Federal Register / Vol. 62, No. 135 / Tuesday, July 15, 1997 / Rules and Regulations 37717

(2) In the case of a disabled Federal

law enforcement officer approved for

PSOB benefits under subpart A of this

part, applicants for assistance under this

subpart must submit birth or marriage

certificates or other proof of relationship

consistent with §§ 32.12 (spouse) and

32.13 (child), if such evidence had not

been submitted with respect to the

PSOB claim.

(c) The application shall describe the

program of education at an eligible

educational institution, and the

educational expenses for which

assistance is sought. A request for

assistance may be for prospective

assistance, for retroactive benefits

pursuant to § 32.35 (if applicable), or

both.

(d)(1) A request for prospective

assistance must be accompanied by a

certified copy of the official letter of

acceptance from the eligible educational

institution (on official letterhead) to the

dependent, accepting the applicant into

an educational program.

(2) The applicant also shall submit to

the Bureau, when it is available, the

schedule of classes in which the

applicant is enrolled, and which must

be consistent with the educational,

professional, or vocational objectives

stated in the application.

(e) An applicant may be represented

in any proceeding before the Bureau by

an attorney or other person authorized

to act on behalf of the applicant

pursuant to §§ 32.19 and 32.22.

§ 32.35 Retroactive benefits.

(a) Each dependent of a Federal law

enforcement officer killed in the line of

duty on or after May 1, 1992, shall be

eligible for assistance, on the same basis

and subject to the limitations of this

subpart, for each month in which the

dependent had pursued a program of

education at an eligible educational

institution.

(b) To be eligible for retroactive

benefits, the applicant must submit a

certified copy of transcripts from the

educational institution covering the

relevant time period. Absent compelling

justification, no application will be

accepted more than five years from the

last date the applicant pursued such

program of education.

(c) Subject to applicable limitations,

retroactive benefits shall be in addition

to prospective assistance provided

under this subpart. A dependent eligible

for retroactive benefits may choose to

waive such assistance and apply only

for prospective assistance under the

provisions of this subpart.

§ 32.36 Action on applications for

assistance.

(a) After examining the application for

prospective or retroactive assistance

under the provisions and limitations of

this subpart, and any additional relevant

information, the Bureau shall notify the

dependent in writing of the approval or

disapproval of the application.

(b) If the application is denied, in

whole or part, the Bureau shall explain

the reasons for the denial. A copy of the

decision, together with information as to

the right to an appeal, shall be mailed

to the applicant’s last known address.

§ 32.37 Determination of benefits.

(a)(1) Financial assistance under this

subpart shall consist of direct payments

to an eligible dependent and shall be

computed on the basis set forth in 38

U.S.C. 3532.

(2) The dependent’s status as a fulltime, three-quarter-time, half-time, or

less-than-half-time student will be

determined in accordance with the

requirements of, and must be certified

by, the eligible educational institution.

(b) In applying the limitations under

this subpart with respect to prospective

assistance, the Bureau shall consider

any retroactive benefits provided to the

dependent pursuant to § 32.35.

(c) Benefits payable under this

subpart shall be in addition to any other

benefit that may be due from any other

source, except that, if the FLEDA

assistance in combination with other

benefits would exceed the total

approved costs for the applicant’s

program of education, the assistance

under this subpart will be reduced by

the amount of such excess.

§ 32.38 Denial of benefits.

(a) No benefit shall be paid under this

subpart if the Bureau determines that

the dependent is not eligible for, is no

longer eligible for, or is not entitled to

the assistance for which application is

made. Without limitation, this will

include circumstances in which—

(1) The benefits would exceed the

applicable durational limits;

(2) A dependent child has exceeded

the age limit for benefits;

(3) The dependent has failed to

maintain satisfactory progress in the

selected program of education as

defined in § 32.32(i);

(4) The dependent is in default on any

student loan obtained through Title IV

of the Higher Education Act of 1965,

unless the assistance under this subpart

is used for repayment of the defaulted

loans and the applicant provides

evidence of this fact to the Bureau in the

form of an approved repayment plan; or

(5) The dependent is subject to a

denial of federal benefits under 21

U.S.C. 862.

(b) The Bureau shall deny benefits

under this subpart if—

(1) The educational institution

attended by the dependent fails to meet

a requirement for eligibility described in

§ 32.32(h);

(2) The dependent’s enrollment in or

pursuit of the selected program of

education would fail to meet the criteria

established in § 32.32(g); or

(3) The dependent already is qualified

by previous education or training for the

educational, professional or vocational

objective for which the program of

education is offered.

§ 32.39 Appeals.

An applicant may, within 30 days

after notification of denial, submit a

written appeal request to the Bureau.

