Grant of Individual Exemptions Involving; Kern County Electrical Pension Trust (the Pension Plan), Kern County Electrical Joint Apprenticeship and Training Trust (the Apprenticeship Plan), Kern County Electrical Health and Welfare Plan (the Welfare Plan), The International Brotherhood of Electrical Workers Local Union 428 (the Local Union), OPET Health Care and Life Insurance Plans RM3A and RM5A (Together, the HYL Plans), and OPET Prescription Drug Plan RRx (Plan RRx; All Three Together, the Plans), 21299-21301 [E7-8183]
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Federal Register / Vol. 72, No. 82 / Monday, April 30, 2007 / Notices
Deputy Assistant Administrator, Office
of Diversion Control, Drug Enforcement
Administration, that the requirements
for such registration pursuant to 21
U.S.C. 958(a), 21 U.S.C. 823(a), and 21
CFR 1301.34(b), (c), (d), (e) and (f) are
satisfied.
Dated: April 17, 2007.
Joseph T. Rannazzisi,
Deputy Assistant Administrator, Office of
Diversion Control Drug Enforcement
Administration.
[FR Doc. E7–8133 Filed 4–27–07; 8:45 am]
BILLING CODE 4410–09–P
DEPARTMENT OF LABOR
Office of the Secretary
Submission for OMB Review:
Comment Request
rwilkins on PROD1PC63 with NOTICES
April 24, 2007.
The Department of Labor (DOL) has
submitted the following public
information collection requests (ICR) to
the Office of Management and Budget
(OMB) for review and approval in
accordance with the Paperwork
Reduction Act of 1995 (Pub. L. 104–13,
44 U.S.C. chapter 35). A copy of each
ICR, with applicable supporting
documentation, may be obtained from
RegInfo.gov at https://www.reginfo.gov/
public/do/PRAMain or by contacting
Darrin King on 202–693–4129 (this is
not a toll-free number) / e-mail:
king.darrin@dol.gov.
Comments should be sent to Office of
Information and Regulatory Affairs,
Attn: OMB Desk Officer for the
Occupational Safety and Health
Administration (OSHA), Office of
Management and Budget, Room 10235,
Washington, DC 20503, Telephone:
202–395–7316/Fax: 202–395–6974
(these are not a toll-free numbers),
within 30 days from the date of this
publication in the Federal Register.
The OMB is particularly interested in
comments which:
• Evaluate whether the proposed
collection of information is necessary
for the proper performance of the
functions of the agency, including
whether the information will have
practical utility;
• Evaluate the accuracy of the
agency’s estimate of the burden of the
proposed collection of information,
including the validity of the
methodology and assumptions used;
• Enhance the quality, utility, and
clarity of the information to be
collected; and
• Minimize the burden of the
collection of information on those who
are to respond, including through the
VerDate Aug<31>2005
18:27 Apr 27, 2007
Jkt 211001
use of appropriate automated,
electronic, mechanical, or other
technological collection techniques or
other forms of information technology,
e.g., permitting electronic submission of
responses.
Agency: Occupational Safety and
Health Administration.
Type of Review: Extension without
change of currently approved collection.
Title: Access to Employee Exposure
and Medical Records (29 CFR
1910.1020).
OMB Number: 1218–0065.
Type of Response: Recordkeeping.
Affected Public: Public Sector:
Business or other for-profits.
Number of Respondents: 734,820.
Number of Annual Responses:
6,503,968.
Estimated Time per Response: Varies
by task.
Total Burden Hours: 720,187.
Total Annualized capital/startup
costs: $0.
Total Annual Costs (operating/
maintaining systems or purchasing
services): $0.
Description: The Standard requires
employers to preserve and provide
access to records associated with
employees’ exposure to toxic chemicals
and harmful physical agents. Employee
records and access to them are critically
important to the detection, treatment,
and prevention of occupational illness
and disease.
Agency: Occupational Safety and
Health Administration.
Type of Review: Extension without
change of currently approved collection.
Title: Formaldehyde (1910.1048).
OMB Number: 1218–0145.
Type of Response: Recordkeeping and
Third-party disclosure.
Affected Public: Public Sector:
Business or other for-profits.
Number of Respondents: 112,638.
Number of Annual Responses:
1,903,049.
