Benefits Payable in Terminated Single-Employer Plans; Interest Assumptions for Paying Benefits, 123-124 [2019-00071]
Download as PDF
<![CDATA[
123
Rules and Regulations
Federal Register
Vol. 84, No. 12
Thursday, January 17, 2019
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
February 2019. The interest
assumptions are used for paying
benefits under terminating singleemployer plans covered by the pension
insurance system administered by
PBGC.
SUMMARY:
DATES:
Effective February 1, 2019.
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.)
Rate set
For plans with a
valuation date
On or after
*
amozie on DSK3GDR082PROD with RULES
304
Immediate
annuity rate
(percent)
Before
*
2–1–19
*
3–1–19
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
16:00 Jan 16, 2019
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 February 2019.1
The February 2019 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 January 2019,
these assumptions represent a decrease
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
1.25
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
304 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
*
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 February 2019, 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).
Fmt 4700
Sfmt 4700
n1
*
4.00
n2
*
7
8
ERISA section 4044. Those assumptions are
updated quarterly.
E:\FR\FM\17JAR1.SGM
17JAR1
124
Federal Register / Vol. 84, No. 12 / Thursday, January 17, 2019 / Rules and Regulations
3. In appendix C to part 4022, Rate Set
304 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
Rate set
On or after
*
Before
*
2–1–19
3–1–19
Issued in Washington, DC, by
Stephanie Cibinic,
Deputy Assistant General Counsel for
Regulatory Affairs, Pension Benefit Guaranty
Corporation.
[FR Doc. 2019–00071 Filed 1–16–19; 8:45 am]
BILLING CODE 7709–02–P
DEPARTMENT OF COMMERCE
National Oceanic and Atmospheric
Administration
50 CFR Part 679
[Docket No. 170817779–8161–02]
RIN 0648–XG701
Fisheries of the Exclusive Economic
Zone Off Alaska; Pacific Cod by
Catcher Vessels Greater Than or Equal
to 60 Feet Length Overall Using Pot
Gear in the Bering Sea and Aleutian
Islands Management Area
National Marine Fisheries
Service (NMFS), National Oceanic and
Atmospheric Administration (NOAA),
Commerce.
ACTION: Temporary rule; closure.
AGENCY:
NMFS is prohibiting directed
fishing for Pacific cod by catcher vessels
greater than or equal to 60 feet (18.3
meters (m)) length overall (LOA) using
pot gear in the Bering Sea and Aleutian
Islands management area (BSAI). This
action is necessary to prevent exceeding
the A season apportionment of the 2019
Pacific cod total allowable catch
allocated to catcher vessels greater than
or equal to 60 feet (18.3m) LOA using
pot gear in the BSAI.
DATES: Effective 1200 hours, Alaska
local time (A.l.t.), January 15, 2019,
through 1200 hours, A.l.t., September 1,
2019.
FOR FURTHER INFORMATION CONTACT: Josh
Keaton, 907–586–7228.
SUPPLEMENTARY INFORMATION: NMFS
manages the groundfish fishery in the
BSAI exclusive economic zone
according to the Fishery Management
amozie on DSK3GDR082PROD with RULES
SUMMARY:
VerDate Sep<11>2014
16:00 Jan 16, 2019
*
Immediate
annuity rate
(percent)
*
304
*
Jkt 247001
1.25
*
*
Deferred annuities
(percent)
i1
i2
*
4.00
4.00
i3
*
Plan for Groundfish of the Bering Sea
and Aleutian Islands Management Area
(FMP) prepared by the North Pacific
Fishery Management Council under
authority of the Magnuson-Stevens
Fishery Conservation and Management
Act. Regulations governing fishing by
U.S. vessels in accordance with the FMP
appear at subpart H of 50 CFR part 600
and 50 CFR part 679.
The A season apportionment of the
2019 Pacific cod total allowable catch
(TAC) allocated to catcher vessels
greater than or equal to 60 feet (18.3m)
LOA using pot gear in the BSAI is 6,884
metric tons (mt) as established by the
final 2018 and 2019 harvest
specifications for groundfish in the
BSAI (83 FR 8365, February 27, 2018)
and inseason adjustment (83 FR 67144,
December 28, 2018).
