I 
108TH CONGRESS 
1ST SESSION H. R. 2910
To amend the Employee Retirement Income Security Act of 1974, the Inter-
nal Revenue Code of 1986, and the Labor Management Relations Act, 
1947 to provide special rules for Teamster plans relating to termination 
and funding. 
IN THE HOUSE OF REPRESENTATIVES 
JULY 25, 2003
Mr. TIBERI introduced the following bill; which was referred to the Committee 
on Education and the Workforce, and in addition to the Committee on 
Ways and Means, for a period to be subsequently determined by the 
Speaker, in each case for consideration of such provisions as fall within 
the jurisdiction of the committee concerned 
A BILL 
To amend the Employee Retirement Income Security Act 
of 1974, the Internal Revenue Code of 1986, and the 
Labor Management Relations Act, 1947 to provide spe-
cial rules for Teamster plans relating to termination 
and funding.
Be it enacted by the Senate and House of Representa-
tives of the United States of America in Congress assembled,
SECTION 1. SHORT TITLE. 
This Act may be cited as the ‘‘Multiemployer Pension 
Security Act of 2003’’.
SEC. 2. AMENDMENTS TO THE EMPLOYEE RETIREMENT IN-
COME SECURITY ACT OF 1974 RELATING TO 
TERMINATION INSURANCE PROGRAM. 
(a) TEAMSTER PLAN DEFINED.—Section 4001(a) of 
the Employee Retirement Income Security Act of 1974 
(29 U.S.C. 1301(a)) is amended—
(1) in paragraph (21), by striking the period at 
the end and inserting ‘‘; and’’; and 
(2) by adding at the end the following new 
paragraph: 
‘‘(22) ‘teamster plan’ means a plan—
‘‘(A) to which more than one employer is 
required to contribute, 
‘‘(B) which is maintained pursuant to one 
or more collective bargaining agreements be-
tween The International Brotherhood Team-
sters, Chauffeurs, Warehousemen and Helpers 
of America or its locals and more than one em-
ployer, and 
‘‘(C) which satisfies such other require-
ments as the Secretary of Labor may prescribe 
by regulation.’’. 
(b) MODIFICATION OF LIABILITY PROVISIONS.—
(1) AMOUNTS
PAYABLE
BY
THE
CORPORA-
TION.—Section 4061 is amended by striking ‘‘sub-
title B’’ and inserting ‘‘subtitles B and G’’ in the
first sentence thereof and inserting ‘‘or subtitle G’’ 
after ‘‘4022A’’ in the third sentence thereof. 
(2) LIABILITY UNDER DISTRESS TERMINATION 
OR A TERMINATION BY THE CORPORATION.—Section 
4062 is amended by inserting ‘‘or subtitle G’’ after 
‘‘4041(c)’’ in subsection (a) thereof. 
(c) 
MODIFICATION
OF
ENFORCEMENT
PROVI-
SIONS.—Section 4070 is amended—
(1) by inserting ‘‘AND TEAMSTER PLANS’’ 
after ‘‘SINGLE-EMPLOYER PLANS’’ in the title 
thereof; 
(2) by inserting at the end of subsection (a) the 
following flush sentence: 
‘‘A plan fiduciary, contributing sponsor, member of a con-
tributing sponsor’s controlled group, participant, or bene-
ficiary who is adversely affected by the act or omission 
of any party (other than the corporation) under subtitle 
G with respect to a teamster plan, or an employee organi-
zation which represents such a plan participant or bene-
ficiary for purposes of collective bargaining, may bring an 
action for appropriate legal or equitable relief, or both.’’; 
(3) by inserting in each of subsections (a) and 
(b) ‘‘or a teamster plan’’ after ‘‘single-employer 
plan’’ each time it appears in each such subsection; 
and
(4) by inserting ‘‘, and in the case of a teamster 
plan, where the defendant does business’’ at the end 
of the second sentence of subsection (c). 