Estimated Time per Response: Varies
by task.
Total Burden Hours: 519,076.
Total Annualized capital/startup
costs: $0.
Total Annual Costs (operating/
maintaining systems or purchasing
services): $55,325,688.
Description: The Formaldehyde
Standard and its collections of
information are designed to provide
protection for employees from the
adverse health effects associated with
occupational exposure to formaldehyde.
The Standard requires employers to
monitor employee exposure and provide
notification to employees of their
exposure. Employers are required to
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Fmt 4703
Sfmt 4703
21299
make available medical surveillance to
employees.
Agency: Occupational Safety and
Health Administration.
Type of Review: Extension without
change of currently approved collection.
Title: Definition and Requirements for
a Nationally Recognized Testing
Laboratory (29 CFR 1910.7).
OMB Number: 1218–0147.
Type of Response: Reporting.
Affected Public: Public Sector:
Business or other for-profits.
Number of Respondents: 67.
Number of Annual Responses: 67.
Estimated Time per Response: 20
hours.
Total Burden Hours: 1,340.
Total Annualized capital/startup
costs: $0.
Total Annual Costs (operating/
maintaining systems or purchasing
services): $0.
Description: A number of OSHA’s
standards require certain equipment to
be ‘‘tested’’ (or ‘‘approved’’) by a
‘‘nationally recognized testing
laboratory’’ (NRTL). An organization
seeking to perform this testing (or
approval) must be ‘‘recognized’’ by
OSHA and must apply to the OSHA
NRTL Program for recognition.
Recognition is granted after OSHA
determines that the organization meets
certain requirements.
Darrin A. King,
Acting Departmental Clearance Officer.
[FR Doc. E7–8142 Filed 4–27–07; 8:45 am]
BILLING CODE 4510–26–P
DEPARTMENT OF LABOR
Employee Benefits Security
Administration
[Prohibited Transaction Exemption 2007–
06; Exemption Application Nos. D–11383,
L–11384, D–11385, D–11383, L–11384, D–
11385, L–11302 and L–11303]
Grant of Individual Exemptions
Involving; Kern County Electrical
Pension Trust (the Pension Plan), Kern
County Electrical Joint Apprenticeship
and Training Trust (the Apprenticeship
Plan), Kern County Electrical Health
and Welfare Plan (the Welfare Plan),
The International Brotherhood of
Electrical Workers Local Union 428
(the Local Union), OPET Health Care
and Life Insurance Plans RM3A and
RM5A (Together, the HYL Plans), and
OPET Prescription Drug Plan RRx
(Plan RRx; All Three Together, the
Plans)
Employee Benefits Security
Administration, Labor.
AGENCY:
E:\FR\FM\30APN1.SGM
30APN1
21300
ACTION:
Federal Register / Vol. 72, No. 82 / Monday, April 30, 2007 / Notices
Grant of individual exemptions.
This document contains
exemptions issued by the Department of
Labor (the Department) from certain of
the prohibited transaction restrictions of
the Employee Retirement Income
Security Act of 1974 (ERISA or the Act)
and/or the Internal Revenue Code of
1986 (the Code).
A notice was published in the Federal
Register of the pendency before the
Department of a proposal to grant such
exemption. The notice set forth a
summary of facts and representations
contained in the application for
exemption and referred interested
persons to the application for a
complete statement of the facts and
representations. The application has
been available for public inspection at
the Department in Washington, DC. The
notice also invited interested persons to
submit comments on the requested
exemption to the Department. In
addition the notice stated that any
interested person might submit a
written request that a public hearing be
held (where appropriate). The applicant
has represented that it has complied
with the requirements of the notification
to interested persons. No requests for a
hearing were received by the
Department. Public comments were
received by the Department as described
in the granted exemption.
The notice of proposed exemption
was issued and the exemption is being
granted solely by the Department
because, effective December 31, 1978,
section 102 of Reorganization Plan No.
4 of 1978, 5 U.S.C. App. 1 (1996),
transferred the authority of the Secretary
of the Treasury to issue exemptions of
the type proposed to the Secretary of
Labor.
