[Federal Register Volume 79, Number 216 (Friday, November 7, 2014)]
[Rules and Regulations]
[Pages 66278-66279]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 2014-26469]


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OFFICE OF PERSONNEL MANAGEMENT

5 CFR Part 843

RIN 3206-AM99


Federal Employees' Retirement System; Present Value Conversion 
Factors for Spouses of Deceased Separated Employees

AGENCY: Office of Personnel Management.

ACTION: Final rule.

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SUMMARY: The Office of Personnel Management (OPM) is adopting its 
proposed rule to revise the table of reduction factors for early 
commencing dates of survivor annuities for spouses of separated 
employees who die before the date on which they would be eligible for 
unreduced deferred annuities, and to revise the annuity factor for 
spouses of deceased employees who die in service when those spouses 
elect to receive the basic employee death benefit in 36 installments 
under the Federal Employees' Retirement System (FERS) Act of 1986. 
These rules are necessary to ensure that the tables conform to the 
economic and demographic assumptions adopted by the Board of

[[Page 66279]]

Actuaries and published in the Federal Register on May 21, 2014, as 
required by 5 U.S.C. 8461(i).

DATES: This rule becomes effective on November 7, 2014.

FOR FURTHER INFORMATION CONTACT: Roxann Johnson, (202) 606-0299.

SUPPLEMENTARY INFORMATION: On May 21, 2014, OPM published at 79 FR 
29224, a notice in the Federal Register to revise the normal cost 
percentages under the Federal Employees' Retirement System (FERS) Act 
of 1986, Public Law 99-335, 100 Stat. 514, as amended, based on 
economic assumptions and demographic factors adopted by the Board of 
Actuaries of the Civil Service Retirement System. Under 5 U.S.C. 
8461(i), the demographic factors and economic assumptions require 
corresponding changes in factors used to produce actuarially 
equivalence when required by the FERS Act. As a result, on July 18, 
2014, at 79 FR 41929, OPM published a proposed rule in the Federal 
Register to revise the table of reduction factors in Appendix A to 
subpart C of part 843, Code of Federal Regulations, for early 
commencing dates of survivor annuities for spouses of separated 
employees who die before the date on which they would be eligible for 
unreduced deferred annuities, and to revise the annuity factor for 
spouses of deceased employees who die in service when those spouses 
elect to receive the basic employee death benefit in 36 installments 
under 5 CFR 843.309. OPM received no written comments on the proposed 
rule.

Executive Order 12866, Regulatory Review

    This rule has been reviewed by the Office of Management and Budget 
in accordance with Executive Order (E.O.) 12866, as amended by E.O. 
13258 and E.O. 13422.

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 retirement payments to surviving current and former 
spouses of former employees and Members who separated from Federal 
service with title to a deferred annuity.

List of Subjects in 5 CFR Part 843

    Air traffic controllers, Disability benefits, Firefighters, 
Government employees, Law enforcement officers, Pensions, Retirement.

U.S. Office of Personnel Management.
Katherine Archuleta,
Director.

    For the reasons stated in the preamble, the Office of Personnel 
Management amends 5 CFR part 843 as follows:

PART 843--FEDERAL EMPLOYEES RETIREMENT SYSTEM--DEATH BENEFITS AND 
EMPLOYEE REFUNDS

0
1. The authority citation for part 843 continues to read as follows:

    Authority:  5 U.S.C. 8461; Sec. Sec.  843.205, 843.208, and 
843.209 also issued under 5 U.S.C. 8424; Sec.  843.309 also issued 
under 5 U.S.C. 8442; Sec.  843.406 also issued under 5 U.S.C. 8441.

Subpart C--Current and Former Spouse Benefits

0
2. In Sec.  843.309, revise paragraph (b)(2) to read as follows:


Sec.  843.309  Basic employee death benefit.

* * * * *
    (b) * * *
    (2) For deaths occurring on or after October 1, 2014, 36 equal 
monthly installments of 2.99522 percent of the amount of the basic 
employee death benefit.
* * * * *

0
3. Revise Appendix A to subpart C of part 843 to read as follows:

Appendix A to Subpart C of Part 843--Present Value Conversion Factors 
for Earlier Comencing Date of Annuities of Current and Former Spouses 
of Deceased Separated Employees

    With at least 10 but less than 20 years of creditable service--

------------------------------------------------------------------------
   Age of separated employee at birthday before death       Multiplier
------------------------------------------------------------------------
26......................................................           .0638
27......................................................           .0700
28......................................................           .0764
29......................................................           .0831
30......................................................           .0902
31......................................................           .0978
32......................................................           .1058
33......................................................           .1142
34......................................................           .1233
35......................................................           .1331
36......................................................           .1435
37......................................................           .1547
38......................................................           .1667
39......................................................           .1794
40......................................................           .1931
41......................................................           .2079
42......................................................           .2236
43......................................................           .2406
44......................................................           .2588
45......................................................           .2784
46......................................................           .2993
47......................................................           .3218
48......................................................           .3463
49......................................................           .3725
50......................................................           .4008
51......................................................           .4313
52......................................................           .4644
53......................................................           .5001
54......................................................           .5387
55......................................................           .5806
56......................................................           .6262
57......................................................           .6756
58......................................................           .7295
59......................................................           .7882
60......................................................           .8525
61......................................................           .9228
------------------------------------------------------------------------

    With at least 20, but less than 30 years of creditable service--

------------------------------------------------------------------------
   Age of separated employee at birthday before death       Multiplier
------------------------------------------------------------------------
36......................................................           .1693
37......................................................           .1825
38......................................................           .1966
39......................................................           .2116
40......................................................           .2276
41......................................................           .2449
42......................................................           .2634
43......................................................           .2833
44......................................................           .3047
45......................................................           .3276
46......................................................           .3523
47......................................................           .3787
48......................................................           .4073
49......................................................           .4380
50......................................................           .4712
51......................................................           .5070
52......................................................           .5457
53......................................................           .5875
54......................................................           .6327
55......................................................           .6818
56......................................................           .7351
57......................................................           .7930
58......................................................           .8560
59......................................................           .9248
------------------------------------------------------------------------

    With at least 30 years of creditable service--

------------------------------------------------------------------------
                                              Multiplier by separated
                                             employee's year of birth
Age of  separated  employee  at birthday -------------------------------
               before death                                  From 1950
                                            After 1966     through 1966
------------------------------------------------------------------------
46......................................           .4457           .4811
47......................................           .4790           .5170
48......................................           .5151           .5559
49......................................           .5538           .5976
50......................................           .5955           .6426
51......................................           .6405           .6911
52......................................           .6892           .7435
53......................................           .7417           .8001
54......................................           .7986           .8614
55......................................           .8603           .9279
56......................................           .9272          1.0000
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[FR Doc. 2014-26469 Filed 11-6-14; 8:45 am]
BILLING CODE 6325-38-P