Annual report pursuant to Section 13 and 15(d)

EMPLOYEE BENEFIT PLANS

v3.19.1
EMPLOYEE BENEFIT PLANS
12 Months Ended
Dec. 31, 2018
EMPLOYEE BENEFIT PLANS  
EMPLOYEE BENEFIT PLANS

NOTE 13—EMPLOYEE BENEFIT PLANS

Defined Contribution Plan: The Company maintains a 401(k) plan covering substantially all of its U.S. employees. Expense for the Company’s 401(k) plan during the years ended December 31, 2018 and 2017 was $0.6 million and $0.7 million, respectively.

Multiemployer Pension Plans:    During 2018, the Company contributed to approximately 55 multiemployer pension plans throughout the U.S. and, historically, it has contributed to over 150 union sponsored multiemployer pension plans throughout the U.S. under the terms of collective‑bargaining agreements that cover the Company’s union‑represented employees. The risks of participating in these multiemployer pension plans are different from single‑ employer pension plans primarily in the following aspects:

1.

Assets contributed to the multiemployer pension plan by one employer may be used to provide benefits to employees of other participating employers.

2.

If a participating employer stops contributing to the multiemployer pension plan, the unfunded obligations of the multiemployer pension plan may be borne by the remaining participating employers.

3.

If the Company chooses to stop participating in some of its multiemployer pension plans, it may be required to pay those plans an amount based on the underfunded status of the multiemployer pension plan, referred to as a withdrawal liability.

The Company’s participation in these multiemployer pension plans during the year ended December 31, 2018 is outlined in the following table. All information in the tables is as of December 31, of the relevant year, or 2018, unless otherwise stated. The “EIN/Pension Plan Number” column provides the Employer Identification Number (“EIN”) and the three‑digit plan number, if applicable. Unless otherwise noted, the most recent Pension Protection Act zone status available during 2018 and 2017 is for the plans’ fiscal year‑end as of 2018 and 2017, respectively. The zone status is based on information that the Company received from the plan and is certified by the plan’s actuary. Among other factors, plans in the green zone are at least 80 percent funded. If a plan is critical and declining, the plan sponsor may file an application with the Secretary of the Treasury requesting a temporary or permanent reduction of benefits to keep the plan from running out of money. If a fund is in critical status, adjustable benefits may be reduced and no lump sum distributions in excess of $5,000 can be made. Plans that are in critical and endangered status are required to adopt a plan aimed at restoring the financial health of the benefit plan. The “Rehab Plan Pending/Implemented” column indicates plans for which a financial improvement plan (“FIP”) or a rehabilitation plan (“RP”) is either pending or has been implemented. The last column lists the expiration date of the collective‑bargaining agreement to which the plans are subject.

Certain plans have been aggregated in the “All Others” line in the following table, as the contributions to each of these individual plans are not material.

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

   

 

   

 

   

 

   

 

   

 

   

 

   

 

   

Expiration

   

 

 

 

 

 

Pension

 

 

 

($ in thousands)

 

 

 

Date of

 

 

 

 

 

 

Protection Act

 

Rehab Plan status

 

Contributions by

 

 

 

Collective

 

 

 

 

EIN/Pension

 

Zone Status

 

Pending/

 

the Company

 

Surcharge

 

Bargaining

 

 

Pension Fund

 

Plan Number

 

2018

 

2017

 

Implemented

 

2018

 

2017

 

Imposed

 

Agreement

 

Notes

Boilermaker-Blacksmith National Pension Trust

 

48-6168020 001

 

Critical

 

Endangered

 

FIP 09/16/2010

 

2,117

 

1,681

 

 

 

Multiple Agreements

 

1, 5

Central Pension Fund of the IUOE and Participating Employers

 

36-6052390 001

 

Green

 

Green

 

 

 

105

 

99

 

 

 

Multiple Agreements

 

5

Central States, Southeast, and Southwest  Pension Fund

 

36-6044243 001

 

Critical & Declining

 

Critical & Declining

 

Rehab Plan 03/25/08

 

65

 

44

 

 

 

Multiple Agreements

 

5

Empire State Carpenters Pension Plan

 

11-1991772 001

 

Green

 

Green

 

 

 

15

 

 3

 

 

 

08/17/17 - Automatic Renewal

 

1

Excavators Union Local 731 Pension Fund

 

13-1809825 001

 

Green

 

Green

 

 

 

385

 

321

 

 

 

04/30/22

 

10

IBEW Local 1579 Pension Plan

 

58-1254974 001

 

Seriously Endangered

 

Green

 

 

 

123

 

326

 

 

 

Varies through 07/31/20

 

2

Insulators Local No. 96 Pension Plan

 

58-6110889 002

 

Endangered

 

Endangered

 

FIP 01/01/11

 

44

 

64

 

 

 

Varies through 07/31/20

 

2

Iron Workers District Council of Tennessee Valley & Vicinity Pension Plan

 

62-6098036 001

 

Green

 

Green

 

 

 

128

 

150

 

 

 

11/30/17 - Automatic Renewal

 

3

IUPAT Industry Pension Plan

 

52-6073909 001

 

Seriously Endangered

 

Endangered

 

FIP 04/02/09

 

2,061

 

1,772

 

 

 

Multiple Agreements

 

5

Laborers National Pension Fund

 

75-1280827 001

 

Critical

 

Green

 

 

 

111

 

285

 

 

 

Multiple Agreements

 

5

National Asbestos Workers Pension Plan

 

52-6038497 001

 

Critical

 

