[Federal Register Volume 62, Number 161 (Wednesday, August 20, 1997)]
[Notices]
[Page 44294]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 97-22040]
[[Page 44294]]
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PENSION BENEFIT GUARANTY CORPORATION
Agency Information Collection Activities: Notice of Intention To
Request Extension of OMB Approval of Collection; Comment Request--
Termination of Single Employer Plans; Missing Participants; PBGC Forms
500-501, 600-602
AGENCY: Pension Benefit Guaranty Corporation.
ACTION: Notice of intention to request extension of OMB approval.
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SUMMARY: The Pension Benefit Guaranty Corporation intends to request
that the Office of Management and Budget (``OMB'') extend approval,
under the Paperwork Reduction Act of 1995, of a collection of
information in its regulations on Termination of Single Employer Plans
and Missing Participants, and implementing forms and instructions (OMB
control number 1212-0036; expires December 31, 1997). This notice
informs the public of the PBGC's intent and solicits public comment on
the collection of information.
DATES: Comments should be submitted by October 20, 1997.
ADDRESSES: Comments may be mailed to the Office of the General Counsel,
suite 340, Pension Benefit Guaranty Corporation, 1200 K Street, NW.,
Washington, DC 20005-4026, or delivered to that address between 9 a.m.
and 4 p.m. on business days. Written comments will be available for
public inspection at the PBGC's Communications and Public Affairs
Department, suite 240 at the same address, between 9 a.m. and 4 p.m. on
business days. Copies of the forms and instructions may be obtained
free of charge by writing or visiting the PBGC's Communications and
Public Affairs Department at the above address.
FOR FURTHER INFORMATION CONTACT: Catherine B. Klion, Attorney, Office
of the General Counsel, Pension Benefit Guaranty Corporation, 1200 K
Street, NW., Washington, DC 20005-4026, 202-326-4024 (202-326-4179 for
TTY and TDD).
SUPPLEMENTARY INFORMATION: Under section 4041 of the Employee
Retirement Income Security Act of 1974, as amended, a single-employer
pension plan may terminate voluntarily only if it satisfies the
requirements for either a standard or a distress termination. Pursuant
to ERISA section 4041(b), for standard terminations, and section
4041(c), for distress terminations, and the PBGC's termination
regulation (29 CFR part 4041), a plan administrator wishing to
terminate a plan is required to submit specified information to the
PBGC in support of the proposed termination and to provide specified
information regarding the proposed termination to third parties
(participants, beneficiaries, alternate payees, and employee
organizations). In the case of a plan with participants or
beneficiaries who cannot be located when their benefits are to be
distributed, the plan administrator is subject to the requirements of
ERISA section 4050 and the PBGC's missing participants regulation (29
CFR part 4050).
On March 14, 1997 (62 FR 12508), the PBGC published a proposed rule
to extend standard termination deadlines and otherwise to simplify the
standard termination process, to require that plan administrators
provide participants with information on state guaranty association
coverage of annuities, and to make conforming changes to the distress
termination process. The amendments also make conforming and
simplifying changes to the missing participants regulation. In
addition, the PBGC made clarifying and other changes (related to the
proposed rule) to its implementing forms and instructions under the
termination and missing participants regulations. OMB approved the
collection of information in the proposed rule.
The PBGC expects to publish a final rule amending its termination
and missing participants regulations later in 1997. Terminations
initiated before the effective date of the final rule generally will be
subject to the existing requirements. (The PBGC may specify in the
final rule certain portions of the final rule that plan administrators
may apply to terminations in process at the time the final rule becomes
effective.) Thus, even after the effective date of the final rule,
there will be a period of time during which the existing collection of
information requirements will apply for some terminations.
Much of the work associated with terminating a plan is performed
for purposes other than meeting the collection of information
requirements in the PBGC's termination and missing participants
regulations. The PBGC estimates that 3,940 plan administrators will be
subject to the existing requirements each year, and that the total
annual burden of complying with these requirements is 5530 hours and
$3,477,940. (The burden estimates under the March 14, 1997, proposed
rule were detailed at 62 FR at 12509.)
Comments on these collection of information requirements may
address (among other things)--
Whether the collection of information is needed for the
proper performance of the PBGC's functions and will have practical
utility;
The accuracy of the PBGC's estimate of the burden of the
collection of information, including the validity of the methodology
and assumptions used;
Enhancement of the quality, utility, and clarity of the
information to be collected; and
Minimizing the burden of the collection of information on
those who are to respond, including through the use of appropriate
automated, electronic, mechanical, or other technological collection
techniques or other forms of information technology, e.g., permitting
electronic submission of responses.
The PBGC already allows electronic submission of participant and
beneficiary data in a distress termination and has been actively
considering whether to allow other information to be provided
electronically. In certain circumstances, the proposed rule allows
electronic filing with the PBGC and electronic issuance of notices to
third parties. In the proposed rule (62 FR at 12509), the PBGC invited
comments on electronic filing and issuance requirements and on whether,
given the PBGC's limited role in standard terminations, the burden of
the standard termination filing process could be further reduced. The
PBGC welcomes comments on these matters in response to this notice as
well.
Issued in Washington, DC, this 14th day of August, 1997.
David M. Strauss,
Executive Director, Pension Benefit Guaranty Corporation.
[FR Doc. 97-22040 Filed 8-19-97; 8:45 am]
BILLING CODE 7708-01-P