80 FR 41436 - Benefits Payable in Terminated Single-Employer Plans; Interest Assumptions for Paying Benefits
PENSION BENEFIT GUARANTY CORPORATION Federal Register Volume 80, Issue 135 (July 15, 2015)
Federal Register Volume 80, Issue 135 (July 15, 2015)
| Page Range | 41436-41437 | |
| FR Document | 2015-17376 |
[Federal Register Volume 80, Number 135 (Wednesday, July 15, 2015)] [Rules and Regulations] [Pages 41436-41437] From the Federal Register Online [www.thefederalregister.org] [FR Doc No: 2015-17376] ======================================================================= ----------------------------------------------------------------------- PENSION BENEFIT GUARANTY CORPORATION 29 CFR Part 4022 Benefits Payable in Terminated Single-Employer Plans; Interest Assumptions for Paying Benefits AGENCY: Pension Benefit Guaranty Corporation. ACTION: Final rule. ----------------------------------------------------------------------- SUMMARY: This final rule amends the Pension Benefit Guaranty Corporation's regulation on Benefits Payable in Terminated Single- Employer Plans to prescribe interest assumptions under the regulation for valuation dates in August 2015. The interest assumptions are used for paying benefits under terminating single-employer plans covered by the pension insurance system administered by PBGC. DATES: Effective August 1, 2015. FOR FURTHER INFORMATION CONTACT: Catherine B. Klion ([email protected]), Assistant General Counsel for Regulatory Affairs, Pension Benefit Guaranty Corporation, 1200 K Street NW., Washington, DC 20005, 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: PBGC's regulation on Benefits Payable in Terminated Single-Employer Plans (29 CFR part 4022) prescribes actuarial assumptions--including interest assumptions--for paying plan benefits under terminating single-employer plans covered by title IV of the Employee Retirement Income Security Act of 1974. The interest assumptions in the regulation are also published on PBGC's Web site (http://www.pbgc.gov). PBGC uses the interest assumptions in Appendix B to Part 4022 to determine whether a benefit is payable as a lump sum and to determine the amount to pay. Appendix C to Part 4022 contains interest assumptions for private-sector pension practitioners to refer to if they wish to use lump-sum interest rates determined using PBGC's historical methodology. Currently, the rates in Appendices B and C of the benefit payment regulation are the same. The interest assumptions are intended to reflect current conditions in the financial and annuity markets. Assumptions under the benefit payments regulation are updated monthly. This final rule updates the benefit payments interest assumptions for August 2015.\1\ --------------------------------------------------------------------------- \1\ Appendix B to PBGC's regulation on Allocation of Assets in Single-Employer Plans (29 CFR part 4044) prescribes interest assumptions for valuing benefits under terminating covered single- employer plans for purposes of allocation of assets under ERISA section 4044. Those assumptions are updated quarterly. --------------------------------------------------------------------------- The August 2015 interest assumptions under the benefit payments regulation will be 1.50 percent for the period during which a benefit is in pay status and 4.00 percent during any years preceding the benefit's placement in pay [[Page 41437]] status. In comparison with the interest assumptions in effect for July 2015, these interest assumptions represent an increase of 0.25 percent in the immediate annuity rate and are otherwise unchanged. PBGC has determined that notice and public comment on this amendment are impracticable and contrary to the public interest. This finding is based on the need to determine and issue new interest assumptions promptly so that the assumptions can reflect current market conditions as accurately as possible. Because of the need to provide immediate guidance for the payment of benefits under plans with valuation dates during August 2015, PBGC finds that good cause exists for making the assumptions set forth in this amendment effective less than 30 days after publication. PBGC has determined that this action is not a ``significant regulatory action'' under the criteria set forth in Executive Order 12866. Because no general notice of proposed rulemaking is required for this amendment, the Regulatory Flexibility Act of 1980 does not apply. See 5 U.S.C. 601(2). List of Subjects in 29 CFR Part 4022 Employee benefit plans, Pension insurance, Pensions, Reporting and recordkeeping requirements. In consideration of the foregoing, 29 CFR part 4022 is amended as follows: PART 4022--BENEFITS PAYABLE IN TERMINATED SINGLE-EMPLOYER PLANS 0 1. The authority citation for part 4022 continues to read as follows: Authority: 29 U.S.C. 1302, 1322, 1322b, 1341(c)(3)(D), and 1344. 