Management Official Interlocks Threshold Change, 58248-58249 [E7-20266]

Download as PDF 58248 Federal Register / Vol. 72, No. 198 / Monday, October 15, 2007 / Rules and Regulations make enrollment changes under the same circumstances as active employees. ACTION: C. Regulatory Procedures Final rule. The NCUA is amending its management interlocks rule to conform it to a change the Financial Services Regulatory Relief Act of 2006 (FSRAA) made in the dollar threshold that triggers the prohibition on management officials serving at unaffiliated depository organizations. This final rule changes the threshold from $20 million to $50 million. SUMMARY: § 894.703 How long does my coverage as an annuitant or compensationer last? Your coverage as an annuitant or compensationer continues as long as you continue receiving an annuity or compensation and pay your premiums, unless you cancel your coverage during an open season or terminate coverage due to insufficient annuity or compensation. § 894.704 What happens if I retire and then come back to work for the Federal Government? (a) If you have FEDVIP coverage as an annuitant, and you become reemployed in an eligible position in Federal service, you must contact the Administrator so it can send the request for allotments to your agency so your agency can start making the allotments from your pay. (b) If you did not enroll in FEDVIP coverage as an annuitant and become reemployed in an eligible Federal position, you have 60 days to enroll in FEDVIP. (c) If you enroll as an employee the Administrator will stop sending requests for allotments from your annuity. This rule is effective as of October 15, 2007. DATES: FOR FURTHER INFORMATION CONTACT: Annette Tapia, Staff Attorney, Office of General Counsel, National Credit Union Administration, 1775 Duke Street, Alexandria, Virginia 22314–3428 or telephone: (703) 518–6540. SUPPLEMENTARY INFORMATION: A. Background (a) Dental and vision plans under FEDVIP will include underserved areas in their service areas and provide benefits to enrollees in underserved areas. (b) In any area where a FEDVIP dental or vision plan does not meet OPM access standards, including underserved areas, enrollees may receive services from non-network providers. (c) Contracts under FEDVIP shall include access standards as defined by OPM and payment levels for services to non-network providers in areas that do not meet access standards. The Depository Institution Management Interlocks Act (Interlocks Act) prohibits individuals from simultaneously serving as a management official at two unaffiliated depository institutions or their holding companies (collectively, depository organizations) under certain circumstances. 12 U.S.C. 3201 et seq. Section 203(1) of the Interlocks Act prohibits interlocks between unaffiliated depository organizations if each depository organization or its affiliate has an office in the same relevant metropolitan statistical area (RMSA prohibition), unless each of the depository organizations or affiliates involved has total assets below a specified threshold. Before enactment of FSRRA, this asset threshold was $20 million; however, section 610 of FSRRA amended the Interlocks Act by raising this asset threshold to $50 million, effective October 13, 2006. This final rule tracks changes the other federal financial institution regulators have made in their management interlocks rules. 72 FR 38753 (July 16, 2007). [FR Doc. E7–20193 Filed 10–12–07; 8:45 am] B. Regulatory Changes Subpart H—Benefits in Underserved Areas § 894.801 Will benefits be available in underserved areas? BILLING CODE 6325–39–P NATIONAL CREDIT UNION ADMINISTRATION yshivers on PROD1PC62 with RULES 12 CFR Part 711 Management Official Interlocks Threshold Change National Credit Union Administration (NCUA). AGENCY: VerDate Aug<31>2005 12:51 Oct 12, 2007 Jkt 214001 NCUA is amending § 711.3(b) to implement section 610 of FSRRA. Specifically, the final rule modifies the RMSA prohibition to allow a management official of one depository organization to serve as a management official of an unaffiliated depository organization that has an office in the same RMSA as the first organization if each of the depository organizations or affiliates involved has total assets of less than $50 million. PO 00000 Frm 00006 Fmt 4700 Sfmt 4700 Final Rule Under the Administrative Procedure Act Generally, the Administrative Procedure Act (APA) requires a federal agency to provide the public with notice and the opportunity to comment on agency rulemakings. The amendment in this rule is not substantive but technical in that it merely incorporates into NCUA’s regulations a statutory increase in the threshold. The APA permits an agency to forego the notice and comment period under certain circumstances, such as when a rulemaking is technical and not substantive. For these reasons, NCUA finds good cause that notice and public comment are unnecessary under Section 553(b)(3)(B) of the APA, 5 U.S.C. 553(b)(3)(B), and also finds good cause to dispense with the 30-day delayed effective date requirement under Section 553(d)(3) of the APA. 5 U.S.C. 553(d)(3). The rule will, therefore, be effective upon publication. Regulatory Flexibility Act The Regulatory Flexibility Act requires NCUA to prepare an analysis to describe any significant economic impact a rule may have on a substantial number of small entities (those credit unions under ten million dollars in assets). This rule changes NCUA’s regulation to conform to a statutory change. This rule will not have a significant economic impact on a substantial number of small credit unions, and, therefore, a regulatory flexibility analysis is not required. Paperwork Reduction Act NCUA has determined that this rule will not increase paperwork requirements under the Paperwork Reduction Act of 1995 and regulations of the Office of Management and Budget. Executive Order 13132 Executive Order 13132 encourages independent regulatory agencies to consider the impact of their actions on state and local interests. In adherence to