[Congressional Record Volume 154, Number 42 (Wednesday, March 12, 2008)]
[House]
[Pages H1598-H1606]
From the Congressional Record Online through the Government Publishing Office [www.gpo.gov]




          PENSION PROTECTION TECHNICAL CORRECTIONS ACT OF 2008

  Mr. POMEROY. Mr. Speaker, I move to suspend the rules and pass the 
bill (H.R. 3361) to make technical corrections related to the Pension 
Protection Act of 2006, as amended.
  The Clerk read the title of the bill.
  The text of the bill is as follows:

                               H.R. 3361

       Be it enacted by the Senate and House of Representatives of 
     the United States of America in Congress assembled,

     SECTION 1. SHORT TITLE; REFERENCES TO ACTS.

       (a) In General.--This Act may be cited as the ``Pension 
     Protection Technical Corrections Act of 2008''.
       (b) References to Acts.--For purposes of this Act--
       (1) Amendment of 1986 code.--The term ``1986 Code'' means 
     the Internal Revenue Code of 1986.
       (2) Amendment of erisa.--The term ``ERISA'' means the 
     Employee Retirement Income Security Act of 1974.
       (3) 2006 act.--The term ``2006 Act'' means the Pension 
     Protection Act of 2006.

     SEC. 2. AMENDMENTS RELATED TO TITLE I.

       (a) Amendments Related to Sections 101 and 111.--
       (1) Amendments to erisa.--
       (A) Clause (i) of section 302(c)(1)(A) of ERISA is amended 
     by striking ``the plan is'' and inserting ``the plan are''.
       (B) Section 302(c)(7) of ERISA is amended by inserting 
     ``which reduces the accrued benefit of any participant'' 
     after ``subsection (d)(2)'' in subparagraph (A).
       (C) Section 302(d)(1) of ERISA is amended by striking ``, 
     the valuation date,''.
       (2) Amendments to 1986 code.--
       (A) Clause (i) of section 412(c)(1)(A) of the 1986 Code is 
     amended by striking ``the plan is'' and inserting ``the plan 
     are''.
       (B) Section 412(c)(7) of the 1986 Code is amended by 
     inserting ``which reduces the accrued benefit of any 
     participant'' after ``subsection (d)(2)'' in subparagraph 
     (A).
       (C) Section 412(d)(1) of the 1986 Code is amended by 
     striking ``, the valuation date,''.

[[Page H1599]]

       (b) Amendments Related to Sections 102 and 112.--
       (1) Amendments to erisa.--
       (A) Section 303(b) of ERISA is amended to read as follows:
       ``(b) Target Normal Cost.--For purposes of this section--
       ``(1) In general.--Except as provided in subsection (i)(2) 
     with respect to plans in at-risk status, the term `target 
     normal cost' means, for any plan year, the excess of--
       ``(A) the sum of--
       ``(i) the present value of all benefits which are expected 
     to accrue or to be earned under the plan during the plan 
     year, plus
       ``(ii) the amount of plan-related expenses expected to be 
     paid from plan assets during the plan year, over
       ``(B) the amount of mandatory employee contributions 
     expected to be made during the plan year.
       ``(2) Special rule for increase in compensation.--For 
     purposes of this subsection, if any benefit attributable to 
     services performed in a preceding plan year is increased by 
     reason of any increase in compensation during the current 
     plan year, the increase in such benefit shall be treated as 
     having accrued during the current plan year.''.
       (B) Section 303(c)(5)(B)(iii) of ERISA is amended by 
     inserting ``beginning'' before ``after 2008''.
       (C) Section 303(c)(5)(B)(iv)(II) of ERISA is amended by 
     inserting ``for such year'' after ``beginning in 2007)''.
       (D) Section 303(f)(4)(A) of ERISA is amended by striking 
     ``paragraph (2)'' and inserting ``paragraph (3)''.
       (E) Section 303(h)(2)(F) of ERISA is amended--
       (i) by striking ``section 205(g)(3)(B)(iii)(I)) for such 
     month'' and inserting ``section 205(g)(3)(B)(iii)(I) for such 
     month)'', and
       (ii) by striking ``subparagraph (B)'' and inserting 
     ``subparagraph (C)''.
       (F) Section 303(i) of ERISA is amended--
       (i) in paragraph (2)--

       (I) by striking subparagraph (A) and inserting the 
     following new subparagraph:

       ``(A) the excess of--
       ``(i) the sum of--

       ``(I) the present value of all benefits which are expected 
     to accrue or to be earned under the plan during the plan 
     year, determined using the additional actuarial assumptions 
     described in paragraph (1)(B), plus
       ``(II) the amount of plan-related expenses expected to be 
     paid from plan assets during the plan year, over

       ``(ii) the amount of mandatory employee contributions 
     expected to be made during the plan year, plus'', and

       (II) in subparagraph (B), by striking ``the target normal 
     cost (determined without regard to this paragraph) of the 
     plan for the plan year'' and inserting ``the amount 
     determined under subsection (b)(1)(A)(i) with respect to the 
     plan for the plan year'', and

       (ii) by striking ``subparagraph (A)(ii)'' in the last 
     sentence of paragraph (4)(B) and inserting ``subparagraph 
     (A)''.
       (G) Section 303(j)(3) of ERISA--
       (i) is amended by adding at the end of subparagraph (A) the 
     following new sentence: ``In the case of plan years beginning 
     in 2008, the funding shortfall for the preceding plan year 
     may be determined using such methods of estimation as the 
     Secretary of the Treasury may provide.'',
       (ii) by adding at the end of subparagraph (E) the following 
     new clause:
       ``(iii) Plan with alternate valuation date.--The Secretary 
     of the Treasury shall prescribe regulations for the 
     application of this paragraph in the case of a plan which has 
     a valuation date other than the first day of the plan 
     year.'', and
       (iii) by striking ``and short years'' in the heading of 
     subparagraph (E) and inserting ``, short years, and years 
     with alternate valuation date''.
       (H) Section 303(k)(6)(B) of ERISA is amended by striking 
     ``, except'' and all that follows and inserting a period.
       (2) Amendments to 1986 code.--
       (A) Section 430(b) of the 1986 Code is amended to read as 
     follows:
       ``(b) Target Normal Cost.--For purposes of this section--
       ``(1) In general.--Except as provided in subsection (i)(2) 
     with respect to plans in at-risk status, the term `target 
     normal cost' means, for any plan year, the excess of--
       ``(A) the sum of--
       ``(i) the present value of all benefits which are expected 
     to accrue or to be earned under the plan during the plan 
     year, plus
       ``(ii) the amount of plan-related expenses expected to be 
     paid from plan assets during the plan year, over
       ``(B) the amount of mandatory employee contributions 
     expected to be made during the plan year.
       ``(2) Special rule for increase in compensation.--For 
     purposes of this subsection, if any benefit attributable to 
     services performed in a preceding plan year is increased by 
     reason of any increase in compensation during the current 
     plan year, the increase in such benefit shall be treated as 
     having accrued during the current plan year.''.
       (B) Section 430(c)(5)(B)(iii) of the 1986 Code is amended 
     by inserting ``beginning'' before ``after 2008''.
       (C) Section 430(c)(5)(B)(iv)(II) of the 1986 Code is 
     amended by inserting ``for such year'' after ``beginning in 
     2007)''.
       (D) Section 430(f) of the 1986 Code is amended--
       (i) by striking ``as of the first day of the plan year'' 
     the second place it appears in the first sentence of 
     paragraph (3)(A),
       (ii) by striking ``paragraph (2)'' in paragraph (4)(A) and 
     inserting ``paragraph (3)'',
       (iii) by striking ``paragraph (1), (2), or (4) of section 
     206(g)'' in paragraph (6)(B)(iii) and inserting ``subsection 
     (b), (c), or (e) of section 436'',
       (iv) by striking ``the sum of'' in paragraph (6)(C), and
       (v) by striking ``of the Treasury'' in paragraph (8).
       (E) Section 430(h)(2) of the 1986 Code is amended--
       (i) by inserting ``and target normal cost'' after ``funding 
     target'' in subparagraph (B),
       (ii) by striking ``liabilities'' and inserting ``benefits'' 
     in subparagraph (B),
       (iii) by striking ``section 417(e)(3)(D)(i)) for such 
     month'' in subparagraph (F) and inserting ``section 
     417(e)(3)(D)(i) for such month)'', and
       (iv) by striking ``subparagraph (B)'' in subparagraph (F) 
     and inserting ``subparagraph (C)''.
       (F) Section 430(i) of the 1986 Code is amended--
       (i) in paragraph (2)--

       (I) by striking subparagraph (A) and inserting the 
     following new subparagraph:

       ``(A) the excess of--
       ``(i) the sum of--

       ``(I) the present value of all benefits which are expected 
     to accrue or to be earned under the plan during the plan 
     year, determined using the additional actuarial assumptions 
     described in paragraph (1)(B), plus
       ``(II) the amount of plan-related expenses expected to be 
     paid from plan assets during the plan year, over

       ``(ii) the amount of mandatory employee contributions 
     expected to be made during the plan year, plus'', and

       (II) in subparagraph (B), by striking ``the target normal 
     cost (determined without regard to this paragraph) of the 
     plan for the plan year'' and inserting ``the amount 
     determined under subsection (b)(1)(A)(i) with respect to the 
     plan for the plan year'', and

