72076 Federal Register / Vol. 70, No. 230 / Thursday, December 1, 2005 / Rules and Regulations 

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 

2006, 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, 2006. 

FOR FURTHER INFORMATION CONTACT: 

Catherine B. Klion, Attorney, Legislative 

and Regulatory Department, Pension 

Benefit Guaranty Corporation, 1200 K 

Street, NW., Washington, DC 20005–

4026; 202–326–4024. (TTY/TDD users 

may call the Federal relay service tollfree 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) of the asset 

allocation regulation, 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 

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–05 with Table I–06 in 

order to provide an updated correlation, 

appropriate for calendar year 2006, 

between the amount of a participant’s 

benefit and the probability that the 

participant will elect early retirement. 

Table I–06 will be used to value benefits 

in plans with valuation dates during 

calendar year 2006. 

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 2006, 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 2006. 

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–05 and 

adding in its place Table I–06 to read as 

follows: 

Appendix D to Part 4044—Tables Used 

To Determine Expected Retirement Age 

TABLE I–06.—SELECTION OF RETIREMENT RATE CATEGORY

[For plans with valuation dates after December 31, 2005, and before January 1, 2007] 

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 is greater 

From To than—

2007 ......................................................................................... 500 500 2,113 2,113 

2008 ......................................................................................... 512 512 2,164 2,164 

2009 ......................................................................................... 524 524 2,216 2,216 

2010 ......................................................................................... 536 536 2,269 2,269 

2011 ......................................................................................... 549 549 2,324 2,324 

2012 ......................................................................................... 562 562 2,379 2,379 

2013 ......................................................................................... 576 576 2,437 2,437 

Federal Register / Vol. 70, No. 230 / Thursday, December 1, 2005 / Rules and Regulations 72077 

TABLE I–06.—SELECTION OF RETIREMENT RATE CATEGORY—Continued 

[For plans with valuation dates after December 31, 2005, and before January 1, 2007] 

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 is greater 

From To than—

2014 ......................................................................................... 590 590 2,495 2,495 

2015 ......................................................................................... 604 604 2,555 2,555 

2016 or later ............................................................................ 618 618 2,616 2,616 

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

* * * * * 

Issued in Washington, DC, this 16th day of 

November, 2005. 

Vincent K. Snowbarger, 

Deputy Executive Director, Pension Benefit 

Guaranty Corporation. 

[FR Doc. 05–23516 Filed 11–30–05; 8:45 am] 

BILLING CODE 7708–01–P 

LIBRARY OF CONGRESS 

Copyright Royalty Board 

37 CFR Part 253 

[Docket No. 2005–6 CRB NCBRA] 

Cost of Living Adjustment for 

Performance of Musical Compositions 

by Colleges and Universities 

AGENCY: Copyright Royalty Board, 

Library of Congress. 

ACTION: Final rule. 

SUMMARY: The Copyright Royalty Board 

of the Library of Congress announces a 

cost of living adjustment of 4.3% 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 

2004 to October 2005. 

DATES: January 3, 2006. 

FOR FURTHER INFORMATION CONTACT: 

William J. Roberts, Jr., Senior Attorney, 

or Abioye E. Oyewole, CRB Program 

Specialist, Copyright Royalty Board 

(CRB), P.O. Box 70977, Southwest 

Station, Washington, DC 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 

not subject to privately negotiated 

licenses, are published in 37 CFR part 

253 and are subject to adjustment at 

five-year intervals. 17 U.S.C. 118 (c). 

The most recent proceeding to 

consider the terms and rates for the 

section 118 license occurred in 2002. 67 

FR 15414 (April 1, 2002). Final 

regulations governing the terms and 

rates of copyright royalty payments with 

respect to certain uses by public 

broadcasting entities of published 

nondramatic musical works, and 

published pictorial, graphic, and 

sculptural works for the license period 

beginning January 1, 2003, and ending 

December 31, 2007, were published in 

the Federal Register on December 17, 

2002. 67 FR 77170 (December 17, 2002). 

Pursuant to these regulations, on 

December 1 of each year the Librarian 

shall publish a notice of the change in 

the cost of living as determined by the 

Consumer Price Index (all consumers, 

all items) during the period from the 

most recent Index published prior to the 

previous notice, to the most recent 

Index published prior to December 1 of 

that year. 37 CFR 253.10 (a). The 

regulations also require that the 

Librarian publish a revised schedule of 

rates for the public performance of 

musical compositions in the ASCAP, 

BMI, and SESAC repertoires by public 

broadcasting entities licensed to 

colleges and universities, reflecting the 

change in the Consumer Price Index. 37 

CFR 253.10 (b). Accordingly, the 

Copyright Royalty Board of the Library 

of Congress is hereby announcing the 

change in the Consumer Price Index and 

performing the annual cost of living 

adjustment to the rates set out in § 253.5 

(c). 

The change in the cost of living as 

determined by the Consumer Price 

Index (all consumers, all items) during 

the period from the most recent Index 

published before December 1, 2004, to 

the most recent Index published before 

December 1, 2005, is 4.3% (2004’s figure 

was 190.9; the figure for 2004 is 199.2, 

based on 1982–1984 = 100 as a reference 

base). Rounding off to the nearest dollar, 

the royalty rates for the use of musical 

compositions in the repertories of 

ASCAP, BMI, and SESAC are $273, 

$273, and $89 respectively. 

List of Subjects in 37 CFR Part 253 

Copyright, Radio, Television. 

Final Regulations 

■ For the reasons set forth in the 

preamble, the Copyright Royalty Board 

amends 37 CFR part 253 as follows: 

PART 253—USE OF CERTAIN 

COPYRIGHTED WORKS IN 

CONNECTION WITH 

NONCOMMERCIAL EDUCATIONAL 

BROADCASTING 

■ 1. The authority citation for part 253 

continues to read as follows: 

Authority: 17 U.S.C. 118, 801(b)(1) and 

803. 

§ 253.5 [Amended] 

■ 2. Section 253.5 (c) (1) is amended by 

removing ‘‘$262’’ and adding ‘‘$273’’ in 

its place. 

§ 253.5 [Amended] 

■ 3. Section 253.5 (c) (2) is amended by 

removing ‘‘$262’’ and adding ‘‘$273’’ in 

its place. 

§ 253.5 [Amended] 

■ 4. Section 253.5 (c) (3) is amended by 

removing ‘‘$85’’ and adding ‘‘$89’’ in its 

place. 

Dated: November 28, 2005. 

Bruce G. Forrest, 

Interim Chief Copyright Royalty Judge. 

[FR Doc. 05–23548 Filed 11–30–05; 8:45 am] 

BILLING CODE 1410–72–P