Federal Register / Vol. 63, No. 122 /Thursday, June 25, 1998 / Notices 34665

data can be provided in the desired

format, reporting burden (time and

financial resources) is minimized,

collection instruments are clearly

understood, and the impact of collection

requirements on respondents can be

properly assessed. Currently, the

Pension and Welfare Benefits

Administration is soliciting comments

concerning the proposed extension of a

currently approved collection of

information, Prohibited Transaction

Class Exemption 81–8 for investment of

plan assets in certain types of short-term

investments. A copy of the proposed

information collection request (ICR) can

be obtained by contacting the office

listed below in the ADDRESSES section of

this notice.

DATES: Written must be submitted to the

office listed in ADDRESSES section below

on or before August 24, 1998. The

Department of Labor is particularly

interested in comments which:

• Evalaute whether the proposed

collection of information is necessary

for the proper performance of the

functions of the agency, including

whether the information will have

practical utility;

• Evaluate the accuracy of the

agency’s estimate of the burden of the

proposed collection of information,

including the validity of the

methodology and assumptions used;

• Enhance the quality, utility, and

clarity of the information to be

collected;

• Minimize the burden of the

collection of information on those who

are to respond, including through the

use of appropriate automated,

electronic, mechanical, or other

technological collection techniques or

other forms of information technology,

e.g., permitting electronic submission of

responses.

ADDRESSES: Interested parties are

invited to submit written comments

regarding the collection of information

of any or all of the Agencies. Send

comments to Mr. Gerald B. Lindrew,

Office of Policy and Research, U.S.

Department of Labor, Pension and

Welfare Benefits Administration, 200

Constitution Avenue, NW, Room N–

56457, Washington, D.C. 20210.

Telephone: (202) 219–4782 (this is not

a toll-free number).

SUPPLEMENTARY INFORMATION:

I. Background

Prohibited Transaction Class

Exemption 81–8 permits the investment

of plan assets which involve the

purchase or other acquisition, holding,

sale, exchange or redemption by or on

behalf of an employee benefit plan of

certain types of short-term investments.

These include investments in banker’s

acceptances, commercial paper,

repurchase agreements, certificates of

deposit, and bank securities. In absence

of the exemption, certain aspects of

these transactions might be prohibited

by section 406 of the Employee

Retirement Income Security Act

(ERISA).

II. Current Actions

The Office of Management and

Budget’s approval of this ICR will expire

on September 30, 1998. This existing

collection of information should be

continued because without the relieve

provided by this exemption, plans

would not be able to continue to invest

plan assets in certain short term

investments in debt obligations issued

by certain persons who provide services

to the plan or who are affiliated with

such service providers. In most

instances, the service providers

engaging in such transactions with the

plans are already providing services to

the plan. Without this exemption, these

types of transactions could not

continue, causing disruption of the

existing business practices of the plan

and the businesses that service them.

In order to ensure that the exemption

is not abused, that the rights of

participants and beneficiaries are

protected, and that the exemption’s

conditions are being complied with, the

Department has included in the

exemption two basic disclosure

requirements. Both affect only the

portion of the exemption dealing with

repurchase agreements. The first

requirement calls for the repurchase

agreements between the seller and the

plan to be in writing. These repurchase

agreements cover a period of one year or

less and may be in the form of a blanket

agreement for one year. The second

requirement obliges the seller of such

repurchase agreements to agree to

provide financial statements to the plan

at the time of the sale and as the

statements are issued. The seller must

also represent, either in the repurchase

agreement or prior to each repurchase

agreement transaction, that as of the

time the transaction is negotiated, there

has been no material adverse change in

the seller’s financial condition since the

date the most recent financial statement

was furnished that has not been

disclosed to the plan fiduciary with

whom the written agreement is made.

This requirement may be met by the

seller stating in the repurchase

agreement that by making the sale they

are representing that there is no material

or adverse change their financial

condition.

Agency: Department of Labor, Pension

and Welfare Benefits Administration.

Title: Prohibited Transaction Class

Exemption 81–8 for Investment of Plan

Assets in Certain Types of Short-Term

Investments.

Type of Review: Extension of

currently approved collection.

OMB Number: 1210–0061.

Affected Public: Individuals or

households; Business or other for-profit;

Not-for-profit institutions.

Total Respondents: 18,245.

Total Responses: 91,225.

Frequency of Response: On occasion.

Total Annual Burden: 15,204 hours.

Comments submitted in response to

this notice will be summarized and/or

included in the request for Office of

Management and Budget approval of the

information collection request; they will

also become a matter of public record.

Dated: June 19, 1998.

Gerald B. Lindrew,

Deputy Director, Pension and Welfare

Benefits Administration, Office of Policy and

Research.

[FR Doc. 98–16936 Filed 6–24–98; 8:45 am]

BILLING CODE 4570–29–M

DEPARTMENT OF LABOR

Pension and Welfare Benefits

Administration

Proposed Extension of Information

Collection Request Submitted for

Public Comment and

Recommendations

ACTION: Notice.

SUMMARY: The Department of Labor, as

part of its continuing effort to reduce

paperwork and respondent burden,

provides the general public and Federal

agencies with an opportunity to

comment on proposed and/or

continuing collections of information in

accordance with the Paperwork

Reduction Act of 1995 (PRA 95) (44

U.S.C. 3506(c)(2)(A)). This program

helps to ensure that requested data can

be provided in the desired format,

reporting burden (time and financial

resources) is minimized, collection

instruments are clearly understood, and

the impact of collection requirements on

respondents can be properly assessed.

