Federal Register / Vol. 69, No. 230 / Wednesday, December 1, 2004 / Rules and Regulations 69821

29 CFR Part 4022

Pension insurance, Pensions, 

Reporting and recordkeeping 

requirements.

■ In consideration of the foregoing, 29 

CFR parts 4011 and 4022 are amended as 

follows:

PART 4011—DISCLOSURE TO 

PARTICIPANTS

■ 1. The authority citation for part 4011 

continues to read as follows:

Authority: 29 U.S.C. 1302(b)(3), 1311.

■ 2. Appendix B to part 4011 is amended 

by adding a new entry in numerical order 

to the table to read as follows.

APPENDIX B TO PART 4011—TABLE OF MAXIMUM GUARANTEED BENEFITS

If a plan

terminates in—

The maximum guaranteed benefit for an individual starting to receive benefits at the age listed below is the amount

(monthly or annual)

listed below: 

Age 65 Age 62 Age 60 Age 55

Monthly Annual Monthly Annual Monthly Annual Monthly Annual 

*******

2005 .................. $3,801.14 $45,613.68 $3,002.90 $36,034.80 $2,470.74 $29,648.88 $1,710.51 $20,526.12

* * * * *

PART 4022—BENEFITS PAYABLE IN 

TERMINATED SINGLE-EMPLOYER 

PLANS

■ 3. 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.

■ 4. Appendix D to part 4022 is amended 

by adding a new entry to the table to read 

as follows. The introductory text is 

reproduced for the convenience of the 

reader and remains unchanged.

Appendix D to Part 4022—Maximum 

Guaranteeable Monthly Benefit 

The following table lists by year the 

maximum guaranteeable monthly benefit 

payable in the form of a life annuity 

commencing at age 65 as described by 

§ 4022.22(b) to a participant in a plan that 

terminated in that year:

Year 

Maximum

guaranteeable 

monthly benefit 

*****

2005 .................................... $3,801.14

Issued in Washington, DC, this 23rd day of 

November, 2004. 

Joseph H. Grant, 

Deputy Executive Director and Chief 

Operating Officer, Pension Benefit Guaranty 

Corporation.

[FR Doc. 04–26428 Filed 11–30–04; 8:45 am] 

BILLING CODE 7708–01–P

PENSION BENEFIT GUARANTY 

CORPORATION 

29 CFR Part 4044

Allocation of Assets in SingleEmployer Plans; Valuation of Benefits 

and Assets; Expected Retirement Age

AGENCY: Pension Benefit Guaranty 

Corporation.

ACTION: Final rule.

SUMMARY: This rule amends the Pension 

Benefit Guaranty Corporation’s 

regulation on Allocation of Assets in 

Single-Employer Plans by substituting a 

new table that applies to any plan being 

terminated either in a distress 

termination or involuntarily by the 

PBGC with a valuation date falling in 

2005, and is used to determine expected 

retirement ages for plan participants. 

This table is needed in order to compute 

the value of early retirement benefits 

and, thus, the total value of benefits 

under the plan.

EFFECTIVE DATE: January 1, 2005.

FOR FURTHER INFORMATION CONTACT:

Harold J. Ashner, Assistant General 

Counsel, Office of the General Counsel, 

Pension Benefit Guaranty Corporation, 

1200 K Street, NW., Washington, DC 

20005–4026; 202–326–4024. (TTY/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: The 

PBGC’s regulation on Allocation of 

Assets in Single-Employer Plans (29 

CFR part 4044) sets forth (in subpart B) 

the methods for valuing plan benefits of 

terminating single-employer plans 

covered under Title IV of the Employee 

Retirement Income Security Act of 1974. 

Under ERISA section 4041(c), 

guaranteed benefits and benefit 

liabilities under a plan that is 

undergoing a distress termination must 

be valued in accordance with part 4044, 

subpart B. In addition, when the PBGC 

terminates an underfunded plan 

involuntarily pursuant to ERISA Section 

4042(a), it uses the subpart B valuation 

rules to determine the amount of the 

plan’s underfunding. 

Under § 4044.51(b), early retirement 

benefits are valued based on the annuity 

starting date, if a retirement date has 

been selected, or the expected 

retirement age, if the annuity starting 

date is not known on the valuation date. 

Sections 4044.55 through 4044.57 set 

forth rules for determining the expected 

retirement ages for plan participants 

entitled to early retirement benefits. 

Appendix D of part 4044 contains tables 

to be used in determining the expected 

early retirement ages. 

Table I in appendix D (Selection of 

Retirement Rate Category) is used to 

determine whether a participant has a 

low, medium, or high probability of 

retiring early. The determination is 

based on the year a participant would 

reach ‘‘unreduced retirement age’’ (i.e., 

the earlier of the normal retirement age 

or the age at which an unreduced 

benefit is first payable) and the 

participant’s monthly benefit at 

unreduced retirement age. The table 

applies only to plans with valuation 

dates in the current year and is updated 

annually by the PBGC to reflect changes 

in the cost of living, etc. 

