Benefits Payable in Terminated Single-Employer Plans; Allocation of Assets in Single-Employer Plans; Interest Assumptions for Valuing and Paying Benefits, 8816-8817 [E8-2947]
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8816
Federal Register / Vol. 73, No. 32 / Friday, February 15, 2008 / Rules and Regulations
be granted for suggestions, inventions,
superior accomplishment, or other
personal effort which contributes to the
efficiency, economy, or other
improvement of Government operations
or achieves a significant reduction in
paperwork.
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I
3. Revise § 0.143 to read as follows:
§ 0.143
Incentive Award Program.
The Director of the Federal Bureau of
Investigation, the Director of the Bureau
of Prisons, the Commissioner of Federal
Prison Industries, the Administrator of
the Drug Enforcement Administration,
the Director of the Bureau of Alcohol,
Tobacco, Firearms, and Explosives, the
Assistant Attorney General for the
Office of Justice Programs, the Director
of the Executive Office for U.S.
Attorneys, the Director of the Executive
Office for U.S. Trustees, the Director of
the Executive Office for Immigration
Review, and the Director of the U.S.
Marshals Service, as to their respective
jurisdictions, and the Assistant Attorney
General for Administration, as to all
other organizational units of the
Department, are authorized to exercise
the power and authority vested in the
Attorney General by law with respect to
the administration of the Incentive
Award Program and to approve
honorary awards and cash awards under
such program not in excess of $7,500 for
personnel in General Schedule grades
GS–1 through GS–15, administratively
determined pay systems, and wage
board positions, but excluding all
Schedule C positions.
Dated: February 8, 2008.
Michael B. Mukasey,
Attorney General.
[FR Doc. E8–2952 Filed 2–14–08; 8:45 am]
BILLING CODE 4410–19–P
PENSION BENEFIT GUARANTY
CORPORATION
29 CFR Parts 4022 and 4044
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.
rwilkins on PROD1PC63 with RULES
AGENCY:
The Pension Benefit Guaranty
Corporation’s regulations on Benefits
Payable in Terminated Single-Employer
Plans and Allocation of Assets in
Single-Employer Plans prescribe interest
SUMMARY:
VerDate Aug<31>2005
16:50 Feb 14, 2008
Jkt 214001
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 March 2008. Interest
assumptions are also published on the
PBGC’s Web site (https://www.pbgc.gov).
DATES: Effective March 1, 2008.
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 March 2008, (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
March 2008, 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 March 2008.
For valuation of benefits for allocation
purposes, the interest assumptions that
the PBGC will use (set forth in
Appendix B to part 4044) will be 5.54
percent for the first 20 years following
the valuation date and 4.61 percent
thereafter. These interest assumptions
PO 00000
Frm 00030
Fmt 4700
Sfmt 4700
represent an increase (from those in
effect for February 2008) of 0.04 percent
for the first 20 years following the
valuation date and 0.04 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 3.00 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
status. These interest assumptions
represent a decrease (from those in
effect for February 2008) of 0.25% in the
immediate annuity rate and are
otherwise unchanged. 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 March 2008, 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.
I In consideration of the foregoing, 29
CFR parts 4022 and 4044 are amended
as follows:
PART 4022—BENEFITS PAYABLE IN
TERMINATED SINGLE-EMPLOYER
PLANS
1. The authority citation for part 4022
continues to read as follows:
I
E:\FR\FM\15FER1.SGM
15FER1
8817
Federal Register / Vol. 73, No. 32 / Friday, February 15, 2008 / Rules and Regulations
Authority: 29 U.S.C. 1302, 1322, 1322b,
1341(c)(3)(D), and 1344.
Rate set
2. In Appendix B to Part 4022, Rate
Set 173, as set forth below, is added to
the table.
For plans with a valuation
date
On or after
*
Before
03–1–08
3. In Appendix C to Part 4022, Rate
Set 173, as set forth below, is added to
the table.
