[Federal Register Volume 69, Number 20 (Friday, January 30, 2004)]
[Notices]
[Pages 4540-4541]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 04-1952]


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DEPARTMENT OF LABOR

Office of the Secretary


Submission for OMB Review; Comment Request

January 21, 2004
    The Department of Labor (DOL) has submitted the following public 
information collection requests (ICRs) to the Office of Management and 
Budget (OMB) for review and approval in accordance with the Paperwork 
Reduction Act of 1995 (Pub. L. 104-13, 44 U.S.C. chapter 35). A copy of 
each ICR, with applicable supporting documentation, may be obtained by 
contacting the Department of Labor. To obtain documentation, contact 
Ira Mills on 202-693-4122 (this is not a toll-free number) or e-mail: 
[email protected].
    Comments should be sent to Office of Information and Regulatory 
Affairs, Attn: OMB Desk Officer for the Employee Benefits Security 
Administration, Office of Management and Budget, Room 10235, 
Washington, DC 20503, 202-395-7316 (this is not a toll-free number), 
within 30 days from the date of this publication in the Federal 
Register.
    The OMB is particularly interested in comments which:
     Evaluate whether the proposed collection of 
information is necessary for the proper performance of the functions of 
the agency, including whether the information will have practical 
utility;
     Evaluate the accuracy of the agency's estimate 
of the burden of the proposed collection of information, including the 
validity of the methodology and assumptions used;
     Enhance the quality, utility, and clarity of the 
information to be collected; and
     Minimize 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.
    Agency: Employee Benefits Security Administration.
    Type of Review: Extension of a currently approved collection.
    Title: Employee Benefit Plan Claims Procedures under the Employee 
Retirement Income Security Act of 1974 (ERISA).
    OMB Number: 1210-0053.
    Affected Public: Individuals or household; Business or other for-
profit; Not-for-profit institutions.
    Type of Response: Recordkeeping; Third party disclosure.
    Frequency: On Occasion.
    Number of Respondents: 6,700,000.
    Annual Responses: 18,000,000.
    Total Burden: 336,200.
    Total Annualized Capital/Startup Costs: $0.
    Total Annual Costs (operating/maintaining systems or purchasing 
services): $90,582,000.
    Description: This collection requirements are intended to insure 
that participants' claims for benefits are given a full and fair 
review, and that claimants are provided with enough information to 
understand and request a review of claims decisions. The regulation (29 
CFR 2560.503-1), which clarifies the statutory provisions, requires 
that every claimant who is denied a claim shall be provided with 
written or electronic notice which contains the specific reasons for 
denial, a reference to the relevant plan provisions on which the denial 
is based, a description of steps to be taken if the participant or 
beneficiary wishes to appeal the denial. The regulation also requires 
that any adverse decision upon review shall be in writing or by 
electronic notice and shall include specific reasons for the decision 
as well as references to relevant plan provisions.
    Agency: Employee Benefits Security Administration.
    Type of Review: Extension of a currently approved collection.
    Title: Prohibited Transaction Exemption 80-83--Securities Purchases 
for Debt Reduction of Retirement.
    OMB Number: 1210-0064.
    Affected Public: Business or other for-profit; Individuals or 
household; Not-for-profit institutions.
    Type of Response: Recordkeeping; Third party disclosure.
    Frequency: On occasion.
    Number of Respondents: 25.
    Annual Responses: 25.
    Total Burden: 2.
    Total Annualized Capital/Startup Costs: $0.
    Total Annual Costs (operating/maintaining systems or purchasing 
services); $0.
    Description: This class exemption allows employee benefit plans to 
purchase securities to reduce or retire indebtedness to a party in 
interest. These transactions would otherwise be prohibited under 
ERISA's prohibited transaction provision. Thus, without the relief 
provided by the class exemption, a standard type of financial/business 
transaction between financial service providers and employee benefit 
plans would be barred. Such a result would not be in the best interest 
of the plan, its participants and beneficiaries, or the financial 
services industry.

    Agency: Employee Benefits Security Administration.
    Type: Extension of a currently approved collection.
    Title: Prohibited Transaction Exemption 75-1--Broker-Dealers, 
Reporting Dealers, Banks Engaging in Securities Transactions.
    OMB Number: 1210-0092.
    Affected Public: Business or other for-profit; Individuals or 
household; Not-for-profit institutions.
    Type of Response: Recordkeeping; Third party disclosure.
    Frequency: On Occasion.
    Number of Respondents: 10,600.
    Annual Responses: 10,600.
    Total Burden: 883.
    Total Annualized Capital/Startup Costs: $0.
    Total Annual Costs: (operating/maintaining systems or purchasing 
services): $0.
    Description: The class exemption allows broker-dealers, reporting 
dealers and banks to engage in securities transactions with employee 
benefit plans. These transactions would otherwise be prohibited under 
ERISA's prohibited transaction provisions. Thus, without the relief 
provided by the class exemption, standard financial/business 
transactions between financial service providers and employee benefit 
plans would be barred. Such a result would not be in the best interest 
of plans, their participants and beneficiaries, or the financial 
services industry.

    Agency: Employee Benefits Security Administration.
    Type of Review: Extension of a currently approved collection.
    Title: Prohibited Transactions Exemption 88-59--Residential 
Mortgage Financing Arrangements Involving Employee Benefit Plans.
    OMB Number: 1210-0095.
    Affected Public: Business or other for-profit; Individuals or 
household; Not-for-profit institutions.
    Type of Response: Recordkeeping; Third party disclosure.
    Frequency: On Occasion.
    Number of Respondents: 420.
    Annual Responses: 2,100
    Total Burden: 175.
    Total Annualized Capital/Startup Costs: $0.
    Total Annual Costs (operating/maintaining systems or purchasing 
services): $0.

[[Page 4541]]

    Description: Prohibited Transaction Class Exemption 88-59 provides 
an exemption from prohibited transaction provisions of the Employment 
Retirement Income Security Act of 1974 (ERISA) and from certain taxes 
imposed by the Internal Revenue Code of 1986.
    The exemption permits, under certain conditions, an employee 
benefit plan to provide mortgage financing to purchasers of residential 
dwelling units. The mortgage financing may be either by making or 
participating in loans directly to purchasers or by purchasing mortgage 
land or participation interests in mortgage loans originated by a third 
party. Plan investments in real estate mortgage loans typically 
involved a continuing relationship between the seller of the mortgage 
loan and the plan for purposes of servicing the mortgage loan 
investment. This provision of services by the seller creates a party in 
interest relationship between such servicer and the investing plan. 
Accordingly, any subsequent purchase of mortgage loans from such 
existing party in interest service provider results in a prohibited 
transaction.
    By requiring that records pertaining to the exempted transaction be 
maintained for the duration of any loan made pursuant to Prohibited 
Transaction Class Exemption 88-59, this ICR insures that the exemption 
is not abused, the rights of the participants and beneficiaries are 
protected, and that compliance with the exemption's conditions can be 
confirmed. The exemption affects participants and beneficiaries of the 
plans that are involved in such transactions as well as the seller of 
the mortgage loans.

Ira L. Mills,
Departmental Clearance Officer.
[FR Doc. 04-1952 Filed 1-29-04; 8:45 am]
BILLING CODE 4512-29-M