Federal Register / Vol. 73, No. 221 / Friday, November 14, 2008 / Rules and Regulations 67389 

Authority: 26 U.S.C. 7805 * * * 

■ Par. 2. Section 1.1367–2(e) is 

amended by revising the title of 

paragraph Example 6. 

and the first sentence of paragraph 

Example 7.(i) to read as follows: 

§ 1.1367–2 Adjustments to basis of 

indebtedness to shareholder. 

* * * * * 

(e) * * * 

Example 6. The $25,000 aggregate 

principal amount applies to each 

shareholder. * * * 

* * * * * 

Example 7. * * * 

(i) The facts are the same as in Example 6, 

in addition to which, on December 31, 2009, 

A’s basis in the open account debt is reduced 

under paragraph (b) of this section to $8,000. 

* * * 

* * * * * 

LaNita Van Dyke, 

Chief, Publications and Regulations Branch, 

Legal Processing Division, Associate Chief 

Counsel (Procedure and Administration). 

[FR Doc. E8–27024 Filed 11–13–08; 8:45 am] 

BILLING CODE 4830–01–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 December 2008. Interest 

assumptions are also published on the 

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

DATES: Effective December 1, 2008. 

FOR FURTHER INFORMATION CONTACT: 

Catherine B. Klion, Manager, Regulatory 

and Policy Division, Legislative and 

Regulatory Department, Pension Benefit 

Guaranty Corporation, 1200 K Street, 

NW., Washington, DC 20005, 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 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). 

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 December 2008, 

(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 

December 2008, 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 

December 2008. 

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 7.92 

percent for the first 20 years following 

the valuation date and 6.99 percent 

thereafter. These interest assumptions 

represent an increase (from those in 

effect for November 2008) of 0.83 

percent for the first 20 years following 

the valuation date and 0.83 percent for 

all years thereafter. 

The interest assumptions that the 

PBGC will use for its own lump-sum 

payments (set forth in Appendix B to 

part 4022) will be 4.75 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. These interest assumptions 

represent an increase (from those in 

effect for November 2008) of 1.00 

percent in the immediate annuity rate 

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 current 

market conditions as accurately as 

possible. 

Because of the need to provide 

immediate guidance for the valuation 

and payment of benefits in plans with 

valuation dates during December 2008, 

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 

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 

182, as set forth below, is added to the 

table. 

Appendix B to Part 4022—Lump Sum 

Interest Rates for PBGC Payments 

* * * * * 


sroberts on PROD1PC70 with RULES
67390 Federal Register / Vol. 73, No. 221 / Friday, November 14, 2008 / Rules and Regulations 

Rate set 

For plans with a valuation 

date Immediate 

annuity rate 

(percent) 

Deferred annuities (percent) 

On or after Before i1 i2 i3 n1 n2

* * * * * * * 

182 12–1–08 01–1–09 4.75 4.00 4.00 4.00 7 8 

■ 3. In appendix C to part 4022, Rate Set 

182, as set forth below, is added to the 

table. 

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

* * * * * * * 

182 12–1–08 01–1–09 4.75 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 for December 2008, as set forth 

below, is added to the table. 

Appendix B to Part 4044—Interest 

Rates Used To Value Benefits 

* * * * * 

For valuation dates occuring in the month— 

The values of it are: 

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

* * * * * * * 

December 2008 ................................................................ .0792 1–20 .0699 >20 N/A N/A 

Issued in Washington, DC, on this 10th day 

of November 2008. 

Vincent K. Snowbarger, 

Deputy Director for Operations, Pension 

Benefit Guaranty Corporation. 

[FR Doc. E8–27095 Filed 11–13–08; 8:45 am] 

BILLING CODE 7709–01–P 

DEPARTMENT OF THE INTERIOR 

National Park Service 

36 CFR Part 13 

RIN 1024–AD69 

National Park System Units in Alaska 

AGENCY: National Park Service, Interior. 

ACTION: Final rule. 

SUMMARY: This rule implements recent 

management decisions affecting Denali 

National Park and Preserve regarding 

backcountry management, climbing 

Mount McKinley, and off-road vehicle 

use for subsistence purposes. 

DATES: This rule is effective on 

December 15, 2008. 

FOR FURTHER INFORMATION CONTACT: 

National Park Service, Victor Knox, 

Deputy Regional Director, Alaska 

Regional Office, 240 West 5th Ave., 

Anchorage, AK 99501. Telephone: (907) 

644–3510. E-mail: 

akro_regulations@nps.gov. Fax: (907) 

644–3816. 

SUPPLEMENTARY INFORMATION: 

Background 

On April 28, 2008, the NPS published 

in the Federal Register proposed 

regulations to revise Denali National 

Park and Preserve regulations in 

Subpart L of 36 CFR part 13. This rule 

implements certain decisions made in 

the 2006 Final Environmental Impact 

Statement (EIS) and Record of Decision 

(ROD) regarding the Denali Backcountry 

Management Plan (BMP) and the 2007 

Environmental Assessment (EA) and 

Finding of No Significant Impact 

(FONSI) for subsistence use of off-road 

vehicles in the Cantwell Traditional Use 

Area (TUA). The final regulations (1) 

establish group size limits in the 

backcountry, restrict the number of 

climbers on Mount McKinley from April 

1 through August 1 to a maximum of 

1500, and require camping permits 

(currently required through the 

compendium) in accordance with the 

2006 BMP/EIS; and (2) restrict off-road 

vehicle use for subsistence purposes to 

designated routes and trails in Windy 

Creek, Cantwell Creek, and Bull River 

drainages in the Cantwell Traditional 

Use Area in accordance with the 2007 

EA/FONSI. Comments received and the 

corresponding NPS responses are 

summarized below. Modifications to the 

proposed rule are listed under Changes 

to the Final Rule. As used within this 

document, the terms ‘‘we,’’ ‘‘our,’’ and 

‘‘us’’ refer to the National Park Service. 

Summary of Comments 

The proposed rule was published for 

public comment on April 28, 2008 (73 

FR 22890), with a 60 day comment 

period lasting until June 27, 2008. The 

National Park Service received three 

timely comments. Of the three 

comments, one was from the State of 

Alaska, one was from non-governmental 

organizations (consolidated response 

from two signatory groups), and one was 


sroberts on PROD1PC70 with RULES