SUMMARY:
rwilkins on PROD1PC63 with NOTICES
Statutory Findings
In accordance with section 408(a) of
the Act and/or section 4975(c)(2) of the
Code and the procedures set forth in 29
CFR part 2570, subpart B (55 FR 32836,
32847, August 10, 1990) and based upon
the entire record, the Department makes
the following findings:
(a) The exemption is administratively
feasible;
(b) The exemption is in the interests
of the plan and its participants and
beneficiaries; and
(c) The exemption is protective of the
rights of the participants and
beneficiaries of the plan.
VerDate Aug<31>2005
18:27 Apr 27, 2007
Jkt 211001
Kern County Electrical Pension Trust
(the Pension Plan); Kern County
Electrical Joint Apprenticeship and
Training Trust (the Apprenticeship
Plan); Kern County Electrical Health
and Welfare Plan (the Welfare Plan) 1
and The International Brotherhood of
Electrical Workers Local Union 428
(the Local Union) Located in
Bakersfield, California
[Prohibited Transaction Nos. 2007–06;
Exemption Application Nos. D–11383; L–
11384; and D–11385]
Exemption
Section I: Transactions
(a) The restrictions of sections
406(a)(1)(A) through (D), 406(b)(1), and
406(b)(2) of the Act and the sanctions
resulting from the application of section
4975 of the Code, by reason of section
4975(c)(1)(A) through (E) 2 shall not
apply to the sale by the Pension Plan of
a parcel of unimproved real property
(Parcel #1) to the Local Union, a party
in interest with respect to the Pension
Plan; provided that the conditions in
section II(a),(d),(f),(h),and (i), as set forth
below, are satisfied;
(b) The restrictions of sections
406(a)(1)(A) through (D), 406(b)(1), and
406(b)(2) of the Act and the sanctions
resulting from the application of section
4975 of the Code, by reason of section
4975(c)(1)(A) through (E) shall not apply
to the sale to the Apprenticeship Plan
by the Pension Plan of a parcel of
unimproved real property (Parcel #2)
which is adjacent to Parcel #1; provided
that the conditions in section
II(b),(c),(e),(g),(h),(i), and (j), as set forth
below, are satisfied; and
(c) The restrictions of sections
406(a)(1)(A) through (D), 406(b)(1), and
406(b)(2) of the Act and the sanctions
resulting from the application of section
4975 of the Code, by reason of section
4975(c)(1)(A) through (E) of the Act
shall not apply to the lease (the Lease)
by the Apprenticeship Plan of office
space (the Premises) in a training
facility (the Training Center) to be
constructed by the Apprenticeship Plan
on (Parcel #2) to Construction Benefits
Administration, Inc. (CBA), a party in
interest with respect to the Plans, as
service provider, whose directors are
also trustees of the Plans and officers of
the Local Union; provided that the
conditions in section II(i),(k), (l),(m),(n),
and (o), as set forth below, are satisfied.
1 The Apprenticeship Plan, the Pension Plan, and
the Welfare Plan are, herein, collectively referred to
as the Plans.
2 For purposes of this exemption, references to
specific provisions of Title I of the Act, unless
otherwise specified, refer also to the corresponding
provisions of the Code.
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Fmt 4703
Sfmt 4703
Section II: Conditions
The relief, herein, is conditioned
upon the adherence to the material facts
and representations set forth in the
application files and upon compliance
with the conditions, as set forth in this
exemption.
