Federal Register / Vol. 76, No. 50 / Tuesday, March 15, 2011 / Rules and Regulations 13883 

PENSION BENEFIT GUARANTY 

CORPORATION 

29 CFR Parts 4022 and 4044 

Allocation of Assets in SingleEmployer Plans; Benefits Payable in 

Terminated Single-Employer Plans; 

Interest Assumptions for Valuing and 

Paying Benefits 

AGENCY: Pension Benefit Guaranty 

Corporation. 

ACTION: Final rule. 

SUMMARY: This final rule amends 

Pension Benefit Guaranty Corporation’s 

regulations on Benefits Payable in 

Terminated Single-Employer Plans and 

Allocation of Assets in Single-Employer 

Plans to prescribe interest assumptions 

under the benefit payments regulation 

for valuation dates in April 2011 and 

interest assumptions under the asset 

allocation regulation for valuation dates 

in the second quarter of 2011. Interest 

assumptions are also published on 

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

DATES: Effective April 1, 2011. 

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: PBGC’s 

regulations on Allocation of Assets in 

Single-Employer Plans (29 CFR part 

4044) and Benefits Payable in 

Terminated Single-Employer Plans (29 

CFR part 4022) prescribe actuarial 

assumptions—including interest 

assumptions—for valuing and paying 

plan benefits under terminating singleemployer plans covered by title IV of 

the Employee Retirement Income 

Security Act of 1974. 

The interest assumptions in Appendix 

B to Part 4044 are used to value benefits 

for allocation purposes under ERISA 

section 4044. PBGC uses the interest 

assumptions in Appendix B to Part 4022 

to determine whether a benefit is 

payable as a lump sum and to determine 

the amount to pay. Appendix C to Part 

4022 contains interest assumptions for 

private-sector pension practitioners to 

refer to if they wish to use lump-sum 

interest rates determined using PBGC’s 

historical methodology. Currently, the 

rates in Appendices B and C of the 

benefit payment regulation are the same. 

The interest assumptions are intended 

to reflect current conditions in the 

financial and annuity markets. 

Assumptions under the asset allocation 

regulation are updated quarterly; 

assumptions under the benefit payments 

regulation are updated monthly. This 

final rule updates the benefit payments 

interest assumptions for April 2011 and 

updates the asset allocation interest 

assumptions for the second quarter 

(April through June) of 2011. 

The second-quarter 2011 interest 

assumptions under the allocation 

regulation will be 3.96 percent for the 

first 20 years following the valuation 

date and 4.32 percent thereafter. In 

comparison with the interest 

assumptions in effect for the first 

quarter of 2011, these interest 

assumptions represent a decrease of five 

years in the select period (the period 

during which the select rate (the initial 

rate) applies), a decrease of 0.11 percent 

in the select rate, and an increase of 0.39 

percent in the ultimate rate (the final 

rate). 

The April 2011 interest assumptions 

under the benefit payments regulation 

will be 2.50 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. In comparison with the interest 

assumptions in effect for March 2011, 

these interest assumptions are 

unchanged. 

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 under plans 

with valuation dates during April 2011, 

PBGC finds that good cause exists for 

making the assumptions set forth in this 

amendment effective less than 30 days 

after publication. 

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 

210, as set forth below, is added to the 

table. 

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

*******

210 4–1–11 5–1–11 2.50 4.00 4.00 4.00 7 8 

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

210, as set forth below, is added to the 

table. 

Appendix C to Part 4022—Lump Sum 

Interest Rates for Private-Sector 

Payments 

* * * * * 


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13884 Federal Register / Vol. 76, No. 50 / Tuesday, March 15, 2011 / 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

*******

210 4–1–11 5–1–11 2.50 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 April–June 2011, as set forth 

below, is added to the table. 

Appendix B to Part 4044—Interest 

Rates Used To Value Benefits 

* * * * * 

For valuation dates occurring in the months— 

The values of it are: 

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

*******

April–June 2011 ................................................................ 0.0396 1–20 0.0432 > 20 N/A N/A 

Issued in Washington, DC, on this 10th day 

of March 2011. 

Vincent K. Snowbarger, 

Deputy Director for Operations, Pension 

Benefit Guaranty Corporation. 