       (ii) by striking ``subparagraph (A)(ii)'' in the last 
     sentence of paragraph (4)(B) and inserting ``subparagraph 
     (A)''.
       (G) Section 430(j)(3) of the 1986 Code is amended--
       (i) by adding at the end of subparagraph (A) the following 
     new sentence: ``In the case of plan years beginning in 2008, 
     the funding shortfall for the preceding plan year may be 
     determined using such methods of estimation as the Secretary 
     may provide.'',
       (ii) by striking ``section 302(c)'' in subparagraph 
     (D)(ii)(II) and inserting ``section 412(c)'',
       (iii) by adding at the end of subparagraph (E) the 
     following new clause:
       ``(iii) Plan with alternate valuation date.--The Secretary 
     shall prescribe regulations for the application of this 
     paragraph in the case of a plan which has a valuation date 
     other than the first day of the plan year.'', and
       (iv) by striking ``and short years'' in the heading of 
     subparagraph (E) and inserting ``, short years, and years 
     with alternate valuation date''.
       (H) Section 430(k) of the 1986 Code is amended--
       (i) by inserting ``(as provided under paragraph (2))'' 
     after ``applies'' in paragraph (1), and
       (ii) by striking ``, except'' and all that follows in 
     paragraph (6)(B) and inserting a period.
       (c) Amendments Related to Sections 103 and 113.--
       (1) Amendments to erisa.--
       (A) Section 101(j) of ERISA is amended--
       (i) in paragraph (2), by striking ``section 206(g)(4)(B)'' 
     and inserting ``section 206(g)(4)(A)''; and
       (ii) by adding at the end the following: ``The Secretary of 
     the Treasury, in consultation with the Secretary, shall have 
     the authority to prescribe rules applicable to the notices 
     required under this subsection.''.
       (B) Section 206(g)(1)(B)(ii) of ERISA is amended by 
     striking ``a funding'' and inserting ``an adjusted funding''.
       (C) The heading for section 206(g)(1)(C) of ERISA is 
     amended by inserting ``benefit'' after ``event''.
       (D) Section 206(g)(3)(E) of ERISA is amended by adding at 
     the end the following new flush sentence:

     ``Such term shall not include the payment of a benefit which 
     under section 203(e) may be immediately distributed without 
     the consent of the participant.''.
       (E) Section 206(g)(5)(A)(iv) of ERISA is amended by 
     inserting ``adjusted'' before ``funding''.
       (F) Section 206(g)(9)(C) of ERISA is amended--
       (i) by striking ``without regard to this subparagraph and'' 
     in clause (i), and
       (ii) in clause (iii)--

       (I) by striking ``without regard to this subparagraph'' and 
     inserting ``without regard to the reduction in the value of 
     assets under section 303(f)(4)'', and
       (II) by inserting ``beginning'' before ``after'' each place 
     it appears.

       (G) Section 206(g) of ERISA is amended by redesignating 
     paragraph (10) as paragraph (11) and by inserting after 
     paragraph (9) the following new paragraph:
       ``(10) Secretarial authority for plans with alternate 
     valuation date.--In the case of a plan which has designated a 
     valuation date other than the first day of the plan year, the 
     Secretary of the Treasury may prescribe rules for the 
     application of

[[Page H1600]]

     this subsection which are necessary to reflect the alternate 
     valuation date.''.
       (H) Section 502(c)(4) of ERISA is amended by striking ``by 
     any person'' and all that follows through the period and 
     inserting ``by any person of subsection (j), (k), or (l) of 
     section 101 or section 514(e)(3).''.
       (2) Amendments to 1986 code.--
       (A) Section 436(b)(2) of the 1986 Code is amended--
       (i) by striking ``section 303'' and inserting ``section 
     430'' in the matter preceding subparagraph (A), and
       (ii) by striking ``a funding'' and inserting ``an adjusted 
     funding'' in subparagraph (B).
       (B) Section 436(b)(3) of the 1986 Code is amended--
       (i) by inserting ``benefit'' after ``event'' in the 
     heading, and
       (ii) by striking ``any event'' in subparagraph (B) and 
     inserting ``an event''.
       (C) Section 436(d)(5) of the 1986 Code is amended by adding 
     at the end the following new flush sentence:

     ``Such term shall not include the payment of a benefit which 
     under section 411(a)(11) may be immediately distributed 
     without the consent of the participant.''.
       (D) Section 436(f) of the 1986 Code is amended--
       (i) by inserting ``adjusted'' before ``funding'' in 
     paragraph (1)(D), and
       (ii) by striking ``prefunding balance under section 430(f) 
     or funding standard carryover balance'' in paragraph (2) and 
     inserting ``prefunding balance or funding standard carryover 
     balance under section 430(f)''.
       (E) Section 436(j)(3) of the 1986 Code is amended--
       (i) in subparagraph (A)--

       (I) by striking ``without regard to this paragraph and'',
       (II) by striking ``section 430(f)(4)(A)'' and inserting 
     ``section 430(f)(4)'', and
       (III) by striking ``paragraph (1)'' and inserting 
     ``paragraphs (1) and (2)'', and

       (ii) in subparagraph (C)--

       (I) by striking ``without regard to this paragraph'' and 
     inserting ``without regard to the reduction in the value of 
     assets under section 430(f)(4)'', and
       (II) by inserting ``beginning'' before ``after'' each place 
     it appears.

       (F) Section 436 of the 1986 Code is amended by 
     redesignating subsection (k) as subsection (m) and by 
     inserting after subsection (j) the following new subsections:
       ``(k) Secretarial Authority for Plans With Alternate 
     Valuation Date.--In the case of a plan which has designated a 
     valuation date other than the first day of the plan year, the 
     Secretary may prescribe rules for the application of this 
     section which are necessary to reflect the alternate 
     valuation date.
       ``(l) Single-Employer Plan.--For purposes of this section, 
     the term `single-employer plan' means a plan which is not a 
     multiemployer plan.''.
       (3) Amendments to 2006 act.--Sections 103(c)(2)(A)(ii) and 
     113(b)(2)(A)(ii) of the 2006 Act are each amended--
       (A) by striking ``subsection'' and inserting ``section'', 
     and
       (B) by striking ``subparagraph'' and inserting 
     ``paragraph''.
       (d) Amendments Related to Sections 107 and 114.--
       (1) Amendments to erisa.--
       (A) Section 103(d) of ERISA is amended--
       (i) in paragraph (3), by striking ``the normal costs, the 
     accrued liabilities'' and inserting ``the normal costs or 
     target normal costs, the accrued liabilities or funding 
     target'', and
       (ii) by striking paragraph (7) and inserting the following 
     new paragraph:
       ``(7) A certification of the contribution necessary to 
     reduce the minimum required contribution determined under 
     section 303, or the accumulated funding deficiency determined 
     under section 304, to zero.''.
       (B) Section 4071 of ERISA is amended by striking ``as 
     section 303(k)(4) or 307(e)'' and inserting ``or section 
     303(k)(4),''.
       (2) Amendments to 1986 code.--
       (A) Section 401(a)(29) of the 1986 Code is amended by 
     striking ``on plans in at-risk status'' in the heading.
       (B) Section 401(a)(32)(C) of the 1986 Code is amended--
       (i) by striking ``section 430(j)'' and inserting ``section 
     430(j)(3)'', and
       (ii) by striking ``paragraph (5)(A)'' and inserting 
     ``section 430(j)(4)(A)''.
       (C) Section 401(a)(33) of the 1986 Code is amended--
       (i) by striking ``section 412(c)(2)'' in subparagraph 
     (B)(iii) and inserting ``section 412(d)(2)'', and
       (ii) by striking ``section 412(b)(2) (without regard to 
     subparagraph (B) thereof)'' in subparagraph (D) and inserting 
     ``section 412(b)(1), without regard to section 412(b)(2)''.
       (D) Section 411 of the 1986 Code is amended--
       (i) by striking ``section 412(c)(2)'' in subsection 
     (a)(3)(C) and inserting ``section 412(d)(2)'', and
       (ii) by striking ``section 412(e)(2)'' in subsection 
     (d)(6)(A) and inserting ``section 412(d)(2)''.
       (E) Section 414(l)(2)(B)(i)(I) of the 1986 Code is amended 
     to read as follows:

       ``(I) the sum of the funding target and target normal cost 
     determined under section 430, over''.

       (F) Section 4971 of the 1986 Code is amended--
       (i) by striking ``required minimum'' in subsection (b)(1) 
     and inserting ``minimum required'',
       (ii) by inserting ``or unpaid minimum required 
     contribution, whichever is applicable'' after ``accumulated 
     funding deficiency'' each place it appears in subsections 
     (c)(3) and (d)(1), and
       (iii) by striking ``section 412(a)(1)(A)'' in subsection 
     (e)(1) and inserting ``section 412(a)(2)''.
       (3) Amendment to 2006 act.--Section 114 of the 2006 Act is 
     amended by adding at the end the following new subsection:
       ``(g) Effective Dates.--
       ``(1) In general.--The amendments made by this section 
     shall apply to plan years beginning after 2007.
       ``(2) Excise tax.--The amendments made by subsection (e) 
     shall apply to taxable years beginning after 2007, but only 
     with respect to plan years described in paragraph (1) which 
     end with or within any such taxable year.''.
       (e) Amendment Related to Section 116.--Section 
     409A(b)(3)(A)(ii) of the 1986 Code is amended by inserting 
     ``to an applicable covered employee'' after ``under the 
     plan''.