Tables II–A, II–B, and II–C (Expected 

Retirement Ages for Individuals in the 

Low, Medium, and High Categories 

respectively) are used to determine the 

expected retirement age after the 

probability of early retirement has been 

determined using Table I. These tables 

establish, by probability category, the

69822 Federal Register / Vol. 69, No. 230 / Wednesday, December 1, 2004 / Rules and Regulations 

expected retirement age based on both 

the earliest age a participant could retire 

under the plan and the unreduced 

retirement age. This expected retirement 

age is used to compute the value of the 

early retirement benefit and, thus, the 

total value of benefits under the plan. 

This document amends appendix D to 

replace Table I–04 with Table I–05 in 

order to provide an updated correlation, 

appropriate for calendar year 2005, 

between the amount of a participant’s 

benefit and the probability that the 

participant will elect early retirement. 

Table I–05 will be used to value benefits 

in plans with valuation dates during 

calendar year 2005. 

The PBGC has determined that notice 

of and public comment on this rule are 

impracticable and contrary to the public 

interest. Plan administrators need to be 

able to estimate accurately the value of 

plan benefits as early as possible before 

initiating the termination process. For 

that purpose, if a plan has a valuation 

date in 2005, the plan administrator 

needs the updated table being 

promulgated in this rule. Accordingly, 

the public interest is best served by 

issuing this table expeditiously, without 

an opportunity for notice and comment, 

to allow as much time as possible to 

estimate the value of plan benefits with 

the proper table for plans with valuation 

dates in early 2005. 

The 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 

regulation, the Regulatory Flexibility 

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

601(2)).

List of Subjects in 29 CFR Part 4044

Pension insurance, Pensions.

■ In consideration of the foregoing, 29 

CFR part 4044 is amended as follows:

PART 4044—[AMENDED]

■ 1. The authority citation for part 4044 

continues to read as follows:

Authority: 29 U.S.C. 1301(a), 1302(b)(3), 

1341, 1344, 1362.

■ 2. Appendix D to part 4044 is amended 

by removing Table I–04 and adding in its 

place Table I–05 to read as follows:

Appendix D to Part 4044—Tables Used 

To Determine Expected Retirement Age

TABLE I–05.—SELECTION OF RETIREMENT RATE CATEGORY

[For Plans with valuation dates after December 31, 2004, and before January 1, 2006] 

Participant reaches URA in year—

Participant’s retirement rate category is—

Low 1 if 

monthly benefit at URA is 

less than—

Medium 2 if monthly benefit at 

URA is 

High 3 if 

monthly benefit at URA is 

greater 

From To than—

2006 ......................................................................................................................... 477 477 2,018 2,018

2007 ......................................................................................................................... 486 486 2,056 2,056

2008 ......................................................................................................................... 497 497 2,102 2,102

2009 ......................................................................................................................... 509 509 2,154 2,154

2010 ......................................................................................................................... 522 522 2,208 2,208

2011 ......................................................................................................................... 535 535 2,263 2,263

2012 ......................................................................................................................... 549 549 2,320 2,320

2013 ......................................................................................................................... 562 562 2,378 2,378

2014 ......................................................................................................................... 576 576 2,437 2,437

2015 or later ............................................................................................................ 591 591 2,498 2,498

1Table II–A. 2Table II–B. 3Table II–C. 

* * * * *

Issued in Washington, DC, this 23rd day of 

November, 2004. 

Joseph H. Grant, 

Deputy Executive Director and Chief 

Operating Officer, Pension Benefit Guaranty 

Corporation.

[FR Doc. 04–26429 Filed 11–30–04; 8:45 am] 

BILLING CODE 7708–01–P

LIBRARY OF CONGRESS

Copyright Office

37 CFR Part 253

[Docket No. 2004–8 CARP NCBRA]

Cost of Living Adjustment for 

Performance of Musical Compositions 

by Colleges and Universities

AGENCY: Copyright Office, Library of 

Congress.

ACTION: Final rule.

SUMMARY: The Copyright Office of the 

Library of Congress announces a cost of 

living adjustment of 3.2% in the royalty 

rates paid by colleges, universities, or 

other nonprofit educational institutions 

that are not affiliated with National 

Public Radio for the use of copyrighted 

published nondramatic musical 

compositions in the BMI, ASCAP and 

SESAC repertoires. The cost of living 

adjustment is based on the change in the 

Consumer Price Index from October, 

2003 to October, 2004.

DATES: January 1, 2005.

FOR FURTHER INFORMATION CONTACT:

Tanya M. Sandros, Associate General 

Counsel, Copyright Arbitration Royalty 

Panel, P.O. Box 70977, Southwest 

Station, Washington, D.C. 20024. 

Telephone: (202) 707–8380. Telefax: 

(202) 252–3423.

SUPPLEMENTARY INFORMATION: Section 

118 of the Copyright Act, 17 U.S.C., 

creates a compulsory license for the use 

of published nondramatic musical 

works and published pictorial, graphic, 

and sculptural works in connection 

with noncommercial broadcasting. 

Terms and rates for this compulsory 

license, applicable to parties who are