Submission of Information Collection for OMB Review; Comment Request; Special Financial Assistance Information, 21544-21545 [2024-06589]

Agencies

• Pension Benefit Guaranty Corporation

[Federal Register Volume 89, Number 61 (Thursday, March 28, 2024)]
[Notices]
[Pages 21544-21545]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 2024-06589]


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PENSION BENEFIT GUARANTY CORPORATION


Submission of Information Collection for OMB Review; Comment 
Request; Special Financial Assistance Information

AGENCY: Pension Benefit Guaranty Corporation.

ACTION: Notice of request for extension of OMB approval of information 
collection.

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SUMMARY: The Pension Benefit Guaranty Corporation (PBGC) is requesting 
that the Office of Management and Budget (OMB) extend approval under 
the Paperwork Reduction Act of a collection of information contained in 
PBGC's regulation on special financial assistance. The purpose of the 
information collection is to gather information necessary for PBGC to 
operate this special financial assistance program. This notice informs 
the public of PBGC's request and solicits public comment on the 
collection of information.

DATES: Comments must be submitted on or before April 29, 2024.

ADDRESSES: Written comments and recommendations for the proposed 
information collection should be sent within 30 days of publication of 
this notice to www.reginfo.gov/public/do/PRAMain. Find this particular 
information collection by selecting ``Currently under 30-day Review--
Open for Public Comments'' or by using the search function.
    All comments received will be posted without change to PBGC's 
website, https://www.pbgc.gov, including any personal information 
provided. Do not submit comments that include any personally 
identifiable information or confidential business information.
    A copy of the request will be posted on PBGC's website at https://www.pbgc.gov/prac/laws-and-regulation/federal-register-notices-open-for-comment. It may also be obtained without charge by writing to the 
Disclosure Division ([email protected]), Office of the General 
Counsel of PBGC, 445 12th Street SW, Washington, DC 20024-2101; or, 
calling 202-229-4040 during normal business hours. If you are deaf or 
hard of hearing or have a speech disability, please dial 7-1-1 to 
access telecommunications relay services.

FOR FURTHER INFORMATION CONTACT: Karen Levin ([email protected]), 
Attorney, Regulatory Affairs, Office of the General Counsel, Pension 
Benefit Guaranty Corporation, 445 12th Street SW, Washington, DC 20024-
2101; 202-229-3559. If you are deaf or hard of hearing or have a speech 
disability, please dial 7-1-1 to access telecommunications relay 
services.

SUPPLEMENTARY INFORMATION: Section 4262 of the Employee Retirement 
Income Security Act of 1974 (ERISA) requires PBGC to provide special 
financial assistance (SFA) to certain financially troubled 
multiemployer plans upon application for assistance. Part 4262 of 
PBGC's regulations, ``Special Financial Assistance by PBGC,'' provides 
guidance to multiemployer pension plan sponsors on eligibility, 
determining the amount of SFA, content of an application for SFA, the 
process of applying, PBGC's review of applications, restrictions and 
conditions, and reporting and notice requirements.
    To apply for SFA, a plan sponsor must file an application with PBGC 
and include information about the plan, plan documentation, and 
actuarial information, as specified in Sec. Sec.  4262.6 through 
4262.9. Also, if the plan is changing certain assumptions for purposes 
of demonstrating its requested amount of SFA, then the plan sponsor may 
use PBGC's SFA assumptions guidance. PBGC needs the application 
information to review a plan's eligibility for SFA and amount of 
requested SFA. PBGC estimates that over the next 3 years an annual 
average of 45 plan sponsors will file applications for SFA with an 
average annual hour burden of 540 (45 x 12) hours and an average annual 
cost burden of $1,530,000 (45 x $34,000).
    Under Sec.  4262.10(g), a plan sponsor may, but is not required to, 
file a lock-in application as a plan's initial application. The lock-in 
application contains basic information about the plan and a statement 
of intent to lock-in base data. PBGC needs the information in the lock-
in application to ensure that a plan sponsor intends to lock-in the 
plan's data. PBGC estimates that over the next 3 years an annual 
average of 6 plan sponsors will file lock-in applications for SFA with 
an average annual hour burden of 6 (6 x 1) hours and an average annual 
cost burden of $4,800 (6 x $800).
    Under Sec.  4262.16(i), a plan sponsor of a plan that has received 
SFA must file an Annual Statement of Compliance with the restrictions 
and conditions under section 4262 of ERISA and part 4262 once every 
year through 2051. PBGC needs the information in the Annual Statement 
of Compliance to ensure that a plan is compliant with the imposed 
restrictions and conditions. PBGC is providing updated instructions for 
filers to use when entering the information for the Annual Statement of 
Compliance in PBGC's e-Filing portal. The instructions include a 
certification statement that must be manually signed and dated by a 
trustee who is a current member of the plan's board of trustees and 
authorized to sign on behalf of the board of trustees, or by another 
representative of the plan sponsor. PBGC estimates that over the next 3 
years an annual average of 150 plan sponsors will file an Annual 
Statement of Compliance with an average annual hour burden of 300 (150 
x 2) hours and

