Allocation of Assets in Single-Employer Plans; Benefits Payable in Terminated Single-Employer Plans; Interest Assumptions for Valuing and Paying Benefits, 43299-43301 [2017-19525]

Download as PDF mstockstill on DSK30JT082PROD with RULES Federal Register / Vol. 82, No. 178 / Friday, September 15, 2017 / Rules and Regulations shipments of Washington apricots. After an open discussion with growers, handlers, and industry personnel, the Committee established a crop estimate for the 2017–2018 fiscal period of 6,000 tons. The Committee considered the crop estimate, the recommended 2017– 2018 fiscal period expenses, and the Committee’s financial reserve when it recommended the assessment rate decrease. Prior to arriving at this budget and assessment rate, the Committee considered information from various sources, such as a presentation from representatives of the Washington Stone Fruit Commission and comments from other industry participants. Alternative expenditure levels and assessment rates were discussed by these groups, based upon the relative value of various activities to the apricot industry. The Committee ultimately determined that the recommended budget was appropriate and that assessments at $1.00 per ton, along with interest income and the authorized reserve fund, would generate sufficient revenue to meet those budgeted expenses. A review of historical information and preliminary information pertaining to the upcoming fiscal period indicates that the grower price for the 2017–2018 season could range between $800 and $1,600 per ton of apricots. Therefore, the estimated assessment revenue for the 2017–2018 fiscal period as a percentage of total grower revenue could range between 0.06 and 0.13 percent. This action decreases the assessment obligation imposed on handlers. Assessments are applied uniformly on all handlers, and some of the costs may be passed on to growers. However, decreasing the assessment rate reduces the burden on handlers, and may reduce the burden on growers. In addition, the Committee’s meeting was widely publicized throughout the Washington apricot industry and all interested persons were invited to attend the meeting and participate in Committee deliberations on all issues. Like all Committee meetings, the May 3, 2017, meeting was a public meeting and all entities, both large and small, were able to express views on this issue. Finally, interested persons are invited to submit comments on this interim rule, including the regulatory and informational impacts of this action on small businesses. In accordance with the Paperwork Reduction Act of 1995, (44 U.S.C. Chapter 35), the order’s information collection requirements have been previously approved by OMB and assigned OMB No. 0581–0178; VerDate Sep<11>2014 16:21 Sep 14, 2017 Jkt 241001 Vegetable and Specialty Crops. No changes in those requirements as a result of this action are necessary. Should any changes become necessary, they would be submitted to OMB for approval. This action imposes no additional reporting or recordkeeping requirements on either small or large Washington apricot handlers. As with all Federal marketing order programs, reports and forms are periodically reviewed to reduce information requirements and duplication by industry and public sector agencies. AMS is committed to complying with the E-Government Act, to promote the use of the internet and other information technologies to provide increased opportunities for citizen access to Government information and services, and for other purposes. USDA has not identified any relevant Federal rules that duplicate, overlap, or conflict with this rule. A small business guide on complying with fruit, vegetable, and specialty crop marketing agreements and orders may be viewed at: http://www.ams.usda.gov/ rules-regulations/moa/small-businesses. Any questions about the compliance guide should be sent to Richard Lower at the previously mentioned address in the FOR FURTHER INFORMATION CONTACT section. After consideration of all relevant material presented, including the information and recommendation submitted by the Committee and other available information, it is hereby found that this rule, as hereinafter set forth, will tend to effectuate the declared policy of the Act. Pursuant to 5 U.S.C. 553, it is also found and determined upon good cause that it is impracticable, unnecessary, and contrary to the public interest to give preliminary notice prior to putting this rule into effect, and that good cause exists for not postponing the effective date of this rule until 30 days after publication in the Federal Register because: (1) This action decreases the assessment rate for assessable apricots beginning with the 2017–2018 fiscal period; (2) handlers are aware of this action which was unanimously recommended by the Committee at a public meeting and is similar to other assessment rate actions issued in past years; and (3) this interim rule provides a 60-day comment period, and all comments timely received will be considered prior to finalization of this rule. PO 00000 Frm 00003 Fmt 4700 Sfmt 4700 43299 List of Subjects in 7 CFR Part 922 Apricots, Marketing agreements, Reporting and recordkeeping requirements. For the reasons set forth in the preamble, 7 CFR part 922 is amended as follows: PART 922—APRICOTS GROWN IN DESIGNATED COUNTIES IN WASHINGTON 1. The authority citation for part 922 continues to read as follows: ■ Authority: 7 U.S.C. 601–674. 