(a) The sale by the Pension Plan of
Parcel #1 to the Local Union is a onetime transaction for cash;
(b) The sale by the Pension Plan of
Parcel #2 to the Apprenticeship Plan is
a one-time transaction for cash;
(c) An independent, qualified
fiduciary (the I/F), acting on behalf of
the Apprenticeship Plan:
(1) After negotiating, reviewing, and
analyzing the terms of the purchase of
Parcel #2, approves such purchase by
the Apprenticeship Plan;
(2) After negotiating, reviewing, and
analyzing the construction of the
Training Center on Parcel #2, approves
the construction of the Training Center
by the Apprenticeship Plan;
(3) Determines that the acquisition of
Parcel #2 and the construction of the
Training Center by the Apprenticeship
Plan would be feasible, in the interest
of, and protective of the Apprenticeship
Plan and its participants and
beneficiaries; and
(4) Is responsible for monitoring
compliance with the terms and
condition of this exemption and the
terms and conditions of the acquisition
of Parcel #2 and the construction of the
Training Center by the Apprenticeship
Plan;
(d) The purchase price paid by the
Local Union for Parcel #1 is equal to the
fair market value of such parcel, as
determined by an independent,
qualified appraiser, as of the date of the
sale;
(e) The purchase price paid by the
Apprenticeship Plan for Parcel #2 is
equal to the fair market value of such
parcel, as determined by an
independent, qualified appraiser, as of
the date of the sale;
(f) The terms of the sale by the
Pension Plan of Parcel #1 to the Local
Union are no less favorable to the
Pension Plan than terms negotiated
under similar circumstances at arm’s
length with unrelated third parties;
(g) The terms of the sale by the
Pension Plan of Parcel #2 to the
Apprenticeship Plan are no less
favorable to the Pension Plan and no
less favorable to the Apprenticeship
Plan than terms negotiated under
similar circumstances at arm’s length
with unrelated third parties;
(h) The Plans will not provide any
construction financing or permanent
financing to the Local Union in
E:\FR\FM\30APN1.SGM
30APN1
rwilkins on PROD1PC63 with NOTICES
Federal Register / Vol. 72, No. 82 / Monday, April 30, 2007 / Notices
connection with the acquisition by the
Local Union of Parcel #1 and the
construction of a building on Parcel #1
(the Union Building) by the Local
Union, nor will the Pension Plan, the
Welfare Plan, or the Local Union
provide any construction financing or
permanent financing to the
Apprenticeship Plan in connection with
the acquisition by the Apprenticeship
Plan of Parcel #2 and the construction
of the Training Center on Parcel #2 by
the Apprenticeship Plan;
(i) The Plans will not pay any
commissions, fees, or other similar
payments to any party in connection
with any of the subject transactions;
(j) The terms of any loan from an
unrelated third party obtained by the
Apprenticeship Plan for the purpose of
acquiring Parcel #2 or constructing the
Training Center provides recourse to
such unrelated third party lender only
against the Apprenticeship Plan’s
interest in Parcel #2 and not against the
general assets of the Apprenticeship
Plan;
(k) Prior to entering into the Lease, the
I/F, acting on behalf of the
Apprenticeship Plan, determines that
the leasing transaction is feasible, in the
interest of, and protective of the
Apprenticeship Plan and its participants
and beneficiaries; and approves the
leasing transaction in accordance with
the fiduciary provisions of the Act;
(l) Throughout the duration of the
Lease, the I/F, acting on behalf of the
Apprenticeship Plan, monitors
compliance with the terms and
conditions of the Lease, ensures that
such terms and conditions are at all
times satisfied, and is responsible for
legally enforcing the payment of the rent
and the proper performance by CBA
under the terms of the Lease and for
taking any and all steps necessary to
ensure that the Apprenticeship Plan is
protected, including but not limited to
reviewing, negotiating, and approving
the initial Lease and any amendment,
renewal, or extension of such Lease;
(m) Under the provisions of the Lease,
the leasing transaction is at all times on
terms that are at least as favorable to the
Apprenticeship Plan and to CBA, as
terms that would have been negotiated
under similar circumstances at arm’s
length with unrelated third parties;
(n) The rental rate under the terms of
the initial Lease and under the terms of
any amendment, renewal, or extension
of the Lease, is adjusted at least every
three (3) years in which such Lease is
in effect, and the rental rate reflects the
fair market rental value of the Premises,
as determined by an independent,
qualified appraiser; and
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18:27 Apr 27, 2007
Jkt 211001
(o) Notwithstanding anything to the
contrary in the Lease, the
Apprenticeship Plan may at any time
upon ninety (90) days prior written
notice given to CBA, terminate the Lease
and CBA’s occupancy of the Premises,
effective as of the date specified in such
written notice, which date shall be at
least ninety (90) days after the date such
written notice is given to CBA.
For a more complete statement of the
facts and representations supporting the
Department’s decision to grant this
exemption refer to the Notice of
Proposed Exemption published on
February 19, 2007, at 72 Federal
Register 6760.
FOR FURTHER INFORMATION CONTACT:
Angelena C. Le Blanc of the Department,
telephone (202) 693–8540 (This is not a
toll-free number).
