Simplification of Catch-Up Contribution Process, 72913-72914 [2020-24203]

Download as PDF Federal Register / Vol. 85, No. 221 / Monday, November 16, 2020 / Rules and Regulations (6)’’ both times it appears and adding the citation ‘‘2 CFR 200.101(f)(4) through (6)’’ in its place. ■ b. In paragraph (b), by removing the citations ‘‘2 CFR 200.101(e)(4) through (6)’’ and ‘‘2 CFR 200.319(b)’’ and adding the citations ‘‘2 CFR 200.101(f)(4) through (6)’’ and ‘‘2 CFR 200.319(c)’’ in their places, respectively. Title 7—[Amended] PART 1780—WATER AND WASTE LOANS AND GRANTS 6. The authority citation for part 1780 continues to read as follows: ■ Authority: 5 U.S.C. 301; 7 U.S.C. 1989; 16 U.S.C. 1005. § 1780.3 [Amended] 7. In § 1780.3(a), the definition of Simplified acquisition threshold is amended by removing the citation ‘‘2 CFR 200.88’’ and adding the citation ‘‘2 CFR 200.1’’ in its place. ■ PART 3430—COMPETITIVE AND NONCOMPETITIVE NON-FORMULA FEDERAL ASSISTANCE PROGRAMS— GENERAL AWARD ADMINISTRATIVE PROVISIONS 8. The authority citation for part 3430 continues to read as follows: ■ Authority: 7 U.S.C. 3316; Pub. L. 106–107 (31 U.S.C. 6101 note). § 3430.41 [Amended] 9. In § 3430.41, paragraph (b) is amended by removing the citation ‘‘section 210 of 2 CFR Part 200’’ and adding the citation ‘‘2 CFR 200.211’’ in its place. ■ Stephen Censky, Deputy Secretary, U.S. Department of Agriculture. [FR Doc. 2020–24502 Filed 11–13–20; 8:45 am] BILLING CODE 3410–90–P FEDERAL RETIREMENT THRIFT INVESTMENT BOARD 5 CFR Parts 1600 and 1605 Simplification of Catch-Up Contribution Process Federal Retirement Thrift Investment Board. ACTION: Final rule. jbell on DSKJLSW7X2PROD with RULES AGENCY: The Federal Retirement Thrift Investment Board (‘‘FRTIB’’) is reducing paperwork burdens on participants who are eligible to make catch-up contributions by removing the regulation that requires them to submit SUMMARY: VerDate Sep<11>2014 17:17 Nov 13, 2020 Jkt 253001 two different contribution election forms. DATES: This rule is effective January 1, 2021. FOR FURTHER INFORMATION CONTACT: Austen Townsend, (202) 864–8647. SUPPLEMENTARY INFORMATION: The FRTIB administers the Thrift Savings Plan (TSP), which was established by the Federal Employees’ Retirement System Act of 1986 (FERSA), Public Law 99–335, 100 Stat. 514. The TSP provisions of FERSA are codified, as amended, largely at 5 U.S.C. 8351 and 8401–79. The TSP is a tax-deferred retirement savings plan for federal civilian employees and members of the uniformed services. The TSP is similar to cash or deferred arrangements established for private-sector employees under section 401(k) of the Internal Revenue Code (IRC)(26 U.S.C. 401(k)). Normally, a TSP participant’s contributions to his or her account cannot exceed the statutory limits set forth in IRC section 402(g) (limiting the amount of traditional and Roth contributions to $19,500 for calendar year 2021) and IRC section 415(c) (limiting the total amount of traditional, Roth, tax-exempt, matching, and automatic 1% contributions to the lesser of 100% of the participant’s compensation or $58,000 for calendar year 2021). However, a TSP participant who is age 50 or older is permitted to make catch-up contributions to his or her TSP account beyond these statutory limits up to the dollar limit in IRC section 414(v), which is $6,500 for calendar year 2021. On January 23, 2020, the FRTIB published a proposed rule with request for comments in the Federal Register (85 FR 3857) to simplify the catch-up contribution process by no longer requiring participants to submit separate catch-up contribution election forms. The FRTIB received five comments on the proposed rule. Three comments expressed strong support for reducing the burden on participants by eliminating the separate catch-up contribution election forms. Two of the comments did not address the substance of the regulations. Therefore the FRTIB, is publishing the proposed rule as final without change. Although the regulatory text is being published without change, in order to avoid confusion, the FRTIB wishes to clarify the effect of the simplified catchup contribution process on the rules set forth at 5 CFR 1605.13 regarding back pay awards and other retroactive pay adjustments. If a TSP participant was age 50 or older during the year(s) to which a back pay award or other PO 00000 Frm 00015 Fmt 4700 Sfmt 4700 72913 retroactive pay adjustment is