Home Contact Us Links Health & Welfare SPD Pension SPD Annuity SPD Forms Pension 5500 Privacy Notice Summary of Benefits Employee Assistance Program
Annuity Plan Summary Plan Description

BOSTON PLASTERERS’ & CEMENT MASONS’
AND ASPHALT LAYERS’ UNION LOCAL 534



ANNUITY PLAN
(DEFERRED INCOME PLAN)



SUMMARY PLAN DESCRIPTION
APRIL 1, 2008


BOSTON PLASTERERS’ & CEMENT MASONS’
AND ASPHALT LAYERS LOCAL 534


Employer ID No: 04-6544055
Plan No: 001
Fiscal Year Ending Date: March 31
Plan Year Ending Date: March 31


BOSTON PLASTERERS’ & CEMENT MASONS’
LOCAL 534
DEFERRED INCOME FUND
7 Frederika Street
Boston, MA 02124
Telephone: (617) 825-4500


BOARD OF TRUSTEES

Employer Trustees

Union Trustees

Thomas S. Gunning, Chairman Harry C. Brousaides, Sec- Treas.
Joseph B. Farina Vincent DiSalvo
Stephen P. Affanato Peter P. Stracuzzi


AGENT FOR LEGAL PROCESS
BOARD OF TRUSTEES

ADMINISTRATOR
Mary T. Keohan

LEGAL COUNSEL
Krakow and Souris, LLC

AUDITOR
Campbell, DeVasto & Associates


BOSTON PLASTERERS’ & CEMENT MASONS’ LOCAL 534
ANNUITY FUND
7 FREDERIKA STREET
BOSTON, MA 02124
TELEPHONE: (617) 825-4500

July, 2008

TO ALL ELIGIBLE EMPLOYEES:
We are pleased to issue this description about your Annuity Fund. The Fund was established on March 1, 1986 for all Employees who work for Employers who contribute to the Annuity Fund under the terms of a collective bargaining agreement with the Union. The Annuity Fund is intended to supplement the monthly income payable from the Pension Fund, and to provide benefits upon death, disability, or termination of employment from the industry.
This booklet is intended to summarize your rights and obligations under the Annuity Fund. We urge you and your family to read this booklet carefully. In addition, please keep it for future reference since the Fund may, in the future, provide substantial sums of money to you and your family.
If you have any questions or would like additional information, do not hesitate to contact the Fund Office.

Sincerely yours,

BOARD OF TRUSTEES


TABLE OF CONTENTS

INTRODUCTION

1. HOW DO YOU BECOME A MEMBER OF THE PLAN?

2. WHAT HAPPENS WHEN YOU ARE ELIGIBLE FOR BENEFITS?

3. QUALIFIED DOMESTIC RELATIONS ORDER

4. HOW DO YOU APPLY FOR BENEFITS?

5. DESIGNATING A BENEFICIARY

6. LOAN APPLICATION

7. WHAT ELSE DO YOU NEED TO KNOW ABOUT YOUR FUND

8. STATEMENT OF RIGHTS UNDER ERISA



INTRODUCTION

The Annuity Fund was established by a Trust Agreement which went into effect on March I, 1986.

All employees working under an agreement between an Employer and the Union which provides for contributions to the Annuity Fund are covered by the Plan.

The entire cost of the plan is paid by the contributing Employers in accordance with their agreements with the Union.

The Board of Trustees consists of an equal number of Union and Employer representatives and it governs the Annuity Fund. The Trustees act on each application for benefits from the Annuity Fund in accordance with the rules and regulations of the plan.

The Annuity Fund is a separate trust fund for the purpose of paying the benefits provided under the plan.

Technically the Fund is listed as a “Deferred Income Fund,” however for purposes of this description, we have used the term Annuity Fund.

[return to top]

1. HOW DO YOU BECOME A MEMBER OF THE PLAN?

You are eligible for membership in this Fund if you are working in a job covered by the collective bargaining agreement between your Employer and the Union, which requires your Employer to make contributions to the Fund on your behalf.

Contributions by Employers began on March 1, 1986. You are entitled to the full value of your account at the time of your retirement or termination.

