Required Interest Rate Assumption for Determining Variable-Rate Premium; Interest on Late Premium Payments; Interest on Underpayments and Overpayments of Single-Employer Plan Termination Liability and Multiemployer Withdrawal Liability; Interest Assumptions for Multiemployer Plan Valuations Following Mass Withdrawal, 2277-2278 [06-328]

Download as PDF 2277 Federal Register / Vol. 71, No. 9 / Friday, January 13, 2006 / Notices For further details with respect to this action, see the application for amendment dated October 14, 2003, and the licensee’s letter dated December 19, 2005, which withdrew the application for the license amendment. Documents may be examined, and/or copied for a fee, at the NRC’s Public Document Room (PDR), located at One White Flint North, Public File Area O–1F21, 11555 Rockville Pike (first floor), Rockville, Maryland. Publicly-available records will be accessible electronically from the Agencywide Documents Access and Management Systems (ADAMS) Public Electronic Reading Room on the internet at the NRC Web site, https:// www.nrc.gov/reading-rm/adams/html. Persons who do not have access to ADAMS or who encounter problems in accessing the documents located in ADAMS, should contact the NRC PDR Reference staff by telephone at 1–800– 397–4209, or 301–415–4737 or by email to pdr@nrc.gov. Dated at Rockville, Maryland, this 9th day of January 2006. For the Nuclear Regulatory Commission. Patrick D. Milano, Senior Project Manager, Plant Licensing Branch I–1, Division of Operating Reactor Licensing, Office of Nuclear Reactor Regulation. [FR Doc. E6–350 Filed 1–12–06; 8:45 am] BILLING CODE 7590–01–P PENSION BENEFIT GUARANTY CORPORATION Required Interest Rate Assumption for Determining Variable-Rate Premium; Interest on Late Premium Payments; Interest on Underpayments and Overpayments of Single-Employer Plan Termination Liability and Multiemployer Withdrawal Liability; Interest Assumptions for Multiemployer Plan Valuations Following Mass Withdrawal Pension Benefit Guaranty Corporation. ACTION: Notice of interest rates and assumptions. hsrobinson on PROD1PC70 with NOTICES AGENCY: SUMMARY: This notice informs the public of the interest rates and assumptions to be used under certain Pension Benefit Guaranty Corporation regulations. These rates and assumptions are published elsewhere (or can be derived from rates published elsewhere), but are collected and published in this notice for the convenience of the public. Interest rates are also published on the PBGC’s Web site (https://www.pbgc.gov). DATES: The required interest rate for determining the variable-rate premium VerDate Aug<31>2005 15:41 Jan 12, 2006 Jkt 208001 under part 4006 applies to premium payment years beginning in January 2006. The interest assumptions for performing multiemployer plan valuations following mass withdrawal under part 4281 apply to valuation dates occurring in February 2006. The interest rates for late premium payments under part 4007 and for underpayments and overpayments of single-employer plan termination liability under part 4062 and multiemployer withdrawal liability under part 4219 apply to interest accruing during the first quarter (January through March) of 2006. FOR FURTHER INFORMATION CONTACT: Catherine B. Klion, Attorney, Legislative and Regulatory Department, 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: Variable-Rate Premiums Section 4006(a)(3)(E)(iii)(II) of the Employee Retirement Income Security Act of 1974 (ERISA) and § 4006.4(b)(1) of the PBGC’s regulation on Premium Rates (29 CFR part 4006) prescribe use of an assumed interest rate (the ‘‘required interest rate’’) in determining a single-employer plan’s variable-rate premium. The required interest rate is the ‘‘applicable percentage’’ (currently 85 percent) of the annual yield on 30year Treasury securities for the month preceding the beginning of the plan year for which premiums are being paid (the ‘‘premium payment year’’). (Although the Treasury Department has ceased issuing 30-year securities, the Internal Revenue Service announces a surrogate yield figure each month—based on the 30-year Treasury bond maturing in February 2031—which the PBGC uses to determine the required interest rate.) The required interest rate to be used in determining variable-rate premiums for premium payment years beginning in January 2006 is 3.95 percent (i.e., 85 percent of the 4.65 percent Treasury Securities Rate for December 2005). The Pension Funding Equity Act of 2004 (‘‘PFEA’’)—under which the required interest rate is 85 percent of the annual