Employee included in a 

unit of employees covered by a collective bargaining agreement unless the application of such 

Article has been agreed upon with the collective bargaining agents. 

ARTICLE III 

ELIGIBILITY/PARTICIPATION 

3.1 COMMENCEMENT OF PARTICIPATION 

(a) Prior to Januai;v 1, 1976. Each Employee ~vho earned Future Pension Service prior 

to January 1, 1976, shall continue to participate herein. 

(b) On and After January 1, 1976. An Employee, who completes at least five hundred 

(500) Hours of Vesting Service during a Plan Year after January 1, 1976, shall 

become a Participant herein on the first day of the Plan Year in which he earned 

such Hours. 

3.2 ALTERNATE COMMENCEMENT OF PARTICIPATION 

In the event an Eligible Employee who is not a participant herein, earns at least one 

thousand (1,000) Hours of Service during a twelve (12) consecutive month period measured from 

his/her employment commencement date and ending after January 1, 1976, said Employee shall 

become a Participant on the earlier of the July 1 or January 1 next following the last day of the 

twelve (12) consecutive month period. 

14 

#2505297-v2 

50300.0016 
3.3 DETERMINATION OF ELIGIBILITY 

The Administrator shall determine the eligibility of each Employee for participation in the 

Plan based upon information furnished by the Employer. Such determination sha11 be conclusive 

and binding upon all persons, as long as the same is made pursuant to the Plan and the Act. Such 

determination shall be subject to review per Section 11.7. 

3.4 TERMINATION OF PARTICIPATION 

A Participant shall cease to be a Participant on the earlier of the following: 

(a) the date of his death, or 

(b) the date he no longer has any Pension Service or Vesting Service to his credit, or 

(c) the date he is no longer entitled to a periodic benefit payment hereunder. 

3.5 OMISSION OF ELIGIBLE EMPLOYEE 

If, in any Plan Year, any Employee who should be included as a Participant in the Plan is 

erroneously omitted and discovery of such omission is not made until after a contribution by his 

Employer for the year has been made, the Employer shall make a subsequent contribution with 

respect to the omitted Employee in the amount which the said Employer would have contributed 

with respect to hiin had he not been omitted. Such contribution shall be made regardless of whether 

or not it is deductible in whole or in part in any taxable year under applicable provisions of the 

Code. 

3.6 INCLUSION OF INELIGIBLE EMPLOYEE 

If, in any Plan Year, any person who should not have been included as a Participant in the 

Plan is erroneously included and discovery of such incorrect inclusion is not made until after a 

contribution for the year has been made, the Employer shall not be entitled to recover the 

contribution made with respect to the ineligible person regardless of whether or not a deduction is 

allowable with respect to such contribution. In such event, the amount contributed with respect to 

the ineligible person shall constitute a Forfeiture for the Plan Year in which the discovery is made. 

ARTICLE IV 

CONTRIBUTIONS 

4.1 FORMULA FOR DETERMINING EMPLOYER'S CONTRIBUTION 

(a) The Employer shall make contributions on the following basis. On behalf of each 

Participant for each year of his participation in this Plan, the Employer shall 

contribute the amount called for in the respective Collective Bargaining Agreement. 

15 

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50300.00 l 6 
(b) Should the Employer, for any reason, fail to make a contribution for any year or 

should the Employer fail to make a contribution as provided for herein, then such 

deficiency shall be made up in subsequent years. 

(c) Notwithstanding the foregoing, the Employer's contribution for any Plan Year shall 

not exceed the maximum amount allowable as a deduction to the Employer under 

the provisions of Code Section 404. 

4.2 TIME OF PAYMENT OF EMPLOYER'S CONTRIBUTION 

The Employer shall pay its contributions to the Plan as required by the Collective 

Bargaining Ageement. 

4.3 ACTUARIAL METHODS 

In establishing the liabilities under the Plan and contributions thereto, the enrolled actuary 

will use such methods and assumptions as will reasonably reflect the cost of the benefits. The Plan 

assets are to be valued on the last day of the Plan Year (or on any other date determined by the Plan 

Administratar) using any reasonable method of valuation that takes into account fair market value 

pursuant to regulations prescribed by the Secretary of Treasury. There must be an actuarial 

valuation of the Plan at least once every year. 

ARTICLE V 

PENSION SERVICE 

5.1 PENSION SERVICE 

For purposes of determining a Participant's accrued benefits, Pension Service shall include 

all Hours of Service completed by a Participant with a Contributing Employer, and shall be 

determined as follows: 

(a) Pension Service before May 1, 1966. For Plan Years prior to May 1, 1966, one (1) 

year of Pension Service shall be credited for each Plan Year in which the Participant 

completes five hundred (500) Hours of Service. 

(b) Pension Service from May 1, 1966 to December 31 1975. Subsequent to May 1, 

1966 and prior to January 1, 1976, one (1) year of Pension Service shall be credited 

for each Plan Year in which the Participant completes fourteen hundred (1,400) or 

more Hours of Service. For any Plan Year in which a Participant completes less 

than fourteen hundred (1,400) Hours of Service, one-eighth (1/8) of a year of 

Pension Service shall be credited for each one hundred seventy-five (175) Hours of 

Service. 

16 

#2505297-v2 

50300.0016 
(c) Pension Service on or After January 1, 1976. Credit for Pension Service after 

January 1, 1976 shall be granted to an Employee at the rate of .001 of a Year of 

Future Pension Service for each Hour of Service earned during a Plan Year. 

(d) Pension Service on or After January 1, 2009. Credit for Pension Service after 

January 1, 2009 shall be granted to an Employee at the rate of one-tenth of a Year 

of Pension Service for every 100 Hours of Service worked during the Plan Year. 

For purposes of accruing Pension Service, an Employee working at less than a 

Basic Journeyman's hourly rate shall be credited with that proportion of an Hour 

of Service as their Employer's hourly contribution rate bears to the hourly 

contribution for a Basic Journeyman. The maximum amount of Pension Service 

that inay be earned in a single Plan Year will be capped at 1.4 years (1400 Hours 

of Service). 

5.2 LIMITATIONS 

Prior to May 1, 1971 a maximum of one (1) Year of Pension Service maybe credited to an 

Employee for any one (1) Plan Year. No Pension Service shall be credited following actual 

commencement of benefits hereunder. Hours of Service performed as a partner or a sole proprietor 

shall not betaken into consideration for any purposes under this Plan. 

ARTICLE VI 

VESTING SERVICE 

6.1 VESTING 

(a) Frorn May 1, 1966 to December 31, 1975. A Participant's interest in the pension 

benefits provided hereunder shall be fully one hundred (100%) percent vested on the 

earliest date from May 1, 1966 to December 31, 1975 on which: 

(1) the Participant satisfies the age and service requirements for a Normal 

Pension hereunder; 

(2) the Participant completes at least fifteen (15) Years of Pension Service, 

including at least two (2) Years of Future Pension Service, and is at least 

fifty-five (55) years of age; or 

(3) the Participant has attained Normal Retirement Age. 

(b) On or After January 1, 1976. A Participant's interest in the pension benefits 

provided hereunder shall be fully one hundred (100%) percent vested on the earliest 

date after January 1, 1976 on which: 

17 

#2505?97-v2 

50300.00 l6 
(1) the Participant has satisfied the age and service requirements for a Normal, 

Early, or Special Early Pension hereunder; 

(2) the Participant has completed at least fifteen (15) Years of Pension Service 

including at least two (2) years of Future Pension Service; 

(3) the Participant has completed at least five (5) Years (ten (10) Years prior to 

1999) of Vesting Service; or 

(4) the Participant has attained Normal Retirement Age hereunder. 

62 VESTING SERVICE 

(a) Prior to January 1, 1976. For Plan Years prior to January 1, 1976, one (1) Year of 

Vesting Service shall be credited for each Plan Year in which the Participant 

completes at least five-eighths (5/8) or more of a Year of Pension Service. 

(b) On or after January 1, 1976. For Plan Years after January 1, 1976, one (1) Year of 

Vesting Service shall be credited for each Plan Year in which the Participant 

completes one thousand (1,000) Hours of Service. 

6.3 BREAKS IN SERVICE 

After January 1, 1976, a Plan Year during which a Participant completes less than five 

hundred (500) Hours of Service shall constitute a Break in Service. A Break in Service shall not be 

deemed to have occurred if the Participant is absent for any portion of a Plan Year as a result of: 

(a) service in the armed forces of the United States for a period during which his reeznplo}nnent rights are guaranteed bylaw; 

(b) a leave of absence granted by an Employer pursuant to a uniform nondiscriininatory policy; 

(c) pregnancy, child birth or the placement of a child for adoption with such Participant; 

(d) caring for any child during the period iininediately following such birth or 

placement for adoption; or 

(e) a leave of absence granted by the Employer pursuant to the Family Medical Leave 

Act of 1993. 

Prior to 2001, a Break in Service did not occur if a Participant was re-employed by a 

Participant prior to the expiration of the Plan Year. 

Hours of Service shall include the periods set forth in Article VI for service from and after 

January 1, 1976. Upon incurring a Break in Service, a Participant's rights and benefits under the 

18 

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50300.0016 
Plan shall be determined in accordance with his Pension Service and his Vesting Service at the time 

of the Break in Service. In the case of a Participant who has any one (1) year Break in Service, 

Years of Service before such Break shall not be taken into account until he has completed one (1) 

Year of Service upon his return, and shall not be taken into account in any event unless (i) he had a 

vested interest in the portion of his Accrued Benefit (as determined in accordance with Section 6.1 

hereofl at the time he incui7ed his Break in Service, or (ii) the number of his consecutive one (1) 

year Breaks in Service is less than the greater of (a) five, or (b) the aggregate number of his Years 

of Service completed before his Break in Service. 

6.4 INTERRUPTED PENSION SERVICE 

In the event a Participant who is Vested herein incurs a Break in Service, all Pension 

Service and Vesting Service credited shall be classed as Interrupted Pension Service. 

Interrupted Pension Service includes the following: 

(a) A period of time during which an Employee is a Participant in the Plan, that does 

not contain five (5) (three (3) prior to 2005) consecutive Break in Service years; 

(b) A period of five (5) (three (3) prior to 2005) consecutive Break in Service years, 

during which an Employee is a Participant in the Plan, but which is not lost because 

of the Plan's Vesting provisions, or is later reinstated; 

(c) Each successive period of five (5) (three (3) prior to 2005) consecutive Break in 

Service years for a Participant, immediately succeeding a period described in 

subsection (b) above, and which is not lost because of the Plan's vesting provisions, 

or is later reinstated. 

ARTICLE VII 

BENEFITS 

7.1 NORMAL RETIREMENT BENEFIT 

Each Participant who retires on or after his Normal Retirement Date, on or after January 1, 

2009, shall be entitled to a monthly retirement benefit equal to Eighty Dollars ($80.00) for each 

year of Pension Service. For purposes of this paragraph, years of Pension Service used to 

determine a Normal Retirement Benefit shall not include any segment of service that has been 

classed as Interrupted Pension Service. Notwithstanding the foregoing, the monthly retirement 

benefit accrued by a Participant as of December 31, 2008 shall not be reduced. 

In the event a Participant has been credited with a segment of Interrupted Pension Service, 

the monthly retirement benefit shall be the sum of the product of the number of years of Pension 

Service in each segment, and the unit monthly benefit rate in effect for each year of Pension Service 

for then future Pensioners at the end of each segment. 

19 

~2sos?9~-~? 

50300.00 l 6 
The unit monthly benefit rate applicable to a segment of Interrupted Pension Service shall 

be determined according to the following schedule: 

Date Segment Ended Applicable Unit Monthly Benefit Rate 

Before 1976 ~ 3.30 

During 1976 4.00 

During 1977 5.00 

During 1978 or 1979 7.00 

During 1980 9.00 

During 1981 10.00 

During 1982 11.00 

During 1983 11.85 

During 1984 14.30 

During 1985 16.30 

During 1986 17.55 

During 1987 or 1988 19.00 

During 1989 21.30 

During 1990 or 1991 25.50 

During 1992 30.00 

During 1993 31.15 

During 1994 or 1995 32.10 

During 1996 35.90 

During 1997 46.40 

During 1998 56.00 

During 1999 71.00 

During 2000 to 2008 85.00 

During 2009 and later 80.00 

Participants who do not fall under the classification of a journeyman electrician for the 

purposes of receiving the full contribution currently specified in the Collective Bargaining 

Agreement shall have their accrual rate pro-rated by using a fraction, the numerator of which is 

the contribution amount actually received by such Participant, and the denominator of which is 

the contribution rate in effect for a journeyman electrician as specified in the Collective 

Bargaining Agreement. 

7.2 SPECIAL EARLY RETIREMENT BENEFIT 

Each Participant who retires on a Special Early Retirement Date, shall commencing on such 

date, be entitled to an unreduced Normal Retirement Benefit as hereinabove provided. 

7.3 EARLY RETIREMENT BENEFIT 

20 

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50300.00 l 6 
Each Participant who retires on an Early Retirement Date, shall coininencing on such date, 

be entitled to a Normal Retirement Benefit as hereinabove provided, actuarially reduced by one-half 

of one percent (.50%) for each month his retirement precedes his Normal Retirement Date. 