EFFECTIVE DATE OF PLAN

The effective date of the Annuity Fund is March 1, 1986. The Fund complies with the Employee Retirement Income Security Act of 1974 (ERISA) and received approval from the Internal Revenue Service.

[return to top]

2. WHAT HAPPENS WHEN YOU ARE ELIGIBLE FOR BENEFITS?

When are You Eligible for Benefits?

You are eligible to begin collecting benefits from this Fund.

  1. when you retire from the industry on or after your fifty-fifth birthday and are approved for benefit payments from the Annuity Fund, or
  2. following twelve (12) consecutive months during which less than $500.00 in employer contributions are made on your behalf and employment has been severed with any and all employers for which contributions would be paid to the Fund.
  3. Submits proof of filing an application for Social Security disability benefits, submits a letter from a licensed physician stating that the participant is totally and permanently disabled from all gainful employment and is not available for employment with a contributing employer to the Fund.
  4. if you are eligible to receive a disability pension from Boston Plasterers’ & Cement Masons’ Local 534 Pension Fund, you may elect to receive your annuity account.
  5. on April 1 of the calendar year following the year you reach age 70 1/2.

Your benefits are payable to your beneficiary should you die before retirement.

How Much Will Your Benefit Be?

When you become eligible for your benefit, the amount you will receive is equal to:
The value of your Individual Account as of the last Valuation Date
PLUS
Employer contributions since the last Valuation Date.

At least once a year, the fund will be valued and you will be credited with a portion of the Fund’s net investment return. The amount you will be credited with will be based on your account balance at the beginning of the year plus the contributions made on your behalf since the last valuation date, minus a $500.00 yearly expense.

How Will Your Accumulated Share Be Paid?

When you become eligible to receive benefits upon:
RETIREMENT OR TERMINATION:

  • If you are married when your benefits are scheduled to start, you will automatically receive A 50% Joint and Survivor Annuity, UNLESS YOU AND YOUR SPOUSE REJECT THIS FORM OF PAYMENT IN WRITING.

A 50% Joint and Survivor Annuity means that you will receive a reduced monthly benefit for life, in return for a guarantee that in the event of your death, your spouse will receive 50% of the monthly benefit you were receiving.

  • If you are unmarried or married with the written and notarized consent of your spouse, you may elect a lump sum distribution or an installment payout over a period of sixty (60) months or one hundred twenty (120) months, or a partial distribution of not less than $5,000.00 no more than once in a plan year.
  • If you die while an Active Member at or after age fifty five (55), your benefit will be paid in the form of a Qualified Joint and Survivor Annuity or your spouse can elect any of the other options. For a Participant whose beneficiary is not his qualified spouse, payment of the entire account shall be made within five years of the Participant’s death.
  • You can 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 a similar qualified tax deferred plan.

[return to top]

3. QUALIFIED DOMESTIC RELATIONS ORDER

Qualified Domestic Relations Order

If you are divorced, benefits may be paid to your ex-spouse, or dependents, if required by a divorce decree giving him/her a right to all or a portion of your Annuity Account.

Work After Retirement

There are no limits on the extent or type of work that you may perform after retirement and still receive an annuity from the plan. In fact, if you return to work in covered Employment after retiring, contributions will again be made to the Annuity Fund on your behalf and a new individual account will be established for you.

When you retire after your return to covered Employment, the balance of your new individual account will be paid to you in accordance with the rules of the plan.

[return to top]

4. HOW DO YOU APPLY FOR BENEFITS?

In order to begin collecting benefits under this Plan, you have to submit a written application to the Board of Trustees.
When you are ready to apply, contact the fund office for the necessary forms.
More information about benefit claims procedures can be found in the section entitled “What else Do You Need to Know About Your Plan?”

[return to top]

5. HOW DO YOU DESIGNATE A BENEFICIARY?

  • Be sure to complete a beneficiary card available at the Fund Office. You may change your beneficiary designation at any time. If your spouse is the beneficiary, he/she must consent to a change in beneficiary.
  • If you have not designated a beneficiary, or your beneficiary dies before you, the remaining amount will be distributed to your spouse, child or children. If there are none of the above, your remaining amount will be paid to the executor or administrator of your estate.
  • If you and your spouse reject the 50% Joint and Survivor Annuity, and you name an alternative beneficiary, your spouse must expressly consent in writing to your alternative beneficiary.

