Federal Register / Vol. 73, No. 195 / Tuesday, October 7, 2008 / Notices 58629 

1Section 102 of the Reorganization Plan No. 4 of 

1978 (5 U.S.C. app. at 214 (2000) generally 

transferred the authority of the Secretary of the 

Treasury to issue administrative exemptions under 

section 4975 of the Code to the Secretary of Labor. 

DEPARTMENT OF THE INTERIOR 

National Park Service 

National Register of Historic Places; 

Notification of Pending Nominations 

and Related Actions 

Nominations for the following 

properties being considered for listing 

or related actions in the National 

Register were received by the National 

Park Service before September 20, 2008. 

Pursuant to section 60.13 of 36 CFR Part 

60 written comments concerning the 

significance of these properties under 

the National Register criteria for 

evaluation may be forwarded by United 

States Postal Service, to the National 

Register of Historic Places, National 

Park Service, 1849 C St. NW., 2280, 

Washington, DC 20240; by all other 

carriers, National Register of Historic 

Places, National Park Service, 1201 Eye 

St. NW., 8th floor, Washington DC 

20005; or by fax, 202–371–6447. Written 

or faxed comments should be submitted 

by October 22, 2008. 

J. Paul Loether, 

Chief, National Register of Historic Places/ 

National Historic Landmarks Program. 

ARIZONA 

Cochise County 

Chiricahua National Monument Historic 

Designed Landscape, (Historic Park 

Landscapes in National and State 

Parks MPS) 12856 E. Rhyolite Canyon 

Rd., Willcox, 08001020 

COLORADO 

Weld County 

Clubhouse—Student Union, (New Deal 

Resources on Colorado’s Eastern 

Plains MPS) Between 18th & 19th Sts., 

& 8th & 10th Aves., Greeley, 08001021 

LOUISIANA 

Assumption Parish 

LaBarre House, 4371 LA 1, 

Napoleonville, 08001019 

MARYLAND 

Montgomery County 

Krieger, Seymour, House, 9739 

Brigadoon Dr., Bethesda, 08001022 

MISSOURI 

Greene County 

Ambassador Apartments, (Springfield 

MPS) 1235 E. Elm St., Springfield, 

08001023 

Jasper County 

Inter-State Grocer Company Building, 

(Historic Resources of Joplin, 

Missouri) 1027–1035 S. Main St., 

Joplin, 08001024 

St. Louis Independent City 

Farm and Home Savings and Loan 

Association, 1001 Locust St., St. Louis 

(Independent City), 08001025 

WASHINGTON 

Pierce County 

McChord Field Historic District, 

McChord AFB, Tacoma, 08001026 

A request for removal has been made 

for the following resource: 

SOUTH DAKOTA 

McPherson County 

Leola Post Office, 741 Sherman St., 

Leola, 05000627 

[FR Doc. E8–23663 Filed 10–6–08; 8:45 am] 

BILLING CODE 4312–51–P 

DEPARTMENT OF LABOR 

Employee Benefits Security 

Administration 

[Application Number D–11404] 

RIN 1210–ZA12 

Adoption of Amendment to Prohibited 

Transaction Exemption 2006–06; (PTE 

2006–06) For Services Provided in 

Connection With the Termination of 

Abandoned Individual Account Plans 

AGENCY: Employee Benefits Security 

Administration, U.S. Department of 

Labor. 

ACTION: Adoption of Amendment to PTE 

2006–06. 

SUMMARY: This document amends PTE 

2006–06 (71 FR 20856, Apr. 21, 2006), 

a prohibited transaction class exemption 

issued under the Employee Retirement 

Income Security Act of 1974 (ERISA). 

Among other things, PTE 2006–06 

permits a ‘‘qualified termination 

administrator’’ (QTA) of an individual 

account plan that has been abandoned 

by its sponsoring employer to select 

itself to provide services to the plan in 

connection with the plan’s termination, 

and to pay itself fees for those services. 