(d) SPECIAL PROVISIONS FOR TEAMSTER PLANS.—
(1) IN
GENERAL.—Title IV of such Act is 
amended by adding at the end the following new 
subtitle: 
‘‘Subtitle G—Special Provisions for 
Teamster Plans 
‘‘SEC. 4501. TREATMENT OF TEAMSTER PLANS. 
‘‘(a) GENERAL RULE.—For purposes of this title, a 
teamster plan shall not be treated as a multiemployer 
plan, and each employer that has an obligation to con-
tribute to a teamster plan shall be treated as a contrib-
uting sponsor maintaining a separate single-employer 
plan, as provided in this subtitle. 
‘‘(b) PARTITION OF LIABILITIES.—
‘‘(1) IN GENERAL.—As of the first day of the 
first plan year for which this subtitle is effective, the 
transition liabilities of each teamster plan shall be 
allocated among those persons that are, as of such 
date, the contributing employers of the plan, in ac-
cordance with this subsection.
‘‘(2) TRANSITION LIABILITIES.—For purposes 
of this subtitle, ‘transition liabilities’ means the sum 
of—
‘‘(A) the accrued liability for the benefits 
under the plan (as a whole, as if such plan were 
treated as a single multiemployer plan rather 
than a collection of single-employer plans but 
taking into account the requirements of section 
308) attributable as of the first day of the first 
plan year for which this subtitle is effective to 
participants who, as of such date, are not em-
ployed in credited service for any employer 
under such plan, and 
‘‘(B) the accrued liability for the benefits 
under the plan (as a whole, as if such plan were 
treated as a single multiemployer plan rather 
than a collection of single-employer plans but 
taking into account the requirements of section 
308) attributable, as of the first day of the first 
plan year for which this subtitle is effective, to 
the credited service of participants (other than 
participants described in (A)) with an employer 
that, as of such date, does not have an obliga-
tion to contribute to the teamster plan. 
‘‘(3) METHOD OF ALLOCATION.—
‘‘(A) Transition liabilities shall be allocated 
under paragraph (1) with respect to each team-
ster plan among those employers who have an 
obligation to make contributions to such plan as 
of the first day of the first plan year for which 
this subtitle is effective. 
‘‘(B) Each employer’s share of the transi-
tion liabilities shall equal the product derived by 
multiplying—
‘‘(i) the transition liabilities of the 
plan (as a whole, as if such plan were 
treated as a single multiemployer plan 
rather than a collection of single-employer 
plans, but taking into account the require-
ments of section 308), by 
‘‘(ii) a percentage determined as of 
the first day of the first plan year for 
which this subtitle is effective by divid-
ing—
‘‘(I) the sum of the contributions 
required to be made under such plan 
by the employer for the 5 preceding 
plan years, by 
‘‘(II) the sum of the contribu-
tions required to be made by all such
employers for the 5 preceding plan 
years. 
‘‘(4) ANTICIPATION OF BENEFIT INCREASES.—
For purposes of this subsection, in determining ac-
crued liability, the funding method of a plan shall 
anticipate benefit increases scheduled to take effect 
during the term of the collective bargaining agree-
ment or agreements applicable to the plan. 
‘‘(c) PARTITION OF ASSETS.—
‘‘(1) IN GENERAL.—As of the first day of the 
first plan year for which this subtitle is effective, the 
assets of each teamster plan shall be allocated 
among those persons who are, as of such date, the 
contributing employers of the plan, in accordance 
with this subsection. 
‘‘(2) METHOD OF ALLOCATION.—The assets of 
the teamster plan shall be allocated, based on fair 
market value as of the first day of the first plan 
year for which this subtitle is effective, among those 
employers who have, as of such date, an obligation 
to contribute to the plan. The portion allocated to 
each such employer shall be equal to the product de-
rived by multiplying—
‘‘(A) the funded percentage for the team-
ster plan, by
‘‘(B) the employer’s share of the accrued 
liability for the plan (as a whole, as if such plan 
were treated as a single multiemployer plan 
rather than a collection of single-employer plans 
but taking into account the requirements of sec-
tion 308), as of such date. 