Taxation of Benefits

Benefit payments are usually taxable as ordinary income. However, you may be able to defer or reduce the taxes due. If your benefit is paid as a lump sum or in partial lump sum payments, you will have to choose between rolling the benefit directly into an IRA (or other eligible retirement plan) or receiving it in cash. If you choose the direct rollover option, no taxes will be due until you take the money out of the IRA. However, if you choose a cash payment, federal law requires that the Fund withhold 20 percent of the amount that you could have rolled over, but did not. You should discuss this with your tax advisor before your benefit payments begin. The Administrator will give you more information when your benefit is payable.

[return to top]

6. LOAN APPLICATION

Application For A Loan

After you have been a Participant for five (5) years or more or accumulated at least $20,000 in your account, you may submit an Application to the Trustees for a Loan. Once the application has been approved, an application fee is required to cover administrative costs.

The Loan cannot be for more the 50% of your balance. The maximum loan is $15,000 and cannot be for less than $1,000. Interest is charged at 1% over prime.

Loans must be repaid in full within three years, except for loans in connection with the purchase of a residence or condominium in which the member will reside, the repayment period is up to ten (10) years.

One loan may be made during any consecutive two (2) plan years; however, additional loans may be taken for education expenses, provided that the participant is current in all payments for existing loans.

If married, spouse must also sign loan application. Spouse’s signature must be witnessed by a notary public.

Loans will be available for the following purposes only:

  1. Sickness or Injury Expenses not reimbursed by any public or private health plan or any employer/union health & welfare plan.
  2. Funeral Expenses for family relation.
  3. Tuition Expenses in connection with accredited educational institution beyond high school level.
  4. Purchase of a Home or Condominium in which you will reside, or major improvements to current residence.
  5. Foreclosure, tax lien or eviction proceedings threatening the loss of home, cooperative or condominium, which is your principle residence.
  6. Disabled and temporarily unable to engage in any type of gainful employment (Maximum Loan: $800 per month) limited to 50% of the account balance.

A loan becomes delinquent when you go 75 days without a payment (3 payments due). You must make payment for the three payments due before you loan goes 90 days without payment. Once a loan has gone 90 days without payment, it will be defaulted. The amount outstanding plus interest will be deducted from you account and you will receive a 1099 the following January for the amount of unpaid principal and interest as well as federal and state tax on your loan balance. In addition, a 10% penalty may be assessed by the IRS for an early distribution.

As of January 1, 2004, a participant will no longer be eligible to receive a loan from the Annuity Fund, if he/she previously received a loan, defaulted on that loan and received an IRS Form 1099 for the distribution of the defaulted loan amount.

Termination of the Fund

The Trustees expect and intend to continue the Fund indefinitely, However, they retain the right to amend or discontinue it at any time, provided it is not in violation of a collective Bargaining Agreement already in effect. If the Fund is discontinued in the future, benefits will be provided to the extent that monies are available under the Plan.

Non-Assignment of Benefits

Benefits cannot be sold, assigned or pledged as security for a loan other than a loan from the Annuity Fund. Furthermore, they are not subject to attachment or execution under any judgment or decree of a court or otherwise. However, if you are divorced, benefits may be paid to your ex-spouse if required by a divorce decree giving your ex-spouse a right to your annuity.

[return to top]

7. WHAT ELSE DO YOU NEED TO KNOW ABOUT YOUR FUND?

Under the terms of the collective bargaining agreement between the Union and the Employers, the Employers make contributions to the Annuity Fund on your behalf. The amounts of the Employer contributions are specified in the collective bargaining agreement and may be changed from time to time.

The Fund Office will provide you, upon written request, with information as to whether a particular employer is contributing to this Plan on behalf of employees working under the collective bargaining agreement and, if so, the employer’s address.

This Fund is a defined contribution pension plan and is administered by a Board of Trustees, consisting of an equal number of Union and Employer Trustees. The Trustees are responsible for carrying out the provisions of the Plan in a fair an equitable way. The Board of Trustees has been designated as the agent for the service of legal process. Process may be served at the address shown on page 1. Process may also be served upon any of the Trustees individually.

