Benefits Payable in Terminated Single-Employer Plans; Interest Assumptions for Valuing and Paying Benefits, 78621-78622 [E8-30419]
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Federal Register / Vol. 73, No. 247 / Tuesday, December 23, 2008 / Rules and Regulations
with the Commission at least 10 days
prior to use on a form and in a manner
as prescribed by the Commission.
(ii) Sources of water other than those
subject to paragraph (f)(11)(i) of this
section, including, but not limited to,
public water supply, wastewater
discharge or other reclaimed waters,
provided such sources are approved
prior to use as a modification to the
approval by rule. Any request to modify
an approval by rule to utilize such
source(s) shall be submitted on a form
and in a manner as prescribed by the
Commission, and shall be subject to
review pursuant to the standards set
forth in subpart C of this part.
Dated: December 11, 2008.
Thomas W. Beauduy,
Deputy Director.
[FR Doc. E8–30315 Filed 12–22–08; 8:45 am]
BILLING CODE 7040–01–P
PENSION BENEFIT GUARANTY
CORPORATION
29 CFR Part 4022
Benefits Payable in Terminated SingleEmployer Plans; Interest Assumptions
for Valuing and Paying Benefits
AGENCY: Pension Benefit Guaranty
Corporation.
ACTION: Final rule.
SUMMARY: Pension Benefit Guaranty
Corporation’s regulation on Benefits
Payable in Terminated Single-Employer
Plans prescribes interest assumptions
for valuing and paying certain benefits
under terminating single-employer
plans. This final rule amends the benefit
payments regulation to adopt interest
assumptions for plans with valuation
dates in January 2009. As discussed
below, PBGC will publish a separate
final rule document dealing with
interest assumptions under its
regulation on Allocation of Assets in
Single-Employer Plans for January 2009.
Interest assumptions are also published
on PBGC’s Web site (https://
www.pbgc.gov).
DATES:
Effective January 1, 2009.
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–
VerDate Aug<31>2005
15:41 Dec 22, 2008
Jkt 217001
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: 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.
These interest assumptions are found
in two PBGC regulations: the regulation
on Benefits Payable in Terminated
Single-Employer Plans (29 CFR part
4022) and the regulation on Allocation
of Assets in Single-Employer Plans (29
CFR part 4044). PBGC normally updates
the assumptions under the two
regulations each month in a single
rulemaking document. Because of
delays in obtaining data used in setting
the assumptions for January 2009, PBGC
is publishing two rulemaking
documents to update the two
regulations for January 2009. This
document is a final rule updating the
benefit payments regulation.
Two sets of interest assumptions are
prescribed under the benefit payments
regulation: (1) 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 (2) 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 4022 the interest
assumptions for the PBGC to use for its
own lump-sum payments in plans with
valuation dates during January 2009,
and (2) adds to Appendix C to Part 4022
the interest assumptions for privatesector 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
January 2009.
The interest assumptions that the
PBGC will use for its own lump-sum
payments (set forth in Appendix B to
part 4022) will be 4.00 percent for the
period during which a benefit is in pay
status and 4.00 percent during any years
PO 00000
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78621
preceding the benefit’s placement in pay
status. These interest assumptions
represent a decrease (from those in
effect for December 2008) of 0.75
percent 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 January 2009, 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 in 29 CFR Part 4022
Employee benefit plans, Pension
insurance, Pensions, Reporting and
recordkeeping requirements.
■ In consideration of the foregoing, 29
CFR part 4022 is amended as follows:
PART 4022—BENEFITS PAYABLE IN
TERMINATED SINGLE—EMPLOYER
PLANS
1. The authority citation for part 4022
continues to read as follows:
■
Authority: 29 U.S.C. 1302, 1322, 1322b,
1341(c)(3)(D), and 1344.
2. In appendix B to part 4022, Rate Set
183, as set forth below, is added to the
table.
■
Appendix B to Part 4022—Lump Sum
Interest Rates For PBGC Payments
*
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78622
Federal Register / Vol. 73, No. 247 / Tuesday, December 23, 2008 / Rules and Regulations
For plans with a
valuation date
Rate set
On or
after
*
*
Before
*
183 ............................................................................
3. In appendix C to part 4022, Rate Set
183, as set forth below, is added to the
table.
■
*
1–1–09
2–1–09
*
*
*
On or
after
*
183 ............................................................................
