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[House Report 113-655]
[From the U.S. Government Publishing Office]

113th Congress                                                   Report
                        HOUSE OF REPRESENTATIVES
 2d Session                                                     113-655
======================================================================

 
 PROVIDING FOR CONSIDERATION OF THE SENATE AMENDMENT TO THE BILL (H.R. 
  83) TO REQUIRE THE SECRETARY OF THE INTERIOR TO ASSEMBLE A TEAM OF 
  TECHNICAL, POLICY, AND FINANCIAL EXPERTS TO ADDRESS THE ENERGY
  NEEDS OFTHE INSULAR AREAS OF THE UNITED STATES AND THE FREELY 
  ASSOCIATED STATES THROUGH THE DEVELOPMENT OF ENERGY ACTION PLANS
  AIMED AT PROMOTING ACCESS TO AFFORDABLE, RELIABLE ENERGY, 
  INCLUDING INCREASING USE OF INDIGENOUS CLEAN-ENERGY RESOURCES, 
  AND FOR OTHER PURPOSES; WAIVING A REQUIREMENT OF CLAUSE 6(A) OF 
  RULE XIII WITH RESPECT TO CONSIDERATION OF CERTAIN RESOLUTIONS 
  REPORTED FROM THE COMMITTEE ON RULES; AND FOR OTHER PURPOSES

                                _______
                                

 December 10, 2014.--Referred to the House Calendar and ordered to be 
                                printed

                                _______
                                

                Mr. Cole, from the Committee on Rules, 
                        submitted the following

                              R E P O R T

                       [To accompany H. Res. 776]

    The Committee on Rules, having had under consideration 
House Resolution 776, by a record vote of 9 to 4, report the 
same to the House with the recommendation that the resolution 
be adopted.

                SUMMARY OF PROVISIONS OF THE RESOLUTION

    The resolution provides for the consideration of the Senate 
amendment to H.R. 83, to require the Secretary of the Interior 
to assemble a team of technical, policy, and financial experts 
to address the energy needs of the insular areas of the United 
States and the Freely Associated States through the development 
of energy action plans aimed at promoting access to affordable, 
reliable energy, including increasing use of indigenous clean-
energy resources, and for other purposes. The resolution makes 
in order a motion offered by the chair of the Committee on 
Appropriations or his designee that the House concur in the 
Senate amendment to H.R. 83 with an amendment consisting of the 
text of Rules Committee Print 113-59 modified by the amendment 
printed in this report. The resolution waives all points of 
order against consideration of the motion. The resolution 
provides that the Senate amendment and the motion shall be 
considered as read. The resolution provides 80 minutes of 
debate on the motion, with 60 minutes equally divided and 
controlled by the chair and ranking minority member of the 
Committee on Appropriations and 20 minutes equally divided and 
controlled by the chair and ranking minority member of the 
Committee on Education and the Workforce.
    Section 2 of the resolution provides that upon adoption of 
the motion specified in section 1, H. Con. Res. 122 (enrollment 
correction to the title) shall be considered as adopted.
    Section 3 of the resolution provides that the chair of the 
Committee on Appropriations may insert in the Congressional 
Record at any time during the remainder of the second session 
of the 113th Congress such material as he may deem explanatory 
of the Senate amendment and the motion specified in the first 
section of the resolution.
    Section 4 of the resolution waives clause 6(a) of rule XIII 
(requiring a two-thirds vote to consider a rule on the same day 
it is reported from the Rules Committee) against any resolution 
reported from the Rules Committee through the legislative day 
of December 12, 2014.

                         EXPLANATION OF WAIVERS

    The waiver of all points of order against consideration of 
the motion includes a waiver of the following:
           Section 302(f) of the Congressional Budget 
        Act, which prohibits consideration of legislation 
        providing new budget authority in excess of a 
        subcommittee's 302(b) allocation of such authority;
           Section 306 of the Congressional Budget Act, 
        which prohibits consideration of legislation within the 
        jurisdiction of the Committee on the Budget unless 
        referred to or reported by the Budget Committee;
           Section 601 of H. Con. Res. 25, which 
        provides that any bill or joint resolution, or 
        amendment thereto or conference report thereon, making 
        a general appropriation or continuing appropriation may 
        not provide for advance appropriations;
           Clause 7 of rule XVI, which requires that no 
        motion or proposition on a subject different from that 
        under consideration shall be admitted under color of 
        amendment;
           Clause 4 of rule XXI, which prohibits 
        consideration of an amendment proposing an 
        appropriation to a bill reported by a committee not 
        having that jurisdiction; and
           Clause 5(a) of rule XXI, which prohibits 
        consideration of an amendment in the House carrying a 
        tax or tariff measure to a bill or joint resolution 
        reported by a committee not having that jurisdiction.
    It is important to note that while the bill exceeds the 
budget authority provided in the committee's 302(b) 
allocations, the overall bill falls below the statutory 
discretionary spending caps.

                            COMMITTEE VOTES

    The results of each record vote on an amendment or motion 
to report, together with the names of those voting for and 
against, are printed below:

Rules Committee record vote No. 204

    Motion by Ms. Slaughter to make in order and provide the 
appropriate waivers for amendment #20, offered by Rep. Jeffries 
(NY), which prevents the Department of Justice from using 
funding to prevent the state of New York from implementing its 
recently passed medical marijuana laws. New York passed a law 
in July, 2014, prior to this amendment being passed on the 
floor, but within the spirit of the exemption. Defeated: 4-8

----------------------------------------------------------------------------------------------------------------
                Majority Members                      Vote               Minority Members               Vote
----------------------------------------------------------------------------------------------------------------
Ms. Foxx........................................          Nay   Ms. Slaughter.....................          Yea
Mr. Bishop of Utah..............................          Nay   Mr. McGovern......................          Yea
Mr. Cole........................................          Nay   Mr. Hastings of Florida...........          Yea
Mr. Woodall.....................................          Nay   Mr. Polis.........................          Yea
Mr. Nugent......................................          Nay
Mr. Webster.....................................          Nay
Ms. Ros-Lehtinen................................  ............
Mr. Burgess.....................................          Nay
Mr. Sessions, Chairman..........................          Nay
----------------------------------------------------------------------------------------------------------------

Rules Committee record vote No. 205

    Motion by Ms. Slaughter to make in order and provide the 
appropriate waivers for amendment #3, offered by Rep. Coffman 
(CO), which prohibits U.S. funds from being used to pay the 
salaries of the Iraqi security forces or to provide weapons or 
equipment to the Iraqi security forces. Defeated: 4-8

----------------------------------------------------------------------------------------------------------------
                Majority Members                      Vote               Minority Members               Vote
----------------------------------------------------------------------------------------------------------------
Ms. Foxx........................................          Nay   Ms. Slaughter.....................          Yea
Mr. Bishop of Utah..............................          Nay   Mr. McGovern......................          Yea
Mr. Cole........................................          Nay   Mr. Hastings of Florida...........          Yea
Mr. Woodall.....................................          Nay   Mr. Polis.........................          Yea
Mr. Nugent......................................          Nay
Mr. Webster.....................................          Nay
Ms. Ros-Lehtinen................................  ............
Mr. Burgess.....................................          Nay
Mr. Sessions, Chairman..........................          Nay
----------------------------------------------------------------------------------------------------------------

Rules Committee record vote No. 206

    Motion by Mr. McGovern to provide that the Kline-Miller 
pension reform amendment be made in order as a stand-alone 
amendment, with one hour of debate, evenly divided between the 
proponent and an opponent. Defeated: 4-8

----------------------------------------------------------------------------------------------------------------
                Majority Members                      Vote               Minority Members               Vote
----------------------------------------------------------------------------------------------------------------
Ms. Foxx........................................          Nay   Ms. Slaughter.....................          Yea
Mr. Bishop of Utah..............................          Nay   Mr. McGovern......................          Yea
Mr. Cole........................................          Nay   Mr. Hastings of Florida...........          Yea
Mr. Woodall.....................................          Nay   Mr. Polis.........................          Yea
Mr. Nugent......................................          Nay
Mr. Webster.....................................          Nay
Ms. Ros-Lehtinen................................  ............
Mr. Burgess.....................................          Nay
Mr. Sessions, Chairman..........................          Nay
----------------------------------------------------------------------------------------------------------------

Rules Committee record vote No. 207

    Motion by Mr. McGovern to make in order and provide the 
appropriate waivers for amendment #7, offered by Rep. McGovern 
(MA) and Rep. Jones (NC), which provides that no funds may be 
used to deploy U.S. ground forces in a combat role in Iraq, 
Syria, or other countries in the region related to Operation 
Inherent Resolve. Defeated: 4-8

----------------------------------------------------------------------------------------------------------------
                Majority Members                      Vote               Minority Members               Vote
----------------------------------------------------------------------------------------------------------------
Ms. Foxx........................................          Nay   Ms. Slaughter.....................          Yea
Mr. Bishop of Utah..............................          Nay   Mr. McGovern......................          Yea
Mr. Cole........................................          Nay   Mr. Hastings of Florida...........          Yea
Mr. Woodall.....................................          Nay   Mr. Polis.........................          Yea
Mr. Nugent......................................          Nay
Mr. Webster.....................................          Nay
Ms. Ros-Lehtinen................................  ............
Mr. Burgess.....................................          Nay
Mr. Sessions, Chairman..........................          Nay
----------------------------------------------------------------------------------------------------------------

Rules Committee record vote No. 208

    Motion by Mr. McGovern to make in order and provide the 
appropriate waivers for amendment #12, offered by Rep. McGovern 
(MA), Rep. Huffman (CA), and Rep. DeLauro (CT), which strikes 
two sections that weaken the Child Nutrition Act regarding 
sodium and whole grains and one section that weakens WIC 
regarding white potatoes. Defeated: 4-9

----------------------------------------------------------------------------------------------------------------
                Majority Members                      Vote               Minority Members               Vote
----------------------------------------------------------------------------------------------------------------
Ms. Foxx........................................          Nay   Ms. Slaughter.....................          Yea
Mr. Bishop of Utah..............................          Nay   Mr. McGovern......................          Yea
Mr. Cole........................................          Nay   Mr. Hastings of Florida...........          Yea
Mr. Woodall.....................................          Nay   Mr. Polis.........................          Yea
Mr. Nugent......................................          Nay
Mr. Webster.....................................          Nay
Ms. Ros-Lehtinen................................          Nay
Mr. Burgess.....................................          Nay
Mr. Sessions, Chairman..........................          Nay
----------------------------------------------------------------------------------------------------------------

Rules Committee record vote No. 209

    Motion by Mr. McGovern to make in order and provide the 
appropriate waivers for amendment #15, offered by Rep. McGovern 
(MA), which strikes language included in the bill that suspends 
DOT provisions requiring drivers to be off duty from 1 a.m. to 
5 a.m. on 2 consecutive days before restarting their weekly 
work clock. The amendment also strikes language that suspends 
the requirement that 168 hours (7 days) elapse before a driver 
can start a new week. Defeated: 4-9

----------------------------------------------------------------------------------------------------------------
                Majority Members                      Vote               Minority Members               Vote
----------------------------------------------------------------------------------------------------------------
Ms. Foxx........................................          Nay   Ms. Slaughter.....................          Yea
Mr. Bishop of Utah..............................          Nay   Mr. McGovern......................          Yea
Mr. Cole........................................          Nay   Mr. Hastings of Florida...........          Yea
Mr. Woodall.....................................          Nay   Mr. Polis.........................          Yea
Mr. Nugent......................................          Nay
Mr. Webster.....................................          Nay
Ms. Ros-Lehtinen................................          Nay
Mr. Burgess.....................................          Nay
Mr. Sessions, Chairman..........................          Nay
----------------------------------------------------------------------------------------------------------------

Rules Committee record vote No. 210

    Motion by Mr. McGovern to make in order and provide the 
appropriate waivers for amendment #13, offered by Rep. Deutch 
(FL), Rep. Edwards (MD), Rep. Hastings (FL), Rep. McGovern 
(MA), Rep. Polis (CO), and Rep. Sarbanes (MD), which strikes 
provisions creating new accounts to allow individual donors to 
contribute up to an additional $680,400 annually to national 
party committees and congressional campaign committees. 
Defeated: 4-9

----------------------------------------------------------------------------------------------------------------
                Majority Members                      Vote               Minority Members               Vote
----------------------------------------------------------------------------------------------------------------
Ms. Foxx........................................          Nay   Ms. Slaughter.....................          Yea
Mr. Bishop of Utah..............................          Nay   Mr. McGovern......................          Yea
Mr. Cole........................................          Nay   Mr. Hastings of Florida...........          Yea
Mr. Woodall.....................................          Nay   Mr. Polis.........................          Yea
Mr. Nugent......................................          Nay
Mr. Webster.....................................          Nay
Ms. Ros-Lehtinen................................          Nay
Mr. Burgess.....................................          Nay
Mr. Sessions, Chairman..........................          Nay
----------------------------------------------------------------------------------------------------------------

Rules Committee record vote No. 211

    Motion by Mr. McGovern to make in order and provide the 
appropriate waivers for amendment #10, offered by Rep. Lowey 
(NY), which strikes the SWAPs push-out language and the 
provision raising contribution limits to national parties. 
Defeated: 4-9

----------------------------------------------------------------------------------------------------------------
                Majority Members                      Vote               Minority Members               Vote
----------------------------------------------------------------------------------------------------------------
Ms. Foxx........................................          Nay   Ms. Slaughter.....................          Yea
Mr. Bishop of Utah..............................          Nay   Mr. McGovern......................          Yea
Mr. Cole........................................          Nay   Mr. Hastings of Florida...........          Yea
Mr. Woodall.....................................          Nay   Mr. Polis.........................          Yea
Mr. Nugent......................................          Nay
Mr. Webster.....................................          Nay
Ms. Ros-Lehtinen................................          Nay
Mr. Burgess.....................................          Nay
Mr. Sessions, Chairman..........................          Nay
----------------------------------------------------------------------------------------------------------------

Rules Committee record vote No. 212

    Motion by Mr. Polis to add a section to the resolution to 
bring up H.R. 15, the House version of the Senate bipartisan, 
comprehensive immigration reform bill, under a closed rule. 
Defeated: 5-8

----------------------------------------------------------------------------------------------------------------
                Majority Members                      Vote               Minority Members               Vote
----------------------------------------------------------------------------------------------------------------
Ms. Foxx........................................          Nay   Ms. Slaughter.....................          Yea
Mr. Bishop of Utah..............................          Nay   Mr. McGovern......................          Yea
Mr. Cole........................................          Nay   Mr. Hastings of Florida...........          Yea
Mr. Woodall.....................................          Nay   Mr. Polis.........................          Yea
Mr. Nugent......................................          Nay
Mr. Webster.....................................          Nay
Ms. Ros-Lehtinen................................          Yea
Mr. Burgess.....................................          Nay
Mr. Sessions, Chairman..........................          Nay
----------------------------------------------------------------------------------------------------------------

Rules Committee record vote No. 213

    Motion by Ms. Foxx to report the rule. Adopted: 9-4

----------------------------------------------------------------------------------------------------------------
                Majority Members                      Vote               Minority Members               Vote
----------------------------------------------------------------------------------------------------------------
Ms. Foxx........................................          Yea   Ms. Slaughter.....................          Nay
Mr. Bishop of Utah..............................          Yea   Mr. McGovern......................          Nay
Mr. Cole........................................          Yea   Mr. Hastings of Florida...........          Nay
Mr. Woodall.....................................          Yea   Mr. Polis.........................          Nay
Mr. Nugent......................................          Yea
Mr. Webster.....................................          Yea
Ms. Ros-Lehtinen................................          Yea
Mr. Burgess.....................................          Yea
Mr. Sessions, Chairman..........................          Yea
----------------------------------------------------------------------------------------------------------------

SUMMARY OF THE AMENDMENT TO THE HOUSE AMENDMENT TO THE SENATE AMENDMENT 
                    TO H.R. 83 CONSIDERED AS ADOPTED

    Kline (MN), Miller, George (CA): Addresses pension reforms 
in two areas. First, the bipartisan pension reforms in Division 
O will permit trustees of severely underfunded plans to adjust 
vested benefits, enabling deeply troubled plans to survive 
without a federal bailout; require approval by plan 
participants of any proposed benefit adjustments that take 
effect, with a fail-safe mechanism for those plans that present 
a systemic risk the multiemployer pension system; provide 
participant protections to safeguard the most vulnerable 
retirees, including disabled retirees and individuals age 75 
and older; give the Pension Benefit Guaranty Corporation (PBGC) 
the authority to take earlier action to help save failing 
plans, thereby reducing potential future costs; and adjust the 
premium structure in order to place the PBGC on more firm 
financial ground. Second, the bipartisan amendments in Division 
P amend the rules relating to PBGC enforcement and the rules 
governing certain charity and nonprofit pension plans. Also 
provides for the budgetary treatment of these divisions.

TEXT OF THE AMENDMENT TO THE HOUSE AMENDMENT TO THE SENATE AMENDMENT TO 
                     H.R. 83 CONSIDERED AS ADOPTED

  At the end, add the following (and update the table of 
contents accordingly):

                DIVISION O--MULTIEMPLOYER PENSION REFORM

SECTION 1. SHORT TITLE.

  This division may be cited as the ``Multiemployer Pension 
Reform Act of 2014''.

SEC. 2. TABLE OF CONTENTS.

  The table of contents for this division is as follows:

Sec. 1. Short title.
Sec. 2. Table of Contents.

           TITLE I--MODIFICATIONS TO MULTIEMPLOYER PLAN RULES

        Subtitle A--Amendments to Pension Protection Act of 2006

Sec. 101. Repeal of sunset of PPA funding rules.
Sec. 102. Election to be in critical status.
Sec. 103. Clarification of rule for emergence from critical status.
Sec. 104. Endangered status not applicable if no additional action is 
          required.
Sec. 105. Correct endangered status funding improvement plan target 
          funded percentage.
Sec. 106. Conforming endangered status and critical status rules during 
          funding improvement and rehabilitation plan adoption periods.
Sec. 107. Corrective plan schedules when parties fail to adopt in 
          bargaining.
Sec. 108. Repeal of reorganization rules for multiemployer plans.
Sec. 109. Disregard of certain contribution increases for withdrawal 
          liability purposes.
Sec. 110. Guarantee for pre-retirement survivor annuities under 
          multiemployer pension plans.
Sec. 111. Required disclosure of multiemployer plan information.

          Subtitle B--Multiemployer Plan Mergers and Partitions

Sec. 121. Mergers.
Sec. 122. Partitions of eligible multiemployer plans.

   Subtitle C--Strengthening the Pension Benefit Guaranty Corporation

Sec. 131. Premium increases for multiemployer plans.

        TITLE II--REMEDIATION MEASURES FOR DEEPLY TROUBLED PLANS

Sec. 201. Conditions, limitations, distribution and notice requirements, 
          and approval process for benefit suspensions under 
          multiemployer plans in critical and declining status.

           TITLE I--MODIFICATIONS TO MULTIEMPLOYER PLAN RULES

        Subtitle A--Amendments to Pension Protection Act of 2006

SEC. 101. REPEAL OF SUNSET OF PPA FUNDING RULES.

  (a) In General.--Subtitle C of title II of the Pension 
Protection Act of 2006 (26 U.S.C. 412 note) is repealed.
  (b) Conforming Amendments.--
          (1) Amendment to employee retirement income security 
        act of 1974.--Section 304(d)(1) of the Employee 
        Retirement Income Security Act of 1974 (29 U.S.C. 1084) 
        is amended by striking subparagraph (C).
          (2) Amendment to internal revenue code.--Section 
        431(d)(1) of the Internal Revenue Code of 1986 is 
        amended by striking subparagraph (C).

SEC. 102. ELECTION TO BE IN CRITICAL STATUS.

