Southern California Pipe Trades

Managing Employee Contributions & BenefitsA GUIDE FOR EMPLOYERS

Southern California Pipe Trades Administrative Corporation 501 Shatto Place, 5th Floor, Los Angeles, CA 90020 www.scptac.org (800) 595-7473 (213) 383-0725

Table of Contents

Introduction 5

How it works 6

Southern California Pipe Trades Administrative Corporation 7

Types of Agreements 8

Benefits and Contributions 9 SCPT Health & Welfare Fund 9 SCPT Retirement Fund 10 SCPT Defined Contribution Fund 11 SCPT Vacation & Holiday Fund 12 SCPT Christmas Bonus Fund 13

Making Contributions for the first time 14

Reporting & Making Contributions 15

How to use the Employer Contribution Reports 16

How to use the 401(k)-only Employer Contribution Reports 17

How Benefits affect your Payroll 18

Important things to know about Delinquent Contributions Delinquent Contributions 19 General Policies & Procedures 20

Frequently Asked Questions 21

Contacts Southern California Pipe Trades Administrative Corporation 22 District Council #16 & Local Unions 23 Funds, Trusts & Associations 24

Introduction

To Employers participating in the Southern California Pipe Trades Funds:

We are pleased to provide you with an introduction on how to manage your contributions under the Collective Barganing Agreement between you and Southern California Pipe Trades District Council #16.

This booklet will help you understand how your Contributions are distributed to various entities to provide your employees and their families important benefits and to support our industry. This booklet also contains a summary of benefits provided through the Southern California Pipe Trades Admnistrative Corporation (SCPTAC).

You will also learn how to accurately prepare and submit Employer Contribution Reports and make payments due to SCPTAC.

Sincerely,

Southern California Pipe Trades Administrative Corporation

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How it works.

Collective Bargaining

Agreeement(CBA)

Local #78

Local #114

Local #230

Local #250

Local #345

Local #364

Local #398

Local #403

Local #460

Local #484

Local #494

Local #582

Local #761

Employer

Employer

Employer

Employer

Employer

Employer

Employer

Employer

Employer

Employer

Employer

Employer

Employer

Providing Benefits, Training and Industry Advancement

SCPTAC or the Fund Office, administers benefits under the terms of the Collective Bargaining Agreement and the direction of the Board of Trustees.

Southern California Pipe Trades Administrative Corporation (SCPTAC)

Contributions due to the NPF are also collected by SCPTAC. The NPF provides retirement benefits that are paid for by Employers who make contributions on behalf of their employees on a per-hour basis. For more detailed informa-tion refer to the NPF website at http://www.ppnpf.org/.

Representatives from the Local Unions and Employers governing the following Funds:(1) SCPT Retirement Fund,(2) SCPT Health & Welfare Fund,(3) SCPT Vacation & Holiday Fund,(4) SCPT Defined Contribution Fund, and(5) SCPT Christmas Bonus Fund

District Council #16

Organization that governs Southern California for the United Association of Journeyman and Apprentices of the Plumbing and Pipefitting Industry of the US and Canada (AFL-CIO) also known as the U.A.

LABOR

Most employers are represented by an employer organization such as CPMCA, CLIC or ARCA/MCA

CPMCA,ARCA/MCA,

CLIC,or

Independent

MANAGEMENT

SCPT Board of Trustees

Plumbers &Pipefitters National

Pension Fund (NPF)

A Labor-Management cooperation committee and trust fund for the unionized plumbing, piping and HVACR industries in Southern California. Employers make contributions for every hour worked by the Employees and remit the contributions to SCPT monthly .

Piping IndustryProgress

Education & Trust Fund (PIPE)

The Apprentice and Journeyman Training Trust Fund and the Joint Journeyman Training Center provides training in the installation, service, repair and mainte-nance in a wide range of industrial and residential environ-ments. Employers make contributions for every hour worked by the employees and remit the contributions to SCPT monthly.

Training Other Entities

Contributions are also collected to fund the associations that represent Employers, for Union dues, and other entities.

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Southern California Pipe Trades Administrative Corporation

Collective Bargaining

Agreement (CBA)

A labor contract between

employer(s) and union(s)

that results from the

process of negotiation

between representatives of

the union and an

employer or employers’

organization regarding

terms and conditions of

employment such as wages,

benefits, working condi-

tions, etc..Representative(s) of the Employer(s) and Union negotiate.

The two parties agree to the terms and conditions of employment.

The two parties sign the Collective Bargaining Agreement.

