82 FR 17938 - Benefits Payable in Terminated Single-Employer Plans; Interest Assumptions for Paying Benefits
PENSION BENEFIT GUARANTY CORPORATION Federal Register Volume 82, Issue 71 (April 14, 2017)
Federal Register Volume 82, Issue 71 (April 14, 2017)
| Page Range | 17938-17939 | |
| FR Document | 2017-07270 |
[Federal Register Volume 82, Number 71 (Friday, April 14, 2017)] [Rules and Regulations] [Pages 17938-17939] From the Federal Register Online [www.thefederalregister.org] [FR Doc No: 2017-07270] ======================================================================= ----------------------------------------------------------------------- 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 May 2017. The interest assumptions are used for paying benefits under terminating single-employer plans covered by the pension insurance system administered by PBGC. DATES: Effective May 1, 2017. FOR FURTHER INFORMATION CONTACT: Deborah C. Murphy ([email protected]), Assistant General Counsel for Regulatory Affairs, Pension Benefit Guaranty Corporation, 1200 K Street NW., Washington, DC 20005, 202-326-4400 ext. 3451. (TTY/TDD users may call the Federal relay service toll-free at 1-800-877-8339 and ask to be connected to 202-326-4400 ext. 3451.) 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 May 2017.\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 May 2017 interest assumptions under the benefit payments regulation will be 1.00 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 17939]] status. In comparison with the interest assumptions in effect for April 2017, 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 May 2017, 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, add Rate Set 283 to the table to read as follows: 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) i i i n n -------------------------------------------------------------------------------------------------------------------------------------------------------- * * * * * * * 283..................................... 5-1-17 6-1-17 1.00 4.00 4.00 4.00 7 8 -------------------------------------------------------------------------------------------------------------------------------------------------------- 0 3. In appendix C to part 4022, add Rate Set 283 to the table to read as follows: 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) i i i n n -------------------------------------------------------------------------------------------------------------------------------------------------------- * * * * * * * 283..................................... 5-1-17 6-1-17 1.00 4.00 4.00 4.00 7 8 -------------------------------------------------------------------------------------------------------------------------------------------------------- Issued in Washington, DC by Deborah Chase Murphy, Assistant General Counsel for Regulatory Affairs, Pension Benefit Guaranty Corporation. [FR Doc. 2017-07270 Filed 4-13-17; 8:45 am] BILLING CODE 7709-02-P
![17938 Federal Register / Vol. 82, No. 71 / Friday, April 14, 2017 / Rules and Regulations
33°29′36″ N., long. 115°45′36″ W.’’ The The Amendment ACTION: Final rule.
rest of the legal description of R–2507W In consideration of the foregoing, the
is unchanged from the proposal. SUMMARY: This final rule amends the
Federal Aviation Administration Pension Benefit Guaranty Corporation’s
Regulatory Notices and Analyses amends 14 CFR part 73 as follows: regulation on Benefits Payable in
Terminated Single-Employer Plans to
The FAA has determined that this PART 73—SPECIAL USE AIRSPACE
prescribe interest assumptions under
regulation only involves an established the regulation for valuation dates in
■ 1. The authority citation for part 73
body of technical regulations for which May 2017. The interest assumptions are
continues to read as follows:
frequent and routine amendments are used for paying benefits under
necessary to keep them operationally Authority: 49 U.S.C. 106(f), 106(g), 40103,
40113, 40120; E.O. 10854, 24 FR 9565, 3 CFR, terminating single-employer plans
current. It, therefore: (1) Is not a covered by the pension insurance
1959–1963 Comp., p. 389.
‘‘significant regulatory action’’ under system administered by PBGC.
Executive Order 12866; (2) is not a § 73.25 California [Amended] DATES: Effective May 1, 2017.
‘‘significant rule’’ under Department of ■ 2. Section 73.25 is amended as FOR FURTHER INFORMATION CONTACT:
Transportation (DOT) Regulatory follows: Deborah C. Murphy (Murphy.Deborah@
Policies and Procedures (44 FR 11034; pbgc.gov), Assistant General Counsel for
* * * * *
February 26, 1979); and (3) does not Regulatory Affairs, Pension Benefit
warrant preparation of a regulatory R–2507W West Chocolate Mountains, Guaranty Corporation, 1200 K Street
evaluation as the anticipated impact is CA [New] NW., Washington, DC 20005, 202–326–
so minimal. Since this is a routine Boundaries—Beginning at lat. 4400 ext. 3451. (TTY/TDD users may
matter that only affects air traffic 33°14′00″ N., long. 115°22′33″ W.; to lat. call the Federal relay service toll-free at
procedures and air navigation, it is 33°13′14″ N., long. 115°23′17″ W.; to lat. 1–800–877–8339 and ask to be
certified that this rule, when 33°13′58″ N., long. 115°24′26″ W.; to lat. connected to 202–326–4400 ext. 3451.)