2. Section 922.235 is revised to read as follows: ■ § 922.235 Assessment rate. On and after April 1, 2017, an assessment rate of $1.00 per ton is established for Washington apricots handled in the production area. Dated: September 11, 2017. Bruce Summers, Acting Administrator, Agricultural Marketing Service. [FR Doc. 2017–19553 Filed 9–14–17; 8:45 am] BILLING CODE 3410–02–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 October 2017 and interest assumptions under the asset allocation regulation for valuation dates in the fourth 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 October 1, 2017. FOR FURTHER INFORMATION CONTACT: Daniel S. Liebman (Liebman.daniel@ PBGC.gov), Acting Assistant General Counsel for Regulatory Affairs, Pension Benefit Guaranty Corporation, 1200 K SUMMARY: E:\FR\FM\15SER1.SGM 15SER1 43300 Federal Register / Vol. 82, No. 178 / Friday, September 15, 2017 / Rules and Regulations Street NW., Washington, DC 20005, 202–326–4400 ext. 6510. (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. 6510.) 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 (http:// 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 SUPPLEMENTARY INFORMATION: final rule updates the benefit payments interest assumptions for October 2017 and updates the asset allocation interest assumptions for the fourth quarter (October through December) of 2017. The fourth quarter 2017 interest assumptions under the allocation regulation will be 2.34 percent for the first 20 years following the valuation date and 2.63 percent thereafter. In comparison with the interest assumptions in effect for the third quarter of 2017, these interest assumptions represent no change in the select period (the period during which the select rate, the initial rate, applies), a decrease of 0.10 percent in the select rate, and a decrease of 0.11 percent in the ultimate rate, the final rate. The October 2017 interest assumptions under the benefit payments regulation will be 0.75 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 September 2017, these interest assumptions represent a 0.25 percent decrease in the immediate rate and are otherwise 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 October For plans with a valuation date On or after * 288 Before * 10–1–17 3. In appendix C to part 4022, Rate Set 288, as set forth below, is added to the table. ■ For plans with a valuation date mstockstill on DSK30JT082PROD with RULES Rate set * 288 VerDate Sep<11>2014 Before * 10–1–17 16:21 Sep 14, 2017 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 288, as set forth below, is added to the table. ■ Appendix B to Part 4022—Lump Sum Interest Rates for PBGC Payments * * * * * i3 4.00 * n1 * 4.00 n2 * 7 8 n1 n2 Appendix C to Part 4022—Lump Sum Interest Rates for Private-Sector Payments * * * * Deferred annuities (percent) Immediate annuity rate (percent) * 11–1–17 Jkt 241001 29 CFR Part 4022 i2 * 4.00 0.75 * On or after i1 * 11–1–17 List of Subjects Deferred annuities (percent) Immediate annuity rate (percent) Rate set 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). PO 00000 0.75 Frm 00004 i1 i2 * 4.00 4.00 Fmt 4700 Sfmt 4700 i3 * * 4.00 E:\FR\FM\15SER1.SGM 15SER1 * 7 8 43301 Federal Register / Vol. 82, No. 178 / Friday, September 15, 2017 / Rules and Regulations 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 October–December 2017, as set forth below, is added to the table. * ■ 4. The authority citation for part 4044 continues to read as follows: ■ * * * * The values of it are: For valuation dates occurring in the months— it * * * October–December 2017 ................................................. Issued in Washington, DC. Daniel S. Liebman, Acting Assistant General Counsel for Regulatory Affairs, Pension Benefit Guaranty Corporation. BILLING CODE 7709–02–P DEPARTMENT OF HOMELAND SECURITY Coast Guard 33 CFR Part 165 [Docket Number USCG–2017–0786] RIN 1625–AA00 Safety Zone; Tombigbee River, Demopolis, AL Coast Guard, DHS. Temporary final rule. AGENCY: The Coast Guard is establishing a temporary safety zone for all navigable waters of the Tombigbee River from mile marker (MM) 215.5 to MM 216.5, near Demopolis, AL. This action is necessary to protect persons and property on navigable waters during a fireworks display taking place on or over the waterway. Entry into or transiting in this zone is prohibited to all vessels, mariners, and persons unless specifically authorized by the Captain of the Port Sector Mobile (COTP) or a designated representative. DATES: This rule is effective from 8 p.m. through 10 p.m. on September 16, 2017. ADDRESSES: To view documents mentioned in this preamble as being available in the docket, go to http:// www.regulations.gov, type USCG–2017– 0786 in the ‘‘SEARCH’’ box and click ‘‘SEARCH.’’ Click on Open Docket Folder on the line associated with this rule. FOR FURTHER INFORMATION CONTACT: If you have questions on this rule, call or email LT Kyle D. Berry, Sector Mobile, Waterways Management Division, U.S. mstockstill on DSK30JT082PROD with RULES SUMMARY: VerDate Sep<11>2014 16:21 Sep 14, 2017 Jkt 241001 it 1–20 * 0.0263 * 0.0234 Coast Guard; telephone 251–441–5940, email Kyle.D.Berry@uscg.mil. SUPPLEMENTARY INFORMATION: I. Table of Acronyms CFR Code of Federal Regulations COTP Captain of the Port Sector Mobile FR Federal Register NPRM Notice of proposed rulemaking § Section U.S.C. United States Code [FR Doc. 2017–19525 Filed 9–14–17; 8:45 am] ACTION: for t = II. Background Information and Regulatory History The Coast Guard is issuing this temporary final rule without prior notice and opportunity to comment pursuant to authority under section 4(a) of the Administrative Procedure Act (APA) (5 U.S.C. 553(b)). This provision authorizes an agency to issue a rule without prior notice and opportunity to comment when the agency for good cause finds that those procedures are ‘‘impracticable, unnecessary, or contrary to the public interest.’’ Under 5 U.S.C. 553(b)(3)(B), the Coast Guard finds that good cause exists for not publishing a notice of proposed rulemaking (NPRM) with respect to this rule because it is impracticable. It is impracticable to publish an NPRM because we must establish this safety zone by September 16, 2017 and lack sufficient time to provide a reasonable comment period and then consider those comments before issuing the rule. We are issuing this rule, and under 5 U.S.C. 553(d)(3), the Coast Guard finds that good cause exists for making this rule effective less than 30 days after publication in the Federal Register. Delaying the effective date to provide a full 30 days’ notice is contrary to public interest because immediate action is needed to protect persons and vessels from safety hazards associated with the fireworks display over this navigable waterway. III. Legal Authority and Need for Rule The legal basis and authorities for this rule are found in 33 U.S.C. 1231. The Marengo County Historical Society PO 00000 Frm 00005 Fmt 4700 Sfmt 4700 for t = * >20 it for t = * N/A N/A plans to conduct a fireworks display launched from shore on the Tombigbee River located near mile marker (MM) 216.0, in Demopolis, AL on September 16, 2017. Therefore, the Coast Guard has determined that a safety zone is needed to protect the public, mariners, and vessels from the potential hazards associated with a barge-based fireworks display on and over the waterway. IV. Discussion of the Rule The Coast Guard is establishing a temporary safety zone encompassing all waters extending the entire width of the Tombigbee River from MM 215.5 to MM 216.5, near Demopolis, AL from 8 p.m. through 10 p.m. on September 16, 2017. The location and duration of this safety zone is intended to protect persons and vessels during the fireworks display taking place over this navigable waterway. No person or vessel will be permitted to enter or transit within the safety zone, unless specifically authorized by the Captain of the Port Sector Mobile (COTP) or a designated representative. The COTP may be contacted by telephone at 251–441– 5976. V. Regulatory Analyses We developed this rule after considering numerous statutes and Executive orders related to rulemaking. Below we summarize our analyses based on a number of these statutes and Executive orders. A. Regulatory Planning and Review Executive Orders 12866 and 13563 direct agencies to assess the costs and benefits of available regulatory alternatives and, if regulation is necessary, to select regulatory approaches that maximize net benefits. Executive Order 13771 directs agencies to control regulatory costs through a budgeting process. This rule has not been designated a ‘‘significant regulatory action,’’ under Executive Order 12866. Accordingly, this rule has not been reviewed by the Office of Management and Budget (OMB), and E:\FR\FM\15SER1.SGM 15SER1