Currently, the Pension and Welfare

Benefits Administration is soliciting

comments concerning the proposed

extension of a currently approved

collection of information included in

rules regarding participant directed

individual account plans under section

404(c) of the Employee Retirement

Income Security Act of 1974 (ERISA)
34666 Federal Register / Vol. 63, No. 122 /Thursday, June 25, 1998 / Notices

(29 CFR § 2550.404c–1). A copy of the

proposed information collection request

can be obtained by contacting the

individual listed below in the contact

section of this notice.

DATES: Written comments must be

submitted on or before August 24, 1998.

The Department of Labor

(Department) is particularly interested

in comments which:

• Evaluate whether the proposed

collection of information is necessary

for the proper performance of the

functions of the agency, including

whether the information will have

practical utility;

• Evaluate the accuracy of the

agency’s estimate of the burden of the

proposed collection of information,

including the validity of the

methodology and assumptions used;

• Enhance the quality, utility, and

clarity of the information to be

collected; and

• Minimize the burden of the

collection of information on those who

are to respond, including through the

use of appropriate automated,

electronic, mechanical, or other

technological collection techniques or

other forms of information technology,

e.g., permitting electronic submissions

of responses.

ADDRESSES: Gerald B. Lindrew,

Department of Labor, Pension and

Welfare Benefits Administration, 200

Constitution Avenue, NW, Washington,

D.C. 20210, (202) 219–4782 (not a tollfree number), FAX (202) 219–4745.

SUPPLEMENTARY INFORMATION:

I. Background

Section 404(c) of ERISA provides that

if a pension plan that provides for

individual accounts permits a

participant or beneficiary to exercise

control over assets in his account and

that participant or beneficiary in fact

exercises such control, that the

participant or beneficiary shall not be

deemed to be a fiduciary by such

exercise of control, and that no person

otherwise a fiduciary shall be liable for

any loss or breach which results from

this exercise of control.

II. Current Actions

The Office of Management and

Budget’s approval of the ICR included

in 29 CFR § 2550.404c–1 will expire on

September 30, 1998. This regulation

describes circumstances under which

ERISA section 404(c) applies to a

transaction involving a participant’s

exercise of control over this or her

individual account. The opportunity to

exercise control includes the

opportunity to obtain sufficient

information to make informed decisions

with respect to investment alternatives.

This regulation describes the type and

extent of information required to be

made available to participants and

beneficiaries for this purpose. In the

absence of such disclosures,

participants might not be able to make

informed decisions about the

investment of their individual accounts,

and persons who are otherwise

fiduciaries with respect to these plans

would not be afforded relief from the

fiduciary responsibility provisions of

Title I of ERISA with respect to these

transactions. For these reasons, the

Department intends to request an

extension of the ICR.

Type of Review: Extension.

Agency: Department of Labor, Pension

and Welfare Benefits Administration.

Title: Regulation Regarding

Participant Directed Individual Account

Plans (ERISA section 404(c) Plans).

OMB Number: 1210–0090.

Affected Public: Business or other forprofit, Not-for-profit institutions,

Individuals.

Total Respondents: 55,747.

Frequency: On occasion.

Total Responses: 11,000,050.

Estimated Total Burden Hours:

303,249.

Comments submitted in response to

this notice will be summarized and/or

included in the request for Office of

Management and Budget approval of the

information collection request; they will

also become a matter of public record.

Dated: June 22, 1998.

Gerald B. Lindrew,

Deputy Director, Office of Policy and

Research, Pension and Welfare Benefits

Administration.

[FR Doc. 98–16938 Filed 6–24–98; 8:45 am]

BILLING CODE 4510–29–M

DEPARTMENT OF LABOR

Pension and Welfare Benefits

Administration

Proposed Extension of Information

Collection Request Submitted for

Public Comment and

Recommendations

ACTION: None.

SUMMARY: The Department of Labor, as

part of its continuing effort to reduce

paperwork and respondent burden,

conducts a preclearance consultation

program to provide the general public

and other federal agencies with an

opportunity to comment on proposed

and continuing collections of

information in accordance with the

Paperwork Reduction Act of 1995 (PRA

95) (44 U.S.C. 3506(c)(2)(A)). This

program helps to ensure that requested

data can be provided in the desired

format, reporting burden (time and

financial resources) is minimized,

collection instruments are clearly

understood, and the impact of collection

requirements on respondents can be

properly assessed. Currently, the

Pension and Welfare Benefits

Administration is soliciting comments

concerning the proposed extension of

the collection of information included

in the employee benefit plan claims

procedure regulation issued pursuant to

section 503 of the Employee Retirement

Income Security Act of 1974 (ERISA)

(29 CFR 2560.503–1). A copy of the

proposed information collection request

(ICR) can be obtained by contacting the

office listed below in the addressee

section of this notice.

DATES: Written comments must be

submitted to the office listed in the

addressee section below on or before

August 24, 1998. The Department of

Labor is particularly interested in

comments which:

• Evaluate whether the proposed

collection of information is necessary

for the proper performance of the

functions of the agency, including

whether the information will have

practical utility;

• Evaluate the accuracy of the

agency’s estimate of the burden of the

proposed collection of information,

including the validity of the

methodology and assumptions used;

• Enhance the quality, utility, and

clarity of the information to be

collected;

• Minimize the burden of the

collection of information on those who

are to respond, including through the

use of appropriate automated,

electronic, mechanical, or other

technological collection techniques or

other forms of information technology,

e.g., permitting electronic submission of

responses.

ADDRESSES: Interested parties are

invited to submit written comments

regarding the collection of information

of any or all of the Agencies. Send

comments to Mr. Gerald B. Lindrew,

Office of Policy and Research, U.S.

Department of Labor, Pension and

Welfare Benefits Administration, 200

Constitution Avenue NW., Room N–

5647, Washington, DC 20210.

Telephone: (202) 219–4782 (this is not

a toll-free number).