EX-10.12.5 SUPPLEMENTAL PARTICIPATION AGREEMENT
Exhibit 10.12.05
AMENDMENT TO
UNIONVILLE WATER COMPANY
MONEY PURCHASE PENSION PLAN
THIS AMENDMENT made this 23rd day of February 2004, by and between THE UNIONVILLE WATER COMPANY, a corporation organized under the laws of the State of Connecticut and having its principal place of business in Unionville, Connecticut (hereinafter called the Employer), for the purpose of amending the Unionville Water Company Money Purchase Plan (the Plan),
W I T N E S S E T H:
WHEREAS, by written Plan instrument dated December 30, 2003, the Employer amended and restated the Plan by the execution of a Nonstandard Safe Harbor Adoption Agreement to the Defined Contribution Basic Plan Document 01; and
WHEREAS, by Adoption Agreement Amendment, also dated December 30, 2003, the Employer amended the Plan for compliance with the Economic Growth and Tax Relief Reconciliation Act of 2001 (EGTRRA); and
WHEREAS, contributions ceased under the Plan effective December 31, 2003, and the Plan has been terminated effective as of such date; and
WHEREAS, the Plan was submitted for Internal Revenue Service approval on January 23, 2004; and
WHEREAS, the Employer wishes to further amend the Plan in the particulars set forth below, in order to comply with the final regulations under Section 401(a)(9) of the Internal Revenue Code of 1986, as amended (the Code);
NOW, THEREFORE, the Plan is amended in the following respects:
1. The following new unnumbered Section is added to the Plan:
Minimum Distribution Requirements.
(a) General Rules.
(1) Effective Date. The provisions of this Section will apply for purposes of determining required minimum distributions for calendar years beginning with the 2003 calendar year.
(2) Precedence. The requirements of this Section will take precedence over any inconsistent provisions of the Plan.
(3) Requirements of Treasury Regulations Incorporated. All distributions required under this Section will be determined and made in accordance with the Treasury regulations under Section 401(a)(9) of the Code.
(4) TEFRA Section 242(b)(2) Elections. Notwithstanding the other provisions of this Section, distributions may be made under a designation made before January 1, 1984, in accordance with Section 242(b)(2) of the Tax Equity and Fiscal Responsibility Act (TEFRA) and the provisions of the Plan that relate to Section 242(b)(2) of TEFRA.
(b) Time and Manner of Distribution.
(1) Required Beginning Date. The Participants entire interest will be distributed, or begin to be distributed, to the Participant no later than the Participants required beginning date.
(2) Death of the Participant Before Distributions Begin. If the Participant dies before distributions begin, the Participants entire interest will be distributed, or begin to be distributed, no later than as follows:
(A) If the Participants surviving spouse is the Participants sole designated beneficiary, then, except as otherwise provided in this Section, distributions to the surviving spouse will begin by December 31 of the calendar year immediately following the calendar year in which the Participant died, or by December 31 of the calendar year in which the Participant would have attained age 70-1/2, if later.
(B) If the Participants surviving spouse is not the Participants sole designated beneficiary, then except as otherwise provided in this Section, distributions to the designated beneficiary will begin by December 31 of the calendar year immediately following the calendar year in which the Participant died.
(C) If there is no designated beneficiary as of September 30 of the year following the year of the Participants death, the Participants entire interest will be distributed by December 31 of the calendar year containing the fifth (5th) anniversary of the Participants death.
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(D) If the Participants surviving spouse is the Participants sole designated beneficiary and the surviving spouse dies after the Participant but before distributions to the surviving spouse begin, this subparagraph (2), other than subparagraph (2)(A), will apply as if the surviving spouse were the Participant.
For purposes of this subparagraph (2) and paragraph (d), unless subparagraph (2)(D) applies, distributions are considered to begin on the Participants required beginning date. If subparagraph (2)(D) applies, distributions are considered to begin on the date distributions are required to begin to the surviving spouse under subparagraph (2)(A). If distributions under an annuity purchased from an insurance company irrevocably commence to the Participant before the Participants required beginning date (or to the Participants surviving spouse before the date distributions are required to begin to the surviving spouse under subparagraph (2)(A)), the date distributions are considered to begin is the date distributions actually commence.
(3) Forms of Distribution. Unless the Participants interest is distributed in the form of an annuity purchased from an insurance company or in a single sum on or before the required beginning date, as of the first distribution calendar year distributions will be made in accordance with paragraphs (c) and (d) of this Section. If the Participants interest is distributed in the form of an annuity purchased from an insurance company, distributions thereunder will be made in accordance with the requirements of Section 401(a)(9) of the Code and the Treasury regulations.
(c) Required Minimum Distributions During Participants Lifetime.
(1) Amount of Required Minimum Distributions For Each Distribution Calendar Year. During the Participants lifetime, the minimum amount that will be distributed for each distribution calendar year is the lesser of:
(A) the quotient obtained by dividing the Participants account balance by the distribution period in the Uniform Lifetime Table set forth in Section 1.401(a)(9)-9 of the Treasury regulations, using the Participants age as of the Participants birthday in the distribution calendar year; or
(B) if the Participants sole designated beneficiary for the distribution calendar year is the Participants spouse, the quotient obtained by dividing the Participants account balance by the number in the Joint and Last Survivor Table set forth in Section 1.401(a)(9)-9 of the Treasury regulations, using the Participants and spouses attained ages as of the Participants and spouses birthdays in the distribution calendar year.