     SEC. 3. AMENDMENTS RELATED TO TITLE II.

       (a) Amendment Related to Sections 201 and 211.--Section 
     201(b)(2)(A) of the 2006 Act is amended by striking ``has not 
     used'' and inserting ``has not adopted, or ceased using,''.
       (b) Amendments Related to Sections 202 and 212.--
       (1) Amendments to erisa.--
       (A) Section 302(b)(3) of ERISA is amended by striking ``the 
     plan adopts'' and inserting ``the plan sponsor adopts''.
       (B) Section 305(b)(3)(C) of ERISA is amended by striking 
     ``section 101(b)(4)'' and inserting ``section 101(b)(1)''.
       (C) Section 305(b)(3)(D) of ERISA is amended by striking 
     ``The Secretary'' in clause (iii) and inserting ``The 
     Secretary of the Treasury, in consultation with the 
     Secretary''.
       (D) Section 305(c)(7) of ERISA is amended--
       (i) by striking ``to agree on'' and all that follows in 
     subparagraph (A)(ii) and inserting ``to adopt a contribution 
     schedule with terms consistent with the funding improvement 
     plan and a schedule from the plan sponsor,'', and
       (ii) by striking subparagraph (B) and inserting the 
     following new subparagraph:
       ``(B) Date of implementation.--The date specified in this 
     subparagraph is the date which is 180 days after the date on 
     which the collective bargaining agreement described in 
     subparagraph (A) expires.'', and
       (iii) by adding at the end the following new subparagraph:
       ``(C) Failure to make scheduled contributions.--Any failure 
     to make a contribution under a schedule of contribution rates 
     provided under this paragraph shall be treated as a 
     delinquent contribution under section 515 and shall be 
     enforceable as such.''.
       (E) Section 305(e) of ERISA is amended--
       (i) in paragraph (3)(C)--

       (I) by striking all that follows ``to adopt a'' in clause 
     (i)(II) and inserting ``to adopt a contribution schedule with 
     terms consistent with the rehabilitation plan and a schedule 
     from the plan sponsor under paragraph (1)(B)(i),'',
       (II) by striking clause (ii) and inserting the following 
     new clause:

       ``(ii) Date of implementation.--The date specified in this 
     clause is the date which is 180 days after the date on which 
     the collective bargaining agreement described in clause (i) 
     expires.'', and

       (III) by adding at the end the following new clause:

       ``(iii) Failure to make scheduled contributions.--Any 
     failure to make a contribution under a schedule of 
     contribution rates provided under this subsection shall be 
     treated as a delinquent contribution under section 515 and 
     shall be enforceable as such.'',
       (ii) in paragraph (4)--

       (I) by striking ``the date of'' in subparagraph (A)(ii), 
     and
       (II) by striking ``and taking'' in subparagraph (B) and 
     inserting ``but taking'',

       (iii) in paragraph (6)--

       (I) by striking ``paragraph (1)(B)(i)'' and inserting ``the 
     last sentence of paragraph (1)'', and
       (II) by striking ``established'' and inserting 
     ``establish'',

       (iv) in paragraph (8)(C)(iii)--

       (I) by striking ``the Secretary'' in subclause (I) and 
     inserting ``the Secretary of the Treasury, in consultation 
     with the Secretary'', and
       (II) by striking ``Secretary'' in the last sentence and 
     inserting ``Secretary of the Treasury'', and

       (v) by striking ``an employer's withdrawal liability'' in 
     paragraph (9)(B) and inserting ``the allocation of unfunded 
     vested benefits to an employer''.
       (F) Section 305(f)(2)(A)(i) of ERISA is amended by adding 
     at the end the following: ``to a participant or beneficiary 
     whose annuity starting date (as defined in section 205(h)(2)) 
     occurs after the date such notice is sent,''.
       (G) Section 305(g) of ERISA is amended by inserting ``under 
     subsection (c)'' after ``funding improvement plan'' the first 
     place it appears.
       (H) Section 502(c)(2) of ERISA is amended by striking 
     ``101(b)(4)'' and inserting ``101(b)(1)''.
       (I) Section 502(c)(8)(A) of ERISA is amended by inserting 
     ``plan'' after ``multiemployer''.
       (2) Amendments to 1986 code.--

[[Page H1601]]

       (A) Section 432(b)(3)(C) of the 1986 Code is amended by 
     striking ``section 101(b)(4)'' and inserting ``section 
     101(b)(1)''.
       (B) Section 432(b)(3)(D)(iii) of the 1986 Code is amended 
     by striking ``The Secretary of Labor'' and inserting ``The 
     Secretary, in consultation with the Secretary of Labor''.
       (C) Section 432(c) of the 1986 Code is amended--
       (i) in paragraph (3), by striking ``section 304(d)'' in 
     subparagraph (A)(ii) and inserting ``section 431(d)'', and
       (ii) in paragraph (7)--

       (I) by striking ``to agree on'' and all that follows in 
     subparagraph (A)(ii) and inserting ``to adopt a contribution 
     schedule with terms consistent with the funding improvement 
     plan and a schedule from the plan sponsor,'', and
       (II) by striking subparagraph (B) and inserting the 
     following new subparagraph:

       ``(B) Date of implementation.--The date specified in this 
     subparagraph is the date which is 180 days after the date on 
     which the collective bargaining agreement described in 
     subparagraph (A) expires.''.
       (D) Section 432(e) of the 1986 Code is amended--
       (i) in paragraph (3)(C)--

       (I) by striking all that follows ``to adopt a'' in clause 
     (i)(II) and inserting ``to adopt a contribution schedule with 
     terms consistent with the rehabilitation plan and a schedule 
     from the plan sponsor under paragraph (1)(B)(i),'', and
       (II) by striking clause (ii) and inserting the following 
     new clause:

       ``(ii) Date of implementation.--The date specified in this 
     clause is the date which is 180 days after the date on which 
     the collective bargaining agreement described in clause (i) 
     expires.'',
       (ii) in paragraph (4)--

       (I) by striking ``the date of'' in subparagraph (A)(ii), 
     and
       (II) by striking ``and taking'' in subparagraph (B) and 
     inserting ``but taking'',

       (iii) in paragraph (6)--

       (I) by striking ``paragraph (1)(B)(i)'' and inserting ``the 
     last sentence of paragraph (1)'', and
       (II) by striking ``established'' and inserting 
     ``establish'',

       (iv) in paragraph (8)--

       (I) by striking ``section 204(g)'' in subparagraph (A)(i) 
     and inserting ``section 411(d)(6)'',
       (II) by inserting ``of the Employee Retirement Income 
     Security Act of 1974'' after ``4212(a)'' in subparagraph 
     (C)(i)(II),
       (III) by striking ``the Secretary of Labor'' in 
     subparagraph (C)(iii)(I) and inserting ``the Secretary, in 
     consultation with the Secretary of Labor'', and
       (IV) by striking ``the Secretary of Labor'' in the last 
     sentence of subparagraph (C)(iii) and inserting ``the 
     Secretary'', and

       (v) by striking ``an employer's withdrawal liability'' in 
     paragraph (9)(B) and inserting ``the allocation of unfunded 
     vested benefits to an employer''.
       (E) Section 432(f)(2)(A)(i) of the 1986 Code is amended--
       (i) by striking ``section 411(b)(1)(A)'' and inserting 
     ``section 411(a)(9)''; and
       (ii) by inserting at the end the following: ``to a 
     participant or beneficiary whose annuity starting date (as 
     defined in section 417(f)(2)) occurs after the date such 
     notice is sent,''.
       (F) Section 432(g) of the 1986 Code is amended by inserting 
     ``under subsection (c)'' after ``funding improvement plan'' 
     the first place it appears.
       (G) Section 432(i) of the 1986 Code is amended--
       (i) by striking ``section 412(a)'' in paragraph (3) and 
     inserting ``section 431(a)'', and
       (ii) by striking paragraph (9) and inserting the following 
     new paragraph:
       ``(9) Plan sponsor.--For purposes of this section, section 
     431, and section 4971(g)--
       ``(A) In general.--The term `plan sponsor' means, with 
     respect to any multiemployer plan, the association, 
     committee, joint board of trustees, or other similar group of 
     representatives of the parties who establish or maintain the 
     plan.
       ``(B) Special rule for section 404(c) plans.--In the case 
     of a plan described in section 404(c) (or a continuation of 
     such plan), such term means the bargaining parties described 
     in paragraph (1).''.
       (H) Section 412(b)(3) of the 1986 Code is amended by 
     striking ``the plan adopts'' and inserting ``the plan sponsor 
     adopts''.
       (I) Section 4971(g)(4) of the 1986 Code is amended--
       (i) in subparagraph (B)(ii), by striking ``first day of'' 
     and inserting ``day following the close of'', and
       (ii) by striking clause (ii) of subparagraph (C) and 
     inserting the following new clause:
       ``(ii) Plan sponsor.--For purposes of clause (i), the term 
     `plan sponsor' has the meaning given such term by section 
     432(i)(9).''.
       (3) Amendments to 2006 act.--
       (A) Section 212(b)(2) of the 2006 Act is amended by 
     striking ``Section 4971(c)(2) of such Code'' and inserting 
     ``Section 4971(e)(2) of such Code''.
       (B) Section 212(e)(1) of the 2006 Act is amended by 
     inserting ``, except that the amendments made by subsection 
     (b) shall apply to taxable years beginning after 2007, but 
     only with respect to plan years beginning after 2007 which 
     end with or within any such taxable year'' before the period 
     at the end.
       (C) Section 212(e)(2) of the 2006 Act is amended by 
     striking ``section 305(b)(3) of the Employee Retirement 
     Income Security Act of 1974'' and inserting ``section 
     432(b)(3) of the Internal Revenue Code of 1986''.