  (a) Amendments to Employee Retirement Income Security Act of 
1974.--
          (1) In general.--Section 305(b) of the Employee 
        Retirement Income Security Act of 1974 (29 U.S.C. 
        1085(b)) is amended by adding at the end the following:
          ``(4) Election to be in critical status.--
        Notwithstanding paragraph (2) and subject to paragraph 
        (3)(B)(iv)--
                  ``(A) the plan sponsor of a multiemployer 
                plan that is not in critical status for a plan 
                year but that is projected by the plan actuary, 
                pursuant to the determination under paragraph 
                (3), to be in critical status in any of the 
                succeeding 5 plan years may, not later than 30 
                days after the date of the certification under 
                paragraph (3)(A), elect to be in critical 
                status effective for the current plan year,
                  ``(B) the plan year in which the plan sponsor 
                elects to be in critical status under 
                subparagraph (A) shall be treated for purposes 
                of this section as the first year in which the 
                plan is in critical status, regardless of the 
                date on which the plan first satisfies the 
                criteria for critical status under paragraph 
                (2), and
                  ``(C) a plan that is in critical status under 
                this paragraph shall not emerge from critical 
                status except in accordance with subsection 
                (e)(4)(B).''.
          (2) Annual certification.--
                  (A) In general.--Section 305(b)(3)(A)(i) of 
                such Act (29 U.S.C. 1085(b)(3)(A)(i)) is 
                amended by striking ``, and'' and inserting 
                ``or for any of the succeeding 5 plan years, 
                and''.
                  (B) Actuarial projections.--Section 
                305(b)(3)(B) of such Act (29 U.S.C. 
                1085(b)(3)(B)) is amended--
                          (i) in clause (i), by striking ``In 
                        making the determinations'' and 
                        inserting ``Except as provided in 
                        clause (iv), in making the 
                        determinations''; and
                          (ii) by adding at the end the 
                        following:
                          ``(iv) Projections relating to 
                        critical status in succeeding plan 
                        years.--Clauses (i) and (ii) (other 
                        than the 2nd sentence of clause (i)) 
                        may be disregarded by a plan actuary in 
                        the case of any certification of 
                        whether a plan will be in critical 
                        status in a succeeding plan year, 
                        except that a plan sponsor may not 
                        elect to be in critical status for a 
                        plan year under paragraph (4) in any 
                        case in which the certification upon 
                        which such election would be based is 
                        made without regard to such clauses.''.
          (3) Notice.--
                  (A) Of election to be in critical status.--
                Section 305(b)(3)(D)(i) of such Act (29 U.S.C. 
                1085(b)(3)(D)(i)) is amended--
                          (i) by inserting after ``for a plan 
                        year'' the following: ``or in which a 
                        plan sponsor elects to be in critical 
                        status for a plan year under paragraph 
                        (4)''; and
                          (ii) by adding at the end the 
                        following: ``In any case in which a 
                        plan sponsor elects to be in critical 
                        status for a plan year under paragraph 
                        (4), the plan sponsor shall notify the 
                        Secretary of the Treasury of such 
                        election not later than 30 days after 
                        the date of such certification or such 
                        other time as the Secretary of the 
                        Treasury may prescribe by regulations 
                        or other guidance.''
                  (B) Of projection to be in critical status in 
                a future plan year.--Section 305(b)(3)(D) of 
                such Act (29 U.S.C. 1085(b)(3)(D)) is amended 
                by adding at the end the following:
                          ``(iv) Notice of projection to be in 
                        critical status in a future plan 
                        year.--In any case in which it is 
                        certified under subparagraph (A)(i) 
                        that a multiemployer plan will be in 
                        critical status for any of 5 succeeding 
                        plan years (but not for the current 
                        plan year) and the plan sponsor of such 
                        plan has not made an election to be in 
                        critical status for the plan year under 
                        paragraph (4), the plan sponsor shall, 
                        not later than 30 days after the date 
                        of the certification, provide 
                        notification of the projected critical 
                        status to the Pension Benefit Guaranty 
                        Corporation.''.
  (b) Amendments to Internal Revenue Code.--
          (1) In general.--Section 432(b) of the Internal 
        Revenue Code of 1986 is amended by adding at the end 
        the following:
          ``(4) Election to be in critical status.--
        Notwithstanding paragraph (2) and subject to paragraph 
        (3)(B)(iv)--
                  ``(A) the plan sponsor of a multiemployer 
                plan that is not in critical status for a plan 
                year but that is projected by the plan actuary, 
                pursuant to the determination under paragraph 
                (3), to be in critical status in any of the 
                succeeding 5 plan years may, not later than 30 
                days after the date of the certification under 
                paragraph (3)(A), elect to be in critical 
                status effective for the current plan year,
                  ``(B) the plan year in which the plan sponsor 
                elects to be in critical status under 
                subparagraph (A) shall be treated for purposes 
                of this section as the first year in which the 
                plan is in critical status, regardless of the 
                date on which the plan first satisfies the 
                criteria for critical status under paragraph 
                (2), and
                  ``(C) a plan that is in critical status under 
                this paragraph shall not emerge from critical 
                status except in accordance with subsection 
                (e)(4)(B).''.
          (2) Annual certification.--
                  (A) In general.--Section 432(b)(3)(A)(i) of 
                such Code is amended by striking ``, and'' and 
                inserting ``or for any of the succeeding 5 plan 
                years, and''.
                  (B) Actuarial projections.--Section 
                432(b)(3)(B) of such Code is amended--
                          (i) in clause (i), by striking ``In 
                        making the determinations'' and 
                        inserting ``Except as provided in 
                        clause (iv), in making the 
                        determinations''; and
                          (ii) by adding at the end the 
                        following:
                          ``(iv) Projections relating to 
                        critical status in succeeding plan 
                        years.--Clauses (i) and (ii) (other 
                        than the 2nd sentence of clause (i)) 
                        may be disregarded by a plan actuary in 
                        the case of any certification of 
                        whether a plan will be in critical 
                        status in a succeeding plan year, 
                        except that a plan sponsor may not 
                        elect to be in critical status for a 
                        plan year under paragraph (4) in any 
                        case in which the certification upon 
                        which such election would be based is 
                        made without regard to such clauses.''.
          (3) Notice.--
                  (A) Of election to be in critical status.--
                Section 432(b)(3)(D)(i) of such Code is 
                amended--
                          (i) by inserting after ``for a plan 
                        year'' the following: ``or in which a 
                        plan sponsor elects to be in critical 
                        status for a plan year under paragraph 
                        (4)''; and
                          (ii) by adding at the end the 
                        following: ``In any case in which a 
                        plan sponsor elects to be in critical 
                        status for a plan year under paragraph 
                        (4), the plan sponsor shall notify the 
                        Secretary of such election not later 
                        than 30 days after the date of such 
                        certification or such other time as the 
                        Secretary may prescribe by regulations 
                        or other guidance.''.
                  (B) Of projection to be in critical status in 
                a future plan year.--Section 432(b)(3)(D) of 
                such Code is amended by adding at the end the 
                following:
                          ``(iv) Notice of projection to be in 
                        critical status in a future plan 
                        year.--In any case in which it is 
                        certified under subparagraph (A)(i) 
                        that a multiemployer plan will be in 
                        critical status for any of 5 succeeding 
                        plan years (but not for the current 
                        plan year) and the plan sponsor of such 
                        plan has not made an election to be in 
                        critical status for the plan year under 
                        paragraph (4), the plan sponsor shall, 
                        not later than 30 days after the date 
                        of the certification, provide 
                        notification of the projected critical 
                        status to the Pension Benefit Guaranty 
                        Corporation.''.
  (c) Effective Date.--The amendments made by this section 
shall apply with respect to plan years beginning after December 
31, 2014.

SEC. 103. CLARIFICATION OF RULE FOR EMERGENCE FROM CRITICAL STATUS.

  (a) Amendment to Employee Retirement Income Security Act of 
1974.--Section 305(e)(4)(B) of the Employee Retirement Income 
Security Act of 1974 (29 U.S.C. 1085(e)(4)(B)) is amended to 
read as follows:
                  ``(B) Emergence.--
                          ``(i) In general.--A plan in critical 
                        status shall remain in such status 
                        until a plan year for which the plan 
                        actuary certifies, in accordance with 
                        subsection (b)(3)(A), that--
                                  ``(I) the plan is not 
                                described in one or more of the 
                                subparagraphs in subsection 
                                (b)(2) as of the beginning of 
                                the plan year;
                                  ``(II) the plan is not 
                                projected to have an 
                                accumulated funding deficiency 
                                for the plan year or any of the 
                                9 succeeding plan years, 
                                without regard to the use of 
                                the shortfall method but taking 
                                into account any extension of 
                                amortization periods under 
                                section 304(d)(2) or section 
                                304 (as in effect prior to the 
                                enactment of the Pension 
                                Protection Act of 2006); and
                                  ``(III) the plan is not 
                                projected to become insolvent 
                                within the meaning of section 
                                4245 for any of the 30 
                                succeeding plan years.
                          ``(ii) Plans with certain 
                        amortization extensions.--
                                  ``(I) Special emergence 
                                rule.--Notwithstanding clause 
                                (i), a plan in critical status 
                                that has an automatic extension 
                                of amortization periods under 
                                section 304(d)(1) shall no 
                                longer be in critical status if 
                                the plan actuary certifies for 
                                a plan year, in accordance with 
                                subsection (b)(3)(A), that--
                                          ``(aa) the plan is 
                                        not projected to have 
                                        an accumulated funding 
                                        deficiency for the plan 
                                        year or any of the 9 
                                        succeeding plan years, 
                                        without regard to the 
                                        use of the shortfall 
                                        method but taking into 
                                        account any extension 
                                        of amortization periods 
                                        under section 
                                        304(d)(1); and
                                          ``(bb) the plan is 
                                        not projected to become 
                                        insolvent within the 
                                        meaning of section 4245 
                                        for any of the 30 
                                        succeeding plan years,
                                regardless of whether the plan 
                                is described in one or more of 
                                the subparagraphs in subsection 
                                (b)(2) as of the beginning of 
                                the plan year.
                                  ``(II) Reentry into critical 
                                status.--A plan that emerges 
                                from critical status under 
                                subclause (I) shall not reenter 
                                critical status for any 
                                subsequent plan year unless--
                                          ``(aa) the plan is 
                                        projected to have an 
                                        accumulated funding 
                                        deficiency for the plan 
                                        year or any of the 9 
                                        succeeding plan years, 
                                        without regard to the 
                                        use of the shortfall 
                                        method but taking into 
                                        account any extension 
                                        of amortization periods 
                                        under section 304(d); 
                                        or
                                          ``(bb) the plan is 
                                        projected to become 
                                        insolvent within the 
                                        meaning of section 4245 
                                        for any of the 30 
                                        succeeding plan 
                                        years.''.
  (b) Amendment to the Internal Revenue Code.--Section 
432(e)(4)(B) of the Internal Revenue Code of 1986 is amended to 
read as follows:
                  ``(B) Emergence.--
                          ``(i) In general.--A plan in critical 
                        status shall remain in such status 
                        until a plan year for which the plan 
                        actuary certifies, in accordance with 
                        subsection (b)(3)(A), that--
                                  ``(I) the plan is not 
                                described in one or more of the 
                                subparagraphs in subsection 
                                (b)(2) as of the beginning of 
                                the plan year,
                                  ``(II) the plan is not 
                                projected to have an 
                                accumulated funding deficiency 
                                for the plan year or any of the 
                                9 succeeding plan years, 
                                without regard to the use of 
                                the shortfall method but taking 
                                into account any extension of 
                                amortization periods under 
                                section 431(d)(2) or section 
                                412(e) (as in effect prior to 
                                the enactment of the Pension 
                                Protection Act of 2006), and
                                  ``(III) the plan is not 
                                projected to become insolvent 
                                within the meaning of section 
                                418E for any of the 30 
                                succeeding plan years.
                          ``(ii) Plans with certain 
                        amortization extensions.--
                                  ``(I) Special emergence 
                                rule.--Notwithstanding clause 
                                (i), a plan in critical status 
                                that has an automatic extension 
                                of amortization periods under 
                                section 431(d)(1) shall no 
                                longer be in critical status if 
                                the plan actuary certifies for 
                                a plan year, in accordance with 
                                subsection (b)(3)(A), that--
                                          ``(aa) the plan is 
                                        not projected to have 
                                        an accumulated funding 
                                        deficiency for the plan 
                                        year or any of the 9 
                                        succeeding plan years, 
                                        without regard to the 
                                        use of the shortfall 
                                        method but taking into 
                                        account any extension 
                                        of amortization periods 
                                        under section 
                                        431(d)(1), and
                                          ``(bb) the plan is 
                                        not projected to become 
                                        insolvent within the 
                                        meaning of section 418E 
                                        for any of the 30 
                                        succeeding plan years,
                                regardless of whether the plan 
                                is described in one or more of 
                                the subparagraphs in subsection 
                                (b)(2) as of the beginning of 
                                the plan year.
                                  ``(II) Reentry into critical 
                                status.--A plan that emerges 
                                from critical status under 
                                subclause (I) shall not reenter 
                                critical status for any 
                                subsequent plan year unless--
                                          ``(aa) the plan is 
                                        projected to have an 
                                        accumulated funding 
                                        deficiency for the plan 
                                        year or any of the 9 
                                        succeeding plan years, 
                                        without regard to the 
                                        use of the shortfall 
                                        method but taking into 
                                        account any extension 
                                        of amortization periods 
                                        under section 431(d), 
                                        or
                                          ``(bb) the plan is 
                                        projected to become 
                                        insolvent within the 
                                        meaning of section 418E 
                                        for any of the 30 
                                        succeeding plan 
                                        years.''.
  (c) Effective Date.--The amendments made by this section 
shall apply with respect to plan years beginning after December 
31, 2014.

SEC. 104. ENDANGERED STATUS NOT APPLICABLE IF NO ADDITIONAL ACTION IS 
                    REQUIRED.

  (a) Amendments to Employee Retirement Income Security Act of 
1974.--
          (1) In general.--Section 305(b) of the Employee 
        Retirement Income Security Act of 1974 (29 U.S.C. 
        1085(b)), as amended by section 102, is further 
        amended--
                  (A) in paragraph (1), by striking ``the plan 
                is not in critical status for the plan year'' 
                and inserting ``the plan is not in critical 
                status for the plan year and is not described 
                in paragraph (5),''; and
                  (B) by adding at the end the following:
          ``(5) Special rule.--A plan is described in this 
        paragraph if--
                  ``(A) as part of the actuarial certification 
                of endangered status under paragraph (3)(A) for 
                the plan year, the plan actuary certifies that 
                the plan is projected to no longer be described 
                in either paragraph (1)(A) or paragraph (1)(B) 
                as of the end of the tenth plan year ending 
                after the plan year to which the certification 
                relates, and
                  ``(B) the plan was not in critical or 
                endangered status for the immediately preceding 
                plan year.''.
          (2) Notice.--Section 305(b)(3)(D) of such Act (29 
        U.S.C. 1085(b)(3)(D)) is amended--
                  (A) by redesignating clause (iii) and clause 
                (iv) (as added by section 102(a)(3)(B)) as 
                clauses (iv) and (v), respectively; and
                  (B) by inserting after clause (ii) the 
                following:
                          ``(iii) In the case of a 
                        multiemployer plan that would be in 
                        endangered status but for paragraph 
                        (5), the plan sponsor shall provide 
                        notice to the bargaining parties and 
                        the Pension Benefit Guaranty 
                        Corporation that the plan would be in 
                        endangered status but for such 
                        paragraph.''.
                  (C) in clause (iv) (as redesignated by 
                subparagraph (A)), by striking ``clause (ii)'' 
                and inserting ``clauses (ii) and (iii)''.
          (3) Conforming amendment.--Section 305(b)(3)(A)(i) of 
        such Act (29 U.S.C. 1085(b)(3)(A)(i)) is amended by 
        inserting after ``endangered status for a plan year'' 
        the following: ``, or would be in endangered status for 
        such plan year but for paragraph (5),''.
  (b) Amendments to Internal Revenue Code of 1986.--
          (1) In general.--Section 432(b) of the Internal 
        Revenue Code of 1986, as amended by section 102, is 
        further amended--
                  (A) in paragraph (1), by striking ``the plan 
                is not in critical status for the plan year'' 
                and inserting ``the plan is not in critical 
                status for the plan year and is not described 
                in paragraph (5),''; and
                  (B) by adding at the end the following:
          ``(5) Special rule.--A plan is described in this 
        paragraph if--
                  ``(A) as part of the actuarial certification 
                of endangered status under paragraph (3)(A) for 
                the plan year, the plan actuary certifies that 
                the plan is projected to no longer be described 
                in either paragraph (1)(A) or paragraph (1)(B) 
                as of the end of the tenth plan year ending 
                after the plan year to which the certification 
                relates, and
                  ``(B) the plan was not in critical or 
                endangered status for the immediately preceding 
                plan year.''.
          (2) Notice.--Section 432(b)(3)(D) of such Code is 
        amended--
                  (A) by redesignating clause (iii) and clause 
                (iv) (as added by section 102(b)(3)(B)) as 
                clauses (iv) and (v), respectively; and
                  (B) by inserting after clause (ii) the 
                following:
                          ``(iii) In the case of a 
                        multiemployer plan that would be in 
                        endangered status but for paragraph 
                        (5), the plan sponsor shall provide 
                        notice to the bargaining parties and 
                        the Pension Benefit Guaranty 
                        Corporation that the plan would be in 
                        endangered status but for such 
                        paragraph.''.
                  (C) in clause (iv) (as redesignated by 
                subparagraph (A)), by striking ``clause (ii)'' 
                and inserting ``clauses (ii) and (iii)''.
          (3) Conforming amendment.--Section 432(b)(3)(A)(i) of 
        such Code is amended by inserting after ``endangered 
        status for a plan year'' the following: ``, or would be 
        in endangered status for such plan year but for 
        paragraph (5),''.
  (c) Effective Date.--The amendments made by this section 
shall apply with respect to plan years beginning after December 
31, 2014.

SEC. 105. CORRECT ENDANGERED STATUS FUNDING IMPROVEMENT PLAN TARGET 
                    FUNDED PERCENTAGE.

  (a) Amendment to Employee Retirement Income Security Act of 
1974.--Section 305(c)(3)(A) of the Employee Retirement Income 
Security Act of 1974 (29 U.S.C. 1085(c)(3)(A)) is amended--
          (1) in clause (i)(I), by striking ``of such period'' 
        and inserting ``of the first plan year for which the 
        plan is certified to be in endangered status pursuant 
        to paragraph (b)(3)''; and
          (2) in clause (ii), by striking ``any plan year'' and 
        inserting ``the last plan year''.
  (b) Amendment to Internal Revenue Code.--Section 432(c)(3)(A) 
of the Internal Revenue Code of 1986 is amended--
          (1) in clause (i)(I), by striking ``of such period'' 
        and inserting ``of the first plan year for which the 
        plan is certified to be in endangered status pursuant 
        to paragraph (b)(3)''; and
          (2) in clause (ii), by striking ``any plan year'' and 
        inserting ``the last plan year''.
  (c) Effective Date.--The amendments made by this section 
shall apply with respect to plan years beginning after December 
31, 2014.

SEC. 106. CONFORMING ENDANGERED STATUS AND CRITICAL STATUS RULES DURING 
                    FUNDING IMPROVEMENT AND REHABILITATION PLAN 
                    ADOPTION PERIODS.

  (a) Amendments to Employee Retirement Income Security Act of 
1974.--Section 305(d) of the Employee Retirement Income 
Security Act of 1974 (29 U.S.C. 1085(d)) is amended to read as 
follows:
  ``(d) Rules for Operation of Plan During Adoption and 
Improvement Periods.--
          ``(1) Compliance with funding improvement plan.--
                  ``(A) In general.--A plan may not be amended 
                after the date of the adoption of a funding 
                improvement plan under subsection (c) so as to 
                be inconsistent with the funding improvement 
                plan.
                  ``(B) Special rules for benefit increases.--A 
                plan may not be amended after the date of the 
                adoption of a funding improvement plan under 
                subsection (c) so as to increase benefits, 
                including future benefit accruals, unless the 
                plan actuary certifies that such increase is 
                paid for out of additional contributions not 
                contemplated by the funding improvement plan, 
                and, after taking into account the benefit 
                increase, the multiemployer plan still is 
                reasonably expected to meet the applicable 
                benchmark on the schedule contemplated in the 
                funding improvement plan.
          ``(2) Special rules for plan adoption period.--During 
        the period beginning on the date of the certification 
        under subsection (b)(3)(A) for the initial 
        determination year and ending on the date of the 
        adoption of a funding improvement plan--
                  ``(A) the plan sponsor may not accept a 
                collective bargaining agreement or 
                participation agreement with respect to the 
                multiemployer plan that provides for--
                          ``(i) a reduction in the level of 
                        contributions for any participants,
                          ``(ii) a suspension of contributions 
                        with respect to any period of service, 
                        or
                          ``(iii) any new direct or indirect 
                        exclusion of younger or newly hired 
                        employees from plan participation, and
                  ``(B) no amendment of the plan which 
                increases the liabilities of the plan by reason 
                of any increase in benefits, any change in the 
                accrual of benefits, or any change in the rate 
                at which benefits become nonforfeitable under 
                the plan may be adopted unless the amendment is 
                required as a condition of qualification under 
                part I of subchapter D of chapter 1 of the 
                Internal Revenue Code of 1986 or to comply with 
                other applicable law.''.
  (b) Amendments to Internal Revenue Code.--Section 432(d) of 
the Internal Revenue Code of 1986 is amended to read as 
follows:
  ``(d) Rules for Operation of Plan During Adoption and 
Improvement Periods.--
          ``(1) Compliance with funding improvement plan.--
                  ``(A) In general.--A plan may not be amended 
                after the date of the adoption of a funding 
                improvement plan under subsection (c) so as to 
                be inconsistent with the funding improvement 
                plan.
                  ``(B) Special rules for benefit increases.--A 
                plan may not be amended after the date of the 
                adoption of a funding improvement plan under 
                subsection (c) so as to increase benefits, 
                including future benefit accruals, unless the 
                plan actuary certifies that such increase is 
                paid for out of additional contributions not 
                contemplated by the funding improvement plan, 
                and, after taking into account the benefit 
                increase, the multiemployer plan still is 
                reasonably expected to meet the applicable 
                benchmark on the schedule contemplated in the 
                funding improvement plan.
          ``(2) Special rules for plan adoption period.--During 
        the period beginning on the date of the certification 
        under subsection (b)(3)(A) for the initial 
        determination year and ending on the date of the 
        adoption of a funding improvement plan--
                  ``(A) the plan sponsor may not accept a 
                collective bargaining agreement or 
                participation agreement with respect to the 
                multiemployer plan that provides for--
                          ``(i) a reduction in the level of 
                        contributions for any participants,
                          ``(ii) a suspension of contributions 
                        with respect to any period of service, 
                        or
                          ``(iii) any new direct or indirect 
                        exclusion of younger or newly hired 
                        employees from plan participation, and
                  ``(B) no amendment of the plan which 
                increases the liabilities of the plan by reason 
                of any increase in benefits, any change in the 
                accrual of benefits, or any change in the rate 
                at which benefits become nonforfeitable under 
                the plan may be adopted unless the amendment is 
                required as a condition of qualification under 
                part I of subchapter D of chapter 1 or to 
                comply with other applicable law.''.
  (c) Effective Date.--The amendments made by this section 
shall apply with respect to plan years beginning after December 
31, 2014.

SEC. 107. CORRECTIVE PLAN SCHEDULES WHEN PARTIES FAIL TO ADOPT IN 
                    BARGAINING.