Benefits are provided from the Fund’s assets, which are accumulated under the provisions of the collective bargaining agreement and the trust agreement and held in a trust fund for the purpose of providing benefits to covered participants and defraying reasonable administrative expenses.

The Fund’s assets and reserves are held in custody by Amalgamated Bank of New York and invested in accordance with the Fund’s investment guidelines by one or more professional investment managers selected by the Board of Trustees.

Appeal Process

The appeal process discussed below applies to both:

  • applications for pension or death benefits and
  • cases where the pensions of retired participants are suspended for work in disqualifying employment

Denial of Claims

When you apply for your benefit and all of the appropriate material supporting your application is properly completed, signed and received by the Fund Office, your application is considered to be “filed.”

If your claim is partially or completely denied, the Fund Office will provide you with a written notice that sets forth the reasons for the denial within 90 days of the date that you filed your claim unless there are special circumstances that require more time for processing. The notice will also include references to specific Plan provisions, rules and regulations that the denial was based on, along with a description of any additional materials that you could submit to support your claim and an explanation of why it is necessary. The Fund Office will also provide you with an explanation of the steps that you must take in order to have your denial reviewed.

You’ll be notified within that original 90-day period if more time (an extension of up to 90 days) is needed with an explanation of the “special circumstances” requiring the extension and the date by which the Fund Office expects a decision to be made on your claim.

To appeal the decision, follow the steps outlined below under “How to Appeal a Decision.

Denial of Disability Pension Claims

If your disability pension claim is denied, the Fund Office shall, in writing, notify you within 45 days of receipt of such claim that the claim has been denied.

  • An extension of time not exceeding 30 days shall be available if special circumstances require an extension of time for processing the claim. If so, notice of such extension, indicating what special circumstances exist and the date by which a final decision is expected to be rendered, shall be furnished to you before the initial 45-day period expires. The Fund Office may take a second 30-day extension period if such an extension is necessary because a decision cannot be rendered within the first extension period due to reasons beyond the Fund’s control. If a second extension is necessary, the notice of the second extension shall be sent to you before the first 30-day extension period expires.
  • For any extension where unresolved issues prevent a decision on the claim and additional information is needed to resolve the issue, you will be given 45 days from the receipt of the extension notice to provide the specified information.

If your disability pension claim is partially or completely denied, you will receive a written notice setting forth the reasons for the denial. In addition, the Fund Office will provide references to specific Plan provisions, rules and regulations that the denial was based on, along with a description of any additional materials that you could submit to support your claim and an explanation of why it is necessary. The Fund Office will also provide you with an explanation of the steps that you must take in order to have your denial reviewed.

If the Plan relied on an internal rule, guideline, protocol or similar criterion in making the decision to deny the disability pension claim, the notice shall also include the specific internal rule, guideline, protocol or similar criterion, or a statement of such, as well as a notice of the claimant’s right for a free copy of the internal rule, guideline, protocol or similar criterion upon request.

The initial decision shall be final and binding on all parties unless it is appealed, according to the process described below.

How to Appeal a Decision

If you believe you have met the Plan’s eligibility requirements for a pension or if you question the determination of the amount of the benefit awarded, you may petition the Board of Trustees for a review of your claim. Similarly, if you believe a determination that employment is disqualifying is in error, you may ask for a review of that determination.

Right to Appeal (other than disability pension claims)

Your request for review must be in writing and must be received by the Fund Office within 90 days of the date that you receive the notice of the adverse decision.

If your written request for a review of an adverse decision is not filed within the 90-day time frame, you will lose your right to appeal and have your claim reviewed by the Trustees.

Right to Appeal (disability pension claims)

Your request for review must be in writing and must be received by the Fund Office within 180 days of the date that you receive the notice of the adverse decision.

If your written request for a review of an adverse decision is not filed within the 180-day time frame, you will lose your right to appeal and have your claim reviewed by the Trustees.

