80 FR 16703 - Submission of Information Collections for OMB Review; Comment Request; Reportable Events; Notice of Failure To Make Required Contributions

PENSION BENEFIT GUARANTY CORPORATION

Federal Register Volume 80, Issue 60 (March 30, 2015)

The Pension Benefit Guaranty Corporation (PBGC) is requesting that the Office of Management and Budget (OMB) extend approval (with modifications), under the Paperwork Reduction Act, of two collections of information under PBGC's regulation on Reportable Events and Certain Other Notification Requirements (OMB control numbers 1212-0013 and 1212-0041, expiring March 31, 2015). This notice informs the public of PBGC's request and solicits public comment on the revised collections of information.

[Federal Register Volume 80, Number 60 (Monday, March 30, 2015)]
[Notices]
[Pages 16703-16705]
From the Federal Register Online  [www.thefederalregister.org]
[FR Doc No: 2015-07271]


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PENSION BENEFIT GUARANTY CORPORATION


Submission of Information Collections for OMB Review; Comment 
Request; Reportable Events; Notice of Failure To Make Required 
Contributions

AGENCY: Pension Benefit Guaranty Corporation.

ACTION: Notice of request for OMB approval of revised collections of 
information.

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SUMMARY: The Pension Benefit Guaranty Corporation (PBGC) is requesting 
that the Office of Management and Budget (OMB) extend approval (with 
modifications), under the Paperwork Reduction Act, of two collections 
of information under PBGC's regulation on Reportable Events and Certain 
Other Notification Requirements (OMB control numbers 1212-0013 and 
1212-0041, expiring March 31, 2015). This notice informs the public of 
PBGC's request and solicits public comment on the revised collections 
of information.

DATES: Comments must be submitted by April 29, 2015.

ADDRESSES: Comments may be submitted by any of the following methods:
     Federal eRulemaking Portal: http://www.regulations.gov. 
Follow the Web site instructions for submitting comments.
     Email: [email protected].
     Fax: 202-326-4224.

[[Page 16704]]

     Mail or Hand Delivery: Office of the General Counsel, 
Pension Benefit Guaranty Corporation, 1200 K Street NW., Washington, DC 
20005-4026.

Comments received, including personal information provided, will be 
posted to www.pbgc.gov.
    Copies of the collections of information and comments may be 
obtained without charge by writing to Disclosure Division, Office of 
the General Counsel, Pension Benefit Guaranty Corporation, 1200 K 
Street NW., Washington, DC 20005-4026; visiting the Disclosure 
Division; faxing a request to 202-326-4042; or calling 202-326-4040 
during normal business hours. (TTY/TDD users may call the Federal relay 
service toll-free at 1-800-877-8339 and ask to be connected to 202-326-
4040.) The reportable events regulation, forms, and instructions are 
available at www.pbgc.gov.

FOR FURTHER INFORMATION CONTACT: Daniel S. Liebman, Attorney 
([email protected]), Office of the General Counsel, Pension 
Benefit Guaranty Corporation, 1200 K Street NW., Washington, DC 20005-
4026; 202-326-4024. (TTY/TDD users may call the Federal relay service 
toll-free at 1-800-877-8339 and ask to be connected to 202-326-4024.)

