[Federal Register: November 24, 2004 (Volume 69, Number 226)]

[Notices]               

[Page 68421-68422]

From the Federal Register Online via GPO Access [wais.access.gpo.gov]

[DOCID:fr24no04-117]                         





[[Page 68421]]



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PENSION BENEFIT GUARANTY CORPORATION



 

Proposed Submission of Information Collections for OMB Review; 

Comment Request; Payment of Premiums; Filing, Issuance, Computation of 

Time, and Record Retention



AGENCY: Pension Benefit Guaranty Corporation.



ACTION: Notice of intention to request OMB approval of revision of 

collections of information.



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SUMMARY: The Pension Benefit Guaranty Corporation (``PBGC'') intends to 

request Office of Management and Budget (``OMB'') approval, under the 

Paperwork Reduction Act, of revisions of the collections of information 

under its regulations on Payment of Premiums (29 CFR part 4007) (OMB 

control number 1212-0009; expires November 30, 2006) and on Filing, 

Issuance, Computation of Time, and Record Retention (29 CFR part 4000) 

(OMB control number 1212-0059; expires October 31, 2006). Collection of 

information 1212-0009 also includes a certification of compliance with 

requirements to provide certain notices to participants under the 

PBGC's regulation on Disclosure to Participants (29 CFR part 4011). The 

PBGC is revising the collections of information to provide for an 

alternative means of electronic filing of premium information, in 

addition to the PBGC's existing e-filing method using ``My Plan 

Administration Account'' (``My PAA'') through the PBGC's Web site. The 

alternative e-filing method is being developed in connection with an 

anticipated PBGC proposal to require electronic premium filing in the 

near future. This notice informs the public of the PBGC's intent and 

solicits public comment on the collections of information.



DATES: Comments should be submitted by January 24, 2005.



ADDRESSES: Comments may be mailed to the Office of the General Counsel, 

Pension Benefit Guaranty Corporation, 1200 K Street, NW., Washington, 

DC 20005-4026, or delivered to Suite 340 at that address during normal 

business hours. Comments also may be submitted electronically through 

the PBGC's Web site at http://www.pbgc.gov/paperwork, or by fax to 202-



326-4112. The PBGC will make all comments available on its Web site at 

http://www.pbgc.gov.



    Copies of the collections of information may be obtained without 

charge by writing to the PBGC's Communications and Public Affairs 

Department at Suite 240 at the above address or by visiting that office 

or calling 202-326-4040 during normal business hours. (TTY and TDD 

users may call the Federal relay service toll-free at 1-800-877-8339 

and ask to be connected to 202-326-4040.) The premium payment, 

participant notice, and filing regulations and the paper premium forms 

and instructions for 2004 and prior years can be accessed on the PBGC's 

Web site at http://www.pbgc.gov; the My PAA forms and instructions can 



also be accessed through the Web site by My PAA users.



FOR FURTHER INFORMATION CONTACT: Deborah C. Murphy, Staff Attorney, 

Office of the General Counsel, Pension Benefit Guaranty Corporation, 

1200 K Street, NW., Washington, DC 20005-4026, 202-326-4024. (TTY and 

TDD users may call the Federal relay service toll-free at 1-800-877-

8339 and ask to be connected to 202-326-4024.)



SUPPLEMENTARY INFORMATION: Section 4007 of Title IV of the Employee 

Retirement Income Security Act of 1974 (``ERISA'') requires the Pension 

Benefit Guaranty Corporation (``PBGC'') to collect premiums from 

pension plans covered under Title IV pension insurance programs. 

Pursuant to ERISA section 4007, the PBGC has issued its regulation on 

Payment of Premiums (29 CFR part 4007). Section 4007.3 of the premium 

payment regulation requires plans, in connection with the payment of 

premiums, to file forms prescribed by the PBGC and refers filers to 

subpart A of its regulation on Filing, Issuance, Computation of Time, 

and Record Retention (29 CFR part 4000) for rules on permissible filing 

methods. Section 4007.10 of the premium payment regulation requires 

plans to retain and make available to the PBGC records supporting or 

validating the computation of premiums paid. Subpart A of part 4000 

states the methods that may be used for sending a filing to the PBGC. 

(Payments are treated as filings.)

    The PBGC has prescribed a series of paper premium forms: Form 1-ES, 

Form 1-EZ, and Form 1 and (for single-employer plans only) Schedule A 

to Form 1. Form 1-ES is issued, with instructions, in the PBGC's 

Estimated Premium Payment Package. Form 1-EZ, Form 1, and Schedule A 

are issued, with instructions, in the PBGC's Annual Premium Payment 

Package. In addition, the PBGC provides for premium filing through an 

electronic facility, ``My Plan Administration Account'' (``MyPAA''), on 

its Web site at http://www.pbgc.gov. The forms that filers prepare 



using My PAA are not in the same format as the paper premium forms, but 

they solicit the same premium information.