     SEC. 4. AMENDMENTS RELATED TO TITLE III.

       (a) Amendment Related to Section 301.--Clause (ii) of 
     section 101(c)(2)(A) of the Pension Funding Equity Act of 
     2004, as amended by section 301(c) of the 2006 Act, is 
     amended by striking ``2008'' and inserting ``2009''.
       (b) Amendments Related to Section 302.--
       (1) Amendment to erisa.--Section 205(g)(3)(B)(iii)(II) of 
     ERISA is amended by striking ``section 
     205(g)(3)(B)(iii)(II)'' and inserting ``section 
     205(g)(3)(A)(ii)(II)''.
       (2) Amendments to 1986 code.--
       (A) Section 417(e)(3)(D)(i) of the 1986 Code is amended by 
     striking ``clause (ii)'' and inserting ``subparagraph (C)''.
       (B)(i) Section 415(b)(2)(E)(v) of the 1986 Code is amended 
     to read as follows:
       ``(v) For purposes of adjusting any benefit or limitation 
     under subparagraph (B), (C), or (D), the mortality table used 
     shall be the applicable mortality table (within the meaning 
     of section 417(e)(3)(B)).''.
       (ii)(I) Except as provided in subclause (II), the amendment 
     made by clause (i) shall apply to years beginning after 
     December 31, 2008.
       (II) A plan sponsor may elect to have the amendment made by 
     clause (i) apply to any year beginning after December 31, 
     2007, and before January 1, 2009, or to any portion of any 
     such year.

     SEC. 5. AMENDMENTS RELATED TO TITLE IV.

       (a) Amendment Related to Section 401.--Section 
     4006(a)(3)(A)(i) of ERISA is amended by striking ``1990'' and 
     inserting ``2005''.
       (b) Amendment Related to Section 402.--Section 402(c)(1)(A) 
     of the 2006 Act is amended by striking ``commercial airline'' 
     and inserting ``commercial''.
       (c) Amendment Related to Section 408.--Section 4044(e) of 
     ERISA, as added by section 408(b)(2) of the 2006 Act, is 
     redesignated as subsection (f).
       (d) Amendments Related to Section 409.--Section 
     4041(b)(5)(A) of ERISA is amended by striking ``subparagraph 
     (B)'' and inserting ``subparagraphs (B) and (D)''.
       (e) Amendments Related to Section 410.--Section 
     4050(d)(4)(A) of ERISA is amended--
       (1) by striking ``and'' at the end of clause (i), and
       (2) by striking clause (ii) and inserting the following new 
     clauses:
       ``(ii) which is not a plan described in paragraph (2), (3), 
     (4), (6), (7), (8), (9), (10), or (11) of section 4021(b), 
     and
       ``(iii) which, was a plan described in section 401(a) of 
     the Internal Revenue Code of 1986 which includes a trust 
     exempt from tax under section 501(a) of such Code, and''.

     SEC. 6. AMENDMENTS RELATED TO TITLE V.

       (a) Amendment Related to Section 501.--Section 
     101(f)(2)(B)(ii) of ERISA is amended--
       (1) by striking ``for which the latest annual report filed 
     under section 104(a) was filed'' in subclause (I)(aa) and 
     inserting ``to which the notice relates'', and
       (2) by striking subclause (II) and inserting the following 
     new subclause:

       ``(II) in the case of a multiemployer plan, a statement, 
     for the plan year to which the notice relates and the 
     preceding 2 plan years, of the value of the plan assets 
     (determined both in the same manner as under section 304 and 
     under the rules of subclause (I)(bb)) and the value of the 
     plan liabilities (determined in the same manner as under 
     section 304 except that the method specified in section 
     305(i)(8) shall be used),''.

       (b) Amendments Related to Section 502.--
       (1) Section 101(k)(2) of ERISA is amended by filing at the 
     end the following new flush sentence:

     ``Subparagraph (C)(i) shall not apply to individually 
     identifiable information with respect to any plan investment 
     manager or adviser, or with respect to any other person 
     (other than an employee of the plan) preparing a financial 
     report required to be included under paragraph (1)(B).''.
       (2) Section 4221 of ERISA is amended by striking subsection 
     (e) and by redesignating subsections (f) and (g) as 
     subsections (e) and (f), respectively.
       (c) Amendments Related to Section 503.--
       (1) Amendments to erisa.--
       (A) Section 104(b)(3) of ERISA is amended by--
       (i) striking ``section 103(f)'' and inserting ``section 
     101(f)'', and
       (ii) striking ``the administrators'' and inserting ``the 
     administrator''.
       (B) Section 104(d)(1)(E)(ii) of ERISA is amended by 
     inserting ``funding'' after ``plan's''.
       (2) Amendments to 2006 act.--Section 503(e) of the 2006 Act 
     is amended by striking ``section 101(f)'' and inserting 
     ``section 104(d)''.
       (d) Amendment Related to Section 505.--Section 
     4010(d)(2)(B) of ERISA is amended by striking ``section 
     302(d)(2)'' and inserting ``section 303(d)(2)''.
       (e) Amendments Related to Section 506.--
       (1) Section 4041(c)(2)(D)(i) of ERISA is amended by 
     striking ``subsection (a)(2)'' the second place it appears 
     and inserting ``subparagraph (A) or the regulations under 
     subsection (a)(2)''.
       (2) Section 4042(c)(3)(C)(i) of ERISA is amended--
       (A) by striking ``and plan sponsor'' and inserting ``, the 
     plan sponsor, or the corporation'', and
       (B) by striking ``subparagraph (A)(i)'' and inserting 
     ``subparagraph (A)''.
       (f) Amendments Related to Section 508.--Section 209(a) of 
     ERISA is amended--
       (1) in paragraph (1)--

[[Page H1602]]

       (A) by striking ``regulations prescribed by the Secretary'' 
     and inserting ``such regulations as the Secretary may 
     prescribe'', and
       (B) by striking the last sentence and inserting ``The 
     report required under this paragraph shall be in the same 
     form, and contain the same information, as periodic benefit 
     statements under section 105(a).'', and
       (2) by striking paragraph (2) and inserting the following:
       ``(2) If more than one employer adopts a plan, each such 
     employer shall furnish to the plan administrator the 
     information necessary for the administrator to maintain the 
     records, and make the reports, required by paragraph (1). 
     Such administrator shall maintain the records, and make the 
     reports, required by paragraph (1).''
       (g) Amendment Related to Section 509.--Section 101(i)(8)(B) 
     of ERISA is amended to read as follows:
       ``(B) One-participant retirement plan.--For purposes of 
     subparagraph (A), the term `one-participant retirement plan' 
     means a retirement plan that on the first day of the plan 
     year--
       ``(i) covered only one individual (or the individual and 
     the individual's spouse) and the individual (or the 
     individual and the individual's spouse) owned 100 percent of 
     the plan sponsor (whether or not incorporated), or
       ``(ii) covered only one or more partners (or partners and 
     their spouses) in the plan sponsor.''.

     SEC. 7. AMENDMENTS RELATED TO TITLE VI.

       (a) Amendments Related to Section 601.--
       (1) Amendments to erisa.--
       (A) Section 408(g)(3)(D)(ii) of ERISA is amended by 
     striking ``subsection (b)(14)(B)(ii)'' and inserting 
     ``subsection (b)(14)(A)(ii)''.
       (B) Section 408(g)(6)(A)(i) of ERISA is amended by striking 
     ``financial adviser'' and inserting ``fiduciary adviser''.
       (C) Section 408(g)(11)(A) of ERISA is amended--
       (i) by striking ``the participant'' each place it appears 
     and inserting ``a participant'', and
       (ii) by striking ``section 408(b)(4)'' in clause (ii) and 
     inserting ``subsection (b)(4)''.
       (2) Amendments to 1986 code.--
       (A) Section 4975(d)(17) of the 1986 Code, in the matter 
     preceding subparagraph (A), is amended by striking ``and that 
     permits'' and inserting ``that permits''.
       (B) Section 4975(f)(8) of the 1986 Code is amended--
       (i) in subparagraph (A), by striking ``subsection (b)(14)'' 
     and inserting ``subsection (d)(17)'',
       (ii) in subparagraph (C)(iv)(II), by striking ``subsection 
     (b)(14)(B)(ii)'' and inserting ``(d)(17)(A)(ii)'',
       (iii) in subparagraph (F)(i)(I), by striking ``financial 
     adviser'' and inserting ``fiduciary adviser,'',
       (iv) in subparagraph (I), by striking ``section 406'' and 
     inserting ``subsection (c)'', and
       (v) in subparagraph (J)(i)--

       (I) by striking ``the participant'' each place it appears 
     and inserting ``a participant'',
       (II) in the matter preceding subclause (I), by inserting 
     ``referred to in subsection (e)(3)(B)'' after ``investment 
     advice'', and
       (III) in subclause (II), by striking ``section 408(b)(4)'' 
     and inserting ``subsection (d)(4)''.