In response to changes to the Internal 

Revenue Code of 1986 (the Code) 

enacted as part of the Pension 

Protection Act (PPA) of 2006, PTE 

2006–06 is amended to require, as a 

condition of relief under the exemption, 

that benefits for a missing, designated 

nonspouse beneficiary be directly rolled 

over into an inherited individual 

retirement plan that fully complies with 

Code requirements. This amendment 

also conforms to the Department’s final 

rule amending regulations concerning 

the Termination of Abandoned 

Individual Account Plans at 29 CFR 

2578.1 (the QTA Regulation), and the 

Safe Harbor for Distributions from 

Terminated Individual Account Plans at 

29 CFR 2550.404a–3 (the Safe Harbor 

Regulation), which appears elsewhere in 

this issue of the Federal Register. The 

amendment to the class exemption 

affects plans, participants and 

beneficiaries of such plans and certain 

persons engaging in such transactions. 

DATES: Effective Date: The class 

exemption is effective November 6, 

2008. 

FOR FURTHER INFORMATION CONTACT: 

Brian Buyniski, Office of Exemption 

Determinations, Employee Benefits 

Security Administration, U.S. 

Department of Labor, (202) 693–8545 

(this is not a toll-free number). 

SUPPLEMENTARY INFORMATION: On 

February 15, 2007, a notice was 

published in the Federal Register (72 

FR 7461) of the pendency before the 

Department of a proposed amendment 

to PTE 2006–06. This class exemption 

(which was granted in connection with 

the Department’s QTA Regulation, the 

Department’s Safe Harbor Regulation 

and the Department’s regulation relating 

to the Special Terminal Report for 

Abandoned Individual Account Plans at 

29 CFR 2520.103–13,) provides an 

exemption from the restrictions of 

section 406(a)(1)(A) through (D), section 

406(b)(1) and (b)(2) of the Employee 

Retirement Income Security Act of 1974 

(ERISA or the Act) and from the taxes 

imposed by section 4975(a) and (b) of 

the Internal Revenue Code of 1986 (the 

Code), by reason of section 4975(c)(1)(A) 

through (E) of the Code. 

The Department is granting the 

amendment on its own motion pursuant 

to section 408(a) of ERISA and section 

4975(c)(2) of the Code, and in 

accordance with the procedures set 

forth in 29 CFR part 2570, subpart B (55 

FR 32836, 32847, August 10, 1990).1

The notice of pendency gave interested 

persons an opportunity to comment or 

request a public hearing on the 

proposal. No comments were received 

by the Department, nor were there any 

requests for a public hearing, in 

connection with the proposal. 

Accordingly, the amendment to the 

class exemption is adopted without 

change. 

The Department amends the class 

exemption to reflect amendments to the 

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58630 Federal Register / Vol. 73, No. 195 / Tuesday, October 7, 2008 / Notices 

2See in this issue of the Federal Register 

Amendments to Safe Harbor for Distributions from 

Terminated Individual Account Plans and 

Termination of Abandoned Individual Account 

Plans to Require Inherited Individual Retirement 

Plans for Missing Nonspouse Beneficiaries. 

3See also I.R.S Notice 2007–07, 2007–5 I.R.B. 

395. 

4For purposes of the class exemption, the term 

‘‘individual retirement plan’’ means an individual 

retirement plan described in section 7701(a)(37) of 

the Code. 

5Section 829 of the Pension Protection Act 

requires that the individual retirement plan 

established on behalf of a nonspouse beneficiary 

must be treated as an inherited individual 

retirement plan within the meaning of Code 

§ 408(d)(3)(C) and must be subject to the applicable 

mandatory distribution requirement of Code 

§ 401(a)(9)(B). 

Code that were adopted by enactment of 

the Pension Protection Act (PPA) of 

2006 (Pub. L. 109–280, Aug. 17, 2006). 

