Benefits Payable in Terminated Single-Employer Plans; Interest Assumptions for Paying Benefits, 57307-57308 [2018-24746]
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57307
Rules and Regulations
Federal Register
Vol. 83, No. 221
Thursday, November 15, 2018
This section of the FEDERAL REGISTER
contains regulatory documents having general
applicability and legal effect, most of which
are keyed to and codified in the Code of
Federal Regulations, which is published under
50 titles pursuant to 44 U.S.C. 1510.
The Code of Federal Regulations is sold by
the Superintendent of Documents.
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
December 2018. The interest
assumptions are used for paying
benefits under terminating singleemployer plans covered by the pension
insurance system administered by
PBGC.
SUMMARY:
Effective December 1, 2018.
FOR FURTHER INFORMATION CONTACT:
Melissa Rifkin (rifkin.melissa@
PBGC.gov), Attorney, Regulatory Affairs
Division, Pension Benefit Guaranty
Corporation, 1200 K Street NW,
Washington, DC 20005, 202–326–4400
ext. 6563. (TTY users may call the
Federal relay service toll-free at 1–800–
877–8339 and ask to be connected to
202–326–4400, ext. 6563.)
DATES:
Rate set
For plans with a valuation
date
On or after
*
khammond on DSK30JT082PROD with RULES
302
Before
*
12–1–18
16:25 Nov 14, 2018
Immediate
annuity rate
(percent)
*
1–1–19
1.50
1 Appendix B to PBGC’s regulation on Allocation
of Assets in Single-Employer Plans (29 CFR part
4044) prescribes interest assumptions for valuing
VerDate Sep<11>2014
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 terminated 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
website (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 December 2018.1
The December 2018 interest
assumptions under the benefit payments
regulation will be 1.50 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 November
2018, these assumptions represent an
increase of 0.25% 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
SUPPLEMENTARY INFORMATION:
Jkt 247001
Frm 00001
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
302 is added at the end of the table to
read as follows:
■
Appendix B to Part 4022—Lump Sum
Interest Rates for PBGC Payments
*
*
*
*
*
Deferred annuities
(percent)
i1
i2
*
4.00
4.00
i3
Fmt 4700
Sfmt 4700
n1
*
benefits under terminating covered single-employer
plans for purposes of allocation of assets under
PO 00000
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 December 2018, 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).
*
4.00
n2
*
7
8
ERISA section 4044. Those assumptions are
updated quarterly.
E:\FR\FM\15NOR1.SGM
15NOR1
57308
Federal Register / Vol. 83, No. 221 / Thursday, November 15, 2018 / Rules and Regulations
■ 3. In appendix C to part 4022, Rate Set
302 is added at the end of the table to
read as follows:
Appendix C to Part 4022—Lump Sum
Interest Rates for Private-Sector
Payments
*
Rate set
For plans with a valuation
date
On or after
*
Before
*
302
12–1–18
*
Immediate
annuity rate
(percent)
*
1–1–19
1.50
Issued in Washington, DC.
Hilary Duke,
Assistant General Counsel for Regulatory
Affairs, Pension Benefit Guaranty
Corporation.
*
*
Deferred annuities
(percent)
i1
i2
*
4.00
4.00
i3
On May 28, 2009, OFAC issued the
Democratic Republic of the Congo
Sanctions Regulations, 31 CFR part 547
(the ‘‘Regulations’’) (74 FR 25439, May
28, 2009) to implement Executive Order
13413 of October 27, 2006 (71 FR 64105,
October 31, 2006) (E.O. 13413).
BILLING CODE 7709–02–P
Executive Order 13671
DEPARTMENT OF THE TREASURY
Electronic Availability
On July 8, 2014, the President,
invoking the authority of, inter alia, the
International Emergency Economic
Powers Act (50 U.S.C. 1701–1706)
(IEEPA) and section 5 of the United
Nations Participation Act (22 U.S.C.
287c) (UNPA), issued Executive Order
13671 (79 FR 39949, July 10, 2014) (E.O.
13671). In E.O. 13671, the President
amended E.O. 13413 to take additional
steps to deal with the national
emergency with respect to the situation
in or in relation to the Democratic
Republic of the Congo declared in E.O.
13413, in view of multiple United
Nations Security Council Resolutions,
including Resolution 2136 of January
30, 2014, and in light of the
continuation of activities that threaten
the peace, security, or stability of the
Democratic Republic of the Congo and
the surrounding region, including
operations by armed groups, widespread
violence and atrocities, human rights
abuses, recruitment and use of child
soldiers, attacks on peacekeepers,
obstruction of humanitarian operations,
and exploitation of natural resources to
finance persons engaged in these
activities.
E.O. 13671 amends several sections of
E.O. 13413 but does not amend the
Annex to E.O. 13413 as originally
issued. Section 1 of E.O. 13671 amends
E.O. 13413 by replacing subsection 1(a)
of E.O. 13413 in its entirety. New
subsection 1(a) of E.O. 13413 as
amended by E.O. 13671 (‘‘amended E.O.
13413’’) 1 blocks all property and
This document and additional
information concerning OFAC are
available from OFAC’s website
(www.treasury.gov/ofac).
1 For the purposes of this subsection, the term
‘‘amended E.O. 13413’’ refers to E.O. 13413 as
amended by E.O. 13671. Because E.O. 13671 did
not amend the Annex, the term ‘‘Annex to amended
Office of Foreign Assets Control
31 CFR Part 547
Democratic Republic of the Congo
Sanctions Regulations
Office of Foreign Assets
Control, Treasury.
