C o n n e c t i c u t C a r p e n t e r s A n n u i t y  F u n d P l a n

 

TABLE OF CONTENTS

 

PARTICIPATION

CONTRIBUTIONS TO THE PLAN                                                  DISTRIBUTION OF BENEFITS UPON RETIREMENT OR TERMINATION OF EMPLOYMENT

         Employer Contributions                                                                     Benefits of $5,000 or Less                   Husband-and-Wife Annuity

         Voluntary Contributions                                                                    Alternative Forms of Payment              

         Fees and Expenses                                                                                        Lump Sum                                     

         Investment of the Funds                                                                              Installments

         Benefit Statements                                                                                        Ten Years Certain and Life Annuity

                                                                                                                                    Combination                                             

DISTRIBUTION OF BENEFITS UPON DEATH                             NAMING A BENEFICIARY 

              Pre-Retirement Death Benefits                                                           Changing Your Beneficiary Designation

                     a.     Unmarried Participants                                              HARDSHIP WITHDRAWALS

                    b.    Married Participants                                                   PURCHASE OF ANNUITY CONTRACTS

              Post-Retirement Death Benefits                                            APPLICATION FOR BENEFITS

 ERISA                                                                                                    WITHHOLDING AND OTHER TAX MATTERS

              Your Rights                                                                                           Income Tax Withholding

        Enforcing Your Rights                                                                         Penalties for Early Distribution

                                                                                                                         Distributions of Voluntary Contributions and Earnings

 LEGAL INFORMATION                                                                    APPEAL PROCESS

              Information About Your Rights

              Fiduciaries                                                                                ASSIGNMENT OF BENEFITS/QDROS

              Claims and Appeals                                                                

         Plan Termination                                                                         

         Disclaimer                                                                                 AMENDMENT/TERMINATION OF THE ANNUITY PLAN

 PLAN TERMS 

 

 IMPORTANT                                             

 

C o n n e c t i c u t C a r p e n t e r s A n n u i t y  F u n d

                                                                                                                 

                                                                                                                             

                                                                                                                            

                                                                                                                             

 

 

 

 

 

To All Participants and Beneficiaries:

 

The purpose of the Connecticut Carpenters Annuity Plan (the "Annuity Plan") formerly known as the Carpenters Supplemental Pension Annuity Plan is to supplement the monthly retirement benefit to which you are entitled from Social Security and from the Connecticut Carpenters Pension Fund.  The Annuity Plan provides benefits upon death, disability or termination of employment from the industry. 

 

Since the last edition of this booklet several important changes have been made to the plan, including the addition of Hardship Withdrawals, a new definition of the term "Break in Service" and new rules regarding uncollectible contributions.  Please review this 2001 Edition of the Summary Plan Description carefully so you can understand how the Annuity Plan can help you plan for a financially secure retirement.

 

            The Annuity Plan is an individual account plan to which employers make contributions for each hour that a participant works in covered employment.  A participant pays no tax at the times these amounts are contributed, but is taxed when he receives a distribution from the plan. The plan also permits participants to make voluntary contributions. 

 

            Benefit plans can change from time to time. The descriptions in this booklet apply to the year 2001 and later. Different rules may apply before 2001. If there are changes made in the future, you will be notified of these changes in writing at no cost to you. You should keep all notifications with this booklet so you have the most current information available.

 

            Personal or family situations also change from time to time. When they do, you should refer back to this booklet to make sure your beneficiary designation reflects your current wishes. You should also notify the Fund Office of changes in your address or marital status.

 

            The information in this booklet is based on legal documents. If there are any differences or conflicts between information in this booklet and the plan documents, the plan documents will govern. The full Board of Trustees has discretion to interpret the plan. You should not rely on any individual or unofficial opinion about your eligibility for participation in the plan or any plan benefits that may be due you.

 

            If you have any questions or require any additional information regarding the Annuity Plan, you are encouraged to call or write the Fund Office for an explanation.  The Board of Trustees will provide such an explanation in writing.

 

 

                                                            Sincerely,

 

                                                            THE BOARD OF TRUSTEES,

                                                            CONNECTICUT CARPENTERS ANNUITY FUND

 

                                                            March 2002


PARTICIPATION

 

            You will become eligible to participate in the Annuity Plan, according to the following schedule:

 

If you:

You will become a participant on:

Work as a carpenter for a contributing employer

The first day you begin work in covered employment

Are a member of a Union local located outside Connecticut who first works for a contributing employer after 1997

On the ninetieth (90th) day after you begin work in covered employment

 

Work as a Connecticut employee for:

·  the Fund Office of the Connecticut Carpenters Pension Fund,

·  the New England Regional Council of Carpenters, or

·  a Participating Local Union

The first day you begin work in covered employment, as long as you earn 960 hours of service* in your first year of work.

Otherwise, you will become a participant on the first day of the plan year in which you earn 960 hours of service.*

 

* Hours of service are all of the hours of work for which you are paid, directly or indirectly, by a contributing employer and certain military service.