The Southern California Pipe Trades Administrative Corporation (SCPTAC) or the “Fund Office”, administers benefits for your employees under the terms of the Collective Bargaining Agreements (CBAs) between Employers and District Council #16 of the United Association of Journey-man and Apprentices of the Plumbing and Pipe Fitting Industry of the United States and Canada AFL-CIO.

As a result of signing the Collective Bargaining Agreement (CBA), Employers agree to provide benefits to covered employees by making contributions to various entities through SCPTAC.

WHAT IS DISTRICT COUNCIL #16?District Council #16 is a labor

organization within the United

Association of Journeyman &

Apprentices of the Plumbing

and Pipefitting Industry of the

US and Canada (U.A.) and is

composed of local unions in

Southern California.

The United Association (UA) local unions affiliated with District Council #16 are Locals 78, 114, 230, 250, 345, 364, 398, 403, 460, 484, 494, 582 and 761. Employee’s union dues are included in the contributions made to SCPTAC

THEN ... WHAT IS U.A.?

The United Association of Journeymen and Apprentices of the Plumbing and Pipe Fitting Industry of the United States and Canada, or "UA" as it is commonly known, is a multi-craft union whose members are engaged in the fabrication, installation and servicing of piping systems.

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Types of Agreements

When we refer to the Agreement or Master Agreement (MA), we mean a Collec-tive Bargaining Agreement between a party representing the Employer and a Union representing the Employee. There are a number of different agreements that require payments through SCPTAC. Employers remit required amount each payroll period to the SCPTAC with the monthly contribution report.

CPMCA AgreementMaster Agreement between California Plumbing & Mechanical Contractors Association and Southern California Pipe Trades District Council No. 16 of the United Association.

CLIC AgreementMaster Agreement Between California Landscape and Irrigation Council and Southern California Pipe Trades District Council No. 16 of the United Associa-tion.

ARCA/MCA AgreementMaster Agreement between Southern California Mechanical Contractors Associa-tion and Southern California Pipe Trades District Council No. 16 of the United Association.

Independent AgreementMaster Agreement between Southern California Contractors and Southern California Pipe Trades District Council No. 16 of the United Association.

Project AgreementsA Project Agreement is an agreement limited to a single project, for example, a particular school or hospital project.

Special AgreementsAgreements applied only to certain Employers.

National AgreementsAgreements effective nationwide.

CPMCACPMCA is a trade association of the Mechanical Contracting Industry in Southern California

– representing members engaged in the installation and service of Heating, Ventilating,

Air Conditioning, Plumbing and Piping.

CLIC is a trade association of union-affiliated landscape and

irrigation contractors who operate in Southern California.

ARCA/MCA is a trade associa-tion of the Airconditioning,

Refrigeration and Mechanical Contractors of Southern

California.

ARCA/MCAARCA/MCA

-8-

Benefits & Contributions

Employers provide benefits to their Employees by making contributions to some or all of the following Funds through SCPTAC,.

SCPT Health & Welfare Fund Making contributions to the Southern California Pipe Trades Health & Welfare Fund will enable the Employee to become a Participant under a Plan that provides Medical, Dental, Vision, Prescription Drug, Weekly Accident and Sickness, and Accidental Death and Dismemberment benefits.

Employees become eligible to participate and maintain eligibility in the Plan based on the amount credited to their Eligibility Bank by Employer contributions to the Plan.

Employees and their EligibleDependents will be coveredunder the Plan beginning thefirst day of the second monthfollowing the month in whichthe Participant’s Eligibility Bank is first credited with an amount generally equivalent to 260 hoursof work.

Contributions are applied to the month worked, not the month the contribution is received by the Fund Office. Coverage may be delayed or applied retroactively if the contributions are not received when due.

. For more information about the Health & Welfare Plan, please refer to the SCPT Health & Welfare Fund Summary Plan Description booklet or at www.scptac.org.

Employee Eligible Dependent(s)

Healthcare Expenses

H&W ELIGIBILITY- Contributions generally equivalent to 260 hours of work are credited to the Eligibility Bank within 24 consecutive months.- Eligibility begins the first day of the second month following the month in which the Eligibility Bank is first credited with the applicable amount.- To maintain eligibility, a monthly deduction generally equivalent to 100 hours of work will be deducted from the Eligibility Bank. - Eligibility will be terminated if the Eligibility Bank balance falls below the Monthly Deduction amount.

-9-

For more detailed information about the Retirement Plan, please refer to SCPT Retirement Fund Summary Plan Description booklet or at www.scptac.org.