Each Participant who retires on an Early Retirement Date on or after January 1, 2000 

shall, commencing on such date, be entitled to a Normal Retirement Benefit as hereinabove 

provided, actuarily reduced for each month his retirement precedes age 60 by three per centum 

(3%) per annum (0.25% per month). 

Effective June 1, 2014, each participant who retires on an Early Retirement Date shall, 

commencing on such date, be entitled to a monthly benefit as determined under Section 7.1, 

reduced by one-half of one percent (0.50%) for each month that his Early Retirement Date precedes 

age 58 and one-quarter of one percent (025%) for each month that his Early Retirement Date 

precedes age 60. 

Effective March 1, 2015, each Participant who retires on an Early Retirement Date before 

age 58 shall, commencing on such date, be entitled to a monthly benefit as determined under 

Section 7.1, reduced by one-half of one percent (0.50%) for each month that his Early Retirement 

Date precedes age 60. Each Participant who retires on an Early Retirement Date on or after age 58 

shall, commencing on such date, be entitled to a monthly benefit as determined under Section 7.1, 

reduced by one-quarter of one percent (0.25%) for each month that his Early Retirement Date 

precedes age 60. 

Effective April 1, 2018, each Participant who retires on an Early Retirement Date before age 

58, having completed, or 2,500 Hours of Service in the sixty (60) calendar months immediately 

preceding such date, shall be entitled to a monthly benefit as determined under Section 7.1, reduced 

by one-half of one percent (0.50%) for each month that his Early Retirement Date precedes age 60. 

Each Participant who retires on an Early Retirement Date on or after age 58, having completed 

2,500 Hours of Service in the sixty (60) calendar months immediately preceding such date shall, 

commencing on such date, be entitled to a monthly benefit as determined under Section 7.1, 

reduced by one-quarter of one percent (0.25%) for each month that his Early Retirement Date 

precedes age 60. 

Each Participant who retires on an Early Retirement Date, without having completed 2,500 

Hours of Service in the sixty (60) calendar months immediately preceding such date, shall be 

entitled to a monthly benefit Actuarially Equivalent to a monthly benefit as determined under 

Section 7.1. 

7.4 DISABILITY RETIREMENT BENEFIT 

Each Participant who retires on a Disability Retirement Date, shall be eligible to receive a 

monthly retirement benefit commencing on such date. The amount of a Disability Retirement 

Benefit shall be equal to the Participants accrued benefit as of his Disability Retirement Date, and 

shall be subject to the distribution rules as set forth under Article VIII herein. A disability retiree 

21 

#zsos?9~-v~ 

50300.00 16 
shall continue to be so regarded until he/she is no longer disabled, dies or attains Normal 

Retirement Age, whichever occurs first. 

A Participant shall be entitled to this benefit only if such Participant has been deemed 

disabled under New York State Disability Benefits Law, the Federal Social Security Act or 

Workers' Compensation. 

Effective April 1, 2018, the amount of a Disability Retirement Benefit shall be equal to 

the Early Retirement Benefit or Special Early Retirement Benefit to which the Participant would 

be entitled if he were to retire on his Disability Retirement Date, but in no event will the 

Participant's Disability Retirement benefit be less than his monthly Accrued Benefit payable on 

his Normal Retirement Date reduced by thirty (30%) per cent. A disability retiree shall continue 

to be so regarded until he/she is no longer disabled, dies or first becornes eligible for an Early 

Retirement Benefit. 

Effective April 1, 2018, a Participant shall be entitled to this benefit only if such 

Participant has been deemed Totally and Permanently Disabled and has qualified for a benefit 

under New York State Disability Benefits Law, the Federal Social Security Act or Workers' 

Compensation. 

7.5 CHANGES IN AMOUNT OF BENEFITS 

In detei7nining the amount of benefits it is and shall continue to be the policy of the Trustees 

to make such pa}nnents on an actuarially sound basis, as the wine may be determined by the 

Tnistees upon advice of their actuary, pension consultants and legal counsel, keeping a reserve at all 

times to meet commitments to Employees who have retired and to make payments due in fitture 

years to those Employees who may retire subsequently and to provide for the expenses of the Fund. 

7.6 BENEFIT INCREASES 

Effective January 1, 1988, the monthly pension benefit payable to all Employees shall be 

increased by the greater of: (i) five (5%) percent or (ii) ten ($10.00) dollars. 

Effective January 1, 1989, the monthly pension benefit payable to all retired Employees 

shall be increased by five (5%) percent. 

Effective April 1, 1991, the monthly pension benefit payable to all retired Employees shall 

be increased by five (5%) percent. 

Effective January 1, 1993, the monthly pension benefit payable to all retired Employees 

shall be increased by the greater o£ (i) five (5%) percent, or (ii) ten ($10.00) dollars. 

Effective January 1, 1994, the monthly pension benefit payable to all retired Employees 

shall be increased by the greater of: (i) three (3%) percent, or (ii) ten ($10.00) dollars. 

22 

#2505297-v2 

50300.0016 
Effective January 1, 1995, the monthly pension benefit payable to all retired Employees 

shall be increased by the greater o£ (i) three (3%) percent, or (ii) ten ($10.00) dollars. 

Effective January 1, 1996, the monthly benefit payable to all retired Employees shall be 

increased by five (5%) percent. 

Effective January 1, 1997, the monthly benefit payable to ali Employees retired as of that 

date shall be increased by five (5%) percent. 

Effective January 1, 1998, the monthly benefit payable to all retired Employees shall be 

increased by five (5%) percent. 

Effective January 1, 1998, the monthly pension payable to a Retired Participant, who has 

been retired for five (5) or more consecutive years, shall be increased by X7.35 times the number of 

years said Participant has been retired. 

Effective January 1, 1998, the monthly pension payable to a Retired Participant, who has 

been retired for less than five (5) consecutive years, shall be increased by $30.00. 

Effective January 1, 1999, the monthly pension payable to all Employees retired as of that 

date shall be increased by ten (10%) percent or ~ 100.00 per month, whichever is greater. The 

maximum amount of an increase shall be X200.00 per month. 

Effective January 1, 2000, the monthly pension benefit payable to all retirees retired as of 

that date shall be increased by the amount of twenty 020.00) dollars times the retiree's years of 

service, but not less than one hundred (~ 100.00) dollars. 

For the retiree increases effective January 1, 1998 and January 1, 2000, the years of 

retirement are measured from the year of increase and go back to the year of retirement. 

Consequently, any portion of a year is equivalent to an entire year. 

7.7 MINIMUM BENEFIT REQUIREMENT FOR TOP HEAVY PLAN 

(a) The minimum Accrued Benefit derived from Employer contributions to be provided 

under this Section for each Employee who is a Participant during a Top Heavy Plan 

Year shall equal the product of (1) one-twelfth (1/12th) of "415 Compensation" 

averaged over the five (5) consecutive "limitation years" (or the actual number of 

"limitation years," if less) which produce the highest average, and (2) the lesser of 

(i) two (2%) percent multiplied by Plan Years of Service, or (ii) twenty (20%) 

percent, expressed as a single life annuity. 

(b) For purposes of providing the minimum benefit under Code Section 416, an 

Employee who is not a Participant solely because (1) his Compensation is below a 

stated amount or (2) he declined to make mandatory contributions (if required) to 

the Plan will be considered to be a Participant. Furthermore, such minimum benefit 

23 

#2505297-v2 

50300.0016 
shall be provided regardless of whether such Employee is employed on a specified 

date. 

(c) For purposes of this Section, Plan Years of Service for any Plan Year beginning 

before January 1, 1984, or for any Plan Year during which the Plan was not a Top 

Heavy Plan shall be disregarded. 

(d) For purposes of this Section, "415 Compensation" for any "limitation year" ending 

in a Plan Year which began prior to January 1, 1984, subsequent to the last 

"limitation year" during which the Plan is a Top Heavy Plan, or in which the 

Participant failed to complete a Plan Year of Service, shall be disregarded. 

(e) For purposes of this Section, "415 Compensation" shall be limited to $200,000.00. 

Such amount shall be adjusted at the same trine and in the same manner as permitted 

under Code Section 415(d), except that the dollar increase in effect on January 1 of 

any calendar year shall be effective for the Plan Year beginning with or within such 

calendar year and the first adjustment to the $200,000.00 limitation shall be 

effective on January 1, 1990. For any short Plan-Year the "415 Compensation" 

limit shall be an amount equal to the "415 Compensation" limit for the calendar year 

in which the Plan Year begins multiplied by the ratio obtained by dividing the 

number of full months in the short Plan Year by twelve (12). 

In addition to other applicable limitations set forth in the Plan, and notwithstanding 

any other provision of the Plan to the contrary, for Plan Years beginning on or after 

January 1, 1994, the annual Compensation of each Employee taken into account 

under the Plan shall not exceed the OBRA `93 annual compensation limit. The 

OBRA `93 annual compensation limit is $150,000.00, as adjusted by the 

Commissioner for increases in the cost of living in accordance with Code Section 

401(a)(17)(B). The cost of living adjustment in effect for a calendar year applies to 

any period, not exceeding twelve months, over which Compensation is determined 

(determination period) beginning in such calendar year. If a determination period 

consists of fewer than 12 months, the OBRA'93 annual compensation limit will be 

multiplied by a fraction, the numerator of which is the number of months in the 

determination period, and the denominator of which is 12. 

For Plan Years begiruling on or after January 1, 1994, any reference in this Plan to 

the limitation under Code Section 401(a)(17) shall mean the OBRA `93 annual 

compensation limit set forth in this provision. 

If Compensation for any prior determination period is taken into account in 

determining an Employee's benefits accruing in the Plan Year, the Compensation 

for that prior determination period is subject to the OBRA `93 annual compensation 

limit in effect for that prior determination period. For this purpose, for 

determination periods beginning before the first day of the first Plan Year beginning 

on or after January 1, 1994, the OBRA `93 annual compensation limit is 

$150,000.00. 

24 

#2505297-v2 

50300.0016 
(fl If Section 7.1 provides for the Normal Retirement Benefit to be paid in a form other 

than a single life annuity, the Accrued Benefit under this Section shall be the 

Actuarial Equivalent of the minimum Accrued Benefit under (a) above pursuant to 

Section 1.3. 

(g) If payment of the minimum Accrued Benefit commences at a date other than 

Normal Retirement Date, the minilnuzn Accrued Benefit shall be the Actuarial 

Equivalent of the minimum accrued benefit commencing at Normal Retirement 

Date pursuant to Section 1.3. 

(h) To the extent required to be non-forfeitable under Section 3.4, the minimum 

Accrued Benefit under this Section inay not be forfeited under Code Section 411 

(a)(3)(B) or Code Section 411(a)(3)(D). 

(i) For purposes of satisfying the miniinuin benefit requirements of section 416(c)(1) 

of the Code and the Plan, in determining years of service with the Employer, any 

service with the Employer shall be disregarded to the extent that such service 

occurs during a Plan Year when the plan benefits (within the meaning of section 

410(b) of the Code) no Key Employee or former Key Employee. 

7.8 COMMENCEMENT OF BENEFITS 

Notwithstanding any provision in the Plan to the contrary, the distribution of a Participant's 

benefits shall be made in accordance with the following requirements and shall otherwise comply 

with Code Section 401(a)(9) and the Regulations thereunder (including Regulation 1.401(a)(9)-2), 

the provisions of which are incorporated herein by reference: 

(a) A Participant's benefits shall be distributed or must begin to be distributed to him no 

later than April 1st of the calendar year following the later of (i) the calendar year in 

which the Participant attains age 70'/z or, at the Participant's option, (ii) the calendar 

year in which the Participant retires, provided, however, that this clause (ii) shall not 

apply in the case of a Participant who is a "five (5) percent owner" at any tune 

during the five (5) Plan Year period ending in the calendar year in which he attains 

age 70'/z or, in the case of a Participant who becomes a "five (5%) percent owner" 

during any subsequent Plan Year, clause (ii) shall no longer apply and the required 

beginning date shall be the April 1st of the calendar year following the calendar year 

in which such subsequent Plan Year ends. Such distributions shall be equal to or 

greater than any required distribution. 

A Participant's accrued benefit shall be actuarially increased to take into account the 

period after age 70'h in which the Employee does not receive any benefits under the 

plan. The actuarial increase begins on the April 1 following the calendar year in 

which the employee attains age 70'/2 (January 1, 1997 in the case of an Employee 

who attained age 70'/z prior to 1996), and ends on the date on which benefits 

commence after retirement in an amount sufficient to satisfy section 401(a)(9). 

25 

#2sos29~-~2 

50300.0016 
(b) Distributions to a Participant and his Beneficiaries shall only be made in accordance 

with the incidental death benefit requirements of Code Section 401(a)(9)(G) and the 

Regulations thereunder. 

For purposes of fliis paragraph, a "five (5%) percent owner" is any Employee who owns 

more than five (5%) percent of the capital or profits interest in the Employer or any of them. 

