Allocation of Assets in Single-Employer Plans; Benefits Payable in Terminated Single-Employer Plans; Interest Assumptions for Valuing and Paying Benefits, 35754-35756 [2013-14194]

Download as PDF 35754 Federal Register / Vol. 78, No. 115 / Friday, June 14, 2013 / Rules and Regulations Adoption of the Amendment Accordingly, under the authority delegated to me by the Administrator, the FAA amends 14 CFR part 39 as follows: PART 39—AIRWORTHINESS DIRECTIVES 1. The authority citation for part 39 continues to read as follows: ■ Authority: 49 U.S.C. 106(g), 40113, 44701. § 39.13 [Amended] 2. The FAA amends § 39.13 by adding the following new AD: ■ 2013–12–03 Rolls-Royce Deutschland Ltd & Co KG (Formerly Rolls-Royce Deutschland GmbH, formerly BMW Rolls-Royce GmbH): Amendment 39– 17480; Docket No. FAA–2013–0458; Directorate Identifier 2013–NE–19–AD. (a) Effective Date This airworthiness directive (AD) becomes effective June 14, 2013. (b) Affected ADs None. (c) Applicability This AD applies to all Rolls-Royce Deutschland Ltd & Co KG (RRD) BR700– 725A1–12 turbofan engines with fuel pump tube part number (P/N) FW64852 installed. (d) Reason This AD was prompted by the discovery that cracks have occurred in the affected fuel pump tube between the fuel metering unit and the main fuel pump. We are issuing this AD to prevent loss of fuel supply to the engine, which could result in in-flight engine shutdown of one or more engines, loss of thrust control and damage to the airplane. (e) Actions and Compliance Unless already done, within 15 days after the effective date of the AD, remove fuel pump tube P/N FW64852 and replace with a part eligible for installation. Guidance on removing the affected fuel pump tube can be found in RRD Service Bulletin SB–BR700– 73–101847, dated May 17, 2013. mstockstill on DSK4VPTVN1PROD with RULES (f) Installation Prohibition After the effective date of this AD, do not install fuel pump tube P/N FW64852 onto any engine or install an engine with fuel pump tube P/N FW64852 onto any aircraft. (g) Alternative Methods of Compliance (AMOCs) The Manager, Engine Certification Office, FAA, may approve AMOCs to this AD. Use the procedures found in 14 CFR 39.19 to make your request. (h) Related Information (1) For more information about this AD, contact, contact Frederick Zink, Aerospace Engineer, Engine Certification Office, FAA, Engine & Propeller Directorate, 12 New England Executive Park, Burlington, MA VerDate Mar<15>2010 15:51 Jun 13, 2013 Jkt 229001 01803; phone: 781–238–7779; fax: 781–238– 7199; email: frederick.zink@faa.gov. (2) Refer to European Aviation Safety Agency AD 2013–0110, dated May 24, 2013, and Rolls-Royce Deutschland Ltd & Co KG Service Bulletin No. SB–BR700–73–101847, dated May 17, 2013, for related information. (3) For service information identified in this AD, contact Rolls-Royce Deutschland Ltd & Co KG, Eschenweg 11, Dahlewitz, 15827 Blankenfelde-Mahlow, Germany; phone: 49 0 33–7086–1883; fax: 49 0 33–7086–3276. (4) You may view this service information at the FAA, Engine & Propeller Directorate, 12 New England Executive Park, Burlington, MA. For information on the availability of this material at the FAA, call 781–238–7125. (i) Material Incorporated by Reference None. Issued in Burlington, Massachusetts, on June 10, 2013. Colleen M. D’Alessandro, Assistant Manager, Engine & Propeller Directorate, Aircraft Certification Service. [FR Doc. 2013–14035 Filed 6–13–13; 8:45 am] BILLING CODE 4910–13–P PENSION BENEFIT GUARANTY CORPORATION 29 CFR Parts 4022 and 4044 Allocation of Assets in SingleEmployer Plans; Benefits Payable in Terminated Single-Employer Plans; Interest Assumptions for Valuing and Paying Benefits Pension Benefit Guaranty Corporation. ACTION: Final rule. AGENCY: SUMMARY: This final rule amends the Pension Benefit Guaranty Corporation’s regulations on Benefits Payable in Terminated Single-Employer Plans and