    Premium forms are used to report the computation, determine the 

amount, and record the payment of PBGC premiums. The submission of 

premium information and retention and submission of premium records are 

needed to enable the PBGC to perform premium audits. The plan 

administrator of each pension plan covered by Title IV of ERISA is 

required to file one or more premium forms each year. The PBGC uses the 

information on the premium forms to identify the plans paying premiums; 

to verify whether plans are paying the correct amounts; and to help the 

PBGC determine the magnitude of its exposure in the event of plan 

termination. That information and the retained records are used for 

audit purposes.

    In addition, section 4011 of ERISA and the PBGC's regulation on 

Disclosure to Participants (29 CFR part 4011) require plan 

administrators of certain underfunded single-employer pension plans to 

provide an annual notice to plan participants and beneficiaries of the 

plans' funding status and the limits on the PBGC's guarantee of plan 

benefits. In general, the participant notice requirement applies 

(subject to certain exemptions) to plans that must pay a variable-rate 

premium. In order to monitor compliance with part 4011, single-employer 

plan administrators must indicate in their premium filings whether the 

participant notice requirements have been complied with.

    The collection of information under the regulation on Payment of 

Premiums, including Form 1-ES, Form 1-EZ, Form 1, and Schedule A to 

Form 1, corresponding My PAA electronic forms, and related instructions 

has been approved by the Office of Management and Budget (``OMB'') 

under control number 1212-0009. The collection of information also 

includes the certification of compliance with the participant notice 

requirements (but not the participant notices themselves).

    The collection of information under the regulation on Filing, 

Issuance, Computation of Time, and Record Retention has been approved 

by the Office of Management and Budget (``OMB'') under control number 

1212-0059.

    The PBGC is revising the collections of information to provide for 

a new alternative means of electronic filing of premium information, in 

addition to the existing MyPAA application. The PBGC intends to 

establish standards, for the structure and submission of files 

containing premium filing information, that can be incorporated in 

private-sector premium filing software to permit users of such software 

to submit their



[[Page 68422]]



premium filings to the PBGC electronically. This alternative e-filing 

method is being developed in connection with an anticipated PBGC 

proposal to require electronic premium filing in the near future.

    In connection with and as part of the new filing standards, the 

PBGC is providing for a new method for certifying premium filings made 

using private-sector software. Currently, a plan's premium filing must 

be certified by the plan administrator and, in many cases, also by an 

enrolled actuary. My PAA, which uses interactive software on the PBGC's 

Web site, permits both a plan administrator and an enrolled actuary to 

certify the same filing, but the PBGC anticipates that private-sector 

software developers will find it difficult or impossible to implement 

such a feature, which requires both the plan administrator and the 

enrolled actuary to access the same filing electronically.

    Accordingly, the PBGC is introducing a new premium filing 

certification methodology for premium filings made with private-sector 

software. The new methodology requires one responsible person (who may 

but need not be either the plan administrator or the enrolled actuary) 

to certify a private-sector software premium filing. If the responsible 

person is not the plan administrator, the certification will also state 

that the responsible person is authorized to act by the plan 

administrator and has a written representation from the plan 

administrator that the filing is proper. If the responsible person is 

not the enrolled actuary, the certification for a filing that includes 

actuarial items (variable-rate premium computations or certain 

variable-rate premium exemptions) will also state that the responsible 

person has a written representation from the enrolled actuary that the 

actuarial items in the filing are proper. The responsible person may be 

either the plan administrator or the enrolled actuary, and if not, must 

be at an appropriate level of authority, such as an officer of the plan 

sponsor.

    The PBGC intends to request that OMB approve this revision of the 

collections of information. An agency may not conduct or sponsor, and a 

person is not required to respond to, a collection of information 

unless it displays a currently valid OMB control number.

    The PBGC estimates that it will receive premium filings annually 

from about 28,900 plan administrators and that the total annual burden 

of the collection of information will be about 3,478 hours and 

$18,172,550. (These estimates include paper and electronic filings.)

    The PBGC is soliciting public comments to--

     Evaluate whether the collections of information are 

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 collection of information 1212-0009, 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 collections 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.



    Issued in Washington, DC, this 19th day of November, 2004.

Stuart A. Sirkin,

Director, Corporate Policy and Research Department, Pension Benefit 

Guaranty Corporation.

[FR Doc. 04-26051 Filed 11-23-04; 8:45 am]



BILLING CODE 7708-01-P