SUPPLEMENTARY INFORMATION: Section 4043 of the Employee Retirement 
Income Security Act of 1974 (ERISA) requires plan administrators and 
plan sponsors to report certain plan and employer events to PBGC. The 
reporting requirements give PBGC notice of events that indicate plan or 
employer financial problems. PBGC uses the information provided in 
determining what, if any, action it needs to take. For example, PBGC 
might need to institute proceedings to terminate a plan (placing it in 
trusteeship) under section 4042 of ERISA to ensure the continued 
payment of benefits to plan participants and their beneficiaries or to 
prevent unreasonable increases in PBGC's losses.
    Section 303(k) of ERISA and section 430(k) of the Internal Revenue 
Code of 1986 (Code) impose a lien in favor of an underfunded single-
employer plan that is covered by the termination insurance program 
under title IV of ERISA if (1) any person fails to make a contribution 
payment when due, and (2) the unpaid balance of that payment (including 
interest), when added to the aggregate unpaid balance of all preceding 
payments for which payment was not made when due (including interest), 
exceeds $1 million. (For this purpose, a plan is underfunded if its 
funding target attainment percentage is less than 100 percent.) The 
lien is upon all property and rights to property belonging to the 
person or persons that are liable for required contributions (i.e., a 
contributing sponsor and each member of the controlled group of which 
that contributing sponsor is a member).
    Only PBGC (or, at its direction, the plan's contributing sponsor or 
a member of the same controlled group) may perfect and enforce this 
lien. ERISA and the Code require persons committing payment failures to 
notify PBGC within 10 days of the due date whenever there is a failure 
to make a required payment and the total of the unpaid balances 
(including interest) exceeds $1 million.
    The provisions of section 4043 of ERISA and of sections 303(k) of 
ERISA and 430(k) of the Code have been implemented in PBGC's regulation 
on Reportable Events and Certain Other Notification Requirements (29 
CFR part 4043). Subparts B and C of the regulation deal with reportable 
events, and subpart D deals with failures to make required 
contributions.
    PBGC has issued Forms 10 and 10-Advance (10-A) and related 
instructions under subparts B and C (approved under OMB control number 
1212-0013) \1\ and Form 200 and related instructions under subpart D 
(approved under OMB control number 1212-0041). OMB approval of both of 
these collections of information expires March 31, 2015. PBGC is 
requesting that OMB extend its approval for three years, with 
modifications. An agency may not conduct or sponsor, and a person is 
not required to respond to, a collection of information unless it 
displays a currently valid OMB control number.
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    \1\ Forms 10 and 10-A are optional and may provide for reduced 
initial information submissions.
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    On April 3, 2013 (at 78 FR 20039), PBGC published a proposed rule 
that would revise its reportable events regulation. The 2013 proposal 
substituted a new system of waivers (safe harbors) to more effectively 
target troubled plans and reduce burden where possible without 
depriving PBGC of the information it needs to protect the pension 
insurance system. PBGC received 13 comment letters on the 2013 
proposal. PBGC also held its first-ever regulatory public hearing, at 
which eight of the commenters discussed their comments. PBGC is 
developing a final rule, taking into account the comments and 
discussion at the public hearing. Because OMB approval of the current 
information collection will expire before the final rule is published, 
it is necessary for PBGC to request that OMB extend its approval.
    On January 23, 2015 (at 80 FR 3664), PBGC notified the public that 
it intended to submit revised forms and instructions to OMB for review. 
PBGC received no comments on the notice.
    PBGC intends to revise the current forms and instructions to:
     Require that additional supporting and identifying 
information be provided (e.g., separating filer's name from title, 
filer's email address, event date, notice due date, filing date, and 
why a filing is late, if applicable).
     Require more description of the pertinent facts relating 
to an event (e.g., reason for a late contribution) and on information 
being included or missing with filing.
     Add an information requirement included in the regulation 
to Forms 10 and 10-A (for change in contributing sponsor or controlled 
group event).
     Provide enhanced instructions on the type of actuarial 
information required to be submitted.
     Include a note in the Form 10-A instructions stating that 
PBGC typically asks for additional information (which will be 
specified) to be submitted within seven days (or sooner, in some 
cases).
     Remove information requirements that PBGC no longer needs 
or can gather from public sources.
     Require additional information for certain events (e.g., 
cumulative amounts missed for missed contribution events, actuarial 
information for liquidation events, additional loan documentation such 
as waivers and cross-defaults for loan default events).
     Require a signature and certification on Form 10 and Form 
10-A as to the completeness and accuracy of the contents of the filing.

PBGC is also intending to make conforming, clarifying, formatting, and 
editorial changes.
    PBGC estimates that it will receive 868 reportable event notices 
per year under subparts B and C of the reportable events regulation 
using Forms 10 and 10-A and that the average annual burden of this 
collection of information is 4,500 hours and approximately $214,470. 
PBGC estimates that it will receive 165 notices of failure to make 
required contributions per year under subpart D of the reportable 
events regulation using Form 200 and that the average annual burden of 
this collection of information is 990 hours and approximately $40,755.
    PBGC is soliciting public comments to--
     evaluate whether the proposed collections of information 
are necessary for the proper performance of the functions of the 
agency, including

[[Page 16705]]

whether the information will have practical utility;
     evaluate the accuracy of the agency's estimate of the 
burden of the proposed collections of information, including the 
validity of the methodologies and assumptions used;
     enhance the quality, utility, and clarity of the 
information to be collected; and
     minimize the burden of the collections of information on 
those who are to respond, including through the use of appropriate 
automated, electronic, mechanical, or other technological collection 
techniques or other forms of information technology, e.g., permitting 
electronic submission of responses.

    Issued in Washington, DC, this 24th day of March, 2015.
Judith Starr,
General Counsel, Pension Benefit Guaranty Corporation.
[FR Doc. 2015-07271 Filed 3-27-15; 8:45 am]
 BILLING CODE 7709-02-P