fundamental federalism principles, NCUA, an independent regulatory agency as defined in 44 U.S.C. 3502(5), voluntarily complies with the executive order. This rule will not have substantial direct effects on the states, on the relationship between the national government and the states, or on the distribution of power and responsibilities among the various levels of government. NCUA has determined that this rule does not constitute a policy that has federalism E:\FR\FM\15OCR1.SGM 15OCR1 Federal Register / Vol. 72, No. 198 / Monday, October 15, 2007 / Rules and Regulations implications for purposes of the executive order. The Treasury and General Government Appropriations Act, 1999—Assessment of Federal Regulations and Policies on Families The NCUA has determined that this rule will not affect family well-being within the meaning of section 654 of the Treasury and General Government Appropriations Act, 1999, Pub. L. 105– 277, 112 Stat. 2681 (1998). Small Business Regulatory Enforcement Fairness Act The Small Business Regulatory Enforcement Fairness Act of 1996 (Pub. L. 104–121) (SBREFA) provides generally for congressional review of agency rules. A reporting requirement is triggered in instances where NCUA issues a final rule as defined by Section 551 of the APA. 5 U.S.C. 551. The Office of Management and Budget is currently reviewing this rule as it pertains to SBREFA. List of Subjects in 12 CFR Part 711 Antitrust, Banks, Banking, Credit unions. By the National Credit Union Administration Board on October 9, 2007. Mary Rupp, Secretary of the Board. For the reasons discussed above, NCUA is amending part 711 as follows: I PART 711—MANAGEMENT OFFICIAL INTERLOCKS 1. The authority citation for part 711 continues to read as follows: I Authority: 12 U.S.C. 1757 and 3201–3208. 2. Section 711.3(b) is amended by removing the number ‘‘20’’ and adding number ‘‘50’’ in its place. I [FR Doc. E7–20266 Filed 10–12–07; 8:45 am] BILLING CODE 7535–01–P PENSION BENEFIT GUARANTY CORPORATION 29 CFR Parts 4022 and 4044 yshivers on PROD1PC62 with RULES Benefits Payable in Terminated SingleEmployer Plans; Allocation of Assets in Single-Employer Plans; Interest Assumptions for Valuing and Paying Benefits Pension Benefit Guaranty Corporation. ACTION: Final rule. AGENCY: The Pension Benefit Guaranty Corporation’s regulations on Benefits SUMMARY: VerDate Aug<31>2005 12:51 Oct 12, 2007 Jkt 214001 Payable in Terminated Single-Employer Plans and Allocation of Assets in Single-Employer Plans prescribe interest assumptions for valuing and paying benefits under terminating singleemployer plans. This final rule amends the regulations to adopt interest assumptions for plans with valuation dates in November 2007. Interest assumptions are also published on the PBGC’s Web site (https://www.pbgc.gov). DATES: Effective November 1, 2007. FOR FURTHER INFORMATION CONTACT: Catherine B. Klion, Manager, Regulatory and Policy Division, 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: The PBGC’s regulations prescribe actuarial assumptions—including interest assumptions—for valuing and paying plan benefits of terminating singleemployer plans covered by title IV of the Employee Retirement Income Security Act of 1974. The interest assumptions are intended to reflect current conditions in the financial and annuity markets. Three sets of interest assumptions are prescribed: (1) A set for the valuation of benefits for allocation purposes under section 4044 (found in Appendix B to part 4044), (2) a set for the PBGC to use to determine whether a benefit is payable as a lump sum and to determine lump-sum amounts to be paid by the PBGC (found in Appendix B to part 4022), and (3) a set for private-sector pension practitioners to refer to if they wish to use lump-sum interest rates determined using the PBGC’s historical methodology (found in Appendix C to part 4022). This amendment (1) adds to Appendix B to part 4044 the interest assumptions for valuing benefits for allocation purposes in plans with valuation dates during November 2007, (2) adds to Appendix B to part 4022 the interest assumptions for the PBGC to use for its own lump-sum payments in plans with valuation dates during November 2007, and (3) adds to Appendix C to part 4022 the interest assumptions for private-sector pension practitioners to refer to if they wish to use lump-sum interest rates determined using the PBGC’s historical methodology for valuation dates during November 2007. For valuation of benefits for allocation purposes, the interest assumptions that the PBGC will use (set forth in PO 00000 Frm 00007 Fmt 4700 Sfmt 4700 58249 Appendix B to part 4044) will be 5.46 percent for the first 20 years following the valuation date and 5.13 percent thereafter. These interest assumptions represent a decrease (from those in effect for October 2007) of 0.05 percent for the first 20 years following the valuation date and 0.05 percent for all years thereafter. The interest assumptions that the PBGC will use for its own lump-sum payments (set forth in Appendix B to part 4022) will be 3.25 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. These interest assumptions represent no change from those in effect for October 2007. For private-sector payments, the interest assumptions (set forth in Appendix C to part 4022) will be the same as those used by the PBGC for determining and paying lump sums (set forth in Appendix B to part 4022). The 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 valuation and payment of benefits in plans with valuation dates during November 2007, the PBGC finds that good cause exists for making the assumptions set forth in this amendment effective less than 30 days after publication. The 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 29 CFR Part 4022 Employee benefit plans, Pension insurance, Pensions, Reporting and recordkeeping requirements. 29 CFR Part 4044 Employee benefit plans, Pension insurance, Pensions. In consideration of the foregoing, 29 CFR parts 4022 and 4044 are amended as follows: I E:\FR\FM\15OCR1.SGM 15OCR1