The payment of benefits under the Plan to an Employee, unless he otherwise so elects shall 

not begin later than the sixtieth (60th) day after the latest of the Plan Year in which: 

(a) The employee attains the Normal Retirement Age specified under the Plan; 

(b) The occurrence of the tenth (10th) anniversary of the Plan Year in which the 

Employee coininenced participation in the Plan; or 

(c) The Employee terminates service with all of the participating Employers. 

In the case of a Participant who satisfied the service requirements, but separated from 

service (with anon-forfeitable right to an accrued benefit), before satisfying the age requirement for 

any Early Retirement Benefit hereunder, the Participant shall be entitled, upon satisfaction of such 

age requirement, to receive a benefit not less than the Normal Retirement Benefit reduced as 

provided in the Plan. 

Notwithstanding the foregoing, a Participant who has reached his Normal Retirement Date 

while still in einplo}nnent may elect to start receiving payment of his benefit during employment. 

Effective January 1, 1999, in-service distributions shall be limited to the benefit accrued through 

December 31, 1998, except as described in the preceding paragraphs for Participants who have 

attained age 70'/Z. 

7.9 SUSPENSION OF BENEFITS 

The payment of benefits under this Plan shall be suspended for each calendar month during 

which the Participant completes, as an employee or in aself-employed capacity, forty (40) or snore 

Hours of Service with an Employer, subsequent to the commencement of benefits, in the same 

industry, or in the practice of the same trade or craft of an Employee under the Plan, and within the 

geographic jurisdiction covered by the Union, herein referred to as "Disqualifying Employment.". 

The above-referenced suspension of benefits shall be pursuant to regulations prescribed by the 

Secretary of Labor as it maybe necessary to carry out the purposes of this subparagraph. 

A retired Participant shall notify the Plan in writing within 15 days after starting any work 

of a type that is or may be Disqualifying Emplo}nnent under the provisions of the Plan and 

without regard to the number of hours of such work (that is, whether or not less than 40 hours in 

a month). If a Participant has worked in Disqualifying Emplo}nnent in any month and has failed 

to give timely notice to the Plan of such employment, the Trustees shall presume that he worked 

for at least 40 hours in such month and any subsequent month before the Participant gave notice 

26 

#2505297-v2 

50300.0016 
that he has ceased Disqualifying Employment. The Participant shall have the right to overcome 

such presumption by establishing to the satisfaction of the Trustees that his work was not in fact 

an appropriate basis, under the Plan, for suspension of his benefits. 

In the event that a retired Participant returns to covered employment, his pension shall be 

suspended and the Participant shall continue to accrue pension credits as provided in Article V. 

Upon retirement, the Participant's pension shall be computed based upon his prior pension 

credits earned, reduced actuarially for any amounts received while on Early Disability or Normal 

Retirement. 

In the case of an Employee who subsequently retires, his pension shall be computed by 

using the benefits in effect at the time of the Employee's prior retirement for all Years of Service 

prior to said Early Retirement, and the benefits in effect upon the Employee's subsequent 

retirement for all Years of Service earned subsequent to prior retirement, reduced actuarially as 

provided in the prior paragraph. 

In no event shall there be a duplication of benefits upon re-entry into the plan. 

7.10 NOTIFICATION OF SUSPENSION OF BENEFITS 

No pa}nnent shall be withheld by the Plan pursuant to Section 7.9 above, unless the Plan 

notifies the Employee by personal delivery or first-class mail during the first calendar month or 

payroll period in which the Plan withholds pa}nnents, that his benefits are suspended. Such 

Notification shall contain a description of the specific reasons for the suspension of benefits, a 

description of the Plan provision relating to the suspension of payments, a copy of such provisions, 

and a statement to the effect that applicable Department of Labor regulations inay be found in 

Section 2530.203-3 of the Code of Federal Regulations. 

In addition, the notice shall infoi-~n the Employee of the Plan's procedures for affording a 

review of the suspension of benefits. Requests for such reviews may be considered in accordance 

with the claims procedures adopted by the Plan pursuant to Section 503 of the Emplo}nnent 

Retirement Income Security Act of 1974 and applicable regulations. 

ARTICLE VIII 

FORMS OF BENEFIT 

8.1 QUALIFIED JOINT AND SURVIVOR ANNUITY 

Unless he elects an alternative form of benefit described in this Article VIII, a married 

employee who retires on a Normal Retirement Date or Early Retirement Date shall be paid such 

benefit in the form of a 100% Joint and Survivor Annuity. Under the 100% Joint and Survivor 

Annuity, a reduced amount shall be paid to the Employee for his lifetime, and if his Spouse is 

surviving at the time of his death, such Spouse shall thereafter receive monthly payments in an 

amount equal one hundred percent (100%) of the reduced monthly amount which had been payable 

27 

#2505297-v? 

50300.00 16 
to the Employee during his lifetime ending with the last such monthly payment due before such 

Spouse's death. 

An Employee who retires on a Normal Retirement Date ar Early Retirement Date may also 

elect to receive an annuity benefit with continuation of payments to his Spouse at a rate of 50% or 

75% of the rate payable to the Employee during his lifetime. 

The monthly amount of any pension which becomes effective in the form of a 100% Joint 

and Survivor Annuity shall be determined by multiplying the full monthly amount of pension 

otherwise payable (had the Participant and his spouse rejected the Joint and Survivor Annuity at the 

time of retirement without electing any optional form of pension) by 80% plus 1 %for each full year 

that the spouse's age is Beater than the Participant's age or minus 1 %for each full year that the 

spouse's age is less than the Participant's age. 

The monthly amount of any pension which becomes effective in the form of a 75% Joint 

and Survivor Annuity option shall be determined by multiplying the full monthly amount of 

pension otherwise payable (had the Participant and his spouse rejected the Joint and Survivor 

Aruiuity at the time of retirement without electing any optional form of pension) by 85% plus 1 

for each full year that the spouse's age is greater than the Participant's age or minus 1 %for each 

full year that the spouse's age is less than the Participant's age. 

The monthly amount of any pension which becomes effective in the foam of a 50% Joint 

and Survivor Amluity option shall be determined by multiplying the full inontl~ly amount of 

pension otherwise payable (had the Participant and his spouse rejected the Joint and Survivor 

Annuity at the time of retirement without electing any optional form of pension) by 90% plus 1 

for each full year that the spouse's age is greater than the Participant's age or minus 1% for each 

full year that the spouse's age is less than the Participant's. 

In addition to the Joint and Survivor Annuity Options described above, a Participant inay 

further elect to receive each Option with a "Pop-Up" feature. Such form of Joint and Survivor 

Aimuity shall be Actuarially Equivalent to the normal Joint and Survivor form of benefit, shall 

provide a reduced monthly benefit to the Participant during his lifetime, and shall provide that in 

the event the Participant's Spouse predeceases the Participant after pa}nnent of the Participant's 

benefits have begun, the monthly amount payable to the Participant shall be increased to the full 

monthly amount that would have been payable under the Life Annuity as set forth in Section 8.2 

as if a Joint and Survivor Annuity form had not been in effect. 

8.2 STRAIGHT-LIFE ANNUITY 

A Participant who is not married on his Retirement Date, or who has not been married for at 

least one (1) full year, may elect to receive his Retirement Benefit in the form of a Straight-Life 

Annuity. This form of benefit provides for a monthly benefit payable for the lifetime of the 

Participant, the final payment of which shall be made as of the last day of the month in which the 

death of the Participant occurs. 

8.3 LEVEL INCOME OPTION 

28 

;;2sos29~-~? 

50300.0016 
As an alternative form of the Married Couple benefit or the Straight-Life Annuity benefit, a 

Participant retiring prior to age 60 may elect to increase his monthly benefit payable prior to age 60, 

by an amount not to exceed fifty (50%) percent of the Participant's projected Social Security 

benefit. His monthly benefit payable upon attaining age 60 will be reduced to an amount that will 

provide him with a total benefit which is the Actuarial Equivalent of the Straight-Life Annuity or 

Married Couple benefit, as applicable. This option will not affect the survivor benefit payable to 

the Participant's spouse that would otherwise be payable to her upon his death under the Married 

Couple benefit form. It is the intent of the Trustees that this option be used by the Participant to 

increase his monthly benefit prior to age 60 so that upon attaining age 60, his benefit from the Fund, 

together with the portion of his Social Security benefit utilized in this option will be equal to his 

monthly benefit prior to age 60. 

8.4 WAIVER OF JOINT AND SURVIVOR ANNUITY 

An election to waive the Joint and Survivor Annuity must be made by the Participant in 

writing during the election period and be consented to by the Participant's Spouse. If the Spouse is 

legally incompetent to give consent, the spouse's legal guardian, even if such guardian is the 

Participant, may give consent. Such election shall designate a Beneficiary or a form of benefits that 

may not be changed without spousal consent. Such Spouse's consent shall be irrevocable and must 

acknowledge the effect of such election and be witnessed by a Plan representative or a notary 

public. Such consent shall not be required if it is established to the satisfaction of the Plan 

Administrator that the required consent cannot be obtained because there is no spouse, the spouse 

cannot be located, or other circumstances that nay be prescribed by the Regulations. The election 

made by the Participant and consented to by his Spouse may be revoked by the Participant in 

writing without the consent of the Spouse at any tune during the election period. The number of 

revocations shall not be limited. Any new election must comply with the requirements of this 

paragraph, a former Spouse's waiver shall not be binding upon a new Spouse. 

The election period to waive the Joint and Survivor Annuity shall be the 90 day period 

beginning on the "annuity starting date." 

For purposes of this Section 8.4, the "annuity starting date" means the first day of the first 

period for which an amount is paid as an annuity, or, in the case of a benefit not payable in the form 

of an annuity, the first day on which all events have occurred which entitle the Participant to such 

benefit. 

With regard to the election, the Plan Administrator shall provide to the Participant no less 

than 30 days and no more than 90 days before the "annuity starting date" a written explanation of: 

(a) the teens and conditions of the Joint and Survivor Annuity; 

(b) the Participant's right to make, and the effect of, an election to waive the Joint and 

Survivor Annuity; 

29 

~2sos~9~-~•2 

50300.0016 
(c) the right of the Participant's Spouse to consent to any election to waive the Joint and 

Survivor Annuity; and 

(d) the right of the Participant to revoke such election, and the effect of such a 

revocation. 

If the value of the Participant's benefit does not exceed X5,000.00 and has never exceeded 

$5,000.00 at the time of any prior distribution, the Plan Administrator may iinrnediately 

distribute such benefit without such Participant's consent. No distribution inay be made under 

the preceding sentence after the "annuity starting date" unless the Participant and his Spouse 

consent in writing to such distribution. Any written consent required under this paragraph must 

be obtained not snore than 90 days before commencement of the distribution. 

Any distribution to a Participant who has a benefit, which exceeds, or has ever exceeded, 

$5,000.00 at the time of any prior distribution shall require such Participant's consent if such 

distribution commences prior to the later of his Normal Retirement Age or age 62. With regard 

to this required consent: 

(a) No consent shall be valid unless the Participant has received a general description 

of the material features and an explanation of the relative values of the optional 

forms of benefit available under the Plan that would satisfy the notice 

requirements of Code Section 417. 

(b) The Participant must be informed of his right to defer receipt of the distribution. 

If a Participant fails to consent, it shall be deemed an election to defer the 

commencement of payment of any benefit. However, any election to defer receipt 

of benefits shall not apply with respect to distributions which are required under 

Section 7.8. 

(c) Notice of the rights specified under this paragraph shall be provided no less than 

30 days and no snore than 90 days before the "annuity starting date." 

(d) Written consent of the Participant to the distribution must not be made before the 

Participant receives the notice and must not be made more than 90 days before the 

"annuity starting date." 

Subject to the Spouse's right of consent afforded under the Plan, the restrictions imposed by this 

Section shall not apply if a Participant has, prior to January 1, 1984, made a written designation 

to have his retirement benefit paid in an alternate method acceptable under Code Section 401(a) 

as in effect prior to the enactment of the Tax Equity and Fiscal Responsibility Act of 1982. 

Notwithstanding the above, effective March 22, 2005, in the event of a mandatory distribution 

greater than $1,000 that is made in accordance with the provisions of the Plan providing for an 

automatic distribution to a Participant without the Participant's consent, if the Participant does 

not elect to have such distribution paid directly to an "eligible retirement plan" specified by the 

Participant in a direct rollover (in accordance with the direct rollover provisions of the Plan) or to 

30 

;2505297-v~ 

50300.0016 
receive the distribution directly, then the Administrator shall pay the distribution in a direct 

rollover to an individual retirement plan designated by the Administrator. 

8.5 DISTRIBUTION OF BENEFITS UPON DEATH 

Unless otherwise elected as provided below, a Participant who dies before the annuity 

starting date and who has a surviving Spouse shall have his death benefit paid to his surviving 

Spouse in the form of aPre-Retirement Survivor Annuity. The Participant's Spouse may direct that 

payment of the Pre-Retirement Survivor Annuity commence within a reasonable period after the 

Participant's death. If the Spouse does not so direct, payment of such benefit will coininence at the 

time the Participant would have attained the later of his Normal Retirement Age or age 62. 

However, the Spouse may elect a later commencement date. 