promulgated, does not have a significant 33°14′22″ N., long. 115°25′29″ W.; to lat. SUPPLEMENTARY INFORMATION: PBGC’s
economic impact on a substantial 33°15′40″ N., long. 115°27′36″ W.; to lat. regulation on Benefits Payable in
number of small entities under the 33°17′28″ N., long. 115°29′42″ W.; to lat. Terminated Single-Employer Plans (29
criteria of the Regulatory Flexibility Act. 33°19′17″ N., long. 115°32′13″ W.; to lat. CFR part 4022) prescribes actuarial
Environmental Review 33°21′11″ N., long. 115°34′39″ W.; to lat. assumptions—including interest
33°22′58″ N., long. 115°38′19″ W.; to lat. assumptions—for paying plan benefits
The FAA has determined that this 33°27′26″ N., long. 115°43′30″ W.; to lat. under terminating single-employer
action of establishing restricted area R– 33°29′11″ N., long. 115°45′49″ W.; to lat. plans covered by title IV of the
2507W, Chocolate Mountain, CA, to 33°29′36″ N., long. 115°45′36″ W.; to lat. Employee Retirement Income Security
support USMC training activities that 33°31′09″ N., long. 115°41′12″ W.; to lat. Act of 1974. The interest assumptions in
involve the use of advanced weapons 33°32′50″ N., long. 115°37′37″ W.; to lat. the regulation are also published on
systems, qualified for FAA’s 33°32′40″ N., long. 115°33′53″ W.; to lat. PBGC’s Web site (http://www.pbgc.gov).
environmental impact review and 33°28′30″ N., long. 115°42′13″ W.; to lat. PBGC uses the interest assumptions in
FAA’s adoption of the airspace use 33°23′40″ N., long. 115°33′23″ W.; to lat. Appendix B to part 4022 to determine
portion of the USMC’s Final 33°21′30″ N., long. 115°32′58″ W.; whether a benefit is payable as a lump
Environmental Assessment (FEA). In thence to the point of beginning. sum and to determine the amount to
accordance with the National Designated altitudes. Surface to FL pay. Appendix C to Part 4022 contains
Environmental Policy Act (NEPA), its 230. interest assumptions for private-sector
implementing regulations at 40 CFR Time of designation. Continuous. pension practitioners to refer to if they
parts 1500 through 1508, FAA Orders Controlling agency. FAA, Los Angeles wish to use lump-sum interest rates
1050.1F Environmental Impacts: Air Route Traffic Control Center determined using PBGC’s historical
Policies and Procedures, and 7400.2K (ARTCC). methodology. Currently, the rates in
Using agency. USMC, Commanding Appendices B and C of the benefit
Procedures for Handling Airspace
Officer, Marine Corps Air Station payment regulation are the same.
Matters, FAA, as a cooperating agency
(MCAS) Yuma, AZ. The interest assumptions are intended
for this SUA action, conducted an
independent environmental impact * * * * * to reflect current conditions in the
review of the airspace use portion of the Issued in Washington, DC, on April 10, financial and annuity markets.
USMC’s Air Station Yuma FEA for the 2017. Assumptions under the benefit
Establishment of Special Use Airspace Rodger A. Dean Jr., payments regulation are updated
Restricted Area R–2507W, Chocolate Manager, Airspace Policy Group. monthly. This final rule updates the
Mountain Aerial Gunnery Range, [FR Doc. 2017–07573 Filed 4–13–17; 8:45 am]
benefit payments interest assumptions
Imperial and Riverside Counties, for May 2017.1
BILLING CODE 4910–13–P
California (June 2014). Based on its The May 2017 interest assumptions
review, the FAA has determined that under the benefit payments regulation
the action that is the subject of this rule will be 1.00 percent for the period
PENSION BENEFIT GUARANTY during which a benefit is in pay status
does not present any potential for CORPORATION
significant impacts to the human and 4.00 percent during any years
preceding the benefit’s placement in pay
jstallworth on DSK7TPTVN1PROD with RULES
environment. The FAA’s Adoption EA 29 CFR Part 4022
and FONSI–ROD are included in the 1 Appendix B to PBGC’s regulation on Allocation
docket for this rulemaking. Benefits Payable in Terminated Single-
of Assets in Single-Employer Plans (29 CFR part
Employer Plans; Interest Assumptions 4044) prescribes interest assumptions for valuing
List of Subjects in 14 CFR Part 73 for Paying Benefits benefits under terminating covered single-employer
plans for purposes of allocation of assets under
Airspace, Prohibited areas, Restricted AGENCY: Pension Benefit Guaranty ERISA section 4044. Those assumptions are
areas. Corporation. updated quarterly.