  (a) Amendments to Employee Retirement Income Security Act of 
1974.--Section 305 of the Employee Retirement Income Security 
Act of 1974 (29 U.S.C. 1085) is amended--
          (1) in subsection (c), by amending paragraph (7) to 
        read as follows:
          ``(7) Imposition of schedule where failure to adopt 
        funding improvement plan.--
                  ``(A) Initial contribution schedule.--If--
                          ``(i) a collective bargaining 
                        agreement providing for contributions 
                        under a multiemployer plan that was in 
                        effect at the time the plan entered 
                        endangered status expires, and
                          ``(ii) after receiving one or more 
                        schedules from the plan sponsor under 
                        paragraph (1)(B), the bargaining 
                        parties with respect to such agreement 
                        fail to adopt a contribution schedule 
                        with terms consistent with the funding 
                        improvement plan and a schedule from 
                        the plan sponsor,
                the plan sponsor shall implement the schedule 
                described in paragraph (1)(B)(i)(I) beginning 
                on the date specified in subparagraph (C).
                  ``(B) Subsequent contribution schedule.--If--
                          ``(i) a collective bargaining 
                        agreement providing for contributions 
                        under a multiemployer plan in 
                        accordance with a schedule provided by 
                        the plan sponsor pursuant to a funding 
                        improvement plan (or imposed under 
                        subparagraph (A)) expires while the 
                        plan is still in endangered status, and
                          ``(ii) after receiving one or more 
                        updated schedules from the plan sponsor 
                        under paragraph (6)(B), the bargaining 
                        parties with respect to such agreement 
                        fail to adopt a contribution schedule 
                        with terms consistent with the updated 
                        funding improvement plan and a schedule 
                        from the plan sponsor,
                then the contribution schedule applicable under 
                the expired collective bargaining agreement, as 
                updated and in effect on the date the 
                collective bargaining agreement expires, shall 
                be implemented by the plan sponsor beginning on 
                the date specified in subparagraph (C).
                  ``(C) Date of implementation.--The date 
                specified in this subparagraph is the date 
                which is 180 days after the date on which the 
                collective bargaining agreement described in 
                subparagraph (A) or (B) expires.
                  ``(D) Failure to make scheduled 
                contributions.--Any failure to make a 
                contribution under a schedule of contribution 
                rates provided under this paragraph shall be 
                treated as a delinquent contribution under 
                section 515 and shall be enforceable as 
                such.'',
          (2) in subsection (e)(3), by amending subparagraph 
        (C) to read as follows:
                  ``(C) Imposition of schedule where failure to 
                adopt rehabilitation plan.--
                          ``(i) Initial contribution 
                        schedule.--If--
                                  ``(I) a collective bargaining 
                                agreement providing for 
                                contributions under a 
                                multiemployer plan that was in 
                                effect at the time the plan 
                                entered critical status 
                                expires, and
                                  ``(II) after receiving one or 
                                more schedules from the plan 
                                sponsor under paragraph (1)(B), 
                                the bargaining parties with 
                                respect to such agreement fail 
                                to adopt a contribution 
                                schedule with terms consistent 
                                with the rehabilitation plan 
                                and a schedule from the plan 
                                sponsor under paragraph 
                                (1)(B)(i),
                        the plan sponsor shall implement the 
                        schedule described in the last sentence 
                        of paragraph (1) beginning on the date 
                        specified in clause (iii).
                          ``(ii) Subsequent contribution 
                        schedule.--If--
                                  ``(I) a collective bargaining 
                                agreement providing for 
                                contributions under a 
                                multiemployer plan in 
                                accordance with a schedule 
                                provided by the plan sponsor 
                                pursuant to a rehabilitation 
                                plan (or imposed under 
                                subparagraph (C)(i)) expires 
                                while the plan is still in 
                                critical status, and
                                  ``(II) after receiving one or 
                                more updated schedules from the 
                                plan sponsor under subparagraph 
                                (B)(ii), the bargaining parties 
                                with respect to such agreement 
                                fail to adopt a contribution 
                                schedule with terms consistent 
                                with the updated rehabilitation 
                                plan and a schedule from the 
                                plan sponsor,
                        then the contribution schedule 
                        applicable under the expired collective 
                        bargaining agreement, as updated and in 
                        effect on the date the collective 
                        bargaining agreement expires, shall be 
                        implemented by the plan sponsor 
                        beginning on the date specified in 
                        clause (iii).
                          ``(iii) Date of implementation.--The 
                        date specified in this subparagraph is 
                        the date which is 180 days after the 
                        date on which the collective bargaining 
                        agreement described in clause (i) or 
                        (ii) expires.
                          ``(iv) Failure to make scheduled 
                        contributions.--Any failure to make a 
                        contribution under a schedule of 
                        contribution rates provided under this 
                        subsection shall be treated as a 
                        delinquent contribution under section 
                        515 and shall be enforceable as 
                        such.''.
  (b) Amendments to the Internal Revenue Code.--Section 432 of 
the Internal Revenue Code of 1986 is amended--
          (1) in subsection (c), by amending paragraph (7) to 
        read as follows:
          ``(7) Imposition of schedule where failure to adopt 
        funding improvement plan.--
                  ``(A) Initial contribution schedule.--If--
                          ``(i) a collective bargaining 
                        agreement providing for contributions 
                        under a multiemployer plan that was in 
                        effect at the time the plan entered 
                        endangered status expires, and
                          ``(ii) after receiving one or more 
                        schedules from the plan sponsor under 
                        paragraph (1)(B), the bargaining 
                        parties with respect to such agreement 
                        fail to adopt a contribution schedule 
                        with terms consistent with the funding 
                        improvement plan and a schedule from 
                        the plan sponsor,
                the plan sponsor shall implement the schedule 
                described in paragraph (1)(B)(i)(I) beginning 
                on the date specified in subparagraph (C).
                  ``(B) Subsequent contribution schedule.--If--
                          ``(i) a collective bargaining 
                        agreement providing for contributions 
                        under a multiemployer plan in 
                        accordance with a schedule provided by 
                        the plan sponsor pursuant to a funding 
                        improvement plan (or imposed under 
                        subparagraph (A)) expires while the 
                        plan is still in endangered status, and
                          ``(ii) after receiving one or more 
                        updated schedules from the plan sponsor 
                        under paragraph (6)(B), the bargaining 
                        parties with respect to such agreement 
                        fail to adopt a contribution schedule 
                        with terms consistent with the updated 
                        funding improvement plan and a schedule 
                        from the plan sponsor,
                then the contribution schedule applicable under 
                the expired collective bargaining agreement, as 
                updated and in effect on the date the 
                collective bargaining agreement expires, shall 
                be implemented by the plan sponsor beginning on 
                the date specified in subparagraph (C).
                  ``(C) Date of implementation.--The date 
                specified in this subparagraph is the date 
                which is 180 days after the date on which the 
                collective bargaining agreement described in 
                subparagraph (A) or (B) expires.'', and
          (2) in subsection (e)(3), by amending subparagraph 
        (C) to read as follows:
                  ``(C) Imposition of schedule where failure to 
                adopt rehabilitation plan.--
                          ``(i) Initial contribution 
                        schedule.--If--
                                  ``(I) a collective bargaining 
                                agreement providing for 
                                contributions under a 
                                multiemployer plan that was in 
                                effect at the time the plan 
                                entered critical status 
                                expires, and
                                  ``(II) after receiving one or 
                                more schedules from the plan 
                                sponsor under paragraph (1)(B), 
                                the bargaining parties with 
                                respect to such agreement fail 
                                to adopt a contribution 
                                schedule with terms consistent 
                                with the rehabilitation plan 
                                and a schedule from the plan 
                                sponsor under paragraph 
                                (1)(B)(i),
                        the plan sponsor shall implement the 
                        schedule described in the last sentence 
                        of paragraph (1) beginning on the date 
                        specified in clause (iii).
                          ``(ii) Subsequent contribution 
                        schedule.--If--
                                  ``(I) a collective bargaining 
                                agreement providing for 
                                contributions under a 
                                multiemployer plan in 
                                accordance with a schedule 
                                provided by the plan sponsor 
                                pursuant to a rehabilitation 
                                plan (or imposed under 
                                subparagraph (C)(i)) expires 
                                while the plan is still in 
                                critical status, and
                                  ``(II) after receiving one or 
                                more updated schedules from the 
                                plan sponsor under subparagraph 
                                (B)(ii), the bargaining parties 
                                with respect to such agreement 
                                fail to adopt a contribution 
                                schedule with terms consistent 
                                with the updated rehabilitation 
                                plan and a schedule from the 
                                plan sponsor,
                        then the contribution schedule 
                        applicable under the expired collective 
                        bargaining agreement, as updated and in 
                        effect on the date the collective 
                        bargaining agreement expires, shall be 
                        implemented by the plan sponsor 
                        beginning on the date specified in 
                        clause (iii).
                          ``(iii) Date of implementation.--The 
                        date specified in this subparagraph is 
                        the date which is 180 days after the 
                        date on which the collective bargaining 
                        agreement described in clause (ii) or 
                        (iii) expires.''.
  (c) Effective Date.--The amendments made by this section 
shall apply with respect to plan years beginning after December 
31, 2014.

SEC. 108. REPEAL OF REORGANIZATION RULES FOR MULTIEMPLOYER PLANS.

  (a) Amendments to Employee Retirement Income Security Act of 
1974.--
          (1) In general.--Sections 4241, 4242, 4243, 4244, and 
        4244A of the Employee Retirement Income Security Act of 
        1974 (29 U.S.C. 1421; 1422; 1423; 1424; 1425) are 
        repealed.
          (2) Modification of insolvency rules.--Section 4245 
        of such Act (29 U.S.C. 1426) is amended--
                  (A) by striking ``reorganization'' each place 
                it appears and inserting ``critical status, as 
                described in subsection 305(b)(2),'';
                  (B) in subsection (c)(2)--
                          (i) by striking ``The suspension'' 
                        and inserting ``(A) The suspension'';
                          (ii) by striking ``(within the 
                        meaning of section 4241(b)(6))''; and
                          (iii) by adding at the end the 
                        following:
          ``(B) For purposes of this paragraph--
                  ``(i) the term `person in pay status' means--
                          ``(I) a participant or beneficiary on 
                        the last day of the base plan year who, 
                        at any time during such year, was paid 
                        an early, late, normal, or disability 
                        retirement benefit (or a death benefit 
                        related to a retirement benefit), and
                          ``(II) to the extent provided in 
                        regulations prescribed by the Secretary 
                        of the Treasury, any other person who 
                        is entitled to such a benefit under the 
                        plan.
                  ``(ii) the base plan year for any plan year 
                is--
                          ``(I) if there is a relevant 
                        collective bargaining agreement, the 
                        last plan year ending at least 6 months 
                        before the relevant effective date, or
                          ``(II) if there is no relevant 
                        collective bargaining agreement, the 
                        last plan year ending at least 12 
                        months before the beginning of the plan 
                        year.
                  ``(iii) a relevant collective bargaining 
                agreement is a collective bargaining 
                agreement--
                          ``(I) which is in effect for at least 
                        6 months during the plan year, and
                          ``(II) which has not been in effect 
                        for more than 36 months as of the end 
                        of the plan year.
                  ``(iv) the relevant effective date is the 
                earliest of the effective dates for the 
                relevant collective bargaining agreements.'';
                  (C) in subsection (d)--
                          (i) in paragraph (1), by striking 
                        ``(determined in accordance with 
                        section 4243(3)(B)(ii))''; and
                          (ii) by adding at the end the 
                        following:
  ``(4) For purposes of this subsection, the value of plan 
assets shall be the value of the available plan assets 
determined under regulations prescribed by the Secretary of the 
Treasury.'';
                  (D) in subsection (e)(1)--
                          (i) in subparagraph (A), by striking 
                        ``the corporation, the parties 
                        described in section 4242(a)(2), and 
                        the plan participants and 
                        beneficiaries'' and inserting ``the 
                        parties described in section 
                        101(f)(1)''; and
                          (ii) in subparagraph (B), by striking 
                        ``section 4242(a)(2) and the plan 
                        participants and beneficiaries'' and 
                        inserting ``section 101(f)(1)''; and
                  (E) by adding at the end the following:
  ``(g) Subsections (a) and (c) shall not apply to a plan that, 
for the plan year, is operating under section 305(e)(9), 
regarding benefit suspensions by certain multiemployer plans in 
critical and declining status.''.
          (3) Conforming amendments.--
                  (A) Definition of reorganization index.--
                Section 4001(a) of such Act (29 U.S.C. 1301(a)) 
                is amended by striking paragraph (9).
                  (B) Minimum funding standards.--Section 
                304(a) of such Act (29 U.S.C. 1084(a)) is 
                amended to read as follows:
  ``(a) In General.--For purposes of section 302, the 
accumulated funding deficiency of a multiemployer plan for any 
plan year is the amount, determined as of the end of the plan 
year, equal to the excess (if any) of the total charges to the 
funding standard account of the plan for all plan years 
(beginning with the first plan year for which this part applies 
to the plan) over the total credits to such account for such 
years.''.
                  (C) Modification of part heading.--Part 3 of 
                subtitle D of title IV of such Act (29 U.S.C. 
                1421 et seq.) is amended by striking the 
                heading and inserting ``insolvent 
                plans''.
                  (D) Conforming amendment to table of 
                contents.--The table of contents in section 1 
                of such Act (29 U.S.C. 1001 note) is amended by 
                striking the items relating to sections 4241 
                through 4244A.
  (b) Amendments to the Internal Revenue Code.--
          (1) In general.--Sections 418, 418A, 418B, 418C, and 
        418D of the Internal Revenue Code of 1986 are repealed.
          (2) Modification of insolvency rules.--Section 418E 
        of such Code is amended--
                  (A) by striking ``reorganization'' each place 
                it appears and inserting ``critical status, as 
                described in subsection 432(b)(2),'';
                  (B) in subsection (c)(2)--
                          (i) by striking ``The suspension'' 
                        and inserting ``(A) The suspension'';
                          (ii) by striking ``(within the 
                        meaning of section 418(b)(6))''; and
                          (iii) by adding at the end the 
                        following:
          ``(B) For purposes of this paragraph--
                  ``(i) the term `person in pay status' means--
                          ``(I) a participant or beneficiary on 
                        the last day of the base plan year who, 
                        at any time during such year, was paid 
                        an early, late, normal, or disability 
                        retirement benefit (or a death benefit 
                        related to a retirement benefit), and
                          ``(II) to the extent provided in 
                        regulations prescribed by the Secretary 
                        of the Treasury, any other person who 
                        is entitled to such a benefit under the 
                        plan.
                  ``(ii) the base plan year for any plan year 
                is--
                          ``(I) if there is a relevant 
                        collective bargaining agreement, the 
                        last plan year ending at least 6 months 
                        before the relevant effective date, or
                          ``(II) if there is no relevant 
                        collective bargaining agreement, the 
                        last plan year ending at least 12 
                        months before the beginning of the plan 
                        year.
                  ``(iii) a relevant collective bargaining 
                agreement is a collective bargaining 
                agreement--
                          ``(I) which is in effect for at least 
                        6 months during the plan year, and
                          ``(II) which has not been in effect 
                        for more than 36 months as of the end 
                        of the plan year.
                  ``(iv) the relevant effective date is the 
                earliest of the effective dates for the 
                relevant collective bargaining agreements.'';
                  (C) in subsection (d)--
                          (i) in paragraph (1), by striking 
                        ``(determined in accordance with 
                        section 418B(3)(B)(ii))'';
                          (ii) by adding at the end the 
                        following:
          ``(4) For purposes of this subsection, the value of 
        plan assets shall be the value of the available plan 
        assets determined under regulations prescribed by the 
        Secretary of the Treasury.'';
                  (D) in subsection (e)(1)--
                          (i) in subparagraph (A), by striking 
                        ``the corporation, the parties 
                        described in section 418A(a)(2), and 
                        the plan participants and 
                        beneficiaries'' and inserting ``the 
                        parties described in section 101(f)(1) 
                        of the Employee Retirement Income 
                        Security Act of 1974''; and
                          (ii) in subparagraph (B), by striking 
                        ``section 418A(a)(2) and the plan 
                        participants and beneficiaries'' and 
                        inserting ``section 101(f)(1) of the 
                        Employee Retirement Income Security Act 
                        of 1974''; and
                  (E) by adding at the end the following:
  ``(h) Subsections (a) and (c) shall not apply to a plan that, 
for the plan year, is operating under section 432(e)(9), 
regarding benefit suspensions by certain multiemployer plans in 
critical and declining status.''.
          (3) Conforming amendments.--
                  (A) Minimum funding standards.--Section 
                431(a) of the Internal Revenue Code of 1986 is 
                amended to read as follows:
  ``(a) In General.--For purposes of section 412, the 
accumulated funding deficiency of a multiemployer plan for any 
plan year is the amount, determined as of the end of the plan 
year, equal to the excess (if any) of the total charges to the 
funding standard account of the plan for all plan years 
(beginning with the first plan year for which this part applies 
to the plan) over the total credits to such account for such 
years.''.
                  (B) Modification of subpart heading.--Subpart 
                C of part I of subchapter D of chapter 1 of 
                such Code is amended by striking the heading 
                and inserting ``INSOLVENT PLANS''.
                  (C) Conforming amendment to table of 
                contents.--The table of contents for such 
                subpart C is amended by striking the items 
                relating to sections 418 through 418D.
                  (D) Conforming amendment to table of 
                subparts.--The table of subparts for part I of 
                subchapter D of chapter 1 of such Code is 
                amended by striking the heading and inserting 
                ``insolvent plans''.
  (c) Effective Date.--The amendments made by this section 
shall apply with respect to plan years beginning after December 
31, 2014.

SEC. 109. DISREGARD OF CERTAIN CONTRIBUTION INCREASES FOR WITHDRAWAL 
                    LIABILITY PURPOSES.

  (a) Amendment to Employee Retirement Income Security Act of 
1974.--Section 305 of the Employee Retirement Income Security 
Act of 1974 (29 U.S.C. 1085) is amended--
          (1) in subsection (e), by striking paragraph (9);
          (2) in subsection (f)--
                  (A) by striking paragraph (3) and 
                redesignating paragraph (4) as paragraph (3); 
                and
                  (B) in paragraph (3) (as redesignated by 
                subparagraph (A)), by striking ``During the 
                rehabilitation plan adoption period--'' and 
                inserting ``During the period beginning on the 
                date of the certification under subsection 
                (b)(3)(A) for the initial critical year and 
                ending on the date of the adoption of a 
                rehabilitation plan--'';
          (3) by redesignating subsections (g), (h), and (i) as 
        subsections (h), (i), and (j), respectively; and
          (4) by inserting after subsection (f) the following:
  ``(g) Adjustments Disregarded in Withdrawal Liability 
Determination.--
          ``(1) Benefit reduction.--Any benefit reductions 
        under subsection (e)(8) or (f) shall be disregarded in 
        determining a plan's unfunded vested benefits for 
        purposes of determining an employer's withdrawal 
        liability under section 4201.
          ``(2) Surcharges.--Any surcharges under subsection 
        (e)(7) shall be disregarded in determining the 
        allocation of unfunded vested benefits to an employer 
        under section 4211 and in determining the highest 
        contribution rate under section 4219(c), except for 
        purposes of determining the unfunded vested benefits 
        attributable to an employer under section 4211(c)(4) or 
        a comparable method approved under section 4211(c)(5).
          ``(3) Contribution increases required by funding 
        improvement or rehabilitation plan.--
                  ``(A) In general.--Any increase in the 
                contribution rate (or other increase in 
                contribution requirements unless due to 
                increased levels of work, employment, or 
                periods for which compensation is provided) 
                that is required or made in order to enable the 
                plan to meet the requirement of the funding 
                improvement plan or rehabilitation plan shall 
                be disregarded in determining the allocation of 
                unfunded vested benefits to an employer under 
                section 4211 and in determining the highest 
                contribution rate under section 4219(c), except 
                for purposes of determining the unfunded vested 
                benefits attributable to an employer under 
                section 4211(c)(4) or a comparable method 
                approved under section 4211(c)(5).
                  ``(B) Special rules.--For purposes of this 
                paragraph, any increase in the contribution 
                rate (or other increase in contribution 
                requirements) shall be deemed to be required or 
                made in order to enable the plan to meet the 
                requirement of the funding improvement plan or 
                rehabilitation plan except for increases in 
                contribution requirements due to increased 
                levels of work, employment, or periods for 
                which compensation is provided or additional 
                contributions are used to provide an increase 
                in benefits, including an increase in future 
                benefit accruals, permitted by subsection 
                (d)(1)(B) or (f)(1)(B).
          ``(4) Emergence from endangered or critical status.--
        In the case of increases in the contribution rate (or 
        other increases in contribution requirements unless due 
        to increased levels of work, employment, or periods for 
        which compensation is provided) disregarded pursuant to 
        paragraph (3), this subsection shall cease to apply as 
        of the expiration date of the collective bargaining 
        agreement in effect when the plan emerges from 
        endangered or critical status. Notwithstanding the 
        preceding sentence, once the plan emerges from critical 
        or endangered status, increases in the contribution 
        rate disregarded pursuant to paragraph (3) shall 
        continue to be disregarded in determining the highest 
        contribution rate under section 4219(c) for plan years 
        during which the plan was in endangered or critical 
        status.
          ``(5) Simplified calculations.--The Pension Benefit 
        Guaranty Corporation shall prescribe simplified methods 
        for the application of this subsection in determining 
        withdrawal liability and payment amounts under section 
        4219(c).''.
  (b) Amendments to Internal Revenue Code.--Section 432 of the 
Internal Revenue Code of 1986 is amended--
          (1) in subsection (e), by striking paragraph (9),
          (2) in subsection (f)--
                  (A) by striking paragraph (3) and 
                redesignating paragraph (4) as paragraph (3); 
                and
                  (B) in paragraph (4) (as redesignated by 
                subparagraph (A)), striking ``During the 
                rehabilitation plan adoption period--'' and 
                inserting ``During the period beginning on the 
                date of the certification under subsection 
                (b)(3)(A) for the initial critical year and 
                ending on the date of the adoption of a 
                rehabilitation plan--'';
          (3) by redesignating subsections (g), (h), and (i) as 
        subsections (h), (i), and (j), respectively; and
          (4) by inserting after subsection (f) the following:
  ``(g) Adjustments Disregarded in Withdrawal Liability 
Determination.--
          ``(1) Benefit reduction.--Any benefit reductions 
        under subsection (e)(8) or (f) shall be disregarded in 
        determining a plan's unfunded vested benefits for 
        purposes of determining an employer's withdrawal 
        liability under section 4201 of the Employee Retirement 
        Income Security Act of 1974.
          ``(2) Surcharges.--Any surcharges under subsection 
        (e)(7) shall be disregarded in determining the 
        allocation of unfunded vested benefits to an employer 
        under section 4211 of the Employee Retirement Income 
        Security Act of 1974 and in determining the highest 
        contribution rate under section 4219(c) of such Act, 
        except for purposes of determining the unfunded vested 
        benefits attributable to an employer under section 
        4211(c)(4) of such Act or a comparable method approved 
        under section 4211(c)(5) of such Act.
          ``(3) Contribution increases required by funding 
        improvement or rehabilitation plan.--
                  ``(A) In general.--Any increase in the 
                contribution rate (or other increase in 
                contribution requirements unless due to 
                increased levels of work, employment, or 
                periods for which compensation is provided) 
                that is required or made in order to enable the 
                plan to meet the requirement of the funding 
                improvement plan or rehabilitation plan shall 
                be disregarded in determining the allocation of 
                unfunded vested benefits to an employer under 
                section 4211 of such Act and in determining the 
                highest contribution rate under section 4219(c) 
                of such Act, except for purposes of determining 
                the unfunded vested benefits attributable to an 
                employer under section 4211(c)(4) of such Act 
                or a comparable method approved under section 
                4211(c)(5) of such Act.
                  ``(B) Special rules.--For purposes of this 
                paragraph, any increase in the contribution 
                rate (or other increase in contribution 
                requirements) shall be deemed to be required or 
                made in order to enable the plan to meet the 
                requirement of the funding improvement plan or 
                rehabilitation plan except for increases in 
                contribution requirements due to increased 
                levels of work, employment, or periods for 
                which compensation is provided or additional 
                contributions are used to provide an increase 
                in benefits, including an increase in future 
                benefit accruals, permitted by subsection 
                (d)(1)(B) or (f)(1)(B).
          ``(4) Emergence from endangered or critical status.--
        In the case of increases in the contribution rate (or 
        other increases in contribution requirements unless due 
        to increased levels of work, employment, or periods for 
        which compensation is provided) disregarded pursuant to 
        paragraph (3), this subsection shall cease to apply as 
        of the expiration date of the collective bargaining 
        agreement in effect when the plan emerges from 
        endangered or critical status. Notwithstanding the 
        preceding sentence, once the plan emerges from critical 
        or endangered status, increases in the contribution 
        rate disregarded pursuant to paragraph (3) shall 
        continue to be disregarded in determining the highest 
        contribution rate under section 4219(c) of such Act for 
        plan years during which the plan was in endangered or 
        critical status.
          ``(5) Simplified calculations.--The Pension Benefit 
        Guaranty Corporation shall prescribe simplified methods 
        for the application of this subsection in determining 
        withdrawal liability and payment amounts under section 
        4219(c) of such Act.''.
  (c) Effective Date.--The amendments made by this section 
shall apply to benefit reductions and increases in the 
contribution rate or other required contribution increases that 
go into effect during plan years beginning after December 31, 
2014 and to surcharges the obligation for which accrue on or 
after December 31, 2014.