 

            You will stop being a participant when the total value of your accounts has been distributed.

 

            If the total value of your accounts has been distributed and you later return to work that is covered by a collective bargaining agreement, you will become a participant again as soon as you return to work.


 

CONTRIBUTIONS TO THE PLAN

 

            Employer Contributions

 

            Contributing employers make contributions to the Annuity Plan's Trust Fund on a weekly or monthly basis, as required by the collective bargaining agreement governing the participant's work.

 

            The amount of the contribution is determined by multiplying the hours of covered employment worked by each participant times whatever amount is agreed to under the collective bargaining agreement. When contributions are made on superintendents or company owners, they must be paid on at least 160 hours per month.

 

            For all hours worked on or after April 1, 1998, the amount allocated to a participant's Regular Account will be the amount of contributions actually received from employers on behalf of the participant.  This means that if an employer does not make contributions for your hours worked on or after April 1, 1998, the Fund cannot credit your Regular Account even if the contributions are uncollectible due to bankruptcy or any other reason.

 

            Example

           

            Assume:     1.  You work 1,000 hours in covered employment in a plan year.

                              2.  The collective bargaining agreement calls for contributions of $2.55 per hour of covered employment.

                              3.  Your employer pays the contributions.

 

1,000 hours  x  $2.55  =  $2,550

 

            This amount would be allocated to your Regular Account.

 

            You will always be 100% vested in the value of your accounts, after adjustment for investment earnings or losses, administration fees and expenses. You cannot forfeit your vested interest.

 

            For years prior to April 1, 1991, no amount was allocated to the account of a participant or employee who worked fewer than 400 hours or 240 hours, prior to April 1, 1986 in covered employment in a plan year.


 

            Voluntary Contributions

 

            If you are working as carpenter under a collective bargaining agreement, or are not "highly-compensated" as defined by the Internal Revenue Service (IRS), you may make additional, voluntary contributions to the Annuity Plan if you wish to do so. These contributions will be credited to your voluntary account.

 

            Voluntary contributions are made with after-tax dollars. However, once they are paid into the Trust Fund, any investment earnings will accumulate tax-free until distributed.  Voluntary contributions cannot exceed 10% of your total compensation for covered employment for the plan year.

 

            You are not required to make any voluntary contributions and they will have no effect on the amount of employer contributions to which you are entitled. Voluntary contributions, after adjustment for investment earnings or losses, administration fees and expenses, are fully vested and nonforfeitable.

 

            You can withdraw your voluntary contributions to the plan at any time before retirement or termination of employment. Any earnings on your voluntary contributions will remain in the plan until the amounts in your Regular Account are payable, unless the Trustees decide it is impractical to hold those earnings. Voluntary contributions and earnings will be distributed in accordance with the rules explained in the section of this booklet about Distributions, including the requirement of spousal consent to a lump sum distribution.

 

            Fees and Expenses

 

            Fund expenses include all investment management, administrative, accounting, actuarial, consulting, legal, investment performance and custodial fees and all other expenses incurred in the operation of the plan and the Trust Fund.  Fund expenses will be deducted from the Trust Fund's gross investment return as of the last day of the plan year.

 

            Investment of the Funds

 

            The Trustees of the plan hold contributed amounts in the Trust Fund and hire investment managers to invest those amounts. The investments result in earnings or losses.

 

            The earnings or losses arise from income on investments and any increases or decreases in the market value of the securities that may be held in the Trust Fund. Net earnings and losses on these investments, after payment of or allowance for expenses of the Trust Fund, are allocated proportionately to each participant's accounts as of the end of the plan year.

 

            If your accounts are fully distributed before the end of the plan year, then any net earnings attributable to those accounts for that year will be distributed to you in a separate payment after the close of the year and any net losses will be charged against your accounts if you become a participant in the next plan year.

 

            Benefit Statements

 

            After earnings and losses for the plan year are determined, the Board of Trustees will notify you of the amount of the annual contributions allocated to your accounts, the amount of net earnings or losses credited to or charged against your accounts, and the total value of your accounts as of the last day of the plan year.


 

DISTRIBUTION OF BENEFITS UPON RETIREMENT OR TERMINATION OF EMPLOYMENT

 

            You will be entitled to a distribution of the total value of your accounts on the first day of the month after you:

 

  1. Reach age 65,
  2. Become a permanently and totally disabled participant,
  3. Incur a break in service, or
  4. Reach age 55, provided you have retired from covered employment and are receiving retirement benefits from the Connecticut Carpenters Pension Fund.

 

            The forms of distribution that are available to you upon retirement are explained in the following paragraphs.

 

            If the total value of your accounts exceeds $5,000, payments must be paid over a period that does not exceed your expected lifetime or the joint life expectancy of you and your beneficiary or spouse.  Please note that an Application for Benefits must be filed before any benefits can be paid out from the plan. 

 

            Payment of benefits must begin by the April 1st following the calendar year in which you reach age 70 ½.  Once benefits have begun, you may not change the form of the payment, even if your circumstances change.

