80 FR 70170 - Benefits Payable in Terminated Single-Employer Plans; Interest Assumptions for Paying Benefits
PENSION BENEFIT GUARANTY CORPORATION Federal Register Volume 80, Issue 219 (November 13, 2015)
Federal Register Volume 80, Issue 219 (November 13, 2015)
| Page Range | 70170-70171 | |
| FR Document | 2015-28763 |
[Federal Register Volume 80, Number 219 (Friday, November 13, 2015)] [Rules and Regulations] [Pages 70170-70171] From the Federal Register Online [www.thefederalregister.org] [FR Doc No: 2015-28763] ======================================================================= ----------------------------------------------------------------------- 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 December 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 December 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 [[Page 70171]] benefit payments interest assumptions for December 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 December 2015 interest assumptions under the benefit payments regulation will be 1.25 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 status. In comparison with the interest assumptions in effect for November 2015, these interest assumptions are 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 December 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 266, 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 Deferred annuities (percent) date Immediate --------------------------------------------------------------------- Rate set ---------------------------- annuity rate On or after Before (percent) i1 i2 i3 n1 n2 -------------------------------------------------------------------------------------------------------------------------------------------------------- * * * * * * * 266..................................... 12-1-15 1-1-16 1.25 4.00 4.00 4.00 7 8 -------------------------------------------------------------------------------------------------------------------------------------------------------- 0 3. In appendix C to part 4022, Rate Set 266, 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 Deferred annuities (percent) date Immediate --------------------------------------------------------------------- Rate set ---------------------------- annuity rate On or after Before (percent) i1 i2 i3 n1 n2 -------------------------------------------------------------------------------------------------------------------------------------------------------- * * * * * * * 266..................................... 12-1-15 1-1-16 1.25 4.00 4.00 4.00 7 8 -------------------------------------------------------------------------------------------------------------------------------------------------------- Issued in Washington, DC, on this 6th day of November 2015. Judith Starr, General Counsel, Pension Benefit Guaranty Corporation. [FR Doc. 2015-28763 Filed 11-12-15; 8:45 am] BILLING CODE 7709-02-P
![70170 Federal Register / Vol. 80, No. 219 / Friday, November 13, 2015 / Rules and Regulations
which we bind ourselves, our heirs, Authority: 15 U.S.C. 1124, 1125, 1127; 17 PENSION BENEFIT GUARANTY
executors, administrators, successors, and U.S.C. 101, 601, 602, 603; 19 U.S.C. 66, 1202, CORPORATION
assigns, jointly and severally, by these 1499, 1526, 1624; 31 U.S.C. 9701;
conditions. 29 CFR Part 4022
WITNESS our hands and seals this __day * * * * *
of ll, 20__. WHEREAS, the principal Sections 133.21 through 133.25 also issued
under 18 U.S.C. 1905; Sec. 818(g), Pub. L.
Benefits Payable in Terminated Single-
(including the principal’s employees, agents,
and contractors) desires access to airport 112–81. Employer Plans; Interest Assumptions
customs security areas; for Paying Benefits
* * * * *
Now, Therefore, the Condition of this
Obligation is Such That— ■ 58. In § 133.25, paragraph (c) is AGENCY: Pension Benefit Guaranty
The principal agrees to comply with the revised to read as follows: Corporation.
CBP regulations applicable to customs
ACTION: Final rule.
security areas at airports. If the principal § 133.25 Procedure on detention of articles
defaults on the condition of this obligation, subject to restriction.
the principal and surety, jointly and SUMMARY: This final rule amends the
severally, agree to pay liquidated damages of * * * * * Pension Benefit Guaranty Corporation’s
$1,000 for each default; or such other amount (c) Disclosure to the trademark or regulation on Benefits Payable in
as may be authorized by law or regulation. trade name owner. At any time Terminated Single-Employer Plans to
This bond is effective ___, 20ll, and following presentation of the prescribe interest assumptions under
remains in force for one year beginning with the regulation for valuation dates in
the effective date and for each succeeding merchandise for CBP’s examination, but
prior to seizure, CBP may release a December 2015. The interest
annual period, or until terminated. This bond
sample of the suspect merchandise to assumptions are used for paying
constitutes a separate bond for each annual
period in the amount listed above for the owner of the trademark or trade benefits under terminating single-
liabilities that accrue in each annual period. name for examination or testing to assist employer plans covered by the pension
Signed, Sealed, and Delivered in the insurance system administered by
in determining whether the article
Presence of — PBGC.
imported bears an infringing trademark
or trade name. To obtain a sample under DATES: Effective December 1, 2015.