OPET Health Care and Life Insurance
Plans RM3A and RM5A (together, the
H&L Plans); and OPET Prescription
Drug Plan RRX (Plan RRX; All Three
Together, the Plans) Located in
Portland, Oregon
[Prohibited Transaction Exemption 2007–07;
Exemption Application Nos. L–11302 and L–
11303]
Exemption
The restrictions of section 406(a) of
the Act shall not apply to the purchase
by the Plans’ participants and
beneficiaries of prescription drugs from
the Labor Center Pharmacy (LCP), a
party in interest with respect to the
Plans, provided the following
conditions are satisfied:
(a) The terms of the transactions are
at least as favorable to the Plans as those
the Plans could obtain in similar
transactions with an unrelated party;
(b) Any decisions by the Plans to
enter into agreements governing the
subject purchases have been and will be
made by Plan fiduciaries independent of
LCP;
(c) At least 50% of the preferred
providers participating in the Preferred
Provider Network (PPN) involving LCP
are unrelated to LCP or any other party
in interest with respect to the Plans;
(d) LCP will be treated no differently
than any other pharmacy participating
in the PPN (e.g., subject to the same
reimbursement rates and oversight as
the other participating pharmacies); and
(e) The transactions are not part of an
agreement, arrangement or
understanding designed to benefit LCP
or any other party in interest with
respect to the Plans.
For a more complete statement of the
facts and representations supporting the
Department’s decision to grant this
exemption, refer to the notice of
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Frm 00100
Fmt 4703
Sfmt 4703
21301
proposed exemption published on
February 13, 2007 at 72 FR 6766.
Effective Date: This exemption is
effective as of January 1, 2001.
DATES:
Gary
H. Lefkowitz of the Department,
telephone (202) 693–8546. (This is not
a toll-free number).
FOR FURTHER INFORMATION CONTACT:
General Information
The attention of interested persons is
directed to the following:
(1) The fact that a transaction is the
subject of an exemption under section
408(a) of the Act and/or section
4975(c)(2) of the Code does not relieve
a fiduciary or other party in interest or
disqualified person from certain other
provisions to which the exemption does
not apply and the general fiduciary
responsibility provisions of section 404
of the Act, which among other things
require a fiduciary to discharge his
duties respecting the plan solely in the
interest of the participants and
beneficiaries of the plan and in a
prudent fashion in accordance with
section 404(a)(1)(B) of the Act; nor does
it affect the requirement of section
401(a) of the Code that the plan must
operate for the exclusive benefit of the
employees of the employer maintaining
the plan and their beneficiaries;
(2) This exemption is supplemental to
and not in derogation of, any other
provisions of the Act and/or the Code,
including statutory or administrative
exemptions and transactional rules.
Furthermore, the fact that a transaction
is subject to an administrative or
statutory exemption is not dispositive of
whether the transaction is in fact a
prohibited transaction; and
(3) The availability of this exemption
is subject to the express condition that
the material facts and representations
contained in the application accurately
describes all material terms of the
transaction which is the subject of the
exemption.
Signed at Washington, DC, this 25th day of
April, 2007.
Ivan Strasfeld,
Director of Exemption Determinations,
Employee Benefits Security Administration,
U.S. Department of Labor.
[FR Doc. E7–8183 Filed 4–27–07; 8:45 am]
BILLING CODE 4510–29–P
E:\FR\FM\30APN1.SGM
30APN1
]]>Agencies
[Federal Register Volume 72, Number 82 (Monday, April 30, 2007)]
[Notices]
[Pages 21299-21301]
From the Federal Register Online via the Government Printing Office [www.gpo.gov]
[FR Doc No: E7-8183]
-----------------------------------------------------------------------
DEPARTMENT OF LABOR
Employee Benefits Security Administration
[Prohibited Transaction Exemption 2007-06; Exemption Application Nos.
D-11383, L-11384, D-11385, D-11383, L-11384, D-11385, L-11302 and L-
11303]
Grant of Individual Exemptions Involving; Kern County Electrical
Pension Trust (the Pension Plan), Kern County Electrical Joint
Apprenticeship and Training Trust (the Apprenticeship Plan), Kern
County Electrical Health and Welfare Plan (the Welfare Plan), The
International Brotherhood of Electrical Workers Local Union 428 (the
Local Union), OPET Health Care and Life Insurance Plans RM3A and RM5A
(Together, the HYL Plans), and OPET Prescription Drug Plan RRx (Plan
RRx; All Three Together, the Plans)
AGENCY: Employee Benefits Security Administration, Labor.
