The Rainy Day Plan

Patrick J. Stack
Benevolent Committee Chairman
Local 134 IBEW

The purpose of this plan is to financially aid a 134 Union member in the time of economic distress. With a short term supplement from his or her Credit Union Account, it is proposed that an account be established for each member until a comfortable monetary time frame could be determined ($4000.00 in 4 years at $.50 per hour x 8000 hours).

The account is now in place for the members to help him or her in time of need (and following withdrawal criteria). The following are plan highlights:

• A member can withdraw from his or her account for emergency funds.
• A member can borrow against his or her account using banked capital as collateral.
• Each member is now enrolled as a Local 134 Credit Union member
• As a Local 134 Credit Union member, he or she may take advantage of all the available C.U. benefits, i.e. car loans, equity loans, IRA's etc.
• Excess contributions to one's account can be added to that account and can be withdrawn without affecting the "Rainy Day" minimum figure ($4000)
• Upon retirement the member can use this account any way he or she wishes, i.e. withdraw it all, and convert to IRA's CD etc. All these transactions now can be completed at the L.U. 134 C.U.
• Insurance needs can be arranged through the C.U.
• Accounts are insured through FDIC posed rates of interest are guaranteed.
• This plan stays in the Local 134 family; employers, employees, trustees, Credit Union and Credit Union trustees.

As a recipient if these contributions for each member the Local 134 Credit Union is also a big winner. With the Personal Account achieving $4000.00 per member after 4 years, the Credit Union will have added approximately $10,000,000 to its assets and making more options available to its Local 134 members.

One more very important aspect of this plan is to remember that, as a member of the Local 134 Credit Union, each account is interest bearing, each account and the assets of the L.U. 134 C.U. fall under FDIC guidelines and as such all its funds and accounts are insured, unlike stocks and mutual funds - Putnam included.

Brothers and Sisters, keep in mind that this would be an all - 134 project starting with 134 contributions, through the Electrical Insurance Trustees, and through the Local 134 Credit Union (which has, by the way, Local 134 members as its Board of Directors). This is designed to help a 134 Brother or Sister in distress.

I realize that this plan has to be scrutinized and found acceptable to the current banking and legal guidelines, but with determination and hard work, this idea will be implemented into our wages and benefit package.

Fraternally yours,

Patrick J. Stack
D226007A