0 2. In appendix B to part 4022, Rate Set 262, as set forth below, is added to the table. Appendix B to Part 4022--Lump Sum Interest Rates for PBGC Payments * * * * * -------------------------------------------------------------------------------------------------------------------------------------------------------- For plans with a valuation date Immediate Deferred annuities (percent) Rate set ---------------------------------- annuity rate ------------------------------------------------------------------------------------ On or after Before (percent) i1 i2 i3 n1 n2 -------------------------------------------------------------------------------------------------------------------------------------------------------- * * * * * * * 262 8-1-15 9-1-15 1.50 4.00 4.00 4.00 7 8 -------------------------------------------------------------------------------------------------------------------------------------------------------- 0 3. In appendix C to part 4022, Rate Set 262, as set forth below, is added to the table. Appendix C to Part 4022--Lump Sum Interest Rates for Private-Sector Payments * * * * * -------------------------------------------------------------------------------------------------------------------------------------------------------- For plans with a valuation date Immediate Deferred annuities (percent) Rate set ---------------------------------- annuity rate ------------------------------------------------------------------------------------ On or after Before (percent) i1 i2 i3 n1 n2 -------------------------------------------------------------------------------------------------------------------------------------------------------- * * * * * * * 262 8-1-15 9-1-15 1.50 4.00 4.00 4.00 7 8 -------------------------------------------------------------------------------------------------------------------------------------------------------- Issued in Washington, DC, on this 7th day of July 2015. Judith Starr, General Counsel, Pension Benefit Guaranty Corporation. [FR Doc. 2015-17376 Filed 7-14-15; 8:45 am] BILLING CODE 7709-02-P
![41436 Federal Register / Vol. 80, No. 135 / Wednesday, July 15, 2015 / Rules and Regulations
Dated: July 8, 2015. Consequently, through this document, ACTION: Final rule.
Brent J. Fields, we are amending § 161.170 by removing
paragraph (a)(5)(ii)(b) entirely and SUMMARY: This final rule amends the
Secretary.
redesignating paragraph (a)(5)(ii)(a) as Pension Benefit Guaranty Corporation’s
[FR Doc. 2015–17179 Filed 7–14–15; 8:45 am]
paragraph (a)(5)(ii). regulation on Benefits Payable in
BILLING CODE 8011–01–P Terminated Single-Employer Plans to
Publication of this document
constitutes final action of these changes prescribe interest assumptions under
under the Administrative Procedure Act the regulation for valuation dates in
DEPARTMENT OF HEALTH AND (5 U.S.C. 553). These amendments August 2015. The interest assumptions
HUMAN SERVICES eliminate an obsolete reference to a rule are used for paying benefits under
that we revoked in 1996. FDA, therefore, terminating single-employer plans
Food and Drug Administration covered by the pension insurance
for good cause, finds under 5 U.S.C.
system administered by PBGC.
21 CFR Part 161 553(b)(3)(B) and (d)(3) that notice and
public comment are unnecessary. DATES: Effective August 1, 2015.
[Docket No. FDA–2015–N–0011] FDA has determined, under 21 CFR FOR FURTHER INFORMATION CONTACT:
25.30(i), that this final rule is of a type Catherine B. Klion (Klion.Catherine@
Canned Pacific Salmon; Technical that does not individually or pbgc.gov), Assistant General Counsel for
Amendment cumulatively have a significant effect on Regulatory Affairs, Pension Benefit
the human environment. Therefore, Guaranty Corporation, 1200 K Street
AGENCY: Food and Drug Administration, NW., Washington, DC 20005, 202–326–
neither an environmental assessment
HHS. 4024. (TTY/TDD users may call the
nor an environmental impact statement
Final rule; technical
ACTION: is required. Federal relay service toll-free at 1–800–
amendment. In addition, FDA has determined that 877–8339 and ask to be connected to
this final rule contains no new 202–326–4024.)
SUMMARY: The Food and Drug SUPPLEMENTARY INFORMATION: PBGC’s
Administration (FDA or we) is collections of information. Therefore,
clearance by the Office of Management regulation on Benefits Payable in
amending a regulation pertaining to Terminated Single-Employer Plans (29
canned Pacific salmon. The amendment and Budget under the Paperwork
Reduction Act of 1995 is not required. CFR part 4022) prescribes actuarial
removes a paragraph that contains an assumptions—including interest
obsolete cross-reference. List of Subjects in 21 CFR Part 161 assumptions—for paying plan benefits
DATES: This rule is effective July 15, Food grades and standards, Frozen under terminating single-employer
2015. foods, Seafood. plans covered by title IV of the
FOR FURTHER INFORMATION CONTACT: Therefore, under the Federal Food, Employee Retirement Income Security
Loretta Carey, Center for Food Safety Drug, and Cosmetic Act and under Act of 1974. The interest assumptions in
and Applied Nutrition (HFS–820), Food authority delegated to the Commissioner the regulation are also published on
and Drug Administration, 5100 Paint of Food and Drugs, 21 CFR part 161 is PBGC’s Web site (http://www.pbgc.gov).