[[Page 21300]]
ACTION: Grant of individual exemptions.
-----------------------------------------------------------------------
SUMMARY: This document contains exemptions issued by the Department of
Labor (the Department) from certain of the prohibited transaction
restrictions of the Employee Retirement Income Security Act of 1974
(ERISA or the Act) and/or the Internal Revenue Code of 1986 (the Code).
A notice was published in the Federal Register of the pendency
before the Department of a proposal to grant such exemption. The notice
set forth a summary of facts and representations contained in the
application for exemption and referred interested persons to the
application for a complete statement of the facts and representations.
The application has been available for public inspection at the
Department in Washington, DC. The notice also invited interested
persons to submit comments on the requested exemption to the
Department. In addition the notice stated that any interested person
might submit a written request that a public hearing be held (where
appropriate). The applicant has represented that it has complied with
the requirements of the notification to interested persons. No requests
for a hearing were received by the Department. Public comments were
received by the Department as described in the granted exemption.
The notice of proposed exemption was issued and the exemption is
being granted solely by the Department because, effective December 31,
1978, section 102 of Reorganization Plan No. 4 of 1978, 5 U.S.C. App. 1
(1996), transferred the authority of the Secretary of the Treasury to
issue exemptions of the type proposed to the Secretary of Labor.
Statutory Findings
In accordance with section 408(a) of the Act and/or section
4975(c)(2) of the Code and the procedures set forth in 29 CFR part
2570, subpart B (55 FR 32836, 32847, August 10, 1990) and based upon
the entire record, the Department makes the following findings:
(a) The exemption is administratively feasible;
(b) The exemption is in the interests of the plan and its
participants and beneficiaries; and
(c) The exemption is protective of the rights of the participants
and beneficiaries of the plan.
Kern County Electrical Pension Trust (the Pension Plan); Kern County
Electrical Joint Apprenticeship and Training Trust (the Apprenticeship
Plan); Kern County Electrical Health and Welfare Plan (the Welfare
Plan) \1\ and The International Brotherhood of Electrical Workers Local
Union 428 (the Local Union) Located in Bakersfield, California
[Prohibited Transaction Nos. 2007-06; Exemption Application Nos. D-
11383; L-11384; and D-11385]
Exemption
Section I: Transactions
(a) The restrictions of sections 406(a)(1)(A) through (D),
406(b)(1), and 406(b)(2) of the Act and the sanctions resulting from
the application of section 4975 of the Code, by reason of section
4975(c)(1)(A) through (E) \2\ shall not apply to the sale by the
Pension Plan of a parcel of unimproved real property (Parcel
1) to the Local Union, a party in interest with respect to the
Pension Plan; provided that the conditions in section
II(a),(d),(f),(h),and (i), as set forth below, are satisfied;
---------------------------------------------------------------------------
\1\ The Apprenticeship Plan, the Pension Plan, and the Welfare
Plan are, herein, collectively referred to as the Plans.
\2\ For purposes of this exemption, references to specific
provisions of Title I of the Act, unless otherwise specified, refer
also to the corresponding provisions of the Code.
---------------------------------------------------------------------------
(b) The restrictions of sections 406(a)(1)(A) through (D),
406(b)(1), and 406(b)(2) of the Act and the sanctions resulting from
the application of section 4975 of the Code, by reason of section
4975(c)(1)(A) through (E) shall not apply to the sale to the
Apprenticeship Plan by the Pension Plan of a parcel of unimproved real
property (Parcel 2) which is adjacent to Parcel 1;
provided that the conditions in section II(b),(c),(e),(g),(h),(i), and
(j), as set forth below, are satisfied; and
(c) The restrictions of sections 406(a)(1)(A) through (D),
406(b)(1), and 406(b)(2) of the Act and the sanctions resulting from
the application of section 4975 of the Code, by reason of section
4975(c)(1)(A) through (E) of the Act shall not apply to the lease (the
Lease) by the Apprenticeship Plan of office space (the Premises) in a
training facility (the Training Center) to be constructed by the
Apprenticeship Plan on (Parcel 2) to Construction Benefits
Administration, Inc. (CBA), a party in interest with respect to the
Plans, as service provider, whose directors are also trustees of the
Plans and officers of the Local Union; provided that the conditions in
section II(i),(k), (l),(m),(n), and (o), as set forth below, are
satisfied.