Benefits & Contributions

SCPT Retirement Fund The Southern California Pipe Trades Retirement Fund is a defined benefit pension plan.

The Benefits are paid for by Employers who make contributions on behalf of their Employees on a per-hour basis under a Collective Bargaining Agree-ment or other Participation Agreement.

Employees or Participants in the Plan accumulate credit under the Plan based upon their years of employment covered by the Plan.

Covered

Employees

do not make

contributions to

the Plan and

do not have

individual

accounts in the

Fund.

Qualification for benefits and the amount of those benefits are based upon the Participant’s years of service with Contributing Employers and his or her age at retirement.

Benefits are also provided at death or disability for eligible Participants.

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For more detailed information about the Defined Contribu-tion Plan, please refer to the SCPT Defined Contribution Fund Summary Plan Description booklet or at www.scptac.org.

Benefits & Contributions

SCPT Defined Contribution Fund Making Contributions to the Southern California Pipe Trades Defined Contribution Fund provides the Employee with retirement savings that are in addition to the traditional pension benefits and Social Security income.

Employees working under a District Council #16 Collective Bargaining Agreement that permits participation, may elect to save a portion of their hourly wage under the terms of the Defined Contribution Plan.

401(k) Contributions are pre-tax deductions from wages in an hourly amount elected by the Participant. The rate remains in effect until the Participant changes it.

The Employer withholds 401(k) Contributions from pay and sends them to SCPTAC, which in turn forwards the contributions to the Plan’s record-keeper.

401(a) Contributions are Employer contributions to the Plan only if required by the Collective Bargaining Agreement. 401(a) Contributions are also known as “Employer Contributions” and “Non-Elective Contributions”. The Collective Bargaining Agreement determines the amount contributed, if any.

See Benefits & Payroll foran example.

All contributions made to

the Plan on behalf of the

Employee are placed in an

Individual account for

each Employee.

Once an Employee is

enrolled in the Plan, he

will receive an ID card

from the Plan.

The Employee must pres-

ent the ID card to his

Employer to show the

amount of hourly wages

to contribute to the Plan.

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For more detailed information about the Vacation & Holiday Plan, please refer to the SCPT Vacation & Holiday Fund Summary Plan Description booklet or at www.scptac.org.

Benefits & Contributions

SCPT Vacation & Holiday Fund Making Contributions to the Southern California Pipe Trades Vacation & Holiday Fund provides the Employee with benefits during an Employee’s working years, especially for vacation and holiday expenses.

The Employer makes Contributions to the Fund on behalf of the employee and the emploee will receive benefits for those Contributions in accor-dance with the rules and regulations of the Plan.

The Plan is designed to automatically pay out to Participants in April andDecember.

30% of the benefit in December (called the Holiday Payment) and 70% of the benefit in April (called the Vacation Payment.)

The Participant can also request one early payment per Calendar Year (called an Interim Withdrawal).

Vacation & Holiday FundEmployee Payout

DECEMBERHOLIDAYPAYMENTAPRIL

VACATIONPAYMENT

70%30%

HolidayPayment

- Payment in December.- 30% of the Employee Vacation & Holiday individual account balance as of Nov 30th for hours reported through work month of October.

VacationPayment

- Payment in April.- The remaining 70% of the Employee Vacation & Holiday individual account balance of Contributions not already paid for hours reported through work month of October of the previous year.

InterimWithdrawal

- Manual payment requested by Employee.- One request per calendar year.- Employee must submit an Interim Withdrawal Form.

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For more detailed information on enrolling in the Christ-mas Bonus Plan please refer to the SCPT Christmas Bonus Fund Summary Plan Description booklet or at www.scptac.org.

Benefits & Contributions

SCPT Christmas Bonus Fund The SCPT Christmas Bonus Fund was established to provide an additional December benefit to certain eligible Participants in the SCPT Retirement Fund. Benefits are paid once each year to Participants, or their unmarried Surviving Spouses or Beneficiaries.

The SCPT Christmas Bonus Plan is funded by Employers signed to a Collective Bargaining Agreement that requires contributions to the Fund.

Contributions are made

by Employers and paid to

certain eligible

Participants of the

SCPT Retirement Fund

once each year.

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Making Contributions for the first time

You may choose to report with paper forms that are mailed to you monthly or you may request Excel spreadsheet forms that do the calculations for you.

PAPER FORMSWhen SCPTAC receives information concerning a new Signatory Employer from District Council #16, blank paper report forms will automatically be generated and mailed to the Employer for all applicable agreements and job classes associated with the Employer.

