POLICY CHANGES

In 2005 the Trustees of the Dakotas Benefit Funds increased the Benefit Payment Bond amount required by participating Employers (effective May 1, 2006) and affirmed time requirements for receipt of Employee benefits by the Consolidated Receiving Fund (effective January 1, 2006).

ALL participating Employers were informed of these Policy changes with several different communiqués. The following is a highlight of the Trusts's Policy:

"Pursuant to the applicable collective bargaining agreements and the Agreements and Declaration of Trust by which the Funds are established, an Employer shall be considered 'delinquent' for a particular month unless its required remittance report and payment for that month are postmarked on or before the 15th day of the following month (the 'due date'), irrespective of whether such delinquency is willful or otherwise.

In addition to the amount of unpaid contributions due from a delinquent Employer pursuant to the collective bargaining agreement, the sum of the following additional amounts shall be due and payable to the plan by each delinquent Employer:

- INTEREST: The unpaid contributions and liquidated damages unpaid by the first day of the month following the month in which they are due shall bear interest at the rate prescribed under section 6621 of the Internal Revenue Code. (Trust Agreement, Section 4.6) – 7% per annum.

- LIQUIDATED DAMAGES: Ten percent (10%) of all delinquent contributions. (Trust Agreement, Section 4.6).

- ATTORNEY FEES AND COSTS: The delinquent Employer shall be required to pay all reasonable attorneys fees and other expenses incurred in the collection of the delinquent contributions. (Trust Agreement, Section 4.6)."

If you have any questions or would like another copy of the full Policy, please contact the Consolidated Receiving Fund at (701) 293-1300.