SEC. 110. GUARANTEE FOR PRE-RETIREMENT SURVIVOR ANNUITIES UNDER 
                    MULTIEMPLOYER PENSION PLANS.

  (a) In General.--Section 4022A(c) of the Employee Retirement 
Income Security Act of 1974 (29 U.S.C. 1322a(c)) is amended by 
adding at the end the following:
          ``(4) For purposes of subsection (a), in the case of 
        a qualified preretirement survivor annuity (as defined 
        in section 205(e)(1)) payable to the surviving spouse 
        of a participant under a multiemployer plan which 
        becomes insolvent under section 4245(b) or 4281(d)(2) 
        or is terminated, such annuity shall not be treated as 
        forfeitable solely because the participant has not died 
        as of the date on which the plan became so insolvent or 
        the termination date.''.
  (b) Retroactive Application.--The amendment made by this 
section shall apply with respect to multiemployer plan benefit 
payments becoming payable on or after January 1, 1985, except 
that the amendment shall not apply in any case where the 
surviving spouse has died before the date of the enactment of 
this Act.

SEC. 111. REQUIRED DISCLOSURE OF MULTIEMPLOYER PLAN INFORMATION.

  (a) In General.--Section 101(k)(1) of the Employee Retirement 
Income Security Act of 1974 (29 U.S.C. 1021(k)(1)) is amended 
to read as follows:
          ``(1) In general.--Each administrator of a defined 
        benefit plan that is a multiemployer plan shall, upon 
        written request, furnish to any plan participant or 
        beneficiary, employee representative, or any employer 
        that has an obligation to contribute to the plan a copy 
        of--
                  ``(A) the current plan document (including 
                any amendments thereto),
                  ``(B) the latest summary plan description of 
                the plan,
                  ``(C) the current trust agreement (including 
                any amendments thereto), or any other 
                instrument or agreement under which the plan is 
                established or operated,
                  ``(D) in the case of a request by an 
                employer, any participation agreement with 
                respect to the plan for such employer that 
                relates to the employer's plan participation 
                during the current or any of the 5 immediately 
                preceding plan years,
                  ``(E) the annual report filed under section 
                104 for any plan year,
                  ``(F) the plan funding notice provided under 
                subsection (f) for any plan year,
                  ``(G) any periodic actuarial report 
                (including any sensitivity testing) received by 
                the plan for any plan year which has been in 
                the plan's possession for at least 30 days,
                  ``(H) any quarterly, semi-annual, or annual 
                financial report prepared for the plan by any 
                plan investment manager or advisor or other 
                fiduciary which has been in the plan's 
                possession for at least 30 days,
                  ``(I) audited financial statements of the 
                plan for any plan year,
                  ``(J) any application filed with the 
                Secretary of the Treasury requesting an 
                extension under section 304(d) of this Act or 
                section 431(d) of the Internal Revenue Code of 
                1986 and the determination of such Secretary 
                pursuant to such application, and
                  ``(K) in the case of a plan which was in 
                critical or endangered status under section 305 
                for a plan year, the latest funding improvement 
                or rehabilitation plan, and the contribution 
                schedules applicable with respect to such 
                funding improvement or rehabilitation plan 
                (other than a contribution schedule applicable 
                to a specific employer).''.
  (b) Limitations on Disclosure.--Section 101(k)(3) of such Act 
(29 U.S.C. 1021(k)(3)) is amended by striking the 1st sentence 
and inserting the following: ``In no case shall a participant, 
beneficiary, employee representative, or employer be entitled 
under this subsection to receive more than one copy of any 
document described in paragraph (1) during any one 12-month 
period, or, in the case of any document described in 
subparagraph (E), (F), (G), (H) or (I) of paragraph (1), a copy 
of any such document that as of the date on which the request 
is received by the administrator, has been in the 
administrator's possession for 6 years or more. If the 
administrator provides a copy of a document described in 
paragraph (1) to any person upon request, the administrator 
shall be considered as having met any obligation the 
administrator may have under any other provision of this title 
to furnish a copy of the same document to such person upon 
request.''.
  (c) Retention of Records.--Section 107 of such Act (29 U.S.C. 
1027) is amended--
          (1) by inserting ``(including the documents described 
        in subparagraphs (E) through (I) of section 101(k))'' 
        after ``file any report''; and
          (2) by inserting ``a copy of such report and'' after 
        ``shall maintain''.
  (d) Civil Enforcement.--Section 502(a) of such Act (29 U.S.C. 
1132(a)) is amended--
          (1) in paragraph (9), by striking ``or'' at the end;
          (2) in paragraph (10), by striking the period at the 
        end and inserting ``; or''; and
          (3) by adding at the end the following:
          ``(11) in the case of a multiemployer plan, by an 
        employee representative, or any employer that has an 
        obligation to contribute to the plan, (A) to enjoin any 
        act or practice which violates subsection (k) of 
        section 101 (or, in the case of an employer, subsection 
        (l) of such section), or (B) to obtain appropriate 
        equitable relief (i) to redress such violation or (ii) 
        to enforce such subsection.''.
  (e) Effective Date.--The amendments made by this section 
shall apply with respect to plan years beginning after December 
31, 2014.

         Subtitle B--Multiemployer Plan Mergers and Partitions

SEC. 121. MERGERS.

  (a) PBGC Assistance for Multiemployer Plan Mergers.--Section 
4231 of the Employee Retirement Income Security Act of 1974 (29 
U.S.C. 1411) is amended by adding at the end the following:
  ``(e) Facilitated Mergers.--
          ``(1) In general.--When requested to do so by the 
        plan sponsors, the corporation may take such actions as 
        it deems appropriate to promote and facilitate the 
        merger of two or more multiemployer plans if it 
        determines, after consultation with the Participant and 
        Plan Sponsor Advocate selected under section 4004, that 
        the transaction is in the interests of the participants 
        and beneficiaries of at least one of the plans and is 
        not reasonably expected to be adverse to the overall 
        interests of the participants and beneficiaries of any 
        of the plans. Such facilitation may include training, 
        technical assistance, mediation, communication with 
        stakeholders, and support with related requests to 
        other government agencies.
          ``(2) Financial assistance.--In order to facilitate a 
        merger which it determines is necessary to enable one 
        or more of the plans involved to avoid or postpone 
        insolvency, the corporation may provide financial 
        assistance (within the meaning of section 4261) to the 
        merged plan if--
                  ``(A) one or more of the multiemployer plans 
                participating in the merger is in critical and 
                declining status (as defined in section 
                305(b)(4));
                  ``(B) the corporation reasonably expects 
                that--
                          ``(i) such financial assistance will 
                        reduce the corporation's expected long-
                        term loss with respect to the plans 
                        involved; and
                          ``(ii) such financial assistance is 
                        necessary for the merged plan to become 
                        or remain solvent;
                  ``(C) the corporation certifies that its 
                ability to meet existing financial assistance 
                obligations to other plans will not be impaired 
                by such financial assistance; and
                  ``(D) such financial assistance is paid 
                exclusively from the fund for basic benefits 
                guaranteed for multiemployer plans.
        Not later than 14 days after the provision of such 
        financial assistance, the corporation shall provide 
        notice of such financial assistance to the Committee on 
        Education and the Workforce of the House of 
        Representatives, the Committee on Ways and Means of the 
        House of Representatives, the Committee on Finance of 
        the Senate, and the Committee on Health, Education, 
        Labor, and Pensions of the Senate.''.
  (b) Effective Date.--The amendments made by this section 
shall apply with respect to plan years beginning after December 
31, 2014.

SEC. 122. PARTITIONS OF ELIGIBLE MULTIEMPLOYER PLANS.

  (a) In General.--
          (1) In general.--Section 4233 of the Employee 
        Retirement Income Security Act of 1974 (29 U.S.C. 1413) 
        is amended to read as follows:

``SEC. 4233. PARTITIONS OF ELIGIBLE MULTIEMPLOYER PLANS.

  ``(a)(1) Upon the application by the plan sponsor of an 
eligible multiemployer plan for a partition of the plan, the 
corporation may order a partition of the plan in accordance 
with this section. The corporation shall make a determination 
regarding the application not later than 270 days after the 
date such application was filed (or, if later, the date such 
application was completed) in accordance with regulations 
promulgated by the corporation.
  ``(2) Not later than 30 days after submitting an application 
for partition of a plan under paragraph (1), the plan sponsor 
of the plan shall notify the participants and beneficiaries of 
such application, in the form and manner prescribed by 
regulations issued by the corporation.
  ``(b) For purposes of this section, a multiemployer plan is 
an eligible multiemployer plan if--
          ``(1) the plan is in critical and declining status 
        (as defined in section 305(b)(4));
          ``(2) the corporation determines, after consultation 
        with the Participant and Plan Sponsor Advocate selected 
        under section 4004, that the plan sponsor has taken (or 
        is taking concurrently with an application for 
        partition) all reasonable measures to avoid insolvency, 
        including the maximum benefit suspensions under section 
        305(e)(9), if applicable;
          ``(3) the corporation reasonably expects that--
                  ``(A) a partition of the plan will reduce the 
                corporation's expected long-term loss with 
                respect to the plan; and
                  ``(B) a partition of the plan is necessary 
                for the plan to remain solvent;
          ``(4) the corporation certifies to Congress that its 
        ability to meet existing financial assistance 
        obligations to other plans (including any liabilities 
        associated with multiemployer plans that are insolvent 
        or that are projected to become insolvent within 10 
        years) will not be impaired by such partition; and
          ``(5) the cost to the corporation arising from such 
        partition is paid exclusively from the fund for basic 
        benefits guaranteed for multiemployer plans.
  ``(c) The corporation's partition order shall provide for a 
transfer to the plan referenced in subsection (d)(1) of the 
minimum amount of the plan's liabilities necessary for the plan 
to remain solvent.
  ``(d)(1) The plan created by the partition order is a 
successor plan to which section 4022A applies.
  ``(2) The plan sponsor of an eligible multiemployer plan 
prior to the partition and the administrator of such plan shall 
be the plan sponsor and the administrator, respectively, of the 
plan created by the partition order.
  ``(3) In the event an employer withdraws from the plan that 
was partitioned within ten years following the date of the 
partition order, withdrawal liability shall be computed under 
section 4201 with respect to both the plan that was partitioned 
and the plan created by the partition order. If the withdrawal 
occurs more than ten years after the date of the partition 
order, withdrawal liability shall be computed under section 
4201 only with respect to the plan that was partitioned (and 
not with respect to the plan created by the partition order).
  ``(e)(1) For each participant or beneficiary of the plan 
whose benefit was transferred to the plan created by the 
partition order pursuant to a partition, the plan that was 
partitioned shall pay a monthly benefit to such participant or 
beneficiary for each month in which such benefit is in pay 
status following the effective date of such partition in an 
amount equal to the excess of--
          ``(A) the monthly benefit that would be paid to such 
        participant or beneficiary for such month under the 
        terms of the plan (taking into account benefit 
        suspensions under section 305(e)(9) and any plan 
        amendments following the effective date of such 
        partition) if the partition had not occurred, over
          ``(B) the monthly benefit for such participant or 
        beneficiary which is guaranteed under section 4022A.
  ``(2) In any case in which a plan provides a benefit 
improvement (as defined in section 305(e)(9)(E)(vi)) that takes 
effect after the effective date of the partition, the plan 
shall pay to the corporation for each year during the 10-year 
period following the partition effective date, an annual amount 
equal to the lesser of--
          ``(A) the total value of the increase in benefit 
        payments for such year that is attributable to the 
        benefit improvement, or
          ``(B) the total benefit payments from the plan 
        created by the partition for such year.
Such payment shall be made at the time of, and in addition to, 
any other premium imposed by the corporation under this title.
  ``(3) The plan that was partitioned shall pay the premiums 
imposed by the corporation under this title with respect to 
participants whose benefits were transferred to the plan 
created by the partition order for each year during the 10-year 
period following the partition effective date.
  ``(f) Not later than 14 days after the partition order, the 
corporation shall provide notice of such order to the Committee 
on Education and the Workforce of the House of Representatives, 
the Committee on Ways and Means of the House of 
Representatives, the Committee on Finance of the Senate, the 
Committee on Health, Education, Labor, and Pensions of the 
Senate, and any affected participants or beneficiaries.''.
  (b) Effective Date.--The amendments made by this section 
shall apply with respect to plan years beginning after December 
31, 2014.

   Subtitle C--Strengthening the Pension Benefit Guaranty Corporation

SEC. 131. PREMIUM INCREASES FOR MULTIEMPLOYER PLANS.

  (a) Increase in Premium Rate for Multiemployer Plans.--
Section 4006(a)(3) of the Employee Retirement Income Security 
Act of 1974 (29 U.S.C. 1306(a)(3)) is amended--
          (1) in subparagraph (A)--
                  (A) in clause (iv), by striking ``or'' at the 
                end;
                  (B) in clause (v)--
                          (i) by inserting ``and before January 
                        1, 2015,'' after ``December 31, 
                        2012,''; and
                          (ii) by striking the period at the 
                        end and inserting ``, or''; and
                  (C) by adding at the end the following:
          ``(vi) in the case of a multiemployer plan, for plan 
        years beginning after December 31, 2014, $26 for each 
        individual who is a participant in such plan during the 
        applicable plan year.''; and
          (2) by adding at the end the following:
  ``(M) For each plan year beginning in a calendar year after 
2015, there shall be substituted for the dollar amount 
specified in clause (vi) of subparagraph (A) an amount equal to 
the greater of--
          ``(i) the product derived by multiplying such dollar 
        amount by the ratio of--
                  ``(I) the national average wage index (as 
                defined in section 209(k)(1) of the Social 
                Security Act) for the first of the 2 calendar 
                years preceding the calendar year in which such 
                plan year begins, to
                  ``(II) the national average wage index (as so 
                defined) for 2013; and
          ``(ii) such dollar amount for plan years beginning in 
        the preceding calendar year.
If the amount determined under this subparagraph is not a 
multiple of $1, such product shall be rounded to the nearest 
multiple of $1.''.
  (b) Treatment of Certain Funds.--Section 4005(b)(3) of such 
Act (29 U.S.C. 1305(b)(3)) is amended--
          (1) by striking ``Whenever'' and inserting ``(A) 
        Whenever''; and
          (2) by adding at the end the following:
  ``(B) Notwithstanding subparagraph (A)--
          ``(i) the amounts of premiums received under section 
        4006 with respect to the fund to be used for basic 
        benefits under section 4022A in a fiscal year in the 
        period beginning with fiscal year 2016 and ending with 
        fiscal year 2020 shall be placed in a noninterest-
        bearing account within such fund in the following 
        amounts:
                  ``(I) for fiscal year 2016, $108,000,000;
                  ``(II) for fiscal year 2017, $111,000,000;
                  ``(III) for fiscal year 2018, $113,000,000;
                  ``(IV) for fiscal year 2019, $149,000,000; 
                and
                  ``(V) for fiscal year 2020, $296,000,000;
          ``(ii) premiums received in fiscal years specified in 
        subclauses (I) through (V) of clause (i) shall be 
        allocated in order first to the noninterest-bearing 
        account in the amount specified and second to any other 
        accounts within such fund; and
          ``(iii) financial assistance, as provided under 
        section 4261, shall be withdrawn proportionately from 
        the noninterest-bearing and other accounts within the 
        fund.''.
  (c) Report.--In addition to any other report required by 
section 4022A(f), not later than June 1, 2016, the Pension 
Benefit Guaranty Corporation shall submit to Congress a report 
that includes--
          (1) an analysis of whether the premium levels enacted 
        under the amendment made by subsection (a) are 
        sufficient for the Pension Benefit Guaranty Corporation 
        to meet its projected mean stochastic basic benefit 
        guarantee obligations for the ten- and twenty-year 
        periods beginning with 2015, including an explanation 
        of the assumptions underlying this analysis; and
          (2) if the analysis under paragraph (1) concludes 
        that the premium levels are insufficient to meet such 
        obligations (or are in excess of the levels sufficient 
        to meet such obligations), a proposed schedule of 
        revised premiums sufficient to meet (but not exceed) 
        such obligations.
  (d) Effective Date.--The amendments made by subsection (a) 
shall apply with respect to plan years beginning after December 
31, 2014.

        TITLE II--REMEDIATION MEASURES FOR DEEPLY TROUBLED PLANS

SEC. 201. CONDITIONS, LIMITATIONS, DISTRIBUTION AND NOTICE 
                    REQUIREMENTS, AND APPROVAL PROCESS FOR BENEFIT 
                    SUSPENSIONS UNDER MULTIEMPLOYER PLANS IN CRITICAL 
                    AND DECLINING STATUS.

