Allocation of Assets in Single-Employer Plans; Benefits Payable in Terminated Single-Employer Plans; Interest Assumptions for Valuing and Paying Benefits, 27422-27423 [2017-12148]
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27422
Federal Register / Vol. 82, No. 114 / Thursday, June 15, 2017 / Rules and Regulations
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(i) Embraer Service Bulletin 145–28–0030,
Revision 01, dated October 22, 2010.
(ii) Embraer Service Bulletin 145LEG–28–
0032, Revision 01, dated November 20, 2012.
(3) For service information identified in
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Aeronautica S.A. (Embraer), Technical
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Issued in Renton, Washington, on June 2,
2017.
Michael Kaszycki,
Acting Manager, Transport Airplane
Directorate, Aircraft Certification Service.
[FR Doc. 2017–12168 Filed 6–14–17; 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:
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 2017 and
interest assumptions under the asset
allocation regulation for valuation dates
in the third quarter of 2017. The interest
assumptions are used for valuing and
paying benefits under terminating
pmangrum on DSK3GDR082PROD with RULES
SUMMARY:
VerDate Sep<11>2014
14:00 Jun 14, 2017
Jkt 241001
single-employer plans covered by the
pension insurance system administered
by PBGC.
DATES: Effective July 1, 2017.
FOR FURTHER INFORMATION CONTACT:
Deborah C. Murphy (Murphy.Deborah@
PBGC.gov), Assistant General Counsel
for Regulatory Affairs, Pension Benefit
Guaranty Corporation, 1200 K Street
NW., Washington, DC 20005, 202–326–
4400 ext. 3451. (TTY/TDD users may
call the Federal relay service toll free at
1–800–877–8339 and ask to be
connected to 202–326–4400 ext. 3451.)
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 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 2017 and
updates the asset allocation interest
assumptions for the third quarter (July
through September) of 2017.
The third quarter 2017 interest
assumptions under the allocation
regulation will be 2.44 percent for the
first 20 years following the valuation
date and 2.74 percent thereafter. In
comparison with the interest
assumptions in effect for the second
quarter of 2017, these interest
assumptions represent no change in the
select period (the period during which
the select rate, the initial rate, applies),
an increase of 0.29 percent in the select
PO 00000
Frm 00020
Fmt 4700
Sfmt 4700
rate, and an increase of 0.14 percent in
the ultimate rate, the final rate.
The July 2017 interest assumptions
under the benefit payments regulation
will be 1.00 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. In comparison with the interest
assumptions in effect for June 2017,
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 valuation
and payment of benefits under plans
with valuation dates during July 2017,
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
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
285, 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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*
27423
Federal Register / Vol. 82, No. 114 / Thursday, June 15, 2017 / Rules and Regulations
Rate set
For plans with a valuation
date
On or after
*
Immediate
annuity
rate
(percent)
Before
*
285
7–1–17
3. In appendix C to part 4022, Rate Set
285, as set forth below, is added to the
table.
*
*
*
*
Immediate
annuity
rate
(percent)
Before
*
7–1–17
i
2
n
3
*
n
1
*
4.00
*
4.00
7
8
*
Deferred annuities
(percent)
i
*
8–1–17
i
1
*
4.00
1.00
i
2
n
3
*
n
1
*
4.00
7
8
Appendix B to Part 4044—Interest
Rates Used To Value Benefits
5. In appendix B to part 4044, an entry
for July–September 2017, as set forth
below, is added to the table.
*
■
4. The authority citation for part 4044
continues to read as follows:
■
2
*
4.00
Authority: 29 U.S.C. 1301(a), 1302(b)(3),
1341, 1344, 1362.
PART 4044—ALLOCATION OF
ASSETS IN SINGLE–EMPLOYER
PLANS
2
Appendix C to Part 4022—Lump Sum
Interest Rates for Private-Sector
Payments
For plans with a valuation
date
285
i
1
*
4.00
1.00
*
On or after
i
*
8–1–17
■
Rate set
Deferred annuities
(percent)
*
*
*
*
The values of it are:
For valuation dates occurring in the months—
i
*
*
*
July–September 2017 .......................................................
Issued in Washington, DC.
Deborah Chase Murphy,
Assistant General Counsel for Regulatory
Affairs, Pension Benefit Guaranty
Corporation.
[FR Doc. 2017–12148 Filed 6–14–17; 8:45 am]
BILLING CODE 7709–02–P
DEPARTMENT OF HOMELAND
SECURITY
Coast Guard
33 CFR Part 117
[Docket No. USCG–2017–0510]
Drawbridge Operation Regulation;
Sacramento River, Rio Vista, CA
Coast Guard, DHS.
Notice of deviation from
drawbridge regulation.
pmangrum on DSK3GDR082PROD with RULES
AGENCY:
ACTION:
The Coast Guard has issued a
temporary deviation from the operating
schedule that governs the Rio Vista
Drawbridge across the Sacramento
River, mile 12.8, at Rio Vista, CA. The
SUMMARY:
VerDate Sep<11>2014
17:24 Jun 14, 2017
Jkt 241001
for t =
t
i
1–20
*
0.0274
*
0.0244
deviation is necessary to allow the
bridge owner to make necessary
emergency repairs to the bridge. This
deviation allows the bridge to open with
one hour advance notice during the
deviation period.