 

            Benefits of $5,000 or Less

 

            If the balance in your accounts is $5,000 or less and has never exceeded that amount you will be paid your benefit in the form of a lump sum and you may not elect any other distribution form.

 

            Husband-and-Wife Annuity

 

            If you are married, the law requires that all plan benefits with a total value of more than $5,000 be paid in the form of a Husband-and-Wife Annuity, unless you elect an alternate form of payment and your spouse consents to that election, in writing.

 

            A Husband-and-Wife Annuity uses the total value of your accounts to provide you with a monthly benefit for your life and after you die, a monthly benefit equal to 50%, 75% or 100% of your monthly benefit depending upon your election, consented to by your spouse, if applicable will continue to your spouse. Under the Husband-and-Wife Annuity, no further amounts are payable after you and your spouse have died. The Husband-and-Wife Annuity is payable only to the spouse to whom you were legally married when payments began.

 

 

 

            If you are married, the Fund Office will provide you with an explanation of the Husband-and-Wife Annuity including the dollars and cents effect of an election of the 50%, 75% or 100% form of Husband-and-Wife Annuity benefit before payment of benefits commences. The explanation will also provide a description of the alternative methods of distribution.

 

            After receiving the explanation you will have 90 days to complete and return the election form indicating your choice as to how you wish to receive your annuity benefit. If you are married and elect one of the alternative methods of distribution, your spouse must consent, in writing, to that election and to any beneficiary chosen, and your spouse’s signature must be notarized.

 

Alternative Forms of Payment

 

            You may elect to receive your benefit in one of the following forms of payment if you:

 

1.      Are not married, or

2.      Are married but waive the Husband-and-Wife Annuity with the written consent of your spouse.

 

Lump Sum

The total value of your accounts will be paid to you in lump sum. You may direct the Annuity Fund to pay part or all of any lump sum payment directly to an Individual Retirement Account or Annuity (IRA), or to another qualified plan, in a direct rollover.

 

Installments

Your benefit will be paid in equal monthly installments of at least $100 until your accounts are exhausted, with any earnings or losses credited to the unpaid balance at the end of each plan year.

 

If the installments will extend for less than 10 years, you may direct that part or all of those installments be rolled over to an IRA or other qualified plan.

 

Once your monthly installment amount is established, you may not stop or decrease that amount, however you may make a written election once each plan year to increase the amount of the equal monthly payments to be paid in the future. If you die before the entire balance of your accounts has been paid to you, the remaining monthly payments will be paid to your beneficiary in installments or, if the beneficiary consents, in a lump sum.

Ten Years Certain and Life Annuity

If you are not married, the law requires that all plan benefits with a total value of more than $5,000 be paid to you in the form of a Ten Years Certain and Life Annuity, unless you reject this form of payment. 

 

A Ten Years Certain and Life Annuity provides monthly payments for your life, but if you die before receiving 120 monthly payments the remainder of the 120 monthly payments will be paid to your beneficiary.

 

Combination

You may elect a combination of an initial partial lump sum and the balance in Ten Years Certain and Life Annuity, Installments or Husband-and-Wife Annuity.

 

The exact earnings of the Trust Fund for the plan year in which benefits are payable to you cannot be determined until sometime after the end of the plan year. If you receive your benefit in installments or in a complete or partial lump sum, earnings or losses for the year when your benefit becomes payable will not be determined until after the end of the plan year and will be paid to you in the same form you elected on your Application for Benefits or charged against your accounts if you become a participant in the next plan year.

DISTRIBUTION OF BENEFITS UPON DEATH

 

            Pre-Retirement Death Benefits

 

            If you die before receiving any payment from your accounts, the balance in your accounts will be paid as a death benefit.  The forms of distribution, which are available to you under the plan for pre-retirement death benefits, are explained in the following paragraphs.

 

Unmarried Participants

If you are not married and you die before receiving any payments under the plan, the total value of your accounts will be paid to your beneficiary in a lump sum.

 

Married Participants

If you are married and you die before receiving any payments under the plan, the total value of your accounts will be paid to your beneficiary in one of the forms described below.

 

a.         Husband-and-Wife Survivor Annuity

 

If the total value of your accounts is more than $5,000, your spouse will receive a Husband-and-Wife Pre-retirement Survivor Annuity.

 

Under a Husband-and-Wife Pre-retirement Survivor Annuity, the total value of your accounts will be used to purchase an annuity contract from an insurance company that will provide your spouse with a monthly benefit for her life. A Husband-and-Wife Pre-retirement Survivor Annuity will be the automatic form of payment unless you elect to have the value of your accounts paid in a lump sum, as described below, and your spouse consents to that election, in writing. Or, after your death your spouse may elect a lump sum payment of the pre-retirement death benefit due to her.

 

If you waive the Husband-and-Wife Pre-retirement Survivor Annuity you should be aware that the consent of your spouse applies only with respect to the elections currently being made. In other words, if you want to name another beneficiary of a lump sum benefit at a later date, you must complete another form and obtain your spouse's written consent.


