[Federal Register Volume 62, Number 131 (Wednesday, July 9, 1997)]
[Rules and Regulations]
[Pages 36663-36664]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 97-17952]


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PENSION BENEFIT GUARANTY CORPORATION

29 CFR PART 4007

RIN: 1212-AA66


Disclosure of Premium-Related Information

AGENCY: Pension Benefit Guaranty Corporation.

ACTION: Final rule.

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SUMMARY: The Pension Benefit Guaranty Corporation is amending its 
premium payment regulation to provide for the submission to the PBGC of 
information contained in records relating to premium filings. The 
amendment is intended to assist the PBGC in obtaining timely 
information for premium audits.

EFFECTIVE DATE: August 8, 1997.

FOR FURTHER INFORMATION CONTACT: Harold J. Ashner, Assistant General 
Counsel, or James L. Beller, Attorney, Pension Benefit Guaranty 
Corporation, Office of the General Counsel, Suite 340, 1200 K Street, 
NW., Washington, DC 20005-4026, 202-326-4024 (202-326-4179 for TTY and 
TDD).

SUPPLEMENTARY INFORMATION: On December 17, 1996, the PBGC published in 
the Federal Register (61 FR 66247) a proposed rule to provide for 
submission to the PBGC of plan records that are necessary to support 
premium filings within 30 days of the date of the PBGC's request, or by 
a different time specified in the request. The PBGC received three 
comments, all of which stated that the 30-day time period was too short 
for large, multi-location companies because of the need to gather data 
from different locations.
    Most companies do not have special problems and can comply within a 
short period of time. The PBGC recognizes that, due to delays in the 
mail and other circumstances, companies may need more than 30 days to 
comply, and has therefore replaced the 30-day time period with a 45-day 
time period. For companies that, for valid reasons (e.g., difficulty in 
retrieving off-site files) are unable to provide the records within 45 
days, the final rule provides an automatic extension of up to an 
additional 45 days. To qualify for the extension, the plan 
administrator must certify that, despite reasonable efforts, the 
additional time is necessary to comply with the PBGC's request. The 
PBGC may shorten the original or extended deadline if the collection of 
unpaid premiums (or any associated interest or penalties) would be 
jeopardized.

Paperwork Reduction Act

    This rule contains information collection requirements. As required 
by the Paperwork Reduction Act of 1995, the PBGC has submitted a copy 
of this information collection to the Office of Management and Budget 
for its review. Affected parties do not have to comply with the 
information collection requirements of this rule until the PBGC 
publishes in the Federal Register the control number assigned by OMB to 
this information collection. Publication of the control number notifies 
the public that OMB has approved these information collection 
requirements.

E.O. 12866 and the Regulatory Flexibility Act

    The PBGC has determined that this rule is not a ``significant 
regulatory action'' under the criteria set forth in Executive Order 
12866.
    The PBGC certifies that the amendment will not have a significant 
economic effect on a substantial number of small entities. This rule 
merely changes the manner in which the plan administrator complies with 
an existing requirement to provide PBGC with information. Sending that 
information to the PBGC instead of making it available for on-site 
review by the PBGC will not impose any significant additional burden on 
the plan administrator. Accordingly, as provided in section 605(b) of 
the Regulatory Flexibility Act, sections 603 and 604 do not apply.

Small Business Regulatory Enforcement Fairness Act of 1996

    This rule is not a major rule as defined by section 804 of the 
Small Business Regulatory Enforcement Fairness Act of 1996. This rule 
will not result in an annual effect on the economy of $100 million or 
more; a major increase in costs or prices; or significant adverse 
effects on competition, employment, investment, productivity, 
innovation, or on the ability of the United States-based companies to 
compete with foreign-based companies in domestic and export markets.

List of Subjects in 29 CFR Part 4007

    Penalties, Pension insurance, Pensions, Reporting and recordkeeping 
requirements.

    For the reasons set forth above, the PBGC is amending 29 CFR part 
4007 as follows:

PART 4007--PAYMENT OF PREMIUMS

    1. The authority citation for part 4007 is revised to read as 
follows:

    Authority: 29 U.S.C. 1302(b)(3), 1303(a), 1306, 1307.

    2. In Sec. 4007.10, the section heading is revised; paragraph (a) 
is amended by removing the last sentence; and new paragraphs (c) and 
(d) are added, to read as follows:


Sec. 4007.10  Recordkeeping; audits; disclosure of information.

* * * * *
    (c) Providing record information. (1) In general. The plan 
administrator shall

[[Page 36664]]

make the records retained pursuant to paragraph (a) of this section 
available to the PBGC upon request for inspection and photocopying at 
the location where they are kept (or another, mutually agreeable, 
location) and shall submit information in such records to the PBGC 
within 45 days of the date of the PBGC's written request therefor, or 
by a different time specified therein.
    (2) Extension. Except as provided in paragraph (c)(3) of this 
section, the plan administrator may automatically extend the period 
described in paragraph (c)(1) by submitting a certification to the PBGC 
prior to the expiration of that time period. The certification shall--
    (i) Specify a date to which the time period described in paragraph 
(c)(1) is extended that is no more than 90 days from the date of the 
PBGC's written request for information; and
    (ii) Contain a statement, certified to by the plan administrator 
under penalty of perjury (18 U.S.C. Sec. 1001), that, despite 
reasonable efforts, the additional time is necessary to comply with the 
PBGC's request.
    (3) Shortening of time period. The PBGC may in its discretion 
shorten the time period described in paragraph (c)(1) or (c)(2) of this 
section where it determines that collection of unpaid premiums (or any 
associated interest or penalties) would otherwise be jeopardized. If 
the PBGC shortens the time period described in paragraph (c)(1), no 
extension is available under paragraph (c)(2).
    (d) Address and timeliness. Information required to be submitted 
under paragraph (c) of this section shall be submitted to the address 
specified in the PBGC's request. The timeliness of a submission shall 
be determined in accordance with Secs. 4007.5 and 4007.6.

    Issued in Washington, D.C. this 2nd day of July, 1997.
Alexis M. Herman,
Chairman, Board of Directors, Pension Benefit Guaranty Corporation.

    Issued on the date set forth above pursuant to a resolution of 
the Board of Directors authorizing its Chairman to issue this final 
rule.
James J. Keightley,
Secretary, Board of Directors, Pension Benefit Guaranty Corporation.
[FR Doc. 97-17952 Filed 7-8-97; 8:45 am]
BILLING CODE 7708-01-P