Article 10. Reciprocity - Pro Rata Pensions

Section 10.01 Purpose

Pro Rata Pensions are provided under this Plan for Employees who would otherwise lack sufficient credit to be eligible for any pension because their years of employment were divided between pension plans or, if eligible for a pension, whose pension would be less because of such division of employment.

Section 10.02 Identification of the Home Fund

(a)        For the purposes of this Article 10, the Fund shall recognize as the “Home Fund” that pension fund which has executed the International Reciprocal Agreement for Sheet Metal Workers’ Pension Funds and which was established in part by the Local Union which first represented an Employee for the purpose of collective bargaining.

(b)       The designation of a Home Fund may be changed:

(1) by an Employee if he transfers to another Local Union which provides a Related Plan by giving notice both to his former Home Fund and to his new Home Fund; or

(2) by any other Employee if he has earned at least one pension credit in the jurisdiction of a Local Union which participates in a Related Plan by giving notice to his former and new Home Funds.

Section 10.03 Related Pensions

The Trustees recognize as a Related Plan or Plans, one or more other plans of pension funds which have executed the International Reciprocal Agreement for Sheet Metal Workers’ Pension Funds (“Reciprocal Agreement”) including the adoption of Exhibit A of such Reciprocal Agreement.

Section 10.04 Related Pension Credits 

Related Pension Credits earned under a Related Plan shall be determined in accordance with the rules and regulations of the Related Plan.  Such Related Pension Credit, including pension credit earned before the effective date of this Plan, to the extent creditable under a Related Plan, shall be recognized as Related Pension Credits.  The Trustees of the Related Plan shall certify to this Plan the amount of such Related Pension Credits which have been earned and credited under the Related Plan. 

Section 10.05 Combined Pension Credit

  The total of any Employee’s Pension Credit under this Plan and Related Pension Credit together comprises the employee’s Combined Pension Credit.  Not more than one year of Combined Pension Credit shall be counted in any Plan Year.

Nothing in this Article shall be construed to grant duplicate pension credit under two or more Related Plans for the same period of covered employment.  Therefore, no Related Pension Credits shall be credited to an Employee in the case of pension credits earned simultaneously for covered employment in a local union jurisdiction for which contributions are made to both another pension fund and the Plan.  In this case, such service shall not be considered to be Related Pension Credits as defined herein. 

Section 10.06 Eligibility

  An Employee shall be eligible for a Pro Rata Pension under this Plan if he satisfies all of the following requirements:

(a)               He would be eligible for any type of pension under this Plan (other than a Pro Rata Pension) if his Combined Pension Credit were treated as Pension Credit under this Plan.

(b)               In addition to other requirements necessary to be eligible under (a), he has, under this Plan, at least one year of Pension Credit based on hours of employment for which contributions were payable to this Fund.

(c)               He is found to be eligible for a Pro Rata Pension from this Plan and at least one Related Plan.

Section 10.07 Breaks in Service

  In applying the rules of this Plan with respect to cancellation of service credit, any period in which an employee has earned Related Pension Credit shall not be counted in determining whether there has been a period of no covered employment sufficient to constitute a break in service. 

Section 10.08 Election of Pro Rata Pension

In order to receive a Pro Rata Pension from this Plan an Employee must irrevocably elect to receive his benefit in this form rather than any other form of benefit under the Plan. 

Section 10.09 Pro Rata Pension Amount

  The amount of the Pro Rata Pension payable by each plan signatory to the Reciprocal Agreement and under which an Employee qualifies for a pension shall be based on years of pension credit and benefit levels earned under each such plan. 

Section 10.10 Payment of Pro Rata Pensions

  The payment of a Pro Rata Pension shall be subject to all of the conditions contained in this Plan applicable to all other types of pensions, including, but not limited to, retirement as herein defined and timely application.  Pro Rata Pension payments subject to this Article shall be limited to monthly pension payments to a Pensioner or to monthly pension payments to the survivor of a Pensioner.

Section 10.11 Applicability to Pension Benefits Only

  This Article applies to pension benefits only.  It shall not apply to death benefits and any other form of ancillary benefit.

Section 10.12 Limited Transfer of Contributions

  No contributions shall be transferred between funds that are signatory only to Exhibit A of the Reciprocal Agreement except as set forth herein.  If an Employee whose Home Fund has adopted Exhibit A of the Reciprocal Agreement only, or both Exhibit A and Exhibit B, works in the jurisdiction of a fund signatory only to Exhibit A and earns less than one year of pension credit in said fund, then all contributions made on his behalf to said fund may be transferred to his Home Fund within a reasonable period of time after he has returned to covered employment (or been available therefore) in the jurisdiction of his Home Fund.  Such transfer of contributions shall only be made upon such conditions as the Trustees deem appropriate or under such conditions as may be found in the Reciprocal Agreement to the extent not inconsistent with this Plan or applicable law.