Overlap between Auto election period and a Blackout period

There is an upcoming conversion to another 401(k) plan provider/trustee

There are quarterly auto-enrollments into the plan. A notice will go out shortly advising of the January 1st entry into the plan. This notice will be sent by the current plan provider.

Because of the ACA provision, participants must have 30 days to make an election or they will be defaulted in at 3%.

The switch to the new plan provider will occur on December 20th.

There will be a blackout period beginning December 15th, ending January 15th  

There has been a sudden realization that the enrollment window has now shortened from December 1st to December 14th. Participants will not have 30 days to make an election.

Question: Any (!!) guidance will be appreciated. For example, would it be prudent to amend the plan to provide for a one-time extension of enrollment into the plan until after January 15st.

1 hour ago, Sidney said:

There is an upcoming conversion to another 401(k) plan provider/trustee

There are quarterly auto-enrollments into the plan. A notice will go out shortly advising of the January 1st entry into the plan. This notice will be sent by the current plan provider.

Because of the ACA provision, participants must have 30 days to make an election or they will be defaulted in at 3%.

The switch to the new plan provider will occur on December 20th.

There will be a blackout period beginning December 15th, ending January 15th  

There has been a sudden realization that the enrollment window has now shortened from December 1st to December 14th. Participants will not have 30 days to make an election.

Question: Any (!!) guidance will be appreciated. For example, would it be prudent to amend the plan to provide for a one-time extension of enrollment into the plan until after January 15st.

I probably shouldn't answer this since I don't do any auto enrollments, but I think you still have a 30 day election period, it's just that there is ALSO a blackout for moving money in the same period.  They can still make an election on Dec 20, it just won't go into effect until the blackout is lifted.  Does anyone think I have that right?

We recently worked with a 401(k) plan provider to draft a special enrollment amendment designed to suspend/extend auto-enroll during the transition to a new recordkeeper. The amendment basically provides that unless the employee timely opts out or elects an alternative contribution percentage/investment election, auto-enrollment should occur as soon as administratively practicable following the 30-day period after the individual receives the auto-enroll notice (once the plan goes live). 

If anyone does end up entering the plan late, you can self-correct under EPCRS as long as you enroll the employee within 90 days of when he or she should have been enrolled. But obviously the goal of the special enrollment amendment would be to eliminate the need for any self-correction.