The Pre-Retirement Survivor Annuity shall be a monthly benefit equal to one hundred 

(100%) percent of the amount which would have been payable to the Participant during his lifetime, 

if he had survived to his Normal Retirement Date and commenced to receive the Qualified Joint 

and Survivor Annuity form of retirement benefit as described in 8.1 above, reduced for early 

payment in the same manner as an early retirement benefit payable under Section 7.2 above. 

If the present value of the Pre-Retirement Survivor Annuity does not exceed X5,000.00 and 

has never exceeded X5,000.00 at the time of any prior distribution, the Plan Administrator shall 

direct the i~ninediate distribution of such amount to the Participant's Spouse. No distribution inay 

be made under the preceding sentence after the annuity starting date unless the Spouse consents in 

writing. 

Notwithstanding the above, effective March 22, 2005, in the event of a mandatory 

distribution greater than $1,000 that is made in accordance with the provisions of the Plan 

providing for an automatic distribution to a Participant without the Participant's consent, if the 

Participant does not elect to have such distribution paid directly to an "eligible retirement plan" 

specified by the Participant in a direct rollover (in accordance with the direct rollover provisions 

of the Plan) or to receive the distribution directly, then the Administrator shall pay the 

distribution in a direct rollover to an individual retirement plan designated by the Administrator. 

Upon the death of a Participant before his annuity starting date who is not survived by a 

Spouse, or upon the death of the Participant's surviving Spouse who was receiving a PreRetireinent Survivor Annuity, there shall be paid to the Participant's Beneficiary a lump sum PreRetireinent Death Benefit in an amount equal to the suln of contributions made to the Fund on 

the Participant's behalf attributable to Pension Service accrued by the Participant through the 

date of his death, reduced by the sum of the payments, if any, paid to the surviving Spouse under 

the Pre-Retirement Survivor Annuity, or paid to the Participant under a Disability Pension prior 

to his death. If the surn of the payments made to the surviving Spouse or to the Participant under 

the Disability Pension exceed Employer contributions made on the Participant's behalf, then no 

Pre-Retirement Death Benefit shall be paid hereunder. For purposes of this benefit, Pension 

Service shall only include Pension Service in which the Participant had a vested interest at the 

time of his death. 

31 

~?sos29~-~z 

50300.00 l6 
If a Participant dies (or, if a Participant's benefit is being paid in the form of a Joint and 

Survivor Annuity, when he and his wife have died), his designated Beneficiary shall be entitled 

to a lump suin Post-Retirement Death Benefit. The amount of the Post-Retirement Death Benefit 

is the excess, if any, of the amount of the Pre-Retirement Death Benefit to which he was entitled 

at his annuity starting date (except that any contributions received on the Participant's behalf for 

work performed after his annuity starting date shall also be included in computing the amount of 

his Post-Retirement Death Benefit) over the sum of the benefit payments made to him (or to him 

and his surviving Spouse) since his annuity starting date. 

Effective September 23, 2013, if a Participant dies after the date the notice of the Plan's 

critical status was sent, the Pre-Retirement or Post-Retirement Death Benefit to which the 

Participant's Beneficiary is entitled under this Section 8.5 shall be paid to the Beneficiary in 120 

equal monthly installments, or until the Beneficiary' s death, if sooner. However, in no event will 

the Beneficiary's monthly payment exceed the monthly amount payable under a single life 

annuity (plus any social security supplements described in the last sentence of Code section 

411(a)(9)). 

8.6 DESIGNATED BENEFICIARY 

The Beneficiary of a Participant shall be that person ar persons designated by hirn in writing 

from time to time in the form and manner prescribed by the Plan Administrator. A Participant may 

at any dine revoke his designation or change in designation by filing a written notice of such 

revocation with the Plan Administrator. Any designation or change in designation shall require the 

consent of the Participant's Spouse. In the event no valid designation of Beneficiary exists at the 

time of the Participant's death, the death benefit shall be payable to his estate. 

8.7 DISTRIBUTION OF BENEFITS 

Distributions upon the death of a Participant shall be made in accordance with Code Section 

401(a)(9) and the Regulations thereunder as set forth in Article IX, below. 

8.8 DISTRIBUTION FOR MINOR BENEFICIARY 

In the event a distribution is to be made to a minor, then the Administrator may direct that 

such distribution be paid to the legal guardian, or if none, to a parent of such Beneficiary or a 

responsible adult with whom the Beneficiary maintains his residence, or to the custodian for such 

Beneficiary under the Uniform Gift to Minors Act or Gift to Minors Act, if such is permitted by the 

laws of the state in which said Beneficiary resides. Such a payment to the legal guardian, custodian 

ar parent of a minor Beneficiary shall fully discharge the Trustees, Employer, and Plan from further 

liability on account thereof. 

8.9 LOCATION OF PARTICIPANT OR BENEFICIARY UNKNOWN 

In the event that all, or any portion, of the distribution payable to a Participant or his 

Beneficiary hereunder shall, at the later of the Participant's attainment of age 62 or his Normal 

Retirement Age, remain unpaid solely by reason of the inability of the Plan Administrator, after 

32 

#2505297-v2 

50300.0016 
sending a registered letter, return receipt requested, to the last known address, and after further 

diligent effort, to ascertain the whereabouts of such Participant or his Beneficiary, the amount so 

distributable shall be forfeited and shall be used to reduce the cost of the Plan. In the event a 

Participant or Beneficiary is located subsequent to his benefit being forfeited, such benefit shall be 

restored. 

8.10 DIRECT ROLLOVER 

(a) This Section 8.10 applies to distributions made on or after January 1, 1993. 

Notwithstanding any provision of the Plan to the contrary that would otherwise limit 

a distributee's election under this Section, a distributee may elect, at the time and in 

the manner prescribed by the Plan Administrator, to have any portion of an eligible 

rollover distribution paid directly to an eligible retirement plan specified by the 

distributee in a direct rollover. 

(b) For purposes of this Section the following definitions shall apply: 

(1) An Eligible Rollover Distribution means any distribution described in 

Code Section 402(c)(4) and generally includes any distribution of all or 

any portion of the balance to the credit of the distributee, except that an 

Eligible Rollover Distribution does not include: any distribution that is 

one of a series of substantially equal periodic pa}nnents (not less frequently 

than annually) made for the life (or life expectancy) of the distributee or 

the joint lives (or joint life expectancies) of the distributee and the 

distributee's designated beneficiary, or for a specified period of ten (10) 

years or more; any distribution to the extent such distribution is required 

udder Code Section 401(a)(9); and the portion of any distribution that is 

not includible in gross income (detei-~nined without regard to the exclusion 

for net unrealized appreciation with respect to employer securities); for 

distributions made after December 31, 1999, any hardship distribution as 

defined in Code Section 401(k)(2)(B)(i)(IV), which are attributable to the 

Participant's elective contributions under Treasury Regulation Section 

1.401(k)-1(d)(2)(ii); and any other distribution reasonably expected to total 

less than $200 during a year. 

Effective January 1, 2002 a portion of a distribution shall not fail to be an 

Eligible Rollover Distribution merely because the portion consists of aftertax employee contributions, which are not includible in gross income. 

However, such portion may be paid only to an individual requirement 

account or annuity described in section 408(a) or (b) of the Code, or to a 

qualified defined contribution plan described in section 401(a) or 403(a) of 

the Code that agrees to separately account for amounts so transferred, 

including separately accounting for the portion of such distribution which 

is includible in gross income and the portion of such distribution which is 

not so includible. 

33 

#2505297-~2 

50300.0016 
(2) An Eligible Retirement Plan is an individual retirement account described 

in Code Section 408(a), and individual retirement annuity described in 

Code Section 408(b), an annuity plan described in Code Section 403(a), or 

a qualified trust described in Code Section 401(a) that accepts the 

distributee's Eligible Rollover Distribution. However, in the case of an 

Eligible Rollover Distribution to the surviving Spouse, an Eligible 

Retirement Plan is an individual retirement account or individual 

retirement annuity. 

Effective January 1, 2002 an Eligible Retirement Plan shall also mean an 

annuity contract described in section 403(b) of the Code and an eligible 

plan under section 457(b) of the Code which is maintained by a state, 

political subdivision of a state, or any agency or instrumentality of a state 

or political subdivision of a state and which agrees to separately account 

for amounts transferred into such plan from this Plan. The definition of 

Eligible Retirement Plan shall also apply in the case of a surviving spouse, 

or to a spouse or former spouse who is the alternate payee under a 

Qualified Domestic Relations Order, as defined in section 414(p) of the 

Code. 

(3) A distributee includes an Employee or foi-~ner Employee. In addition, the 

Employee's or former Employee's surviving Spouse and the Employee's or 

former Employee's Spouse or former Spouse who is the alternate payee 

under a qualified domestic relations order, as defined in Code Section 

414(p), are distributees with regard to the interest of the Spouse or former 

Spouse. 

(4) A direct rollover is a payment by the Plan to the eligible retirement plan 

specified by the distributee. 

(c) For distributions after December 31, 2009, anon-spouse beneficiary who is a 

"Designated Beneficiary" under Code Section 401(a)(9)(E) and the regulations 

thereunder, may (by a direct trustee-to-trustee transfer ("direct rollover"), roll over 

all or any portion of his or her distribution to an Individual Retirement Account 

(IRA) the beneficiary establishes for purposes of receiving the distribution. In 

order to be able to roll over the distribution, the distribution otherwise must 

satisfy the definition of an "eligible rollover distribution" under Code Section 

401(a)(31). 

(d) Although anon-spouse beneficiary may roll over directly a distribution as 

provided in paragraph (c) of this Section, the distribution is not subject to the 

direct rollover requirements of Code Section 401(a)(31), the notice requirements 

of Code Section 402(fl or the mandatory withholding requirements of Code 

Section 3405(c). If anon-spouse beneficiary receives a distribution from the Plan, 

the distribution is not eligible for a 60-day (non-direct) rollover. If the 

Participant's named beneficiary is a trust, the Plan may make a direct rollover to 

34 

#2505297-v2 

50300.0016 
an IRA on behalf of the trust, provided the trust satisfies the requirements to be a 

Designated Beneficiary ~~ithin the meaning of Code Section 401(a)(9)(E). 

(e) Anon-spouse beneficiary may not roll over an amount that is a required minimum 

distribution, as determined under applicable Treasury regulations and other 

Internal Revenue Service guidance. If tl~e Participant dies before his or her 

required begimling date and the non-spouse beneficiary rolls over to an IRA the 

maximum amount eligible for rollover, the beneficiary may elect to use either the 

5-year rule or the life expectancy rule, pursuant to Treasury regulation section 

1.401(a)(9)-3, A-4(c), in determining the required minimum distributions from the 

IRA that receives the non-spouse beneficiary's distribution. 

8.11 QUALIFIED DOMESTIC RELATIONS ORDER DISTRIBUTION 

All rights and benefits, including elections, provided to a Participant in this Plan sha11 be 

subject to the rights afforded to any "alternate payee" under a "qualified domestic relations order." 

Furthermore, a distribution to an "alternate payee" shall be permitted if such distribution is 

authorized by a "qualified domestic relations order," even if the affected Participant has not 

separated from service and has not reached the "earliest retirement age" under the Plan. For the 

purposes of this Section, "alternate payee," "qualified domestic relations order" and "earliest 

retirement age" shall have the meaning set forth under Code Section 414(p). 

Effective April 6, 2007, a domestic relations order that otherwise satisfies the 

requirements for a QDRO will not fail to be a QDRO: (i) solely because the order is issued after, 

or revises, another domestic relations order or QDRO; or (ii) solely because of the tine at which 

the order is issued, including issuance after the annuity starting date or after the Participant's 

death. 

8.12 HEART ACT 

(a) In the case of a death occurring on or after January 1, 2007, if a Participant dies 

while performing qualified military service (as defined in Code § 414(u)), the 

Participants Beneficiary is entitled to any additional benefits (other than benefit 

accruals relating to the period of qualified military service) provided under the Plan 

as if the Participant had resumed employment and then terminated employment on 

account of death. Moreover, the Plan will credit the Participant's qualified military 

service as service for vesting purposes, as though the Participant had resumed 

employment under USERRA immediately prior to the Participant's death. 

(b) For years beginning after December 31, 2008; (i) an individual receiving a 

differential wage payment, as defined by Code Section 3401(h)(2), is treated as an 

Employee of the Employer making the payment; (ii) the differential wage payment 

is treated as compensation for purposes of Code § 415(c)(3) and Treasury Reg. ~ 

1.415(c)-2 (e.g., for purposed of Code §415, top-heavy provisions of Code §416, 

determination of highly compensated employees under Code §414(q), and 

applying the gateway requirement under the Code §401(a)(4) regulations);, and 

(iii) the Plan is not treated as failing to meet the requirements of any provision 

35 

#2505297-v2 

50300.00 l 6 
described in Code Section 414(u)(1)(C) (or corresponding Plan provisions) by 

reason of any contribution or benefit which is based on the differential wage 

payment. 

This section 8.12(b) applies only if all employees of the Employer performing 

service in the uniformed services described in Code ~3401(h)(2)(A) are entitled to 

receive differential wage payments (as defined in Code §3401(h)(2)) on reasonably 

equivalent terms and, if eligible to participate in a retirement plan maintained by the 

Employer, to make contributions or receive benefits based on the payments on 

reasonably equivalent terms (taking into account Code §§(b)(3),(4), and (5)). 