BILLING CODE 7709–01–P
DEPARTMENT OF THE INTERIOR
Minerals Management Service
30 CFR Part 219
[Docket ID: MMS–2007–OMM–0067]
RIN 1010–AD46
Allocation and Disbursement of
Royalties, Rentals, and Bonuses—Oil
and Gas, Offshore
AGENCY: Minerals Management Service
(MMS), Interior.
ACTION: Final rule.
SUMMARY: The MMS is amending the
regulations on distribution and
disbursement of royalties, rentals, and
bonuses to include the allocation and
disbursement of revenues from certain
leases on the Gulf of Mexico Outer
Continental Shelf in accordance with
the provisions of the Gulf of Mexico
Energy Security Act of 2006. The
regulations set forth the formula and
methodology for calculating and
allocating revenues to the States of
Alabama, Louisiana, Mississippi, and
Texas, their eligible political
subdivisions, and the Land and Water
Conservation Fund from the 181 Area in
VerDate Aug<31>2005
17:20 Dec 22, 2008
Jkt 217001
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n1
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4.00
4.00
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4.00
4.00
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8
*
Rate set
Issued in Washington, DC, on this 16th day
of December 2008.
Vincent K. Snowbarger,
Deputy Director for Operations, Pension
Benefit Guaranty Corporation.
[FR Doc. E8–30419 Filed 12–22–08; 8:45 am]
i2
i1
*
For plans with a
valuation date
*
Deferred annuities
(percent)
Appendix C to Part 4022—Lump Sum
Interest Rates For Private-Sector
Payments
*
*
Immediate
annuity
rate
(percent)
Before
Immediate
annuity
rate
(percent)
*
1–1–09
Deferred annuities
(percent)
Frm 00024
2–1–09
Fmt 4700
i3
*
4.00
the Eastern Planning Area and 181
South Area in the Gulf of Mexico. The
Secretary of the Interior will begin to
disburse these revenues beginning on or
before March 31, 2009.
DATES: Effective Date: This final rule
becomes effective January 22, 2009.
FOR FURTHER INFORMATION CONTACT:
Marshall Rose, Chief, Economics
Division, Offshore Energy and Minerals
Management at (703) 787–1538.
SUPPLEMENTARY INFORMATION: The MMS
published a proposed rule on the
allocation and disbursement of qualified
offshore royalties, rentals, and bonuses
in the Federal Register on Tuesday,
May 27, 2008 (73 FR 30331), with a 60day comment period. A single, 14-day
extension (73 FR 43673) to the comment
period was announced on July 28, 2008,
and the comment period closed on
August 11, 2008. The MMS received six
comment letters. Of the comment letters
received, three were from States, one
each was received from a locality, a
nonprofit foundation, and an individual
citizen.
The comments submitted in large part
requested clarification on the authorized
uses of the Gulf of Mexico Energy
Security Act of 2006 (GOMESA)
revenue sharing funds, timing of
disbursements, and fund restrictions
upon transfer to the States and Coastal
Political Subdivisions (CPSs). Separate
letters were received from the States of
Alabama, Louisiana, and Texas. All
three States addressed the stated
purposes of GOMESA revenue sharing
funds and individual State needs for
coastal restoration and protection.
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8
Alabama and Louisiana requested more
specifics in the timing of disbursements
and inquired about the second phase of
revenue sharing authorized by
GOMESA. Louisiana alone objected to
the definition of qualified OCS revenues
as defined in the proposed regulation.
The City of Mobile, Alabama, and the
National Maritime Museum of the Gulf
of Mexico submitted comments related
to the use of funds for coastal
protection, conservation, and
restoration, and the educational
purposes of the National Maritime
Museum, and an individual citizen
provided comments on MMS
accounting of royalty revenues and
designation of this rule as ‘‘not a major
rule.’’
This final rule is substantially the
same as the proposed rule. In response
to comments, MMS made four changes
to the rule. One minor clarifying
language change was also made. Thus,
the final rule, like the proposed rule,
provides the methodology and formula
for the distribution of GOMESA
revenues from the 181 Area in the
Eastern Planning Area and the 181
South Area.