I
For plans with a valuation
date
On or after
*
Before
03–1–08
*
*
*
i3
4.00
n1
*
n2
*
*
4.00
7
8
n1
n2
Appendix C to Part 4022—Lump Sum
Interest Rates for Private-Sector
Payments
*
*
*
i1
3.00
i2
*
4.00
*
04–1–08
*
Deferred annuities
(percent)
Immediate
annuity rate
(percent)
*
173
*
i2
*
4.00
3.00
*
Rate set
i1
*
04–1–08
*
Deferred annuities
(percent)
Immediate
annuity rate
(percent)
*
173
Appendix B to Part 4022—Lump Sum
Interest Rates For PBGC Payments
I
i3
4.00
*
*
*
4.00
7
8
Authority: 29 U.S.C. 1301(a), 1302(b)(3),
1341, 1344, 1362.
PART 4044—ALLOCATION OF
ASSETS IN SINGLE-EMPLOYER
PLANS
Appendix B to Part 4044—Interest
Rates Used to Value Benefits
5. In Appendix B to Part 4044, a new
entry for March 2008, as set forth below,
is added to the table.
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I
4. The authority citation for part 4044
continues to read as follows:
I
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The values of it are:
For valuation dates occurring in the month—
it
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March 2008 .......................................................................
Issued in Washington, DC, on this 8th day
of February 2008.
Vincent K. Snowbarger,
Deputy Director, Pension Benefit Guaranty
Corporation.
[FR Doc. E8–2947 Filed 2–14–08; 8:45 am]
BILLING CODE 7709–01–P
DEPARTMENT OF HOMELAND
SECURITY
Coast Guard
rwilkins on PROD1PC63 with RULES
[Docket No. USCG–2008–0066 formerly
CGD11–08–004]
Drawbridge Operation Regulations;
Sacramento River, Sacramento, CA
Coast Guard, DHS.
Notice of temporary deviation
from regulations.
AGENCY:
ACTION:
16:50 Feb 14, 2008
it
for t =
1–20
*
.0461
>20
*
.0554
SUMMARY: The Commander, Eleventh
Coast Guard District, has issued a
temporary deviation from the regulation
governing the operation of the Tower
Drawbridge across the Sacramento
River, mile 59.0, at Sacramento, CA. The
deviation is necessary to allow the
owner, California Department of
Transportation (Caltrans), to conduct
electrical maintenance. This deviation
allows the bridge to remain in the
closed-to-navigation position during the
maintenance period.
This deviation is effective from
6 a.m. on February 25, 2008, through 5
a.m. on February 29, 2008.
DATES:
33 CFR Part 117
VerDate Aug<31>2005
for t =
Jkt 214001
Materials referred to in this
document are available for inspection or
copying at Commander (dpw), Eleventh
Coast Guard District, Building 50–2,
Coast Guard Island, Alameda, CA
94501–5100, between 8 a.m. and 4 p.m.,
Monday through Friday, except Federal
holidays. The telephone number is (510)
ADDRESSES:
PO 00000
Frm 00031
Fmt 4700
Sfmt 4700
it
*
for t =
*
N/A
N/A
437–3516. The Eleventh Coast Guard
District maintains the public docket for
this temporary deviation.
FOR FURTHER INFORMATION CONTACT:
David H. Sulouff, Chief, Bridge Section,
Eleventh Coast Guard District,
telephone (510) 437–3516.
Caltrans
requested a temporary change to the
operation of the Tower Drawbridge,
mile 59.0, over the Sacramento River, at
Sacramento, CA. The Tower Drawbridge
navigation span provides a vertical
clearance of 30 feet above Mean High
Water in the closed-to-navigation
position. The draw opens on signal as
required by 33 CFR 117.5. Navigation on
the waterway is commercial and
recreational.
The drawspan will be secured in the
closed-to-navigation position, from 6
a.m. on February 25, 2008 through 5
a.m. on February 29, 2008, to allow
Caltrans to relocate the drawspan’s
SUPPLEMENTARY INFORMATION:
E:\FR\FM\15FER1.SGM
15FER1
]]>Agencies
[Federal Register Volume 73, Number 32 (Friday, February 15, 2008)]
[Rules and Regulations]
[Pages 8816-8817]
From the Federal Register Online via the Government Printing Office [www.gpo.gov]
[FR Doc No: E8-2947]
=======================================================================
-----------------------------------------------------------------------
PENSION BENEFIT GUARANTY CORPORATION
29 CFR Parts 4022 and 4044
Benefits Payable in Terminated Single-Employer Plans; Allocation
of Assets in Single-Employer Plans; Interest Assumptions for Valuing
and Paying Benefits
AGENCY: Pension Benefit Guaranty Corporation.
