[Federal Register Volume 59, Number 51 (Wednesday, March 16, 1994)]
[Unknown Section]
[Page 0]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 94-6046]
Federal Register / Vol. 59, No. 51 / Wednesday, March 16, 1994 /
[[Page Unknown]]
[Federal Register: March 16, 1994]
VOL. 59, NO. 51
Wednesday, March 16, 1994
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OFFICE OF PERSONNEL MANAGEMENT
5 CFR Parts 831, 838, 842, and 890
RIN 3206-AF66
Payment of Survivor Deposits by Actuarial Reduction
AGENCY: Office of Personnel Management.
ACTION: Final rule.
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SUMMARY: The Office of Personnel Management (OPM) is adopting its
interim regulations to implement section 11004 of the Omnibus Budget
Reconciliation Act of 1993 as final. The Act requires OPM to reduce a
retiree's annuity instead of collecting a deposit when the retiree
marries during retirement and elects to provide a survivor annuity for
the new spouse. These regulations comply with the requirement that OPM
establish, by regulation, the method for computing the reduction on an
actuarial basis. These regulations also reorganize OPM's survivor
elections and survivor annuity regulations for the Civil Service
Retirement System to group together sections on similar subjects and
provide a more detailed table of contents to make the regulations
easier to use.
EFFECTIVE DATE: April 15, 1994.
FOR FURTHER INFORMATION CONTACT:
Harold L. Siegelman, (202) 606-0299.
SUPPLEMENTARY INFORMATION: On October 13, 1993, we published (at 58 FR
56877) interim regulations concerning survivor elections under the
Civil Service Retirement System (CSRS) and the Federal Employees
Retirement System (FERS) and survivor annuities under CSRS. The interim
regulations implemented the statutory change in the way we collect
survivor election deposits for post-retirement marriage. The interim
regulations also reorganized subpart F of our CSRS regulations to make
it easier to use. We also requested comments on the interim
regulations. We received no comments.
Under section 11004 of the Omnibus Budget Reconciliation Act of
1993, Public Law 103-66, effective October 1, 1993, OPM will no longer
collect these deposits in either a lump sum or by installments.
Instead, OPM is now required to establish a permanent actuarial
reduction in the annuity of the retiree. This means that OPM must take
the amount of the deposit computed under the old law, and ``translate''
it into a lifetime reduction in the retiree's benefit. The reduction is
based on actuarial tables, similar to those used for alternative forms
of annuity under sections 8343a and 8420a of title 5, United States
Code.
The following three charts contain the present value factors that
will apply beginning on the first day of the month beginning on or
after the effective date of the final regulations. These present value
factors have been revised to reflect the new economic assumption
adopted by the Board of Actuaries of the Civil Service Retirement and
Disability Fund. On September 21, 1993, we published (at 58 FR 49066)
the new economic assumption as part of the notice of change in FERS
normal cost percentage effective at the beginning of fiscal year 1995.
CSRS Present Value Factors
------------------------------------------------------------------------
Reduction
Age factor
------------------------------------------------------------------------
40......................................................... 294.4
41......................................................... 290.0
42......................................................... 285.5
43......................................................... 280.8
44......................................................... 276.2
45......................................................... 270.4
46......................................................... 264.7
47......................................................... 259.2
48......................................................... 253.5
49......................................................... 247.2
50......................................................... 240.4
51......................................................... 235.0
52......................................................... 229.8
53......................................................... 224.4
54......................................................... 218.6
55......................................................... 212.6
56......................................................... 207.5
57......................................................... 202.4
58......................................................... 197.0
59......................................................... 192.3
60......................................................... 188.3
61......................................................... 182.9
62......................................................... 177.0
63......................................................... 171.9
64......................................................... 166.5
65......................................................... 161.1
66......................................................... 156.0
67......................................................... 150.7
68......................................................... 145.4
69......................................................... 140.2
70......................................................... 134.7
71......................................................... 129.4
72......................................................... 124.0
73......................................................... 118.8
74......................................................... 113.6
75......................................................... 108.5
76......................................................... 103.5
77......................................................... 98.7
78......................................................... 93.9
79......................................................... 89.4
80......................................................... 84.9
81......................................................... 80.5
82......................................................... 76.3
83......................................................... 72.3
84......................................................... 68.4
85......................................................... 64.7
86......................................................... 61.2
87......................................................... 57.9
88......................................................... 54.7
89......................................................... 51.8
90......................................................... 48.9
------------------------------------------------------------------------