Among other things, section 829 of the 

PPA amended Code section 402(c) to 

permit the direct rollover of a deceased 

plan participant’s benefit from an 

eligible retirement plan to an individual 

retirement plan established for the 

designated nonspouse beneficiary of 

such participant. In this connection, the 

Department amends its regulatory safe 

harbor for distributions from a 

terminated individual account plan, 

including an abandoned plan, to require 

that a deceased participant’s benefit be 

directly rolled over to an inherited 

individual retirement plan established 

to receive a distribution on behalf of a 

missing, designated nonspouse 

beneficiary. Similarly, the Department, 

on its own motion, amends PTE 2006– 

06 to ensure conformity with the 

amended Abandoned Plan Regulations.2

As noted in the proposed amendment, 

the Department interprets the term 

‘‘account’’ (other than an individual 

retirement plan) in section I(b)(1)(ii) and 

the term ‘‘other account’’ in section 

I(b)(3) and (4) of PTE 2006–06 to 

include an ‘‘inherited individual 

retirement plan’’ as used in the 

amended Safe Harbor Regulation in the 

context of a distribution to a nonspouse 

beneficiary that does not qualify for 

small account treatment under the 

regulatory safe harbor. Consequently, 

the exemption, prior to amendment, 

provided relief to a QTA that selected 

itself as the provider of an inherited 

individual retirement plan under the 

Safe Harbor Regulation. Accordingly, 

the Department has amended the 

covered transactions described in 

section I(b)(ii) of PTE 2006–06 to 

expressly provide that a distribution on 

behalf of a missing nonspouse 

beneficiary would qualify for exemptive 

relief only if directly rolled into an 

individual retirement plan that satisfies 

the requirements of new section 

402(c)(11) of the Code.3

Executive Order 12866 Statement 

Under Executive Order 12866, the 

Department must determine whether a 

regulatory action is ‘‘significant’’ and 

therefore subject to the requirements of 

the Executive Order and subject to 

review by the Office of Management and 

Budget (OMB). Under section 3(f) of the 

Executive Order, a ‘‘significant 

regulatory action’’ is an action that is 

likely to result in a rule: (1) Having an 

annual effect on the economy of $100 

million or more, or adversely and 

materially affecting a sector of the 

economy, productivity, competition, 

jobs, the environment, public health or 

safety, or State, local or tribal 

governments or communities (also 

referred to as ‘‘economically 

significant’’); (2) creating serious 

inconsistency or otherwise interfering 

with an action taken or planned by 

another agency; (3) materially altering 

the budgetary impacts of entitlement 

grants, user fees, or loan programs or the 

rights and obligations of recipients 

thereof; or (4) raising novel legal or 

policy issues arising out of legal 

mandates, the President’s priorities, or 

the principles set forth in the Executive 

Order. Pursuant to the terms of the 

Executive Order, it has been determined 

that this action is not ‘‘significant’’ 

within the meaning of section 3(f) of the 

Executive Order, and, therefore, is not 

subject to review by OMB. 

Paperwork Reduction Act 

The information collections included 

in PTE 2006–06 are currently approved, 

together with information collections 

included in the safe harbor and 

termination of abandoned plans 

regulations, by the Office of 

Management and Budget (OMB) under 

OMB control number 1210–0127. This 

approval is currently scheduled to 

expire on June 20, 2009. The specific 

burden for the exemption includes a 

recordkeeping requirement for a QTA 

that terminates an abandoned plan and 

chooses to distribute the account 

balances of nonresponsive participants 

and beneficiaries into proprietary or 

affiliated individual retirement plans. 

These amendments do not make any 

changes to the information collections 

of the exemption. Accordingly, the 

Department has not made a submission 

for OMB approval in connection with 

the amendments. 

Background 

PTE 2006–06 is comprised of five 

sections. Section I describes the 

transactions that are covered by the 

exemption. Section II contains 

conditions for the provision of 

termination services and the receipt of 

fees. Section III contains the conditions 

for distributions. Section IV contains the 

general recordkeeping provisions 

imposed on the QTA, and section V 

contains definitions. 

Section I(b) of the exemption 

currently provides relief from the 

restrictions of sections 406(a)(1)(A) 

through (D), 406(b)(1) and 406(b)(2) of 

the Act and the taxes imposed by 

section 4975(a) and (b) of the Code, by 

reason of section 4975(c)(1)(A) through 

(E) of the Code, for a QTA to use its 

authority in connection with the 

termination of an abandoned individual 

account plan to designate itself or an 

affiliate as provider of an individual 

retirement plan 4 or other account to 

receive the account balance of a 

participant or beneficiary who does not 

provide direction as to the disposition 

of such assets. The other accounts 

currently permitted by the exemption 

include: An account (other than an 

individual retirement plan, as described 

in paragraph (d)(1)(ii) of the Safe Harbor 

Regulation) for a distribution made to a 

distributee other than a participant or 

spouse; or an interest-bearing, federally 

insured bank or savings association 

account maintained in the name of the 

participant or beneficiary for 

distributions of $1,000 or less, as 

described in section (d)(1)(iii) of the 

Safe Harbor Regulation. 

