Federal Register / Vol. 67, No. 178 / Friday, September 13, 2002 / Rules and Regulations 57949

(2) If you have failed to include all 

necessary information, CSOSA/PSA will 

return your claim to you with a request 

for the necessary additional 

information. 

(3) If your claim should have been 

filed with another agency, CSOSA/PSA 

will forward the claim to the 

appropriate agency and notify you of the 

transfer, or return the claim to you if the 

appropriate agency cannot be 

determined or if the transfer is 

otherwise not feasible. 

(b) Who is responsible for offering 

settlement or denial on the claim? The 

General Counsel is responsible for 

investigating the claim and, after 

consultation with PSA (if the claim is 

against PSA) and the Department of 

Justice when appropriate, determining 

whether the claim should be settled or 

denied. 

(c) How long does CSOSA/PSA have 

to consider your claim? CSOSA/PSA has 

6 months from the date of filing to make 

a settlement offer or to deny your claim. 

If you amend your claim (see § 801.2(e)) 

or request that your claim be 

reconsidered (see § 801.4(b)(1)), CSOSA/

PSA has an additional 6 months from 

the date of the amendment or the filing 

of the request for reconsideration to 

make a final disposition of the claim. 

(d) Will appreciation or depreciation 

be considered? Yes, appreciation or 

depreciation is considered in settling a 

claim for lost or damaged property.

§ 801.4 Final disposition of claim. 

(a) What if you accept the settlement 

offer? If you accept a settlement offer, 

you give up your right to bring a lawsuit 

against the United States or against any 

employee of the government whose 

action or lack of action gave rise to your 

claim. 

(b) What if your claim is denied? (1) 

If your claim is denied, you have 30 

days from the date of CSOSA/PSA’s 

written notification to make a written 

request that the agency reconsider the 

denial. 

(2) If your claim is denied or you 

reject the settlement offer, you have 6 

months from the date of mailing of 

CSOSA/PSA’s notice of denial to file a 

civil action in the appropriate U.S. 

District Court. 

(c) What if you do not hear from 

CSOSA/PSA within 6 months of the 

filing date? If you do not hear from 

CSOSA/PSA within 6 months of the 

filing date for the claim, you may 

consider your claim denied. You may 

then proceed with filing a civil action in 

the appropriate U.S. District Court.

[FR Doc. 02–23375 Filed 9–12–02; 8:45 am] 

BILLING CODE 3129–01–P

PENSION BENEFIT GUARANTY 

CORPORATION 

29 CFR Parts 4022 and 4044 

Benefits Payable in Terminated SingleEmployer Plans; Allocation of Assets 

in Single-Employer Plans; Interest 

Assumptions for Valuing and Paying 

Benefits

AGENCY: Pension Benefit Guaranty 

Corporation.

ACTION: Final rule.

SUMMARY: The Pension Benefit Guaranty 

Corporation’s regulations on Benefits 

Payable in Terminated Single-Employer 

Plans and Allocation of Assets in 

Single-Employer Plans prescribe interest 

assumptions for valuing and paying 

benefits under terminating singleemployer plans. This final rule amends 

the regulations to adopt interest 

assumptions for plans with valuation 

dates in October 2002. Interest 

assumptions are also published on the 

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

EFFECTIVE DATE: October 1, 2002.

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, 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 regulations prescribe actuarial 

assumptions—including interest 

assumptions—for valuing and paying 

plan benefits of terminating singleemployer plans covered by title IV of 

the Employee Retirement Income 

Security Act of 1974. The interest 

assumptions are intended to reflect 

current conditions in the financial and 

annuity markets. 

Three sets of interest assumptions are 

prescribed: (1) A set for the valuation of 

benefits for allocation purposes under 

section 4044 (found in Appendix B to 

Part 4044), (2) a set for the PBGC to use 

to determine whether a benefit is 

payable as a lump sum and to determine 

lump-sum amounts to be paid by the 

PBGC (found in appendix B to part 

4022), and (3) a set for private-sector 

pension practitioners to refer to if they 

wish to use lump-sum interest rates 

determined using the PBGC’s historical 

methodology (found in appendix C to 

part 4022). 

Accordingly, this amendment (1) adds 

to appendix B to part 4044 the interest 

assumptions for valuing benefits for 

allocation purposes in plans with 

valuation dates during October 2002, (2) 

adds to appendix B to part 4022 the 

interest assumptions for the PBGC to 

use for its own lump-sum payments in 

plans with valuation dates during 

October 2002, and (3) adds to appendix 

C to part 4022 the interest assumptions 

for private-sector pension practitioners 

to refer to if they wish to use lump-sum 

interest rates determined using the 

PBGC’s historical methodology for 

valuation dates during October 2002. 