ACTION: Final rule.
-----------------------------------------------------------------------
SUMMARY: The Pension Benefit Guaranty Corporation's regulations on
Benefits Payable in Terminated Single-Employer Plans and Allocation of
Assets in Single-Employer Plans prescribe interest assumptions for
valuing and paying benefits under terminating single-employer plans.
This final rule amends the regulations to adopt interest assumptions
for plans with valuation dates in March 2008. Interest assumptions are
also published on the PBGC's Web site (https://www.pbgc.gov).
DATES: Effective March 1, 2008.
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 single-employer 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 March 2008, (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 March 2008, 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 March 2008.
For valuation of benefits for allocation purposes, the interest
assumptions that the PBGC will use (set forth in Appendix B to part
4044) will be 5.54 percent for the first 20 years following the
valuation date and 4.61 percent thereafter. These interest assumptions
represent an increase (from those in effect for February 2008) of 0.04
percent for the first 20 years following the valuation date and 0.04
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 3.00
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
status. These interest assumptions represent a decrease (from those in
effect for February 2008) of 0.25% in the immediate annuity rate and
are otherwise unchanged. 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 March
2008, 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.
0
In consideration of the foregoing, 29 CFR parts 4022 and 4044 are
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:
[[Page 8817]]
Authority: 29 U.S.C. 1302, 1322, 1322b, 1341(c)(3)(D), and 1344.
0
2. In Appendix B to Part 4022, Rate Set 173, as set forth below, is
added to the table.
Appendix B to Part 4022--Lump Sum Interest Rates For PBGC Payments
* * * * *
--------------------------------------------------------------------------------------------------------------------------------------------------------
For plans with a valuation date Immediate Deferred annuities (percent)
Rate set ---------------------------------- annuity rate ------------------------------------------------------------------------------------
On or after Before (percent) i1 i2 i3 n1 n2
--------------------------------------------------------------------------------------------------------------------------------------------------------
* * * * * * *
173 03-1-08 04-1-08 3.00 4.00 4.00 4.00 7 8
--------------------------------------------------------------------------------------------------------------------------------------------------------
0
3. In Appendix C to Part 4022, Rate Set 173, as set forth below, is
added to the table.
Appendix C to Part 4022--Lump Sum Interest Rates for Private-Sector
Payments
* * * * *
--------------------------------------------------------------------------------------------------------------------------------------------------------
For plans with a valuation date Immediate Deferred annuities (percent)
Rate set ---------------------------------- annuity rate ------------------------------------------------------------------------------------
On or after Before (percent) i1 i2 i3 n1 n2
--------------------------------------------------------------------------------------------------------------------------------------------------------
* * * * * * *
173 03-1-08 04-1-08 3.00 4.00 4.00 4.00 7 8
--------------------------------------------------------------------------------------------------------------------------------------------------------
PART 4044--ALLOCATION OF ASSETS IN SINGLE-EMPLOYER PLANS
0
4. The authority citation for part 4044 continues to read as follows:
Authority: 29 U.S.C. 1301(a), 1302(b)(3), 1341, 1344, 1362.
0
5. In Appendix B to Part 4044, a new entry for March 2008, as set forth
below, is added to the table.
Appendix B to Part 4044--Interest Rates Used to Value Benefits
* * * * *
--------------------------------------------------------------------------------------------------------------------------------------------------------
The values of it are:
For valuation dates occurring in the month-- -----------------------------------------------------------------------------------
it for t = it for t = it for t =
--------------------------------------------------------------------------------------------------------------------------------------------
* * * * * * *
March 2008.............................................. .0554 1-20 .0461 >20 N/A N/A
--------------------------------------------------------------------------------------------------------------------------------------------------------
Issued in Washington, DC, on this 8th day of February 2008.
Vincent K. Snowbarger,
Deputy Director, Pension Benefit Guaranty Corporation.
[FR Doc. E8-2947 Filed 2-14-08; 8:45 am]
BILLING CODE 7709-01-P