  (a) Amendments to Employee Retirement Income Security Act of 
1974.--
          (1) General rule for plan in critical and declining 
        status.--Section 305(a) of the Employee Retirement 
        Income Security Act of 1974 (29 U.S.C. 1085(a)) is 
        amended--
                  (A) in paragraph (1)(B), by striking ``and'' 
                at the end;
                  (B) in paragraph (2)(B), by striking the 
                period at the end and inserting ``, and''; and
                  (C) by adding at the end the following:
          ``(3) if the plan is in critical and declining 
        status--
                  ``(A) the requirements of paragraph (2) shall 
                apply to the plan; and
                  ``(B) the plan sponsor may, by plan 
                amendment, suspend benefits in accordance with 
                the requirements of subsection (e)(9).''.
          (2) Critical and declining status defined.--Section 
        305(b) of the Employee Retirement Income Security Act 
        of 1974 (29 U.S.C. 1085(b)), as amended by sections 102 
        and 104, is further amended by adding at the end the 
        following:
          ``(6) Critical and declining status.--For purposes of 
        this section, a plan in critical status shall be 
        treated as in critical and declining status if the plan 
        is described in one or more of subparagraphs (A), (B), 
        (C), and (D) of paragraph (2) and the plan is projected 
        to become insolvent within the meaning of section 4245 
        during the current plan year or any of the 14 
        succeeding plan years (19 succeeding plan years if the 
        plan has a ratio of inactive participants to active 
        participants that exceeds 2 to 1 or if the funded 
        percentage of the plan is less than 80 percent).''.
          (3) Annual certification.--Section 305(b)(3)(A)(i) of 
        the Employee Retirement Income Security Act of 1974 (29 
        U.S.C. 1085(b)(3)(A)(i)) is amended--
                  (A) by striking ``and whether'' and inserting 
                ``, whether'', and
                  (B) by inserting ``, and whether or not the 
                plan is or will be in critical and declining 
                status for such plan year'' before ``, and'' at 
                the end.
          (4) Annual funding notices.--Section 101(f)(2)(B) of 
        such Act (29 U.S.C. 1021(f)(2)(B)) is amended--
                  (A) by redesignating clauses (vi) through (x) 
                as clauses (vii) through (xi), respectively; 
                and
                  (B) by inserting after clause (v) the 
                following:
                          ``(vi) in the case of a multiemployer 
                        plan, whether the plan was in critical 
                        and declining status under section 305 
                        for such plan year and, if so--
                                  ``(I) the projected date of 
                                insolvency;
                                  ``(II) a clear statement that 
                                such insolvency may result in 
                                benefit reductions; and
                                  ``(III) a statement 
                                describing whether the plan 
                                sponsor has taken legally 
                                permitted actions to prevent 
                                insolvency.''.
          (5) Projections of assets and liabilities.--Section 
        305(b)(3)(B) of the Employee Retirement Income Security 
        Act of 1974 (29 U.S.C. 1085(b)(3)(B)) is amended by 
        adding at the end the following:
                          ``(iv) Projections of critical and 
                        declining status.--In determining 
                        whether a plan is in critical and 
                        declining status as described in 
                        subsection (e)(9), clauses (i), (ii), 
                        and (iii) shall apply, except that--
                                  ``(I) if reasonable, the plan 
                                actuary shall assume that each 
                                contributing employer in 
                                compliance continues to comply 
                                through the end of the 
                                rehabilitation period or such 
                                later time as provided in 
                                subsection (e)(3)(A)(ii) with 
                                the terms of the rehabilitation 
                                plan that correspond to the 
                                schedule adopted or imposed 
                                under subsection (e), and
                                  ``(II) the plan actuary shall 
                                take into account any 
                                suspensions of benefits 
                                described in subsection (e)(9) 
                                adopted in a prior plan year 
                                that are still in effect.''.
          (6) Benefit suspensions for multiemployer plans in 
        critical and declining status.--Section 305(e) of the 
        Employee Retirement Income Security Act of 1974 (29 
        U.S.C. 1085(e)) (as amended by section 109) is amended 
        by inserting after paragraph (8) the following:
          ``(9) Benefit suspensions for multiemployer plans in 
        critical and declining status.--
                  ``(A) In general.--Notwithstanding section 
                204(g) and subject to subparagraphs (B) through 
                (I), the plan sponsor of a plan in critical and 
                declining status may, by plan amendment, 
                suspend benefits which the sponsor deems 
                appropriate.
                  ``(B) Suspension of benefits.--
                          ``(i) Suspension of benefits 
                        defined.--For purposes of this 
                        subsection, the term `suspension of 
                        benefits' means the temporary or 
                        permanent reduction of any current or 
                        future payment obligation of the plan 
                        to any participant or beneficiary under 
                        the plan, whether or not in pay status 
                        at the time of the suspension of 
                        benefits.
                          ``(ii) Length of suspensions.--Any 
                        suspension of benefits made under 
                        subparagraph (A) shall remain in effect 
                        until the earlier of when the plan 
                        sponsor provides benefit improvements 
                        in accordance with subparagraph (E) or 
                        the suspension of benefits expires by 
                        its own terms.
                          ``(iii) No liability.--The plan shall 
                        not be liable for any benefit payments 
                        not made as a result of a suspension of 
                        benefits under this paragraph.
                          ``(iv) Applicability.--For purposes 
                        of this paragraph, all references to 
                        suspensions of benefits, increases in 
                        benefits, or resumptions of suspended 
                        benefits with respect to participants 
                        shall also apply with respect to 
                        benefits of beneficiaries or 
                        alternative payees of participants.
                          ``(v) Retiree representative.--
                                  ``(I) In general.--In the 
                                case of a plan with 10,000 or 
                                more participants, not later 
                                than 60 days prior to the plan 
                                sponsor submitting an 
                                application to suspend 
                                benefits, the plan sponsor 
                                shall select a participant of 
                                the plan in pay status to act 
                                as a retiree representative. 
                                The retiree representative 
                                shall advocate for the 
                                interests of the retired and 
                                deferred vested participants 
                                and beneficiaries of the plan 
                                throughout the suspension 
                                approval process.
                                  ``(II) Reasonable expenses 
                                from plan.--The plan shall 
                                provide for reasonable expenses 
                                by the retiree representative, 
                                including reasonable legal and 
                                actuarial support, commensurate 
                                with the plan's size and funded 
                                status.
                                  ``(III) Special rule relating 
                                to fiduciary status.--Duties 
                                performed pursuant to subclause 
                                (I) shall not be subject to 
                                section 404(a). The preceding 
                                sentence shall not apply to 
                                those duties associated with an 
                                application to suspend benefits 
                                pursuant to subparagraph (G) 
                                that are performed by the 
                                retiree representative who is 
                                also a plan trustee.
                  ``(C) Conditions for suspensions.--The plan 
                sponsor of a plan in critical and declining 
                status for a plan year may suspend benefits 
                only if the following conditions are met:
                          ``(i) Taking into account the 
                        proposed suspensions of benefits (and, 
                        if applicable, a proposed partition of 
                        the plan under section 4233), the plan 
                        actuary certifies that the plan is 
                        projected to avoid insolvency within 
                        the meaning of section 4245, assuming 
                        the suspensions of benefits continue 
                        until the suspensions of benefits 
                        expire by their own terms or if no such 
                        expiration date is set, indefinitely.
                          ``(ii) The plan sponsor determines, 
                        in a written record to be maintained 
                        throughout the period of the benefit 
                        suspension, that the plan is still 
                        projected to become insolvent unless 
                        benefits are suspended under this 
                        paragraph, although all reasonable 
                        measures to avoid insolvency have been 
                        taken (and continue to be taken during 
                        the period of the benefit suspension). 
                        In its determination, the plan sponsor 
                        may take into account factors including 
                        the following:
                                  ``(I) Current and past 
                                contribution levels.
                                  ``(II) Levels of benefit 
                                accruals (including any prior 
                                reductions in the rate of 
                                benefit accruals).
                                  ``(III) Prior reductions (if 
                                any) of adjustable benefits.
                                  ``(IV) Prior suspensions (if 
                                any) of benefits under this 
                                subsection.
                                  ``(V) The impact on plan 
                                solvency of the subsidies and 
                                ancillary benefits available to 
                                active participants.
                                  ``(VI) Compensation levels of 
                                active participants relative to 
                                employees in the participants' 
                                industry generally.
                                  ``(VII) Competitive and other 
                                economic factors facing 
                                contributing employers.
                                  ``(VIII) The impact of 
                                benefit and contribution levels 
                                on retaining active 
                                participants and bargaining 
                                groups under the plan.
                                  ``(IX) The impact of past and 
                                anticipated contribution 
                                increases under the plan on 
                                employer attrition and 
                                retention levels.
                                  ``(X) Measures undertaken by 
                                the plan sponsor to retain or 
                                attract contributing employers.
                  ``(D) Limitations on suspensions.--Any 
                suspensions of benefits made by a plan sponsor 
                pursuant to this paragraph shall be subject to 
                the following limitations:
                          ``(i) The monthly benefit of any 
                        participant or beneficiary may not be 
                        reduced below 110 percent of the 
                        monthly benefit which is guaranteed by 
                        the Pension Benefit Guaranty 
                        Corporation under section 4022A on the 
                        date of the suspension.
                          ``(ii)(I) In the case of a 
                        participant or beneficiary who has 
                        attained 75 years of age as of the 
                        effective date of the suspension, not 
                        more than the applicable percentage of 
                        the maximum suspendable benefits of 
                        such participant or beneficiary may be 
                        suspended under this paragraph.
                          ``(II) For purposes of subclause (I), 
                        the maximum suspendable benefits of a 
                        participant or beneficiary is the 
                        portion of the benefits of such 
                        participant or beneficiary that would 
                        be suspended pursuant to this paragraph 
                        without regard to this clause;
                          ``(III) For purposes of subclause 
                        (I), the applicable percentage is a 
                        percentage equal to the quotient 
                        obtained by dividing--
                                  ``(aa) the number of months 
                                during the period beginning 
                                with the month after the month 
                                in which occurs the effective 
                                date of the suspension and 
                                ending with the month during 
                                which the participant or 
                                beneficiary attains the age of 
                                80, by
                                  ``(bb) 60 months.
                          ``(iii) No benefits based on 
                        disability (as defined under the plan) 
                        may be suspended under this paragraph.
                          ``(iv) Any suspensions of benefits, 
                        in the aggregate (and, if applicable, 
                        considered in combination with a 
                        partition of the plan under section 
                        4233), shall be reasonably estimated to 
                        achieve, but not materially exceed, the 
                        level that is necessary to avoid 
                        insolvency.
                          ``(v) In any case in which a 
                        suspension of benefits with respect to 
                        a plan is made in combination with a 
                        partition of the plan under section 
                        4233, the suspension of benefits may 
                        not take effect prior to the effective 
                        date of such partition.
                          ``(vi) Any suspensions of benefits 
                        shall be equitably distributed across 
                        the participant and beneficiary 
                        population, taking into account 
                        factors, with respect to participants 
                        and beneficiaries and their benefits, 
                        that may include one or more of the 
                        following:
                                  ``(I) Age and life 
                                expectancy.
                                  ``(II) Length of time in pay 
                                status.
                                  ``(III) Amount of benefit.
                                  ``(IV) Type of benefit: 
                                survivor, normal retirement, 
                                early retirement.
                                  ``(V) Extent to which 
                                participant or beneficiary is 
                                receiving a subsidized benefit.
                                  ``(VI) Extent to which 
                                participant or beneficiary has 
                                received post-retirement 
                                benefit increases.
                                  ``(VII) History of benefit 
                                increases and reductions.
                                  ``(VIII) Years to retirement 
                                for active employees.
                                  ``(IX) Any discrepancies 
                                between active and retiree 
                                benefits.
                                  ``(X) Extent to which active 
                                participants are reasonably 
                                likely to withdraw support for 
                                the plan, accelerating employer 
                                withdrawals from the plan and 
                                increasing the risk of 
                                additional benefit reductions 
                                for participants in and out of 
                                pay status.
                                  ``(XI) Extent to which 
                                benefits are attributed to 
                                service with an employer that 
                                failed to pay its full 
                                withdrawal liability.
                          ``(vii) In the case of a plan that 
                        includes the benefits described in 
                        clause (III), benefits suspended under 
                        this paragraph shall--
                                  ``(I) first, be applied to 
                                the maximum extent permissible 
                                to benefits attributable to a 
                                participant's service for an 
                                employer which withdrew from 
                                the plan and failed to pay (or 
                                is delinquent with respect to 
                                paying) the full amount of its 
                                withdrawal liability under 
                                section 4201(b)(1) or an 
                                agreement with the plan,
                                  ``(II) second, except as 
                                provided by subclause (III), be 
                                applied to all other benefits 
                                that may be suspended under 
                                this paragraph, and
                                  ``(III) third, be applied to 
                                benefits under a plan that are 
                                directly attributable to a 
                                participant's service with any 
                                employer which has, prior to 
                                the date of enactment of the 
                                Multiemployer Pension Reform 
                                Act of 2014--
                                          ``(aa) withdrawn from 
                                        the plan in a complete 
                                        withdrawal under 
                                        section 4203 and has 
                                        paid the full amount of 
                                        the employer's 
                                        withdrawal liability 
                                        under section 
                                        4201(b)(1) or an 
                                        agreement with the 
                                        plan, and
                                          ``(bb) pursuant to a 
                                        collective bargaining 
                                        agreement, assumed 
                                        liability for providing 
                                        benefits to 
                                        participants and 
                                        beneficiaries of the 
                                        plan under a separate, 
                                        single-employer plan 
                                        sponsored by the 
                                        employer, in an amount 
                                        equal to any amount of 
                                        benefits for such 
                                        participants and 
                                        beneficiaries reduced 
                                        as a result of the 
                                        financial status of the 
                                        plan.
                  ``(E) Benefit improvements.--
                          ``(i) In general.--The plan sponsor 
                        may, in its sole discretion, provide 
                        benefit improvements while any 
                        suspension of benefits under the plan 
                        remains in effect, except that the plan 
                        sponsor may not increase the 
                        liabilities of the plan by reason of 
                        any benefit improvement for any 
                        participant or beneficiary not in pay 
                        status by the first day of the plan 
                        year for which the benefit improvement 
                        takes effect, unless--
                                  ``(I) such action is 
                                accompanied by equitable 
                                benefit improvements in 
                                accordance with clause (ii) for 
                                all participants and 
                                beneficiaries whose benefit 
                                commencement dates were before 
                                the first day of the plan year 
                                for which the benefit 
                                improvement for such 
                                participant or beneficiary not 
                                in pay status took effect; and
                                  ``(II) the plan actuary 
                                certifies that after taking 
                                into account such benefits 
                                improvements the plan is 
                                projected to avoid insolvency 
                                indefinitely under section 
                                4245.
                          ``(ii) Equitable distribution of 
                        benefit improvements.--
                                  ``(I) Limitation.--The 
                                projected value of the total 
                                liabilities for benefit 
                                improvements for participants 
                                and beneficiaries not in pay 
                                status by the date of the first 
                                day of the plan year in which 
                                the benefit improvements are 
                                proposed to take effect, as 
                                determined as of such date, may 
                                not exceed the projected value 
                                of the liabilities arising from 
                                benefit improvements for 
                                participants and beneficiaries 
                                with benefit commencement dates 
                                prior to the first day of such 
                                plan year, as so determined.
                                  ``(II) Equitable distribution 
                                of benefits.--The plan sponsor 
                                shall equitably distribute any 
                                increase in total liabilities 
                                for benefit improvements in 
                                clause (i) to some or all of 
                                the participants and 
                                beneficiaries whose benefit 
                                commencement date is before the 
                                date of the first day of the 
                                plan year in which the benefit 
                                improvements are proposed to 
                                take effect, taking into 
                                account the relevant factors 
                                described in subparagraph 
                                (D)(vi) and the extent to which 
                                the benefits of the 
                                participants and beneficiaries 
                                were suspended.
                          ``(iii) Special rule for resumptions 
                        of benefits only for participants in 
                        pay status.--The plan sponsor may 
                        increase liabilities of the plan 
                        through a resumption of benefits for 
                        participants and beneficiaries in pay 
                        status only if the plan sponsor 
                        equitably distributes the value of 
                        resumed benefits to some or all of the 
                        participants and beneficiaries in pay 
                        status, taking into account the 
                        relevant factors described in 
                        subparagraph (D)(vi).
                          ``(iv) Special rule for certain 
                        benefit increases.--This subparagraph 
                        shall not apply to a resumption of 
                        suspended benefits or plan amendment 
                        which increases liabilities with 
                        respect to participants and 
                        beneficiaries not in pay status by the 
                        first day of the plan year in which the 
                        benefit improvements took effect 
                        which--
                                  ``(I) the Secretary of the 
                                Treasury, in consultation with 
                                the Pension Benefit Guaranty 
                                Corporation and the Secretary 
                                of Labor, determines to be 
                                reasonable and which provides 
                                for only de minimis increases 
                                in the liabilities of the plan, 
                                or
                                  ``(II) is required as a 
                                condition of qualification 
                                under part I of subchapter D of 
                                chapter 1 of subtitle A of the 
                                Internal Revenue Code of 1986 
                                or to comply with other 
                                applicable law, as determined 
                                by the Secretary of the 
                                Treasury.
                          ``(v) Additional limitations.--Except 
                        for resumptions of suspended benefits 
                        described in clause (iii), the 
                        limitations on benefit improvements 
                        while a suspension of benefits is in 
                        effect under this paragraph shall be in 
                        addition to any other applicable 
                        limitations on increases in benefits 
                        imposed on a plan.
                          ``(vi) Definition of benefit 
                        improvement.--For purposes of this 
                        subparagraph, the term `benefit 
                        improvement' means, with respect to a 
                        plan, a resumption of suspended 
                        benefits, an increase in benefits, an 
                        increase in the rate at which benefits 
                        accrue, or an increase in the rate at 
                        which benefits become nonforfeitable 
                        under the plan.
                  ``(F) Notice requirements.--
                          ``(i) In general.--No suspension of 
                        benefits may be made pursuant to this 
                        paragraph unless notice of such 
                        proposed suspension has been given by 
                        the plan sponsor concurrently with an 
                        application for approval of such 
                        suspension submitted under subparagraph 
                        (G) to the Secretary of the Treasury 
                        to--
                                  ``(I) such plan participants 
                                and beneficiaries who may be 
                                contacted by reasonable 
                                efforts,
                                  ``(II) each employer who has 
                                an obligation to contribute 
                                (within the meaning of section 
                                4212(a)) under the plan, and
                                  ``(III) each employee 
                                organization which, for 
                                purposes of collective 
                                bargaining, represents plan 
                                participants employed by such 
                                an employer.
                          ``(ii) Content of notice.--The notice 
                        under clause (i) shall contain--
                                  ``(I) sufficient information 
                                to enable participants and 
                                beneficiaries to understand the 
                                effect of any suspensions of 
                                benefits, including an 
                                individualized estimate (on an 
                                annual or monthly basis) of 
                                such effect on each participant 
                                or beneficiary,
                                  ``(II) a description of the 
                                factors considered by the plan 
                                sponsor in designing the 
                                benefit suspensions,
                                  ``(III) a statement that the 
                                application for approval of any 
                                suspension of benefits shall be 
                                available on the website of the 
                                Department of the Treasury and 
                                that comments on such 
                                application will be accepted,
                                  ``(IV) information as to the 
                                rights and remedies of plan 
                                participants and beneficiaries,
                                  ``(V) if applicable, a 
                                statement describing the 
                                appointment of a retiree 
                                representative, the date of 
                                appointment of such 
                                representative, identifying 
                                information about the retiree 
                                representative (including 
                                whether the representative is a 
                                plan trustee), and how to 
                                contact such representative, 
                                and
                                  ``(VI) information on how to 
                                contact the Department of the 
                                Treasury for further 
                                information and assistance 
                                where appropriate.
                          ``(iii) Form and manner.--Any notice 
                        under clause (i)--
                                  ``(I) shall be provided in a 
                                form and manner prescribed in 
                                guidance by the Secretary of 
                                the Treasury, in consultation 
                                with the Pension Benefit 
                                Guaranty Corporation and the 
                                Secretary of Labor, 
                                notwithstanding any other 
                                provision of law,
                                  ``(II) shall be written in a 
                                manner so as to be understood 
                                by the average plan 
                                participant, and
                                  ``(III) may be provided in 
                                written, electronic, or other 
                                appropriate form to the extent 
                                such form is reasonably 
                                accessible to persons to whom 
                                the notice is required to be 
                                provided.
                          ``(iv) Other notice requirement.--Any 
                        notice provided under clause (i) shall 
                        fulfill the requirement for notice of a 
                        significant reduction in benefits 
                        described in section 204(h).
                          ``(v) Model notice.--The Secretary of 
                        the Treasury, in consultation with the 
                        Pension Benefit Guaranty Corporation 
                        and the Secretary of Labor, shall in 
                        the guidance prescribed under clause 
                        (iii)(I) establish a model notice that 
                        a plan sponsor may use to meet the 
                        requirements of this subparagraph.
                  ``(G) Approval process by the secretary of 
                the treasury in consultation with the pension 
                benefit guaranty corporation and the secretary 
                of labor.--
                          ``(i) In general.--The plan sponsor 
                        of a plan in critical and declining 
                        status for a plan year that seeks to 
                        suspend benefits must submit an 
                        application to the Secretary of the 
                        Treasury for approval of the 
                        suspensions of benefits. If the plan 
                        sponsor submits an application for 
                        approval of the suspensions, the 
                        Secretary of the Treasury, in 
                        consultation with the Pension Benefit 
                        Guaranty Corporation and the Secretary 
                        of Labor, shall approve the application 
                        upon finding that the plan is eligible 
                        for the suspensions and has satisfied 
                        the criteria of subparagraphs (C), (D), 
                        (E), and (F).
                          ``(ii) Solicitation of comments.--Not 
                        later than 30 days after receipt of the 
                        application under clause (i), the 
                        Secretary of the Treasury, in 
                        consultation with the Pension Benefit 
                        Guaranty Corporation and the Secretary 
                        of Labor, shall publish a notice in the 
                        Federal Register soliciting comments 
                        from contributing employers, employee 
                        organizations, and participants and 
                        beneficiaries of the plan for which an 
                        application was made and other 
                        interested parties. The application for 
                        approval of the suspension of benefits 
                        shall be published on the website of 
                        the Secretary of the Treasury.
                          ``(iii) Required action; deemed 
                        approval.--The Secretary of the 
                        Treasury, in consultation with the 
                        Pension Benefit Guaranty Corporation 
                        and the Secretary of Labor, shall 
                        approve or deny any application for 
                        suspensions of benefits under this 
                        paragraph within 225 days after the 
                        submission of such application. An 
                        application for suspension of benefits 
                        shall be deemed approved unless, within 
                        such 225 days, the Secretary of the 
                        Treasury notifies the plan sponsor that 
                        it has failed to satisfy one or more of 
                        the criteria described in this 
                        paragraph. If the Secretary of the 