FERS Present Value Factors for Regular Employees
------------------------------------------------------------------------
Reduction
Age factor
------------------------------------------------------------------------
40......................................................... 169.2
41......................................................... 168.8
42......................................................... 168.4
43......................................................... 168.1
44......................................................... 167.7
45......................................................... 166.9
46......................................................... 166.1
47......................................................... 165.4
48......................................................... 164.7
49......................................................... 163.7
50......................................................... 162.4
51......................................................... 161.9
52......................................................... 161.6
53......................................................... 161.2
54......................................................... 160.6
55......................................................... 160.0
56......................................................... 160.0
57......................................................... 160.2
58......................................................... 160.4
59......................................................... 161.2
60......................................................... 162.7
61......................................................... 163.5
62......................................................... 161.3
63......................................................... 157.1
64......................................................... 152.5
65......................................................... 148.0
66......................................................... 143.6
67......................................................... 139.1
68......................................................... 134.6
69......................................................... 130.1
70......................................................... 125.4
71......................................................... 120.7
72......................................................... 116.0
73......................................................... 111.4
74......................................................... 106.8
75......................................................... 102.2
76......................................................... 97.8
77......................................................... 93.5
78......................................................... 89.2
79......................................................... 85.0
80......................................................... 80.9
81......................................................... 77.0
82......................................................... 73.1
83......................................................... 69.4
84......................................................... 65.8
85......................................................... 62.4
86......................................................... 59.1
87......................................................... 56.0
88......................................................... 53.0
89......................................................... 50.2
90......................................................... 47.5
------------------------------------------------------------------------
FERS Present Value Factors for Law Enforcement Officers, Firefighters,
Air Traffic Controllers, and Military Reserve Technicians Who Retire
Under 5 U.S.C. 8414(c) by Reason of Disability
------------------------------------------------------------------------
Reduction
Age factor
------------------------------------------------------------------------
40......................................................... 245.2
41......................................................... 241.9
42......................................................... 238.5
43......................................................... 235.0
44......................................................... 231.5
45......................................................... 227.9
46......................................................... 224.2
47......................................................... 220.3
48......................................................... 216.5
49......................................................... 212.6
50......................................................... 208.6
51......................................................... 204.5
52......................................................... 200.3
53......................................................... 196.1
54......................................................... 191.8
55......................................................... 187.4
56......................................................... 183.1
57......................................................... 178.6
58......................................................... 174.2
59......................................................... 169.7
60......................................................... 165.1
61......................................................... 160.4
------------------------------------------------------------------------
(Age 62 and over, see table for regular employees.)
Regulatory Flexibility Act
I certify that this regulation will not have a significant economic
impact on a substantial number of small entities because the regulation
will only affect Federal employees and agencies and retirement payments
to retired Government employees and their survivors.
List of Subjects
5 CFR Parts 831 and 842
Administrative practice and procedure, Air traffic controllers,
Claims, Disability benefits, Firefighters, Government employees, Income
taxes, Intergovernmental relations, Law enforcement officers, Pensions,
Reporting and recordkeeping requirements, Retirement.
5 CFR Part 838
Administrative practice and procedure, Claims, Disability benefits,
Government employees, Income taxes, Pensions, Retirement, Courts.
5 CFR Part 890
Administrative practice and procedure, Government employees, Health
facilities, Health insurance, Health professionals, Hostages, Reporting
and recordkeeping requirements, Retirement.
U.S. Office of Personnel Management.
Lorraine A. Green,
Deputy Director.
Accordingly, under authority of 5 U.S.C. 8347, 8461, and 8913, OPM
is adopting its interim rules amending 5 CFR parts 831, 838, 842, and
890 published on October 13, 1993, at 58 FR 56877, as final rules
without change.
[FR Doc. 94-6046 Filed 3-15-94; 8:45 am]
BILLING CODE 6325-01-M