(2) Lifetime. Required Minimum Distributions Continue Through Year of Participants Death. Required minimum distributions will be determined under this paragraph (c) beginning with the first distribution calendar year and up to and including the distribution calendar year that includes the Participants date of death.
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(d) Required Minimum Distributions After Participants Death.
(1) Death On or After Date Distributions Begin.
(A) Participant Survived by Designated Beneficiary. If the Participant dies on or after the date distributions begin and there is a designated beneficiary, the minimum amount that will be distributed for each distribution calendar year after the year of the Participants death is the quotient obtained by dividing the Participants account balance by the longer of the remaining life expectancy of the Participant or the remaining life expectancy of the Participants designated beneficiary, determined as follows:
(i) The Participants remaining life expectancy is calculated using the age of the Participant in the year of death, reduced by one for each subsequent year.
(ii) If the Participants surviving spouse is the Participants sole designated beneficiary, the remaining life expectancy of the surviving spouse is calculated for each distribution calendar year after the year of the Participants death using the surviving spouses age as of the spouses birthday in that year. For distribution calendar years after the year of the surviving spouses death, the remaining life expectancy of the surviving spouse is calculated using the age of the surviving spouse as of the spouses birthday in the calendar year of the spouses death, reduced by one for each subsequent calendar year.
(iii) If the Participants surviving spouse is not the Participants sole designated beneficiary, the designated beneficiarys remaining life expectancy is calculated using the age of the beneficiary in the year following the year of the Participants death, reduced by one for each subsequent year.
(B) No Designated Beneficiary. If the Participant dies on or after the date distributions begin and there is no designated beneficiary as of September 30 of the year after the year of the Participants death, the minimum amount that will be distributed for each distribution calendar year after the year of the Participants death is the quotient obtained by dividing the Participants account balance by the Participants remaining life expectancy calculated using the age of the Participant in the year of death, reduced by one for each subsequent year.
(2) Death Before Date Distributions Begin.
(A) Participant Survived by Designated Beneficiary. Except as otherwise provided in this Section, if the Participant dies before the date distributions begin and there is a designated beneficiary, the minimum amount that will be distributed for each distribution calendar year after the year of the Participants death is the quotient obtained by dividing the Participants account balance by the remaining life expectancy of the Participants designated beneficiary, determined as provided in subparagraph (d)(I).
(B) No Designated Beneficiary. If the Participant dies before the date distributions begin and there is no designated beneficiary as of September 30 of the year following the year of the Participants death, distribution of the Participants entire interest will be completed by December 31 of the calendar year containing the fifth anniversary of the Participants death.
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(C) Death of Surviving Spouse Before Distributions to Surviving Spouse Are Required to Begin. If the Participant dies before the date distributions begin, the Participants surviving spouse is the Participants sole designated beneficiary, and the surviving spouse dies before distributions are required to begin to the surviving spouse under subparagraph (b)(2)(A), this subparagraph (d)(2) will apply as if the surviving spouse were the Participant.
(e) Definitions.
(1) Designated beneficiary. The individual who is designated as the beneficiary under the applicable provisions of the Plan and is the designated beneficiary under Section 401 (a)(9) of the Code and Section 1.401(a)(9)-I, Q&A-4, of the Treasury regulations.
(2) Distribution calendar year. A calendar year for which a minimum distribution is required. For distributions beginning before the Participants death, the first distribution calendar year is the calendar year immediately preceding the calendar year which contains the Participants required beginning date. For distributions beginning after the Participants death, the first distribution calendar year is the calendar year in which distributions are required to begin under subparagraph (b)(2). The required minimum distribution for the Participants first distribution calendar year will be made on or before the Participants required beginning date. The required minimum distribution for other distribution calendar years, including the required minimum distribution for the distribution calendar year in which the Participants required beginning date occurs, will be made on or before December 31 of that distribution calendar year.
(3) Life expectancy. Life expectancy as computed by use of the Single Life Table in Section 1.401(a)(9)-9 of the Treasury regulations.
(4) Participants account balance. The account balance as of the last valuation date in the calendar year immediately preceding the distribution calendar year (valuation calendar year) increased by the amount of any contributions made and allocated or forfeitures allocated to the account balance as of dates in the valuation calendar year after the valuation date and decreased by distributions made in the valuation calendar year after the valuation date. The account balance for the valuation calendar year includes any amounts rolled over or transferred to the Plan either in the valuation calendar year or in the distribution calendar year if distributed or transferred in the valuation calendar year.
(5) Required beginning date. The date specified in the applicable provisions of the Plan relating to required beginning date.
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IN WITNESS THEREOF, the Employer hereby executes this Amendment on the day year first above written.
THE UNIONVILLE WATER COMPANY
/s/ Maureen P. Westbrook
Its Vice President Administration & Government Affairs
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