Once an Employer returns a completed form to SCPTAC, reports will automatically be generated in subsequent months pre-printed with the names and job classes of the employees you reported for the previous month. You may then add names and social security numbers of new employees and/or delete terminated employees.

EXCEL FORMSEmployers may also request from SCPTAC an Excel workbook contain-ing all applicable Employer Contribution Report forms.

If you do not receive the Excel forms and would like to use them to report, please contact the Employer Compliance Department at (800) 595-7473. You may also send an email request to Lorraine at lclayton@scptac.org.

TIP! When using Excel Employer Contribution Report Forms, only fill in the areas that are shaded in blue. Excel will automatically calculate the total amounts due for that form. Add all the total amounts due for all job classes you are reporting for total payment due to SCPTAC. Only one check made payable to SCPTAC needs to be remitted for the total amount due. (See page 16 & 17)

New Employer?

First time Employers will receive Employer Reporting Forms with the contribution rates that SCPTAC received from DC#16. Employers also receive a dispatch slip from the Local Union with every new employee. The dispatch

slip should have theagreement name, job class, wage rate and a summary of fringe benefits. The Local

Union and/or Employer Asso-ciation will inform Employers of changes in wages and

contribution rates.

Contact Local

Union for:

- questions regarding wages or dues.- dispatch slip (The Local Union is responsible for dispatching the employees. The dispatch slip shows the employee’s job class and information regarding the fringe benefit deductions.)

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Reporting & Making Contributions

SCPTAC collects contributions from employers who are signatory to a CBA with District Council#16.

Contributions are due and payable on the 10th day of each month covering the hours worked by each employee through the last payroll period of the prior month.

Each Employer must also submit an Employer Contribution Report (ECR) with the contributions. ECRs must be submitted regardless of whether the Employer has any employees for that work month.

EMPLOYER CONTRIBUTION REPORT (ECR)There are two types of Employer Contribution Reports (ECRs): 1) ECR for monthly fringe benefit contributions (e.g. Health & Welfare, Retirement, Vacation, Christmas Bonus, Defined Contribution Fund 401(a), etc.); and 2) ECR for Defined Contribution Fund Employee Deferrals (401(k) contributions).

SCPTAC automatically generates monthly reports pre-printed with the names and job classes of the employees reported for the previous month. You may add names and social security numbers of new employees and/or delete terminated employees.

Whether or not you receive monthly report forms, you are still obligated to make your contributions timely.

All ECRs are also available as Microsoft Excel spreadsheets.

Employers may be signed to multiple agreements. If we believe you have reported incorrectly, we will send you overage or shortage notices.

10th

Contributions & ECRsDUE

401 (k) must be reported separately from other contributions and per Department of Labor regulations must be forwarded at the earliest date on which the monies can reasonably be segregated from the

employer’s general assets.

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Page 1 of 10

Employer Name & Address For Hours Worked: MAY 2007 Make Check Payable To:Month Year Southern California Pipe Trades Admin Corp

TOOL TIME PLUMBING **Due by the 15th of the Following Month** P.O. BOX 51266298765 MAIN STREET Los Angeles, CA 90051-0662PASADENA, CA 91105

Check #: 12345 Check Date: 06/08/07 Prepared By:

:yB devorppA:gnidnE sdoireP lloryaP roFEmployer #: 999Agreement: 300N8 Date:Sub-Code:

CPMCA Agreement - ExtensionJob Class: PHPJ - Journeyman

2.980 4.470 4.470LATOTEMOHLAICOS Calculated V&H

SECURITY EMPLOYEE NAME LOCAL STRAIGHT OVER DOUBLE HOURS Minimum TNUOMArepNUMBER (LAST, FIRST) # TIME TIME TIME WORKED V&H EUDlloryaP