Background
President George W. Bush signed the
Gulf of Mexico Energy Security Act of
2006 into law on December 20, 2006
(Pub. L. 109–432, 120 Stat. 2922;
codified at 43 U.S.C. 1331 note (2007)
(Gulf of Mexico Energy Security)), as
part of H.R. 6111, the Tax Relief and
Health Care Act of 2006, which also
extended several energy tax programs
E:\FR\FM\23DER1.SGM
23DER1
]]>Agencies
[Federal Register Volume 73, Number 247 (Tuesday, December 23, 2008)]
[Rules and Regulations]
[Pages 78621-78622]
From the Federal Register Online via the Government Printing Office [www.gpo.gov]
[FR Doc No: E8-30419]
=======================================================================
-----------------------------------------------------------------------
PENSION BENEFIT GUARANTY CORPORATION
29 CFR Part 4022
Benefits Payable in Terminated Single-Employer Plans; Interest
Assumptions for Valuing and Paying Benefits
AGENCY: Pension Benefit Guaranty Corporation.
ACTION: Final rule.
-----------------------------------------------------------------------
SUMMARY: Pension Benefit Guaranty Corporation's regulation on Benefits
Payable in Terminated Single-Employer Plans prescribes interest
assumptions for valuing and paying certain benefits under terminating
single-employer plans. This final rule amends the benefit payments
regulation to adopt interest assumptions for plans with valuation dates
in January 2009. As discussed below, PBGC will publish a separate final
rule document dealing with interest assumptions under its regulation on
Allocation of Assets in Single-Employer Plans for January 2009.
Interest assumptions are also published on PBGC's Web site (https://
www.pbgc.gov).
DATES: Effective January 1, 2009.
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: 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.
These interest assumptions are found in two PBGC regulations: the
regulation on Benefits Payable in Terminated Single-Employer Plans (29
CFR part 4022) and the regulation on Allocation of Assets in Single-
Employer Plans (29 CFR part 4044). PBGC normally updates the
assumptions under the two regulations each month in a single rulemaking
document. Because of delays in obtaining data used in setting the
assumptions for January 2009, PBGC is publishing two rulemaking
documents to update the two regulations for January 2009. This document
is a final rule updating the benefit payments regulation.
Two sets of interest assumptions are prescribed under the benefit
payments regulation: (1) 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 (2) 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 4022 the interest
assumptions for the PBGC to use for its own lump-sum payments in plans
with valuation dates during January 2009, and (2) 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 January 2009.
The interest assumptions that the PBGC will use for its own lump-
sum payments (set forth in Appendix B to part 4022) will be 4.00
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 December 2008) of 0.75 percent 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 January
2009, 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 in 29 CFR Part 4022
Employee benefit plans, Pension insurance, Pensions, Reporting and
recordkeeping requirements.
0
In consideration of the foregoing, 29 CFR part 4022 is amended as
follows:
PART 4022--BENEFITS PAYABLE IN TERMINATED SINGLE--EMPLOYER PLANS
0
1. The authority citation for part 4022 continues to read as follows:
Authority: 29 U.S.C. 1302, 1322, 1322b, 1341(c)(3)(D), and 1344.
0
2. In appendix B to part 4022, Rate Set 183, as set forth below, is
added to the table.
Appendix B to Part 4022--Lump Sum Interest Rates For PBGC Payments
* * * * *
[[Page 78622]]
----------------------------------------------------------------------------------------------------------------
For plans with a Deferred annuities (percent)
valuation date Immediate --------------------------------------------------
Rate set ---------------------- annuity
On or rate i1 i2 i3 n1 n2
after Before (percent)
----------------------------------------------------------------------------------------------------------------
* * * * * * *
----------------------------------------------------------------------------------------------------------------
183......................... 1-1-09 2-1-09 4.00 4.00 4.00 4.00 7 8
----------------------------------------------------------------------------------------------------------------
0
3. In appendix C to part 4022, Rate Set 183, 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 Deferred annuities (percent)
valuation date Immediate --------------------------------------------------
Rate set ---------------------- annuity
On or rate i1 i2 i3 n1 n2
after Before (percent)
----------------------------------------------------------------------------------------------------------------
* * * * * * *
----------------------------------------------------------------------------------------------------------------
183......................... 1-1-09 2-1-09 4.00 4.00 4.00 4.00 7 8
----------------------------------------------------------------------------------------------------------------
Issued in Washington, DC, on this 16th day of December 2008.
Vincent K. Snowbarger,
Deputy Director for Operations, Pension Benefit Guaranty Corporation.
[FR Doc. E8-30419 Filed 12-22-08; 8:45 am]
BILLING CODE 7709-01-P