If the denial of your disability claim was based in whole or in part on a medical judgment, the Board of Trustees may consult with a health care professional who has appropriate training and experience in the field of medicine involved in the medical judgment. Should it be necessary for the Board of Trustees to consult with a health care professional, the health care professional shall be an individual who was not consulted in connection with the denial of the claim that is the subject of the appeal, nor a subordinate of such individual.

All Claims

In your written request for a review, you must explain clearly why the benefit should not be denied or the amount should be adjusted or a determination that employment is disqualifying should be reconsidered. You may submit additional materials for consideration or review by the Trustees, including a written explanation of the issues and comments on the issues.

You may also include (in writing) a request to review all documents, records and other information that are relevant to your claim. The Fund Office will provide, free of charge, reasonable access to and copies of the relevant documents, records and information.

The Board of Trustees will make a decision on your appeal at its first meeting following receipt of the request for review (or at its second meeting, if the petition was received less than 30 days before the first meeting). If special circumstances require more time, a decision will be made no later than the third quarterly meeting, and you will be notified of the reasons for the delay and the date you can expect a decision before such an extension of time begins.

The Trustees will provide you with written notification of their decision as soon as is practicable, but not more than 5 working days after the decision has been made. The notification will explain the reasons for the decision, including specific provisions of the Plan on which the Trustees’ decision is based and your right to reasonably access all relevant documents and information regarding you claim as well as a statement of your right to bring a civil action under Section 502(a) of ERISA.

The decision of the Trustees with respect to a request for a review is final and binding on all parties unless it is contrary to applicable law.

General Rules

The Trustees have full and exclusive authority to interpret and construe the terms of the Plan in their complete discretion.

If you or your representative request a review of your denied claim after the period for filing the request has passed, your request will not be considered a request for a review or a new request for a review or as an extension of time for the purposes of any statute of limitations.

This process must be completely followed by both you and the Trustees before any legal action can be taken regarding a denied claim. A lawsuit cannot be initiated after the applicable statute of limitations has passed.

TOP HEAVY PLAN

In the extremely unlikely event that this plan should become top heavy, the requirements of federal law that a top heavy plan must provide minimum benefits will be met. A plan is top heavy if key employees (officers and certain other highly paid participants) receive more than a limited percentage of plan benefits.

[return to top]

8. YOUR ERISA RIGHTS

As a participant in the Boston Plasterers & Cement Masons Local 534 Deferred Income Fund, you are entitled to certain rights and protections under the Employee Retirement Income Security Act of 1974 (ERISA). ERISA provides that all Plan participants shall be entitled to:

Receive Information About Your Plans and Benefits

  • Examine, without charge, at the Fund Office and at other specified locations, such as worksites and union halls, all documents governing the Plan. These documents include insurance contracts and collective bargaining agreements and a copy of the latest annual report (Form 5500 Series) filed by the Plan with the U.S. Department of Labor and available at the Public Disclosure Room of the Employee Benefits Security Administration.
  • Obtain, upon written request to the Plan Administrator, copies of documents governing the operation of the Plan, including insurance contracts and collective bargaining agreements, and copies of the latest annual report (Form 5500 Series) and updated Summary Plan Description. The Administrator may make a reasonable charge for the copies.
  • Receive a summary of the Plan’s annual financial report, The Plan administrator is required by law to furnish each participant with a copy of this summary annual report.
  • Obtain a statement telling you whether you have a right to receive a pension at normal retirement (age 62, for most participants) and if so, what your benefits would be at normal retirement age if you stop working under the Plan now. If you do not have a right to a pension, the statement will tell you how many more years you have to work to get a right to a pension. This statement must be requested in writing and is not required to be given more than once every 12 months. The Plan must provide the statement free of charge.

Prudent Actions by Plan Fiduciaries

In addition to creating rights for Plan participants, ERISA imposes duties upon the people who are responsible for the operation of the employee benefit plan. The people who operate your Plan, called “fiduciaries” of the Plan, have a duty to do so prudently and in the interest of you and other Plan participants and beneficiaries. No one, including your employer, your union, or any other person, may fire you or otherwise discriminate against you in any way to prevent you from obtaining a pension benefit or exercising your rights under ERISA.

