Notice2022-15094
Submission of Information Collection for OMB Review; Comment Request; Notices Following a Substantial Cessation of Operations
Primary source
Metadata and text below are from the Federal Register, a public-domain U.S. government work. Always verify the official published version before relying on it for any legal matter.
Published
July 14, 2022
Issuing agencies
Pension Benefit Guaranty Corporation
Abstract
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 that is necessary to fulfill various reporting obligations following a cessation of operations at a facility. This notice informs the public of PBGC's request and solicits public comment on the collection of information.
Full Text
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<title>Federal Register, Volume 87 Issue 134 (Thursday, July 14, 2022)</title>
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[Federal Register Volume 87, Number 134 (Thursday, July 14, 2022)]
[Notices]
[Pages 42215-42216]
From the Federal Register Online via the Government Publishing Office [<a href="http://www.gpo.gov">www.gpo.gov</a>]
[FR Doc No: 2022-15094]
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PENSION BENEFIT GUARANTY CORPORATION
Submission of Information Collection for OMB Review; Comment
Request; Notices Following a Substantial Cessation of Operations
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 that is
necessary to fulfill various reporting obligations following a
cessation of operations at a facility. 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 August 15, 2022.
ADDRESSES: Written comments and recommendations for the proposed
information collection should be sent within 30 days of publication of
this notice to <a href="http://www.reginfo.gov/public/do/PRAMain">www.reginfo.gov/public/do/PRAMain</a>. Find this particular
information collection by selecting ``Currently under 30-day Review--
Open for Public Comments'' or by using the search function.
A copy of the request will be posted on PBGC's website at <a href="https://www.pbgc.gov/prac/laws-and-regulation/federal-register-notices-open-for-comment">https://www.pbgc.gov/prac/laws-and-regulation/federal-register-notices-open-for-comment</a>. It may also be obtained without charge by writing to the
Disclosure Division of the Office of the General Counsel of PBGC, 1200
K Street NW, Washington, DC 20005-4026; or, calling 202-229-4040 during
normal business hours. If you are deaf, hard of hearing, or have a
speech disability, please dial 7-1-1 to access telecommunications relay
services.
FOR FURTHER INFORMATION CONTACT: Melissa Rifkin
(<a href="/cdn-cgi/l/email-protection#780a111e13111656151d14110b0b1938081a1f1b561f170e"><span class="__cf_email__" data-cfemail="611308070a080f4f0c040d0812120021110306024f060e17">[email protected]</span></a>), Attorney, Regulatory Affairs Division,
Office of the General Counsel, Pension Benefit Guaranty Corporation,
1200 K Street NW, Washington, DC 20005-4026; 202-229-6563. If you are
deaf, hard of hearing, or have a speech disability, please dial 7-1-1
to access telecommunications relay services.
SUPPLEMENTARY INFORMATION: Section 4062(e) of the Employee Retirement
Income Security Act of 1974 (ERISA) imposes reporting obligations in
the event of a ``substantial cessation of operations.'' A substantial
cessation of operations occurs when a permanent cessation at a facility
causes a separation from employment of more than 15 percent of all
``eligible employees.'' ``Eligible employees'' are employees eligible
to participate in any of the facility's employer's employee pension
benefit plans. Following a substantial cessation of operations, the
facility's employer is treated, with respect to its single-employer
pension plans covered by title IV of ERISA that are covering
participants at the facility, as if the employer were a withdrawing
substantial employer under a multiple employer plan. Under section
4063(a) of ERISA, the Pension Benefit Guaranty Corporation (PBGC) must
receive notice of the substantial cessation of operations and a request
to determine the employer's resulting liability.
To fulfill such resulting liability, the employer may elect, under
section 4062(e)(4)(A), to make additional contributions annually for
seven years to plans covering participants at the facility where the
substantial cessation of operations took place. Under sections
4062(e)(4)(E)(i)(I), (II), (III), (IV), and (V) respectively, an
employer that is making the election for annual additional
contributions must give notice to PBGC of: (1) its decision to make the
election, (2) its payment of an annual contribution, (3) its failure to
pay an annual contribution, (4) its receipt of a funding waiver from
the Internal Revenue Service, and (5) the ending of its obligation to
make additional annual contributions.
PBGC is requesting that OMB extend approval of a form series,
consisting of Form 4062(e)-01, Form 4062(e)-02, Form 4062(e)-03, and
Form 4062(e)-04, that is used to fulfill these reporting obligations.
An employer or a plan administrator files Form 4062(e)-01 to notify
PBGC of the occurrence of a substantial cessation of operations and
request a determination of the employer's liability. An employer files
Form 4062(e)-02 to notify PBGC that it made the elections to pay annual
additional contributions to a plan. An employer files Form 4062(e)-03
to notify PBGC that it paid an annual additional contribution, received
a funding waiver from the Internal Revenue Service, or is no longer
obligated to pay additional annual contributions. Finally, an employer
files Form 4062(e)-04 to notify PBGC that it failed to pay an
additional annual contribution to the plan.
PBGC needs the information requested in the forms and notification
(1) to determine an employer's liability to a plan following a
substantial cessation of operations and (2) to ensure that an employer
that made the election of additional annual contributions is fulfilling
its payment obligations.
PBGC is proposing a modification to the wording of question 3 in
Form 4062(e)-02 and adding an explanation to page 7 of the
instructions. These modifications are intended for purposes of clarity,
and they will not affect burden.
The collection of information has been approved by OMB under
control number 1212-0073 (expires August 31, 2022). On May 9, 2022,
PBGC published in the Federal Register (at 87 FR 27666) 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 its approval for another 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.
PBGC estimates that, over the next 3 years, 5 forms in this series
will be submitted each year. PBGC estimates
[[Page 42216]]
that these forms would be completed by a combination of plan office
staff and outside professionals: attorneys and actuaries. PBGC
estimates a total annual hour burden of 38.5 hours. PBGC estimates a
total annual cost burden of $39,415.
Issued in Washington, DC.
Stephanie Cibinic,
Deputy Assistant General Counsel for Regulatory Affairs, Pension
Benefit Guaranty Corporation.
[FR Doc. 2022-15094 Filed 7-13-22; 8:45 am]
BILLING CODE 7709-02-P
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