 

b.         Lump Sum

 

If the value of your accounts is $5,000 or less, your beneficiary will receive the value of your accounts in a lump sum.

 

If the value of your accounts is more than $5,000, but you elect to waive the Husband-and-Wife Pre-retirement Survivor Annuity and your spouse consents to that election, in writing, your spouse will receive the value of your accounts in a lump sum.

 

If you wish to elect a lump sum death benefit payable to someone other than your spouse, you must be at least age 35 and your spouse must consent, in writing, to any other beneficiary you name.

 

In some cases, your surviving spouse may direct the Annuity Fund to make a direct rollover of part or all of her death benefits to an IRA or another qualified plan.

 

            Post-Retirement Death Benefits

 

            If you die while receiving payments under a Husband-and-Wife Annuity, your surviving spouse will continue to receive 50%, 75% or 100% of the monthly benefit for her life depending upon the form of annuity you elected. 

 

            If you are not survived by the spouse to whom you were married when the Husband-and-Wife Annuity began, no further monthly payments will be made.

 

            If you die while receiving installment payments from your accounts, your beneficiary will continue to receive the installments until the accounts are exhausted. If the beneficiary chooses, the amount remaining in the accounts may be paid in a lump sum.

 

            If you die while receiving payments under a Ten Years Certain and Life Annuity, but had not yet received 120 monthly payments, the monthly payments will continue to your beneficiary until a total of 120 payments have been made. If you die after receiving 120 monthly payments, no further payments will be made.


 

NAMING A BENEFICIARY

 

            If you are married, your spouse is automatically considered your beneficiary. You may name another person as a beneficiary if your spouse consents, in writing, to the waiver of the Husband-and-Wife form of benefit and to the specific beneficiary being named.

 

            If you are not married, you may name any person as beneficiary to receive payments due upon your death, as provided for in the plan.

 

Changing Your Beneficiary Designation

 

            You can change your designation of beneficiary at any time provided that if you are married, you obtain the written consent of your spouse.

 

            Each designation must be made in writing on a form, which may be obtained from the Fund Office. In order for a beneficiary designation form to be effective, it must be filed with the Trustees prior to your death. If a designation of beneficiary form is not on file with the Trustees at the time of your death or if such designation is defective and you are married, then your spouse will receive the death benefit payment. If you do not have a spouse, your estate will receive payment of the benefit.

 

            If a death benefit payable in the event of your death or the death of a surviving spouse or other beneficiary is payable to an estate and an Application for Benefits has not been filed within three months after death, the Trustees may decide to pay the death benefit to the deceased person’s surviving relatives: widow, widower, child or children, mother or father, brother(s) or sister(s).


 

HARDSHIP WITHDRAWALS

 

            Beginning in July 2000, you may withdraw up to 50% of your Profit Sharing Plan account balance to cover expenses incurred by you due to a financial hardship.  Your Profit Sharing account balance is your account balance at any time, reduced by your account balance on March 31, 1998.

 

            You must represent that you cannot relieve the hardship from other sources that are reasonably available to you. The minimum withdrawal amount is $1,000 and you may not receive more than $50,000 in hardship withdrawals during your lifetime.  If you are married, your spouse must consent, in writing, to any hardship withdrawal.

 

 

            Example

           

            Assume:     1.  Your Regular Account is valued at $20,000 as of 3/1/1998.

                              2.  Your Regular Account is valued at $30,000 as of 3/1/2002.

           

            That means your Profit Sharing balance as of 3/1/2002 is $10,000 ($30,000 - $20,000).

 

            You may take a hardship withdrawal of up to $5,000 — 50% of your Profit Sharing account balance.

 

            Requests for hardship withdrawals must be approved by the Trustees and are subject to uniform policies adopted by the Trustees. The policies may require:

 

·        Payment of the hardship amount in a joint check — for example, to you and your landlord, or to you and an educational institution, or

·        Specific documentation — for example, eviction notice from a housing court.

 

 

            You may take a hardship withdrawal for any one of the following purposes:

 

            (A)       Expenses for medical care that are not covered by other plans or payors and that are incurred by you, your spouse or an individual you claim as a dependent on your federal tax return;

 

            (B)       Expenses for education for up to 12 months at an accredited school after high school for you, your spouse or an individual you claim as a dependent on your federal tax return;

 

            (C)       Costs, other than mortgage payments, directly related to the purchase of your primary residence excluding motor vehicles, such as recreational vehicles;

 

            (D)       Payments necessary to prevent your eviction from your primary residence or foreclosure on the mortgage of your primary residence; or

 

            (E)       Funeral expenses incurred by you due to the death of your spouse, child, parent or your spouse's parent.

 

            Any lump sum amount paid to you as a hardship withdrawal will be subject to 20% mandatory federal income tax withholding.  Unless you notify the Fund Office in writing to do otherwise, the Annuity Fund will also withhold any mandatory state or local tax.




 

PURCHASE OF ANNUITY CONTRACTS

 

            Since your accounts are pooled with all the other participants’ accounts in the Trust Fund, a distribution of benefits in a form that is payable over your lifetime will require the purchase of an annuity contract, in the amount of the total value of your accounts, from an insurance company.