       (3) Amendment to 2006 act.--Section 601(b)(4) of the 2006 
     Act is amended by striking ``section 4975(c)(3)(B)'' and 
     inserting ``section 4975(e)(3)(B)''.
       (b) Amendments Related to Section 611.--
       (1) Amendment to erisa.--Section 408(b)(18)(C) of ERISA is 
     amended by striking ``or less''.
       (2) Amendments to 1986 code.--Section 4975(d) of the 1986 
     Code is amended--
       (A) in the matter preceding subparagraph (A) of paragraph 
     (18)--
       (i) by striking ``party in interest'' and inserting 
     ``disqualified person'', and
       (ii) by striking ``subsection (e)(3)(B)'' and inserting 
     ``subsection (e)(3)'',
       (B) in paragraphs (19), (20), and (21), by striking ``party 
     in interest'' each place it appears and inserting 
     ``disqualified person'', and
       (C) by striking ``or less'' in paragraph (21)(C).
       (c) Amendments Related to Section 612.--Section 
     4975(f)(11)(B)(i) of the 1986 Code is amended by--
       (1) inserting ``of the Employee Retirement Income Security 
     Act of 1974'' after ``section 407(d)(1)'', and
       (2) inserting ``of such Act'' after ``section 407(d)(2)''.
       (d) Amendments Related to Section 624.--Section 404(c)(5) 
     of ERISA is amended by striking ``participant'' each place it 
     appears and inserting ``participant or beneficiary''.

     SEC. 8. AMENDMENTS RELATED TO TITLE VII.

       (a) Amendments to ERISA.--
       (1) Section 203(f)(1)(B) of ERISA is amended to read as 
     follows:
       ``(B) the requirements of section 204(c) or 205(g), or the 
     requirements of subsection (e), with respect to accrued 
     benefits derived from employer contributions,''.
       (2) Section 204(b)(5) of ERISA is amended--
       (A) by striking ``clause'' in subparagraph (A)(iii) and 
     inserting ``subparagraph'', and
       (B) by inserting ``otherwise'' before ``allowable'' in 
     subparagraph (C).
       (3) Subclause (II) of section 204(b)(5)(B)(i) of ERISA is 
     amended to read as follows:

       ``(II) Preservation of capital.--An applicable defined 
     benefit plan shall be treated as failing to meet the 
     requirements of paragraph (1)(H) unless the plan provides 
     that an interest credit (or equivalent amount) of less than 
     zero shall in no event result in the account balance or 
     similar amount being less than the aggregate amount of 
     contributions credited to the account.''.

       (b) Amendments to 1986 Code.--
       (1) Section 411(b)(5) of the 1986 Code is amended--
       (A) by striking ``clause'' in subparagraph (A)(iii) and 
     inserting ``subparagraph'', and
       (B) by inserting ``otherwise'' before ``allowable'' in 
     subparagraph (C).
       (2) Section 411(a)(13)(A) of the 1986 Code is amended--
       (A) by striking ``paragraph (2)'' in clause (i) and 
     inserting ``subparagraph (B)'',
       (B) by striking clause (ii) and inserting the following new 
     clause:
       ``(ii) the requirements of subsection (a)(11) or (c), or 
     the requirements of section 417(e), with respect to accrued 
     benefits derived from employer contributions,'', and
       (C) by striking ``paragraph (3)'' in the matter following 
     clause (ii) and inserting ``subparagraph (C)''.
       (3) Subclause (II) of section 411(b)(5)(B)(i) of the 1986 
     Code is amended to read as follows:

       ``(II) Preservation of capital.--An applicable defined 
     benefit plan shall be treated as failing to meet the 
     requirements of paragraph (1)(H) unless the plan provides 
     that an interest credit (or equivalent amount) of less than 
     zero shall in no event result in the account balance or 
     similar amount being less than the aggregate amount of 
     contributions credited to the account.''.

       (c) Amendments to 2006 Act.--
       (1) Section 701(d)(2) of the 2006 Act is amended by 
     striking ``204(g)'' and inserting ``205(g)''.
       (2) Section 701(e) of the 2006 Act is amended--
       (A) by inserting ``on or'' after ``period'' in paragraph 
     (3),
       (B) in paragraph (4)--
       (i) by inserting ``the earlier of'' after ``before'' in the 
     matter preceding subparagraph (A), and
       (ii) by striking ``earlier'' and inserting ``later'' in 
     subparagraph (A),
       (C) by inserting ``on or'' before ``after'' each place it 
     appears in paragraph (5), and
       (D) by adding at the end the following new paragraph:
       ``(6) Special rule for vesting requirements.--The 
     requirements of section 203(f)(2) of the Employee Retirement 
     Income Security Act of 1974 and section 411(a)(13)(B) of the 
     Internal Revenue Code of 1986 (as added by this Act)--
       ``(A) shall not apply to a participant who does not have an 
     hour of service after the effective date of such requirements 
     (as otherwise determined under this subsection); and
       ``(B) in the case of a plan other than a plan described in 
     paragraph (3) or (4), shall apply to plan years ending on or 
     after June 29, 2005.''.
       (d) Amendment of ADEA.--Section 4(i)(10)(B)(i)(III) of the 
     Age Discrimination in Employment Act of 1967 (29 U.S.C. 
     623(i)(10)(B)(i)(III)) is amended by adding at the end the 
     following: ``In the case of a governmental plan (as defined 
     in the first sentence of section 414(d) of the Internal 
     Revenue Code of 1986), a rate of return or a method of 
     crediting interest established pursuant to any provision of 
     Federal, State, or local law (including any administrative 
     rule or policy adopted in accordance with any such law) shall 
     be treated as a market rate of return for purposes of 
     subclause (I) and a permissible method of crediting interest 
     for purposes of meeting the requirements of subclause (I), 
     except that this sentence shall only apply to a rate of 
     return or method of crediting interest if such rate or method 
     does not violate any other requirement of this Act.''.

     SEC. 9. AMENDMENTS RELATED TO TITLE VIII.

       (a) Amendments Related to Section 801.--
       (1) Section 404(o) of the 1986 Code is amended--
       (A) by striking ``430(g)(2)'' in paragraph (2)(A)(ii) and 
     inserting ``430(g)(3)'', and
       (B) by striking ``412(f)(4)'' in paragraph (4)(B) and 
     inserting ``412(d)(3)''.
       (2) Section 404(a)(7)(A) of the 1986 Code is amended--
       (A) by striking the next to last sentence, and
       (B) by striking ``the plan's funding shortfall determined 
     under section 430'' in the last sentence and inserting ``the 
     excess (if any) of the plan's funding target (as defined in 
     section 430(d)(1)) over the value of the plan's assets (as 
     determined under section 430(g)(3))''.
       (b) Amendment Related to Section 802.--Section 
     404(a)(1)(D)(i) of the 1986 Code is amended by striking 
     ``431(c)(6)(C)'' and inserting ``431(c)(6)(D)''.
       (c) Amendment Related to Section 803.--Clause (iii) of 
     section 404(a)(7)(C) of the 1986 Code is amended to read as 
     follows:
       ``(iii) Limitation.--In the case of employer contributions 
     to 1 or more defined contribution plans--

       ``(I) if such contributions do not exceed 6 percent of the 
     compensation otherwise paid or accrued during the taxable 
     year to the beneficiaries under such plans, this paragraph 
     shall not apply to such contributions or to employer 
     contributions to the defined benefit plans to which this 
     paragraph would otherwise apply by reason of contributions to 
     the defined contribution plans, and
       ``(II) if such contributions exceed 6 percent of such 
     compensation, this paragraph shall be applied by only taking 
     into account such contributions to the extent of such excess.