                        Treasury, in consultation with the 
                        Pension Benefit Guaranty Corporation 
                        and the Secretary of Labor, rejects a 
                        plan sponsor's application, the 
                        Secretary of the Treasury shall provide 
                        notice to the plan sponsor detailing 
                        the specific reasons for the rejection, 
                        including reference to the specific 
                        requirement not satisfied. Approval or 
                        denial by the Secretary of the Treasury 
                        of an application shall be treated as a 
                        final agency action for purposes of 
                        section 704 of title 5, United States 
                        Code.
                          ``(iv) Agency review.--In evaluating 
                        whether the plan sponsor has met the 
                        criteria specified in clause (ii) of 
                        subparagraph (C), the Secretary of the 
                        Treasury, in consultation with the 
                        Pension Benefit Guaranty Corporation 
                        and the Secretary of Labor, shall 
                        review the plan sponsor's consideration 
                        of factors under such clause.
                          ``(v) Standard for accepting plan 
                        sponsor determinations.--In evaluating 
                        the plan sponsor's application, the 
                        Secretary of the Treasury shall accept 
                        the plan sponsor's determinations 
                        unless it concludes, in consultation 
                        with the Pension Benefit Guaranty 
                        Corporation and the Secretary of Labor, 
                        that the plan sponsor's determinations 
                        were clearly erroneous.
                  ``(H) Participant ratification process.--
                          ``(i) In general.--No suspension of 
                        benefits may take effect pursuant to 
                        this paragraph prior to a vote of the 
                        participants of the plan with respect 
                        to the suspension.
                          ``(ii) Administration of vote.--Not 
                        later than 30 days after approval of 
                        the suspension by the Secretary of the 
                        Treasury, in consultation with the 
                        Pension Benefit Guaranty Corporation 
                        and the Secretary of Labor, under 
                        subparagraph (G), the Secretary of the 
                        Treasury, in consultation with the 
                        Pension Benefit Guaranty Corporation 
                        and the Secretary of Labor, shall 
                        administer a vote of participants and 
                        beneficiaries of the plan. Except as 
                        provided in clause (v), the suspension 
                        shall go into effect following the vote 
                        unless a majority of all participants 
                        and beneficiaries of the plan vote to 
                        reject the suspension. The plan sponsor 
                        may submit a new suspension application 
                        to the Secretary of the Treasury for 
                        approval in any case in which a 
                        suspension is prohibited from taking 
                        effect pursuant to a vote under this 
                        subparagraph.
                          ``(iii) Ballots.--The plan sponsor 
                        shall provide a ballot for the vote 
                        (subject to approval by the Secretary 
                        of the Treasury, in consultation with 
                        the Pension Benefit Guaranty 
                        Corporation and the Secretary of Labor) 
                        that includes the following:
                                  ``(I) A statement from the 
                                plan sponsor in support of the 
                                suspension.
                                  ``(II) A statement in 
                                opposition to the suspension 
                                compiled from comments received 
                                pursuant to subparagraph 
                                (G)(ii).
                                  ``(III) A statement that the 
                                suspension has been approved by 
                                the Secretary of the Treasury, 
                                in consultation with the 
                                Pension Benefit Guaranty 
                                Corporation and the Secretary 
                                of Labor.
                                  ``(IV) A statement that the 
                                plan sponsor has determined 
                                that the plan will become 
                                insolvent unless the suspension 
                                takes effect.
                                  ``(V) A statement that 
                                insolvency of the plan could 
                                result in benefits lower than 
                                benefits paid under the 
                                suspension.
                                  ``(VI) A statement that 
                                insolvency of the Pension 
                                Benefit Guaranty Corporation 
                                would result in benefits lower 
                                than benefits paid in the case 
                                of plan insolvency.
                          ``(iv) Communication by plan 
                        sponsor.--It is the sense of Congress 
                        that, depending on the size and 
                        resources of the plan and geographic 
                        distribution of the plan's 
                        participants, the plan sponsor should 
                        take such steps as may be necessary to 
                        inform participants about proposed 
                        benefit suspensions through in-person 
                        meetings, telephone or internet-based 
                        communications, mailed information, or 
                        by other means.
                          ``(v) Systemically important plans.--
                                  ``(I) In general.--Not later 
                                than 14 days after a vote under 
                                this subparagraph rejecting a 
                                suspension, the Secretary of 
                                the Treasury, in consultation 
                                with the Pension Benefit 
                                Guaranty Corporation and the 
                                Secretary of Labor, shall 
                                determine whether the plan is a 
                                systemically important plan. If 
                                the Secretary of the Treasury, 
                                in consultation with the 
                                Pension Benefit Guaranty 
                                Corporation and the Secretary 
                                of Labor, determines that the 
                                plan is a systemically 
                                important plan, not later than 
                                the end of the 90-day period 
                                beginning on the date the 
                                results of the vote are 
                                certified, the Secretary of the 
                                Treasury shall, notwithstanding 
                                such adverse vote--
                                          ``(aa) permit the 
                                        implementation of the 
                                        suspension proposed by 
                                        the plan sponsor; or
                                          ``(bb) permit the 
                                        implementation of a 
                                        modification by the 
                                        Secretary of the 
                                        Treasury, in 
                                        consultation with the 
                                        Pension Benefit 
                                        Guaranty Corporation 
                                        and the Secretary of 
                                        Labor, of such 
                                        suspension (so long as 
                                        the plan is projected 
                                        to avoid insolvency 
                                        within the meaning of 
                                        section 4245 under such 
                                        modification).
                                  ``(II) Recommendations.--Not 
                                later than 30 days after a 
                                determination by the Secretary 
                                of the Treasury, in 
                                consultation with the Pension 
                                Benefit Guaranty Corporation 
                                and the Secretary of Labor, 
                                that the plan is systemically 
                                important, the Participant and 
                                Plan Sponsor Advocate selected 
                                under section 4004 may submit 
                                recommendations to the 
                                Secretary of the Treasury with 
                                respect to the suspension or 
                                any revisions to the 
                                suspension.
                                  ``(III) Systemically 
                                important plan defined.--
                                          ``(aa) In general.--
                                        For purposes of this 
                                        subparagraph, a 
                                        systemically important 
                                        plan is a plan with 
                                        respect to which the 
                                        Pension Benefit 
                                        Guaranty Corporation 
                                        projects the present 
                                        value of projected 
                                        financial assistance 
                                        payments exceeds 
                                        $1,000,000,000 if 
                                        suspensions are not 
                                        implemented.
                                          ``(bb) Indexing.--For 
                                        calendar years 
                                        beginning after 2015, 
                                        there shall be 
                                        substituted for the 
                                        dollar amount specified 
                                        in item (aa) an amount 
                                        equal to the product of 
                                        such dollar amount and 
                                        a fraction, the 
                                        numerator of which is 
                                        the contribution and 
                                        benefit base 
                                        (determined under 
                                        section 230 of the 
                                        Social Security Act) 
                                        for the preceding 
                                        calendar year and the 
                                        denominator of which is 
                                        such contribution and 
                                        benefit base for 
                                        calendar year 2014. If 
                                        the amount otherwise 
                                        determined under this 
                                        item is not a multiple 
                                        of $1,000,000, such 
                                        amount shall be rounded 
                                        to the next lowest 
                                        multiple of $1,000,000.
                          ``(vi) Final authorization to 
                        suspend.--In any case in which a 
                        suspension goes into effect following a 
                        vote pursuant to clause (ii) (or 
                        following a determination under clause 
                        (v) that the plan is a systemically 
                        important plan), the Secretary of the 
                        Treasury, in consultation with the 
                        Pension Benefit Guaranty Corporation 
                        and the Secretary of Labor, shall issue 
                        a final authorization to suspend with 
                        respect to the suspension not later 
                        than 7 days after such vote (or, in the 
                        case of a suspension that goes into 
                        effect under clause (v), at a time 
                        sufficient to allow the implementation 
                        of the suspension prior to the end of 
                        the 90-day period described in clause 
                        (v)(I)).
                  ``(I) Judicial review.--
                          ``(i) Denial of application.--An 
                        action by the plan sponsor challenging 
                        the denial of an application for 
                        suspension of benefits by the Secretary 
                        of the Treasury, in consultation with 
                        the Pension Benefit Guaranty 
                        Corporation and the Secretary of Labor, 
                        may only be brought following such 
                        denial.
                          ``(ii) Approval of suspension of 
                        benefits.--
                                  ``(I) Timing of action.--An 
                                action challenging a suspension 
                                of benefits under this 
                                paragraph may only be brought 
                                following a final authorization 
                                to suspend by the Secretary of 
                                the Treasury, in consultation 
                                with the Pension Benefit 
                                Guaranty Corporation and the 
                                Secretary of Labor, under 
                                subparagraph (H)(vi).
                                  ``(II) Standards of review.--
                                          ``(aa) In general.--A 
                                        court shall review an 
                                        action challenging a 
                                        suspension of benefits 
                                        under this paragraph in 
                                        accordance with section 
                                        706 of title 5, United 
                                        States Code.
                                          ``(bb) Temporary 
                                        injunction.--A court 
                                        reviewing an action 
                                        challenging a 
                                        suspension of benefits 
                                        under this paragraph 
                                        may not grant a 
                                        temporary injunction 
                                        with respect to such 
                                        suspension unless the 
                                        court finds a clear and 
                                        convincing likelihood 
                                        that the plaintiff will 
                                        prevail on the merits 
                                        of the case.
                          ``(iii) Restricted cause of action.--
                        A participant or beneficiary affected 
                        by a benefit suspension under this 
                        paragraph shall not have a cause of 
                        action under this title.
                          ``(iv) Limitation on action to 
                        suspend benefits.--No action 
                        challenging a suspension of benefits 
                        following the final authorization to 
                        suspend or the denial of an application 
                        for suspension of benefits pursuant to 
                        this paragraph may be brought after one 
                        year after the earliest date on which 
                        the plaintiff acquired or should have 
                        acquired actual knowledge of the 
                        existence of such cause of action.
                  ``(J) Special rule for emergence from 
                critical status.--A plan certified to be in 
                critical and declining status pursuant to 
                projections made under subsection (b)(3) for 
                which a suspension of benefits has been made by 
                the plan sponsor pursuant to this paragraph 
                shall not emerge from critical status under 
                paragraph (4)(B), until such time as--
                          ``(i) the plan is no longer certified 
                        to be in critical or endangered status 
                        under paragraphs (1) and (2) of 
                        subsection (b), and
                          ``(ii) the plan is projected to avoid 
                        insolvency under section 4245.''.
          (7) Rules relating to withdrawal liability.--
                  (A) Benefit suspensions disregarded.--Section 
                305(g)(1) of the Employee Retirement Income 
                Security Act of 1974, as added by section 109, 
                is further amended by inserting ``or benefit 
                reductions or suspensions while in critical and 
                declining status under subsection (e)(9)), 
                unless the withdrawal occurs more than ten 
                years after the effective date of a benefit 
                suspension by a plan in critical and declining 
                status,'' after ``benefit reductions under 
                subsection (e)(8) or (f)''.
                  (B) Authority of plan to subordinate 
                withdrawal liability claims.--Section 4219(d) 
                of such Act (29 U.S.C. 1399(d)) is amended by 
                striking the period at the end and inserting 
                ``or to any arrangement relating to withdrawal 
                liability involving the plan.''.
                  (C) Civil actions.--Section 4003(f)(1) of 
                such Act (29 U.S.C. 1303)(f)(1)) is amended by 
                inserting ``plan sponsor,'' before 
                ``fiduciary''.
          (8) Guidance.--Not later than 180 days after the date 
        of the enactment of this Act, the Secretary of the 
        Treasury, in consultation with the Pension Benefit 
        Guaranty Corporation and the Secretary of Labor, shall 
        publish appropriate guidance to implement section 
        305(e)(9) of the Employee Retirement Income Security 
        Act of 1974 (29 U.S.C. 1085(e)(9)).
  (b) Amendments to the Internal Revenue Code of 1986.--
          (1) General rule for plan in critical and declining 
        status.--Section 432(a) of the Internal Revenue Code of 
        1986 is amended--
                  (A) in paragraph (1)(B), by striking ``and'' 
                at the end;
                  (B) in paragraph (2)(B), by striking the 
                period at the end and inserting ``, and''; and
                  (C) by adding at the end the following:
          ``(3) if the plan is in critical and declining 
        status--
                  ``(A) the requirements of paragraph (2) shall 
                apply to the plan; and
                  ``(B) the plan sponsor may, by plan 
                amendment, suspend benefits in accordance with 
                the requirements of subsection (e)(9).''.
          (2) Critical and declining status defined.--Section 
        432(b) of the Internal Revenue Code of 1986, as amended 
        by sections 102 and 104, is further amended by adding 
        at the end the following:
          ``(6) Critical and declining status.--For purposes of 
        this section, a plan in critical status shall be 
        treated as in critical and declining status if the plan 
        is described in one or more of subparagraphs (A), (B), 
        (C), and (D) of paragraph (2) and the plan is projected 
        to become insolvent within the meaning of section 418E 
        during the current plan year or any of the 14 
        succeeding plan years (19 succeeding plan years if the 
        plan has a ratio of inactive participants to active 
        participants that exceeds 2 to 1 or if the funded 
        percentage of the plan is less than 80 percent).''.
          (3) Annual certification.--Section 432(b)(3)(A)(i) of 
        the Internal Revenue Code of 1986 is amended--
                  (A) by striking ``and whether'' and inserting 
                ``, whether'', and
                  (B) by inserting ``, and whether or not the 
                plan is or will be in critical and declining 
                status for such plan year'' before ``, and'' at 
                the end.
          (4) Projections of assets and liabilities.--Section 
        432(b)(3)(B) of the Internal Revenue Code of 1986 is 
        amended by adding at the end the following:
                          ``(iv) Projections of critical and 
                        declining status.--In determining 
                        whether a plan is in critical and 
                        declining status as described in 
                        subsection (e)(9), clauses (i), (ii), 
                        and (iii) shall apply, except that--
                                  ``(I) if reasonable, the plan 
                                actuary shall assume that each 
                                contributing employer in 
                                compliance continues to comply 
                                through the end of the 
                                rehabilitation period or such 
                                later time as provided in 
                                subsection (e)(3)(A)(ii) with 
                                the terms of the rehabilitation 
                                plan that correspond to the 
                                schedule adopted or imposed 
                                under subsection (e), and
                                  ``(II) the plan actuary shall 
                                take into account any 
                                suspensions of benefits 
                                described in subsection (e)(9) 
                                adopted in a prior plan year 
                                that are still in effect.''.
          (5) Benefit suspensions for multiemployer plans in 
        critical and declining status.--Section 432(e) of the 
        Internal Revenue Code of 1986 (as amended by section 
        109) is amended by inserting after paragraph (8) the 
        following:
          ``(9) Benefit suspensions for multiemployer plans in 
        critical and declining status.--
                  ``(A) In general.--Notwithstanding section 
                411(d)(6) and subject to subparagraphs (B) 
                through (I), the plan sponsor of a plan in 
                critical and declining status may, by plan 
                amendment, suspend benefits which the sponsor 
                deems appropriate.
                  ``(B) Suspension of benefits.--
                          ``(i) Suspension of benefits 
                        defined.--For purposes of this 
                        subsection, the term `suspension of 
                        benefits' means the temporary or 
                        permanent reduction of any current or 
                        future payment obligation of the plan 
                        to any participant or beneficiary under 
                        the plan, whether or not in pay status 
                        at the time of the suspension of 
                        benefits.
                          ``(ii) Length of suspensions.--Any 
                        suspension of benefits made under 
                        subparagraph (A) shall remain in effect 
                        until the earlier of when the plan 
                        sponsor provides benefit improvements 
                        in accordance with subparagraph (E) or 
                        the suspension of benefits expires by 
                        its own terms.
                          ``(iii) No liability.--The plan shall 
                        not be liable for any benefit payments 
                        not made as a result of a suspension of 
                        benefits under this paragraph.
                          ``(iv) Applicability.--For purposes 
                        of this paragraph, all references to 
                        suspensions of benefits, increases in 
                        benefits, or resumptions of suspended 
                        benefits with respect to participants 
                        shall also apply with respect to 
                        benefits of beneficiaries or 
                        alternative payees of participants.
                          ``(v) Retiree representative.--
                                  ``(I) In general.--In the 
                                case of a plan with 10,000 or 
                                more participants, not later 
                                than 60 days prior to the plan 
                                sponsor submitting an 
                                application to suspend 
                                benefits, the plan sponsor 
                                shall select a participant of 
                                the plan in pay status to act 
                                as a retiree representative. 
                                The retiree representative 
                                shall advocate for the 
                                interests of the retired and 
                                deferred vested participants 
                                and beneficiaries of the plan 
                                throughout the suspension 
                                approval process.
                                  ``(II) Reasonable expenses 
                                from plan.--The plan shall 
                                provide for reasonable expenses 
                                by the retiree representative, 
                                including reasonable legal and 
                                actuarial support, commensurate 
                                with the plan's size and funded 
                                status.
                                  ``(III) Special rule relating 
                                to fiduciary status.--Duties 
                                performed pursuant to subclause 
                                (I) shall not be subject to 
                                section 4975. The preceding 
                                sentence shall not apply to 
                                those duties associated with an 
                                application to suspend benefits 
                                pursuant to subparagraph (G) 
                                that are performed by the 
                                retiree representative who is 
                                also a plan trustee.
                  ``(C) Conditions for suspensions.--The plan 
                sponsor of a plan in critical and declining 
                status for a plan year may suspend benefits 
                only if the following conditions are met:
                          ``(i) Taking into account the 
                        proposed suspensions of benefits (and, 
                        if applicable, a proposed partition of 
                        the plan under section 4233 of the 
                        Employee Retirement Income Security Act 
                        of 1974), the plan actuary certifies 
                        that the plan is projected to avoid 
                        insolvency within the meaning of 
                        section 418E, assuming the suspensions 
                        of benefits continue until the 
                        suspensions of benefits expire by their 
                        own terms or if no such expiration date 
                        is set, indefinitely.
                          ``(ii) The plan sponsor determines, 
                        in a written record to be maintained 
                        throughout the period of the benefit 
                        suspension, that the plan is still 
                        projected to become insolvent unless 
                        benefits are suspended under this 
                        paragraph, although all reasonable 
                        measures to avoid insolvency have been 
                        taken (and continue to be taken during 
                        the period of the benefit suspension). 
                        In its determination, the plan sponsor 
                        may take into account factors including 
                        the following:
                                  ``(I) Current and past 
                                contribution levels.
                                  ``(II) Levels of benefit 
                                accruals (including any prior 
                                reductions in the rate of 
                                benefit accruals).
                                  ``(III) Prior reductions (if 
                                any) of adjustable benefits.
                                  ``(IV) Prior suspensions (if 
                                any) of benefits under this 
                                subsection.
                                  ``(V) The impact on plan 
                                solvency of the subsidies and 
                                ancillary benefits available to 
                                active participants.
                                  ``(VI) Compensation levels of 
                                active participants relative to 
                                employees in the participants' 
                                industry generally.
                                  ``(VII) Competitive and other 
                                economic factors facing 
                                contributing employers.
                                  ``(VIII) The impact of 
                                benefit and contribution levels 
                                on retaining active 
                                participants and bargaining 
                                groups under the plan.
                                  ``(IX) The impact of past and 
                                anticipated contribution 
                                increases under the plan on 
                                employer attrition and 
                                retention levels.
                                  ``(X) Measures undertaken by 
                                the plan sponsor to retain or 
                                attract contributing employers.
                  ``(D) Limitations on suspensions.--Any 
                suspensions of benefits made by a plan sponsor 
                pursuant to this paragraph shall be subject to 
                the following limitations:
                          ``(i) The monthly benefit of any 
                        participant or beneficiary may not be 
                        reduced below 110 percent of the 
                        monthly benefit which is guaranteed by 
                        the Pension Benefit Guaranty 
                        Corporation under section 4022A of the 
                        Employee Retirement Income Security Act 
                        of 1974 on the date of the suspension.
                          ``(ii)(I) In the case of a 
                        participant or beneficiary who has 
                        attained 75 years of age as of the 
                        effective date of the suspension, not 
                        more than the applicable percentage of 
                        the maximum suspendable benefits of 
                        such participant or beneficiary may be 
                        suspended under this paragraph.
                          ``(II) For purposes of subclause (I), 
                        the maximum suspendable benefits of a 
                        participant or beneficiary is the 
                        portion of the benefits of such 
                        participant or beneficiary that would 
                        be suspended pursuant to this paragraph 
                        without regard to this clause;
                          ``(III) For purposes of subclause 
                        (I), the applicable percentage is a 
                        percentage equal to the quotient 
                        obtained by dividing--
                                  ``(aa) the number of months 
                                during the period beginning 
                                with the month after the month 
                                in which occurs the effective 
                                date of the suspension and 
                                ending with the month during 
                                which the participant or 
                                beneficiary attains the age of 
                                80, by
                                  ``(bb) 60 months.
                          ``(iii) No benefits based on 
                        disability (as defined under the plan) 
                        may be suspended under this paragraph.
                          ``(iv) Any suspensions of benefits, 
                        in the aggregate (and, if applicable, 
                        considered in combination with a 
                        partition of the plan under section 
                        4233 of the Employee Retirement Income 
                        Security Act of 1974), shall be 
                        reasonably estimated to achieve, but 
                        not materially exceed, the level that 
                        is necessary to avoid insolvency.
                          ``(v) In any case in which a 
                        suspension of benefits with respect to 
                        a plan is made in combination with a 
                        partition of the plan under section 
                        4233 of the Employee Retirement Income 
                        Security Act of 1974, the suspension of 
                        benefits may not take effect prior to 
                        the effective date of such partition.
                          ``(vi) Any suspensions of benefits 
                        shall be equitably distributed across 
                        the participant and beneficiary 
                        population, taking into account 
                        factors, with respect to participants 
                        and beneficiaries and their benefits, 
                        that may include one or more of the 
                        following:
                                  ``(I) Age and life 
                                expectancy.
                                  ``(II) Length of time in pay 
                                status.
                                  ``(III) Amount of benefit.
                                  ``(IV) Type of benefit: 
                                survivor, normal retirement, 
                                early retirement.
                                  ``(V) Extent to which 
                                participant or beneficiary is 
                                receiving a subsidized benefit.
                                  ``(VI) Extent to which 
                                participant or beneficiary has 
                                received post-retirement 
                                benefit increases.
                                  ``(VII) History of benefit 
                                increases and reductions.
                                  ``(VIII) Years to retirement 
                                for active employees.
                                  ``(IX) Any discrepancies 
                                between active and retiree 
                                benefits.
                                  ``(X) Extent to which active 
                                participants are reasonably 
                                likely to withdraw support for 
                                the plan, accelerating employer 
                                withdrawals from the plan and 
                                increasing the risk of 
                                additional benefit reductions 
                                for participants in and out of 
                                pay status.
                                  ``(XI) Extent to which 
                                benefits are attributed to 
                                service with an employer that 
                                failed to pay its full 
                                withdrawal liability.
                          ``(vii) In the case of a plan that 
                        includes the benefits described in 
                        clause (III), benefits suspended under 
                        this paragraph shall--
                                  ``(I) first, be applied to 
                                the maximum extent permissible 
                                to benefits attributable to a 
                                participant's service for an 
                                employer which withdrew from 
                                the plan and failed to pay (or 
                                is delinquent with respect to 
                                paying) the full amount of its 
                                withdrawal liability under 