ARTICLE IX 

REQUIRED DISTRIBUTIONS 

9.1 GENERAL 

(a) Effective Date. The provisions of this Article 9 shall apply for purposes of 

determining required minimum distributions for calendar years beginning with the 

2002 calendar year. 

(b) Coordination with the Minimum Distributioiz Requirements Previously in Effect. 

If the total amount of 2002 required minimum distributions under the Plan made 

to the distributee prior to the effective date of this Article equals or exceeds the 

required minimum distributions determined under this Article, then no additional 

distributions will be required to be made for 2002 on or after such date to the 

distributee. If the total amount of 2002 required miniinuin distributions under the 

plan made to the distributee prior to the effective date of this Article is less than 

the amount determined under this Article, then required minimum distributions 

for 2002 on and after such date will be determined so that the total amount of 

required minimum distributions for 2002 made to the distributee will be the 

amount determined under this Article. 

(c) Precedence. The requirements of this Article will take precedence over any 

inconsistent provisions of the Plan. 

(d) Requirements of Treasury Regulations Incoi -p orated. All distributions required 

under this Article will be determined and made in accordance with the Treasury 

regulations under section 401(a)(9) of the Internal Revenue Code. 

(e) TEFRA Section 242(b)(2) Elections. Notwithstanding the other provisions of this 

Article, other than paragraph (d) above, distributions may be made under a 

designation made before January 1, 1984, in accordance with Section 242(b)(2) of 

the Tax Equity and Fiscal Responsibility Act (TEFRA) and the provisions of the 

Plan that relate to Section 242(b)(2) of TEFRA. 

36 

#Zsosz9~-~~ 

50300.00 l 6 
(fl Continuation of RMDs. Notwithstanding the provisions of the Pian relating to required 

nunimum distributions under Code §401(a)(9), a Participant or Beneficiary who would 

have been required to receive required minimum distributions for 2009 but for the 

enactment of Code §401(a)(9)(H) ("2009 RMDs"), and who would have satisfied that 

requirement by receiving distributions that are (1) equal to the 2009 RMDs or (2) one or 

snore payments in a series of substantially equal distributions (that include the 2009 

RMDs) made at least annually and expected to last for the life (or life expectancy) of the 

Participant, the joint lives (or joint life expectancy) of the Participant and the 

Participant's designated Beneficiary, or for a period of at least 10 years ("Extended 2009 

RMDs"), will receive those distributions for 2009 unless the Participant or Beneficiary 

chooses not to receive such distributions. Participants and Beneficiaries described in the 

preceding sentence will be liven the opportunity to elect to stop receiving the 

distributions described in the preceding sentence._ 

9.2 TIME AND MANNER OF DISTRIBUTION 

(a) Required Be~inning Date. The Participant's entire interest will be distributed, or 

begin to be distributed, to the Participant no later than the Participant's Required 

Beginning Date. 

(b) Death of Participant Before Distributions Begin. If the Participant dies before 

distributions begin, the Participant's entire interest will be distributed, or begin to 

be distributed, no later than as follows: 

(1) If the Participant's surviving spouse is the Participant's sole designated 

beneficiary, then distributions to the surviving spouse will begin by 

December 31 of the calendar year immediately following the calendar year 

in which the Participant died, or by December 31 of the calendar year in 

which the Participant would have attained age 70 '/z, if later. 

(2) If the Participant's surviving spouse is not the Participant's sole designated 

beneficiary, then distributions to the designated beneficiary will begin by 

December 31 of the calendar year immediately following the calendar year 

in which the Participant died. 

(3) If there is no designated beneficiary as of September 30 of the year 

following the year of the Participant's death, the Participant's entire 

interest will be distributed by December 31 of the calendar year containing 

the fifth anniversary of the Participant's death. 

(4) If the Participant's surviving spouse is the Participant's sole designated 

beneficiary and the surviving spouse dies after the Participant but before 

distributions to the surviving spouse begin, this paragraph (b), other than 

subparagraph (b)(i), will apply as if the surviving spouse were the 

Participant. 

37 

#2sos29~-w2 

50300.00 l6 
For purposes of this paragraph 9.2(b), and Section 9.5, distributions are 

considered to begin on the Participant's required beginning date (or, if 

subparagraph (4) above applies, the date distributions are required to begin 

to the surviving spouse under subparagraph (b)(1)). If annuity payments 

irrevocably commence to the Participant before the Participant's required 

beginning date (or to the Participant's surviving spouse before the date 

distributions are required to begin to the surviving spouse under 

subparagraph (b)(1)), the date distributions are considered to begin is the 

date distributions actually commence. 

(c) Fonn of Distribution. Unless the Participant's interest is distributed in the form of 

an annuity purchased from an insurance company or in a single suin on or before 

the required beginning date, as of the first distribution calendar year distributions 

will be made in accordance with 9.3, 9.4, and 9.5 of this Article. If the 

Participant's interest is distributed in the form of an annuity purchased from an 

insurance company, distributions thereunder will be made in accordance with the 

requirements of section 401(a)(9) of the Code and the Treasury regulations. Any 

part of the Participant's interest which is in the form of an individual account 

described in section 414(k) of the Code will be distributed in a manner satisfying 

the requirements of section 401(a)(9) of the Code and the Treasury regulations 

that apply to individual accounts. 

9.3 AMOUNT TO BE DISTRIBUTED EACH YEAR 

(a) General Annuit~quirements. If the Participant's interest is paid in the form of 

annuity distributions under the Plan, pa}nnents under the annuity will satisfy the 

following requirements: 

(1) the annuity distributions will be paid in periodic payments made at 

intervals not longer than one year; 

(2) the distribution period wi11 be over a life (or lives) or over a period certain 

not longer than the period described in Section 9.4 or 9.5; 

(3) once payments have begun over a period certain, the period certain will 

not be changed even if the period certain is shorter than the maximum 

permitted; 

(4) payments will either be nonincreasing or increase only as follows: 

(i) by an annual percentage increase that does not exceed the annual 

percentage increase in acost-of-living index that is based on prices 

of all items and issued by the Bureau of Labor Statistics; 

(ii) to the extent of the reduction in the amount of the Participant's 

payments to provide for a survivor benefit upon death, but only if 

38 

~2sos~9~-~z 

50300.00 l6 
the beneficiary whose life was being used to determine the 

distribution period described in Section 9.4 dies or is no longer the 

Participant's beneficiary pursuant to a qualified domestic relations 

order within the meaning of sectioi1414(p); 

(iii) to provide cash refunds of employee contributions upon the 

Participant's death; or 

(iv) to pay increased benefits that result from a plan amendment. 

(b) Amount Required to be Distributed by Required Be inning Date. The amount 

that must be distributed on or before the Participant's required beginning date (or, 

if the participant dies before distributions begin, the date distributions are required 

to begin under subparagraphs 9.2(b)(1) or (2)) is the payment that is required for 

one payment interval. The second payment interval ends in the next calendar 

year. Payment intervals are the periods for which pa}nnents are received, e.g., biinonthly, monthly, semi-monthly, or annually. All of the Participant's benefit 

accruals as of the last day of the first distribution calendar year will be included in 

the calculation of the amount of the annuity payments for payment intervals 

ending on or after the Participant's required beginning date. 

(c) Additional Accruals After First Distribution Calendar Year. Any additional 

benefits accruing to the Participant in a calendar year after the first distribution 

calendar year will be distributed beginning with the first payment interval ending 

in the calendar year immediately following the calendar year in which such 

amount accrues. 

9.4 ANNUITY DISTRIBUTIONS THAT COMMENCE DURING LIFETIME 

(a) Joint Life Annuities Where the Beneficiary is not the Participant's Spouse. If the 

Participant's interest is being distributed in the form of a joint and survivor 

annuity for the joint lives of the Participant and a nonspouse beneficiary, annuity 

payments to be made on or after the Participant's required beginning date to the 

designated beneficiary after the Participant's death must not at any tune exceed 

the applicable percentage of the annuity payment for such period that would have 

been payable to the Participant using the table set forth in Q&A-2 of section 

1.401(a)(9)-6T of the Treasury regulations. If the form of distribution combines a 

joint and survivor annuity for the joint lives of the Participant and a nonspouse 

beneficiary and a period certain annuity, the requirements in the preceding 

sentence will apply to annuity payments to be made to the designated beneficiary 

after the expiration of the period certain. 

(b) Period Certain Annuities. Unless the Participant's spouse is the sole designated 

beneficiary and the form of distribution is a period certain and no life annuity, the 

period certain for an annuity distribution commencing during the Participant's 

lifetime may not exceed the applicable distribution period for the Participant 

39 

#2505297-v? 

50300.0016 
under the Uniform Lifetime Table set forth in section 1.401(a)(9)-9 of the 

Treasury regulations for the calendar year that contains the annuity starting date. 

If the annuity starting date precedes the year in which the Participant reaches age 

70, the applicable distribution period for the Participant is the distribution period 

for age 70 under the Uniform Lifetime Table set forth in section 1.401(a)(9)-9 of 

the Treasury regulations plus the excess of 70 over the age of the Participant as of 

the Participant's birthday in the year that contains the annuity starting date. If the 

Participant's spouse is the Participant's sole designated beneficiary and the form 

of distribution is a period certain and no life annuity, the period certain may not 

exceed the longer of the Participant's applicable distribution period, as determined 

under this Section 9.4(b), or the joint life and last survivor expectancy of the 

Participant and the Participant's spouse as determined under the Joint and Last 

Survivor Table set forth in section 1.401(a)(9)-9 of the Treasury regulations, using 

the Participant's and spouse's attained ages as of the Participant's and spouse's 

birthdays in the calendar year that contains the annuity starting date. 

9.5 REQUIREMENTS FOR MINIMUM DISTRIBUTIONS WHERE PARTICIPANT DIES 

BEFORE DISTRIBUTIONS BEGiN 

(a) Participant Survived by Designated Beneficiary. If the Participant dies before the 

date distribution of his or her interest begins and there is a designated beneficiary, 

the Participant's entire interest will be distributed, beginning no later than the trine 

described in Section 9.2(b)(1) aild (2), over the life of the designated beneficiary 

or over a period certain not exceeding: 

(1) unless the annuity starting date is before the first distribution calendar 

year, the life expectancy of the designated beneficiary determined using 

the beneficiary's age as of the beneficiary's birthday in the calendar year 

immediately following the calendar year of the Participant's death; or 

(2) if the annuity starting date is before the first distribution calendar year, the 

life expectancy of the designated beneficiary determined using the 

beneficiary's age as of the beneficiary's birthday in the calendar year that 

contains the annuity starting date. 

(b) No Designated Beneficiary. If the Participant dies before the date distributions 

begin and there is no designated beneficiary as of September 30 of the year 

following the year of the Participant's death, distribution of the Participant's 

entire interest will be completed by December 31 of the calendar year containing 

the fifth anniversary of the Participant's death. 

(c) Death of Surviving Spouse Before Distributions to Surviving Spouse Begin. If 

the Participant dies before the date distribution of his or her interest begins, the 

Participant's surviving spouse is the Participant's sole designated beneficiary, and 

the surviving spouse dies before distributions to the surviving spouse begin, this 

Section 8.05 will apply as if the surviving spouse were the Participant, except that 

40 

#2505?97-v2 

50300.00 l6 
the tune by which distributions must begin will be detei-~nined without regard to 

subparagraph 8.02(b)(1). 

9.6 DEFINITIONS 

(a) Designated Beneficiary. The individual who is designated as the beneficiary 

under Section 8.6 of the Plan and is the designated beneficiary under section 

401(a)(9) of the Internal Revenue Code and section 1.401(a)(9)-1, Q&A-4, of the 

Treasury regulations. 

(b) Distribution Calendar Year. A calendar year for which a minimum distribution is 

required. For distributions beginning before the Participant's death, the first 

distribution calendar year is the calendar year immediately preceding the calendar 

year which contains the Participant's required beginning date. For distributions 

beginning after the Participant's death, the first distribution calendar year is the 

calendar year in which distributions are required to begin pursuant to 9.2(b). 

(c) Life Expectancy. Life expectancy as computed by use of the Single Life Table in 

Section 1.401(a)(9)-9 of the Treasury regulations. 

(d) Required Beginning Date. The date by which distributions to a Participant must 

begin, as set forth in Section 7.7(a), above. 

ARTICLE X 

CODE SECTION 415 LIMITATIONS 

10.1 EFFECTIVE DATE 

The limitations of this Article X shall apply in Limitation Years beginning on or after 

July 1, 2007, except as otherwise provided herein. The Limitation Year is the Plan Year. 

10.2 GRANDFATHER PROVISIONS 

The application of the provisions of this Article X shall not cause the maximum 

permissible benefit for any Participant to be less than the Participant's accrued benefit under all 

the defined benefit plans of the employer or a predecessor employer as of the end of the last 

Limitation Year beginning before July 1, 2007 under provisions of the plans that were both 

adopted and in effect before April 5, 2007. The preceding sentence applies only if the provisions 

of such defined benefit plans that were both adopted and in effect before April 5, 2007 satisfied 

the applicable requirements of statutory provisions, regulations, and other published guidance 

relating to Code Section 415 in effect as of the end of the last Limitation Year beginning before 

July 1, 2007, as described in section 1.415(a)-1(g)(4) of the Treasury regulations. 