 

            If your benefits are payable in the form of a Husband-and-Wife Annuity or a Ten Years Certain and Life Annuity, the total value of your accounts will be applied to purchase a nontransferable annuity contract which will be distributed to you and you will receive monthly payments directly from the insurance company.

 

APPLICATION FOR BENEFITS

 

            Payments from the plan begin as soon as practicable after an Application for Benefits has been filed and approved by the Trustees. Annuity and Installment payments are made as of the first day of the month.

 

            The first step in obtaining benefits is to request, in writing or by phone, an Application for Benefits from the Fund Office. You should complete all questions on the application and forward it to the Fund Office at least one month (30 days) before the expected month that you wish payments to start. You may be asked to send proof of your date of birth.


 

WITHHOLDING AND OTHER TAX MATTERS

 

            Income Tax Withholding

 

            Amounts distributed from the Annuity Fund are taxed as ordinary income, unless they represent a return of already-taxed voluntary contributions.

 

            Under certain circumstances, you may defer payment of taxes by “rolling over” all or part of a lump sum payment or certain installment payments to an IRA or other qualified plan.

 

            All annuity payments and death benefits payable under the plan in excess of minimum levels set by the IRS are subject to Federal income tax withholding. In some cases for example, lump sum payments to you or your spouse and certain installments to you or your spouse withholding is mandatory at a level of 20% unless all or part of the distribution is directly rolled over to an IRA or other qualified plan. In other cases, you may elect income tax withholding.

 

            If withholding is optional, you, your spouse or beneficiary may elect not to have taxes withheld from monthly benefits by filing an IRS Form W4-P and/or Connecticut Form CT W4-P, or the Fund’s withholding election form with the Fund Office. Your election will become effective on the January 1st, May 1st, July 1st or October 1st that is at least 30 days after the Fund Office receives your form. You may revoke the election at any time by simply filing a new form with the Fund Office.

 

            You may want to consult with your tax advisor or other financial professional. The Trustees and Fund Office cannot give tax advice on particular situations.

 

            Penalties for Early Distribution

 

            A distribution — including a hardship withdrawal — before you reach age 59 ½ may result in an extra tax equal to 10% of the amount of the distribution. This penalty is not imposed in certain circumstances, such as if:

 

·        The early distribution is made on account of your death,

·        You work steadily through age 55 and then receive a distribution, or

·        You are totally and permanently disabled.

 

            Payments under the Husband-and-Wife Annuity will not incur the penalty. Other exemptions may apply to early retirement.

 

            Again, you may want to consult with your tax advisor or other financial professional before electing to receive any distribution from the plan.

 


            Distributions of Voluntary Contributions and Earnings

 

            When you are entitled to a distribution from your accounts, you will be asked to make a separate election regarding your Voluntary Account.

 

            If you do not make a specific Voluntary Account election, your general election will control payments from your Regular and Voluntary Accounts. Voluntary contributions will not be taxed when distributed — since they were made with after-tax dollars — but earnings on those voluntary contributions will be taxable.

 

            The law requires the Fund to allocate a proportionate share of each benefit payment into taxable and nontaxable amounts, if applicable. This will be reported to you and the IRS as of the end of each calendar year on the appropriate government form.


 

APPEAL PROCESS

 

            If your application for a benefit is denied by the Trustees you will be informed, in writing, of the reasons why you are not eligible and what, if anything, you can do to become eligible.

 

            If you believe you have met the requirements of the plan to be eligible for a benefit, or you question the determination of the amount of the benefits you are awarded, you may appeal to the Trustees for a review of your claim. You also may review pertinent documents at the Fund Office.

 

            The appeal must be in writing and should state clearly the reasons why your benefit should not be denied.  The appeal must be received by the Trustees within 90 days after the date you receive the notice denying your benefit. If the appeal is not filed within the required 90-day period, you will lose the right to a review of your claim.

 

            A decision will be made by the Trustees or may be delegated to a subcommittee of the Trustees at:

 

·        Their next meeting after receipt of the appeal, or

·        The second meeting after receipt if the appeal is received within 30 days before the next meeting.

 

            If there are special circumstances that require an extension of time for processing, the decision will be rendered as soon as possible, but not later than the third Trustees' meeting after the appeal is received.

 

            If your appeal of the Trustees' decision is denied, you may make a written request within 90 days after you receive the denial to have a hearing before one arbitrator. The rules of the American Arbitration Association and reasonable procedures established by the Trustees will apply.

 

            You must begin this arbitration procedure within the 90-day period, and follow it to its end, before you can file any lawsuit claiming benefits from the Annuity Fund. The arbitrator's decision will not be binding on the Trustees or on you in any later lawsuit involving your claim or any other claim.

 

            This procedure must be followed by anyone who believes he was not given proper consideration for benefits provided by the plan.