Allocation of Assets in Single-Employer Plans to prescribe interest assumptions under the benefit payments regulation for valuation dates in July 2013 and interest assumptions under the asset allocation regulation for valuation dates in the third quarter of 2013. The interest assumptions are used for valuing and paying benefits under terminating single-employer plans covered by the pension insurance system administered by PBGC. DATES: Effective July 1, 2013. FOR FURTHER INFORMATION CONTACT: Catherine B. Klion (Klion.Catherine@PBGC.gov), Assistant General Counsel for Regulatory Affairs, 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.) PO 00000 Frm 00012 Fmt 4700 Sfmt 4700 PBGC’s regulations on Allocation of Assets in Single-Employer Plans (29 CFR Part 4044) and Benefits Payable in Terminated Single-Employer Plans (29 CFR Part 4022) prescribe actuarial assumptions—including interest assumptions—for valuing and paying plan benefits under terminating singleemployer plans covered by title IV of the Employee Retirement Income Security Act of 1974. The interest assumptions in the regulations are also published on PBGC’s Web site (https:// www.pbgc.gov). The interest assumptions in Appendix B to Part 4044 are used to value benefits for allocation purposes under ERISA section 4044. PBGC uses the interest assumptions in Appendix B to Part 4022 to determine whether a benefit is payable as a lump sum and to determine the amount to pay. Appendix C to Part 4022 contains interest assumptions for private-sector pension practitioners to refer to if they wish to use lump-sum interest rates determined using PBGC’s historical methodology. Currently, the rates in Appendices B and C of the benefit payment regulation are the same. The interest assumptions are intended to reflect current conditions in the financial and annuity markets. Assumptions under the asset allocation regulation are updated quarterly; assumptions under the benefit payments regulation are updated monthly. This final rule updates the benefit payments interest assumptions for July 2013 and updates the asset allocation interest assumptions for the third quarter (July through September) of 2013. The third quarter 2013 interest assumptions under the allocation regulation will be 2.60 percent for the first 20 years following the valuation date and 3.43 percent thereafter. In comparison with the interest assumptions in effect for the second quarter of 2013, these interest assumptions represent no change in the select period (the period during which the select rate (the initial rate) applies), an increase of 0.10 percent in the select rate, and an increase of 0.23 percent in the ultimate rate (the final rate). The July 2013 interest assumptions under the benefit payments regulation will be 1.25 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. In comparison with the interest assumptions in effect for June 2013, these interest assumptions represent an increase of 0.50 percent in the immediate annuity rate and are otherwise unchanged. SUPPLEMENTARY INFORMATION: E:\FR\FM\14JNR1.SGM 14JNR1 35755 Federal Register / Vol. 78, No. 115 / Friday, June 14, 2013 / Rules and Regulations 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 under plans with valuation dates during July 2013, PBGC finds that good cause exists for making the assumptions set forth in this amendment effective less than 30 days after publication. PBGC has determined that this action is not a ‘‘significant regulatory action’’ Rate set For plans with a valuation date On or after * 237 Before 3. In appendix C to part 4022, Rate Set 237, as set forth below, is added to the table. For plans with a valuation date On or after * 237 Before 2. In appendix B to part 4022, Rate Set 237, as set forth below, is added to the table. ■ 29 CFR Part 4044 Appendix B to Part 4022—Lump Sum Interest Rates for PBGC Payments Employee benefit plans, Pension insurance, Pensions. * i2 i1 1.25 * n1 * 4.00 n2 * 4.00 * 4.00 * * * * 7 8 n1 n2 * Deferred annuities (percent) Immediate annuity rate (percent) i1 i2 i3 * 1.25 * 4.00 * 4.00 * 4.00 Authority: 29 U.S.C. 1301(a), 1302(b)(3), 1341, 1344, 1362. 