Branch Pkwy., College Park, MD 20740– PBGC uses the interest assumptions in
amended as follows:
3835, 240–402–2371. Appendix B to Part 4022 to determine
PART 161—FISH AND SHELLFISH whether a benefit is payable as a lump
SUPPLEMENTARY INFORMATION: Our
sum and to determine the amount to
regulations at 21 CFR part 161 (‘‘Fish pay. Appendix C to Part 4022 contains
■ 1. The authority citation for 21 CFR
and Shellfish’’) establish requirements interest assumptions for private-sector
part 161 continues to read as follows:
for specific standardized fish and pension practitioners to refer to if they
shellfish. One provision, at § 161.170, Authority: 21 U.S.C. 321, 341, 343, 348,
371, 379e. wish to use lump-sum interest rates
pertains to canned Pacific salmon, and determined using PBGC’s historical
§ 161.170(a)(5)(ii)(b) states that when § 161.170 [Amended] methodology. Currently, the rates in
the form of the pack and the words Appendices B and C of the benefit
describing the pack are declared on the ■ 2. Amend § 161.170 by removing
paragraph (a)(5)(ii)(b) and redesignating payment regulation are the same.
label, the label must ‘‘bear the The interest assumptions are intended
statements required by § 105.69 of this paragraph (a)(5)(ii)(a) as paragraph
(a)(5)(ii). to reflect current conditions in the
chapter.’’ (The regulation, at financial and annuity markets.
§ 161.170(a)(3), describes various ‘‘forms Dated: July 9, 2015. Assumptions under the benefit
of pack;’’ one form of pack, for example, Leslie Kux, payments regulation are updated
is named ‘‘regular’’ and is described as Associate Commissioner for Policy. monthly. This final rule updates the
where the sections or steaks are cut [FR Doc. 2015–17249 Filed 7–14–15; 8:45 am] benefit payments interest assumptions
transversely from the fish and filled BILLING CODE 4164–01–P for August 2015.1
vertically into the can.) The August 2015 interest assumptions
Section 105.69 was entitled ‘‘Foods under the benefit payments regulation
used to regulate sodium intake.’’ In the will be 1.50 percent for the period
Federal Register of June 3, 1996 (61 FR PENSION BENEFIT GUARANTY during which a benefit is in pay status
27771), we revoked § 105.69 as part of CORPORATION and 4.00 percent during any years
a ‘‘Reinventing Government’’ initiative, preceding the benefit’s placement in pay
mstockstill on DSK4VPTVN1PROD with RULES
and the revocation became effective on 29 CFR Part 4022
July 3, 1996 (see 61 FR 43963; August Benefits Payable in Terminated Single- 1 Appendix B to PBGC’s regulation on Allocation
27, 1996) (confirming the effective date Employer Plans; Interest Assumptions of Assets in Single-Employer Plans (29 CFR part
for the revocation of various food 4044) prescribes interest assumptions for valuing
for Paying Benefits benefits under terminating covered single-employer
regulations)). However, the revocation plans for purposes of allocation of assets under
inadvertently omitted a corresponding AGENCY: Pension Benefit Guaranty ERISA section 4044. Those assumptions are
change to § 161.170(a)(5)(ii)(b). Corporation. updated quarterly.
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![Federal Register / Vol. 80, No. 135 / Wednesday, July 15, 2015 / Rules and Regulations 41437
status. In comparison with the interest dates during August 2015, PBGC finds In consideration of the foregoing, 29
assumptions in effect for July 2015, that good cause exists for making the CFR part 4022 is amended as follows:
these interest assumptions represent an assumptions set forth in this
increase of 0.25 percent in the amendment effective less than 30 days PART 4022—BENEFITS PAYABLE IN
immediate annuity rate and are after publication. TERMINATED SINGLE-EMPLOYER
otherwise unchanged. PBGC has determined that this action PLANS
PBGC has determined that notice and is not a ‘‘significant regulatory action’’
public comment on this amendment are under the criteria set forth in Executive ■ 1. The authority citation for part 4022
impracticable and contrary to the public Order 12866. continues to read as follows:
Because no general notice of proposed
interest. This finding is based on the Authority: 29 U.S.C. 1302, 1322, 1322b,
rulemaking is required for this 1341(c)(3)(D), and 1344.