rate of interest determined by the Secretary of the Treasury on amounts invested conservatively in long-term investment grade corporate bonds for the month preceding the beginning of the plan year for which premiums are being paid—applies only for premium payment years beginning in 2004 or 2005. Congress is considering legislation that would extend the PFEA PO 00000 Frm 00100 Fmt 4703 Sfmt 4703 rate for one more year. If legislation that changes the rules for determining the required interest rate for plan years beginning in January 2006 is adopted, the PBGC will promptly publish a Federal Register notice with the new rate. The following table lists the required interest rates to be used in determining variable-rate premiums for premium payment years beginning between February 2005 and January 2006. For premium payment years beginning in: The required interest rate is: February 2005 .................. March 2005 ....................... April 2005 ......................... May 2005 .......................... June 2005 ......................... July 2005 .......................... August 2005 ..................... September 2005 ............... October 2005 .................... November 2005 ................ December 2005 ................ January 2006 .................... 4.66 4.56 4.78 4.72 4.60 4.47 4.56 4.61 4.62 4.83 4.91 3.95 Late Premium Payments; Underpayments and Overpayments of Single-Employer Plan Termination Liability Section 4007(b) of ERISA and § 4007.7(a) of the PBGC’s regulation on Payment of Premiums (29 CFR part 4007) require the payment of interest on late premium payments at the rate established under section 6601 of the Internal Revenue Code. Similarly, § 4062.7 of the PBGC’s regulation on Liability for Termination of SingleEmployer Plans (29 CFR part 4062) requires that interest be charged or credited at the section 6601 rate on underpayments and overpayments of employer liability under section 4062 of ERISA. The section 6601 rate is established periodically (currently quarterly) by the Internal Revenue Service. The rate applicable to the first quarter (January through March) of 2006, as announced by the IRS, is 7 percent. The following table lists the late payment interest rates for premiums and employer liability for the specified time periods: From 4/1/99 ................ 4/1/00 ................ 4/1/01 ................ 7/1/01 ................ 1/1/02 ................ 1/1/03 ................ 10/1/03 .............. 4/1/04 ................ 7/1/04 ................ E:\FR\FM\13JAN1.SGM 13JAN1 Through 3/31/00 3/31/01 6/30/01 12/31/01 12/31/02 9/30/03 3/31/04 6/30/04 9/30/04 Interest rate (percent) 8 9 8 7 6 5 4 5 4 2278 Federal Register / Vol. 71, No. 9 / Friday, January 13, 2006 / Notices From Through 10/1/04 .............. 4/1/05 ................ 10/1/05 .............. published elsewhere in today’s Federal Register. Tables showing the assumptions applicable to prior periods 5 are codified in appendix B to 29 CFR 6 part 4044. Interest rate (percent) 3/31/05 9/30/05 3/31/06 7 Underpayments and Overpayments of Multiemployer Withdrawal Liability Section 4219.32(b) of the PBGC’s regulation on Notice, Collection, and Redetermination of Withdrawal Liability (29 CFR part 4219) specifies the rate at which a multiemployer plan is to charge or credit interest on underpayments and overpayments of withdrawal liability under section 4219 of ERISA unless an applicable plan provision provides otherwise. For interest accruing during any calendar quarter, the specified rate is the average quoted prime rate on short-term commercial loans for the fifteenth day (or the next business day if the fifteenth day is not a business day) of the month preceding the beginning of the quarter, as reported by the Board of Governors of the Federal Reserve System in Statistical Release H.15 (‘‘Selected Interest Rates’’). The rate for the first quarter (January through March) of 2006 (i.e., the rate reported for December 15, 2005) is 7.25 percent. The following table lists the withdrawal liability underpayment and overpayment interest rates for the specified time periods: From Through hsrobinson on PROD1PC70 with NOTICES 1/1/00 ................ 4/1/00 ................ 7/1/00 ................ 4/1/01 ................ 7/1/01 ................ 10/1/01 .............. 1/1/02 ................ 1/1/03 ................ 10/1/03 .............. 10/1/04 .............. 1/1/05 ................ 4/1/05 ................ 7/1/05 ................ 10/1/05 .............. 1/1/06 ................ Interest rate (percent) 3/31/00 6/30/00 3/31/01 6/30/01 9/30/01 12/31/01 12/31/02 9/30/03 9/30/04 12/31/04 3/31/05 6/30/05 9/30/05 12/31/05 3/31/06 8.50 8.75 9.50 8.50 7.00 6.50 4.75 4.25 4.00 4.50 5.25 5.50 6.00 6.50 7.25 Multiemployer Plan Valuations Following Mass Withdrawal The PBGC’s regulation on Duties of Plan Sponsor Following Mass Withdrawal (29 CFR part 4281) prescribes the use of interest assumptions under the PBGC’s regulation on Allocation of Assets in Single-Employer Plans (29 CFR part 4044). The interest assumptions applicable to valuation dates in February 2006 under part 4044 are contained in an amendment to part 4044 VerDate Aug<31>2005 15:41 Jan 12, 2006 Jkt 208001 Issued in Washington, DC, on this 9th day of January 2006. Vincent K. Snowbarger, Deputy Executive Director, Pension Benefit Guaranty Corporation. [FR Doc. 06–328 Filed 1–12–06; 8:45 am] RAILROAD RETIREMENT BOARD Agency Forms Submitted for OMB Review Summary: In accordance with the Paperwork Reduction Act of 1995 (44 U.S.C. chapter 35), the Railroad Retirement Board (RRB) has submitted the following proposal(s) for the collection of information to the Office of Management and Budget for review and approval. Summary of Proposal(s) (1) Collection title: Employers Quarterly Report of Contributions Under the RUIA. (2) Form(s) submitted: DC–1. (3) OMB Number: 3220–0012. (4) Expiration date of current OMB clearance: March 31, 2006. (5) Type of request: Extension of a currently approved collection. (6) Respondents: Business or other for-profit. (7) Estimated annual number of respondents: 540. (8) Total annual responses: 2,160. (9) Total annual reporting hours: 900. (10) Collection description: Railroad employers are required to make contributions to the Railroad Unemployment Insurance fund quarterly or annually equal to a percentage of the creditable compensation paid to each employee. The information furnished on the report accompanying the remittance is used to determine correctness of the amount paid. Additional Information or Comments: Copies of the forms and supporting documents can be obtained from Charles Mierzwa, the agency clearance officer (312–751–3363) or Charles.Mierzwa@rrb.gov. Comments regarding the information collection should be addressed to Ronald J. Hodapp, Railroad Retirement Board, 844 North Rush Street, Chicago, Illinois 60611–2092 or Ronald.Hodapp@rrb.gov and to the OMB Desk Officer for the RRB, at the Office of Management and Budget, Frm 00101 Fmt 4703 Charles Mierzwa, Clearance Officer. [FR Doc. E6–318 Filed 1–12–06; 8:45 am] BILLING CODE 7905–01–P SECURITIES AND EXCHANGE COMMISSION [File No. 1–11535] BILLING CODE 7708–01–P PO 00000 Room 10230, New Executive Office Building, Washington, DC 20503. Sfmt 4703 Issuer Delisting; Notice of Application of Burlington Northern Santa Fe Corporation, To Withdraw Its Common Stock, $.01 Par Value, From Listing and Registration on the Pacific Exchange, Inc. January 6, 2006. On December 20, 2005, Burlington Northern Santa Fe Corporation, a Delaware corporation (‘‘Issuer’’), filed an application with the Securities and Exchange Commission (‘‘Commission’’), pursuant to Section 12(d) of the Securities Exchange Act of 1934 (‘‘Act’’) 1 and Rule 12d2–2(d) thereunder,2 to withdraw its common stock, $.01 par value (‘‘Security’’), from listing and registration on the Pacific Exchange, Inc. (‘‘PCX’’). The Board of Directors (‘‘Board’’) of the Issuer approved resolutions on December 8, 2005 to withdraw the Security from PCX. The Issuer stated that the Board decided to withdraw the Security from PCX because the benefits of continued listing on PCX do not outweigh the incremental cost of the listing fees and the administrative burden associated with listing on PCX. The Issuer stated that the Security is listed on the New York Stock Exchange, Inc. (‘‘NYSE’’) and will continue to list on NYSE. The Issuer stated in its application that it has complied with applicable rules of PCX by complying with all applicable laws in the State of Delaware, the state in which the Issuer is incorporated, and by providing PCX with the required documents governing the withdrawal of securities from listing and registration on PCX. The Issuer’s application relates solely to the withdrawal of the Security from listing on PCX and shall not affect its continued listing on NYSE or its obligation to be registered under Section 12(b) of the Act.3 Any interested person may, on or before February 1, 2006, comment on the facts bearing upon whether the 1 15 U.S.C. 78l(d). CFR 240.12d2–2(d). 3 15 U.S.C. 78l(b). 2 17 E:\FR\FM\13JAN1.SGM 13JAN1