 

ASSIGNMENT OF BENEFITS/QDROS

 

            In general, any assignment of benefits is prohibited by a Federal law, known as the Employee Retirement Income Security Act of 1974 (ERISA), which regulates employee pension and annuity plans.  However, this prohibition does not apply if your accounts become subject to:

 

·        A qualified domestic relations order (QDRO),

·        A tax levy issued by the IRS, or

·        Any other order allowed by ERISA.

 

            The Fund has procedures governing QDROs, including a sample form of QDRO acceptable to the Fund.  You or your spouse may obtain a copy of those procedures, without charge, by calling the Fund Office.

 

            The Fund may permit you to direct that a part of your monthly payments from the Annuity Fund be used to pay your share of the cost of your retiree coverage under the Connecticut Carpenters Health Fund.  Call the Fund Office for forms and details of this voluntary, revocable option.

 

 

AMENDMENT/TERMINATION OF THE ANNUITY PLAN

 

            Although the Board of Trustees intends to continue the Annuity Plan indefinitely, the future of the plan will be determined by the terms of the collective bargaining agreements and by conditions relating to the income and expenses of the Fund.

 

            The Trustees have the right under the terms of the plan and its related Agreement and Declaration of Trust to amend or terminate the plan at any time.  In the event of termination of the plan or complete discontinuance of contributions, the Trustees may continue the Fund until all amounts are distributed in accordance with the plan, or terminate the Fund and distribute a pro-rata share of the net assets to all participants and beneficiaries having an account on the date of termination.  Each participant or beneficiary will have nonforfeitable rights to his or her accounts to the extent funded, after providing for all of the expenses of the plan, including termination expenses.



ERISA

 

Your Rights

You have certain rights and protections under the Employee Retirement Income Security Act of 1974 (ERISA):

 

·        You’re entitled to request, in writing, to examine at the Fund Office or union halls all plan documents* between 10:00 a.m. and 4:00 p.m. Monday through Friday, except holidays. You may request copies of plan documents at a photocopying cost to you of $0.25 per page.

·        The Board must provide you a summary of the plan’s annual financial report.

·        No one — including an employer, your union or any other person — may discriminate against you in any way to prevent you from obtaining an annuity benefit or exercising your rights under ERISA.

·        If your claim for a benefit is denied, you must receive a written explanation of the reason why your claim was denied and copies of documents relating to the decision.

·        If you request it on time, the Board of Trustees must review and reconsider your claim.

·        The people who operate the plan, called “fiduciaries,” must do so prudently and in the interest of you and other participants and beneficiaries.

 

*Plan documents include insurance contracts, collective bargaining agreements and all documents filed by the plan with the U.S. Department of Labor (DOL).

 

Enforcing Your Rights

You can enforce your rights under ERISA. You may:

 

·        File suit in federal court if you request materials from the plan and don’t receive them within 30 days. The court may order the plan to provide the documents to you and award you $110 a day until you receive them, unless they weren’t sent due to conditions beyond the control of the Board of Trustees. 

·        File suit in a state or federal court if you have a claim for benefits that is denied or ignored, or if you disagree with the plan’s ruling on a QDRO, and you have followed the arbitration procedure.

·        Get help from the Department of Labor or file suit in federal court if the plan fiduciaries misuse the plan’s money or if you’re discriminated against for asserting your rights.

·        If you file suit, the court may order the person you’ve sued to pay all costs and legal fees. If you lose, or if the court finds that your claim is frivolous, you may have to pay the fees.

·        Obtain a statement about the amounts in your accounts and whether you’re entitled to the accounts’ value at normal retirement age. You must request this statement in writing. It is free, but the plan is only required to provide it to you once every 12 months.

 

LEGAL INFORMATION

 

Information About Your Rights

 

            If you have any questions about your rights under ERISA, contact the nearest office of the Pension and Welfare Benefits Administration, U.S. Department of Labor, listed in your telephone directory. You may also write to:

 

            Division of Technical Assistance and Inquiries

            Pension and Welfare Benefits Administration

            U.S. Department of Labor

            200 Constitution Avenue, NW

            Washington, DC 20210

 

            You may also get publications about your rights and responsibilities under ERISA by calling the publications hotline of the Pension and Welfare Benefits Administration at 1.800.998.7542.

 

Connecticut Carpenters Annuity Fund

Name and address

Connecticut Carpenters Annuity Fund

10 Broadway

Hamden, CT 06518-2699

Effective Date

April 1, 1979

Plan number assigned by the Board of Trustees

001

Employer Identification Number (EIN) assigned by the Internal Revenue Service (IRS)

06-1308364

Type of plan

Profit Sharing Plan for hours worked after 3/31/1998

(Money Purchase Pension Plan for hours worked before then)

Type of administration

Joint Board of Trustees

Plan Administrator

Board of Trustees

Fund Director and Agent for Service of Legal Process

Richard S. Monarca

Connecticut Carpenters Annuity Fund

10 Broadway

Hamden CT 06518-2699

Source of contributions to the Annuity Fund

1.   Individual contributing employers at rates established by collective bargaining agreements.

2.   Participant voluntary contributions

Write to the Fund Office if you want to:

·        Find out if a particular employer or employee organization is a contributing employer.