Appeals will be handled consistent with

§ 32.24 and the appendix to this part,

except that such appeals shall not be

handled by oral hearing but will be

conducted through a record review by

an administrative hearing officer.

Provisions in § 32.24 and the appendix

to this part relating to oral hearings shall

not be applicable to appeals under this

subpart.

§ 32.40 Repayment.

In the event that the recipient of

financial assistance under this subpart

fails to maintain satisfactory progress, as

defined in § 32.32(i), or otherwise

become ineligible for assistance (other

than as a result of age or the expiration

of the time limit for assistance), the

dependent is liable for repayment of

funds awarded for prospective

assistance. The Director of the Bureau

may waive all or part of such

repayment, based on a consideration of

the circumstances and the hardship that

would result from such repayment.

Dated: July 10, 1997.

Richard H. Ward,

Deputy Director, Bureau of Justice Assistance.

[FR Doc. 97–18584 Filed 7–14–97; 8:45 am]

BILLING CODE 4410–18–P

PENSION BENEFIT GUARANTY

CORPORATION

29 CFR Part 4044

Allocation of Assets in SingleEmployer Plans; Interest Assumptions

for Valuing Benefits

AGENCY: Pension Benefit Guaranty

Corporation.

ACTION: Final rule.
37718 Federal Register / Vol. 62, No. 135 / Tuesday, July 15, 1997 / Rules and Regulations

SUMMARY: The Pension Benefit Guaranty

Corporation’s Regulation on Allocation

of Assets in Single-Employer Plans

prescribes interest assumptions for

valuing benefits under terminating

single-employer plans. This final rule

amends the regulation to adopt interest

assumptions for plans with valuation

dates in August 1997.

EFFECTIVE DATE: August 1, 1997.

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 (202–326–4179

for TTY and TDD).

SUPPLEMENTARY INFORMATION: The

PBGC’s Regulation on Allocation of

Assets in Single-Employer Plans (29

CFR part 4044) prescribes actuarial

assumptions for valuing plan benefits of

terminating single-employer plans

covered by title IV of the Employee

Retirement Income Security Act of 1974.

Among the actuarial assumptions

prescribed in part 4044 are interest

assumptions. These interest

assumptions are intended to reflect

current conditions in the financial and

annuity markets.

Two sets of interest assumptions are

prescribed, one set for the valuation of

benefits to be paid as annuities and one

set for the valuation of benefits to be

paid as lump sums. This amendment

adds to appendix B to part 4044 the

annuity and lump sum interest

assumptions for valuing benefits in

plans with valuation dates during

August 1997.

For annuity benefits, the interest

assumptions will be 6.10 percent for the

first 25 years following the valuation

date and 5.00 percent thereafter. The

annuity interest assumptions represent a

decrease (from those in effect for July

1997) of 0.20 percent for the first 25

years following the valuation date and

are otherwise unchanged. For benefits to

be paid as lump sums, the interest

assumptions to be used by the PBGC

will be 4.75 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. The lump sum interest

assumptions represent a decrease (from

those in effect for July 1997) of 0.50

percent for the period during which a

benefit is in pay status and for the seven

years directly preceding that period;

they are otherwise unchanged.

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 of

benefits in plans with valuation dates

during August 1997, 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).

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—ALLOCATION OF

ASSETS IN SINGLE-EMPLOYER

PLANS

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. In appendix B, a new entry is

added to Table I, and Rate Set 46 is

added to Table II, as set forth below.

The introductory text of each table is

republished for the convenience of the

reader and remains unchanged.

Appendix B to Part 4044—Interest Rates Used to Value Annuities and Lump Sums

TABLE I.—ANNUITY VALUATIONS

[This table sets forth, for each indicated calendar month, the interest rates (denoted by i1, i2, . . . , and referred to generally as it) assumed to be

in effect between specified anniversaries of a valuation date that occurs within that calendar month; those anniversaries are specified in the

columns adjacent to the rates. The last listed rate is assumed to be in effect after the last listed anniversary date.]

For valuation dates occurring in the month—

The values of it are:

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

* * * * * * *

August 1997 ........................................................................... .0610 1–25 .0500 >25 N/A N/A
Federal Register / Vol. 62, No. 135 / Tuesday, July 15, 1997 / Rules and Regulations 37719

TABLE II.—LUMP SUM VALUATIONS

[In using this table: (1) For benefits for which the participant or beneficiary is entitled to be in pay status on the valuation date, the immediate annuity rate shall apply; (2) For benefits for which the deferral period is y years (where y is an integer and 0<y≤n1), interest rate i1 shall apply

from the valuation date for a period of y years, and thereafter the immediate annuity rate shall apply; (3) For benefits for which the deferral

period is y years (where y is an integer and n1<y≤n1+n2), interest rate i2 shall apply from the valuation date for a period of y¥n1 years, interest rate i1 shall apply for the following n1 years, and thereafter the immediate annuity rate shall apply; (4) For benefits for which the deferral

period is y years (where y is an integer and y<n1+n2), interest rate i3 shall apply from the valuation date for a period of y¥n1¥n2 years, interest rate i2 shall apply for the following n2 years, interest rate i1 shall apply for the following n1 years, and thereafter the immediate annuity

rate shall apply.]