Agencies

Pension Benefit Guaranty Corporation

[Federal Register Volume 71, Number 9 (Friday, January 13, 2006)]
[Notices]
[Pages 2277-2278]
From the Federal Register Online via the Government Printing Office [www.gpo.gov]
[FR Doc No: 06-328]


=======================================================================
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PENSION BENEFIT GUARANTY CORPORATION


Required Interest Rate Assumption for Determining Variable-Rate 
Premium; Interest on Late Premium Payments; Interest on Underpayments 
and Overpayments of Single-Employer Plan Termination Liability and 
Multiemployer Withdrawal Liability; Interest Assumptions for 
Multiemployer Plan Valuations Following Mass Withdrawal

AGENCY: Pension Benefit Guaranty Corporation.

ACTION: Notice of interest rates and assumptions.

-----------------------------------------------------------------------

SUMMARY: This notice informs the public of the interest rates and 
assumptions to be used under certain Pension Benefit Guaranty 
Corporation regulations. These rates and assumptions are published 
elsewhere (or can be derived from rates published elsewhere), but are 
collected and published in this notice for the convenience of the 
public. Interest rates are also published on the PBGC's Web site 
(https://www.pbgc.gov).

DATES: The required interest rate for determining the variable-rate 
premium under part 4006 applies to premium payment years beginning in 
January 2006. The interest assumptions for performing multiemployer 
plan valuations following mass withdrawal under part 4281 apply to 
valuation dates occurring in February 2006. The interest rates for late 
premium payments under part 4007 and for underpayments and overpayments 
of single-employer plan termination liability under part 4062 and 
multiemployer withdrawal liability under part 4219 apply to interest 
accruing during the first quarter (January through March) of 2006.

FOR FURTHER INFORMATION CONTACT: Catherine B. Klion, Attorney, 
Legislative and Regulatory Department, 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:

Variable-Rate Premiums

    Section 4006(a)(3)(E)(iii)(II) of the Employee Retirement Income 
Security Act of 1974 (ERISA) and Sec.  4006.4(b)(1) of the PBGC's 
regulation on Premium Rates (29 CFR part 4006) prescribe use of an 
assumed interest rate (the ``required interest rate'') in determining a 
single-employer plan's variable-rate premium. The required interest 
rate is the ``applicable percentage'' (currently 85 percent) of the 
annual yield on 30-year Treasury securities for the month preceding the 
beginning of the plan year for which premiums are being paid (the 
``premium payment year''). (Although the Treasury Department has ceased 
issuing 30-year securities, the Internal Revenue Service announces a 
surrogate yield figure each month--based on the 30-year Treasury bond 
maturing in February 2031--which the PBGC uses to determine the 
required interest rate.) The required interest rate to be used in 
determining variable-rate premiums for premium payment years beginning 
in January 2006 is 3.95 percent (i.e., 85 percent of the 4.65 percent 
Treasury Securities Rate for December 2005).
    The Pension Funding Equity Act of 2004 (``PFEA'')--under which the 
required interest rate is 85 percent of the annual rate of interest 
determined by the Secretary of the Treasury on amounts invested 
conservatively in long-term investment grade corporate bonds for the 
month preceding the beginning of the plan year for which premiums are 
being paid--applies only for premium payment years beginning in 2004 or 
2005. Congress is considering legislation that would extend the PFEA 
rate for one more year. If legislation that changes the rules for 
determining the required interest rate for plan years beginning in 
January 2006 is adopted, the PBGC will promptly publish a Federal 
Register notice with the new rate.
    The following table lists the required interest rates to be used in 
determining variable-rate premiums for premium payment years beginning 
between February 2005 and January 2006.