·        Get the address of the contributing employer.

·        Get a copy of collective bargaining agreements that may apply to you at a cost to you of $0.25 per page.

 

Fiduciaries

 

            The people who are responsible for the operation of the Annuity Fund are called “fiduciaries” of the plan, and they have a responsibility to do so prudently and in the interest of all plan participants and beneficiaries.

 

Board of Trustees

The Board of Trustees has equal representation from union and management. Any member of the Board is an agent for service of legal process, and may be reached at the address shown below.

Labor Trustees

Management Trustees

Charles Appleby

Carpenters Local #24

500 Main Street

Yalesville, CT 06492

Joseph Epifano

Epifano Builders, Inc.

55 Lupes Drive

Stratford, CT 06497

Glenn Marshall

Carpenters Local # 210

35 Pulaski Street

Norwalk, CT 06852

John B. Farnham

AGC/CCIA

912 Silas Deane Highway

Wethersfield CT 06109

David Palmisciano

Rhode Island Carpenters D.C.

14 Jefferson Park Road

Warwick, RI 02888

Anthony Minervini

Nutmeg Interiors, Inc.

91 Southfield Avenue

Stamford, CT 06902

Joseph Raymond

Carpenters Local #43

885 Wethersfield Avenue

Hartford, CT 06114

Marvin Morganbesser

CCIA

912 Silas Deane Highway

Wethersfield, CT 06109

 

 

Claims and Appeals

 

If you are denied, in whole or part, any benefits under the plan, please refer to Application for Benefits (page 11) and Appeal Process (page 13).


 

Plan Termination

 

The Trustees may change the Annuity Fund Plan whenever they feel it’s in the best interests of the Annuity Fund’s participants and beneficiaries to do so. The Annuity Fund Trust Agreement provides that all amendments must be in writing and adopted by a specified vote of the Trustees. Changes may be made at any time without advance notice to anyone.

 

Changes might mean that certain groups are excluded from coverage, certain members may have to make contributions, benefits might be reduced or the Annuity Fund itself is terminated. No one is entitled to benefits beyond their vested benefits under the Annuity Fund.

 

The Department of Labor (DOL) has set up the Pension Benefit Guaranty Corporation (PBGC) to insure the members and beneficiaries of certain types of retirement plans against losing their benefits if a plan terminates. The PBGC, however, does not insure profit sharing plans, such as this plan.

 

Disclaimer

 

This booklet is a summary of the annuity benefits offered by Connecticut Carpenters Annuity Fund. Every attempt has been made to ensure its accuracy. If the summaries of particular plan features, administrative practices or benefit application procedures are in conflict with the formal plan documents, the formal plan documents and approved administrative practices will prevail.

 

The full Board of Trustees has discretion to interpret the plan and this summary. You should not rely on any individual or unofficial opinion about your coverage. You should not rely on any individual or unofficial opinion about your eligibility for participation in the plan or any plan benefits that may be due you.

 

The plan and any benefits are subject to amendment, reduction and/or termination without notice at the discretion of the Board of Trustees.


 

PLAN TERMS

 

            The following are general definitions of terms used in this booklet to explain the plan. Throughout this booklet, whenever the singular form of any word is used, it includes the plural.

 

ACCOUNTS. . . . . . . . . . . . . . . . .     means the Regular Account and Voluntary Account established in the name of a participant

 

BREAK IN SERVICE . . . . . . . . .    occurs when a participant, for a period of 12 consecutive calendar months and at the time of application for a distribution:

1.      Has not worked and is not working in any capacity for any employer that employs carpenters or subcontracts carpentry work anywhere in North America, and
2.       Has not been and is not an officer, director, shareholder, full or part owner, partner, member, or principal of an employer that employs carpenters or subcontracts carpentry work anywhere in North America.

 

COLLECTIVE BARGAINING

AGREEMENT . . . . . . . . . . . . . . .    means a collective bargaining agreement or other written agreement approved by the Trustees which requires contributions to the plan.

 

CONTRIBUTING EMPLOYER

OR EMPLOYER . . . . . . . . . . . . .     means any entity which employs members of a participating Local Union or other employees and contributes to the Fund on behalf of such members or other employees.

 

COVERED EMPLOYMENT . . .     means work performed in a category of work covered by a Collective Bargaining Agreement for which a contributing employer is required to make contributions to the Fund.

 

DISABLED PARTICIPANT. . . .     means a participant who becomes permanently and totally unable to work for any contributing employer. You must submit sufficient evidence of disability from your doctor and you must certify to the Trustees that you cannot and will not work in the carpentry trade.

 


EMPLOYEE . . . . . . . . . . . . . . . . .    means carpenters or other employees whose employers are required to make contributions to the plan on their behalf.  The term also includes:

 

1.      Connecticut officers, agents, or employees of the New England Regional Council of Carpenters, or employees of a participating Local Union,

2.      Employees of the Pension Fund or of other organizations established under the Labor Management Relations Act which are exempt from taxation under the Internal Revenue Code, and

3.      Certain superintendents who are carpenters employed by a contributing employer but who may not be working exclusively in a category of work covered by a collective bargaining agreement.