Totals for this Job Class: 120.00 6.50 0.00 126.50 386.67$ -$

05.6105.000.6187lA ,dnalroB6543-21-555 49.92$ V&H & U.A. PAC 2.98 386.67$

00.7200.300.42285idieH ,treppeK1234-56-666 84.93$ H&W 5.77 729.92$

05.6105.000.61285kraM ,rolyaT4567-89-455 49.92$ PENSION 5.37 679.32$

00.8100.200.6187ydnaR ,rolyaT8888-99-355 56.62$ R-XMAS 0.50 63.25$

05.8405.000.8487 .rJ nosliW ,nosliW6543-21-566 145.28$ A&J 0.97 122.72$

0.00 -$ PIPE 0.25 31.64$

0.00 -$ DC 16 0.54 68.31$

0.00 -$ CPMCA 0.20 25.30$

0.00 -$ NPF 2.50 316.25$

0.00 -$ ITF 0.05 6.34$

0.00 -$ -$

0.00 -$ -$

0.00 -$ -$

0.00 -$ -$

0.00 -$ -$

0.00 -$ -$

0.00 -$ TOTAL DUE: 2,429.72$

0.00 -$

0.00 -$

SOUTHERN CALIFORNIA PIPE TRADES ADMINISTRATIVE CORPORATIONEMPLOYER CONTRIBUTION REPORT

Vacation & Holiday Rates

HOURS WORKED AT:

HOURLY CONTRIBUTION RATES

Jill Taylor

Tim Taylor

06/10/07

These rates are valid throughDecember 2007

How to use the Employer Contribution Reports (Excel)

2STEP

1STEP

STEP

4

STEP

3

STEP

3

STEP

5

6STEP

STEP

7

Identify Job Class & Agreement. Employees covered under different agreements and/or job classes must be reported seperately. Examples of different job classes - Pre-Apprentice, Apprentice 1, Apprentice 2, Journeyman, Foreman, General Foreman and etc.

STEP

1

Enter Employer Information. List Employer Name, Address and Employer Number.

STEP

2Enter Work Period. Indicate the work month and payroll period.

STEP

3Enter Employee Information. List Employee Social Security Number, name, local union and hours worked for period. (If any rates are based upon wages, you must also report Gross Wages for the period.)

STEP

4

Amount Due. Total hours worked and amount due will automatically be calculated by the Excel spreadsheet. Make sure the agreement number and job class are correct.

STEP

5

Total Due. The total amount due to SCPTAC for this agreement and job class will also be automatically calculated by the Excel spreadsheet.

STEP

6

Issue Check. Add all “Total Due” amounts for all Employer Contribution Reports for the month. Issue check and indicate check date and number. Issue check payable to “Southern California Pipe Trades Administrative Corporation”.

STEP

7

Initial and Date Reports.STEP

8Send report and payments. Send reports and payments to P.O. Box 512662, Los Angeles, CA 90051-0662. Send correspondence to SCPTAC, Employer Compliance Department, 501 Shatto Place, Los Angeles, CA 90020.

STEP

9

STEP

8

STEP

9

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How to use the 401(K) Only Employer Contribution Reports (Excel)

Page 1 of 5

Employer Name & Address Make Check Payable To:Southern California Pipe Trades Admin Corp

TOOL TIME PLUMBING P.O. BOX 51266298765 MAIN STREET Los Angeles, CA 90051-0662

:dekroW sruoH roF50119 AC ,ANEDASAPPrepared By:

06/01/07 thru 06/29/07MM/DD/YY MM/DD/YY Approved By:

Employer #: 999Agreement: ONLYK Date:Sub-Code:

401K for Plumb/Pipe Check # 12346 Chk Date: 06/08/07Job Class: 401K

EMOHLAICOS TOTALSECURITY EMPLOYEE NAME LOCAL STRAIGHT OVER DOUBLE HOURS 401 (K) AMOUNTNUMBER (LAST, FIRST) # TIME TIME TIME WORKED DUE

00.17600.2900.000.400.88:ssalC boJ siht rof slatoT $ 00.6187lA ,dnalroB6543-21-555 0.50 16.50 5.00 57.38 $ $

666-65-4321 Keppert, Heidi 582 24.00 3.00 27.00 3.50 57.99 $ $ 665-12-3456 Wilson, Wilson Jr. 78 48.00 0.50 48.50 10.00 05.784 $ $

0.00 - - $ $ 0.00 - - $ $ 0.00 - - $ $ 0.00 - - $ $ 0.00 - - $ $ 0.00 - - $ $ 0.00 - - $ $ 0.00 - - $ $ 0.00 - - $ $ 0.00 - - $ $ 0.00 - - $ $ 0.00 - - $ $ 0.00 - - $ $ 0.00 - - $ $ 0.00 - - $ $ 0.00 - - $ $ 0.00 - - $ $

SOUTHERN CALIFORNIA PIPE TRADES ADMINISTRATIVE CORPORATIONEMPLOYER CONTRIBUTION REPORT

401(K) ONLY

HOURS WORKED AT:

JILL TAYLOR

06/10/07

TIM TAYLOR

I

J

2STEP

1STEP

STEP

4

STEP

3

STEP

5

STEP

6

One Report for ALL 401(K) Contributions. Employees covered under different agreements and/or job classes may be reported on the same form.