‘‘(3) FUNDED PERCENTAGE.—For purposes of 
this subsection, ‘funded percentage’, in connection 
with a plan, means the percentage obtained by divid-
ing—
‘‘(A) the fair market value of plan assets 
(as a whole, as if such plan were treated as a 
single multiemployer plan rather than a collec-
tion of single-employer plans but taking into ac-
count the requirements of section 308), includ-
ing receivables, as of the first day of the first 
plan year for which this subtitle is effective, by 
‘‘(B) the accrued liability for the plan (as 
a whole, as if such plan were treated as a single 
multiemployer plan rather than a collection of 
single-employer plans but taking into account 
the requirements of section 308), as of such 
date. 
‘‘(4) INVESTMENT OF PLAN ASSETS.—The as-
sets of a teamster plan shall be invested by the
trustees as one master trust and each contributing 
employer’s share of the assets of the plan shall be 
adjusted annually according to master trust account-
ing principles for the employer’s plan contributions, 
benefit payments with respect to its ongoing liability 
and transition liability (if any), and share of invest-
ment returns and administrative expenses. 
‘‘(5) ANTICIPATION OF BENEFIT INCREASES.—
For purposes of this subsection, in determining ac-
crued liability, the funding method of a plan shall 
anticipate benefit increases scheduled to take effect 
during the term of the collective bargaining agree-
ment(s) applicable to the plan. 
‘‘(d) SINGLE-EMPLOYER PLAN BENEFITS GUARAN-
TEED.—Notwithstanding any limitations otherwise appli-
cable under section 4022(b), the corporation shall guar-
antee 100 percent of the transition liabilities of each team-
ster plan. 
‘‘(e) PREMIUM RATES.—
‘‘(1) IN
GENERAL.—For purposes of section 
4006—
‘‘(A) the premium rates charged by the 
corporation for teamster plans shall be the 
same as the premium rates charged by the cor-
poration for single-employer plans, and
‘‘(B) each employer that has an obligation 
to contribute to a teamster plan shall be re-
sponsible for paying the premiums attributable 
to the single-employer plan the employer is 
treated as maintaining pursuant to this subtitle. 
‘‘(2) PHASE-IN OF ADDITIONAL PREMIUM.—The 
amount of the additional premium determined under 
section 4006(a)(3)(E) with respect to a teamster 
plan shall be phased in over 10 plan years, begin-
ning with the first plan year for which this subtitle 
is effective, so that the additional premium shall 
take effect during the 10-year period in annual in-
crements taking effect for each year, each of which 
is equal to 10 percent of the full increase that would 
otherwise apply for such plan year, resulting in ap-
plication of the full additional premium effective 
with the final plan year in such period and each plan 
year thereafter. 
‘‘(3) CONTRIBUTION OF PREMIUMS TO TEAM-
STER
PLAN.—The corporation may allow an em-
ployer to contribute all or part of the additional pre-
mium determined under section 4006(a)(3)(E) di-
rectly to the teamster plan, in lieu of payment to the 
corporation, to the extent that the corporation deter-
mines in its discretion that such contribution would
be in the best interests of participants and bene-
ficiaries. 
‘‘(f) PLAN TERMINATION.—
‘‘(1) IN GENERAL.—An employer that has an 
obligation to contribute to a teamster plan may ter-
minate its participation in such plan in either a 
standard termination or a distress termination, as 
provided in this subsection. 
‘‘(2) STANDARD
TERMINATION.—An employer 
that has an obligation to contribute to a teamster 
plan may terminate its participation in such plan in 
a standard termination by following procedures es-
tablished by the corporation similar to those that 
apply to a plan administrator in a standard termi-
nation of a single-employer plan under section 4041. 
For purposes of this paragraph, the employer shall 
be deemed to have satisfied its obligations to the 
teamster plan if—
‘‘(A) the employer obtains an irrevocable 
commitment from an insurer satisfactory to the 
corporation to pay its benefit liabilities under 
such plan, or 
‘‘(B) the corporation agrees to assume the 
employer’s obligation to contribute to the plan 
and make contributions under the teamster