State Bar of Montana Group Benefits Trust

“A copy of the 990 was provided to the chairman of the board and the executive director before filing. They reviewed the 990 for accuracy and completeness.”

“The organization made its governing documents, conflict of interest policy and financial statements available to the public upon request.”

“On october 29, 2015 the state bar of montana board of trustees voted to accept the recommendation from the group benefit trustees to terminate the trust effective december 31, 2015. Subsequently, written notice was sent to each employer that coverage would end effective december 31, 2015. Accordingly, the trust is in the process of liquidation in order to satisfy or make reasonable provisions for the satisfaction of its obligations and make distributions to the participants of the covered employers of any assets remaining at the end of liquidation. The trust has an obligation to pay claims one year after the incurred date. Therefore, for one year after the termination of coverage, the trust will continue to operate in order to pay such claims. Investments will be liquidated as needed to pay such claims and other expenses that the trust will incur during that time. Once the remaining liabilities are settled, the remaining investments will be liquidated to cash and, will be distributed to the employees covered by the trust as of december 31, 2015. The trust completed its liquidation by the end of 2020.”

“As a result of the board of trustee's and sponsor's board of director's vote to terminate coverage and discontinue operations of the trust, the trust changed its basis of accounting from an ongoing basis to the liquidation basis of accounting effective for the year ending december 31, 2015. The liquidation basis of accounting is required when liquidation is deemed imminent. Under the liquidation basis of accounting, assets are measured and presented at their net realizable values, which is the amount expected to be collected in settling or disposing the assets. Liabilities are stated at their estimated settlement amounts. Estimates for future costs expected to be incurred during the liquidation period, including costs to dispose of assets have been accrued. In addition, any income, including dividends and interest, expected to be earned and collected on investments during the liquidation period has been recorded.”