[Federal Register Volume 64, Number 123 (Monday, June 28, 1999)]
[Notices]
[Pages 34686-34687]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 99-16198]


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DEPARTMENT OF LABOR

Pension and Welfare Benefits Administration

DEPARTMENT OF THE TREASURY

Internal Revenue Service


Computer Scannable Versions of 1999 Form 5500 Annual Return/
Report of Employee Benefit Plan; Request for Public Comment

AGENCY: Pension Benefit Guaranty Corporation, Department of Labor.

ACTION: Notice.

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SUMMARY: The purpose of this notice is to solicit public comments on 
computer scannable versions of the 1999 Form 5500 Annual Return/Report 
of Employee Benefit Plan developed by two competing firms for use with 
a new computerized form processing system (the ERISA Filing Acceptance 
System, or ``EFAST''), beginning with filings for 1999 plan years.

DATES: Written comments must be submitted to the address specified 
below on or before July 28, 1999.

ADDRESSES: Interested persons are invited to submit written comments 
(preferably three copies) concerning the scannable formats to: EFAST 
Scannable Form 5500, Pension and Welfare Benefits Administration, U.S. 
Department of Labor, 200 Constitution Avenue, NW, Room N-5459, 
Washington, D.C. 20210. Written comments may also be sent by Internet 
to the following address: [email protected]. All 
submissions will be shared among the Agencies and will be open to 
public inspection and copying in the Public Disclosure Room, Pension 
and Welfare Benefits Administration, U.S. Department of Labor, 200 
Constitution Avenue, NW, Room N-5638, Washington, DC, from 8 a.m. to 
4:30 p.m., E.S.T.

FOR FURTHER INFORMATION CONTACT: John Helms, EFAST Project Director, 
Pension and Welfare Benefits Administration, U.S. Department of Labor, 
at (202) 219-2623 (not a toll-free number).

SUPPLEMENTARY INFORMATION: 

Background

    Under part 1 of Title I of the Employee Retirement Income Security 
Act of 1974, as amended (ERISA), Title IV or ERISA, and the Internal 
Revenue Code of 1986, as amended (the Code), administrators of pension 
and welfare benefit plans (collectively, employee benefit plans) 
subject to those provisions, and employers sponsoring certain fringe 
benefit plans and other plans of deferred compensation, are required to 
file returns/reports annually concerning the financial condition and 
operation of the plans. These reporting requirements are satisfied 
generally by filing the Form 5500 Series in accordance with its 
instructions and related regulations. The Form 5500 is the primary 
source of information concerning the operation, funding, assets and 
investments of pension and other employee benefit plans.
    On September 3, 1997, the Agencies published a Notice of Proposed 
Revision of Annual Information Return/Reports in the Federal Register 
(62 FR 46556). The Agencies' proposal replaced the Form 5500, Form 
5500-C and Form 5500-R with one Form 5500 intended to streamline the 
report and the methods by which it is filed. A public hearing on the 
proposed forms revisions was held on November 17, 1997, and written 
comments on the proposal were received until the public record was 
closed on December 3, 1997.
    Concurrent with the development of the new forms, the Agencies are 
also developing a new computerized system to process the Form 5500 
(``EFAST''). The new computerized processing system is designed to 
simplify and expedite the receipt and processing of the new Form 5500 
by relying on computer scannable forms and electronic filing 
technologies.
    Contracts were awarded to two national computer firms to 
competitively develop this system and computer scannable versions of 
the new Form 5500. When the firms have completed their ``small scale'' 
system assignments, one of the two firms will be chosen to ``scale-up'' 
its system and process the new Form 5500 for five years. The firm 
chosen will receive the forms, process the data into machine-readable 
format, conduct specified edit tests for validity and completeness, 
correspond with filers whose filings fail one or more edit tests, 
attempt to perfect the data using filer responses and, finally, provide 
the data to the Agencies.
    On June 24, 1998, a Notice was published in the Federal Register 
(63 FR 34493) that stated that the Agencies had submitted a public 
information

[[Page 34687]]

collection request (ICR) for the revised Form 5500 to the Office of 
Management and Budget (OMB) for review and approval in accordance with 
the Paperwork Reduction Act of 1995 (Public Law 104-13, 44 U.S.C. 
Chapter 35). The new Form 5500 submitted as part of the ICR was made 
available to the public through the Department of Labor's Internet 
site. The Notice announced that the Agencies intended to solicit public 
comments on the computer scannable versions of the new forms developed 
as part of the EFAST project. Following its Paperwork Reduction Act 
review, OMB gave Paperwork Reduction Act approval to the new Form 5500 
on August 26, 1998, provided certain minor technical adjustments were 
made to the forms and the Agencies solicited public comments on the 
computer scannable formats developed by the competing firms as part of 
the EFAST project.\1\ Both firms have now developed computer scannable 
versions of the new Form 5500.
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    \1\ The Department of Labor also proposed on December 10, 1998, 
in the Federal Register (63 FR 68370), and requested comments on, 
revision to the Department's annual reporting regulations that would 
implement the new Form 5500 requirements.
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    By this notice, the Agencies are soliciting public comments on the 
computer scannable formats developed as part of the EFAST project. One 
firm (Vendor #1) designed a computer scannable Form 5500 to be 
completed by all filers. The other firm (Vendor #2) designed two 
versions, one for filers printing the computer scannable Form 5500 by a 
computer printer (printer version) and the other for filers completing 
the form by hand or typewriter (hand/typewriter version). These mock-up 
versions of the computer scannable Form 5500 are available for viewing 
and downloading through the Department of Labor's Internet site 
(www.dol.gov/dol/pwba).
    The final computer scannable version of the forms will be published 
in the Federal Register following the selection of the firm that will 
process the new Form 5500 under the EFAST system. Except for those who 
file electronically, the use of computer scannable forms will be 
mandatory for 1999 plan year filings.

    Dated: June 21, 1999.
Gerald B. Lindrew,
Deputy Director, Office of Policy and Research, Department of Labor.

Carol D. Gold,
Director, Employee Plans Division, Internal Revenue Service, Department 
of the Treasury.

Stuart A. Sirkin,
Director, Corporate Policy and Research Department, Pension Benefit 
Guaranty Corporation.
[FR Doc. 99-16198 Filed 6-25-99; 8:45 am]
BILLING CODE 4510-29-M