Rate set

For plans with a valuation

date Immediate

annuity rate

(percent)

Deferred annuities (percent)

On or after Before i1 i2 i3 n1 n2

* * * * * * *

46 08–1–97 09–1–97 4.75 4.00 4.00 4.00 7 8

Issued in Washington, D.C., on this 10th

day of July 1997.

John Seal,

Acting Executive Director, Pension Benefit

Guaranty Corporation.

[FR Doc. 97–18576 Filed 7–14–97; 8:45 am]

BILLING CODE 7708–01–P

DEPARTMENT OF DEFENSE

Department of the Navy

32 CFR Part 706

Certifications and Exemptions Under

the International Regulations for

Preventing Collisions at Sea, 1972

Amendment

AGENCY: Department of the Navy, DOD.

ACTION: Final rule.

SUMMARY: The Department of the Navy

is amending its certifications and

exemptions under the International

Regulations for Preventing Collisions at

Sea, 1972 (72 COLREGS), to reflect that

the Deputy Assistant Judge Advocate

General (Admiralty) of the Navy has

determined that USS ARLEIGH BURKE

(DDG 51) is a vessel of the Navy which,

due to its special construction and

purpose, cannot comply fully with

certain provisions of the 72 COLREGS

without interfering with its special

functions as a naval ship. The intended

effect of this rule is to warn mariners in

waters where 72 COLREGS apply.

EFFECTIVE DATE: June 23, 1997.

FOR FURTHER INFORMATION CONTACT:

Captain R.R. Pixa, JAGC, U.S. Navy,

Admiralty Counsel, Office of the Judge

Advocate General, Navy Department,

200 Stovall Street, Alexandria, VA

22332–2400, Telephone number: (703)

325–9744.

SUPPLEMENTARY INFORMATION: Pursuant

to the authority granted in 33 U.S.C.

1605, the Department of the Navy

amends 32 CFR Part 706. This

amendment provides notice that the

Deputy Assistant Judge Advocate

General (Admiralty) of the Navy, under

authority delegated by the Secretary of

the Navy, has certified that USS

ARLEIGH BURKE (DDG 51) is a vessel

of the Navy which, due to its special

construction and purpose, cannot

comply fully with the following specific

provision of 72 COLREGS without

interfering with its special function as a

naval ship: Annex I, paragraph 3(a),

pertaining to the location of the forward

masthead light in the forward quarter of

the ship, the placement of the after

masthead light, and the horizontal

distance between the forward and after

masthead lights. The Deputy Assistant

Judge Advocate General (Admiralty) has

also certified that the lights involved are

located in closest possible compliance

with the applicable 72 COLREGS

requirements.

Moreover, it has been determined, in

accordance with 32 CFR Parts 296 and

701, that publication of this amendment

for public comment prior to adoption is

impracticable, unnecessary, and

contrary to public interest since it is

based on technical findings that the

placement of lights on this vessel in a

manner differently from that prescribed

herein will adversely affect the vessel’s

ability to perform its military functions.

List of Subjects in 32 CFR Part 706

Marine safety, Navigation (water),

Vessels.

Accordingly, 32 CFR Part 706 is

amended as follows:

PART 706—[AMENDED]

1. The authority citation for 32 CFR

part 706 continues to read as follows:

Authority: 33 U.S.C. 1605.

2. Table Five of § 706.2 is amended by

revising the entry for the USS ARLEIGH

BURKE to read as follows:

§ 706.2 Certifications of the Secretary of

the Navy under Executive Order 11964 and

33 U.S.C. 1605.

* * * * *

TABLE FIVE

Vessel No.

Masthead lights

not over all other

lights and obstructions. Annex

I, sec. 2(f)

Forward masthead light not in

forward quarter of

ship. Annex I,

sec. 3(a)

After masthead

light less than 1⁄2

ship’s length aft

of forward masthead light. Annex

I, sec. 3(a)

Percentage

horizontal

separation attained

* * * * * * *

USS ARLEIGH BURKE ................................................. DDG 51 X X X 19.0

* * * * * * *