Breaking News: Second SFA Decision

The PBGC Special Financial Assistance program for troubled multiemployer plans has ruled on the third plan to apply for bailout money.

According to a PBGC press release:

The Pension Benefit Guaranty Corporation (PBGC) announced today that it has approved the plan application for the Idaho Signatory Employers-Laborers Pension Plan (Idaho Signatory) in Portland, Ore. The plan covers 682 participants in the construction industry and will receive $13.9 million in special financial assistance, including interest to the expected date of payment to the plan.

The plan was projected to run out of money in 2022. Without the Special Financial Assistance Program, Idaho Signatory would have been required to reduce participants’ benefits to the PBGC guarantee levels upon plan insolvency, which is roughly 15 percent below the benefits payable under the terms of the plan. Special financial assistance will enable the plan to continue to pay retirees’ benefits without reduction for many years into the future.

2 responses to this post.

  1. Posted by geoxrge on December 24, 2021 at 10:52 am

    And the winners are:

    Retirees: $24,695,607/353 = $69,959 per person
    Separated but entitled to benefits: $4,762,308/138 = $34,509 per person
    Still working: $2,723,552/176 = $15,475 per person

    https://burypensions.wordpress.com/2021/09/13/sfa-road-has-four/

    Reply

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