attributable and the corrective contributions or make-up contributions exceed the IRC section 402(g) or 415(c) limit, then corrective contributions or make-up contributions will spill over toward the catch-up limit for those years, even if the contributions are attributable to years before 2021. However, catch-up contributions attributable to years before 2021 are not eligible for matching. Regulatory Flexibility Act I certify that this regulation will not have a significant economic impact on a substantial number of small entities. This regulation will affect federal employees, members of the uniformed services who participate in the Thrift Savings Plan, and their beneficiaries. The TSP is a federal defined contribution retirement savings plan created by FERSA and is administered by the FRTIB. Paperwork Reduction Act I certify that these regulations do not require additional reporting under the Paperwork Reduction Act. Unfunded Mandates Reform Act of 1995 Pursuant to the Unfunded Mandates Reform Act of 1995, 2 U.S.C. 602, 632, 653, 1501–1571, the effects of this regulation on state, local, and tribal governments and the private sector have been assessed. This regulation will not compel the expenditure in any one year of $100 million or more by state, local, and tribal governments, in the aggregate, or by the private sector. Therefore, a statement under 1532 is not required. List of Subjects 5 CFR Part 1600 Taxes, Claims, Government employees, Pensions, Retirement. 5 CFR Part 1605 Claims, Government employees, Pensions, Retirement. Ravindra Deo, Executive Director, Federal Retirement Thrift Investment Board. For the reasons stated in the preamble, the FRTIB amends 5 CFR chapter VI as follows: PART 1600—EMPLOYEE CONTRIBUTION ELECTIONS, CONTRIBUTION ALLOCATIONS, AND AUTOMATIC ENROLLMENT PROGRAM 1. The authority citation for part 1600 continues to read as follows: ■ E:\FR\FM\16NOR1.SGM 16NOR1 72914 Federal Register / Vol. 85, No. 221 / Monday, November 16, 2020 / Rules and Regulations Authority: 5 U.S.C. 8351, 8432(a), 8432(b), 8432(c), 8432(j), 8432d, 8474(b)(5) and (c)(1), and 8440e. § 1600.23 [Amended] 2. Amend § 1600.23 by removing and reserving paragraphs (b) and (h). ■ PART 1605—CORRECTION OF ADMINISTRATIVE ERRORS 3. The authority citation for part 1605 continues to read as follows: ■ Authority: 5 U.S.C. 8351, 8432a, 8432d, 8474(b)(5)(5) and (c)(1). Subpart B also issued under section 1043(b) of Public Law 104– 106, 110 Stat. 186 and sec. 7202(m)(2) of Public Law 101–508, 104 Stat. 1388. 4. Amend § 1605.13 by revising paragraph (c)(2) to read as follows: ■ § 1605.13 Back pay awards and other retroactive pay adjustments. * * * * * (c) * * * (2) Must not cause the participant to exceed the annual contribution limit(s) contained in sections 402(g), 415(c), or 414(v) of the I.R.C. (26 U.S.C. 402(g), 415(c), 414(v)) for the year(s) with respect to which the contributions are being made, taking into consideration the TSP contributions already made in (or with respect to) that year; and * * * * * [FR Doc. 2020–24203 Filed 11–13–20; 8:45 am] BILLING CODE 6760–01–P DEPARTMENT OF AGRICULTURE Agricultural Marketing Service 7 CFR Part 966 [Doc. No.: AMS–SC–19–0068; SC19–966–3] Tomatoes Grown in Florida; Amendments to the Marketing Order No. 966 Agricultural Marketing Service, USDA. ACTION: Final rule. AGENCY: This final rule amends Marketing Order No. 966, which regulates the handling of Florida Tomatoes. The amendments will change the Florida Tomato Committee’s (Committee) size, length of the terms of office, and quorum requirements. DATES: This rule is effective December 16, 2020. FOR FURTHER INFORMATION CONTACT: Geronimo Quinones, Marketing Specialist, Rulemaking Services Branch, Marketing Order and Agreement Division, Specialty Crops Program, AMS, USDA, 1400 Independence jbell on DSKJLSW7X2PROD with RULES SUMMARY: VerDate Sep<11>2014 17:17 Nov 13, 2020 Jkt 253001 Avenue SW, Stop 0237, Washington, DC 20250–0237; Telephone: (202) 720– 2491, Fax: (202) 720–8938, or Email: Geronimo.Quinones@usda.gov. Small businesses may request information on complying with this regulation by contacting Richard Lower, Marketing Order and Agreement Division, Specialty Crops Program, AMS, USDA, 1400 Independence Avenue SW, STOP 0237, Washington, DC 20250–0237; Telephone: (202) 720– 2491, Fax: (202) 720–8938, or Email: Richard.Lower@usda.gov. SUPPLEMENTARY INFORMATION: This action, pursuant to 5 U.S.C. 553, finalizes amendments to regulations issued to carry out a marketing order as defined in 7 CFR 900.2(j). This rule is issued under Marketing Order No. 966, as amended (7 CFR part 966), regulating the handling of tomatoes grown in Florida. Part 966 (referred to as the ‘‘Order’’) is effective under the Agricultural Marketing Agreement Act of 1937, as amended (7 U.S.C. 601–674), hereinafter referred to as the ‘‘Act.’’ The Committee locally administers the Order and is comprised of tomato producers operating within the area of production. The applicable rules of practice and procedure governing the formulation of Marketing Agreements and Orders (7 CFR part 900) authorize amendment of the Order through this informal rulemaking action. The Department of Agriculture (USDA) is issuing this rule in conformance with Executive Orders 13563 and 13175. This action falls within a category of regulatory actions that the Office of Management and Budget (OMB) exempted from Executive Order 12866 review. Additionally, because this rule does not meet the definition of a significant regulatory action, it does not trigger the requirements contained in Executive Order 13771. See OMB’s Memorandum titled ‘‘Interim Guidance Implementing Section 2 of the Executive Order of January 30, 2017, titled ‘Reducing Regulation and Controlling Regulatory Costs’ ’’ (February 2, 2017). This rule has been reviewed under Executive Order 12988, Civil Justice Reform. This rule is not intended to have retroactive effect. This rule shall not be deemed to preclude, preempt, or supersede any State program covering tomatoes grown in Florida. The Act provides that administrative proceedings must be exhausted before parties may file suit in court. Under section 8c(15)(A) of the Act (7 U.S.C. 608 (15)(A)), any handler subject to an order may file with USDA a petition stating that the order, any provision of PO 00000 Frm 00016 Fmt 4700 Sfmt 4700 the order, or any obligation imposed in connection with the order is not in accordance with law and request a modification of the order or to be exempted therefrom. A handler is afforded the opportunity for a hearing on the petition. After the hearing, USDA would rule on the petition. The Act provides that the district court of the United States in any district in which the handler is an inhabitant, or has his or her principal place of business, has jurisdiction to review USDA’s ruling on the petition, provided an action is filed no later than 20 days after the date of entry of the ruling. Section 1504 of the Food, Conservation, and Energy Act of 2008 (2008 Farm Bill) (Pub. L. 110–246) amended section 8c(17) of the Act, which in turn required the addition of supplemental rules of practice to 7 CFR part 900 (73 FR 49307; August 21, 2008). The amendment of section 8c(17) of the Act and the supplemental rules of practice authorize the use of informal rulemaking (5 U.S.C. 553) to amend Federal fruit, vegetable, and nut marketing agreements and orders. USDA may use informal rulemaking to amend marketing orders depending upon the nature and complexity of the proposed amendments, the potential regulatory and economic impacts on affected entities, and any other relevant matters. The Agricultural Marketing Service (USDA–AMS) considered the nature and complexity of the proposed amendments, the potential regulatory and economic impacts on affected entities, and other relevant matters, and determined that amending the Order as proposed by the Committee could appropriately be accomplished through informal rulemaking. The Committee unanimously recommended the amendments following deliberations at two public meetings held on November 1, 2018, and February 27, 2019. This final rule will amend the Order by changing the Committee’s size, the length of term of office, and quorum requirements. A proposed rule and referendum order was issued on February 14, 2020, and published in the Federal Register on February 21, 2020 (85 FR 10096). That document also directed that a referendum among Florida tomato growers be conducted May 11, 2020, through June 1, 2020, to determine whether they favored the proposals. To become effective, the amendments had to be approved by either two-thirds of the growers voting in the referendum or by those representing at least two-thirds of the volume of tomatoes produced by those voting in the referendum. E:\FR\FM\16NOR1.SGM 16NOR1