C. Discussion of the Amendment 

Section 829 of the PPA amended 

section 402(c) of the Code to permit the 

direct rollover of a deceased 

participant’s benefit from an eligible 

retirement plan to an individual 

retirement plan established on behalf of 

a designated nonspouse beneficiary of 

such participant.5 These rollover 

distributions would not trigger 

immediate tax consequences and 

mandatory tax withholding for the 

nonspouse beneficiary. Accordingly, in 

light of the favorable changes to the 

Code, the Department is amending both 

PTE 2006–06 and the Safe Harbor 

Regulation to require that a deceased 

participant’s benefit be directly rolled 

over to an inherited individual 

retirement plan established to receive 

the distribution on behalf of a missing, 

designated nonspouse beneficiary. 

General Information 

The attention of interested persons is 

directed to the following: 

(1) The fact that a transaction is the 

subject of an exemption under section 

408(a) of ERISA and section 4975(c)(2) 

of the Code does not relieve a fiduciary, 

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Federal Register / Vol. 73, No. 195 / Tuesday, October 7, 2008 / Notices 58631 

or other party in interest or disqualified 

person with respect to a plan, from 

certain other provisions of ERISA and 

the Code, including any prohibited 

transaction provisions to which the 

exemption does not apply and the 

general fiduciary responsibility 

provisions of section 404 of ERISA 

which require, among other things, that 

a fiduciary act prudently and discharge 

his or her duties respecting the plan 

solely in the interests of the participants 

and beneficiaries of the plan. 

Additionally, the fact that a transaction 

is the subject of an exemption does not 

affect the requirement of section 401(a) 

of the Code that the plan must operate 

for the exclusive benefit of the 

employees of the employer maintaining 

the plan and their beneficiaries; 

(2) This exemption does not extend to 

transactions prohibited under section 

406(b)(3) of the Act or section 

4975(c)(1)(F) of the Code; 

(3) In accordance with section 408(a) 

of the Act and section 4975(c)(2) of the 

Code, the Department finds that the 

exemption is administratively feasible, 

in the interests of the plan and of its 

participants and beneficiaries, and 

protective of the rights of participants 

and beneficiaries of such plans; 

(4) The amendment is applicable to a 

particular transaction only if the 

transaction satisfies the conditions 

specified in the exemption; and 

(5) The amendment is supplemental 

to, and not in derogation of, any other 

provisions of ERISA and the Code, 

including statutory or administrative 

exemptions and transitional rules. 

Furthermore, the fact that a transaction 

is subject to an administrative or 

statutory exemption is not dispositive of 

whether the transaction is in fact a 

prohibited transaction. 

Amendment 

Under section 408(a) of the Act and 

section 4975(c)(2) of the Code and in 

accordance with the procedures set 

forth in 29 CFR 2570, Subpart B (55 FR 

32836, 32847, August 10, 1990), the 

Department amends PTE 2006–06 as set 

forth below: 

Exemption * * * 

I. Covered Transactions * * * 

(b) * * * 

(1) Designate itself or an affiliate as: 

(i) Provider of an individual retirement 

plan; (ii) provider, in the case of a 

distribution on behalf of a designated 

beneficiary (as defined by section 

401(a)(9)(E) of the Code) who is not the 

surviving spouse of the deceased 

participant, of an inherited individual 

retirement plan (within the meaning of 

section 402(c)(11) of the Code) 

established to receive the distribution 

on behalf of the nonspouse beneficiary 

under the circumstances described in 

section (d)(1)(ii) of the Safe Harbor 

Regulation for Terminated Plans (29 

CFR section 2550.404a–3) (the Safe 

Harbor Regulation); or (iii) provider of 

an interest bearing, federally insured 

bank or savings association account 

maintained in the name of the 

participant or beneficiary, in the case of 

a distribution described in section 

(d)(1)(iii) of the Safe Harbor Regulation, 

for the distribution of the account 

balance of the participant or beneficiary 

of the abandoned individual account 

plan who does not provide direction as 

to the disposition of such assets; 

