Notice2022-25859
Submission of Information Collection for OMB Review; Comment Request; Special Financial Assistance Information
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
November 28, 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, with modifications, under the Paperwork Reduction Act, of a collection of information contained in PBGC's regulation on special financial assistance. This notice informs the public of PBGC's intent and solicits public comment on the collection of information.
Full Text
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<title>Federal Register, Volume 87 Issue 227 (Monday, November 28, 2022)</title>
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[Federal Register Volume 87, Number 227 (Monday, November 28, 2022)]
[Notices]
[Pages 73052-73053]
From the Federal Register Online via the Government Publishing Office [<a href="http://www.gpo.gov">www.gpo.gov</a>]
[FR Doc No: 2022-25859]
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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, with
modifications, under the Paperwork Reduction Act, of a collection of
information contained in PBGC's regulation on special financial
assistance. This notice informs the public of PBGC's intent and
solicits public comment on the collection of information.
DATES: Comments must be submitted on or before December 28, 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. All
comments received will be posted without change to PBGC's website,
<a href="http://www.pbgc.gov">http://www.pbgc.gov</a>, 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 <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, 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: Melissa Rifkin
(<a href="/cdn-cgi/l/email-protection#17657e717c7e79397a727b7e646476576775707439707861"><span class="__cf_email__" data-cfemail="07756e616c6e69296a626b6e747466477765606429606871">[email protected]</span></a>), Attorney, Regulatory Affairs Division,
Office of the General Counsel, Pension Benefit Guaranty Corporation,
445 12th Street SW, Washington, DC 20024-2101, 202-229-6563. 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 eligibility for SFA or 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, priority group status (if applicable), and amount of requested
SFA. In this renewal, PBGC is making clarifying changes to the
application instructions, including to the information required to be
filed. For example, PBGC is clarifying the required documentation of a
death audit and the information to be filed for certain assumptions
changes. PBGC estimates that over the next 3 years an annual average of
59 plan sponsors will file applications for SFA (initial, revised, and
supplemented) with an average annual hour burden of 590 hours and an
average annual cost burden of $1,770,000.
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
[[Page 73053]]
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 23 plan sponsors will file lock-in
applications for SFA with an average annual hour burden of 23 hours and
an average annual cost burden of $18,400.
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. In this renewal, PBGC is making clarifying changes
and adding required documents that must be provided with this filing.
PBGC needs the information in the Annual Statement of Compliance to
ensure that a plan is compliant with the imposed restrictions and
conditions. PBGC estimates that over the next 3 years an annual average
of 120 plan sponsors will file Annual Statements of Compliance with an
average annual hour burden of 240 hours and an average annual cost
burden of $288,000.
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 5 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 10 hours and average annual cost
burden of $10,000.
Finally, under Sec. 4262.16(d), (f), 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 settlement of withdrawal liability. PBGC needs the information
required for a request for determination to determine whether to
approve an exception from the specified condition of receiving SFA.
PBGC estimates that beginning in 2023, PBGC will receive an average of
2.2 requests per year for determinations. PBGC estimates an average
annual hour burden of 7.6 hours and average annual cost burden of
$19,000.
The estimated aggregate average annual hour burden for the next 3
years for the information collection in part 4262 is 870.6 hours for
employer and fund office administrative, clerical, and supervisory
time. The estimated aggregate average annual cost burden for the next
three years for the information collection request in part 4262 is
$2,105,400, for approximately 5,264 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 was approved under OMB
control number 1212-0074 (expires January 31, 2023). On August 11,
2022, PBGC published in the Federal Register (at 87 FR 49617) 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 with
modifications for three 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.
Hilary Duke,
Assistant General Counsel for Regulatory Affairs, Pension Benefit
Guaranty Corporation.
[FR Doc. 2022-25859 Filed 11-25-22; 8:45 am]
BILLING CODE 7709-02-P
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