7 8 Appendix B to Part 4044—Interest Rates Used to Value Benefits * 5. In appendix B to part 4044, a new entry for July–September 2013, as set forth below, is added to the table. ■ 4. The authority citation for part 4044 continues to read as follows: * Appendix C to Part 4022—Lump Sum Interest Rates for Private-Sector Payments 8–1–13 ■ * i3 * * PART 4044—ALLOCATION OF ASSETS IN SINGLE-EMPLOYER PLANS * Deferred annuities (percent) Immediate annuity rate (percent) * 7–1–13 Authority: 29 U.S.C. 1302, 1322, 1322b, 1341(c)(3)(D), and 1344. Employee benefit plans, Pension insurance, Pensions, Reporting and recordkeeping requirements. * ■ PART 4022—BENEFITS PAYABLE IN TERMINATED SINGLE-EMPLOYER PLANS 1. The authority citation for part 4022 continues to read as follows: 29 CFR Part 4022 8–1–13 In consideration of the foregoing, 29 CFR parts 4022 and 4044 are amended as follows: ■ List of Subjects * 7–1–13 Rate set 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). * * * * The values of it are: For valuation dates occurring in the month— it * * * * mstockstill on DSK4VPTVN1PROD with RULES July–September 2013 ....................................................... VerDate Mar<15>2010 15:51 Jun 13, 2013 Jkt 229001 PO 00000 for t = 0.0260 Frm 00013 Fmt 4700 it for t = * 1–20 Sfmt 9990 0.0343 E:\FR\FM\14JNR1.SGM it * >20 14JNR1 for t = * N/A N/A 35756 Federal Register / Vol. 78, No. 115 / Friday, June 14, 2013 / Rules and Regulations Issued in Washington, DC, on this 11th day of June 2013. Leslie Kramerich, Acting Chief Policy Officer, Pension Benefit Guaranty Corporation. [FR Doc. 2013–14194 Filed 6–13–13; 8:45 am] BILLING CODE 7709–01–P DEPARTMENT OF HOMELAND SECURITY Coast Guard 33 CFR Part 100 [Docket No. USCG–2013–0398] Special Local Regulations; Recurring Marine Events in the Seventh Coast Guard District Coast Guard, DHS. Notice of enforcement of regulations. AGENCY: ACTION: SUMMARY: The Coast Guard will enforce the Fourth of July Fireworks Display regulations on certain navigable waterways in Hilton Head Island, Mount Pleasant, and North Charleston, South Carolina, from approximately 8 p.m. through 11 p.m. on July 4, 2013. This action is necessary to ensure safety of life on navigable waters of the United States during the Fourth of July Fireworks Displays. During the enforcement period, and in accordance with previously issued special local regulations, vessels may not enter, transit through, anchor in, or remain within the designated area unless authorized by the Captain of the Port Charleston designated representatives. DATES: The regulation in 33 CFR 100.701 Table 1 will be enforced from 8 p.m. until 11 p.m. July 4, 2013. FOR FURTHER INFORMATION CONTACT: If you have questions on this rule, call or email CWO Christopher Ruleman, Sector Charleston Office of Waterways Management, Coast Guard; telephone 843–740–3184, email christopher.l.ruleman@uscg.mil. The Coast Guard will enforce the special local regulations for the Fourth of July Fireworks Displays in 33 CFR 100.701 Table 1 from 8 p.m. through 11 p.m. on July 4, 2013. Specifically, this document serves as the notice of enforcement for the ‘‘Patriots Point Fireworks’’ in Mount Pleasant, the ‘‘Skull Creek Fireworks’’ in Hilton Head, and the ‘‘City of North Charleston Fireworks’’ in North Charleston listed in Table 1 to 33 CFR 100.701. Under the provisions of 33 CFR 100.701, all persons and vessels are mstockstill on DSK4VPTVN1PROD with RULES SUPPLEMENTARY INFORMATION: VerDate Mar<15>2010 15:51 Jun 13, 2013 Jkt 229001 prohibited from entering the regulated areas unless permission to enter has been granted by the Captain of the Port Charleston. This