need to determine and issue new
amendment, the Regulatory Flexibility
interest assumptions promptly so that ■ 2. In appendix B to part 4022, Rate Set
Act of 1980 does not apply. See 5 U.S.C.
the assumptions can reflect current 262, as set forth below, is added to the
601(2).
market conditions as accurately as table.
possible. List of Subjects in 29 CFR Part 4022
Because of the need to provide Employee benefit plans, Pension Appendix B to Part 4022—Lump Sum
immediate guidance for the payment of insurance, Pensions, Reporting and Interest Rates for PBGC Payments
benefits under plans with valuation recordkeeping requirements. * * * * *
For plans with a valuation Deferred annuities
Immediate
date (percent)
Rate set annuity rate
(percent)
On or after Before i1 i2 i3 n1 n2
* * * * * * *
262 8–1–15 9–1–15 1.50 4.00 4.00 4.00 7 8
■ 3. In appendix C to part 4022, Rate Set Appendix C to Part 4022—Lump Sum
262, as set forth below, is added to the Interest Rates for Private-Sector
table. Payments
* * * * *
For plans with a valuation Deferred annuities
Immediate
date (percent)
Rate set annuity rate
(percent)
On or after Before i1 i2 i3 n1 n2
* * * * * * *
262 8–1–15 9–1–15 1.50 4.00 4.00 4.00 7 8
Issued in Washington, DC, on this 7th day SUMMARY: The Board updates for 2015 1% across-the-board increase to salary
of July 2015. the fees that the public must pay to file costs; no change in publication cost
Judith Starr, certain cases and pleadings with the levels; increases to two of the three
General Counsel, Pension Benefit Guaranty Board. The update will increase 11 fees Board Overhead cost factors; and a
Corporation. by $50 or less, increase 34 fees by $100, modest decrease to the third Board
[FR Doc. 2015–17376 Filed 7–14–15; 8:45 am] increase 22 fees by more than $100, and Overhead cost factor from its
BILLING CODE 7709–02–P keep the remaining 58 fees at their comparable 2014 level, resulting from
existing level. the mechanical application of the
DATES: These rules are effective August update formula in 49 CFR 1002.3(d).
14, 2015. Results from the formula application
DEPARTMENT OF TRANSPORTATION indicate that justified fee amounts in
FOR FURTHER INFORMATION CONTACT: this 2015 update decision either remain
Surface Transportation Board David T. Groves, (202) 245–0327, or unchanged (58 fee items), increase $50
Andrea Pope-Matheson (202) 245–0363. or less (11 fee items), increase by $100
49 CFR Part 1002 [TDD for the hearing impaired: 1–800– (34 fee items) or increase over $100 (22
877–8339.] fee items) from their respective 2014
[Docket No. EP 542 (Sub-No. 23)] SUPPLEMENTARY INFORMATION: The update levels. No new fee items are
Board’s regulations at 49 CFR 1002.3 proposed in this proceeding. Therefore,
mstockstill on DSK4VPTVN1PROD with RULES
Regulations Governing Fees for provide for an annual update of the the Board finds that notice and
Services Performed in Connection Board’s entire user-fee schedule. Fees comment are unnecessary for this
With Licensing and Related Services— are generally revised based on the cost proceeding. See Regulations Governing
2015 Update study formula set forth at 49 CFR Fees for Servs.—1990 Update, 7 I.C.C.2d
AGENCY: Surface Transportation Board. 1002.3(d). As compared with the 2014 3 (1990); Regulations Governing Fees for
fee update, the 2015 fee changes Servs.—1991 Update, 8 I.C.C.2d 13
ACTION: Final rules.
adopted here reflect a combination of a (1991); Regulations Governing Fees for
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Document Created: 2015-12-15 13:32:40
Document Modified: 2015-12-15 13:32:40
| Category | Regulatory Information | |
| Collection | Federal Register | |
| sudoc Class | AE 2.7: GS 4.107: AE 2.106: | |
| Publisher | Office of the Federal Register, National Archives and Records Administration | |
| Section | Rules and Regulations | |
| Action | Final rule. | |
| Dates | Effective August 1, 2015. | |
| Contact | Catherine B. Klion ([email protected]), Assistant General Counsel for Regulatory Affairs, Pension Benefit Guaranty Corporation, 1200 K Street NW., Washington, DC 20005, 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.) | |
| FR Citation | 80 FR 41436 | |
| CFR Associated | Employee Benefit Plans; Pension Insurance; Pensions and Reporting and Recordkeeping Requirements |
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