Cancellation of Eligibility & Termination of Hours Bank Reserve

Trust Agreement Non-Compliance & Contribution Reporting Requirements

A participant who has accrued Bank Hours under this Plan will lose all of his or her Bank Hours and will not be entitled to further coverage under this Plan for his or her previously accrued Bank Hours in the event that:

1. The participant continues to be employed by an Employer who ceases contributions to this Plan pursuant to the termination of such Employer's collective bargaining agreement;
   or
2. The participant becomes employed in Non-Covered Electrical Employment as defined in Section 1.16 of the Southern California IBEW-NECA Pension Plan, or if the participant becomes employed by an employer in the same industry as any Employer that contributes to this Plan and the participant’s employer is not a contributing Employer to this Plan or any IBEW sponsored health plan.

The eligibility of an Employee, in the capacity of Owner, Partner, or Corporate Officer, will be canceled if such Employee is in non-compliance with the Trust Agreement contribution reporting requirements.

The Administrative Office will provide a notice to the participant that their Employer is in non-compliance with the contribution provisions of the Trust Agreement.

Effective the first of the month, following forty five (45) days after receipt of such notice, the eligibility of the working Employee, as an Owner, Partner, or Corporate Officer, will terminate, and all eligibility reserve bank hours will be canceled.

The Hour Bank may not be utilized for continuing coverage during periods when an employee finds other employment outside of the Plan and declines coverage available due to that employment in order to receive increased wages for that employment.

In addition to any other consequences set forth above, an Employee who has engaged in Non-Covered Electrical Employment as that term is defined under the terms of the Southern California IBEW-NECA Pension Plan at any time after attaining initial eligibility under this Active Plan, shall not be entitled to further coverage under this Plan or any coverage under the Southern California IBEW-NECA Retiree Health Plan.  In such event, an Employee who has engaged in Non-Covered Electrical Employment and his or her dependents shall lose eligibility under this Active Plan as of the first day of the calendar month following the month in which the Employee first engaged in Non-Covered Electrical Employment.  An Employee and his or her dependents losing eligibility pursuant to this Section shall be offered non-subsidized COBRA coverage and conversion rights, if any, to the extent permitted by applicable law.

However, an Employee whose eligibility for coverage under this Plan was terminated as a result of that Employee having engaged in Non-Covered Electrical Employment shall be permitted to reinstate eligibility for coverage under this Plan if an Employee returns to Covered Employment in accordance with the General Eligibility requirements and provisions of this Plan.

In addition, an Employee whose eligibility for coverage under the Retiree Health Plan was terminated as a result of that Employee having engaged in Non-Covered Electrical Employment shall be able to reinstate his or her eligibility for coverage under the Retiree Health Plan if the Employee returns to Covered Employment and earns five (5) years of Credited Service under the Southern California IBEW-NECA Pension Plan.  If the Participant returns to Covered Employment after having engaged in Non-Covered Electrical Employment and earns five (5) years of Credited Service under the Southern California IBEW-NECA Pension Plan but subsequently works in Non-Covered Electrical Employment, the Employee shall permanently forfeit any future eligibility for coverage under the Retiree Health Plan.  Nothing in this Section is entitled to amend or modify the general Eligibility Requirements for coverage under the Southern Californian IBEW-NECA Retiree Health Plan as set forth the in Paragraphs 1-4 under the Section of the Retiree Health Plan entitled "Eligible Retirees".