In accordance with § 679.20(d)(1)(iii),
the Administrator, Alaska Region,
NMFS (Regional Administrator), has
determined that the A season
apportionment of the 2019 Pacific cod
TAC allocated as a directed fishing
allowance to catcher vessels greater than
or equal to 60 feet (18.3m) LOA using
pot gear in the BSAI will soon be
reached. Consequently, NMFS is
prohibiting directed fishing for Pacific
cod by catcher vessels greater than or
equal to 60 feet (18.3m) LOA using pot
gear in the BSAI.
After the effective date of this closure
the maximum retainable amounts at
§ 679.20(e) and (f) apply at any time
during a trip.
Classification
This action responds to the best
available information recently obtained
from the fishery. The Assistant
Administrator for Fisheries, NOAA
(AA), finds good cause to waive the
requirement to provide prior notice and
opportunity for public comment
pursuant to the authority set forth at 5
U.S.C. 553(b)(B) as such requirement is
impracticable and contrary to the public
interest. This requirement is
impracticable and contrary to the public
interest as it would prevent NMFS from
PO 00000
Frm 00002
Fmt 4700
Sfmt 4700
n1
*
4.00
n2
*
7
8
responding to the most recent fisheries
data in a timely fashion and would
delay the closure of directed fishing for
Pacific cod by catcher vessels greater
than or equal to 60 feet (18.3m) LOA
using pot gear in the BSAI. NMFS was
unable to publish a notice providing
time for public comment because the
most recent, relevant data only became
available as of January 11, 2019.
The AA also finds good cause to
waive the 30-day delay in the effective
date of this action under 5 U.S.C.
553(d)(3). This finding is based upon
the reasons provided above for waiver of
prior notice and opportunity for public
comment.
This action is required by § 679.20
and is exempt from review under
Executive Order 12866.
Authority: 16 U.S.C. 1901 et seq.
Dated: January 14, 2019.
Samuel D. Rauch III,
Deputy Assistant Administrator for
Regulatory Programs, National Marine
Fisheries Service.
[FR Doc. 2019–00072 Filed 1–14–19; 4:15 pm]
BILLING CODE 3510–22–P
DEPARTMENT OF COMMERCE
National Oceanic and Atmospheric
Administration
50 CFR Part 679
[Docket No. 170817779–8161–02]
RIN 0648–XG699
Fisheries of the Exclusive Economic
Zone Off Alaska; Pacific Cod by Pot
Catcher/Processors in the Bering Sea
and Aleutian Islands Management Area
National Marine Fisheries
Service (NMFS), National Oceanic and
Atmospheric Administration (NOAA),
Commerce.
ACTION: Temporary rule; closure.
AGENCY:
NMFS is prohibiting directed
fishing for Pacific cod by catcher/
processors using pot gear in the Bering
SUMMARY:
E:\FR\FM\17JAR1.SGM
17JAR1
]]>Agencies
[Federal Register Volume 84, Number 12 (Thursday, January 17, 2019)]
[Rules and Regulations]
[Pages 123-124]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 2019-00071]
========================================================================
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. 84, No. 12 / Thursday, January 17, 2019 /
Rules and Regulations
[[Page 123]]
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 February 2019. The interest assumptions are used
for paying benefits under terminating single-employer plans covered by
the pension insurance system administered by PBGC.
DATES: Effective February 1, 2019.
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.)
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 February 2019.\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 February 2019 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 January 2019, these assumptions represent a
decrease 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 February 2019, 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 304 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
--------------------------------------------------------------------------------------------------------------------------------------------------------
* * * * * * *
304 2-1-19 3-1-19 1.25 4.00 4.00 4.00 7 8
--------------------------------------------------------------------------------------------------------------------------------------------------------
[[Page 124]]
0
3. In appendix C to part 4022, Rate Set 304 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
--------------------------------------------------------------------------------------------------------------------------------------------------------
* * * * * * *
304 2-1-19 3-1-19 1.25 4.00 4.00 4.00 7 8
--------------------------------------------------------------------------------------------------------------------------------------------------------
Issued in Washington, DC, by
Stephanie Cibinic,
Deputy Assistant General Counsel for Regulatory Affairs, Pension
Benefit Guaranty Corporation.
[FR Doc. 2019-00071 Filed 1-16-19; 8:45 am]
BILLING CODE 7709-02-P
