91032 Federal Register / Vol. 81, No. 242 / Friday, December 16, 2016 / Rules and Regulations 

1Appendix B to PBGC’s regulation on Allocation 

of Assets in Single-Employer Plans (29 CFR part 

4044) prescribes interest assumptions for valuing 

benefits under terminating covered single-employer 

plans for purposes of allocation of assets under 

ERISA section 4044. Those assumptions are 

updated quarterly. 

elections made under § 301.7701–3 that 

are filed on or after September 14, 2015. 

For guidance with respect to paragraphs 

(c)(4), (c)(5), and (d)(1) of this section 

before this section is applicable, see 

§§ 1.6038B–1 and 1.6038B–1T as 

contained in 26 CFR part 1 revised as of 

April 1, 2016. 

§ 1.6038B–1T [Amended] 

■ Par. 24. Section 1.6038B–1T is 

amended by removing and reserving 

paragraphs (c)(4)(i) through (c)(5) 

introductory text, and (d)(1)(iv) and 

(vii). 

John Dalrymple, 

Deputy Commissioner for Services and 

Enforcement. 

Approved: November 23, 2016. 

Mark J. Mazur, 

Assistant Secretary of the Treasury (Tax 

Policy). 

[FR Doc. 2016–29791 Filed 12–15–16; 8:45 am] 

BILLING CODE 4830–01–P 

PENSION BENEFIT GUARANTY 

CORPORATION 

29 CFR Part 4022 

Benefits Payable in Terminated SingleEmployer Plans; Interest Assumptions 

for Paying Benefits 

AGENCY: Pension Benefit Guaranty 

Corporation. 

ACTION: Final rule. 

SUMMARY: This final rule amends the 

Pension Benefit Guaranty Corporation’s 

regulation on Benefits Payable in 

Terminated Single-Employer Plans to 

prescribe interest assumptions under 

the regulation for valuation dates in 

January 2017. The interest assumptions 

are used for paying benefits under 

terminating single-employer plans 

covered by the pension insurance 

system administered by PBGC. As 

discussed below, PBGC will publish a 

separate final rule document dealing 

with interest assumptions under its 

regulation on Allocation of Assets in 

Single-Employer Plans for the first 

quarter of 2017. 

DATES: Effective January 1, 2017. 

FOR FURTHER INFORMATION CONTACT: 

Deborah C. Murphy (Murphy.Deborah@

pbgc.gov), Assistant General Counsel for 

Regulatory Affairs, Pension Benefit 

Guaranty Corporation, 1200 K Street 

NW., Washington, DC 20005, 202–326– 

4400 ext. 3451. (TTY/TDD users may 

call the Federal relay service toll-free at 

1–800–877–8339 and ask to be 

connected to 202–326–4400 ext. 3451.) 

SUPPLEMENTARY INFORMATION: PBGC’s 

regulation on Benefits Payable in 

Terminated Single-Employer Plans (29 

CFR part 4022) prescribes actuarial 

assumptions—including interest 

assumptions—for paying plan benefits 

under terminating single-employer 

plans covered by title IV of the 

Employee Retirement Income Security 

Act of 1974. The interest assumptions in 

the regulation are also published on 

PBGC’s Web site (http://www.pbgc.gov). 

PBGC uses the interest assumptions in 

Appendix B to Part 4022 to determine 

whether a benefit is payable as a lump 

sum and to determine the amount to 

pay. Appendix C to Part 4022 contains 

interest assumptions for private-sector 

pension practitioners to refer to if they 

wish to use lump-sum interest rates 

determined using PBGC’s historical 

methodology. Currently, the rates in 

Appendices B and C of the benefit 

payment regulation are the same. 

The interest assumptions are intended 

to reflect current conditions in the 

financial and annuity markets. 

Assumptions under the benefit 

payments regulation are updated 

monthly. This final rule updates the 

benefit payments interest assumptions 

for January 2017.1

PBGC normally updates the 

assumptions under the benefit payments 

regulation for January at the same time 

as PBGC updates assumptions for the 

first quarter of the year under its 

regulation on Allocation of Assets in 

Single-Employer Plans (29 CFR part 

4044) in a single rulemaking document. 