41 

#2505297-v2 

50300.0016 
10.3 INCORPORATION BY REFERENCE 

Notwithstanding anything contained in the Plan to the contrary, the limitations, 

adjustments, and other requirements prescribed in the Plan shall comply with the provisions of 

Code Section 415 and the final regulations promulgated thereunder, the teens of which are 

specifically incorporated herein by reference as of the effective date of this Article X, except 

where an earlier effective date is otherwise provided in the final regulations or in this 

Amendment. However, where the final regulations permit the Plan to specify an alternative 

option to a default option set forth in the regulations, and the alternative option was available 

under statutory provisions, regulations, and other published guidance relating to Code Section 

415 as in effect prior to April 5, 2007, and the Plan provisions in effect as of April 5, 2007 

incorporated the alternative option, said alternative option shall remain in effect as a plan 

provision for Limitation Years beginning on or after July 1, 2007 unless another permissible 

option is set forth in this Article X. 

In determining the maximum permissible amount of Annual Benefits under the Plan, if a 

Participant has Pension Credit attributable to work performed for more than one Employer, his 

Annual Benefit under the Plan, and the limitations thereon, shall be determined separately with 

respect to each Employer. The Annual Benefit under the Plan attributable to a particular 

Employer shall be equal to the total Annual Benefit under the Plan multiplied by the ratio of 

Pension Credit attributable to such Employer to total Pension Credit. 

10.4 ADJUSTMENT TO DOLLAR LIMIT AFTER SEVERANCE 

In the case of a Participant wl~o has had a severance from employment with an Employer, 

the defined benefit dollar limitation applicable to the Participant in any Limitation Year 

beginning after the date of severance shall be automatically adjusted under Code Section 415(d). 

10.5 COMPENSATION PAID AFTER SEVERANCE FROM EMPLOYMENT 

For Limitation Years beginning on or after July 1, 2007, or such earlier date as specified 

below, compensation for a Limitation Year, within the meaning of Code Section 415(c)(3), shall 

also include the following types of compensation paid by the later of 2 '/z months after a 

Participaizt's severance from employment with the employer maintaining the plan or the end of 

the Limitation Year that includes the date of the Participant's severance from employment with 

the employer maintaining the plan. Any other payment of compensation paid after severance of 

einploylnent that is not described in the following types of compensation is not considered 

compensation within the meaning of Code Section 415(c)(3), even if payment is made within the 

time period specified above. 

(a) Regular pay after severance from employment. Compensation shall include 

regular pay after severance of employment if: 

(1) The payment is regular compensation for services during the Participant's 

regular working hours, or compensation for services outside the 

42 

#2505297-v2 

50300.00 l6 
Participant's regular working hours (such as overtime or shift differential), 

commissions, bonuses, or other similar payments; and 

(2) The pa}nnent would have been paid to the Participant prior to a severance 

from einployinent if the Participant had continued in emplo}nnent with the 

employer. 

(b) Leave cashouts and deferred compensation. Leave cashouts and deferred 

compensation shall be included in compensation, if those amounts would have 

been included in the definition of compensation if they were paid prior to the 

Participant's severance froze einploytnent with the Employer maintaining the 

Plan, and the amounts are either: 

(1) Pa}nnent for unused accrued bona fide sick, vacation, or other leave, but 

only if the Participant would have been able to use the leave if 

employment had continued; or 

(2) Received pursuant to a nonqualified unfunded deferred compensation 

plan, but only if the payment would have been paid to the if the Participant 

had continued in employment with the employer and only to the extent 

that the payment is includible in the Participant's gross income. 

10.6 ADMINISTRATIVE DELAY 

Compensation for a Limitation Year shall not include amounts earned but not paid during 

the Limitation Year solely because of the tuning of pay periods and pay dates. 

10.7 OPTION TO APPLY COMPENSATION PROVISIONS EARLY 

The rules in Sections 10.5 and 10.6 shall apply for Limitation Years beginning on or after 

July 1, 2007. 

10.8 ANNUAL COMPENSATION LIMIT 

For Plan Years beginning on or after May 1, 1994, the amount of a Participant's 

compensation from any single Employer that maybe taken into account for any Plan purpose in any 

Plan Credit Year is $150,000, as that amount maybe adjusted from tune to time by the Secretary of 

Treasury under Internal Revenue Code Section 401(a)(17). For Plan Years beginning after 

December 31, 2001, the annual compensation of each participant taken into account for any Plan 

purpose shall not exceed $200,000, as adjusted for cost-of-living increases in accordance with 

Section 401(a)(17)(B) of the Code. 

10.9 DEFINITION OF COMPENSATION 

For purposes of this Article, "Compensation" is defined as wages, salaries, and fees for 

professional services and other amounts received (without regard to whether or not an amount is 

43 

~2sos~9~-~2 

50300.0016 
paid in cash) for personal services actually rendered in the course of employment with the 

employer maintaining the plan to the extent that the amounts are includible in gross income 

(including, but not limited to, commissions paid salesmen, compensation for services on the 

basis of a percentage of profits, commissions on insurance premiums, tips, bonuses, fringe 

benefits, and reimbursements, or other expense allowances under anon-accountable plan (as 

described in 1.62-2(c)), and excluding the following: (a) Employer contributions to a p1ai1 of 

deferred compensation which are not includible in the employee's gross income for the taxable 

year in which contributed, or employer contributions under a simplified employee pension to the 

extent such contributions are deductible by the employee, or any distributions from a plan of 

deferred compensation; (b) Amounts realized from the exercise of a nonqualified stock option, or 

when restricted stock (or property) held by the employee either becomes freely transferable or is 

no longer subject to a substantial risk of forfeiture; (c) Amounts realized from the sale, exchange 

or other disposition of stock acquired under a qualified stock option; and (d) Other amounts 

which received special tax benefits, ar contributions made by the employer (whether or not under 

a salary reduction agreement) towards the purchase of an annuity contract described in § 403(b) 

of the Interilal Revenue Code (whether or not the contributions are actually excludable from the 

gross income of the employee). 

For any self-employed individual, Compensation will mean earned income. 

For Limitation Years begimling after December 31, 1991, Compensation for a Limitation 

Year is the Compensation actually paid or made available during such Limitation Year. For 

Limitation Years beginning after December 31, 1997, Compensation paid or made available 

during such Limitation Year shall include any elective deferral (as defined in Code § 402(g)(3)), 

and any amount which is contributed or deferred by the employer at the election of the employee 

and which is not includible in the gross income of the employee by reason of §~ 125 or 457. For 

Limitation Years beginning after December 31, 2000, Compensation sha11 also include any 

elective amounts that are not includible in the gross income of the employee by reason of ~ 

1320(4). 

10.10 AGGREGATION WITH OTHER EMPLOYER PLANS 

This Section 10.10 shall apply to any Participant who is covered, or has ever been 

covered, by another plan maintained by an Employer. If a Participant is, or has ever been, 

covered under more than one defined benefit plan maintained by an Employer, the sum of the 

Participant's Annual Benefits from all such plans of that Employer may not exceed the maximum 

permissible benefit permitted under Code Section 415. For this purpose, all qualified defined 

benefit plans (without regard to whether a plan has been terminated) maintained by an Employer 

will be treated as one defined benefit plan, except that multieinployer plans (as defined in Section 

4140 of the Code), such as the Plan, shall not be aggregated with other inultiemployer plans. 

10.11 PENSION FUNDING EQUITY ACT 

Effective for distributions in Plan Years begimling after December 31, 2003, for purposes 

of applying the limits under Code Section 415, the required determination of actuarial 

equivalence of forms of benefit other than a straight life annuity shall be made in accordance 

44 

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50300.00 l6 
with this Section 10.11. For purposes of this Section 10.11, the "applicable mortality table" 

means the table prescribed by the Secretary of the Treasury 

(a) Benefit Fonns Not Subject to the Present Value Rules of Code Section 417(e)(3). 

The straight life annuity that is actuarially equivalent to the Participant's form of 

benefit shall be determined under this Section 10.11(a) if the form of the 

Participant's benefit is either: 

(1) A nondecreasing annuity (other than a straight life annuity) payable for a 

period of not less than the life of the Participant (or, in the case of a qualified 

pre-retirement survivor annuity, the life of the surviving spouse), or 

(2) An aru~uity that decreases during the life of the Participant merely because 

of: 

(i) The death of the survivor annuitant (but only if the reduction is not 

below 50% of the benefit payable before the death of the survivor 

annuitant), or 

(ii) The cessation or reduction of Social Security supplements or 

qualified disability payments (as defined in Code Section 

401(a)(11)). 

For Limitation Years beginning before July 1, 2007, the actuarially equivalent 

straight life annuity is equal to the annual amount of the straight life annuity 

commencing at the same annuity starting date that has the same actuarial present 

value as the Participant's form of benefit computed using whichever of the 

following produces the greater annual amount: 

(i) the interest rate and the mortality table (or other tabular factor) 

specified in the Plan for adjusting benefits in the same form; and 

(ii) a 5 percent interest rate assumption and the "applicable mortality 

table" defined in the Plan for that aimuity starting date. 

For Limitation Years beginning on or after July 1, 2007, the actuarially equivalent 

straight life annuity is equal to the greater o£ 

(i) The annual amount of the straight life annuity (if any) payable to 

the Participant under the Plan commencing at the same annuity 

starting date as the Participant's form of benefit; and 

(ii) The annual amount of the straight life annuity commencing at the 

same annuity starting date that has the same actuarial present value 

as the Participant's form of benefit, computed using a 5 percent 

45 

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50300.0016 
interest rate assumption and the "applicable mortality table" 

defined in the Plan for that annuity starting date. 

(b) Benefit Fonns Subject to the Present Value Rules of Code Section 417(e)(3). The 

straight life annuity that is actuarially equivalent to the Participant's form of benefit 

shall be determined as indicated under this Section 7.11(b) if the form of the 

Participants benefit is other than a benefit form described in Section 7.11(a). 

If the annuity starting date of the Participant's form of benefit is in a Plan Year 

beginning after December 31, 2005, the actuarially equivalent straight life annuity is 

equal to the greatest of: 

(1) The annual amount of the straight life annuity commencing at the same 

amluity starting date that has the same actuarial present value as the 

Participant's form of benefit, computed using the interest rate and the 

mortality table (or other tabular factor) specified in the Plan for adjusting 

benefits in the same form; 

(2) The annual amount of the straight life annuity commencing at the same 

annuity starting date that has the same actuarial present value as the 

Participant's foi7n of benefit, computed using a 5.5 percent interest rate 

assumption and the applicable mortality table for the distribution uizder 

section 1.417(e)-1(d)(2) of the Treasury regulations; and 

(3) The annual amount of the straight life annuity commencing at the same 

annuity starting date that has the same actuarial present value as the 

Participant's form of benefit, computed for the distribution under section 

1.417(e)-1(d)(3) of the Treasury regulations and the applicable mortality 

table for the distribution under section 1.417(e)-1(d)(2) of the Treasury 

regulations, divided by 1.05. 

If the annuity starting date of the Participant's form of benefit is in a Plan Year 

beginning in 2004 or 2005, except as provided below, if applicable, the achlarially 

equivalent straight life annuity is equal to the annual amount of the straight life 

annuity commencing at the same annuity starting date that has the same actuarial 

present value as the Participant's form of benefit, computed using whichever of the 

following produces the greater annual amount: 

(i) The interest rate and the mortality table (or other tabular factor) 

specified in the Plan for adjusting benefits in the same form; and 

(ii) A 5.5 percent interest rate assumption and the applicable mortality 

table for the distribution under section 1.417(e)-1(d)(2) of the 

Treasury regulations. 

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#2505297-v2 

50300.0016 
If the annuity starting date of the Participant's benefit is on or after the first day of 

the first Plan Year beginning in 2004 and before December 31, 2004, then the 

application of this Section shall not cause the amount payable under the 

Participant's form of benefit to be less than the benefit calculated under the Plan 

taking into account the limitations of this Article, except that for purposes of 

detei7nining the actuarially equivalent straight life annuity, the applicable interest 

rate shall be the applicable interest rate in effect as of the last day of the last Plan 

Year beginning before January 1, 2004, under the provisions of the Plan then 

adopted and in effect. 

10.12 BENEFIT RESTRICTIONS UNDER THE PENSION PROTECTION ACT 

(a) Effective Date and Application of this Section 10.12. 

(1) Effective Date. The provisions of this Section 10.12 apply to Plan Years 

beginning after December 31, 2007. 

(b) Endangered Status 

(1) During any funding plan adoption period as defined by Code section 

432(c)(8), no amendment of the Plan which increases the liabilities of the 

Plan by reason of any increase in benefits, any change in the accrual of 

benefits, or any change in the rate at which benefits become nonforfeitable 

under the Plan inay be adopted unless the amendment is required as a 

condition of qualification under part I of subchapter D of chapter 1 of the 

Code or to comply with other applicable law. 

