Notice2024-06589
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
March 28, 2024
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 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.
Full Text
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<title>Federal Register, Volume 89 Issue 61 (Thursday, March 28, 2024)</title>
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[Federal Register Volume 89, Number 61 (Thursday, March 28, 2024)]
[Notices]
[Pages 21544-21545]
From the Federal Register Online via the Government Publishing Office [<a href="http://www.gpo.gov">www.gpo.gov</a>]
[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 <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 (<a href="/cdn-cgi/l/email-protection#096d607a6a65667a7c7b6c49796b6e6a276e667f"><span class="__cf_email__" data-cfemail="6e0a071d0d02011d1b1c0b2e1e0c090d40090118">[email protected]</span></a>), 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 (<a href="/cdn-cgi/l/email-protection#ed81889b8483c3868c9f8883ad9d8f8a8ec38a829b"><span class="__cf_email__" data-cfemail="7d11180b141353161c0f18133d0d1f1a1e531a120b">[email protected]</span></a>),
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
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