Enforce your Rights

If your claim for a benefit is denied or ignored, in whole or in part, you have a right to know why this was done, to obtain copies of documents relating to the decision without charge, and to appeal any denial, all within certain time schedules.

Under ERISA, there are steps you can take to enforce the above rights. For instance, if you request a copy of the Plan document or the latest annual report from the Plan and do not receive them within 30 days, you may file suit in a Federal court. In such a case, the court may require the Plan Administrator to provide the materials and pay you up to $110 a day until you receive the materials, unless the materials were not sent because of reasons beyond the control of the Administrator. If you have a claim for benefits that is denied or ignored, in whole or in part, you may file suit in a state or Federal court. In addition, if you disagree with the Plan’s decision or lack thereof concerning the qualified status of a domestic relations order, you may file suit in Federal court. If it should happen that Plan fiduciaries misuse the Plan’s money, or if you are discriminated against for asserting your rights, you may seek assistance from the U.S. Department of Labor, or you may file suit in a Federal court. The court will decide who should pay court costs and legal fees. If you are successful, the court may order the person you have sued to pay these costs and fees. If you lose, the court may order you to pay these costs and fees, for example if it finds your claim is frivolous. Please note that no legal proceedings may be filed in any court or before any administrative agency against the Fund, Plan, Trustees or any other Plan fiduciaries unless all of the Plan’s review procedures have been exhausted.

Assistance With Your Questions

If you have any questions about your Plan, you should contact the Fund Office. If you have any questions about this statement or about your rights under ERISA, or if you need assistance in obtaining documents from the Fund Office, you should contact the nearest office of the Employee Benefits Security Administration, U.S. Department of Labor, listed in your telephone directory or the Division of Technical Assistance and Inquiries, Employee Benefits Security Administration, U.S. Department of Labor, 200 Constitution Avenue, N.W. Washington D.C. 20210 or you can call the EBSA toll-free at 866-444-EBSA (866-444-3272). You may also obtain certain publications about your rights and responsibilities under ERISA by calling the publications hotline of the Employee Benefits Security Administration at 800-998-7542.

IMPORTANT

To make sure you get the full benefits to which you are entitled under the Plan, and to assist the Annuity Fund Office in keeping correct records as to your participation in the Plan, please notify the Annuity Fund Office promptly if you think there are any mistakes in the record of your hours worked in covered employment as reported to you periodically by the Annuity Fund Office.

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. Please note that this Summary Plan Description is meant to provide a summary of your Deferred Income Plan benefits. This description is based on the information contained in the actual Plan document for this Plan; therefore, if there is any discrepancy between the information contained in this handbook and in the Plan document governing this Plan, the Plan document will always govern. This version of the Summary Plan Description generally contains only the most recent Plan rules and benefit schedules as of April 1, 2008. Prior plan rules are available from the Fund Office upon request.

If you do not understand English and have questions about the benefits or rules of the Plan, contact the fund office to find out how to obtain such help.

[return to top]

BOARD OF TRUSTEES

Employer Trustees Union Trustees
Thomas S. Gunning Harry C. Brousaides
Building Trades Employers’ Assoc. Boston Plasterers’ & Cement Masons 534
150 Grossman Drive, Suite 313 7 Frederika Street
Braintree, MA 02184 Boston, MA 02124
Joseph B. Farina Vincent DiSalvo
Labor Relations Division of the Boston Plasterers’ & Cement Masons 534
Associated General Contractors of Mass. 7 Frederika Street
888 Worcester Street Boston, MA 02124
Wellesley, MA 02482
Stephen P. Affanato Peter P. Stracuzzi
Master Plasterers’ Assoc. Boston Plasterers’ & Cement Masons 534
Building Trades Employers’ Assoc. 7 Frederika Street
150 Grossman Drive, Suite 313 Boston, MA 02124
Braintree, MA 02184

BOSTON PLASTERERS’ & CEMENT MASONS’
LOCAL 534 ANNUITY FUND
7 Frederika Street
Boston, MA 02124
(617) 825-4500

Board of Trustees’ Employer Identification Number: 04-6544055

Plan Number: 001

Fiscal Year End Date: March 31

This web site is maintained by Innovative Software Solutions, Inc.