It is my understanding that 457 plans must have a plan document in place. If there is not a plan document what are the ramifications and is there a correction program such as those for plans operating under ERISA such as a voluntary correction program.

If you mean 457(b), then section 4.10 of Revenue Procedure 2006-27, states

"Availability of correction of § 457 plans. Submissions relating to § 457(b) eligible governmental plans will be accepted by the Service on a provisional basis outside of EPCRS through standards that are similar to EPCRS.”

So what does that mean? I would submit VCP.

If you have a tax-exempt nongovernmental 457(b) sponsor, then I don't see an option under EPCRS.

You didn't say whether there were any other documents, such as employment agreements, election forms, employee communications. Before sending anything in to the IRS I'd want to see what was there. 457(b) says simply that you have to have "a plan established and maintained by an eligible employer," and the regulations expand on that to say it has to be written and has to contain all of the material terms - it's possible that an election form, summary or letter to the employee would meet the plan document requirements. It depends on the client how far to take this.

Before submitting to VCP check with counsel to see if you can self correct by adopting written plan under last para of 457(b) which prevents loss of tax status by govt plan if inconsistency with provisions of 457b are corrrected within 180 days after notification by sec of treasury of violation. If plan self corrects before it recieves notice by sec of trasury it would still be a 457(b) plan. It doesnt make sense to apply for VCP and pay a penalty when plan can do nothing and self correct the error if audited by IRS.