------------------------------------------------------------------------
                                                          The required
        For premium payment years beginning in:           interest rate
                                                               is:
------------------------------------------------------------------------
February 2005.........................................              4.66
March 2005............................................              4.56
April 2005............................................              4.78
May 2005..............................................              4.72
June 2005.............................................              4.60
July 2005.............................................              4.47
August 2005...........................................              4.56
September 2005........................................              4.61
October 2005..........................................              4.62
November 2005.........................................              4.83
December 2005.........................................              4.91
January 2006..........................................              3.95
------------------------------------------------------------------------

Late Premium Payments; Underpayments and Overpayments of Single-
Employer Plan Termination Liability

    Section 4007(b) of ERISA and Sec.  4007.7(a) of the PBGC's 
regulation on Payment of Premiums (29 CFR part 4007) require the 
payment of interest on late premium payments at the rate established 
under section 6601 of the Internal Revenue Code. Similarly, Sec.  
4062.7 of the PBGC's regulation on Liability for Termination of Single-
Employer Plans (29 CFR part 4062) requires that interest be charged or 
credited at the section 6601 rate on underpayments and overpayments of 
employer liability under section 4062 of ERISA. The section 6601 rate 
is established periodically (currently quarterly) by the Internal 
Revenue Service. The rate applicable to the first quarter (January 
through March) of 2006, as announced by the IRS, is 7 percent.
    The following table lists the late payment interest rates for 
premiums and employer liability for the specified time periods:

------------------------------------------------------------------------
                                                               Interest
                     From                         Through        rate
                                                              (percent)
------------------------------------------------------------------------
4/1/99........................................      3/31/00            8
4/1/00........................................      3/31/01            9
4/1/01........................................      6/30/01            8
7/1/01........................................     12/31/01            7
1/1/02........................................     12/31/02            6
1/1/03........................................      9/30/03            5
10/1/03.......................................      3/31/04            4
4/1/04........................................      6/30/04            5
7/1/04........................................      9/30/04            4

[[Page 2278]]

 
10/1/04.......................................      3/31/05            5
4/1/05........................................      9/30/05            6
10/1/05.......................................      3/31/06            7
------------------------------------------------------------------------

Underpayments and Overpayments of Multiemployer Withdrawal Liability

    Section 4219.32(b) of the PBGC's regulation on Notice, Collection, 
and Redetermination of Withdrawal Liability (29 CFR part 4219) 
specifies the rate at which a multiemployer plan is to charge or credit 
interest on underpayments and overpayments of withdrawal liability 
under section 4219 of ERISA unless an applicable plan provision 
provides otherwise. For interest accruing during any calendar quarter, 
the specified rate is the average quoted prime rate on short-term 
commercial loans for the fifteenth day (or the next business day if the 
fifteenth day is not a business day) of the month preceding the 
beginning of the quarter, as reported by the Board of Governors of the 
Federal Reserve System in Statistical Release H.15 (``Selected Interest 
Rates''). The rate for the first quarter (January through March) of 
2006 (i.e., the rate reported for December 15, 2005) is 7.25 percent.
    The following table lists the withdrawal liability underpayment and 
overpayment interest rates for the specified time periods:

------------------------------------------------------------------------
                                                               Interest
                     From                         Through        rate
                                                              (percent)
------------------------------------------------------------------------
1/1/00........................................      3/31/00         8.50
4/1/00........................................      6/30/00         8.75
7/1/00........................................      3/31/01         9.50
4/1/01........................................      6/30/01         8.50
7/1/01........................................      9/30/01         7.00
10/1/01.......................................     12/31/01         6.50
1/1/02........................................     12/31/02         4.75
1/1/03........................................      9/30/03         4.25
10/1/03.......................................      9/30/04         4.00
10/1/04.......................................     12/31/04         4.50
1/1/05........................................      3/31/05         5.25
4/1/05........................................      6/30/05         5.50
7/1/05........................................      9/30/05         6.00
10/1/05.......................................     12/31/05         6.50
1/1/06........................................      3/31/06         7.25
------------------------------------------------------------------------

Multiemployer Plan Valuations Following Mass Withdrawal

    The PBGC's regulation on Duties of Plan Sponsor Following Mass 
Withdrawal (29 CFR part 4281) prescribes the use of interest 
assumptions under the PBGC's regulation on Allocation of Assets in 
Single-Employer Plans (29 CFR part 4044). The interest assumptions 
applicable to valuation dates in February 2006 under part 4044 are 
contained in an amendment to part 4044 published elsewhere in today's 
Federal Register. Tables showing the assumptions applicable to prior 
periods are codified in appendix B to 29 CFR part 4044.

    Issued in Washington, DC, on this 9th day of January 2006.
Vincent K. Snowbarger,
Deputy Executive Director, Pension Benefit Guaranty Corporation.
[FR Doc. 06-328 Filed 1-12-06; 8:45 am]
BILLING CODE 7708-01-P

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