[Federal Register Volume 87, Number 89 (Monday, May 9, 2022)]
[Notices]
[Pages 27666-27667]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 2022-09896]


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PENSION BENEFIT GUARANTY CORPORATION


Proposed Submission of Information Collection for OMB Review; 
Comment Request; Notices Following a Substantial Cessation of 
Operations

AGENCY: Pension Benefit Guaranty Corporation.

ACTION: Notice of intent to request extension of OMB approval of 
information collection.

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SUMMARY: The Pension Benefit Guaranty Corporation (PBGC) intends to 
request that the Office of Management and Budget (OMB) extend approval, 
under the Paperwork Reduction Act, of a collection of information that 
is necessary to fulfill various reporting obligations following a 
cessation of operations at a facility. This notice informs the public 
of PBGC's intent and solicits public comment on the collection of 
information.

DATES: Comments must be submitted on or before July 8, 2022.

ADDRESSES: Comments may be submitted by any of the following methods:
    <bullet> Federal eRulemaking Portal: http://www.regulations.gov. 
Follow the online instructions for submitting comments.
    <bullet> Email: <a href="/cdn-cgi/l/email-protection#0a7a6b7a6f787d65786124696567676f647e794a7a686d69246d657c"><span class="__cf_email__" data-cfemail="d8a8b9a8bdaaafb7aab3f6bbb7b5b5bdb6acab98a8babfbbf6bfb7ae">[email protected]</span></a>. Refer to OMB control 
number 1212-0073 in the subject line.
    <bullet> Mail or Hand Delivery: Regulatory Affairs Division, Office 
of the General Counsel, Pension Benefit Guaranty Corporation, 1200 K 
Street NW, Washington, DC 20005-4026.
    Commenters are strongly encouraged to submit public comments 
electronically. PBGC expects to have limited personnel available to 
process public comments that are submitted on paper through mail. Until 
further notice, any comments submitted on paper will be considered to 
the extent practicable.
    All submissions received must include the agency's name (Pension 
Benefit Guaranty Corporation, or PBGC) and refer to OMB control number 
1212-0073. All comments received will be posted without change to 
PBGC's website, http://www.pbgc.gov, including any personal information 
provided. Commenters should not include any information for which 
disclosure is restricted by statute, such as trade secrets and 
commercial or financial information (``confidential business 
information''). Submission of confidential business information without 
a request for protected treatment constitutes a waiver of any claims of 
confidentiality.
    Copies of the collection of information may be obtained by writing 
to Disclosure Division, Office of the General Counsel, Pension Benefit 
Guaranty Corporation, 1200 K Street NW, Washington, DC 20005-4026, or 
calling 202-229-4040 during normal business hours. If you are deaf, 
hard of hearing, or have a speech disability, please dial 7-1-1 to 
access telecommunications relay services.

FOR FURTHER INFORMATION CONTACT: Melissa Rifkin 
(<a href="/cdn-cgi/l/email-protection#62100b04090b0c4c0f070e0b11110322120005014c050d14"><span class="__cf_email__" data-cfemail="1f6d767974767131727a73766c6c7e5f6f7d787c31787069">[email protected]</span></a>), Attorney, Regulatory Affairs Division, 
Office of the General Counsel, Pension Benefit Guaranty Corporation, 
1200 K Street NW, Washington, DC 20005-4026; 202-229-6563. If you are 
deaf, hard of hearing, or have a speech disability, please dial 7-1-1 
to access telecommunications relay services.

SUPPLEMENTARY INFORMATION: Section 4062(e) of the Employee Retirement 
Income Security Act of 1974 (ERISA) imposes reporting obligations in 
the event of a ``substantial cessation of operations.'' A substantial 
cessation of operations occurs when a permanent cessation at a facility 
causes a separation from employment of more than 15 percent of all 
``eligible employees.'' ``Eligible employees'' are employees eligible 
to participate in any of the facility's employer's employee pension 
benefit plans. Following a substantial cessation of operations, the 
facility's employer is treated, with respect to its single-employer 
pension plans covered by title IV of ERISA that are covering 
participants at the facility, as if the employer were a withdrawing 
substantial employer under a multiple employer plan. Under section 
4063(a) of ERISA, the Pension Benefit Guaranty Corporation (PBGC) must 
receive notice of the substantial cessation of operations and a request 
to determine the employer's resulting liability.
    To fulfill such resulting liability, the employer may elect, under 
section 4062(e)(4)(A), to make additional contributions annually for 
seven years to plans covering participants at the facility where the 
substantial cessation of operations took place. Under sections 
4062(e)(4)(E)(i)(I), (II), (III), (IV), and (V) respectively, an 
employer that is making the election for annual additional 
contributions must give notice to PBGC of: (1) Its decision to make the 
election, (2) its payment of an annual contribution, (3) its failure to 
pay an annual contribution, (4) its receipt of a funding waiver from 
the Internal Revenue Service, and (5) the ending of its obligation to 
make additional annual contributions.
    PBGC is requesting that OMB extend approval of a form series, 
consisting of Form 4062(e)-01, Form 4062(e)-02, Form 4062(e)-03, and 
Form 4062(e)-04, that is used to fulfill these reporting obligations. 
An employer or a plan administrator files Form 4062(e)-01 to notify 
PBGC of the occurrence of a substantial cessation of operations and 
request a determination of the employer's liability. An employer files 
Form 4062(e)-02 to notify PBGC that it made the elections to pay annual 
additional contributions to a plan. An employer files Form 4062(e)-03 
to notify PBGC that it paid an annual additional contribution, received 
a funding waiver from the Internal Revenue Service, or is no longer 
obligated to pay additional annual contributions. Finally, an employer 
files Form 4062(e)-04 to notify PBGC that it failed to pay an 
additional annual contribution to the plan.
    PBGC needs the information requested in the forms and notification 
(1) to determine an employer's liability to a plan following a 
substantial cessation of operations and (2) to ensure that an employer 
that made the election of additional annual contributions is fulfilling 
its payment obligations.
    The collection of information has been approved by OMB under 
control number 1212-0073 (expires August 31, 2022). PBGC intends to 
request that

[[Page 27667]]

OMB extend its approval for another three years. An agency may not 
conduct or sponsor, and a person is not required to respond to, a 
collection of information unless it displays a currently valid OMB 
control number.
    PBGC estimates that, over the next 3 years, 5 forms in this series 
will be submitted each year. PBGC estimates that these forms would be 
completed by a combination of plan office staff and outside 
professionals: Attorneys and actuaries. PBGC estimates a total annual 
hour burden of 38.5 hours. PBGC estimates a total annual cost burden of 
$39,415.
    PBGC is soliciting public comments to--
    <bullet> 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;
    <bullet> Evaluate the accuracy of the agency's estimate of the 
burden of the proposed collection of information, including the 
validity of the methodologies and assumptions used;
    <bullet> Enhance the quality, utility, and clarity of the 
information to be collected; and
    <bullet> 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.

    Issued in Washington, DC, by:
Stephanie Cibinic,
Deputy Assistant General Counsel for Regulatory Affairs, Pension 
Benefit Guaranty Corporation.
[FR Doc. 2022-09896 Filed 5-6-22; 8:45 am]
BILLING CODE 7709-02-P


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