(2) The Plan may not be amended after the adoption of a funding 

improvement plan under Code section 432(c)(3), so as to be inconsistent 

with the funding improvement plan or to increase benefits, including 

fiiture benefit accruals, unless the Plan actuary certifies that the benefit 

increase is consistent with the funding improvement plan and is paid for 

out of contributions not required by the funding improvement plan to meet 

the applicable benchmark in accordance with the schedule contemplated in 

the funding improvement plan. 

(c) Critical Status 

(1) During any rehabilitation plan adoption period as defined by Code section 

432(e)(4), no amendment of the Plan which increases the liabilities of the 

Plan by reason of any increase in benefits, any change in the accrual of 

benefits, or any change in the rate at which benefits become nonforfeitable 

under the Plan may be adopted unless the amendment is required as a 

condition of qualification under part I of subchapter D of chapter 1 of the 

Code or to comply with other applicable law. 

47 

~2sos29~-~2 

50300.0016 
(2) The Plan may not be amended after the date of the adoption of a 

rehabilitation plan under Code section 432(e)(3) so as to be inconsistent 

with the rehabilitation plan or so as to increase benefits, including future 

benefit accruals, unless the Plan actuary certifies that such increase is paid 

for out of additional contributions not contemplated by the rehabilitation 

plan, and, after taking into account the benefit increase, the r Plan still is 

reasonably expected to emerge from critical status by the end of the 

rehabilitation period on the schedule contemplated in the rehabilitation 

plan. 

(3) Effective on the date the notice of certification of the Plan's critical status 

for the initial critical year under Code Section 432(b)(3)(D) is sent, and 

notwithstanding Code section 411(d)(6), the Plan shall not pay—

(i) any payment, in excess of the monthly amount paid under a single life 

annuity (plus any social security supplements described in the last sentence 

of Code section 411(a)(9)), to a participant or beneficiary whose annuity 

starting date (as defined in Code section 4170(2)) occurs after the date 

such notice is sent, 

(ii) any pa}nnent for the purchase of an irrevocable commitment from an 

insurer to pay benefits, and 

(iii) any other payment specified by the Secretary by regulations. 

(4) Paragraph (3) shall not apply to a benefit which under section 411(a)(11) 

tnay be iininediately distributed without the consent of the Participant or to 

any makeup payment in the case of a retroactive annuity starting date or 

any similar payment of benefits owed with respect to a prior period. 

ARTICLE XI 

EMPLOYEE RIGHTS 

11.1 GENERAL RIGHTS OF EMPLOYEES AND BENEFICIARIES 

The Plan is established and trust assets are held for the exclusive purpose of providing 

benefits for Employees and their Beneficiaries, as have qualified to participate under the terms of 

the Plan. Such benefits may be payable upon retirement, death, disability or termination of 

employment with a participating Employer, subject to the specific provisions of the Plan. 

Every Employee and Beneficiary receiving benefits under the Plan is entitled to receive, on 

a regular basis, a current, comprehensible and detailed written account of his personal benefit status 

and of the relevant terms of the Plan, which provide these benefits. 

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#2505297-v2 

50300.00 l 6 
11.2 REGULAR REPORTS AND DISCLOSURE REQUIREMENTS 

Every Employee covered under the Plan and every Beneficiary receiving benefits under the 

Plan sha11 receive a summary plan description, summary of the latest annual report of the Plan or 

such other information as may be required to be furnished by law, under any of the following 

circumstances: 

(a) When the Plan is established or any material modification or amendment is 

proposed or adopted; 

(b) Within 90 days after he becomes an Employee or begins to receive benefits under 

the Plan; 

(c) Within 210 days after the close of the Plan's fiscal year. 

11.3 INFORMATION GENERALLY AVAILABLE 

The Administrator shall make copies of the Plan description and the latest annual report of 

any bargaining agreement, trust agreement, contract or other instruments under which the Plan was 

established or is operated, available for examination by any Employee or Beneficiary in the 

principal office of the Administrator and such other locations as inay be necessary to snake such 

information reasonably accessible to all interested parties, and, subject to a reasonable charge to 

defray the cost of furnishing such copies, the Plan Administrator shall, upon written request of any 

Employee or Beneficiary, furnish a copy of the latest updated su~ninary plan description, and the 

latest annual report, any terminal report, any bargaining agreement, trust agreement, contract or 

other instruments under which this Plan is established or operated, to the party making such request. 

11.4 SPECIAL DISCLOSURES 

Upon written request to the Plan Administrator once during any twelve month period, an 

Employee or Beneficiary shall be furnished with a written statement, based on the latest available 

information, of the total benefits accrued, or the earliest date on which such benefits will become 

non-forfeitable. 

Prior to the distribution to any benefits to which any Employee or Beneficiary may be 

entitled, he must be provided with a written explanation of the teens and conditions of the various 

distribution options that are available and must, in turn, file a written election with the Plan 

Administrator. 

Upon termination of emplo}nnent, an Employee who has been an Employee in the Plan is 

entitled to a written explanation of an accounting for any vested deferred benefits, which have 

accrued to his account and of any applicable options regarding the disposition of those benefits. 

Such information will also be provided to the Social Security Administration by the Internal 

Revenue Service on the basis of information required to be reported by the Plan Administrator. 

49 

#2505297-~2 

50300.0016 
11.5 EMPLOYEE RIGHT TO COMMENT 

Pursuant to rights granted by the Employee Retirement Income Security Act of 1974 (PL 

93-406) and the Regulations issued pursuant to that authority, any Employee may be entitled to 

comment on the application of the Plan for a ruling regarding: 

(a) initial qualification determination under the requirements of the internal Revenue 

Code; 

(b) any material amendment to the Plan; 

(c) any partial or complete termination of the Plan. 

11.6 CLAIMS PROCEDURE 

Each Participant who thinks he is entitled to a claim under the Plan shall look only to the 

assets of the Trust fund in satisfaction thereof. The following procedures shall be followed in 

filing a claim for benefits: 

(a) Application for benefits must be made in writing in the form, manner and time 

prescribed by the Trustees and, except for Disability Retirement Benefits, must be filed with the 

Fund in advance of the first month for which benefits are payable. In no event shall benefits be 

payable for any period preceding the date of the filing of the application for benefits. 

(b) The Ti~.istees shall notify the claimant within ninety (90) days after receipt of the 

claim (excluding a claim for disability benefits) if the claim has been denied or modified. If 

special circumstances require additional time for processing the claim, the Trustees shall inform 

the claimant in writing indicating the special circumstances requiring an extension of tune and 

the date by which a determination will be rendered. The additional time shall not exceed ninety 

(90) days. 

(c) The Trustees shall notify the claimant within forty-five (45) days after receipt of a 

claim for a Disability Retirement Benefit if the claim has been denied or modified. If the 

Trustees determine that an extension of time is necessary for processing the claim (due to 

circumstances beyond the control of the Fund), the 45-day period will be extended for an 

additional 30 days, if additional time is still needed to snake a determination, there may be an 

additional extension of 30 days. In such case the Trustees must notify the claimant (within the 

initial 45-day period or prior to the expiration of the first 30-day extension) of the circumstances 

requiring the extension, the date by which the Plan expects to render a determination, the 

standard, on which entitlement to benefits is based, the unresolved issues that prevent a decision 

on the claim and additional information needed to resolve those issues. The claimant will have 

45 days from receipt of the notice to provide the Trustees with any additional information 

needed. 

(d) In the event a claim is denied in whole or in part, ("an adverse benefit 

determination") the claimant will be provided with written notification including: 

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#2505297-v2 

50300.0016 
(i) The specific reason or reasons for the adverse benefit determination and reference 

to the specific Plan provisions on which the determination is based; 

(ii) A description of any additional material or information needed to complete the 

claim (including an explanation of why the information is deeded); 

(iii) A statement that you will be provided, upon written request and free of charge, 

with reasonable access to (and copies o fl all documents, records and other information relevant 

to your claim; and 

(iv) A description of the Plan's appeal procedure and applicable tune limits, as well as 

a statement of the claimants rights to bring suit under federal law (Section 502(a) of ERISA) 

following an adverse determination on appeal. 

In addition to the above notification requirements, notification with regards to a Disability 

Retirement Benefit claim shall also include: 

(i) A discussion of the decision, including any reasons for disagreeing with the views 

of the claimant, any treating professionals, medical or vocational experts consulted, or a Social 

Security Administration determination; and 

(ii) A description of any internal rule, guideline or similar standard that the Fund 

relied on in making a decision based on medical necessity, experimental treatment or a similar 

limitation, or statement that such explanation will be provided (without charge) upon the 

claimant's request; and 

(iii) A description of any scientific or clinical judgment that the Fund relied on in 

making a decision based on medical necessity, experimental treatment or a similar limitation, or 

a statement that such explanation will be provided (without charge) upon the claimant's request. 

11.7 CLAIMS REVIEW PROCEDURES 

If a claim is denied (in whole or in part), the claimant shall thereafter have sixty (60) days 

for claims other than disability and one hundred eighty (180) days for Disability Retirement 

Benefit claims within which to appeal the determination to the Trustees. In the case of an adverse 

benefit determination regarding a rescission of coverage, the claimant must request a review 

within 90 days of the notice. Such appeal shall be in writing, shall be delivered to the Trustees, 

and shall specify in detail the basis for the objection to the their determination. The Board of 

Trustees shall thereby afford the claimant or his duly authorized representative the opportunity to 

review (free of charge) all documents, records and other information pertinent to the claim, to 

submit issues and comments in writing and discuss such documents and issues with the Trustees. 

For Disability Retirement Benefit claims, a different person will review your claim than 

the one who originally denied the claim and the reviewer will not be a subordinate of the person 

who originally denied the claim. You will be advised of the identity of any medical or vocational 

51 

#2505297-v2 

50300.00 ( 6 
expert who were consulted in connection with the initial denial. The reviewer will not give 

deference to the initial adverse benefit determination. The decision will be made on the basis of 

the record, including such additional documents and comments that may be submitted by you. In 

addition, if your claim was denied on the basis of a medical judgment, a health care professional 

who has appropriate training and experience in a relevant field of medicine will be consulted. 

The health care professional will not be the same person who was consulted with respect to the 

initial adverse benefit determination (or a subordinate of such person). 

The Trustees shall act upon the appeal as soon as possible but no later than the date of the 

first Board meeting following the date the Plan receives a request for review, unless the request 

for review is filed within thirty (30) days prior to the date of such meeting. In such case, a 

determination will be made no later than the date of the second Board meeting following the date 

the Plan receives a request for review. If special circumstances (such as the need to hold a 

hearing) require a further extension of time for processing, the Trustees shall notify the claimant 

in writing describing the special circumstances and the date by which a determination will be 

rendered. The determination shall be rendered no later than the date of the third Board meeting 

following the date the Plan receives a request for review. 

If the Trustees consider, rely upon or create any new or additional evidence during the 

review of the adverse benefit determination, they will provide such new or additional evidence to 

the claimant, free of charge, as soon as possible and sufficiently in advance of the trine within 

which a determination on review is required to allow the claimant time to respond. 

Before the Trustees issue an adverse benefit determination on review that is based on a 

new or additional rationale, the claimant must be provided a copy of the rationale at no cost to 

the claimant. The rationale must be provided as soon as possible and sufficiently in advance of 

the time within which a final determination on appeal is required to allow the claimant time to 

respond. 

The Trustees shall notify the claimant of their determination as soon as possible but no 

later than five (5) days after the determination is made. Such notification shall include all of the 

information described in subsection (d) of this Article. 

52 

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50300.0016 
11.8 ACTION OF TRUSTEES 

(a) The Trustees shall, subject to the requirements of the law, be the sole judges of the 

standard of proof required in any case and the application and interpretation of this 

Plan, and decisions of the Trustees shall be final and binding on all parties. The 

Trustees shall have the exclusive right and discretionary authority to construe the 

teens of the Plan, to resolve any ambiguities, and to determine any questions which 

may arise with the Plan's application or administration, including, but not limited to, 

determination of eligibility for benefits. Wherever in the Plan the Trustees are given 

discretionary powers, the Trustees shall exercise such powers in a uniform and nondiscriminatory manner. The Trustees shall process a claim for benefits as speedily 

as is feasible, consistent with the need for adequate information and proof necessary 

to establish the claimant's benefit rights aild to coimnence the payment of benefits. 

(b) The Trustees shall have the right to recover by all legal and equitable means any 

amounts paid to anyone in error, plus interest on same, and the right to recover by 

all legal and equitable means any amounts paid to which the recipient was not 

rightfully entitled under the teens of this Plan, plus interest on same. This right to 

recovery shall include, but shall not be limited to, the right to adjust future payments 

actuarially, or otherwise, to recoup such amounts from any future benefits to be paid 

to or on behalf of the Participant, retiree, or Beneficiary and the right to recoup such 

amounts from any benefits to be paid to or on behalf of any survivors of the 

Participant, retiree, or Beneficiary. 