Agencies

[Federal Register Volume 85, Number 221 (Monday, November 16, 2020)]
[Rules and Regulations]
[Pages 72913-72914]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 2020-24203]


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FEDERAL RETIREMENT THRIFT INVESTMENT BOARD

5 CFR Parts 1600 and 1605


Simplification of Catch-Up Contribution Process

AGENCY: Federal Retirement Thrift Investment Board.

ACTION: Final rule.

-----------------------------------------------------------------------

SUMMARY: The Federal Retirement Thrift Investment Board (``FRTIB'') is 
reducing paperwork burdens on participants who are eligible to make 
catch-up contributions by removing the regulation that requires them to 
submit two different contribution election forms.

DATES: This rule is effective January 1, 2021.

FOR FURTHER INFORMATION CONTACT: Austen Townsend, (202) 864-8647.

SUPPLEMENTARY INFORMATION: The FRTIB administers the Thrift Savings 
Plan (TSP), which was established by the Federal Employees' Retirement 
System Act of 1986 (FERSA), Public Law 99-335, 100 Stat. 514. The TSP 
provisions of FERSA are codified, as amended, largely at 5 U.S.C. 8351 
and 8401-79. The TSP is a tax-deferred retirement savings plan for 
federal civilian employees and members of the uniformed services. The 
TSP is similar to cash or deferred arrangements established for 
private-sector employees under section 401(k) of the Internal Revenue 
Code (IRC)(26 U.S.C. 401(k)).
    Normally, a TSP participant's contributions to his or her account 
cannot exceed the statutory limits set forth in IRC section 402(g) 
(limiting the amount of traditional and Roth contributions to $19,500 
for calendar year 2021) and IRC section 415(c) (limiting the total 
amount of traditional, Roth, tax-exempt, matching, and automatic 1% 
contributions to the lesser of 100% of the participant's compensation 
or $58,000 for calendar year 2021). However, a TSP participant who is 
age 50 or older is permitted to make catch-up contributions to his or 
her TSP account beyond these statutory limits up to the dollar limit in 
IRC section 414(v), which is $6,500 for calendar year 2021.
    On January 23, 2020, the FRTIB published a proposed rule with 
request for comments in the Federal Register (85 FR 3857) to simplify 
the catch-up contribution process by no longer requiring participants 
to submit separate catch-up contribution election forms. The FRTIB 
received five comments on the proposed rule. Three comments expressed 
strong support for reducing the burden on participants by eliminating 
the separate catch-up contribution election forms. Two of the comments 
did not address the substance of the regulations. Therefore the FRTIB, 
is publishing the proposed rule as final without change.
    Although the regulatory text is being published without change, in 
order to avoid confusion, the FRTIB wishes to clarify the effect of the 
simplified catch-up contribution process on the rules set forth at 5 
CFR 1605.13 regarding back pay awards and other retroactive pay 
adjustments. If a TSP participant was age 50 or older during the 
year(s) to which a back pay award or other retroactive pay adjustment 
is attributable and the corrective contributions or make-up 
contributions exceed the IRC section 402(g) or 415(c) limit, then 
corrective contributions or make-up contributions will spill over 
toward the catch-up limit for those years, even if the contributions 
are attributable to years before 2021. However, catch-up contributions 
attributable to years before 2021 are not eligible for matching.

