El Dorado County- Tax Deductions for DCA During Covid-19

Hi Mikaela, the broker is inquiring about the following below to see if we're providing any amended documentation to the DCS/FSA plan docs to accommodate employees due to Covid circumstances. According to the broker, new legislation should allow a change to the deductions for all participants. Are we providing amended plan docs to address this? See history below:

Initial inquiry from EDC to broker- 

Before I respond to this employee, can you tell me if there has been any legal changes that allow for a mid plan year DCRA change? The particular employee wants to stop the election because she can't find chilcare due to COVID-19 circumstances. 

Response from broker to EDC-

Can employees choose to change their Dependent Care FSA election during a furlough?

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1. Yes, the election change rules around DCAPs are relatively flexible, and can generally accommodate changes that are necessary to reflect changes in the care of the child (for example, a family member agreeing to watch the child for free because a child-care facility is closed). The plan document must allow this change, but almost all of them permit this change. Yes, the member can change the pre-tax deductions based on the scenario below