Name this paragraph, the owner of the mark
FOR FURTHER INFORMATION CONTACT:
Address must furnish to CBP a bond in the form
Catherine B. Klion (Klion.Catherine@
and amount specified by CBP, pbgc.gov), Assistant General Counsel for
conditioned to indemnify the importer Regulatory Affairs, Pension Benefit
Name or owner of the imported article against Guaranty Corporation, 1200 K Street
Address any loss or damage resulting from the NW., Washington, DC 20005, 202–326–
Principal (SEAL) furnishing of the sample by CBP to the 4024. (TTY/TDD users may call the
owner of the mark. CBP may demand Federal relay service toll-free at 1–800–
the return of the sample at any time. 877–8339 and ask to be connected to
Name
Address The owner must return the sample to 202–326–4024.)
CBP upon demand or at the conclusion
SUPPLEMENTARY INFORMATION: PBGC’s
of the examination or testing, whichever
regulation on Benefits Payable in
Name occurs sooner. In the event that the
Terminated Single-Employer Plans (29
Address sample is damaged, destroyed, or lost CFR part 4022) prescribes actuarial
while in the possession of the trademark assumptions—including interest
or trade name owner, the owner must, assumptions—for paying plan benefits
Name in lieu of returning the sample, certify
Address
under terminating single-employer
to CBP that: ‘‘The sample described as plans covered by title IV of the
Surety (SEAL)
[insert description] and provided Employee Retirement Income Security
pursuant to 19 CFR 133.25(c) was Act of 1974. The interest assumptions in
Name (damaged/destroyed/lost) during the regulation are also published on
Address examination or testing for trademark PBGC’s Web site (http://www.pbgc.gov).
infringement.’’ PBGC uses the interest assumptions in
Appendix B to Part 113 [Amended]
* * * * * Appendix B to Part 4022 to determine
■ 55. Appendix B to Part 113 is whether a benefit is payable as a lump
amended by removing the word R. Gil Kerlikowske,
sum and to determine the amount to
‘‘Customs’’ each place that it appears Commissioner. pay. Appendix C to Part 4022 contains
and adding in its place the term ‘‘CBP’’. Approved: November 4, 2015. interest assumptions for private-sector
Appendix C to Part 113 [Amended] Timothy E. Skud, pension practitioners to refer to if they
Deputy Assistant Secretary of the Treasury. wish to use lump-sum interest rates
■ 56. Appendix C to Part 113 is determined using PBGC’s historical
[FR Doc. 2015–28503 Filed 11–12–15; 8:45 am]
amended by removing the word methodology. Currently, the rates in
BILLING CODE 9111–14–P
‘‘Customs’’ each place that it appears Appendices B and C of the benefit
and adding in its place the term ‘‘CBP’’. payment regulation are the same.
jstallworth on DSK7TPTVN1PROD with RULES
The interest assumptions are intended
PART 133—TRADEMARKS, TRADE
to reflect current conditions in the
NAMES, AND COPYRIGHTS
financial and annuity markets.