notice of enforcement is to provide notice of regulated areas that will encompass portions of the navigable waterways. Spectator vessels may safely transit outside the regulated areas, but may not anchor, block, loiter in, or impede the transit of official patrol vessels. The Coast Guard may be assisted by other Federal, State, or local law enforcement agencies in enforcing these regulations. This notice is issued under authority of 33 CFR 100.701 and 5 U.S.C. 552 (a). The Coast Guard will provide notice of the regulated areas by Local Notice to Mariners, Broadcast Notice to Mariners, and on-scene designated representatives. If the COTP Charleston determines that the regulated area need not be enforced for the full duration stated in this notice, he or she may use a Broadcast Notice to Mariners to grant general permission to enter the regulated area. Dated: May 29, 2013. M.F. White, Captain, U.S. Coast Guard, Captain of the Port Charleston. [FR Doc. 2013–14118 Filed 6–13–13; 8:45 am] BILLING CODE 9110–04–P DEPARTMENT OF HOMELAND SECURITY Coast Guard 33 CFR Part 117 [USCG–2013–0425] Drawbridge Operation Regulations; Harlem River, New York City, NY Coast Guard, DHS. Notice of temporary deviation from regulations. AGENCY: ACTION: The Commander, First Coast Guard District, has issued a temporary deviation from the regulation governing the operation of the Willis Avenue Bridge across the Harlem River, mile 1.5, at the Bronx, New York. The deviation is necessary to facilitate electrical repairs at the bridge. Under this temporary deviation, the bridge may remain in the closed position for four weeks to facilitate scheduled repairs. DATES: This deviation is effective from June 17, 2013 through July 12, 2013. ADDRESSES: The docket for this deviation, [USCG–2013–0425] is available at https://www.regulations.gov. Type the docket number in the SUMMARY: PO 00000 Frm 00014 Fmt 4700 Sfmt 4700 ‘‘SEARCH’’ box and click ‘‘SEARCH.’’ Click on Open Docket Folder on the line associated with this deviation. You may also visit the Docket Management Facility in Room W12–140, on the ground floor of the Department of Transportation West Building, 1200 New Jersey Avenue SE., Washington, DC 20590, between 9 a.m. and 5 p.m., Monday through Friday, except Federal holidays. FOR FURTHER INFORMATION CONTACT: If you have questions on this temporary deviation, call or email Mr. Joe Arca, Project Officer, First Coast Guard District, joe.m.arca@uscg.mil, or (212) 668–7165. If you have questions on viewing the docket, call Barbara Hairston, Program Manager, Docket Operations, telephone 202–366–9826. SUPPLEMENTARY INFORMATION: The Willis Avenue Bridge has a vertical clearance of 24 feet at mean high water and 30 feet at mean low water in the closed position. The existing drawbridge operating regulations are found at 33 CFR 117.789(b)(2). The bridge owner, New York City Department of Transportation, requested a four week closure from June 17, 2013 through July 12, 2013, to facilitate electrical repairs at the bridge. The waterway users are commercial tug and barge traffic as well as various sized recreational craft. Local facilities were advised of the closures with no objections received. In accordance with 33 CFR 117.35(e), the bridge must return to its regular operating schedule immediately at the end of the designated repair period. This deviation from the operating regulations is authorized under 33 CFR 117.35. Dated: June 5, 2013. Gary Kassof, Bridge Program Manager, First Coast Guard District. [FR Doc. 2013–14117 Filed 6–13–13; 8:45 am] BILLING CODE 9110–04–P DEPARTMENT OF HOMELAND SECURITY Coast Guard 33 CFR Part 117 [USCG–2013–0464] Drawbridge Operation Regulations; Charles River, Boston, MA Coast Guard, DHS. Notice of temporary deviation from regulations. AGENCY: ACTION: SUMMARY: The Commander, First Coast Guard District, has issued a temporary E:\FR\FM\14JNR1.SGM 14JNR1