[[Page 21545]]

an average annual cost burden of $360,000 (150 x $2,400).
    Under Sec.  4262.15(c), a plan sponsor of a plan with benefits that 
were suspended under sections 305(e)(9) or 4245(a) of ERISA must issue 
notices of reinstatement to participants and beneficiaries whose 
benefits were suspended and are being reinstated. Participants and 
beneficiaries need the notice of reinstatement to better understand the 
calculation and timing of their reinstated benefits and, if applicable, 
make-up payments. PBGC estimates that over the next 3 years an average 
of 2 plans per year will be required to send notices to participants 
with suspended benefits. PBGC estimates that these notices will impose 
an average annual hour burden of 4 (2 x 2) hours and average annual 
cost burden of $4,000 (2 x $2,000).
    Finally, under Sec.  4262.16(d), (f), (g) and (h) a plan sponsor 
must file a request for a determination from PBGC for approval for an 
exception under certain circumstances for SFA conditions under Sec.  
4262.16 relating to reductions in contributions, transfers or mergers, 
and withdrawal liability. PBGC needs the information required for a 
request for a determination to evaluate whether to approve an exception 
from the specified condition of receiving SFA. PBGC estimates that over 
the next 3 years, PBGC will receive an average of 4.2 requests per year 
for determinations. PBGC estimates an average annual hour burden of 
13.6 hours and average annual cost burden of $33,000 ((0.2 x $25,000) + 
(2 x $12,000) + (2 x $2,000)).
    The estimated aggregate average annual hour burden for the next 3 
years for the information collection in part 4262 is 863.6 (540 + 6 + 
300 + 4 + 13.6) hours for employer and fund office administrative, 
clerical, and supervisory time. The estimated aggregate average annual 
cost burden for the next 3 years for the information collection request 
in part 4262 is $1,931,800 ($1,530,000 + $4,800 + $360,000 + $4,000 + 
$33,000) for approximately 4,830 contract hours assuming an average 
hourly rate of $400 for work done by outside actuaries and attorneys. 
The actual hour burden and cost burden per plan will vary depending on 
plan size and other factors.
    The existing collection of information under the regulation has 
been approved by OMB under control number 1212-0074 (expires May 31, 
2024). On December 20, 2023, PBGC published in the Federal Register (88 
FR 88138) a notice informing the public of its intent to request an 
extension of this collection of information. No comments were received. 
PBGC is requesting that OMB extend approval of the collection of 
information for 3 years. An agency may not conduct or sponsor, and a 
person is not required to respond to, a collection of information 
unless it displays a currently valid OMB control number.

    Issued in Washington, DC.
Gregory Katz,
Deputy Assistant General Counsel for Regulatory Affairs, Pension 
Benefit Guaranty Corporation.
[FR Doc. 2024-06589 Filed 3-27-24; 8:45 am]
BILLING CODE 7709-02-P