                                section 4201(b)(1) of the 
                                Employee Retirement Income 
                                Security Act of 1974 or an 
                                agreement with the plan,
                                  ``(II) second, except as 
                                provided by subclause (III), be 
                                applied to all other benefits 
                                that may be suspended under 
                                this paragraph, and
                                  ``(III) third, be applied to 
                                benefits under a plan that are 
                                directly attributable to a 
                                participant's service with any 
                                employer which has, prior to 
                                the date of enactment of the 
                                Multiemployer Pension Reform 
                                Act of 2014--
                                          ``(aa) withdrawn from 
                                        the plan in a complete 
                                        withdrawal under 
                                        section 4203 of the 
                                        Employee Retirement 
                                        Income Security Act of 
                                        1974 and has paid the 
                                        full amount of the 
                                        employer's withdrawal 
                                        liability under section 
                                        4201(b)(1) of such Act 
                                        or an agreement with 
                                        the plan, and
                                          ``(bb) pursuant to a 
                                        collective bargaining 
                                        agreement, assumed 
                                        liability for providing 
                                        benefits to 
                                        participants and 
                                        beneficiaries of the 
                                        plan under a separate, 
                                        single-employer plan 
                                        sponsored by the 
                                        employer, in an amount 
                                        equal to any amount of 
                                        benefits for such 
                                        participants and 
                                        beneficiaries reduced 
                                        as a result of the 
                                        financial status of the 
                                        plan.
                  ``(E) Benefit improvements.--
                          ``(i) In general.--The plan sponsor 
                        may, in its sole discretion, provide 
                        benefit improvements while any 
                        suspension of benefits under the plan 
                        remains in effect, except that the plan 
                        sponsor may not increase the 
                        liabilities of the plan by reason of 
                        any benefit improvement for any 
                        participant or beneficiary not in pay 
                        status by the first day of the plan 
                        year for which the benefit improvement 
                        takes effect, unless--
                                  ``(I) such action is 
                                accompanied by equitable 
                                benefit improvements in 
                                accordance with clause (ii) for 
                                all participants and 
                                beneficiaries whose benefit 
                                commencement dates were before 
                                the first day of the plan year 
                                for which the benefit 
                                improvement for such 
                                participant or beneficiary not 
                                in pay status took effect; and
                                  ``(II) the plan actuary 
                                certifies that after taking 
                                into account such benefits 
                                improvements the plan is 
                                projected to avoid insolvency 
                                indefinitely under section 
                                418E.
                          ``(ii) Equitable distribution of 
                        benefit improvements.--
                                  ``(I) Limitation.--The 
                                projected value of the total 
                                liabilities for benefit 
                                improvements for participants 
                                and beneficiaries not in pay 
                                status by the date of the first 
                                day of the plan year in which 
                                the benefit improvements are 
                                proposed to take effect, as 
                                determined as of such date, may 
                                not exceed the projected value 
                                of the liabilities arising from 
                                benefit improvements for 
                                participants and beneficiaries 
                                with benefit commencement dates 
                                prior to the first day of such 
                                plan year, as so determined.
                                  ``(II) Equitable distribution 
                                of benefits.--The plan sponsor 
                                shall equitably distribute any 
                                increase in total liabilities 
                                for benefit improvements in 
                                clause (i) to some or all of 
                                the participants and 
                                beneficiaries whose benefit 
                                commencement date is before the 
                                date of the first day of the 
                                plan year in which the benefit 
                                improvements are proposed to 
                                take effect, taking into 
                                account the relevant factors 
                                described in subparagraph 
                                (D)(vi) and the extent to which 
                                the benefits of the 
                                participants and beneficiaries 
                                were suspended.
                          ``(iii) Special rule for resumptions 
                        of benefits only for participants in 
                        pay status.--The plan sponsor may 
                        increase liabilities of the plan 
                        through a resumption of benefits for 
                        participants and beneficiaries in pay 
                        status only if the plan sponsor 
                        equitably distributes the value of 
                        resumed benefits to some or all of the 
                        participants and beneficiaries in pay 
                        status, taking into account the 
                        relevant factors described in 
                        subparagraph (D)(vi).
                          ``(iv) Special rule for certain 
                        benefit increases.--This subparagraph 
                        shall not apply to a resumption of 
                        suspended benefits or plan amendment 
                        which increases liabilities with 
                        respect to participants and 
                        beneficiaries not in pay status by the 
                        first day of the plan year in which the 
                        benefit improvements took effect 
                        which--
                                  ``(I) the Secretary of the 
                                Treasury, in consultation with 
                                the Pension Benefit Guaranty 
                                Corporation and the Secretary 
                                of Labor, determines to be 
                                reasonable and which provides 
                                for only de minimis increases 
                                in the liabilities of the plan, 
                                or
                                  ``(II) is required as a 
                                condition of qualification 
                                under part I of subchapter D of 
                                chapter 1 of subtitle A or to 
                                comply with other applicable 
                                law, as determined by the 
                                Secretary of the Treasury.
                          ``(v) Additional limitations.--Except 
                        for resumptions of suspended benefits 
                        described in clause (iii), the 
                        limitations on benefit improvements 
                        while a suspension of benefits is in 
                        effect under this paragraph shall be in 
                        addition to any other applicable 
                        limitations on increases in benefits 
                        imposed on a plan.
                          ``(vi) Definition of benefit 
                        improvement.--For purposes of this 
                        subparagraph, the term `benefit 
                        improvement' means, with respect to a 
                        plan, a resumption of suspended 
                        benefits, an increase in benefits, an 
                        increase in the rate at which benefits 
                        accrue, or an increase in the rate at 
                        which benefits become nonforfeitable 
                        under the plan.
                  ``(F) Notice requirements.--
                          ``(i) In general.--No suspension of 
                        benefits may be made pursuant to this 
                        paragraph unless notice of such 
                        proposed suspension has been given by 
                        the plan sponsor concurrently with an 
                        application for approval of such 
                        suspension submitted under subparagraph 
                        (G) to the Secretary of the Treasury 
                        to--
                                  ``(I) such plan participants 
                                and beneficiaries who may be 
                                contacted by reasonable 
                                efforts,
                                  ``(II) each employer who has 
                                an obligation to contribute 
                                (within the meaning of section 
                                4212(a) of the Employee 
                                Retirement Income Security Act 
                                of 1974) under the plan, and
                                  ``(III) each employee 
                                organization which, for 
                                purposes of collective 
                                bargaining, represents plan 
                                participants employed by such 
                                an employer.
                          ``(ii) Content of notice.--The notice 
                        under clause (i) shall contain--
                                  ``(I) sufficient information 
                                to enable participants and 
                                beneficiaries to understand the 
                                effect of any suspensions of 
                                benefits, including an 
                                individualized estimate (on an 
                                annual or monthly basis) of 
                                such effect on each participant 
                                or beneficiary,
                                  ``(II) a description of the 
                                factors considered by the plan 
                                sponsor in designing the 
                                benefit suspensions,
                                  ``(III) a statement that the 
                                application for approval of any 
                                suspension of benefits shall be 
                                available on the website of the 
                                Department of the Treasury and 
                                that comments on such 
                                application will be accepted,
                                  ``(IV) information as to the 
                                rights and remedies of plan 
                                participants and beneficiaries,
                                  ``(V) if applicable, a 
                                statement describing the 
                                appointment of a retiree 
                                representative, the date of 
                                appointment of such 
                                representative, identifying 
                                information about the retiree 
                                representative (including 
                                whether the representative is a 
                                plan trustee), and how to 
                                contact such representative, 
                                and
                                  ``(VI) information on how to 
                                contact the Department of the 
                                Treasury for further 
                                information and assistance 
                                where appropriate.
                          ``(iii) Form and manner.--Any notice 
                        under clause (i)--
                                  ``(I) shall be provided in a 
                                form and manner prescribed in 
                                guidance by the Secretary of 
                                the Treasury, in consultation 
                                with the Pension Benefit 
                                Guaranty Corporation and the 
                                Secretary of Labor, 
                                notwithstanding any other 
                                provision of law,
                                  ``(II) shall be written in a 
                                manner so as to be understood 
                                by the average plan 
                                participant, and
                                  ``(III) may be provided in 
                                written, electronic, or other 
                                appropriate form to the extent 
                                such form is reasonably 
                                accessible to persons to whom 
                                the notice is required to be 
                                provided.
                          ``(iv) Other notice requirement.--Any 
                        notice provided under clause (i) shall 
                        fulfill the requirement for notice of a 
                        significant reduction in benefits 
                        described in section 4980F.
                          ``(v) Model notice.--The Secretary of 
                        the Treasury, in consultation with the 
                        Pension Benefit Guaranty Corporation 
                        and the Secretary of Labor, shall in 
                        the guidance prescribed under clause 
                        (iii)(I) establish a model notice that 
                        a plan sponsor may use to meet the 
                        requirements of this subparagraph.
                  ``(G) Approval process by the secretary of 
                the treasury in consultation with the pension 
                benefit guaranty corporation and the secretary 
                of labor.--
                          ``(i) In general.--The plan sponsor 
                        of a plan in critical and declining 
                        status for a plan year that seeks to 
                        suspend benefits must submit an 
                        application to the Secretary of the 
                        Treasury for approval of the 
                        suspensions of benefits. If the plan 
                        sponsor submits an application for 
                        approval of the suspensions, the 
                        Secretary of the Treasury shall 
                        approve, in consultation with the 
                        Pension Benefit Guaranty Corporation 
                        and the Secretary of Labor, the 
                        application upon finding that the plan 
                        is eligible for the suspensions and has 
                        satisfied the criteria of subparagraphs 
                        (C), (D), (E), and (F).
                          ``(ii) Solicitation of comments.--Not 
                        later than 30 days after receipt of the 
                        application under clause (i), the 
                        Secretary of the Treasury, in 
                        consultation with the Pension Benefit 
                        Guaranty Corporation and the Secretary 
                        of Labor, shall publish a notice in the 
                        Federal Register soliciting comments 
                        from contributing employers, employee 
                        organizations, and participants and 
                        beneficiaries of the plan for which an 
                        application was made and other 
                        interested parties. The application for 
                        approval of the suspension of benefits 
                        shall be published on the website of 
                        the Department of the Treasury.
                          ``(iii) Required action; deemed 
                        approval.--The Secretary of the 
                        Treasury, in consultation with the 
                        Pension Benefit Guaranty Corporation 
                        and the Secretary of Labor, shall 
                        approve or deny any application for 
                        suspensions of benefits under this 
                        paragraph within 225 days after the 
                        submission of such application. An 
                        application for suspension of benefits 
                        shall be deemed approved unless, within 
                        such 225 days, the Secretary of the 
                        Treasury notifies the plan sponsor that 
                        it has failed to satisfy one or more of 
                        the criteria described in this 
                        paragraph. If the Secretary of the 
                        Treasury, in consultation with the 
                        Pension Benefit Guaranty Corporation 
                        and the Secretary of Labor, rejects a 
                        plan sponsor's application, the 
                        Secretary of the Treasury shall provide 
                        notice to the plan sponsor detailing 
                        the specific reasons for the rejection, 
                        including reference to the specific 
                        requirement not satisfied. Approval or 
                        denial by the Secretary of the 
                        Treasury, in consultation with the 
                        Pension Benefit Guaranty Corporation 
                        and the Secretary of Labor, of an 
                        application shall be treated as final 
                        agency action for purposes of section 
                        704 of title 5, United States Code.
                          ``(iv) Agency review.--In evaluating 
                        whether the plan sponsor has met the 
                        criteria specified in clause (ii) of 
                        subparagraph (C), the Secretary of the 
                        Treasury, in consultation with the 
                        Pension Benefit Guaranty Corporation 
                        and the Secretary of Labor, shall 
                        review the plan sponsor's consideration 
                        of factors under such clause.
                          ``(v) Standard for accepting plan 
                        sponsor determinations.--In evaluating 
                        the plan sponsor's application, the 
                        Secretary of the Treasury shall accept 
                        the plan sponsor's determinations 
                        unless it concludes, in consultation 
                        with the Pension Benefit Guaranty 
                        Corporation and the Secretary of Labor, 
                        that the plan sponsor's determinations 
                        were clearly erroneous.
                  ``(H) Participant ratification process.--
                          ``(i) In general.--No suspension of 
                        benefits may take effect pursuant to 
                        this paragraph prior to a vote of the 
                        participants of the plan with respect 
                        to the suspension.
                          ``(ii) Administration of vote.--Not 
                        later than 30 days after approval of 
                        the suspension by the Secretary of the 
                        Treasury, in consultation with the 
                        Pension Benefit Guaranty Corporation 
                        and the Secretary of Labor, under 
                        subparagraph (G), the Secretary of the 
                        Treasury, in consultation with the 
                        Pension Benefit Guaranty Corporation 
                        and the Secretary of Labor, shall 
                        administer a vote of participants and 
                        beneficiaries of the plan. Except as 
                        provided in clause (v), the suspension 
                        shall go into effect following the vote 
                        unless a majority of all participants 
                        and beneficiaries of the plan vote to 
                        reject the suspension. The plan sponsor 
                        may submit a new suspension application 
                        to the Secretary of the Treasury for 
                        approval in any case in which a 
                        suspension is prohibited from taking 
                        effect pursuant to a vote under this 
                        subparagraph.
                          ``(iii) Ballots.--The plan sponsor 
                        shall provide a ballot for the vote 
                        (subject to approval by the Secretary 
                        of the Treasury, in consultation with 
                        the Pension Benefit Guaranty 
                        Corporation and the Secretary of Labor) 
                        that includes the following:
                                  ``(I) A statement from the 
                                plan sponsor in support of the 
                                suspension.
                                  ``(II) A statement in 
                                opposition to the suspension 
                                compiled from comments received 
                                pursuant to subparagraph 
                                (G)(ii).
                                  ``(III) A statement that the 
                                suspension has been approved by 
                                the Secretary of the Treasury, 
                                in consultation with the 
                                Pension Benefit Guaranty 
                                Corporation and the Secretary 
                                of Labor.
                                  ``(IV) A statement that the 
                                plan sponsor has determined 
                                that the plan will become 
                                insolvent unless the suspension 
                                takes effect.
                                  ``(V) A statement that 
                                insolvency of the plan could 
                                result in benefits lower than 
                                benefits paid under the 
                                suspension.
                                  ``(VI) A statement that 
                                insolvency of the Pension 
                                Benefit Guaranty Corporation 
                                would result in benefits lower 
                                than benefits paid in the case 
                                of plan insolvency.
                          ``(iv) Communication by plan 
                        sponsor.--It is the sense of Congress 
                        that, depending on the size and 
                        resources of the plan and geographic 
                        distribution of the plan's 
                        participants, the plan sponsor should 
                        take such steps as may be necessary to 
                        inform participants about proposed 
                        benefit suspensions through in-person 
                        meetings, telephone or internet-based 
                        communications, mailed information, or 
                        by other means.
                          ``(v) Systemically important plans.--
                                  ``(I) In general.--Not later 
                                than 14 days after a vote under 
                                this subparagraph rejecting a 
                                suspension, the Secretary of 
                                the Treasury, in consultation 
                                with the Pension Benefit 
                                Guaranty Corporation and the 
                                Secretary of Labor, shall 
                                determine whether the plan is a 
                                systemically important plan. If 
                                the Secretary of the Treasury, 
                                in consultation with the 
                                Pension Benefit Guaranty 
                                Corporation and the Secretary 
                                of Labor, determines that the 
                                plan is a systemically 
                                important plan, not later than 
                                the end of the 90-day period 
                                beginning on the date the 
                                results of the vote are 
                                certified, the Secretary of the 
                                Treasury shall, notwithstanding 
                                such adverse vote--
                                          ``(aa) permit the 
                                        implementation of the 
                                        suspension proposed by 
                                        the plan sponsor; or
                                          ``(bb) permit the 
                                        implementation of a 
                                        modification by the 
                                        Secretary of the 
                                        Treasury, in 
                                        consultation with the 
                                        Pension Benefit 
                                        Guaranty Corporation 
                                        and the Secretary of 
                                        Labor, of such 
                                        suspension (so long as 
                                        the plan is projected 
                                        to avoid insolvency 
                                        within the meaning of 
                                        section 4245 of the 
                                        Employee Retirement 
                                        Income Security Act of 
                                        1974 under such 
                                        modification).
                                  ``(II) Recommendations.--Not 
                                later than 30 days after a 
                                determination by the Secretary 
                                of the Treasury, in 
                                consultation with the Pension 
                                Benefit Guaranty Corporation 
                                and the Secretary of Labor, 
                                that the plan is systemically 
                                important, the Participant and 
                                Plan Sponsor Advocate selected 
                                under section 4004 of the 
                                Employee Retirement Income 
                                Security Act of 1974 may submit 
                                recommendations to the 
                                Secretary of the Treasury with 
                                respect to the suspension or 
                                any revisions to the 
                                suspension.
                                  ``(III) Systemically 
                                important plan defined.--
                                          ``(aa) In general.--
                                        For purposes of this 
                                        subparagraph, a 
                                        systemically important 
                                        plan is a plan with 
                                        respect to which the 
                                        Pension Benefit 
                                        Guaranty Corporation 
                                        projects the present 
                                        value of projected 
                                        financial assistance 
                                        payments exceeds 
                                        $1,000,000,000 if 
                                        suspensions are not 
                                        implemented.
                                          ``(bb) Indexing.--For 
                                        calendar years 
                                        beginning after 2015, 
                                        there shall be 
                                        substituted for the 
                                        dollar amount specified 
                                        in item (aa) an amount 
                                        equal to the product of 
                                        such dollar amount and 
                                        a fraction, the 
                                        numerator of which is 
                                        the contribution and 
                                        benefit base 
                                        (determined under 
                                        section 230 of the 
                                        Social Security Act) 
                                        for the preceding 
                                        calendar year and the 
                                        denominator of which is 
                                        such contribution and 
                                        benefit base for 
                                        calendar year 2014. If 
                                        the amount otherwise 
                                        determined under this 
                                        item is not a multiple 
                                        of $1,000,000, such 
                                        amount shall be rounded 
                                        to the next lowest 
                                        multiple of $1,000,000.
                          ``(vi) Final authorization to 
                        suspend.--In any case in which a 
                        suspension goes into effect following a 
                        vote pursuant to clause (ii) (or 
                        following a determination under clause 
                        (v) that the plan is a systemically 
                        important plan), the Secretary of the 
                        Treasury, in consultation with the 
                        Pension Benefit Guaranty Corporation 
                        and the Secretary of Labor, shall issue 
                        a final authorization to suspend with 
                        respect to the suspension not later 
                        than 7 days after such vote (or, in the 
                        case of a suspension that goes into 
                        effect under clause (v), at a time 
                        sufficient to allow the implementation 
                        of the suspension prior to the end of 
                        the 90-day period described in clause 
                        (v)(I)).
                  ``(I) Judicial review.--
                          ``(i) Denial of application.--An 
                        action by the plan sponsor challenging 
                        the denial of an application for 
                        suspension of benefits by the Secretary 
                        of the Treasury, in consultation with 
                        the Pension Benefit Guaranty 
                        Corporation and the Secretary of Labor, 
                        may only be brought following such 
                        denial.
                          ``(ii) Approval of suspension of 
                        benefits.--
                                  ``(I) Timing of action.--An 
                                action challenging a suspension 
                                of benefits under this 
                                paragraph may only be brought 
                                following a final authorization 
                                to suspend by the Secretary of 
                                the Treasury, in consultation 
                                with the Pension Benefit 
                                Guaranty Corporation and the 
                                Secretary of Labor, under 
                                subparagraph (H)(vi).
                                  ``(II) Standards of review.--
                                          ``(aa) In general.--A 
                                        court shall review an 
                                        action challenging a 
                                        suspension of benefits 
                                        under this paragraph in 
                                        accordance with section 
                                        706 of title 5, United 
                                        States Code.
                                          ``(bb) Temporary 
                                        injunction.--A court 
                                        reviewing an action 
                                        challenging a 
                                        suspension of benefits 
                                        under this paragraph 
                                        may not grant a 
                                        temporary injunction 
                                        with respect to such 
                                        suspension unless the 
                                        court finds a clear and 
                                        convincing likelihood 
                                        that the plaintiff will 
                                        prevail on the merits 
                                        of the case.
                          ``(iii) Restricted cause of action.--
                        A participant or beneficiary affected 
                        by a benefit suspension under this 
                        paragraph shall not have a cause of 
                        action under this title.
                          ``(iv) Limitation on action to 
                        suspend benefits.--No action 
                        challenging a suspension of benefits 
                        following the final authorization to 
                        suspend or the denial of an application 
                        for suspension of benefits pursuant to 
                        this paragraph may be brought after one 
                        year after the earliest date on which 
                        the plaintiff acquired or should have 
                        acquired actual knowledge of the 
                        existence of such cause of action.
                  ``(J) Special rule for emergence from 
                critical status.--A plan certified to be in 
                critical and declining status pursuant to 
                projections made under subsection (b)(3) for 
                which a suspension of benefits has been made by 
                the plan sponsor pursuant to this paragraph 
                shall not emerge from critical status under 
                paragraph (4)(B), until such time as--
                          ``(i) the plan is no longer certified 
                        to be in critical or endangered status 
                        under paragraphs (1) and (2) of 
                        subsection (b), and
                          ``(ii) the plan is projected to avoid 
                        insolvency under section 418E.''.
          (6) Rule relating to withdrawal liability.--Section 
        432(g)(1) of the Internal Revenue Code of 1986, as 
        added by section 109, is further amended by inserting 
        ``, or benefit reductions or suspensions while in 
        critical and declining status under subsection (e)(9)), 
        unless the withdrawal occurs more than ten years after 
        the effective date of a benefit suspension by a plan in 
        critical and declining status,'' after ``benefit 
        reductions under subsection (e)(8) or (f)''.
          (7) Guidance.--Not later than 180 days after the date 
        of the enactment of this Act, the Secretary of the 
        Treasury, in consultation with the Pension Benefit 
        Guaranty Corporation and the Secretary of Labor, shall 
        publish appropriate guidance to implement section 
        432(e)(9) of the Internal Revenue Code of 1986.
  (c) Effective Date.--The amendments made by this section 
shall take effect on the date of the enactment of this Act.