VerDate Sep<11>2014 13:38 Apr 13, 2017 Jkt 241001 PO 00000 Frm 00006 Fmt 4700 Sfmt 4700 E:\FR\FM\14APR1.SGM 14APR1](https://thefederalregister.org/doc/82_FR_18009/page/1.svg)
![Federal Register / Vol. 82, No. 71 / Friday, April 14, 2017 / Rules and Regulations 17939
status. In comparison with the interest assumptions set forth in this In consideration of the foregoing, 29
assumptions in effect for April 2017, amendment effective less than 30 days CFR part 4022 is amended as follows:
these interest assumptions are after publication.
unchanged. PART 4022—BENEFITS PAYABLE IN
PBGC has determined that this action TERMINATED SINGLE-EMPLOYER
PBGC has determined that notice and is not a ‘‘significant regulatory action’’
public comment on this amendment are PLANS
under the criteria set forth in Executive
impracticable and contrary to the public Order 12866.
interest. This finding is based on the ■ 1. The authority citation for part 4022
need to determine and issue new Because no general notice of proposed continues to read as follows:
interest assumptions promptly so that rulemaking is required for this Authority: 29 U.S.C. 1302, 1322, 1322b,
the assumptions can reflect current amendment, the Regulatory Flexibility 1341(c)(3)(D), and 1344.
market conditions as accurately as Act of 1980 does not apply. See 5 U.S.C. ■ 2. In appendix B to part 4022, add
possible. 601(2). Rate Set 283 to the table to read as
Because of the need to provide List of Subjects in 29 CFR Part 4022 follows:
immediate guidance for the payment of
benefits under plans with valuation Employee benefit plans, Pension Appendix B to Part 4022—Lump Sum
dates during May 2017, PBGC finds that insurance, Pensions, Reporting and Interest Rates for PBGC Payments
good cause exists for making the 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
* * * * * * *
283 .................................... 5–1–17 6–1–17 1.00 4.00 4.00 4.00 7 8
■ 3. In appendix C to part 4022, add Appendix C to Part 4022—Lump Sum
Rate Set 283 to the table to read as Interest Rates for Private-Sector
follows: 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
* * * * * * *
283 .................................... 5–1–17 6–1–17 1.00 4.00 4.00 4.00 7 8
Issued in Washington, DC by SUMMARY: The Coast Guard has issued a Branch Fifth District, Coast Guard,
Deborah Chase Murphy, temporary deviation from the operating telephone 757–398–6557, email
Assistant General Counsel for Regulatory schedule that governs the SR 175 Bridge Michael.R.Thorogood@uscg.mil.
Affairs, Pension Benefit Guaranty across the Chincoteague Channel, mile
Corporation. 3.5 (physically situated at mile 3.9), at SUPPLEMENTARY INFORMATION: The
[FR Doc. 2017–07270 Filed 4–13–17; 8:45 am] Chincoteague Island, VA. The deviation Virginia Department of Transportation,
BILLING CODE 7709–02–P is necessary to facilitate bridge owner and operator of the SR 175 Bridge
maintenance. This deviation allows the that carries SR 175 across the
bridge to remain in the closed-to- Chincoteague Channel, mile 3.5
navigation position. (physically situated at mile 3.9), at
DEPARTMENT OF HOMELAND DATES: The deviation is effective from 7 Chincoteague Island, VA, has requested
SECURITY a.m. on Monday, April 24, 2017, a temporary deviation from the current
through 7 p.m. on Friday, April 28, operating schedule to facilitate the
Coast Guard
2017. replacement of the hydraulic fluids of
33 CFR Part 117 ADDRESSES: The docket for this the bascule span for the drawbridge.
deviation, [USCG–2017–0204] is The bridge has vertical clearance of 15
[Docket No. USCG–2017–0204] available at http://www.regulations.gov. feet above mean high water (MHW) in
Type the docket number in the the closed position and unlimited
jstallworth on DSK7TPTVN1PROD with RULES
Drawbridge Operation Regulation; ‘‘SEARCH’’ box and click ‘‘SEARCH’’. vertical clearance in the open position.
Chincoteague Channel, Chincoteague Click on Open Docket Folder on the line The current operating schedule is set
Island, VA associated with this deviation. out in 33 CFR 117.1005. Under this
AGENCY: Coast Guard, DHS. FOR FURTHER INFORMATION CONTACT: If temporary deviation, the bridge will be
you have questions on this temporary maintained in the closed-to-navigation
ACTION:Notice of deviation from position from 7 a.m. on Monday, April
deviation, call or email Mr. Michael
drawbridge regulation.
Thorogood, Bridge Administration 24, 2017, through 7 p.m. on Friday,
VerDate Sep<11>2014 17:49 Apr 13, 2017 Jkt 241001 PO 00000 Frm 00007 Fmt 4700 Sfmt 4700 E:\FR\FM\14APR1.SGM 14APR1](https://thefederalregister.org/doc/82_FR_18009/page/2.svg)
Document Created: 2017-04-14 00:56:18
Document Modified: 2017-04-14 00:56:18
| 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 May 1, 2017. | |
| Contact | Deborah C. Murphy ([email protected]), Assistant General Counsel for Regulatory Affairs, Pension Benefit Guaranty Corporation, 1200 K Street NW., Washington, DC 20005, 202-326-4400 ext. 3451. (TTY/TDD users may call the Federal relay service toll-free at 1-800-877-8339 and ask to be connected to 202-326-4400 ext. 3451.) | |
| FR Citation | 82 FR 17938 | |
| CFR Associated | Employee Benefit Plans; Pension Insurance; Pensions and Reporting and Recordkeeping Requirements |
2025 Federal Register | Disclaimer | Privacy Policy
USC | CFR | eCFR