Critical

 

Rehab Plan 09/30/10

 

1,315

 

1,167

 

 

 

Multiple Agreements

 

5

National Electrical Benefits Fund

 

53-0181657 001

 

Green

 

Green

 

 

 

203

 

308

 

 

 

Multiple Agreements

 

5

Northwest Sheet Metal Workers Pension Trust

 

91-6061344 001

 

Green

 

Green

 

 

 

21

 

74

 

 

 

11/01/17 - Automatic Renewal

 

4

Plumbers & Pipefitters National Pension Fund

 

52-6152779 001

 

Endangered

 

Endangered

 

FIP 04/2010

 

244

 

637

 

 

 

Multiple Agreements

 

5

Plumbers & Steamfitters Local No. 150 Pension Fund

 

58-6116699 001

 

Green

 

Green

 

 

 

11

 

122

 

 

 

Varies through 07/31/20

 

2

Plumbers & Steamfitters Local Union No. 43 Pension Fund

 

62-6101288 001

 

Green

 

Green

 

 

 

117

 

6

 

 

 

11/30/17 - Automatic Renewal

 

3

Sheet Metal Workers Local No. 177 Pension Fund

 

62-6093256 001

 

Green

 

Green

 

 

 

62

 

43

 

 

 

11/30/17 - Automatic Renewal

 

3

Sheet Metal Workers' National Pension Fund

 

52-6112463 001

 

Endangered

 

Endangered

 

FIP 03/01/14

 

354

 

400

 

 

 

Multiple Agreements

 

5

Southern Ironworkers Pension  Plan

 

59-6227091 001

 

Green

 

Green

 

 

 

111

 

36

 

 

 

Varies through 07/31/20

 

2

Tri-State Carpenters & Joiners Pension Trust Fund

 

62-0976048 001

 

Endangered

 

Endangered

 

Rehab Plan 2011

 

238

 

228

 

 

 

11/30/17 - Automatic Renewal

 

3

Pipe Trades Services of MN Pension Plan

 

41-6131800 001

 

Green

 

Green

 

 

 

25

 

 4

 

 

 

08/01/17 - Automatic Renewal

 

8

Washington State Plumbing & Pipefitting Industry Pension Plan

 

91-6029141 001

 

Green

 

Green

 

 

 

69

 

187

 

 

 

11/01/17 - Automatic Renewal

 

4

Washington-Idaho Laborers-Employers Pension Trust

 

91-6123988 001

 

Green

 

Green

 

 

 

74

 

177

 

 

 

11/01/17 - Automatic Renewal

 

4

Washington-Idaho-Montana Carpenters-Employers Retirement Fund

 

91-6123987 001

 

Endangered

 

Endangered

 

FIP 03/05/12

 

77

 

316

 

 

 

11/01/17 - Automatic Renewal

 

4

Western States Insulators and Allied Workers Pension

 

51-0155190 001

 

Green

 

Green

 

 

 

24

 

109

 

 

 

11/01/17 - Automatic Renewal

 

4

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

All Others

 

 

 

 

 

 

 

 

 

1,134

 

862

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

9,233

 

9,414

 

 

 

 

 

 


(1)

Defined Benefit Plans for Unions employed through the GPPMA agreement for Fitzpatrick Nuclear Plant. The GPPMA Agreements are annual agreements that automatically renew each year.

(2)

Defined Benefit Plans for Unions employed through the Southern Company Power House Maintenance Agreement. The Southern Company PHMA expires July 31, 2020. The individual Union CBA range from 1 to 3 years in duration.

(3)

Defined Benefit Plans for Unions employed through the TVA PMMA and Other Agreements. The TVA Labor Agreements are annual agreements that automatically renew each year.

(4)

Defined Benefit Plans for Unions employed through the GPPMA agreement for Columbia Generating Station. The GPPMA Agreements are annual agreements that automatically renew each year.

(5)

Regional and National Defined Benefit Funds for multiple unions employed under different labor agreements.

(6)

Defined Benefit Plan for Union employed at Con Ed sites.

(7)

Defined Benefit Plan for Individual working outside of plan jurisdiction.

(8)

The Company did not pay a surcharge for any fund last year that was in Critical Status and had not negotiated a preferred schedule. The Company does pay a surcharge/assessment on some funds under the CBA preferred schedule.

 

Employees covered by multiemployer pension plans are hired for project‑based building and construction purposes. The Company’s participation level in these plans varies as a result.

The Company believes that its responsibility for potential withdrawal liabilities associated with participating in multiemployer plans is limited because the building and construction trades exemption should apply to the substantial majority of the Company’s plan contributions. However, pursuant to the Pension Protection Act of 2006 and other applicable laws, the Company is also exposed to other potential liabilities associated with plans that are underfunded. As of December 31, 2018, the Company had been notified that certain pension plans were in critical funding status. Currently, certain plans are developing, or have developed, a rehabilitation plan that may call for a reduction in participant benefits or an increase in future employer contributions. Therefore, in the future, the Company could be responsible for potential surcharges, excise taxes and/or additional contributions related to these plans. Additionally, market conditions and the number of participating employers remaining in each plan may result in a reorganization, insolvency or mass withdrawal that could materially affect the funded status of multiemployer plans and the Company’s potential withdrawal liability, if applicable. The Company continues to actively monitor, assess and take steps to limit its potential exposure to any surcharges, excise taxes, additional contributions and/or withdrawal liabilities. However, the Company cannot, at this time, estimate the full amount, or even the range, of this potential exposure.