ACTION: Final rule.
AGENCY:
The Department of the
Treasury’s Office of Foreign Assets
Control (OFAC) is adopting a final rule
amending the Democratic Republic of
the Congo Sanctions Regulations to
implement Executive Order 13671 of
July 8, 2014 (‘‘Taking Additional Steps
to Address the National Emergency
With Respect to the Conflict in the
Democratic Republic of the Congo’’).
This rule also incorporates other
technical and conforming changes.
DATES: Effective: November 15, 2018.
FOR FURTHER INFORMATION CONTACT: The
Department of the Treasury’s Office of
Foreign Assets Control: Assistant
Director for Licensing, tel.: 202–622–
2480; Assistant Director for Regulatory
Affairs, tel: 202–622–4855; Assistant
Director for Sanctions Compliance &
Evaluation, tel.: 202–622–2490; or the
Department of the Treasury’s Office of
the Chief Counsel (Foreign Assets
Control), Office of the General Counsel,
tel.: 202–622–2410.
SUPPLEMENTARY INFORMATION:
SUMMARY:
VerDate Sep<11>2014
16:25 Nov 14, 2018
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PO 00000
Frm 00002
Fmt 4700
Sfmt 4700
n1
*
Background
[FR Doc. 2018–24746 Filed 11–14–18; 8:45 am]
khammond on DSK30JT082PROD with RULES
*
*
4.00
n2
*
7
8
interests in property that are in the
United States, that come within the
United States, or that are or come within
the possession or control of any U.S.
person, of: (i) The persons listed in the
Annex to amended E.O. 13413; and (ii)
any person determined by the Secretary
of the Treasury, in consultation with the
Secretary of State:
(A) To be a political or military leader
of a foreign armed group operating in
the Democratic Republic of the Congo
that impedes the disarmament,
demobilization, voluntary repatriation,
resettlement, or reintegration of
combatants;
(B) to be a political or military leader
of a Congolese armed group that
impedes the disarmament,
demobilization, voluntary repatriation,
resettlement, or reintegration of
combatants;
(C) to be responsible for or complicit
in, or to have engaged in, directly or
indirectly, any of the following in or in
relation to the Democratic Republic of
the Congo: (1) Actions or policies that
threaten the peace, security, or stability
of the Democratic Republic of the
Congo; (2) actions or policies that
undermine democratic processes or
institutions in the Democratic Republic
of the Congo; (3) the targeting of women,
children, or any civilians through the
commission of acts of violence
(including killing, maiming, torture, or
rape or other sexual violence),
abduction, forced displacement, or
attacks on schools, hospitals, religious
sites, or locations where civilians are
seeking refuge, or through conduct that
would constitute a serious abuse or
violation of human rights or a violation
of international humanitarian law; (4)
the use or recruitment of children by
armed groups or armed forces in the
context of the conflict in the Democratic
Republic of the Congo; (5) the
obstruction of the delivery or
distribution of, or access to,
humanitarian assistance; (6) attacks
E.O. 13413’’ refers to the Annex as originally issued
to E.O. 13413.
E:\FR\FM\15NOR1.SGM
15NOR1
]]>Agencies
[Federal Register Volume 83, Number 221 (Thursday, November 15, 2018)]
[Rules and Regulations]
[Pages 57307-57308]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 2018-24746]
========================================================================
Rules and Regulations
Federal Register
________________________________________________________________________
This section of the FEDERAL REGISTER contains regulatory documents
having general applicability and legal effect, most of which are keyed
to and codified in the Code of Federal Regulations, which is published
under 50 titles pursuant to 44 U.S.C. 1510.
The Code of Federal Regulations is sold by the Superintendent of Documents.
========================================================================
Federal Register / Vol. 83, No. 221 / Thursday, November 15, 2018 /
Rules and Regulations
[[Page 57307]]
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 December 2018. The interest assumptions are used
for paying benefits under terminating single-employer plans covered by
the pension insurance system administered by PBGC.
DATES: Effective December 1, 2018.
FOR FURTHER INFORMATION CONTACT: Melissa Rifkin
([email protected]), Attorney, Regulatory Affairs Division,
Pension Benefit Guaranty Corporation, 1200 K Street NW, Washington, DC
20005, 202-326-4400 ext. 6563. (TTY users may call the Federal relay
service toll-free at 1-800-877-8339 and ask to be connected to 202-326-
4400, ext. 6563.)
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 terminated 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 website
(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 December 2018.\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 December 2018 interest assumptions under the benefit payments
regulation will be 1.50 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 November 2018, these assumptions represent an
increase of 0.25% 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 payment
of benefits under plans with valuation dates during December 2018, 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 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 302 is added at the end of the
table to read as follows:
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
--------------------------------------------------------------------------------------------------------------------------------------------------------
* * * * * * *
302 12-1-18 1-1-19 1.50 4.00 4.00 4.00 7 8
--------------------------------------------------------------------------------------------------------------------------------------------------------
[[Page 57308]]
0
3. In appendix C to part 4022, Rate Set 302 is added at the end of the
table to read as follows:
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
--------------------------------------------------------------------------------------------------------------------------------------------------------
* * * * * * *
302 12-1-18 1-1-19 1.50 4.00 4.00 4.00 7 8
--------------------------------------------------------------------------------------------------------------------------------------------------------
Issued in Washington, DC.
Hilary Duke,
Assistant General Counsel for Regulatory Affairs, Pension Benefit
Guaranty Corporation.
[FR Doc. 2018-24746 Filed 11-14-18; 8:45 am]
BILLING CODE 7709-02-P
