1 

PBGC Retrospective Review Plan Report 

January 9, 2012 

Agency RIN 

/OMB 

Control 

Number

Title of 

Initiative/ 

Rule/ICR

Brief Description Actual or 

Target 

Completion 

Date 

Anticipated savings in costs and/or 

information collection burdens, together 

with any anticipated changes in benefits 

(please quantify, to the extent feasible, and 

also specify baseline, time horizon, and 

affected groups)

Progress updates and 

anticipated 

accomplishments 

PBGC 1212-

AB06

Reportable 

Events; 

Pension 

Protection Act 

of 2006

ERISA section 4043 requires 

that plan administrators and 

sponsors notify PBGC of the 

occurrence of certain events that 

may signal problems with a 

pension plan or business. In 

response to Executive Order 

13563 and comments on its 

November 2009 proposed rule 

on Reportable Events, PBGC 

intends to re-propose, with an 

emphasis toward reducing 

unnecessary burdens on 

employers and plans.

Target date 

for NPRM 

(re-proposal)

March 2012. 

For fiscal year 2010, PBGC received 

approximately1,000 reportable event filings 

and estimates that the total burden for all 

respondents was 6,500 hours and $2.3 

million. PBGC expects the new proposal will 

reduce burden for low-risk sponsors and 

plans, while targeting plans that present 

higher risk. 

NPRM being reviewed 

by Treasury/Labor/

Commerce. Expect to 

send to OMB this 

month. 

PBGC 1212-

AB20

Liability for 

Termination of 

SingleEmployer 

Plans; 

Treatment of 

Substantial 

Cessation of 

Operations; 

ERISA section 

4062(e) 

The statute provides for 

reporting of and liability for 

certain substantial cessations of 

operations by employers that 

maintain single-employer plans. 

In light of comments on its 2010 

proposed rule on the 

applicability and enforcement of 

ERISA section 4062(e), PBGC 

intends to repropose. PBGC is 

considering reducing the 

reporting burden and tying 

4062(e) to risk through the same 

approaches being considered for 

reportable events.

Target date 

for NPRM 

(re-proposal)

June 2012. 

PBGC is analyzing the potential savings

from a re-proposal. 

NPRM in

development. 

PBGC is considering 

changes in how 

resources are directed

within the 4062(e) 

enforcement program, 

in order to focus on 

the real threats to the 

retirement security of 

people in traditional 

pension plans.
 

2 

PBGC Premium

Penalty Relief; 

Alternative 

Premium 

Funding Target 

Election Relief

In response to public comments, 

PBGC provided relief from 

certain premium penalties and in 

certain situations involving 

alternative premium funding 

target elections. 

Policy 

statement 

published 

September 

14, 2011, 

http://www.p

bgc.gov/docu

ments/2011-

23692.pdf

Under the policy statement’s “seven day 

rule” (for 2011 and later plan years, PBGC 

will waive premium penalties assessed solely 

because payments are late by not more than 

seven calendar days), to date PBGC has 

automatically waived more than $337,000 in 

premium penalties. There was also a savings 

in administrative burden to PBGC. 

Action completed.

PBGC Small plan 

premium relief

In response to public comments, 

PBGC is considering changing 

filing deadlines and/or

streamlining valuation 

procedures for small plans.

Any changes 

would be 

effective no 

earlier than 

for 2013 plan 

years.

Expected benefits would be reduced actuarial 

fees and reduced burden of meeting a filing 

deadline that may occur before completion of 

actuarial valuation for funding purposes. 

Possible regulatory

changes under 

consideration. Review 

expected to be 

complete March 2012.

PBGC Voluntary 

correction 

program for 

premium filers

PBGC is considering a voluntary 

correction program for certain 

premium filers (e.g., first time 

filers). 

Target date 

for policy 

statement

TBD

Benefits would include more effective 

enforcement and earlier compliance, 

resulting in producing premium revenue 

more quickly, and reducing penalty costs for 

plan sponsors. 

Possible regulatory

changes under 

consideration. Review 

expected to be 

complete March 2012.

PBGC 1212-

AB04

Rules for 

Administrative 

Review of 

Agency 

Decisions 

(29 CFR part 

4003) 

Amendment of Rules for 

Administrative Review of 

Agency Decisions (part 4003) to 

cover information penalties 

under ERISA section 4071 and 

29 CFR part 4071. 

Target date 

for final rule 

February 

2012.

This change will promote uniformity and 

transparency in PBGC’s procedures for 

making and reviewing determinations.

Final rule under 

review. Expect to 

publish February 

2012. 

PBGC Termination of 

Multiemployer 

Plans 

(29 CFR part 

4041A) 

When a multiemployer plan 

terminates, the plan must 

perform an annual valuation of 

the plan’s assets and benefits 

under regulations 4041A.24(a) 

and 4281.11(a). PBGC has 

reviewed the regulation to 

determine whether annual 

valuation requirements may be 

reduced for certain plans.

Target date 

for NPRM 

TBD. 

Based on PBGC’s experience, the average

annual cost per plan of such annual valuation

is about $25,000. If these costs were

incurred every three years rather than every 

year, the estimated annual savings would be 

about $500,000.

Review completed; 

NPRM in 

development. 
 

3 

PBGC Duties of plan 

sponsor 

following mass 

withdrawal (29 

CFR part 

4281) 

Terminated multiemployer plans 

that determine that they will be 

insolvent for a plan year must 

file a series of notices and 

updates to notices under 29 CFR 

§§ 4281.43 - 4281.46. These 

notice requirements can be 

detrimental to plan participants 

because they may use up assets 

that would be available to pay 

plan benefits. 

Target date 

for NPRM 

TBD. 

Streamlining of process may preserve plan 

assets for participant benefits. 

Review completed; 

NPRM in 

development. 

PBGC 1212–

AA69

Mergers and 

transfers 

between 

multiemployer 

plans 

(29 CFR part 

4231)

Multiemployer plans must file 

certain information with PBGC. 

Multiemployer plan mergers do 

not pose any increase in the risk 

of loss to PBGC or to plan 

participants. These filing 

requirements increase 

administrative costs to PBGC 

and plans and create an 

unnecessary burden in 

completing the merger. 

Target date 

for NPRM 

TBD. 

Streamlining and reforming notification 

process may reduce administrative costs to 

both PBGC and plans and help facilitate 

transactions that have the effect of 

strengthening multiemployer plans, thereby

preserving benefits for participants and 

removing barriers to business transactions. 

Review completed; 

NPRM in 

development. 

PBGC 1212-

AB12

Disclosure to 

Participants 

(29 CFR part 

4011)

Removal of PBGC’s regulation 

on Disclosure to Participants, 

which became obsolete as a 

result of the Pension Protection 

Act of 2006.

Final rule 

published 

July 29, 2011, 

http://www.p

bgc.gov/docu

ments/2011-

19182.pdf

The elimination of this regulation will reduce 

the amount of time and cost spent on 

identifying items that plan sponsors need to 

comply with.

Action completed.