STEP

1

Enter Employer Information. List Employer Name, Address and Employer Number.

STEP

2Enter Work Period. Indicate the work month and payroll period.

STEP

3Enter Employee Information. List Employee Social Security Number, name, local union and hours worked for period. Indicate whether if deferral was only deducted for part of the month.

STEP

4

Amount Due. Total hours worked and amount due will automatically be calculated by the Excel spreadsheet.

Total Due. The total amount due to SCPTAC for this agreement will also be automatically calculated by the Excel spreadsheet.

STEP

5

Issue Check. Add all “Total Due” amounts for all Employer Contribution Reports for the month. Issue check payable to “Southern California Pipe Trades Administrative Corporation” and indicate check date and number.

STEP

6

Initial and Date Reports.STEP

7STEP

8

STEP

7

STEP

8

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RATE

Send report and payments. Send reports and payments to P.O. Box 512662, Los Angeles, CA 90051-0662. Send correspondence to SCPTAC, Employer Compliance Department, 501 Shatto Place, Los Angeles, CA 90020.

How Benefits affect your Payroll

What amounts should be included in taxable wages?

Non-wage Contributions - All contributions (except for Union Dues, Vacation & Holiday, and 401(k) deferrals) due to the SCPTAC are Employer Contributions and should not be included when doing Payroll.

Union Dues - Dues should be withheld from Net Pay and paid to the SCPTAC.

Vacation & Holiday - V&H amount should be added to Gross Wages, taxed, and then withheld from Net Pay and paid to the SCPTAC.

401(k) - 401(k) deferrals are a BEFORE TAX deduction from Gross Wages.

Example of Employee Payroll:(This is an example only. Please consult your tax advisor on payroll deductions. The

rates for your employees may differ. If your employee worked overtime, then the

overtime generally applies to both wages and V&H)

Start with: Wages 40 hours @ 26.83 $1,073.20Add: V&H 40 hours @ 2.98 $ 119.20Subtract: 401(k) 40 hours @ 2.00 ($ 80.00)Result is Taxable Wages: $1,112.40

Subtract: Taxes (must calculate) ($ 200.00)Subtract: V&H 40 hours @ 2.98 ($ 119.20)Subtract: Dues 40 hours @ 0.54 ($ 21.60)Result is Net Pay: $ 771.60

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Important things to know about Delinquency

DELINQUENT CONTRIBUTIONS

Contributions are due on the 10th of the month following the work month and are delinquent if reported or paid after 12:00 midnight on the 15th day of the month following the work month. If you are mailing the reports and contributions, they must not be postmarked after the 15th day of the month following the work month. If the 15th falls on a weekend or holi-day, the delinquent date will be extended to the next business day.

Any employer that fails to pay and report contributions to the Fund Office before the delinquency date, or that issues a non-sufficient funds check, will be considered delinquent.

SCPTAC will send a delinquency notice to any employer that fails to report or that reports but does not pay contributions. The last reported employees of the delinquent employer will also be notified. SCPTAC will pursue all collection options until all contributions are paid in full.

District Council #16, applicable local unions, the National Pension Fund and the International Training Fund will be notified of delinquent employ-ers. The union will be provided with information about the delinquency, including, but not limited to, information needed to remove the employees from employment with the employer.

15th

Contributions & ERFsDELINQUENT

DelinquentEmployers:- Will be assessed 10% liquidated damages on the contributions owed. - Will be assessed a $200 late filing fee if ECRs are not submitted timely - Will be assessed 18% interest from date of delinquency until date of payment.- Will be assessed additional surcharge liquidated damages (if chronically delinquent)- Will be assessed liquidated damages of 20% if a lawsuit is filed, - Must also pay lost earnings and government penalties if 401(K) deferrals are delinquent.

WAIVER OF LIQUIDATED DAMAGES

Liquidated damages and the $200 late fee will be waived automatically once each calendar year provided the employer has not been delin-quent in any of the three reporting months preceding the waiver month. The employer must apply for any other waivers of liquidated damages and any waivers of interest in writing. All such written requests will be reviewed and decided by the Joint Delinquency Committee of the Board of Trustees at its quarterly meetings.