Because of delays in obtaining data used 

in setting assumptions under Part 4044 

for the first quarter of 2017, PBGC is 

publishing two separate rulemaking 

documents to update the benefit 

payments regulation for January 2017 

and the allocation regulation for the first 

quarter of 2017. 

The January 2017 interest 

assumptions under the benefit payments 

regulation will be 1.25 percent for the 

period during which a benefit is in pay 

status and 4.00 percent during any years 

preceding the benefit’s placement in pay 

status. In comparison with the interest 

assumptions in effect for December 

2016, these interest assumptions 

represent an increase in the immediate 

rate of 0.50 percent and are otherwise 

unchanged. 

PBGC has determined that notice and 

public comment on this amendment are 

impracticable and contrary to the public 

interest. This finding is based on the 

need to determine and issue new 

interest assumptions promptly so that 

the assumptions can reflect current 

market conditions as accurately as 

possible. 

Because of the need to provide 

immediate guidance for the payment of 

benefits under plans with valuation 

dates during January 2017, PBGC finds 

that good cause exists for making the 

assumptions set forth in this 

amendment effective less than 30 days 

after publication. 

PBGC has determined that this action 

is not a ‘‘significant regulatory action’’ 

under the criteria set forth in Executive 

Order 12866. 

Because no general notice of proposed 

rulemaking is required for this 

amendment, the Regulatory Flexibility 

Act of 1980 does not apply. See 5 U.S.C. 

601(2). 

List of Subjects in 29 CFR Part 4022 

Employee benefit plans, Pension 

insurance, Pensions, Reporting and 

recordkeeping requirements. 

In consideration of the foregoing, 29 

CFR part 4022 is amended as follows: 

PART 4022—BENEFITS PAYABLE IN 

TERMINATED SINGLE-EMPLOYER 

PLANS 

■ 1. The authority citation for part 4022 

continues to read as follows: 

Authority: 29 U.S.C. 1302, 1322, 1322b, 

1341(c)(3)(D), and 1344. 

■ 2. In appendix B to part 4022, Rate Set 

279, as set forth below, is added to the 

table. 

Appendix B to Part 4022—Lump Sum 

Interest Rates for PBGC Payments 

* * * * * 


asabaliauskas on DSK3SPTVN1PROD with RULES
Federal Register / Vol. 81, No. 242 / Friday, December 16, 2016 / Rules and Regulations 91033 

1See ‘‘State Implementation Plans: Response to 

Petition for Rulemaking; Restatement and Update of 

EPA’s SSM Policy Applicable to SIPs; Findings of 

Substantial Inadequacy; and SIP Calls To Amend 

Provisions Applying to Excess Emissions During 

Periods of Startup, Shutdown and Malfunction,’’ 80 

FR 33839 (June 12, 2015). 

2 Knox County SIP Regulation 32.1(C) is a 

subsection of Section 32.0, ‘‘Use of Evidence.’’ 

3 40 CFR 51.212(c); see also ‘‘Credible Evidence 

Revisions,’’ 62 FR 8314 (Feb. 24, 1997). 

Rate set 

For plans with a valuation 

date Immediate 

annuity rate 

(percent) 

Deferred annuities 

(percent) 

On or after Before i1 i2 i3 n1 n2

*******

279 1–1–17 2–1–17 1.25 4.00 4.00 4.00 7 8 

■ 3. In appendix C to part 4022, Rate Set 

279, as set forth below, is added to the 

table. 

Appendix C to Part 4022—Lump Sum 

Interest Rates for Private-Sector 

Payments 

* * * * * 

Rate set 

For plans with a valuation 

date Immediate 

annuity rate 

(percent) 

Deferred annuities 

(percent) 

On or after Before i1 i2 i3 n1 n2

*******

279 1–1–17 2–1–17 1.25 4.00 4.00 4.00 7 8 

Deborah Chase Murphy, 

Assistant General Counsel for Regulatory 

Affairs, Pension Benefit Guaranty 

Corporation. 