Agencies

[Federal Register Volume 78, Number 115 (Friday, June 14, 2013)]
[Rules and Regulations]
[Pages 35754-35756]
From the Federal Register Online via the Government Printing Office [www.gpo.gov]
[FR Doc No: 2013-14194]


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

PENSION BENEFIT GUARANTY CORPORATION

29 CFR Parts 4022 and 4044


Allocation of Assets in Single-Employer Plans; Benefits Payable 
in Terminated Single-Employer Plans; Interest Assumptions for Valuing 
and Paying Benefits

AGENCY: Pension Benefit Guaranty Corporation.

ACTION: Final rule.

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

SUMMARY: This final rule amends the Pension Benefit Guaranty 
Corporation's regulations on Benefits Payable in Terminated Single-
Employer Plans and Allocation of Assets in Single-Employer Plans to 
prescribe interest assumptions under the benefit payments regulation 
for valuation dates in July 2013 and interest assumptions under the 
asset allocation regulation for valuation dates in the third quarter of 
2013. The interest assumptions are used for valuing and paying benefits 
under terminating single-employer plans covered by the pension 
insurance system administered by PBGC.

DATES: Effective July 1, 2013.

FOR FURTHER INFORMATION CONTACT: Catherine B. Klion 
(Klion.Catherine@PBGC.gov), Assistant General Counsel for Regulatory 
Affairs, 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 on Allocation of Assets 
in Single-Employer Plans (29 CFR Part 4044) and Benefits Payable in 
Terminated Single-Employer Plans (29 CFR Part 4022) prescribe actuarial 
assumptions--including interest assumptions--for valuing and paying 
plan benefits under terminating single-employer plans covered by title 
IV of the Employee Retirement Income Security Act of 1974. The interest 
assumptions in the regulations are also published on PBGC's Web site 
(https://www.pbgc.gov).
    The interest assumptions in Appendix B to Part 4044 are used to 
value benefits for allocation purposes under ERISA section 4044. PBGC 
uses the interest assumptions in Appendix B to Part 4022 to determine 
whether a benefit is payable as a lump sum and to determine the amount 
to pay. Appendix C to Part 4022 contains interest assumptions for 
private-sector pension practitioners to refer to if they wish to use 
lump-sum interest rates determined using PBGC's historical methodology. 
Currently, the rates in Appendices B and C of the benefit payment 
regulation are the same.
    The interest assumptions are intended to reflect current conditions 
in the financial and annuity markets. Assumptions under the asset 
allocation regulation are updated quarterly; assumptions under the 
benefit payments regulation are updated monthly. This final rule 
updates the benefit payments interest assumptions for July 2013 and 
updates the asset allocation interest assumptions for the third quarter 
(July through September) of 2013.
    The third quarter 2013 interest assumptions under the allocation 
regulation will be 2.60 percent for the first 20 years following the 
valuation date and 3.43 percent thereafter. In comparison with the 
interest assumptions in effect for the second quarter of 2013, these 
interest assumptions represent no change in the select period (the 
period during which the select rate (the initial rate) applies), an 
increase of 0.10 percent in the select rate, and an increase of 0.23 
percent in the ultimate rate (the final rate).
    The July 2013 interest assumptions under the benefit payments 
regulation will be 1.25 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. In comparison with the interest 
assumptions in effect for June 2013, these interest assumptions 
represent an increase of 0.50 percent in the immediate annuity rate and 
are otherwise unchanged.

[[Page 35755]]

    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 under plans with valuation dates during July 
2013, PBGC finds that good cause exists for making the assumptions set 
forth in this amendment effective less than 30 days after publication.
    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:

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 237, 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
--------------------------------------------------------------------------------------------------------------------------------------------------------
 
                                                                      * * * * * * *
--------------------------------------------------------------------------------------------------------------------------------------------------------
          237            7-1-13           8-1-13             1.25             4.00             4.00             4.00                7                8
--------------------------------------------------------------------------------------------------------------------------------------------------------



0
3. In appendix C to part 4022, Rate Set 237, 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
--------------------------------------------------------------------------------------------------------------------------------------------------------
 
                                                                      * * * * * * *
--------------------------------------------------------------------------------------------------------------------------------------------------------
          237            7-1-13           8-1-13             1.25             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 July-September 2013, 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 =
----------------------------------------------------------------------------------------------------------------
 
                                                  * * * * * * *
----------------------------------------------------------------------------------------------------------------
July-September 2013.........       0.0260          1-20        0.0343           >20           N/A           N/A
----------------------------------------------------------------------------------------------------------------



[[Page 35756]]

    Issued in Washington, DC, on this 11th day of June 2013.
Leslie Kramerich,
Acting Chief Policy Officer, Pension Benefit Guaranty Corporation.
[FR Doc. 2013-14194 Filed 6-13-13; 8:45 am]
BILLING CODE 7709-01-P
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