     For purposes of this clause, amounts carried over from 
     preceding taxable years under subparagraph (B) shall be 
     treated as employer

[[Page H1603]]

     contributions to 1 or more defined contributions plans to the 
     extent attributable to employer contributions to such plans 
     in such preceding taxable years.''.
       (d) Amendments Related to Section 824.--
       (1) Section 408A(c)(3)(B) of the 1986 Code, as in effect 
     after the amendments made by section 824(b)(1) of the 2006 
     Act, is amended--
       (A) by striking the second ``an'' before ``eligible'',
       (B) by striking ``other than a Roth IRA'', and
       (C) by adding at the end the following new flush sentence:

     ``This subparagraph shall not apply to a qualified rollover 
     contribution from a Roth IRA or to a qualified rollover 
     contribution from a designated Roth account which is a 
     rollover contribution described in section 402A(c)(3)(A).''
       (2) Section 408A(d)(3)(B), as in effect after the 
     amendments made by section 824(b)(2)(B) of the 2006 Act, is 
     amended by striking ``(other than a Roth IRA)'' and by 
     inserting at the end the following new sentence: ``This 
     paragraph shall not apply to a distribution which is a 
     qualified rollover contribution from a Roth IRA or a 
     qualified rollover contribution from a designated Roth 
     account which is a rollover contribution described in section 
     402A(c)(3)(A)''.
       (e) Amendment to Section 827.--The first sentence of 
     section 72(t)(2)(G)(iv) of the 1986 Code is amended by 
     inserting ``on or'' before ``before''.
       (f) Amendments Related to Section 829.--
       (1) Section 402(c)(11) of the 1986 Code is amended--
       (A) by inserting ``described in paragraph (8)(B)(iii)'' 
     after ``eligible retirement plan'' in subparagraph (A), and
       (B) by striking ``trust'' before ``designated beneficiary'' 
     in subparagraph (B).
       (2)(A) Section 402(f)(2)(A) of the 1986 Code is amended by 
     adding at the end the following new sentence: ``Such term 
     shall include any distribution to a designated beneficiary 
     which would be treated as an eligible rollover distribution 
     by reason of subsection (c)(11), or section 403(a)(4)(B), 
     403(b)(8)(B), or 457(e)(16)(B), if the requirements of 
     subsection (c)(11) were satisfied.''
       (B) Clause (i) of section 402(c)(11)(A) of the 1986 Code is 
     amended by striking ``for purposes of this subsection''.
       (C) The amendments made by this paragraph shall apply with 
     respect to plan years beginning after December 31, 2008.
       (g) Amendment Related to Section 832.--Section 415(f) of 
     the 1986 Code is amended by striking paragraph (2) and by 
     redesignating paragraph (3) as paragraph (2).
       (h) Amendments Related to Section 833.--
       (1) Section 408A(c)(3)(C) of the 1986 Code, as added by 
     section 833(c) of the 2006 Act, is redesignated as 
     subparagraph (E).
       (2) In the case of taxable years beginning after December 
     31, 2009, section 408A(c)(3)(E) of the 1986 Code (as 
     redesignated by paragraph (1))--
       (A) is redesignated as subparagraph (D), and
       (B) is amended by striking ``subparagraph (C)(ii)'' and 
     inserting ``subparagraph (B)(ii)''.
       (i) Amendments Related to Section 841.--
       (1) Section 420(c)(1)(A) of the 1986 Code is amended by 
     adding at the end the following new sentence: ``In the case 
     of a qualified future transfer or collectively bargained 
     transfer to which subsection (f) applies, any assets so 
     transferred may also be used to pay liabilities described in 
     subsection (f)(2)(C).''
       (2) Section 420(f)(2) of the 1986 Code is amended by 
     striking ``such'' before ``the applicable'' in subparagraph 
     (D)(i)(I).
       (3) Section 4980(c)(2)(B) of the 1986 Code is amended by 
     striking ``or'' at the end of clause (i), by striking the 
     period at the end of clause (ii) and inserting ``, or'', and 
     by adding at the end the following new clause:
       ``(iii) any transfer described in section 
     420(f)(2)(B)(ii)(II).''.
       (j) Amendments Related to Section 845.--
       (1) Subsection (l) of section 402 of the 1986 Code is 
     amended--
       (A) in paragraph (1)--
       (i) by inserting ``maintained by the employer described in 
     paragraph (4)(B)'' after ``an eligible retirement plan'', and
       (ii) by striking ``of the employee, his spouse, or 
     dependents (as defined in section 152)'' ,
       (B) in paragraph (4)(D), by--
       (i) inserting ``(as defined in section 152)'' after 
     ``dependents'', and
       (ii) striking ``health insurance plan'' and inserting 
     ``health plan'', and
       (C) in paragraph (5)(A), by striking ``health insurance 
     plan'' and inserting ``health plan''.
       (2) Subparagraph (B) of section 402(l)(3) of the 1986 Code 
     is amended by striking ``all amounts distributed from all 
     eligible retirement plans were treated as 1 contract for 
     purposes of determining the inclusion of such distribution 
     under section 72'' and inserting ``all amounts to the credit 
     of the eligible public safety officer in all eligible 
     retirement plans maintained by the employer described in 
     paragraph (4)(B) were distributed during such taxable year 
     and all such plans were treated as 1 contract for purposes of 
     determining under section 72 the aggregate amount which would 
     have been so includible''.
       (k) Amendments Related to Section 854.--
       (1) Section 3121(b)(5)(E) of the 1986 Code is amended by 
     striking ``or special trial judge''.
       (2) Section 210(a)(5)(E) of the Social Security Act is 
     amended by striking ``or special trial judge''.
       (l) Amendments Related to Section 856.--Section 856 of the 
     2006 Act, and the amendments made by such section, are hereby 
     repealed, and the Internal Revenue Code of 1986 shall be 
     applied and administered as if such sections and amendments 
     had not been enacted.
       (m) Amendment Related to Section 864.--Section 864(a) of 
     the 2006 Act is amended by striking ``Reconciliation''.

     SEC. 10. AMENDMENTS RELATED TO TITLE IX.

       (a) Amendment Related to Section 901.--Section 
     401(a)(35)(E)(iv) of the 1986 Code is amended to read as 
     follows:
       ``(iv) One-participant retirement plan.--For purposes of 
     clause (iii), the term `one-participant retirement plan' 
     means a retirement plan that on the first day of the plan 
     year--

       ``(I) covered only one individual (or the individual and 
     the individual's spouse) and the individual (or the 
     individual and the individual's spouse) owned 100 percent of 
     the plan sponsor (whether or not incorporated), or
       ``(II) covered only one or more partners (or partners and 
     their spouses) in the plan sponsor.''.

       (b) Amendments Related to Section 902.--
       (1) Section 401(k)(13)(D)(i)(I) of the 1986 Code is amended 
     by striking ``such compensation as exceeds 1 percent but does 
     not'' and inserting ``such contributions as exceed 1 percent 
     but do not''.
       (2) Sections 401(k)(8)(E) and 411(a)(3)(G) of the 1986 Code 
     are each amended--
       (A) by striking ``an erroneous automatic contribution'' and 
     inserting ``a permissible withdrawal'', and
       (B) by striking ``erroneous automatic contribution'' in the 
     heading and inserting ``permissible withdrawal''.
       (3) Section 402(g)(2)(A)(ii) of the 1986 Code is amended by 
     inserting ``through the end of such taxable year'' after 
     ``such amount''.
       (4) Section 414(w)(3) of the 1986 Code is amended--
       (A) in subparagraph (B), by inserting ``and'' after the 
     comma at the end,
       (B) by striking subparagraph (C), and
       (C) by redesignating subparagraph (D) as subparagraph (C).
       (5) Section 414(w)(5) of the 1986 Code is amended by 
     striking ``and'' at the end of subparagraph (B), by striking 
     the period at the end of subparagraph (C) and inserting a 
     comma, and by adding at the end the following:
       ``(D) a simplified employee pension the terms of which 
     provide for a salary reduction arrangement described in 
     section 408(k)(6), and
       ``(E) a simple retirement account (as defined in section 
     408(p)).''.
       (6) Section 414(w)(6) of the 1986 Code is amended by 
     inserting ``or for purposes of applying the limitation under 
     section 402(g)(1)'' before the period at the end.
       (c) Amendments Related to Section 903.--
       (1) Amendment of 1986 code.--Section 414(x)(1) of the 1986 
     Code is amended by adding at the end of paragraph (1) the 
     following new sentence: ``In the case of a termination of the 
     defined benefit plan and the applicable defined contribution 
     plan forming part of an eligible combined plan, the plan 
     administrator shall terminate each such plan separately.''
       (2) Amendments of erisa.--Section 210(e) of ERISA is 
     amended--
       (A) by adding at the end of paragraph (1) the following new 
     sentence: ``In the case of a termination of the defined 
     benefit plan and the applicable defined contribution plan 
     forming part of an eligible combined plan, the plan 
     administrator shall terminate each such plan separately.'', 
     and
       (B) by striking paragraph (3) and by redesignating 
     paragraphs (4), (5), and (6) as paragraphs (3), (4), and (5), 
     respectively.
       (d) Amendments Related to Section 906.--
       (1) Section 906(b)(1)(B)(ii) of the 2006 Act is amended by 
     striking ``paragraph (1)'' and inserting ``paragraph (10)''.
       (2) Section 4021(b) of ERISA is amended by inserting ``or'' 
     at the end of paragraph (12), by striking ``; or'' at the end 
     of paragraph (13) and inserting a period, and by striking 
     paragraph (14).

     SEC. 11. AMENDMENTS RELATED TO TITLE X.

       (a) Amendments to Railroad Retirement Act.--
       (1) Section 14(b) of the Railroad Retirement Act of 1974 
     (45 U.S.C. 231m(b)) is amended by adding at the end the 
     following:
       ``(3)(i) Payments made pursuant to paragraph (2) of this 
     subsection shall not require that the employee be entitled to 
     an annuity under section 2(a)(1) of this Act: Provided, 
     however, That where an employee is not entitled to such an 
     annuity, payments made pursuant to paragraph (2) may not 
     begin before the month in which the following three 
     conditions are satisfied:
       ``(A) The employee has completed ten years of service in 
     the railroad industry or, five years of service all of which 
     accrues after December 31, 1995.
       ``(B) The spouse or former spouse attains age 62.
       ``(C) The employee attains age 62 (or if deceased, would 
     have attained age 62).
       ``(ii) Payments made pursuant to paragraph (2) of this 
     subsection shall terminate upon the death of the spouse or 
     former spouse, unless the court document provides for 
     termination at an earlier date. Notwithstanding the language 
     in a court order, that portion of payments made pursuant to 
     paragraph (2) which represents payments computed pursuant to 
     section 3(f)(2) of this Act shall not be paid after the death 
     of the employee.