Agencies

National Credit Union Administration

[Federal Register Volume 72, Number 198 (Monday, October 15, 2007)]
[Rules and Regulations]
[Pages 58248-58249]
From the Federal Register Online via the Government Printing Office [www.gpo.gov]
[FR Doc No: E7-20266]


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NATIONAL CREDIT UNION ADMINISTRATION

12 CFR Part 711


Management Official Interlocks Threshold Change

AGENCY: National Credit Union Administration (NCUA).

ACTION: Final rule.

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

SUMMARY: The NCUA is amending its management interlocks rule to conform 
it to a change the Financial Services Regulatory Relief Act of 2006 
(FSRAA) made in the dollar threshold that triggers the prohibition on 
management officials serving at unaffiliated depository organizations. 
This final rule changes the threshold from $20 million to $50 million.

DATES: This rule is effective as of October 15, 2007.

FOR FURTHER INFORMATION CONTACT: Annette Tapia, Staff Attorney, Office 
of General Counsel, National Credit Union Administration, 1775 Duke 
Street, Alexandria, Virginia 22314-3428 or telephone: (703) 518-6540.

SUPPLEMENTARY INFORMATION:

A. Background

    The Depository Institution Management Interlocks Act (Interlocks 
Act) prohibits individuals from simultaneously serving as a management 
official at two unaffiliated depository institutions or their holding 
companies (collectively, depository organizations) under certain 
circumstances. 12 U.S.C. 3201 et seq. Section 203(1) of the Interlocks 
Act prohibits interlocks between unaffiliated depository organizations 
if each depository organization or its affiliate has an office in the 
same relevant metropolitan statistical area (RMSA prohibition), unless 
each of the depository organizations or affiliates involved has total 
assets below a specified threshold. Before enactment of FSRRA, this 
asset threshold was $20 million; however, section 610 of FSRRA amended 
the Interlocks Act by raising this asset threshold to $50 million, 
effective October 13, 2006.
    This final rule tracks changes the other federal financial 
institution regulators have made in their management interlocks rules. 
72 FR 38753 (July 16, 2007).