■ 57. The general and specific authority Assumptions under the benefit
citations for part 133 continue to read as payments regulation are updated
follows: monthly. This final rule updates the
VerDate Sep<11>2014 14:49 Nov 12, 2015 Jkt 238001 PO 00000 Frm 00022 Fmt 4700 Sfmt 4700 E:\FR\FM\13NOR1.SGM 13NOR1](https://thefederalregister.org/doc/80_FR_70389/page/1.svg)
![Federal Register / Vol. 80, No. 219 / Friday, November 13, 2015 / Rules and Regulations 70171
benefit payments interest assumptions Because of the need to provide In consideration of the foregoing, 29
for December 2015.1 immediate guidance for the payment of CFR part 4022 is amended as follows:
The December 2015 interest benefits under plans with valuation
assumptions under the benefit payments dates during December 2015, PBGC PART 4022—BENEFITS PAYABLE IN
regulation will be 1.25 percent for the finds that good cause exists for making TERMINATED SINGLE-EMPLOYER
period during which a benefit is in pay the assumptions set forth in this PLANS
status and 4.00 percent during any years amendment effective less than 30 days
preceding the benefit’s placement in pay after publication. ■ 1. The authority citation for part 4022
status. In comparison with the interest PBGC has determined that this action continues to read as follows:
assumptions in effect for November is not a ‘‘significant regulatory action’’
under the criteria set forth in Executive Authority: 29 U.S.C. 1302, 1322, 1322b,
2015, these interest assumptions are 1341(c)(3)(D), and 1344.
unchanged. Order 12866.
Because no general notice of proposed
PBGC has determined that notice and ■ 2. In appendix B to part 4022, Rate Set
rulemaking is required for this
public comment on this amendment are 266, as set forth below, is added to the
amendment, the Regulatory Flexibility
impracticable and contrary to the public Act of 1980 does not apply. See 5 U.S.C. table.
interest. This finding is based on the 601(2). Appendix B to Part 4022—Lump Sum
need to determine and issue new Interest Rates for PBGC Payments
interest assumptions promptly so that List of Subjects in 29 CFR Part 4022
the assumptions can reflect current Employee benefit plans, Pension * * * * *
market conditions as accurately as insurance, Pensions, Reporting and
possible. 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
* * * * * * *
266 .................................... 12–1–15 1–1–16 1.25 4.00 4.00 4.00 7 8
■ 3. In appendix C to part 4022, Rate Set Appendix C to Part 4022—Lump Sum
266, 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
* * * * * * *
266 ................................... 12–1–15 1–1–16 1.25 4.00 4.00 4.00 7 8
Issued in Washington, DC, on this 6th day ENVIRONMENTAL PROTECTION premanufacture notices (PMNs). This
of November 2015. AGENCY action amends the SNURs to allow
Judith Starr, certain uses without requiring a
General Counsel, Pension Benefit Guaranty 40 CFR Part 721 significant new use notice (SNUN), and
Corporation. [EPA–HQ–OPPT–2014–0649; FRL–9935–43] extends SNUN requirements to certain
[FR Doc. 2015–28763 Filed 11–12–15; 8:45 am] additional uses. EPA is amending these
RIN 2070–AB27
BILLING CODE 7709–02–P SNURs based on review of new data for
Modification of Significant New Uses each chemical substance. This action
of Certain Chemical Substances requires persons who intend to
manufacture (including import) or
AGENCY: Environmental Protection process any of these chemical
Agency (EPA). substances for an activity that is
ACTION: Final rule. designated as a significant new use by
SUMMARY: EPA is amending the this rule to notify EPA at least 90 days
significant new use rules (SNURs) under before commencing that activity. The
jstallworth on DSK7TPTVN1PROD with RULES
section 5(a)(2) of the Toxic Substances required notification would provide
Control Act (TSCA) for five chemical EPA with the opportunity to evaluate
substances which were the subject of the intended use and, if necessary, to
1 Appendix B to PBGC’s regulation on Allocation
benefits under terminating covered single-employer ERISA section 4044. Those assumptions are
of Assets in Single-Employer Plans (29 CFR part plans for purposes of allocation of assets under updated quarterly.
4044) prescribes interest assumptions for valuing
VerDate Sep<11>2014 14:49 Nov 12, 2015 Jkt 238001 PO 00000 Frm 00023 Fmt 4700 Sfmt 4700 E:\FR\FM\13NOR1.SGM 13NOR1](https://thefederalregister.org/doc/80_FR_70389/page/2.svg)
Document Created: 2018-03-01 11:23:17
Document Modified: 2018-03-01 11:23:17
| 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 December 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 70170 | |
| CFR Associated | Employee Benefit Plans; Pension Insurance; Pensions and Reporting and Recordkeeping Requirements |
2025 Federal Register | Disclaimer | Privacy Policy
USC | CFR | eCFR