11.9 PROTECTION FROM REPRISAL 

No Employee or Beneficiary may be discharged, fined, suspended, expelled, disciplined or 

otherwise discriminated against for exercising any right to which he is entitled or for cooperation 

with any inquiry or investigation under the provisions of this Plan or any governing law or 

regulations. 

No person shall, directly or indirectly, tlu-ough the use of threatened use of fraud, force or 

violence, restrain, coerce or intimidate any Employee or Beneficiary for the purpose of interfering 

with or preventing the exercise of or enforcement of any right, remedy or claim to which he is 

entitled under the tei7ns of this Plan or any relevant law or regulations. 

ARTICLE XII 

AMENDMENT, TERMINATION AND MERGERS 

12.1 AMENDMENT 

(a) The Trustees shall have the right at any time to amend the Plan, subject to the 

limitations of this Section. Any such amendment shall become effective as 

provided therein upon its execution. 

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50300.00 ( 6 
(b) No amendment to the Plan shall be effective if it authorizes or permits any part of 

the Trust Fund (other than such part as is required to pay taxes and administration 

expenses) to be used for or diverted to any purpose other than for the exclusive 

benefit of the Participants or their Beneficiaries or estates; or causes any reduction in 

the amount credited to the account of any Participant; or causes or permits any 

portion of the Trust Fund to revert to or become property of the Employer. 

(c) Except as permitted by Regulations, no Plan amendment or transaction having the 

effect of a Plan amendment (such as a merger, plan transfer or similar transaction) 

shall be effective to the extent it eliminates or reduces any "Section 411(d)(6) 

protected benefit" or adds or modifies conditions relating to "Section 411(d)(6) 

protected benefits" the result of which is a further restriction on such benefit unless 

such protected benefits are preserved with respect to benefits accrued as of the later 

of the adoption date or effective date of the amendment. "Section 411(d)(6) 

protected benefits" are benefits described in Code Section 411(d)(6)(A), early 

retirement benefits and retirement-type subsidies, and optional forms of benefit. 

12.2 TERMINATION 

(a) The Trustees shall have the right to terminate the Plan by written notice to the 

Employer and Administrator when there is no longer in force and effect a Collective 

Bargaining Agreement requiring contributions to the Plan. Upon any full or partial 

termination, all amounts credited to the affected Participants' Accounts shall be and 

remain 100% Vested as provided in Section 3.4 and shall not thereafter be subject to 

forfeiture, and all unallocated amounts shall be allocated to the accounts of all 

Participants in accordance with the provisions hereof. 

(b) Upon the full termination of the Plan, the Trustees shall direct the distribution of the 

assets of the Trust Fund to Participants in a manner, which is consistent with and 

satisfies the provisions of Section 8.3. Distributions to a Participant shall be made 

in cash or through the purchase of irrevocable nontransferable deferred 

commitments from an insurer. Except as permitted by Regulations, the termination 

of the Plan shall not result in the reduction of "Section 411(d)(6) protected benefits" 

in accordance with Section 11.1(c), 

12.3 MERGER OR CONSOLIDATION 

This Plan inay be merged or consolidated with, or its assets and/or liabilities may be 

transferred to any other plan and trust only if the benefits which would be received by a Participant 

of this Plan, in the event of a termination of the plan iinrnediately after such transfer, merger or 

consolidation, are at least equal to the benefits the Participant would have received if the Plan had 

terminated irmnediately before the transfer, merger or consolidation, and such transfer, merger or 

consolidation does not otherwise result in the eliminated or reduction of any "Section 411(d)(6) 

protected benefits" in accordance with Section 11.1(c). 

54 

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50300.0016 
ARTICLE XIII 

MISCELLANEOUS 

13.1 PARTICIPANT'S RIGHTS 

This Plan sha11 not be deemed to constitute a contract between the Employer and any 

Participant or to be a consideration or an inducement for the employment of any Participant or 

Employee. Nothing contained in this Plait shall be deemed to give any Participant or Employee the 

right to be retained in the service of the Employer or to interfere with the right of the Employer to 

discharge any Participant or Employee at any time regardless of the effect which such discharge 

shall have upon him as a Participant of this Plan. 

13.2 ALIENATION 

(a) Subject to the exceptions provided below, no benefit which shall be payable out of 

the Trust Fund to any person (including a Participant or his Beneficiary) shall be 

subject in any inamier to anticipation, alienation, sale, transfer, assignment, pledge, 

encumbrance, or charge, and any attempt to anticipate, alienate, sell, transfer, assign, 

pledge, encumber, or charge the same shall be void; and no such benefit shall in any 

manner be liable for, or subject to, the debts, contracts, liabilities, engagements, or 

torts of any such person, nor shall it be subject to attaclunent or legal process for or 

against such person, and the same shall not be recognized by the Trustees, except to 

such extent as maybe required by law. 

(b) This provision shall not apply to a "qualified domestic relations order" defined in 

Code Section 414(p), and those other domestic relations orders permitted to be so 

treated by the Administrator under the provisions of the Retirement Equity Act of 

1984. The Administrator shall establish a written procedure to determine the 

qualified status of domestic relations order and to administer distributions under 

such qualified orders. Further, to the extent provided under a "qualified domestic 

relations order", a former spouse of a Participant shall be treated as the spouse or 

surviving spouse for all purposes under the Plan. 

13.3 CONSTRUCTION OF PLAN 

This Plan shall be construed and enforced according to the Act and the laws of the State of 

New York, other than its laws respecting choice of law, to the extent not preempted by the Act. 

13.4 GENDER AND NUMBER 

Wherever any words are used herein in the masculine, feminine or neuter gender, they shall 

be construed as though they were also used in another gender in all cases where they would so 

apply, and whenever any words are used herein in the singular or plural form, they shall be 

construed as though they were also used in the other fot-m in all cases where they would so apply. 

13.5 LEGAL ACTION 

SS 

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50300.0016 
In the event any claim, suit, or proceeding is brought regarding the Trust and/or Plan 

established hereunder to which the Trustees or the Administrator may be a party, and such claim 

suit, or proceeding is resolved in favor of the Trustees or Administrator, they shall be entitled to be 

reimbursed from the Trust Fund for any and all costs, attorney's fees, and other expenses pertaining 

thereto incurred by them for which they shall have become liable. 

13.6 PROHIBITION AGAINST DIVERSION OF FUNDS 

(a) Except as provided below and otherwise specifically permitted by law, it shall be 

impossible by operation of the Plan or of the Trust, by termination of either, by 

power of revocation or ainendinent, by the happening of any contingency, by 

collateral arrangement or by any other means, for any part of the corpus of income 

of any trust fund maintained pursuant to the Plan or any funds contributed thereto to 

be used for, or diverted to, purposes other than the exclusive benefit of Participants, 

Retired Participants, or their Beneficiaries. 

(b) In the event the Employer shall make an excessive contribution under a mistake of 

fact pursuant to Act Section 403(c)(2)(A), the Employer inay demand repayment of 

such excessive contribution at any time within one (1) year following the time of 

payment and the Trustees shall return such amount to the Employer within the one 

(1) year period. Earnings of the Plan attributable to the excess contributions inay 

not be retunled to the Employer but any losses attributable thereto must reduce the 

amount so returned. 

13.7 BONDING 

Every Fiduciary, except a bank or an insurance company, unless exempted by the Act and 

regulations thereunder, shall be bonded in an amount not less than 10% of the amount of the funds 

such Fiduciary handles; provided, however, that the minimum bond shall be $1,000 and the 

inaximuln bond, $500,000. The amount of funds handled shall be determined at the begimling of 

each Plan Year by the amount of funds handled by such person, group, or class to be covered and 

their predecessors, if any, during the preceding Plan Year, or if there is no preceding Plan Year, 

then by the amount of the funds to be handled during the then current year. The bond shall provide 

protection to the Plan against any loss by reason of acts of fraud or dishonesty by the Fiduciary 

alone ar in connivance with others. The surety shall be a corporate surety company (as such teen is 

used in Act Section 412(a)(2)), and the bond shall be in a form approved by the Secretary of Labor. 

Notwithstanding anything in the Plan to the contrary, the cost of such bonds shall be an expense of 

and shall be paid from the Trust Fund. 

13.8 EMPLOYERS' AND TRUSTEES' PROTECTIVE CLAUSE 

Neither the Employer nor the Trustees, nor their successors, shall be responsible for the 

validity of any Contract issued hereunder or for the failure on the part of the insurer to make 

payments provided by any such Contract, or for the action of any person which may delay payment 

or render a Contract null and void or unenforceable in whole or in part. 

56 

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50300.00 l6 
13.9 INSURER'S PROTECTIVE CLAUSE 

Any insurer who shall issue Contracts hereunder shall not have any responsibility for the 

validity of this Plan or for the tax or legal aspects of this Plan. The insurer shall be protected and 

held harmless in acting in accordance with any written direction of the Trustees, and shall have no 

duty to see to the application of any funds paid to the Trustees, nor be required to question any 

actions directed by the Trustees. Regardless of any provision of this plan, the insurer shall not be 

required to take or permit any action or allow any benefit or privilege contrary to the teens of any 

Contract which it issues hereunder, or the rules of the insurer. 

13.10 RECEIPT AND RELEASE FOR PAYMENTS 

Any payment to any Participant, his legal representative, Beneficiary, or to any guardian or 

committee appointed for such Participant or Beneficiary in accordance with the provisions of the 

Plan, shall, to the extent thereof, be in full satisfaction of all claims hereunder against the Trustees, 

who may require such Participant, legal representative, Beneficiary, guardian or committee, as a 

condition precedent to such payment, to execute a receipt and release thereof in such form as shall 

be determined by the Trustees. 

13.11 ACTION BY THE TRUSTEES 

Whenever the Trustees under the teens of the Plan are permitted or required to do or 

perform any act or matter of thing, it shall be done and performed by a person duly authorized by its 

legally constituted authority. 

13.12 NAMED FIDUCIARIES AND ALLOCATION OF RESPONSIBILITY 

The "named Fiduciaries" of this Plan are (1) the Administrator and (2) the Trustees. The 

named Fiduciaries shall have only those specific powers, duties, responsibilities, and obligations as 

are specifically given them under the Plan. The Administrator shall have the sole responsibility for 

the administration of the Plan, which responsibility is specifically described in the Plan. The 

Trustees shall have the sole responsibility to amend or terminate the Plan and to manage the assets 

held under the Trust, except those assets, the management of which has been assigned to an 

Investment Manager, who shall be solely responsible for the management of the assets assigned to 

it, all as specifically provided in the Plan. Each earned Fiduciary warrants that any directions given, 

information furnished, or action taken by it shall be in accordance with the provisions of the Plan, 

authorizing or providing for such direction, information or action. Furthermore, each named 

Fiduciary may rely upon any such direction, information or action of another named Fiduciary as 

being proper under the Plan, and is not required under the Plan to inquire into the propriety of any 

such direction, information or action. It is intended under the Plan that each named Fiduciary shall 

be responsible for the proper exercise of its own powers, duties, responsibilities and obligations 

under the Plan. No named Fiduciary shall guarantee the Trust Fund in any manner against 

investment loss or depreciation in asset value. Any person or goup may serve in more than one 

Fiduciary capacity. In the furtherance of their responsibilities hereunder, the "named Fiduciaries" 

57 

#2sos29~-.~2 

50300.0016 
shall be empowered to interpret the Plan and Trust and to resolve ambiguities, inconsistencies and 

omission, which findings shall be binding, final and conclusive. 

13.13 HEADINGS 

The headings and subheadings of this Plan have been inserted for convenience of reference 

and are to be ignored in any construction of the provisions hereof. 

13.14 APPROVAL BY INTERNAL REVENUE SERVICE 

(a) Notwithstanding anything herein to the contrary, contributions to this Plan are 

conditioned upon the initial qualification of the Plan under Code Section 401. If the 

Plan receives an adverse determination with respect to its initial qualification, the 

Plan may retui7l such contributions to the Employer within one year after such 

determination, provided the application for the determination is made by the time 

prescribed by law for filing the Employer's return for the taxable year in which the 

Plan was adopted, or such later date as the Secretary of the Treasury inay prescribe. 

(b) Notwithstanding any provisions to the contrary, any contribution by the Employer to 

the Trust Fund is conditioned upon the deductibility of the contribution by the 

Employer under the Code and, to the extent any such deduction is disallowed, the 

Employer may, within one (1) year following the disallowance of the deduction, 

demand repa}nnent of such disallowed contribution and the Trustees shall return 

such contribution within one (1) year following the disallowance of the deduction, 

demand repayment of such disallowed contribution within one (1) year following 

the disallowance. Earnings of the Plan attributable to the excess contribution may 

not be returned to the Employer, but any losses attributable thereto must reduce the 

amount so returned. 

13.15 UNIFORMITY 

All provisions of this Plan shall be interpreted and applied in a uniform, nondiscriminatory 

manner. In the event of any conflict between the terms of this Plan and any Contract purchased 

hereunder, the Pian provisions shall control. 

58 

#2505297-v2 

50300.0016 
IN WITNESS WHEREOF, this Plan has been executed the day and year first above written. 

EMPLOYER TRUSTEES: UNION TRUSTEES: 

r 

~1 

-1

59 

~zsos?9~-~2 

50300.0016