V. Definitions * * * 

(b) The term ‘‘individual retirement 

plan’’ means an individual retirement 

plan described in section 7701(a)(37) of 

the Code. For purposes of section III of 

this exemption, the term ‘‘individual 

retirement plan’’ shall also include an 

inherited individual retirement plan 

(within the meaning of section 

402(c)(11) of the Code) established to 

receive a distribution on behalf of a 

nonspouse beneficiary. Notwithstanding 

the foregoing, the term individual 

retirement plan shall not include an 

individual retirement plan which is an 

employee benefit plan covered by Title 

I of ERISA. 

Signed at Washington, DC, this 26th day of 

September, 2008. 

Ivan L. Strasfeld, 

Director, Office of Exemption Determinations. 

[FR Doc. E8–23429 Filed 10–6–08; 8:45 am] 

BILLING CODE 4510–29–P 

DEPARTMENT OF LABOR 

Employment and Training 

Administration 

Notice of a Change in Status of an 

Extended Benefit (EB) Period for 

Alaska 

AGENCY: Employment and Training 

Administration, Labor. 

ACTION: Notice. 

SUMMARY: This notice announces a 

change in benefit period eligibility 

under the EB Program for Alaska. 

The following change has occurred 

since the publication of the last notice 

regarding the State’s EB status: 

• Based on data reported by the 

Bureau of Labor Statistics on September 

19, 2008, Alaska triggered ‘‘off’’ EB. 

Alaska’s 3-month total unemployment 

rate for June, July and August fell to 

109% of the prior year and 106% of the 

second prior year for the same period. 

This causes Alaska to be triggered ‘‘off’’ 

an EB period. After the week ending 

October 11, 2008, workers who exhaust 

their regular UI benefits will no longer 

be eligible to collect up to an additional 

13 weeks of UI benefits under this 

program. 

Information for Claimants 

The duration of benefits payable in 

the EB Program, and the terms and 

conditions on which they are payable, 

are governed by the Federal-State 

Extended Unemployment Compensation 

Act of 1970, as amended, and the 

operating instructions issued to the 

states by the U.S. Department of Labor. 

In the case of a state ending an EB 

period, the State Workforce Agency will 

furnish a written notice to each 

individual who is currently filing a 

claim for EB of the forthcoming end of 

the EB period and its effect on the 

individual’s rights to EB (20 CFR 

615.13(c)(4)). 

FOR FURTHER INFORMATION CONTACT: 

Scott Gibbons, U.S. Department of 

Labor, Employment and Training 

Administration, Office of Workforce 

Security, 200 Constitution Avenue, 

NW., Frances Perkins Bldg., Room S– 

4231, Washington, DC 20210, telephone 

number (202) 693–3008 (this is not a 

toll-free number) or by e-mail: 

gibbons.scott@dol.gov. 

Signed in Washington, DC, this 29th day of 

September, 2008. 

Brent R. Orrell, 

Deputy Assistant Secretary of Labor for 

Employment and Training. 

[FR Doc. E8–23637 Filed 10–6–08; 8:45 am] 

BILLING CODE 4510–FW–P 

DEPARTMENT OF LABOR 

Employment and Training 

Administration 

Notice of a Change in Status of an 

Extended Benefit (EB) Period for North 

Carolina 

AGENCY: Employment and Training 

Administration, Labor. 

ACTION: Notice. 

SUMMARY: This notice announces a 

change in benefit period eligibility 

under the EB Program for North 

Carolina. 

The following change has occurred 

since the publication of the last notice 

regarding the State’s EB status: 

• Based on data reported by the 

Bureau of Labor Statistics on September 

19, 2008, North Carolina’s 3-month 

mstockstill on PROD1PC66 with NOTICES