Section II: Conditions
The relief, herein, is conditioned upon the adherence to the
material facts and representations set forth in the application files
and upon compliance with the conditions, as set forth in this
exemption.
(a) The sale by the Pension Plan of Parcel 1 to the Local
Union is a one-time transaction for cash;
(b) The sale by the Pension Plan of Parcel 2 to the
Apprenticeship Plan is a one-time transaction for cash;
(c) An independent, qualified fiduciary (the I/F), acting on behalf
of the Apprenticeship Plan:
(1) After negotiating, reviewing, and analyzing the terms of the
purchase of Parcel 2, approves such purchase by the
Apprenticeship Plan;
(2) After negotiating, reviewing, and analyzing the construction of
the Training Center on Parcel 2, approves the construction of
the Training Center by the Apprenticeship Plan;
(3) Determines that the acquisition of Parcel 2 and the
construction of the Training Center by the Apprenticeship Plan would be
feasible, in the interest of, and protective of the Apprenticeship Plan
and its participants and beneficiaries; and
(4) Is responsible for monitoring compliance with the terms and
condition of this exemption and the terms and conditions of the
acquisition of Parcel 2 and the construction of the Training
Center by the Apprenticeship Plan;
(d) The purchase price paid by the Local Union for Parcel
1 is equal to the fair market value of such parcel, as
determined by an independent, qualified appraiser, as of the date of
the sale;
(e) The purchase price paid by the Apprenticeship Plan for Parcel
2 is equal to the fair market value of such parcel, as
determined by an independent, qualified appraiser, as of the date of
the sale;
(f) The terms of the sale by the Pension Plan of Parcel 1
to the Local Union are no less favorable to the Pension Plan than terms
negotiated under similar circumstances at arm's length with unrelated
third parties;
(g) The terms of the sale by the Pension Plan of Parcel 2
to the Apprenticeship Plan are no less favorable to the Pension Plan
and no less favorable to the Apprenticeship Plan than terms negotiated
under similar circumstances at arm's length with unrelated third
parties;
(h) The Plans will not provide any construction financing or
permanent financing to the Local Union in
[[Page 21301]]
connection with the acquisition by the Local Union of Parcel 1
and the construction of a building on Parcel 1 (the Union
Building) by the Local Union, nor will the Pension Plan, the Welfare
Plan, or the Local Union provide any construction financing or
permanent financing to the Apprenticeship Plan in connection with the
acquisition by the Apprenticeship Plan of Parcel 2 and the
construction of the Training Center on Parcel 2 by the
Apprenticeship Plan;
(i) The Plans will not pay any commissions, fees, or other similar
payments to any party in connection with any of the subject
transactions;
(j) The terms of any loan from an unrelated third party obtained by
the Apprenticeship Plan for the purpose of acquiring Parcel 2
or constructing the Training Center provides recourse to such unrelated
third party lender only against the Apprenticeship Plan's interest in
Parcel 2 and not against the general assets of the
Apprenticeship Plan;
(k) Prior to entering into the Lease, the I/F, acting on behalf of
the Apprenticeship Plan, determines that the leasing transaction is
feasible, in the interest of, and protective of the Apprenticeship Plan
and its participants and beneficiaries; and approves the leasing
transaction in accordance with the fiduciary provisions of the Act;
(l) Throughout the duration of the Lease, the I/F, acting on behalf
of the Apprenticeship Plan, monitors compliance with the terms and
conditions of the Lease, ensures that such terms and conditions are at
all times satisfied, and is responsible for legally enforcing the
payment of the rent and the proper performance by CBA under the terms
of the Lease and for taking any and all steps necessary to ensure that
the Apprenticeship Plan is protected, including but not limited to
reviewing, negotiating, and approving the initial Lease and any
amendment, renewal, or extension of such Lease;
(m) Under the provisions of the Lease, the leasing transaction is
at all times on terms that are at least as favorable to the
Apprenticeship Plan and to CBA, as terms that would have been
negotiated under similar circumstances at arm's length with unrelated
third parties;
(n) The rental rate under the terms of the initial Lease and under
the terms of any amendment, renewal, or extension of the Lease, is
adjusted at least every three (3) years in which such Lease is in
effect, and the rental rate reflects the fair market rental value of
the Premises, as determined by an independent, qualified appraiser; and
(o) Notwithstanding anything to the contrary in the Lease, the
Apprenticeship Plan may at any time upon ninety (90) days prior written
notice given to CBA, terminate the Lease and CBA's occupancy of the
Premises, effective as of the date specified in such written notice,
which date shall be at least ninety (90) days after the date such
written notice is given to CBA.