Agencies

[Federal Register Volume 82, Number 178 (Friday, September 15, 2017)]
[Rules and Regulations]
[Pages 43299-43301]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 2017-19525]


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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 October 2017 and interest assumptions under the 
asset allocation regulation for valuation dates in the fourth 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 October 1, 2017.

FOR FURTHER INFORMATION CONTACT: Daniel S. Liebman 
(Liebman.daniel@PBGC.gov), Acting Assistant General Counsel for 
Regulatory Affairs, Pension Benefit Guaranty Corporation, 1200 K

[[Page 43300]]

Street NW., Washington, DC 20005, 202-326-4400 ext. 6510. (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. 6510.)

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 
(http://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 October 2017 and 
updates the asset allocation interest assumptions for the fourth 
quarter (October through December) of 2017.
    The fourth quarter 2017 interest assumptions under the allocation 
regulation will be 2.34 percent for the first 20 years following the 
valuation date and 2.63 percent thereafter. In comparison with the 
interest assumptions in effect for the third quarter of 2017, these 
interest assumptions represent no change in the select period (the 
period during which the select rate, the initial rate, applies), a 
decrease of 0.10 percent in the select rate, and a decrease of 0.11 
percent in the ultimate rate, the final rate.
    The October 2017 interest assumptions under the benefit payments 
regulation will be 0.75 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 September 2017, these interest assumptions 
represent a 0.25 percent decrease in the immediate rate and are 
otherwise 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 October 
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 288, 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
--------------------------------------------------------------------------------------------------------------------------------------------------------
 
                                                                      * * * * * * *
         288            10-1-17            11-1-17             0.75             4.00             4.00             4.00               7               8
--------------------------------------------------------------------------------------------------------------------------------------------------------



0
3. In appendix C to part 4022, Rate Set 288, 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
--------------------------------------------------------------------------------------------------------------------------------------------------------
 
                                                                      * * * * * * *
         288            10-1-17            11-1-17             0.75             4.00             4.00             4.00               7               8
--------------------------------------------------------------------------------------------------------------------------------------------------------


[[Page 43301]]

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 October-December 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--              it          for t =         it         for t =         it          for t =
----------------------------------------------------------------------------------------------------------------
 
                                                  * * * * * * *
October-December 2017........       0.0234          1-20        0.0263           >20          N/A           N/A
----------------------------------------------------------------------------------------------------------------


    Issued in Washington, DC.
Daniel S. Liebman,
Acting Assistant General Counsel for Regulatory Affairs, Pension 
Benefit Guaranty Corporation.
[FR Doc. 2017-19525 Filed 9-14-17; 8:45 am]
 BILLING CODE 7709-02-P