B. Regulatory Changes

    NCUA is amending Sec.  711.3(b) to implement section 610 of FSRRA. 
Specifically, the final rule modifies the RMSA prohibition to allow a 
management official of one depository organization to serve as a 
management official of an unaffiliated depository organization that has 
an office in the same RMSA as the first organization if each of the 
depository organizations or affiliates involved has total assets of 
less than $50 million.

C. Regulatory Procedures

Final Rule Under the Administrative Procedure Act

    Generally, the Administrative Procedure Act (APA) requires a 
federal agency to provide the public with notice and the opportunity to 
comment on agency rulemakings. The amendment in this rule is not 
substantive but technical in that it merely incorporates into NCUA's 
regulations a statutory increase in the threshold. The APA permits an 
agency to forego the notice and comment period under certain 
circumstances, such as when a rulemaking is technical and not 
substantive. For these reasons, NCUA finds good cause that notice and 
public comment are unnecessary under Section 553(b)(3)(B) of the APA, 5 
U.S.C. 553(b)(3)(B), and also finds good cause to dispense with the 30-
day delayed effective date requirement under Section 553(d)(3) of the 
APA. 5 U.S.C. 553(d)(3). The rule will, therefore, be effective upon 
publication.

Regulatory Flexibility Act

    The Regulatory Flexibility Act requires NCUA to prepare an analysis 
to describe any significant economic impact a rule may have on a 
substantial number of small entities (those credit unions under ten 
million dollars in assets). This rule changes NCUA's regulation to 
conform to a statutory change. This rule will not have a significant 
economic impact on a substantial number of small credit unions, and, 
therefore, a regulatory flexibility analysis is not required.

Paperwork Reduction Act

    NCUA has determined that this rule will not increase paperwork 
requirements under the Paperwork Reduction Act of 1995 and regulations 
of the Office of Management and Budget.

Executive Order 13132

    Executive Order 13132 encourages independent regulatory agencies to 
consider the impact of their actions on state and local interests. In 
adherence to fundamental federalism principles, NCUA, an independent 
regulatory agency as defined in 44 U.S.C. 3502(5), voluntarily complies 
with the executive order. This rule will not have substantial direct 
effects on the states, on the relationship between the national 
government and the states, or on the distribution of power and 
responsibilities among the various levels of government. NCUA has 
determined that this rule does not constitute a policy that has 
federalism

[[Page 58249]]

implications for purposes of the executive order.

The Treasury and General Government Appropriations Act, 1999--
Assessment of Federal Regulations and Policies on Families

    The NCUA has determined that this rule will not affect family well-
being within the meaning of section 654 of the Treasury and General 
Government Appropriations Act, 1999, Pub. L. 105-277, 112 Stat. 2681 
(1998).

Small Business Regulatory Enforcement Fairness Act

    The Small Business Regulatory Enforcement Fairness Act of 1996 
(Pub. L. 104-121) (SBREFA) provides generally for congressional review 
of agency rules. A reporting requirement is triggered in instances 
where NCUA issues a final rule as defined by Section 551 of the APA. 5 
U.S.C. 551. The Office of Management and Budget is currently reviewing 
this rule as it pertains to SBREFA.

List of Subjects in 12 CFR Part 711

    Antitrust, Banks, Banking, Credit unions.

    By the National Credit Union Administration Board on October 9, 
2007.
Mary Rupp,
Secretary of the Board.

0
For the reasons discussed above, NCUA is amending part 711 as follows:

PART 711--MANAGEMENT OFFICIAL INTERLOCKS

0
1. The authority citation for part 711 continues to read as follows:

    Authority: 12 U.S.C. 1757 and 3201-3208.

0
2. Section 711.3(b) is amended by removing the number ``20'' and adding 
number ``50'' in its place.

[FR Doc. E7-20266 Filed 10-12-07; 8:45 am]
BILLING CODE 7535-01-P

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