Summary Plan Description

Eligible Participants and Dollar Bank Eligibility

To be eligible for benefits, you must have enough money in your dollar bank account to purchase eligibility as described below. Associate employees are also subject to the same eligibility rules. Eligibility rules for Retiree Coverage are provided in Retiree Eligibility and Enrollment.

Dollar Bank Account

Under dollar bank eligibility, each participant has his or her own dollar bank account. Employer contributions made on your behalf will be added to your dollar bank account. Your current and future eligibility will be calculated based on the balance of this account.

Employer Contributions

Employers contribute to the plan on your behalf at the rate set by the collective bargaining agreement or written contribution agreement. The amount credited to your dollar bank account equals the hourly contributions received less the hourly amount credited to the Retiree Health Reserve Fund. For example, the June 1, 2016 Area Master Agreement in Western Washington calls for an employer contribution of $7.66 per hour to the plan. Currently, $.60 per hour funds the Retiree Health Reserve Fund (Western and Central Washington benefit package only) leaving $7.06 per hour for your dollar bank account. Remember, if you work under a different collective bargaining agreement, the hourly rate may be more or less than $7.66 per hour.

Initial Eligibility

If you are new to the plan or you have not had dollar bank eligibility for 12 consecutive months or more, you earn initial eligibility as follows. This process is also illustrated in the chart below:

  • The hourly contributions from your employer(s) are added to your dollar bank account.
  • For the Western and Central Washington benefit package, the current amount required for one month of eligibility is $850. That amount is known as your "dollar bank deduction." For initial eligibility, your employer must contribute $2,550 or more into your dollar bank account within a three consecutive month period ($850 per month x 3 months = $2,550). At least $1 of contributions must be earned in the first month of the three consecutive month period
  • For the Eastern Washington, Idaho, Montana, and Wyoming benefit package, the current monthly dollar bank deduction is $750. For initial eligibility, your employer must contribute $2,250 or more in your dollar bank account within a three consecutive month period ($750 per month x 3 months = $2,250). At least $1 of contributions must be earned in the first month of the three consecutive month period.
  • The fourth month is the "lag month." This is the time required for your employer to send updated contribution records to the plan and the time required for the plan to process those records.
  • You are then eligible for benefits beginning on the first day of the fifth month for a three-month period.

For example, if you have the Western and Central Washington benefit package and work 160 hours per month in January, February and March and the contribution rate to your dollar bank is $7.06 per hour, your dollar bank will accumulate $3,388.80. Because your dollar bank has at least $2,550, you will be eligible for a three-month period beginning on the first day of May. April is the lag month. After your three months of eligibility (May, June and July), you must have $850 in your dollar bank by July 31 to be eligible for the fourth month (August), and so on for future months.

Similarly, if you have the Eastern Washington, Idaho, Montana, and Wyoming benefit package and work 160 hours per month in January, February and March and the contribution rate to your dollar bank is $5.50 per hour, your dollar bank will accumulate $2,640.00. Because your dollar bank has at least $2,250, you will be eligible for a three-month period beginning on the first day of May. April is the lag month. After your three months of eligibility (May, June and July), you must have $750 in your dollar bank by July 31 to be eligible for the fourth month (August), and so on for future months.

Dollar Bank—Initial Eligibility

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A minimum of $2,550 in a
three-month period with at least
$1.00 in the first month
of the three-month period
Lag month
Eligible for a three-month
period beginning with
the fifth month

Continuing Eligibility

The cost for one month of eligibility is currently $850 for the Western and Central Washington benefit package and $750 for the Eastern Washington, Idaho, Montana, and Wyoming benefit package. In general, the monthly deduction from your dollar bank account is made no later than the month before the month of eligibility.

Maximum Dollar Bank Amount

The maximum dollar amount you can have in your dollar bank account is currently $6,800 for the Western and Central Washington benefit package and $4,500 for the Eastern Washington, Idaho, Montana, and Wyoming benefit package. This amount currently provides eight and six months of future eligibility respectively.

The monthly dollar bank deduction, the maximum dollar bank balance and the amount that funds the Retiree Health Reserve Fund are subject to change by the Board of Trustees.

When Eligibility Ends

Your eligibility ends on the first day of any month your dollar bank has less than the amount required to buy one month of eligibility. For example, if you have the Western and Central Washington benefit package and have less than $850 in your dollar bank in January, you will not have eligibility in February. Similarly, if you have the Eastern Washington, Idaho, Montana, and Wyoming benefit package and have less than $750 in your dollar bank in January, you will not have eligibility in February.

If you lose eligibility under the dollar bank system, you may qualify for Self-Contribution Coverage or COBRA Coverage as described under Self-Contribution Coverage and COBRA Coverage. Carpenters Trusts will automatically provide you with the appropriate notification and forms. If you are called to active duty in the military you may elect to freeze your dollar bank account under existing USERRA guidelines.

Reinstatement of Eligibility

If your dollar bank eligibility ends because you have less than the amount required to buy one month of eligibility, then your dollar bank balance will be preserved for 12 months but only if you return to work no later than the eleventh month and the contributions for your work in the eleventh month are enough to provide one month of dollar bank eligibility. Your dollar bank eligibility will then be reinstated on the first day of the thirteenth month.

Forfeiture of Balances of Less than the Monthly Dollar Bank Deduction Rate

If you do not regain dollar bank eligibility within the timeframe described above, your dollar bank will be permanently forfeited.