[FR Doc. 2016–30098 Filed 12–15–16; 8:45 am] 

BILLING CODE 7709–02–P 

ENVIRONMENTAL PROTECTION 

AGENCY 

40 CFR Part 52 

[EPA–R04–OAR–2016–0359; FRL–9956–63– 

Region 4] 

Air Plan Approval; TN; Revisions to the 

Knox County Portion of the TN SIP 

AGENCY: Environmental Protection 

Agency (EPA). 

ACTION: Final rule. 

SUMMARY: The Environmental Protection 

Agency (EPA) is approving a State 

Implementation Plan (SIP) revision 

submitted by the State of Tennessee, 

through the Tennessee Department of 

Environment and Conservation (TDEC), 

on January 11, 2016. The revision was 

submitted by TDEC on behalf of the 

Knox County Department of Air Quality 

Management, which has jurisdiction 

over Knox County, Tennessee. The 

revision that EPA is approving amends 

the Knox County Air Quality 

Management Department’s regulations, 

which are part of the Tennessee SIP, to 

address EPA’s startup, shutdown, and 

malfunction (SSM) SIP call for Knox 

County. EPA is approving the January 

11, 2016, SIP revision because the 

Agency has determined that it is in 

accordance with the requirements for 

SIP provisions under the Clean Air Act 

(CAA or Act). 

DATES: This rule will be effective 

January 17, 2017. 

ADDRESSES: EPA has established a 

docket for this action under Docket 

Identification No. EPA–R04–OAR– 

2016–0359. All documents in the docket 

are listed on the www.regulations.gov 

Web site. Although listed in the index, 

some information is not publicly 

available, i.e., Confidential Business 

Information or other information whose 

disclosure is restricted by statute. 

Certain other material, such as 

copyrighted material, is not placed on 

the Internet and will be publicly 

available only in hard copy form. 

Publicly available docket materials are 

available either electronically through 

www.regulations.gov or in hard copy at 

the Air Regulatory Management Section, 

Air Planning and Implementation 

Branch, Air, Pesticides and Toxics 

Management Division, U.S. 

Environmental Protection Agency, 

Region 4, 61 Forsyth Street SW., 

Atlanta, Georgia 30303–8960. EPA 

requests that if at all possible, you 

contact the person listed in the FOR

FURTHER INFORMATION CONTACT section to 

schedule your inspection. The Regional 

Office’s official hours of business are 

Monday through Friday 8:30 a.m. to 

4:30 p.m., excluding Federal holidays. 

FOR FURTHER INFORMATION CONTACT: 

Madolyn Sanchez, Air Regulatory 

Management Section, Air Planning and 

Implementation Branch, Pesticides and 

Toxics Management Division, Region 4, 

U.S. Environmental Protection Agency, 

61 Forsyth Street SW., Atlanta, Georgia 

30303–8960. Ms. Sanchez can be 

reached via telephone at (404) 562–9644 

and via electronic mail at 

sanchez.madolyn@epa.gov. 

SUPPLEMENTARY INFORMATION: 

I. Background 

On May 22, 2015, EPA finalized an 

action (hereafter referred to as the ‘‘SSM 

SIP Action’’) 1 that responded to a Sierra 

Club petition for rulemaking concerning 

state rule treatment of excess emissions 

by sources during periods of SSM and 

called for 36 states to submit corrective 

SIP revisions to EPA by November 22, 

2016. As discussed in that action, EPA 

determined that Knox County 

Regulation 32.1(C) 2 is inconsistent with 

the fundamental requirements of CAA 

sections 113(e)(1), 114(c) and 304 and 

the credible evidence rule 3 and thus 

issued a SIP call requiring the State to 

submit a corrective SIP revision 

addressing this provision. See 80 FR 

33965. 

On January 11, 2016, the State of 

Tennessee submitted a SIP revision, 

pursuant to a request by the Knox 

County Department of Air Quality 

Management, to address the SSM SIP 

Action with respect to Knox County. 

The revision removes the language from 

Knox County Regulation 32.1(C) that 

EPA found to be unlawful in the SSM 

SIP Action and replaces it with 

‘‘(Reserved).’’ In a proposed rulemaking 

published on September 22, 2016 (81 FR 

65313), EPA proposed to approve that 


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