[[Page H1604]]

       ``(iii) If the employee is not entitled to an annuity under 
     section 2(a)(1) of this Act, payments made pursuant to 
     paragraph (2) of this subsection shall be computed as though 
     the employee were entitled to an annuity.''.
       (2) Subsection (d) of section 5 of the Railroad Retirement 
     Act (45 U.S.C. 231d) is repealed.
       (b) Effective Dates.--
       (1) Subsection (a)(1).--The amendment made by subsection 
     (a)(1) shall apply with respect to payments due for months 
     after August 2007. If, prior to the effective date of such 
     amendment, payment pursuant to paragraph (2) of section 14(b) 
     of the Railroad Retirement Act of 1974 (45 U.S.C. 231m(b)) 
     was terminated because of the employee's death, payment to 
     the former spouse may be reinstated for months after August 
     2007.
       (2) Subsection (a)(2).--The amendment made by subsection 
     (a)(2) shall take effect upon the date of the enactment of 
     this Act.

     SEC. 12. AMENDMENTS RELATED TO TITLE XI.

       (a) Amendment Related to Section 1104.--Section 1104(d)(1) 
     of the 2006 Act is amended by striking ``Act'' the first 
     place it appears and inserting ``section''.
       (b) Amendments Related to Section 1105.--Section 3304(a) of 
     the 1986 Code is amended--
       (1) in paragraph (15)--
       (A) by redesignating clauses (i) and (ii) of subparagraph 
     (A) as subclauses (I) and (II),
       (B) by redesignating subparagraphs (A) and (B) as clauses 
     (i) and (ii),
       (C) by striking the semicolon at the end of clause (ii) (as 
     so redesignated) and inserting ``, and'',
       (D) by striking ``(15)'' and inserting ``(15)(A) subject to 
     subparagraph (B),'', and
       (E) by adding at the end the following:
       ``(B) the amount of compensation shall not be reduced on 
     account of any payments of governmental or other pensions, 
     retirement or retired pay, annuity, or other similar payments 
     which are not includible in the gross income of the 
     individual for the taxable year in which it was paid because 
     it was part of a rollover distribution;'', and
       (2) by striking the last sentence.
       (c) Amendments Related to Section 1106.--Section 3(37)(G) 
     of ERISA is amended by--
       (1) striking ``paragraph'' each place it appears in clauses 
     (ii), (iii), and (v)(I) and inserting ``subparagraph'',
       (2) striking ``subclause (i)(II)'' in clause (iii) and 
     inserting ``clause (i)(II)'',
       (3) striking ``subparagraph'' in clause (v)(II) and 
     inserting ``clause'', and
       (4) by striking ``section 101(b)(4)'' in clause (v)(III) 
     and inserting ``section 101(b)(1)''.

     SEC. 13. EFFECTIVE DATE.

       Except as otherwise provided in this Act, the amendments 
     made by this Act shall take effect as if included in the 
     provisions of the 2006 Act to which the amendments relate.

  The SPEAKER pro tempore. Pursuant to the rule, the gentleman from 
North Dakota (Mr. Pomeroy) and the gentleman from Wisconsin (Mr. Ryan) 
each will control 20 minutes.
  The Chair recognizes the gentleman from North Dakota.
  Mr. POMEROY. Mr. Speaker, I yield myself such time as I may consume.
  Mr. Speaker, today I rise in favor of moving the Pension Technical 
Corrections Act of 2008 forward in an expedited manner. The bill is 
most needed by employers who are committed to providing their employees 
with a financially secure retirement through a defined benefit plan.
  Why do we need this bill? Why do we need to act this quickly? Let me 
just break it down for you.
  On August 17, 2006, the President signed into law the Pension 
Protection Act. This bill imposed sweeping reform affecting how 
employers fund their defined benefits plans maintained for their 
employees. In addition, the bill imposed significant reforms for 
pension plans offered to many union workers who participated in multi-
employer plans.
  However, many provisions in the PPA became effective on January 1 of 
this year. The Treasury Department and the Internal Revenue Service 
cannot implement many of these provisions because they need further 
clarification of congressional intent. This bill provides the needed 
clarification for the Treasury Department, Internal Revenue Service, 
corporations and other businesses who sponsor retirement plans, as well 
as working families who contribute to and benefit from 401(k) plans or 
defined contribution plans.
  For the employers who have weathered the storm and are persistently 
committed to providing a secured retirement for their workers, this 
bill is for you. For the beneficiary of a 401(k) plan who wants to keep 
money in a retirement plan savings vehicle to finance retirement rather 
than being forced to spend it currently, this bill is for you. This 
bill provides clarification for the correct application of the non-
spousal rollover provision.
  For the construction worker whose plan may be experiencing 
underfunding and could be subject to a benefit reduction, this bill 
will make it clear when the plan must provide you with the notice 
alerting you of the plan's funding status. It would also clarify 
whether you are subject to such a reduction in pension benefits.
  You see, Mr. Speaker, we are talking about quality-of-life issues for 
working families and about helping those employers who want to help 
their employees provide for a financially secure retirement.
  I encourage my colleagues in this body and in the Senate to keep this 
bill clean and move it quickly. I encourage them to join me in doing 
what we were sent here by our constituents to do, provide legislation 
to help improve their lives. Let's pass this bill and get it to the 
President before the end of the month, because people are waiting. We 
have kept them waiting long enough.
  Mr. Speaker, I reserve the balance of my time.
  Mr. RYAN of Wisconsin. Mr. Speaker, I yield myself such time as I may 
consume.
  Mr. Speaker, I rise in support of H.R. 3361, the Pension Protection 
Technical Corrections Act. Given the complexity and broad reach of the 
Tax Code and ERISA, and the difficult interactions between them, the 
measure before us is necessary to correct drafting and other errors in 
the Pension Protection Act of 2006.
  Passage of the legislation will give certainty to plan 
administrators, individuals, as well as government regulators and 
ensure the intent of Congress is fully reflected in the governing 
statutes.
  The technical corrections process is a complicated one which ensures 
all views are heard and which brings in experts from the relevant 
committees and Federal agencies.
  In this case, it means that bipartisan staff from both the Ways & 
Means Committee and the Education & Labor Committee were joined by 
their counterparts from the Senate Finance Committee and the Senate 
HELP Committee as well as representatives from the Treasury and Labor 
Departments and the Pension Benefit Guaranty Corporation.
  Led by the staff of the Joint Tax Committee, the technical 
corrections process gives all participants a chance to review proposed 
changes to ensure they reflect the intent of Congress and do not change 
the substance of the law itself.
  There can be disagreements about what should and should not be 
considered technical. Each participant in the process has a veto. Thus, 
only items that were unanimously viewed as correcting a drafting 
mistake are included in the measure being debated today.
  There is one item, called smoothing, that we viewed as a particularly 
important technical correction but is not included in this bill because 
one of the parties to the process said it was not technical. Regardless 
of whether smoothing is technical, it is extremely important and must 
be passed quickly. Given that smoothing was excluded from this bill, I 
urge that we take up a smoothing-only bill on suspension this week.
  It is my understanding that the Joint Tax Committee will be 
publishing on their web page a complete summary of these items, and I 
encourage interested individuals to review it.
  Two final observations, Mr. Speaker, on the differences between this 
bill and the version passed by the Senate in December.
  First, since the Senate bill was passed, several additional technical 
items were identified, reviewed by the participants, and agreed to as 
being technical and conforming changes.
  Second, the Senate-passed bill included smoothing and a second 
provision that is no longer relevant.
  I hope that the Senate takes up the bill that we are passing today so 
that it can go to the President and be signed into law. I also hope 
that both houses quickly pass a smoothing-only bill.
  Mr. Speaker, while hardly glamorous, the technical corrections 
process is an important one, providing clarity and certainty to plan 
administrators and the millions of Americans who rely on these plans to 
help provide a secure retirement.
  I support passage of the bill.
  Mr. Speaker, I yield back the balance of my time.
  Mr. POMEROY. Mr. Speaker, I yield myself such time as I may consume.
  As we have just made formally a matter of record, the Pension 
Protection Act was an imperfect piece of legislation. This technically 
corrects, not substantively changes, but technically corrects an 
imperfect bill. It should go forward.