For valuation of benefits for allocation 

purposes, the interest assumptions that 

the PBGC will use (set forth in appendix 

B to part 4044) will be 5.30 percent for 

the first 25 years following the valuation 

date and 4.25 percent thereafter. These 

interest assumptions represent a 

decrease (from those in effect for 

September 2002) of 0.10 percent for the 

first 25 years following the valuation 

date and are otherwise unchanged. 

The interest assumptions that the 

PBGC will use for its own lump-sum 

payments (set forth in appendix B to 

part 4022) will be 4.00 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. These interest assumptions 

represent a decrease (from those in 

effect for September 2002) of 0.25 

percent for the period during which a 

benefit is in pay status and are 

otherwise unchanged. 

For private-sector payments, the 

interest assumptions (set forth in 

appendix C to part 4022) will be the 

same as those used by the PBGC for 

determining and paying lump sums (set 

forth in Appendix B to part 4022). 

The 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, as 

accurately as possible, current market 

conditions. 

Because of the need to provide 

immediate guidance for the valuation 

and payment of benefits in plans with 

valuation dates during October 2002, 

the PBGC finds that good cause exists 

for making the assumptions set forth in 

this amendment effective less than 30 

days after publication. 

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 

amendment, the Regulatory Flexibility 

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

601(2).

57950 Federal Register / Vol. 67, No. 178 / Friday, September 13, 2002 / Rules and Regulations 

List of Subjects 

29 CFR Part 4022 

Employee benefit plans, Pension 

insurance, Pensions, Reporting and 

recordkeeping requirements. 

29 CFR Part 4044 

Employee benefit plans, Pension 

insurance, Pensions.

In consideration of the foregoing, 29 

CFR parts 4022 and 4044 are 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 

108, as set forth below, is added to the 

table. (The introductory text of the table 

is omitted.) 

Appendix B to Part 4022—Lump Sum 

Interest Rates for PBGC 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

* * * * * * * 

108 .................................................................................. 10–1–02 11–1–02 4.00 4.00 4.00 4.00 7 8 

3. In appendix C to part 4022, Rate Set 

108, as set forth below, is added to the 

table. (The introductory text of the table 

is omitted.) 

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

* * * * * * * 

108 .................................................................................. 10–1–02 11–1–02 4.00 4.00 4.00 4.00 7 8 

PART 4044—ALLOCATION OF 

ASSETS IN SINGLE-EMPLOYER 

PLANS 

4. The authority citation for part 4044 

continues to read as follows:

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

1341, 1344, 1362.

5. In appendix B to part 4044, a new 

entry, as set forth below, is added to the 

table. (The introductory text of the table 

is omitted.) 

Appendix B to Part 4044—Interest 

Rates Used To Value Benefits

For valuation dates occurring in the month— 

The values of it are: 

it for t = it for t = it for t = 

* * * * * * * 

October 2002 ................................................................................ .0530 1–25 .0425 >25 N/A N/A 

Issued in Washington, DC, on this 6th day 

of September, 2002. 

Joseph H. Grant, 

Deputy Executive Director and Chief 

Operating Officer, Pension Benefit Guaranty 

Corporation.

[FR Doc. 02–23346 Filed 9–12–02; 8:45 am] 

BILLING CODE 7708–01–P

DEPARTMENT OF TRANSPORTATION

Coast Guard 

33 CFR Part 100 

[CGD05–02–064] 

RIN 2115–AE46 

Special Local Regulations for Marine 

Events; James River, Jamestown to 

Scotland, VA

AGENCY: Coast Guard, DOT.

ACTION: Temporary final rule.

SUMMARY: The Coast Guard is 

establishing temporary special local 

regulations during the ‘‘John Randolph 

Memorial James River Swim’’, a marine 

event to be held September 22, 2002 on 

the waters of the James River, between 

Jamestown and Scotland, Virginia. 

These special local regulations are 

necessary to provide for the safety of life 

on navigable waters during the event. 

This action is intended to temporarily 

restrict vessel traffic in a portion of the 

James River between Jamestown and 

Scotland, Virginia during the event.

DATES: This rule is effective from 9:45 

a.m. to 1:15 p.m. on September 22, 

2002.

ADDRESSES: Documents indicated in this 

preamble as being available in the 

docket, are part of docket CGD05–02–

064 and are available for inspection or 

copying at Commander (Aoax), Fifth 

Coast Guard District, 431 Crawford