For a more complete statement of the facts and representations
supporting the Department's decision to grant this exemption refer to
the Notice of Proposed Exemption published on February 19, 2007, at 72
Federal Register 6760.
FOR FURTHER INFORMATION CONTACT: Angelena C. Le Blanc of the
Department, telephone (202) 693-8540 (This is not a toll-free number).
OPET Health Care and Life Insurance Plans RM3A and RM5A (together, the
H&L Plans); and OPET Prescription Drug Plan RRX (Plan RRX; All Three
Together, the Plans) Located in Portland, Oregon
[Prohibited Transaction Exemption 2007-07; Exemption Application Nos.
L-11302 and L-11303]
Exemption
The restrictions of section 406(a) of the Act shall not apply to
the purchase by the Plans' participants and beneficiaries of
prescription drugs from the Labor Center Pharmacy (LCP), a party in
interest with respect to the Plans, provided the following conditions
are satisfied:
(a) The terms of the transactions are at least as favorable to the
Plans as those the Plans could obtain in similar transactions with an
unrelated party;
(b) Any decisions by the Plans to enter into agreements governing
the subject purchases have been and will be made by Plan fiduciaries
independent of LCP;
(c) At least 50% of the preferred providers participating in the
Preferred Provider Network (PPN) involving LCP are unrelated to LCP or
any other party in interest with respect to the Plans;
(d) LCP will be treated no differently than any other pharmacy
participating in the PPN (e.g., subject to the same reimbursement rates
and oversight as the other participating pharmacies); and
(e) The transactions are not part of an agreement, arrangement or
understanding designed to benefit LCP or any other party in interest
with respect to the Plans.
For a more complete statement of the facts and representations
supporting the Department's decision to grant this exemption, refer to
the notice of proposed exemption published on February 13, 2007 at 72
FR 6766.
DATES: Effective Date: This exemption is effective as of January 1,
2001.
FOR FURTHER INFORMATION CONTACT: Gary H. Lefkowitz of the Department,
telephone (202) 693-8546. (This is not a toll-free number).
General Information
The attention of interested persons is directed to the following:
(1) The fact that a transaction is the subject of an exemption
under section 408(a) of the Act and/or section 4975(c)(2) of the Code
does not relieve a fiduciary or other party in interest or disqualified
person from certain other provisions to which the exemption does not
apply and the general fiduciary responsibility provisions of section
404 of the Act, which among other things require a fiduciary to
discharge his duties respecting the plan solely in the interest of the
participants and beneficiaries of the plan and in a prudent fashion in
accordance with section 404(a)(1)(B) of the Act; nor does it affect the
requirement of section 401(a) of the Code that the plan must operate
for the exclusive benefit of the employees of the employer maintaining
the plan and their beneficiaries;
(2) This exemption is supplemental to and not in derogation of, any
other provisions of the Act and/or the Code, including statutory or
administrative exemptions and transactional rules. Furthermore, the
fact that a transaction is subject to an administrative or statutory
exemption is not dispositive of whether the transaction is in fact a
prohibited transaction; and
(3) The availability of this exemption is subject to the express
condition that the material facts and representations contained in the
application accurately describes all material terms of the transaction
which is the subject of the exemption.
Signed at Washington, DC, this 25th day of April, 2007.
Ivan Strasfeld,
Director of Exemption Determinations, Employee Benefits Security
Administration, U.S. Department of Labor.
[FR Doc. E7-8183 Filed 4-27-07; 8:45 am]
BILLING CODE 4510-29-P
