Benefits Payable in Terminated Single-Employer Plans; Interest Assumptions for Paying Benefits, 62426-62427 [2013-24592]
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62426
Federal Register / Vol. 78, No. 204 / Tuesday, October 22, 2013 / Rules and Regulations
Correction of Publication
Accordingly, 26 CFR part 1 is
corrected by making the following
correcting amendment:
FOR FURTHER INFORMATION CONTACT:
Beth Tucker,
Deputy Commissioner for Operations
Support.
Approved: August 19, 2013.
Mark J. Mazur,
Assistant Secretary of the Treasury (Tax
Policy).
877–8339 and ask to be connected to
202–326–4024.)
SUPPLEMENTARY INFORMATION: PBGC’s
regulation on Benefits Payable in
Terminated Single-Employer Plans (29
CFR Part 4022) prescribes actuarial
assumptions—including interest
assumptions—for 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 regulation are also published on
PBGC’s Web site (https://www.pbgc.gov).
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 benefit
payments regulation are updated
monthly. This final rule updates the
benefit payments interest assumptions
for November 2013.1
The November 2013 interest
assumptions under the benefit payments
regulation will be 1.75 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 October 2013,
these interest assumptions are
unchanged.
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 payment of
benefits under plans with valuation
dates during November 2013, PBGC
finds that good cause exists for making
the assumptions set forth in this
amendment effective less than 30 days
after publication.
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–
stock occurring in taxable years prior to
November 4, 1992.
1 Appendix B to PBGC’s regulation on Allocation
of Assets in Single-Employer Plans (29 CFR Part
4044) prescribes interest assumptions for valuing
benefits under terminating covered single-employer
plans for purposes of allocation of assets under
ERISA section 4044. Those assumptions are
updated quarterly.
PART 1—INCOME TAXES
Paragraph 1. The authority citation
for part 1 continues to read in part as
follows:
■
[FR Doc. 2013–24538 Filed 10–21–13; 8:45 am]
Authority: 26 U.S.C. 7805 * * *
BILLING CODE 4830–01–P
Par. 2. Section 1.482–7 is amended by
revising the last sentence of paragraph
(g)(4)(vi)(F)(2) to read as follows:
■
DEPARTMENT OF THE TREASURY
§ 1.482–7 Methods to determine taxable
income in connection with a cost sharing
arrangement.
Internal Revenue Service
26 CFR Part 1
*
[TD 9630]
RIN 1545–BK71
Use of Differential Income Stream as
an Application of the Income Method
and as a Consideration in Assessing
the Best Method; Correction
Internal Revenue Service (IRS),
Treasury.
ACTION: Correcting amendment.
AGENCY:
This document contains
corrections to final regulations and
removal of temporary regulations (TD
9630) that were published in the
Federal Register on Tuesday, August
27, 2013 (78 FR 52854). The final
regulations implement the use of the
differential income stream as a
consideration in assessing the best
method in connection with a cost
sharing arrangement and as a specified
application of the income method.
DATES: This correction is effective
October 22, 2013, and is applicable
beginning on or after December 19,
2011.
FOR FURTHER INFORMATION CONTACT:
Mumal R. Hemrajani, at (202) 622–3800
(not a toll free number).
SUPPLEMENTARY INFORMATION:
SUMMARY:
emcdonald on DSK67QTVN1PROD with RULES
Background
The final regulations and removal of
temporary regulations (TD 9630) that are
the subject of this correction are under
section 482 of the Internal Revenue
Code.
Need for Correction
As published, the final regulations
and removal of temporary regulations
(TD 9630) contains an error that may
prove to be misleading and is in need
of clarification.
List of Subjects in 26 CFR Part 1
Income taxes, Reporting and
recordkeeping requirements.
VerDate Mar<15>2010
16:26 Oct 21, 2013
Jkt 232001
*
*
*
*
(g) * * *
(4) * * *
(vi) * * *
(F) * * *
(2) * * * See Example 8 of paragraph
(g)(4)(viii) of this section.
*
*
*
*
*
Martin V. Franks,
Chief, Publications and Regulations Branch,
Legal Processing Division, Associate Chief
Counsel (Procedure and Administration).