DATES: This deviation is effective from
7 p.m. on June 16, 2017 to 4 a.m. on July
1, 2017.
ADDRESSES: The docket for this
deviation [USCG–2017–0510], is
available at https://www.regulations.gov.
Type the docket number in the
‘‘SEARCH’’ box and click ‘‘SEARCH.’’
Click on Open Docket Folder on the line
associated with this deviation.
FOR FURTHER INFORMATION CONTACT: If
you have questions on this temporary
deviation, call or email Carl T. Hausner,
Chief, Bridge Section, Eleventh Coast
Guard District; telephone 510–437–
3516; email Carl.T.Hausner@uscg.mil.
SUPPLEMENTARY INFORMATION: The
California Department of Transportation
has requested a temporary change to the
operation of the Rio Vista Drawbridge,
mile 12.8, over Sacramento River, at Rio
Vista, CA. The drawbridge navigation
PO 00000
Frm 00021
Fmt 4700
Sfmt 4700
for t =
t
i
*
>20
for t =
t
*
N/A
N/A
span provides a vertical clearance of 18
feet above Mean High Water in the
closed-to-navigation position. In
accordance with 33 CFR 117.5, the draw
opens on signal. Navigation on the
waterway is commercial, search and
rescue, law enforcement, and
recreational.
The drawspan will require a one hour
advance notice at three specified
periods: (1) From 7 p.m. on June 16,
2017 to 4 a.m. on June 17, 2017; (2) from
8 p.m. on June 24, 2017 to 7 a.m. on
June 25, 2017; and (3) from 7 p.m. on
June 30, 2017 to 4 a.m. on July 1, 2017,
to allow the bridge owner to make
emergency repairs to the bridge deck. A
one hour advance notice will give
enough time for the contractor to clear
away equipment and workers before the
drawspan can safely open for transiting
vessels. Scaffolding will be installed
below the bridge deck from June 16,
2017 through July 1, 2017, reducing the
vertical clearance by 4 feet, and will
extend from the west tower 48 feet into
the navigational channel. This
temporary deviation has been
coordinated with the waterway users.
E:\FR\FM\15JNR1.SGM
15JNR1
]]>Agencies
[Federal Register Volume 82, Number 114 (Thursday, June 15, 2017)]
[Rules and Regulations]
[Pages 27422-27423]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 2017-12148]
=======================================================================
-----------------------------------------------------------------------
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 2017 and interest assumptions under the
asset allocation regulation for valuation dates in the third quarter of
2017. 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, 2017.
FOR FURTHER INFORMATION CONTACT: Deborah C. Murphy
(Murphy.Deborah@PBGC.gov), Assistant General Counsel for Regulatory
Affairs, Pension Benefit Guaranty Corporation, 1200 K Street NW.,
Washington, DC 20005, 202-326-4400 ext. 3451. (TTY/TDD users may call
the Federal relay service toll free at 1-800-877-8339 and ask to be
connected to 202-326-4400 ext. 3451.)
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 2017 and
updates the asset allocation interest assumptions for the third quarter
(July through September) of 2017.
The third quarter 2017 interest assumptions under the allocation
regulation will be 2.44 percent for the first 20 years following the
valuation date and 2.74 percent thereafter. In comparison with the
interest assumptions in effect for the second quarter of 2017, these
interest assumptions represent no change in the select period (the
period during which the select rate, the initial rate, applies), an
increase of 0.29 percent in the select rate, and an increase of 0.14
percent in the ultimate rate, the final rate.
The July 2017 interest assumptions under the benefit payments
regulation will be 1.00 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. In comparison with the interest
assumptions in effect for June 2017, 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 valuation
and payment of benefits under plans with valuation dates during July
2017, 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 285, as set forth below, is
added to the table.
Appendix B to Part 4022--Lump Sum Interest Rates for PBGC Payments
* * * * *
[[Page 27423]]
--------------------------------------------------------------------------------------------------------------------------------------------------------
For plans with a valuation date Immediate Deferred annuities (percent)
Rate set ---------------------------------- annuity rate ------------------------------------------------------------------------------------
On or after Before (percent) i i i n n
--------------------------------------------------------------------------------------------------------------------------------------------------------
* * * * * * *
285 7-1-17 8-1-17 1.00 4.00 4.00 4.00 7 8
--------------------------------------------------------------------------------------------------------------------------------------------------------
0
3. In appendix C to part 4022, Rate Set 285, 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) i i i n n
--------------------------------------------------------------------------------------------------------------------------------------------------------
* * * * * * *
285 7-1-17 8-1-17 1.00 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, an entry for July-September 2017, 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 months-- i for t = i for t = i for t =
----------------------------------------------------------------------------------------------------------------
* * * * * * *
July-September 2017......... 0.0244 1-20 0.0274 >20 N/A N/A
----------------------------------------------------------------------------------------------------------------
Issued in Washington, DC.
Deborah Chase Murphy,
Assistant General Counsel for Regulatory Affairs, Pension Benefit
Guaranty Corporation.
[FR Doc. 2017-12148 Filed 6-14-17; 8:45 am]
BILLING CODE 7709-02-P