Regulatory Flexibility Act

    I certify that this regulation will not have a significant economic 
impact on a substantial number of small entities. This regulation will 
affect federal employees, members of the uniformed services who 
participate in the Thrift Savings Plan, and their beneficiaries. The 
TSP is a federal defined contribution retirement savings plan created 
by FERSA and is administered by the FRTIB.

Paperwork Reduction Act

    I certify that these regulations do not require additional 
reporting under the Paperwork Reduction Act.

Unfunded Mandates Reform Act of 1995

    Pursuant to the Unfunded Mandates Reform Act of 1995, 2 U.S.C. 602, 
632, 653, 1501-1571, the effects of this regulation on state, local, 
and tribal governments and the private sector have been assessed. This 
regulation will not compel the expenditure in any one year of $100 
million or more by state, local, and tribal governments, in the 
aggregate, or by the private sector. Therefore, a statement under 1532 
is not required.

List of Subjects

5 CFR Part 1600

    Taxes, Claims, Government employees, Pensions, Retirement.

5 CFR Part 1605

    Claims, Government employees, Pensions, Retirement.

Ravindra Deo,
Executive Director, Federal Retirement Thrift Investment Board.

    For the reasons stated in the preamble, the FRTIB amends 5 CFR 
chapter VI as follows:

PART 1600--EMPLOYEE CONTRIBUTION ELECTIONS, CONTRIBUTION 
ALLOCATIONS, AND AUTOMATIC ENROLLMENT PROGRAM

0
1. The authority citation for part 1600 continues to read as follows:


[[Page 72914]]


    Authority:  5 U.S.C. 8351, 8432(a), 8432(b), 8432(c), 8432(j), 
8432d, 8474(b)(5) and (c)(1), and 8440e.


Sec.  1600.23  [Amended]

0
2. Amend Sec.  1600.23 by removing and reserving paragraphs (b) and 
(h).

PART 1605--CORRECTION OF ADMINISTRATIVE ERRORS

0
3. The authority citation for part 1605 continues to read as follows:

    Authority:  5 U.S.C. 8351, 8432a, 8432d, 8474(b)(5)(5) and 
(c)(1). Subpart B also issued under section 1043(b) of Public Law 
104-106, 110 Stat. 186 and sec. 7202(m)(2) of Public Law 101-508, 
104 Stat. 1388.


0
4. Amend Sec.  1605.13 by revising paragraph (c)(2) to read as follows:


Sec.  1605.13  Back pay awards and other retroactive pay adjustments.

* * * * *
    (c) * * *
    (2) Must not cause the participant to exceed the annual 
contribution limit(s) contained in sections 402(g), 415(c), or 414(v) 
of the I.R.C. (26 U.S.C. 402(g), 415(c), 414(v)) for the year(s) with 
respect to which the contributions are being made, taking into 
consideration the TSP contributions already made in (or with respect 
to) that year; and
* * * * *

[FR Doc. 2020-24203 Filed 11-13-20; 8:45 am]
BILLING CODE 6760-01-P