[[Page H1605]]

  We should be doing more, Mr. Speaker, and this is where I want to 
spend the balance of my time tonight. I am almost shaking with anger at 
what we are not doing to correct the Pension Protection Act before it 
will have a very negative impact on the very working people that we 
talk so much about trying to help. I will give you a couple of 
examples.
  There is a provision in the bill, never discussed, that inadvertently 
changes funding requirements for public pension plans. A plan like the 
State of North Dakota offers for its employees has a rate of 7.5 
percent. Well, the Pension Protection Act in its present form requires 
them to credit interest at no greater than market rate. Without 
correction, we are going to have State legislatures reducing the 
interest credited for their public employees under fully funded public 
plans. It makes no sense. It needs fixing. It is a mistake. But we 
can't get the critical people in the critical committees to agree to 
fixing this.
  Let's make no mistake about who we are talking about. We are talking 
about the Education and Labor Committee and we are talking about the 
Ways and Means Committee. Those are the committees of jurisdiction. We 
have not been able to get critical an agreement between the leadership 
of those committees and ranking members on fixing this public 
provision. And, as a result, for no reason whatsoever, other than an 
act of Congress that wasn't meant to have this impact, people may have 
their pensions reduced by Federal requirement.
  I want those workers to know, Congress didn't mean to do this. But 
Congress knows that that is the effect of the law we passed, and this 
is a Congress that can't fix it in a timely fashion because we haven't 
had the will, we haven't had the time to think about it. We don't care 
enough. Because of the inattention of this body, if workers are forced 
to take lower credited interest in these public plans, these workers 
get less of a pension, and for no reason whatsoever.
  There is another provision we should be fixing. These provisions are 
a little more than technical, so maybe should have been another bill, 
maybe not under the technical corrections act, but a bill we could have 
brought like tonight under the suspension calendar, a bill to address 
funding in a reasonable way.
  You know, a pension is paid over many, many years. Yet the funding 
balance is determined by things that capture where the stock market is 
today, what the interest rate is today. Now, that can give you a pretty 
dire picture if you have got a stock market that is tanking and a low 
interest rate environment. It may look suddenly like forevermore the 
plan isn't going to earn much money on its assets.
  Now, we know that the interest rate is going to change and we know 
the stock market valuation is going to change. So if you project 30 
years based on today's picture, you are going to be coming up with a 
wrong number. There is something called asset smoothing that lets you 
basically average a bit so that a bad picture today doesn't mean a 
draconian funding requirement upon the employer to meet what looks like 
a funding requirement that is not in fact reality.

                              {time}  2045

  Now, some might think, well, gosh, if the employer has to put in more 
money than is really needed that just is a good thing for workers 
because that means there will be a lot of money in there, and in no way 
will that solve it. There is a hitch to this. Employers do not have to 
fund pension plans. Employers can freeze pension plans. They can get 
out of the pension business. In fact, my friends, 43 pensions have 
frozen since we passed the Pension Protection Act.


 =========================== NOTE =========================== 

  
  March 12, 2008--On Page H1605 the following appeared: 99 
pensions have
  
  The online version should be corrected to read: 43 pensions have


 ========================= END NOTE ========================= 

  Here in a recession, where we have got businesses struggling, they 
are going to have to pony up on their pensions beyond what they ever 
have before because in the pension protection act we have got much 
stiffer funding requirements. Smoothing, which many of us intended to 
be in this bill, is not in the bill, and we need to add it to the bill.
  But this Congress, failing to act, is going to leave employers to pay 
the full bill, no smoothing help. I truly believe, just as I stand 
here, that there will be plans deciding to freeze, workers losing their 
pensions because in this time, before we go out on break, we don't 
address smoothing.
  Mr. RYAN of Wisconsin. Will the gentleman yield for a minute?
  Mr. POMEROY. I will yield for a minute.
  Mr. RYAN of Wisconsin. Just to be clear, it's my understanding that 
the minority side agrees with fixing the public pension problem along 
with the smoothing problem and consented to putting both of those in 
the bill, but the majority had rejected that offer.
  Mr. POMEROY. Reclaiming my time, I am not putting this responsibility 
on the minority.
  What the gentleman has alleged, I am not currently informed of. I 
don't dispute it, but I don't know it, but I do know that others that 
were needed to address this issue, others on the majority side did not 
act.
  In the end, the majority has responsibility for what we bring in a 
suspension calendar like this. This majority didn't get the job done.
  Mr. RYAN of Wisconsin. If the gentleman would further yield, I would 
simply like to say that we in the minority are more than willing to 
work with the gentleman in the majority to include the smoothing in the 
public pension provision.
  Mr. POMEROY. Reclaiming my time, I welcome that, because when the 
Pension Protection Act passed in the last Congress when the minority 
was the majority, I did not find that willingness to work with me. The 
legislation, I believe, needed correcting. This is a pox on both 
parties.
  Mr. RYAN of Wisconsin. Just one more friendly view. If you recall, 
this was a bipartisan bill when this passed when we were in the 
majority.
  Mr. POMEROY. Reclaiming my time before I run out of time, this is a 
pox on both parties. Both parties passed it, and both parties have 
failed to fix it.
  I believe the failure, relative to getting this fixed, is on both 
parties. But the majority party carries a disproportionate burden 
because we are the majority party.
  I could not be more disappointed.
  Getting back to the point I was making about frozen plans, I believe 
plans will freeze and workers will lose their pensions because asset 
smoothing is not addressed on the suspension calendar before we go out, 
before this critical April 15 deadline for pension funding.
  This is completely unacceptable. It's incompetent, and I am ashamed 
of this House in failing to address this before we leave. I hope that I 
have made some people angry by these comments. I have intended to.
  We need to get after this, and we need to get after it when we are 
back. If we don't get after it, I assure you, I will be having more of 
these speeches, because those who pretend to protect the world, the 
world's workers, when what they are doing is protecting these workers 
out of their very pensions, the very thing they need for retirement, 
income security. They are not doing anybody any favors. The games have 
got to end. The posture has got to end. We have got to fix problems and 
fix them in a timely way and shame on us if we have fallen short.
  Let me get back to the bill before us, because it's important. The 
bill before us is a technical corrections act. This one needs to pass. 
This is fine.
  The problem is, there is so much more that needed to be done, that 
could have been done on a suspension calendar tonight and tomorrow. We 
didn't do it, and we need to do it in short order when we get back.
  Mr. McKEON. Mr. Speaker, I rise in support of H.R. 3361, the Pension 
Protection Technical Corrections Act of 2008, and I urge all of my 
colleagues to support this measure.
  Mr. Speaker, in 2006, the Republican-led Congress passed, and 
President Bush signed into law, the Pension Protection Act of 2006, 
which represented the most comprehensive reform of our Nation's private 
pension system in a generation. After years of thorough examination, 
thoughtful legislative development, and careful coalition-building, we 
finally restored common sense to our Nation's pension system through 
enactment of this landmark law. Thanks to those reforms, today's 
retirement security laws match the new realities of the 21st century 
economy, meaning that more U.S. workers will be able to count on their 
retirement savings being there for them when they need it.
  The Pension Protection Act included tough new funding requirements to 
ensure employers adequately and consistently fund their

[[Page H1606]]

pension plans, provided workers with meaningful disclosure about the 
financial status of their benefits, and protected taxpayers from a 
possible multi-billion dollar bailout of the Pension Benefit Guaranty 
Corporation (PBGC).
  The Pension Protection Act's reforms were built on six fundamental 
principles that helped ensure a stronger, more secure retirement for 
millions of American workers. Those principles were: certainty, with a 
permanent and more accurate calculation of employers' pension 
liabilities; common sense, which enabled employers to build up a 
cushion in their pension plans during good economic times; stability, 
achieved by closing funding loopholes and ensuring employers make 
adequate and consistent cash payments to their plans; transparency 
through timely and straightforward information given to employees about 
the health of their retirement plans; honesty from employers and union 
leaders, who are no longer permitted to make hollow promises of extra 
benefits that will never materialize because a plan is severely 
underfunded; and portability, established by ensuring that hybrid 
plans, such as cash balance pensions--which offer portable, more 
generous worker benefits--remain a viable part of the defined benefit 
system. Having served as the Chairman of the House Committee on 
Education and the Workforce during this process, I am pleased to have 
been part of this effort.
  Of course, it is to be expected that in legislation of that 
magnitude, we did not get every word perfect, or every provision as 
clear as it could be. That is the point of the bill before us today--
H.R. 3361 is a narrow, technical bill that corrects inadvertent errors 
in drafting contained in the original law, and provides necessary 
clarification and focus, to ensure that the law is administered as 
Congress intended. For that reason, I support the bill before us today, 
and hope that it will quickly be enacted into law.
  I must note for the record, however, that more remains to be done. 
The bill before us is very narrow in scope, and addresses only those 
issues that are considered purely technical on a consensus basis. There 
are other issues that remain to be addressed.
  For example, late last year, the Senate passed by unanimous consent 
its own version of a technical corrections bill, which included 
critical clarifications with respect to the issue of asset smoothing. I 
would hope that this issue is addressed in any final technical 
correction package that we consider.
  Also, there are numerous provisions which Members and staff have 
discussed since enactment of the 2006 law, which enjoy broad, 
bipartisan support, but which did not fall within the scope of this 
narrow package of technical corrections. Going forward, it will be 
necessary for us to address these items, and I stand ready to work with 
my Chairman, Mr. Miller, and the distinguished Chairman and Ranking 
Member of the Ways and Means Committee in doing so.
  Mr. Speaker, with that, I reiterate my support for this narrow 
legislation.
  Mr. POMEROY. Mr. Speaker, I yield back the balance of my time.
  The SPEAKER pro tempore. The question is on the motion offered by the 
gentleman from North Dakota (Mr. Pomeroy) that the House suspend the 
rules and pass the bill, H.R. 3361, as amended.
  The question was taken; and (two-thirds being in the affirmative) the 
rules were suspended and the bill, as amended, was passed.
  A motion to reconsider was laid on the table.

                          ____________________