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Important things to know about Delinquency

GENERAL POLICIES & PROCEDURES

Payroll Audits- Periodic audits of contributions will be conducted to test if correct amounts of contributions have been made. If additional contributions are due, liquidated damages, interest and the cost of the audit will be assesed. Audits may be required of any employer at any time. During an audit, it will be necessary for the Employer to provide the following records: 1) Time Cards 7) Collective Bargaining Agreement 2) Certified Payroll records 8) Workers Compensation Forms 3) Payroll registers 9) Current Accounts Payable Listing 4) Quarterly Federal Payroll 10) ECRs submitted to SCPTAC Tax Returns 11) Cash Disbursement Journals 5) Quarterly State Payroll 12) Job Cost Records Tax Returns 13) Forms 1099 and 1096 6) Forms W-2 & W-3

Partial Payment - If a partial payment for contributions is received, it will be held until payment in full has been collected. If payment in full is not collected, partial payments will be prorated.

Employee Statements - The Defined Contribution Fund Recordkeeper sends statements to the employees quarterly. SCPTAC also sends employ-ees a quarterly statement showing hours reported to the Retirement Fund and dollars contributed to the Health & Welfare and Vacation & Holiday Funds.

Actions by Counsel - Delinquent Employers may be sued to collect amounts owed, plus liquidated damages, interest, costs, and attorney’s fees.

JointDelinquencyCommittee:

- Meets at least quarterly to

review the status of all

delinquent employers.

- Keeps minutes of

meetings and submits them

to the full Board of

Trustees

- Has authority to

negotiate any claim or to

enter into written

settlement agreements with

delinquent employers on the

terms it deems appropriate.

If an Employer becomes delinquent more than 45

days, even if contributions are made later, Owner(s) and

Corporate Officer(s) will permanently lose Health &

Welfare coverage.

OWNERS andCORPORATE

OFFICERS

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Frequently Asked Questions

What is a Summary Plan Description?A Summary Plan Description or “SPD” is a summary of the underlying legal Plan and/or Trust documents which describes the benefits provided by the Southern California Pipe Trades Trust Funds. All Participants receive the SPD when they first become eligible.

What is a Quarterly Statement?The Quarterly Statement is a report sent to Employees every three months showing hours credited to the Retirement Fund and contributions made to the Health & Welfare and Vacation & Holiday Funds on behalf of the Employee. A quarterly statement is also sent by the Defined Contribution Fund recordkeeper to Participants in that Fund.

What is reciprocity?Reciprocity is the transfer of contributions from the Fund where a Member is working to the Member's Home Local Fund pursuant to the terms of the United Association Reciprocity Agreement.

-21-

Contacts

Southern California Pipe Trades Administrative Corporation

Mail Attn: Employer Compliance Department. 501 Shatto Place, 5th Floor, Los Angeles, CA 90020

Fax Employer Compliance & Contribution Reports (213) 385-2767

Phone Toll Free : (800) 595 - 7473 Outside U.S. : (213) 385 - 6161 Employees choose Option "2" for Members Services.

Website www.scptac.org

Contact Angela Panomchai, Employer Compliance Manager ext. 291, apanomchai@scptac.org Delinquent Fringe benefit payments and late penalties.

Lorraine Clayton, Employer Coordinator ext. 225, lclayton@scptac.org Agreements, corporate officer matters, current status letters and issuing Microsoft Excel spreadsheets.

Robyn White, Employer Compliance Coordinator ext. 265, rwhite@scptac.org Agreements, delinquency issues and issuing Microsoft Excel spreadsheets.

Maria Iglesias, Delinquency Clerk ext. 232, miglesias@scptac.org Employer Contribution Reports, member pay stub claims.

Chang Choi, Contribution Processor ext. 289, chang@scptac.org Correction Notices for overages and shortages.

Jessica Martinez, Contribution Processor/Reciprocity Inquiries ext. 264, jmartinez@scptac.org Correction Notices for overages and shortages and Reciprocity Inquiries.

Maria Cuellar, Contribution Processor ext. 288, mcuellar@scptac.org Correction Notices for overages and shortages.

Lily Heng, Defined Contribution Coordinator ext. 283, lily@scptac.org Defined Contribution 401(a) & 401(k) issues.

Employee Contacts

Should your Employees need to contact us,

they should call the Fund Office at

1-800-595-7473 and choose option “2” for

Member Services.

