D.C. Mun. Regs. tit. 6, r. 6-B2606

Current through Register Vol. 71, No. 49, December 6, 2024

Rule 6-B2606 - DISTRICT CONTRIBUTIONS TO THE TRUST

2606.1

The District shall make contributions on no less than a quarterly basis to the Trust in an amount equal to the sum of the amounts calculated in accordance with §§ 2606.2 and 2606.3, which shall be allocated to the active account of each participant subject to the limitations on contributions as established by 26 USC § 415.

2606.2

The District shall contribute to the Trust an amount equal to five percent (5%) of the base salary of each employee participating in the 401(a) Plan, except in the case of detention officers, the District shall contribute no less than five and a half percent (5.5%) of the base salary of each participant.

2606.3

The District shall only make contributions that are consistent with the Act, this chapter, and the 401(a) Plan Document. The District shall not make contributions for any of the following:

(a) Employees who have not attained one (1) year of creditable service;

(b) Any period when the participant performs service in non-covered employment, as defined by § 2603.10;

(c) Any period when a participant is in a non-pay status;

(d) Any period when a participant has been removed or suspended from service without pay, except as provided for in § 2603.7;

(e) Any period when the participant is separated from service in excess of three (3) workdays, except as provided in §§ 2603.7 and 2603.8; and

(f) Any participant whose is not eligible to participate in the 401(a) Plan pursuant to the Act, this chapter, or 401(a) Plan Document.

2606.4

A participant is neither required nor permitted to make payments to the Trust.

2606.5

A participant shall have no right to any contributions or income allocated to his or her active account, until the participant becomes vested in accordance with § 2605.

2606.6

If a participant separates from the District prior to attaining the vesting requirements of §2605, no contributions shall be allocated to his or her active account during the period of separation, and all contributions and income previously allocated to his or her active account shall be transferred to an inactive account during the period of separation.

2606.7

If the former participant is reemployed with the District in accordance with § 2603.7 or § 2603.8, all contributions and income transferred to an inactive account shall be reinstated to the participant and transferred back to an active account.

2606.8

If a participant separates from the District prior to attaining the vesting requirements of § 2605 and is not reemployed in the District in accordance with §§ 2603.7 or 2603.8, then his or her contributions and income that were transferred to an inactive account shall be forfeited.

2606.9

The Trustee shall return to the District contributions that were made to the Trust, and any income thereon, if:

(a) The 401(a) Plan does not qualify under IRC §§ 401(a) and 501(a);

(b) The contributions or income have been allocated to any active or inactive account under a mistake of fact; or

(c) Any funds remain in the Trust after the 401(a) Plan has terminated and all liabilities of the Trust have been satisfied.

2606.10

No contributions to the Trust, nor any income earned thereon, shall be used for or diverted for purposes other than the exclusive benefit of the participants, former participants, and their beneficiaries, prior to the satisfaction of all liabilities to the participants, former participants, and beneficiaries.

D.C. Mun. Regs. tit. 6, r. 6-B2606

Final Rulemaking published at 37 DCR 954 (February 2, 1990); as amended by Final Rulemaking published at 38 DCR 2130 (April 12, 1991); amended by Final Rulemaking published at 67 DCR 004744 (5/1/2020)