           DIVISION P--OTHER RETIREMENT-RELATED MODIFICATIONS

SECTION 1. SUBSTANTIAL CESSATION OF OPERATIONS.

  (a) In General.--Subsection (e) of section 4062 of the 
Employee Retirement Income Security Act of 1974 (29 U.S.C. 
1362) is amended to read as follows:
  ``(e) Treatment of Substantial Cessation of Operations.--
          ``(1) General rule.--Except as provided in paragraphs 
        (3) and (4), if there is a substantial cessation of 
        operations at a facility in any location, the employer 
        shall be treated with respect to any single employer 
        plan established and maintained by the employer 
        covering participants at such facility as if the 
        employer were a substantial employer under a plan under 
        which more than one employer makes contributions and 
        the provisions of sections 4063, 4064, and 4065 shall 
        apply.
          ``(2) Substantial cessation of operations.--For 
        purposes of this subsection:
                  ``(A) In general.--The term `substantial 
                cessation of operations' means a permanent 
                cessation of operations at a facility which 
                results in a workforce reduction of a number of 
                eligible employees at the facility equivalent 
                to more than 15 percent of the number of all 
                eligible employees of the employer, determined 
                immediately before the earlier of--
                          ``(i) the date of the employer's 
                        decision to implement such cessation, 
                        or
                          ``(ii) in the case of a workforce 
                        reduction which includes 1 or more 
                        eligible employees described in 
                        paragraph (6)(B), the earliest date on 
                        which any such eligible employee was 
                        separated from employment.
                  ``(B) Workforce reduction.--Subject to 
                subparagraphs (C) and (D), the term `workforce 
                reduction' means the number of eligible 
                employees at a facility who are separated from 
                employment by reason of the permanent cessation 
                of operations of the employer at the facility.
                  ``(C) Relocation of workforce.--An eligible 
                employee separated from employment at a 
                facility shall not be taken into account in 
                computing a workforce reduction if, within a 
                reasonable period of time, the employee is 
                replaced by the employer, at the same or 
                another facility located in the United States, 
                by an employee who is a citizen or resident of 
                the United States.
                  ``(D) Dispositions.--If, whether by reason of 
                a sale or other disposition of the assets or 
                stock of a contributing sponsor (or any member 
                of the same controlled group as such a sponsor) 
                of the plan relating to operations at a 
                facility or otherwise, an employer (the 
                `transferee employer') other than the employer 
                which experiences the substantial cessation of 
                operations (the `transferor employer') conducts 
                any portion of such operations, then--
                          ``(i) an eligible employee separated 
                        from employment with the transferor 
                        employer at the facility shall not be 
                        taken into account in computing a 
                        workforce reduction if--
                                  ``(I) within a reasonable 
                                period of time, the employee is 
                                replaced by the transferee 
                                employer by an employee who is 
                                a citizen or resident of the 
                                United States; and
                                  ``(II) in the case of an 
                                eligible employee who is a 
                                participant in a single 
                                employer plan maintained by the 
                                transferor employer, the 
                                transferee employer, within a 
                                reasonable period of time, 
                                maintains a single employer 
                                plan which includes the assets 
                                and liabilities attributable to 
                                the accrued benefit of the 
                                eligible employee at the time 
                                of separation from employment 
                                with the transferor employer; 
                                and
                          ``(ii) an eligible employee who 
                        continues to be employed at the 
                        facility by the transferee employer 
                        shall not be taken into account in 
                        computing a workforce reduction if--
                                  ``(I) the eligible employee 
                                is not a participant in a 
                                single employer plan maintained 
                                by the transferor employer, or
                                  ``(II) in any other case, the 
                                transferee employer, within a 
                                reasonable period of time, 
                                maintains a single employer 
                                plan which includes the assets 
                                and liabilities attributable to 
                                the accrued benefit of the 
                                eligible employee at the time 
                                of separation from employment 
                                with the transferor employer.
          ``(3) Exemption for plans with limited 
        underfunding.--Paragraph (1) shall not apply with 
        respect to a single employer plan if, for the plan year 
        preceding the plan year in which the cessation 
        occurred--
                  ``(A) there were fewer than 100 participants 
                with accrued benefits under the plan as of the 
                valuation date of the plan for the plan year 
                (as determined under section 303(g)(2)); or
                  ``(B) the ratio of the market value of the 
                assets of the plan to the funding target of the 
                plan for the plan year was 90 percent or 
                greater.
          ``(4) Election to make additional contributions to 
        satisfy liability.--
                  ``(A) In general.--An employer may elect to 
                satisfy the employer's liability with respect 
                to a plan by reason of paragraph (1) by making 
                additional contributions to the plan in the 
                amount determined under subparagraph (B) for 
                each plan year in the 7-plan-year period 
                beginning with the plan year in which the 
                cessation occurred. Any such additional 
                contribution for a plan year shall be in 
                addition to any minimum required contribution 
                under section 303 for such plan year and shall 
                be paid not later than the earlier of--
                          ``(i) the due date for the minimum 
                        required contribution for such year 
                        under section 303(j); or
                          ``(ii) in the case of the first such 
                        contribution, the date that is 1 year 
                        after the date on which the employer 
                        notifies the Corporation of the 
                        substantial cessation of operations or 
                        the date the Corporation determines a 
                        substantial cessation of operations has 
                        occurred, and in the case of subsequent 
                        contributions, the same date in each 
                        succeeding year.
                  ``(B) Amount determined.--
                          ``(i) In general.--Except as provided 
                        in clause (iii), the amount determined 
                        under this subparagraph with respect to 
                        each plan year in the 7-plan-year 
                        period is the product of--
                                  ``(I) \1/7\ of the unfunded 
                                vested benefits determined 
                                under section 4006(a)(3)(E) as 
                                of the valuation date of the 
                                plan (as determined under 
                                section 303(g)(2)) for the plan 
                                year preceding the plan year in 
                                which the cessation occurred; 
                                and
                                  ``(II) the reduction 
                                fraction.
                          ``(ii) Reduction fraction.--For 
                        purposes of clause (i), the reduction 
                        fraction of a single employer plan is 
                        equal to--
                                  ``(I) the number of 
                                participants with accrued 
                                benefits in the plan who were 
                                included in computing the 
                                workforce reduction under 
                                paragraph (2)(B) as a result of 
                                the cessation of operations at 
                                the facility; divided by
                                  ``(II) the number of eligible 
                                employees of the employer who 
                                are participants with accrued 
                                benefits in the plan, 
                                determined as of the same date 
                                the determination under 
                                paragraph (2)(A) is made.
                          ``(iii) Limitation.--The additional 
                        contribution under this subparagraph 
                        for any plan year shall not exceed the 
                        excess, if any, of--
                                  ``(I) 25 percent of the 
                                difference between the market 
                                value of the assets of the plan 
                                and the funding target of the 
                                plan for the preceding plan 
                                year; over
                                  ``(II) the minimum required 
                                contribution under section 303 
                                for the plan year.
                  ``(C) Permitted cessation of annual 
                installments when plan becomes sufficiently 
                funded.--An employer's obligation to make 
                additional contributions under this paragraph 
                shall not apply to--
                          ``(i) the first plan year (beginning 
                        on or after the first day of the plan 
                        year in which the cessation occurs) for 
                        which the ratio of the market value of 
                        the assets of the plan to the funding 
                        target of the plan for the plan year is 
                        90 percent or greater, or
                          ``(ii) any plan year following such 
                        first plan year.
                  ``(D) Coordination with funding waivers.--
                          ``(i) In general.--If the Secretary 
                        of the Treasury issues a funding waiver 
                        under section 302(c) with respect to 
                        the plan for a plan year in the 7-plan-
                        year period under subparagraph (A), the 
                        additional contribution with respect to 
                        such plan year shall be permanently 
                        waived.
                          ``(ii) Notice.--An employer 
                        maintaining a plan with respect to 
                        which such a funding waiver has been 
                        issued or a request for such a funding 
                        waiver is pending shall provide notice 
                        to the Secretary of the Treasury, in 
                        such form and at such time as the 
                        Secretary of the Treasury shall 
                        provide, of a cessation of operations 
                        to which paragraph (1) applies.
                  ``(E) Enforcement.--
                          ``(i) Notice.--An employer making the 
                        election under this paragraph shall 
                        provide notice to the Corporation, in 
                        accordance with rules prescribed by the 
                        Corporation, of--
                                  ``(I) such election, not 
                                later than 30 days after the 
                                earlier of the date the 
                                employer notifies the 
                                Corporation of the substantial 
                                cessation of operations or the 
                                date the Corporation determines 
                                a substantial cessation of 
                                operations has occurred;
                                  ``(II) the payment of each 
                                additional contribution, not 
                                later than 10 days after such 
                                payment;
                                  ``(III) any failure to pay 
                                the additional contribution in 
                                the full amount for any year in 
                                the 7-plan-year period, not 
                                later than 10 days after the 
                                due date for such payment;
                                  ``(IV) the waiver under 
                                subparagraph (D)(i) of the 
                                obligation to make an 
                                additional contribution for any 
                                year, not later than 30 days 
                                after the funding waiver 
                                described in such subparagraph 
                                is granted; and
                                  ``(V) the cessation of any 
                                obligation to make additional 
                                contributions under 
                                subparagraph (C), not later 
                                than 10 days after the due date 
                                for payment of the additional 
                                contribution for the first plan 
                                year to which such cessation 
                                applies.
                          ``(ii) Acceleration of liability to 
                        the plan for failure to pay.--If an 
                        employer fails to pay the additional 
                        contribution in the full amount for any 
                        year in the 7-plan-year period by the 
                        due date for such payment, the employer 
                        shall, as of such date, be liable to 
                        the plan in an amount equal to the 
                        balance which remains unpaid as of such 
                        date of the aggregate amount of 
                        additional contributions required to be 
                        paid by the employer during such 7-
                        year-plan period. The Corporation may 
                        waive or settle the liability described 
                        in the preceding sentence, at the 
                        discretion of the Corporation.
                          ``(iii) Civil action.--The 
                        Corporation may bring a civil action in 
                        the district courts of the United 
                        States in accordance with section 
                        4003(e) to compel an employer making 
                        such election to pay the additional 
                        contributions required under this 
                        paragraph.
          ``(5) Definitions.--For purposes of this subsection:
                  ``(A) Eligible employee.--The term `eligible 
                employee' means an employee who is eligible to 
                participate in an employee pension benefit plan 
                (as defined in section 3(2)) established and 
                maintained by the employer.
                  ``(B) Funding target.--The term `funding 
                target' means, with respect to any plan year, 
                the funding target as determined under section 
                4006(a)(3)(E)(iii)(I) for purposes of 
                determining the premium paid to the Corporation 
                under section 4007 for the plan year.
                  ``(C) Market value.--The market value of the 
                assets of a plan shall be determined in the 
                same manner as for purposes of section 
                4006(a)(3)(E).
          ``(6) Special rules.--
                  ``(A) Change in operation of certain 
                facilities and property.--For purposes of 
                paragraphs (1) and (2), an employer shall not 
                be treated as ceasing operations at a qualified 
                lodging facility (as defined in section 
                856(d)(9)(D) of the Internal Revenue Code of 
                1986) if such operations are continued by an 
                eligible independent contractor (as defined in 
                section 856(d)(9)(A) of such Code) pursuant to 
                an agreement with the employer.
                  ``(B) Aggregation of prior separations.--The 
                workforce reduction under paragraph (2) with 
                respect to any cessation of operations shall be 
                determined by taking into account any 
                separation from employment of any eligible 
                employee at the facility (other than a 
                separation which is not taken into account as 
                workforce reduction by reason of subparagraph 
                (C) or (D) of paragraph (2)) which--
                          ``(i) is related to the permanent 
                        cessation of operations of the employer 
                        at the facility, and
                          ``(ii) occurs during the 3-year 
                        period preceding such cessation.
                  ``(C) No addition to prefunding balance.--For 
                purposes of section 303(f)(6)(B) and section 
                430(f)(6)(B) of the Internal Revenue Code of 
                1986, any additional contribution made under 
                paragraph (4) shall be treated in the same 
                manner as a contribution an employer is 
                required to make in order to avoid a benefit 
                reduction under paragraph (1), (2), or (4) of 
                section 206(g) or subsection (b), (c), or (e) 
                of section 436 of the Internal Revenue Code of 
                1986 for the plan year.''.
  (b) Effective Date.--
          (1) In general.--The amendment made by this section 
        shall apply to a cessation of operations or other event 
        at a facility occurring on or after the date of 
        enactment of this Act.
          (2) Transition rule.--An employer that had a 
        cessation of operations before the date of enactment of 
        this Act (as determined under subsection 4062(e) of the 
        Employee Retirement Income Security Act of 1974 as in 
        effect before the amendment made by this section), but 
        did not enter into an arrangement with the Pension 
        Benefit Guaranty Corporation to satisfy the 
        requirements of such subsection (as so in effect) 
        before such date of enactment, shall be permitted to 
        make the election under section 4062(e)(4) of such Act 
        (as in effect after the amendment made by this section) 
        as if such cessation had occurred on such date of 
        enactment. Such election shall be made not later than 
        30 days after such Corporation issues, on or after such 
        date of the enactment, a final administrative 
        determination that a substantial cessation of 
        operations has occurred.
  (c) Direction to the Corporation.--The Pension Benefit 
Guaranty Corporation shall not take any enforcement, 
administrative, or other action pursuant to section 4062(e) of 
the Employee Retirement Income Security Act of 1974, or in 
connection with an agreement settling liability arising under 
such section, that is inconsistent with the amendment made by 
this section, without regard to whether the action relates to a 
cessation or other event that occurs before, on, or after the 
date of the enactment of this Act, unless such action is in 
connection with a settlement agreement that is in place before 
June 1, 2014. The Pension Benefit Guaranty Corporation shall 
not initiate a new enforcement action with respect to section 
4062(e) of such Act that is inconsistent with its enforcement 
policy in effect on June 1, 2014.

SEC. 2. CLARIFICATION OF THE NORMAL RETIREMENT AGE.

  (a) Amendments to the Employee Retirement Income Security Act 
of 1974.--Section 204 of the Employee Retirement Income 
Security Act of 1974 (29 U.S.C. 1054) is amended by 
redesignating subsection (k) as subsection (l) and by inserting 
after subsection (j) the following new subsection:
  ``(k) Special Rule for Determining Normal Retirement Age for 
Certain Existing Defined Benefit Plans.--
          ``(1) In general.--Notwithstanding section 3(24), an 
        applicable plan shall not be treated as failing to meet 
        any requirement of this title, or as failing to have a 
        uniform normal retirement age for purposes of this 
        title, solely because the plan provides for a normal 
        retirement age described in paragraph (2).
          ``(2) Applicable plan.--For purposes of this 
        subsection--
                  ``(A) In general.--The term `applicable plan' 
                means a defined benefit plan the terms of 
                which, on or before December 8, 2014, provided 
                for a normal retirement age which is the 
                earlier of--
                          ``(i) an age otherwise permitted 
                        under section 3(24), or
                          ``(ii) the age at which a participant 
                        completes the number of years (not less 
                        than 30 years) of benefit accrual 
                        service specified by the plan.
                A plan shall not fail to be treated as an 
                applicable plan solely because the normal 
                retirement age described in the preceding 
                sentence only applied to certain participants 
                or only applied to employees of certain 
                employers in the case of a plan maintained by 
                more than 1 employer.
                  ``(B) Expanded application.--Subject to 
                subparagraph (C), if, after December 8, 2014, 
                an applicable plan is amended to expand the 
                application of the normal retirement age 
                described in subparagraph (A) to additional 
                participants or to employees of additional 
                employers maintaining the plan, such plan shall 
                also be treated as an applicable plan with 
                respect to such participants or employees.
                  ``(C) Limitation on expanded application.--A 
                defined benefit plan shall be an applicable 
                plan only with respect to an individual who--
                          ``(i) is a participant in the plan on 
                        or before January 1, 2017, or
                          ``(ii) is an employee at any time on 
                        or before January 1, 2017, of any 
                        employer maintaining the plan, and who 
                        becomes a participant in such plan 
                        after such date.''.
  (b) Amendment to the Internal Revenue Code of 1986.--Section 
411 of the Internal Revenue Code of 1986 is amended by adding 
at the end the following new subsection:
  ``(f) Special Rule for Determining Normal Retirement Age for 
Certain Existing Defined Benefit Plans.--
          ``(1) In general.--Notwithstanding subsection (a)(8), 
        an applicable plan shall not be treated as failing to 
        meet any requirement of this subchapter, or as failing 
        to have a uniform normal retirement age for purposes of 
        this subchapter, solely because the plan provides for a 
        normal retirement age described in paragraph (2).
          ``(2) Applicable plan.--For purposes of this 
        subsection--
                  ``(A) In general.--The term `applicable plan' 
                means a defined benefit plan the terms of 
                which, on or before December 8, 2014, provided 
                for a normal retirement age which is the 
                earlier of--
                          ``(i) an age otherwise permitted 
                        under subsection (a)(8), or
                          ``(ii) the age at which a participant 
                        completes the number of years (not less 
                        than 30 years) of benefit accrual 
                        service specified by the plan.
                A plan shall not fail to be treated as an 
                applicable plan solely because the normal 
                retirement age described in the preceding 
                sentence only applied to certain participants 
                or only applied to employees of certain 
                employers in the case of a plan maintained by 
                more than 1 employer.
                  ``(B) Expanded application.--Subject to 
                subparagraph (C), if, after December 8, 2014, 
                an applicable plan is amended to expand the 
                application of the normal retirement age 
                described in subparagraph (A) to additional 
                participants or to employees of additional 
                employers maintaining the plan, such plan shall 
                also be treated as an applicable plan with 
                respect to such participants or employees.
                  ``(C) Limitation on expanded application.--A 
                defined benefit plan shall be an applicable 
                plan only with respect to an individual who--
                          ``(i) is a participant in the plan on 
                        or before January 1, 2017, or
                          ``(ii) is an employee at any time on 
                        or before January 1, 2017, of any 
                        employer maintaining the plan, and who 
                        becomes a participant in such plan 
                        after such date.''.
  (c) Effective Date.--The amendments made by this section 
shall apply to all periods before, on, and after the date of 
enactment of this Act.

SEC. 3. APPLICATION OF COOPERATIVE AND SMALL EMPLOYER CHARITY PENSION 
                    PLAN RULES TO CERTAIN CHARITABLE EMPLOYERS WHOSE 
                    PRIMARY EXEMPT PURPOSE IS PROVIDING SERVICES WITH 
                    RESPECT TO CHILDREN.

  (a) Employee Retirement Income and Security Act of 1974.--
          (1) In general.--Section 210(f)(1) of the Employee 
        Retirement Income Security Act of 1974 (29 U.S.C. 
        1060(f)(1)) is amended by striking ``or'' at the end of 
        subparagraph (A), by striking the period at the end of 
        subparagraph (B) and inserting ``; or'', and by 
        inserting after subparagraph (B) the following new 
        subparagraph:
                  ``(C) that, as of June 25, 2010, was 
                maintained by an employer--
                          ``(i) described in section 501(c)(3) 
                        of such Code,
                          ``(ii) chartered under part B of 
                        subtitle II of title 36, United States 
                        Code,
                          ``(iii) with employees in at least 40 
                        States, and
                          ``(iv) whose primary exempt purpose 
                        is to provide services with respect to 
                        children.''.
          (2) Aggregation rules.--Section 210(f)(2) of the 
        Employee Retirement Income Security Act of 1974 (29 
        U.S.C. 1060(f)(2)) is amended by striking ``paragraph 
        (1)(B)'' and inserting ``subparagraph (B) and (C) of 
        paragraph (1)''.
  (b) Internal Revenue Code of 1986.--
          (1) In general.--Section 414(y)(1) of the Internal 
        Revenue Code of 1986 is amended by striking ``or'' at 
        the end of subparagraph (A), by striking the period at 
        the end of subparagraph (B) and inserting ``; or'', and 
        by inserting after subparagraph (B) the following new 
        subparagraph:
                  ``(C) that, as of June 25, 2010, was 
                maintained by an employer--
                          ``(i) described in section 501(c)(3) 
                        of such Code,
                          ``(ii) chartered under part B of 
                        subtitle II of title 36, United States 
                        Code,
                          ``(iii) with employees in at least 40 
                        States, and
                          ``(iv) whose primary exempt purpose 
                        is to provide services with respect to 
                        children.''.
          (2) Aggregation rules.--Section 414(y)(2) of the 
        Internal Revenue Code of 1986 is amended by striking 
        ``paragraph (1)(B)'' and inserting ``subparagraph (B) 
        and (C) of paragraph (1)''.
  (c) Effective Date.--The amendments made by this section 
shall take effect as if included in the amendments made by the 
Cooperative and Small Employer Charity Pension Flexibility Act 
(29 U.S.C. 401 note).

                     DIVISION Q--BUDGETARY EFFECTS

SEC. 1. BUDGETARY EFFECTS.

  (a) Statutory Pay-as-you-go Scorecards.--The budgetary 
effects of divisions O and P shall not be entered on either 
PAYGO scorecard maintained pursuant to section 4(d) of the 
Statutory Pay-As-You-Go Act of 2010.
  (b) Senate Pay-as-you-go Scorecards.--The budgetary effects 
of divisions O and P shall not be entered on any PAYGO 
scorecard maintained for purposes of section 201 of S. Con. 
Res. 21 (110th Congress).
  (c) Classification of Budgetary Effects.--Notwithstanding 
Rule 3 of the Budget Scorekeeping Guidelines set forth in the 
joint explanatory statement of the committee of conference 
accompanying Conference Report 105-217 and section 250(c)(8) of 
the Balanced Budget and Emergency Deficit Control Act of 1985, 
the budgetary effects of divisions O and P shall not be 
estimated--
          (1) for purposes of section 251 of the such Act; and
          (2) for purposes of paragraph 4(C) of section 3 of 
        the Statutory Pay-as-You-Go Act of 2010 as being 
        included in an appropriation Act.
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