[FR Doc. 2013–24537 Filed 10–21–13; 8:45 am]
BILLING CODE 4830–01–P
PENSION BENEFIT GUARANTY
CORPORATION
29 CFR Part 4022
Benefits Payable in Terminated SingleEmployer Plans; Interest Assumptions
for Paying Benefits
Pension Benefit Guaranty
Corporation.
ACTION: Final rule.
AGENCY:
This final rule amends the
Pension Benefit Guaranty Corporation’s
regulation on Benefits Payable in
Terminated Single-Employer Plans to
prescribe interest assumptions under
the regulation for valuation dates in
November 2013. The interest
assumptions are used for paying
benefits under terminating singleemployer plans covered by the pension
insurance system administered by
PBGC.
SUMMARY:
DATES:
PO 00000
Effective November 1, 2013.
Frm 00010
Fmt 4700
Sfmt 4700
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22OCR1
62427
Federal Register / Vol. 78, No. 204 / Tuesday, October 22, 2013 / Rules and Regulations
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).
Authority: 29 U.S.C. 1302, 1322, 1322b,
1341(c)(3)(D), and 1344.
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:
2. In appendix B to part 4022, Rate Set
241, as set forth below, is added to the
table.
■
Appendix B to Part 4022—Lump Sum
Interest Rates for PBGC Payments
PART 4022—BENEFITS PAYABLE IN
TERMINATED SINGLE-EMPLOYER
PLANS
*
*
*
*
*
1. The authority citation for part 4022
continues to read as follows:
■
For plans with a valuation
date
Rate set
On or after
*
Before
*
241
12–1–13
3. In appendix C to part 4022, Rate Set
241, as set forth below, is added to the
table.
■
For plans with a valuation
date
On or after
*
Before
*
[FR Doc. 2013–24592 Filed 10–21–13; 8:45 am]
BILLING CODE 7709–02–P
DEPARTMENT OF DEFENSE
Office of the Secretary
32 CFR Part 199
[DOD–2011–HA–0085]
RIN–0720–AB54
emcdonald on DSK67QTVN1PROD with RULES
TRICARE; Removal of the Prohibition
To Use Addictive Drugs in the
Maintenance Treatment of Substance
Dependence in TRICARE Beneficiaries
Office of the Secretary,
Department of Defense.
ACTION: Final rule.
AGENCY:
The Department of Defense
(DoD) is publishing this final rule to
remove the exclusion of drug
maintenance programs and allow
SUMMARY:
VerDate Mar<15>2010
16:26 Oct 21, 2013
*
Jkt 232001
4.00
*
*
*
n1
*
4.00
n2
*
7
8
n1
n2
*
Deferred annuities
(percent)
Immediate
annuity rate
(percent)
12–1–13
Issued in Washington, DC, on this 9th day
of October 2013.
Judith Starr,
General Counsel, Pension Benefit Guaranty
Corporation.
i3
Appendix C to Part 4022—Lump Sum
Interest Rates for Private-Sector
Payments
*
11–1–13
i2
*
4.00
1.75
*
241
i1
*
11–1–13
Rate set
Deferred annuities
(percent)
Immediate
annuity rate
(percent)
1.75
i1
i2
*
4.00
i3
4.00
*
TRICARE coverage of the substitution of
a therapeutic drug, with addictive
potential, for a drug of addiction when
medically necessary and appropriate as
part of a comprehensive treatment plan
for an individual with substance use
dependence. The current regulation
prohibits coverage of drug maintenance
programs where one addictive substance
is substituted for another. The final rule
allows TRICARE to cover, as part of
otherwise authorized treatment of
substance use disorder, utilization of a
specific category of psychoactive agent
when medically necessary and
appropriate. Removal of the exclusion is
based on recognition of the accumulated
medical evidence supporting the use of
certain pharmacotherapies as one
component in the continuum of opioid
treatment services. Medication assisted
treatment, to include drug maintenance
involving substitution of a therapeutic
drug with addiction potential, for a drug
of addiction, is now generally accepted
by qualified professionals to be
reasonable and adequate as a
component in the safe and effective
treatment of substance use disorders
treatment services, and thus appropriate
PO 00000
Frm 00011
Fmt 4700
Sfmt 4700
*
4.00
*
7
8
for inclusion as a component in the
TRICARE authorized substance use
disorder treatment for beneficiaries.
