401(k) Plan Lawsuit Settlement Distribution

As communicated previously, NRECA recently settled a lawsuit associated with administering the NRECA 401(k) Pension Plan.

A fund was established as a result of the settlement, the proceeds of which are to be allocated to individuals classified as eligible current and former participants and beneficiaries who had assets in their 401(k) account between July 25, 2013 and July 31, 2020. 

The amount of individual allocations from the settlement fund, as determined by the independent settlement administrator, will vary based on factors such as an individual’s 401(k) account balance and length of time they had account assets during the timeframe established by the settlement.

Settlement fund distributions
Former Account Holders: During the week of May 3, the court-appointed settlement administrator will send a letter and a check to eligible individuals who no longer have 401(k) accounts with NRECA.  

Current Account Holders: Eligible individuals who currently have a 401(k) account with NRECA will receive a letter explaining the settlement during the week of May 17. Funds from the settlement will be transferred directly to their 401(k) account prior to the end of May. Settlement proceeds will appear on the June 30, 2021 participant 401(k) account statements and on the NRECA Employee Benefits website as earnings.

Questions
If any of your co-op’s current or former employees have questions about the settlement or how their specific amount was calculated, they should continue to be directed to the settlement administrator at 833.962.1868, info@nreca401kfeesettlement.com or nreca401kfeesettlement.com.