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Contacts

DISTRICT COUNCIL #16 & LOCAL UNIONS

District Council #16 Sid Stolper, Business Manager

501 Shatto Place, Ste #400 , Los Angeles, CA 90020Phone: (213) 487-4262 Fax: (213) 384-5619www.dc16.org/

U.A. Local #78Gary Cook, Business Manager

1111 West James Wood Blvd., Los Angeles, CA 90015Phone: (213) 688-9090 Fax: (213) 627-4624www.uaplumber78.com/

U.A. Local #114Dan Foreman, Business Manager

93 Thomas Road, Buellton, CA 93427Phone: (805) 688-1470 Fax: (805) 688-7714

U.A. Local #230Kirk Crosswhite, Business Manager

6313 Nancy Ridge Drive, San Diego, CA 92121Phone: (858) 554-0586 Fax: (858) 554-0591www.unionpipepros.org/

U.A. Local #250George Vasquez, Business Manager

18355 S. Figueroa Street , Gardena, CA 90248Phone: (310) 660-0035 Fax: (310) 329-2465www.ua250.org

U.A. Local #345Vincent Diaz, Business Manager

1430 Huntington Drive, Duarte, CA 91010Phone: (626) 357-9345 Fax: (626) 359-0359

U.A. Local #364Richard Edwards, Business Manager

223 South Rancho Avenue , Colton, CA 92334Phone: (909) 825-0359 Fax: (909) 824-8362www.ualocal364.org/

U.A. Local #398 Ray Levangie, Business Manager

4959 Palo Verde, Suite 200-C , Montclair, CA 91763Phone: (909) 625-2493 Fax: (909) 626-4620

U.A. Local #403Walt French, Business Manager

3710 Broad Street , San Luis Obispo, CA 93401Phone: (805) 543-2416 Fax: (805) 541-0251

U.A. Local #460Mike Rock, Business Manager

6718 Meany Avenue, Bakersfield, CA 93308Phone: (661) 589-4600 Fax: (661) 589-3196

U.A. Local #484Rodney Cobos, Business Manager

1955 North Ventura Avenue , Ventura, CA 93001Phone: (805) 643-6345 Fax: (805) 643-0425

U.A. Local #494 Ruben Magana, Business Manager

2740 East Spring Street, Long Beach, CA 90806Phone: (562) 490-4717 Fax: (562) 490-4715

U.A. Local #582Glen Nolte, Business Manager

3904 W. First Street , Santa Ana, CA 92703Phone: (714) 775-5563 Fax: (714) 775-7976www.ualocal582.com

U.A. Local #761Ken Jenkins, Business Manager

1305 North Niagara Street, Burbank, CA 91505Phone: (818) 843-8670 Fax: (818) 843-5209

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Contacts

FUNDS, TRUSTS & ASSOCIATIONS

Air-Conditioning & Refrigeration Industry Joint Trust Funds 1380 South Sanderson Avenue, Suite #201, Anaheim CA 92806Phone: (714) 917-6100 Fax: (714) 917-6065www.acrtrust.org

Piping Industry Progress and Education Trust (PIPE) 501 Shatto Place, Suite #200, Los Angeles, CA 90020Phone: (213) 382-5255 Fax: (213) 382-2501www.pipe.org

Apprentice & Journeyman Training Trust Fund of Southern California 18931 Laurel Park Road, Compton, CA 90220Phone: (213) 636-9871 Fax: (310) 604-6046www.ajtraining.org

Joint Journeyman Apprentice Training Center (JJATC) 2220 South Hill Street, Los Angeles, CA 90007Phone: (213)747-0291Fax: (213) 747-5669www.hvacr-training.com

Plumbers & Pipefitters National Pension Fund 103 Oronoco Street , Alexandria, VA 22314Phone: (703) 739-9020 Fax: (703) 739-9017www.ppnpf.com

Inland Refrigeration & Air Conditioning Trust Funds 501 Shatto Place, 5th Floor, Los Angeles, CA 90020Phone: (213) 385-6161 Fax: (213) 383-0725www.scptac.org

California Plumbing & Mechanical Contractors Association (CPMCA) 645 West 9th Street, Suite 700, Los Angeles, CA 90015Phone: (213) 417-9177 Fax: (213) 417-6180www.cpmca.org

California Landscape & Irrigation Council, Inc. (CLIC) 10061 Riverside Drive, Ste #1028, Toluca Lake, CA 91602Phone: (866) 430-2542 Fax: (866) 404-2447www.cliccontractors.com

Airconditioning, Refrigeration and Mechanical Contractors Association of Southern California, Inc. (ARCA/MCA)3602 Inland Empire Blvd., Suite #B-206Ontario, CA 91764Phone: (909) 477-4515 Fax: (909) 477-4516www.arcamca.org

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