DATES: Effective Date: This rule is
effective November 21, 2013.
FOR FURTHER INFORMATION CONTACT: John
Davison, Ph.D., TRICARE Management
Activity, Office of the Chief Medical
Officer, telephone (703) 681–0086.
SUPPLEMENTARY INFORMATION:
I. Executive Summary
A. Purpose of the Final Rule
1. Need for the Regulatory Action
The original implementing
regulations for the Civilian Health and
Medical Program of the Uniformed
Services (CHAMPUS), first issued in
1977, excluded drug maintenance
programs from coverage. The DoD,
consistent with chapter 55 of title 10,
United States Code and other third party
payors, covered medical services and
supplies which were medically or
psychologically necessary to prevent,
diagnose, or treat a mental or physical
illness, injury or bodily malfunction. At
that time, drug maintenance programs
were not the standard of care and were
E:\FR\FM\22OCR1.SGM
22OCR1
]]>Agencies
[Federal Register Volume 78, Number 204 (Tuesday, October 22, 2013)]
[Rules and Regulations]
[Pages 62426-62427]
From the Federal Register Online via the Government Printing Office [www.gpo.gov]
[FR Doc No: 2013-24592]
=======================================================================
-----------------------------------------------------------------------
PENSION BENEFIT GUARANTY CORPORATION
29 CFR Part 4022
Benefits Payable in Terminated Single-Employer Plans; Interest
Assumptions for Paying Benefits
AGENCY: Pension Benefit Guaranty Corporation.
ACTION: Final rule.
-----------------------------------------------------------------------
SUMMARY: This final rule amends the Pension Benefit Guaranty
Corporation's regulation on Benefits Payable in Terminated Single-
Employer Plans to prescribe interest assumptions under the regulation
for valuation dates in November 2013. The interest assumptions are used
for paying benefits under terminating single-employer plans covered by
the pension insurance system administered by PBGC.
DATES: Effective November 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 regulation on Benefits Payable in
Terminated Single-Employer Plans (29 CFR Part 4022) prescribes
actuarial assumptions--including interest assumptions--for 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 regulation are also published on PBGC's Web site
(https://www.pbgc.gov).
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 benefit
payments regulation are updated monthly. This final rule updates the
benefit payments interest assumptions for November 2013.\1\
---------------------------------------------------------------------------
\1\ Appendix B to PBGC's regulation on Allocation of Assets in
Single-Employer Plans (29 CFR Part 4044) prescribes interest
assumptions for valuing benefits under terminating covered single-
employer plans for purposes of allocation of assets under ERISA
section 4044. Those assumptions are updated quarterly.
---------------------------------------------------------------------------
The November 2013 interest assumptions under the benefit payments
regulation will be 1.75 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 October 2013, these interest assumptions are
unchanged.
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 payment
of benefits under plans with valuation dates during November 2013, PBGC
finds that good cause exists for making the assumptions set forth in
this amendment effective less than 30 days after publication.
[[Page 62427]]
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
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 241, 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
--------------------------------------------------------------------------------------------------------------------------------------------------------
* * * * * * *
241 11-1-13 12-1-13 1.75 4.00 4.00 4.00 7 8
--------------------------------------------------------------------------------------------------------------------------------------------------------
0
3. In appendix C to part 4022, Rate Set 241, 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
--------------------------------------------------------------------------------------------------------------------------------------------------------
* * * * * * *
241 11-1-13 12-1-13 1.75 4.00 4.00 4.00 7 8
--------------------------------------------------------------------------------------------------------------------------------------------------------
Issued in Washington, DC, on this 9th day of October 2013.
Judith Starr,
General Counsel, Pension Benefit Guaranty Corporation.
[FR Doc. 2013-24592 Filed 10-21-13; 8:45 am]
BILLING CODE 7709-02-P