[FR Doc. 2011–6054 Filed 3–14–11; 8:45 am] 

BILLING CODE 7709–01–P 

DEPARTMENT OF HOMELAND 

SECURITY 

Coast Guard 

33 CFR Part 100 

[Docket No. USCG–2010–1094] 

RIN 1625–AA08 

Special Local Regulation for Marine 

Event; Temporary Change of Dates for 

Recurring Marine Event in the Fifth 

Coast Guard District 

AGENCY: Coast Guard, DHS. 

ACTION: Temporary final rule. 

SUMMARY: The Coast Guard is 

temporarily changing the enforcement 

period of special local regulations for a 

recurring marine event in the Fifth 

Coast Guard District. These regulations 

apply to four recurring marine events 

that conduct a rescue at sea 

demonstration, an air show, a 

swimming competition, and power boat 

races. Special local regulations are 

necessary to provide for the safety of life 

on navigable waters during these events. 

This action is intended to restrict vessel 

traffic in a portion of the Severn River 

at Annapolis, MD, the Chester River 

near Chestertown, MD, and Prospect 

Bay at Kent Island, MD during the 

events. 

DATES: This rule is effective from April 

1, 2011 through September 1, 2011. 

ADDRESSES: Comments and material 

received from the public, as well as 

documents mentioned in this preamble 

as being available in the docket, are part 

of docket USCG–2010–1094 and are 

available online by going to http:// 

www.regulations.gov, inserting USCG– 

2010–1094 in the ‘‘Keyword’’ box, and 

then clicking ‘‘Search.’’ This material is 

also available for inspection or copying 

at the Docket Management Facility (M– 

30), U.S. Department of Transportation, 

West Building Ground Floor, Room 

W12–140, 1200 New Jersey Avenue, SE., 

Washington, DC 20590, between 9 a.m. 

and 5 p.m., Monday through Friday, 

except Federal holidays. 

FOR FURTHER INFORMATION CONTACT: If 

you have questions on this temporary 

rule, call or e-mail Mr. Ronald L. Houck, 

Project Manager, Coast Guard Sector 

Baltimore Waterways Management 

Division, telephone 410–576–2674, 

email Ronald.L.Houck@uscg.mil. If you 

have questions on viewing the docket, 

call Renee V. Wright, Program Manager, 

Docket Operations, telephone 202–366– 

9826. 

SUPPLEMENTARY INFORMATION: 

Regulatory Information 

On January 11, 2011, we published a 

notice of proposed rulemaking (NPRM) 

entitled ‘‘Special Local Regulation for 

Marine Event; Temporary Change of 

Dates for Recurring Marine Event in the 

Fifth Coast Guard District’’ in the 

Federal Register (76 FR 7). We received 

no comments on the proposed rule. No 

public meeting was requested, and none 

was held. 

Basis and Purpose 

Marine events are frequently held on 

the navigable waters within the 

boundary of the Fifth Coast Guard 

District. The on water activities that 

typically comprise marine events 

include sailing regattas, power boat 

races, swim races and holiday parades. 

For a description of the geographical 

area of Coast Guard Sector Baltimore— 

Captain of the Port Zone, please see 33 

CFR 3.25. 

This regulation temporarily changes 

the enforcement period of special local 

regulations for recurring marine events 

within the Fifth Coast Guard District. 

This regulation applies to four marine 

events previously published at 33 CFR 

100.501, Table to § 100.501. 

The first event is the annual ‘‘Safety 

at Sea Seminar,’’ sponsored by the U.S. 

Naval Academy, on the waters of the 

Severn River at Annapolis, MD. The 

regulation at 33 CFR 100.501 is effective 

annually for the Safety at Sea Seminar 

marine event. The event consists of 

demonstrations of at sea rescues 

including surface and air platforms held 

on and above the waters of the Severn 

River in Annapolis, MD. Visual distress 

signal devices will be used and a 

helicopter with small boats will be 

operating before a large fleet of spectator 

crafts. Therefore, to ensure the safety of 

participants and support vessels, 33 

CFR 100.501 would be enforced for the 

duration of the event. Under provisions 

of 33 CFR 100.501, from 11 a.m. to 1:30 

p.m. on April 2, 2011, vessels may not 

enter the regulated area unless they 

receive permission from the Coast 

Guard Patrol Commander. Vessel traffic 

may be allowed to transit the regulated 


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