However, the Trustees of the Fund must approve participation by anyone listed in 1 - 3.

 

FUND . . . . . . . . . . . . . . . . . . . . . . .   means the Connecticut Carpenters Annuity Fund.

 

HUSBAND-AND-WIFE

ANNUITY. . . . . . . . . . . . . . . . . . . .   means an annuity contract that provides a monthly benefit to a married participant for the participant’s life with a percentage of such monthly benefit (50%, 75% or 100% as selected by the participant) to continue to the participant’s spouse upon the participant’s death.

 

PARTICIPANT . . . . . . . . . . . . . . .   means an employee for whom contributions to the plan are required to be made by a contributing employer, and who meets the requirements outlined in this booklet to participate in the plan.  The term also includes any former participant who is entitled to receive payments from the plan.

 

PARTICIPATING LOCAL

UNION . . . . . . . . . . . . . . . . . . . . . .   means Carpenters Locals 24, 43, 210 and any other Local Union of the United Brotherhood of Carpenters and Joiners of America which has negotiated a collective bargaining agreement providing for employer contributions to the Trust Fund.

 

PLAN YEAR . . . . . . . . . . . . . . . .      means April 1st through March 31st.

 


PROFIT SHARING

ACCOUNT BALANCE . . . . . . . .     means a participant's total account balance at any time after March 31, 1998, reduced by his account balance as of March 31, 1998.

 

QDRO . . . . . . . . . . . . . . . . . . . . .      means a Qualified Domestic Relations Order, which is a court judgment, decree or order which recognizes the rights of a spouse or dependent to receive part of a participant’s Annuity Fund benefit, and which is determined by the Fund to meet its requirements.

 

 

REGULAR ACCOUNT . . . . . . . .    means an account established in the name of each participant to which employer contributions are allocated.

 

SPOUSE . . . . . . . . . . . . . . . . . . . .     means a person to whom a participant is lawfully married under Connecticut law. Current Connecticut law states that an individual who is legally separated, or who is a "common-law" spouse, is not lawfully married.

 

TEN YEARS CERTAIN

AND LIFE ANNUITY. . . . . . . . . .    means an annuity contract that provides monthly payments for the participant's life, but if he dies before 120 monthly payments are made the remainder of the 120 monthly payments will be paid to the participant's beneficiary.

 

TRUST FUND . . . . . . . . . . . . . . . .   means the Fund created under the terms of the Trust Agreement for the purpose of investing the assets of the Connecticut Carpenters Annuity Fund.

 

VOLUNTARY ACCOUNT . . . . .     means an account established in the name of each participant who has elected to make voluntary contributions to the plan, to which these voluntary contributions are credited.

 


IMPORTANT

 

            This Summary Plan Description is written in non-technical language to provide a brief general description of the most important provisions of the Annuity Plan.  Nothing in this Summary Plan Description is meant to interpret or extend or change in any way the provisions of the complete text of the Annuity Plan as adopted and amended by the Board of Trustees.

 

LIMITATION ON AUTHORITY

 

            NO INDIVIDUAL TRUSTEE, FUND DIRECTOR, EMPLOYER OR LOCAL UNION, NOR ANY REPRESENTATIVE OF ANY EMPLOYER, THE FUND OFFICE OR LOCAL UNION, IS AUTHORIZED TO INTERPRET THIS PLAN -- NOR CAN SUCH PERSON ACT AS AN AGENT OF THE BOARD OF TRUSTEES.

 

TRUSTEES' AUTHORITY AND DISCRETION

 

            ONLY THE FULL BOARD OF TRUSTEES IS AUTHORIZED TO INTERPRET THE PLAN OF BENEFITS DESCRIBED IN THIS SUMMARY PLAN DESCRIPTION.  THE BOARD OF TRUSTEES HAS FULL DISCRETIONARY AUTHORITY TO INTERPRET AND CONSTRUE THE TERMS OF THIS SUMMARY PLAN DESCRIPTION, THE PLAN AND THE TRUST AGREEMENT, INCLUDING PROVISIONS DESCRIBING ELIGIBILITY FOR BENEFITS.

 

TRUSTEES RIGHT TO AMEND, MODIFY OR DISCONTINUE BENEFITS

 

THE BOARD OF TRUSTEES, IN THEIR SOLE AND EXCLUSIVE DISCRETION, HAVE THE AUTHORITY TO AMEND AND/OR TERMINATE AT ANY TIME THE PLAN, TRUST AGREEMENT, AND THE BENEFITS AND RULES DESCRIBED IN THIS SUMMARY PLAN DESCRIPTION, CONSISTENT WITH APPLICABLE LAW.

 

Also, please be aware that the rules and regulations applicable to claims for benefits prior to 2002 may be different than those described in this booklet.  Any specific questions should be referred to the Fund Office.