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‘‘(D) LIMITATION
ON
INCREASE.—If the 
amount of any required installment is increased 
by reason of subparagraph (A), in no event 
shall such increase exceed the amount which, 
when added to prior installments for the plan 
year, is necessary to increase the funding target 
attainment percentage of the plan for the plan 
year (taking into account the expected increase 
in funding target due to benefits accruing or 
earned during the plan year) to 100 percent. 
‘‘(E) DEFINITIONS.—For purposes of this 
subparagraph: 
‘‘(i) 
LIQUIDITY
SHORTFALL.—The 
term ‘liquidity shortfall’ means, with re-
spect to any required installment, an 
amount equal to the excess (as of the last 
day of the quarter for which such install-
ment is made) of— 
‘‘(I) the base amount with re-
spect to such quarter, over 
‘‘(II) the value (as of such last 
day) of the plan’s liquid assets. 
‘‘(ii) BASE AMOUNT.— 
‘‘(I) IN
GENERAL.—The term 
‘base amount’ means, with respect to
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any quarter, an amount equal to 3 
times the sum of the adjusted dis-
bursements from the plan for the 12 
months ending on the last day of such 
quarter. 
‘‘(II) SPECIAL
RULE.—If the 
amount determined under subclause 
(I) exceeds an amount equal to 2 
times the sum of the adjusted dis-
bursements from the plan for the 36 
months ending on the last day of the 
quarter and an enrolled actuary cer-
tifies to the satisfaction of the Sec-
retary that such excess is the result of 
nonrecurring circumstances, the base 
amount with respect to such quarter 
shall be determined without regard to 
amounts related to those nonrecurring 
circumstances. 
‘‘(iii) DISBURSEMENTS
FROM
THE 
PLAN.—The term ‘disbursements from the 
plan’ means all disbursements from the 
trust, including purchases of annuities, 
payments of single sums and other bene-
fits, and administrative expenses.
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‘‘(iv) ADJUSTED
DISBURSEMENTS.— 
The term ‘adjusted disbursements’ means 
disbursements from the plan reduced by 
the product of— 
‘‘(I) the plan’s funding target at-
tainment percentage for the plan year, 
and 
‘‘(II) the sum of the purchases of 
annuities, payments of single sums, 
and such other disbursements as the 
Secretary shall provide in regulations. 
‘‘(v) LIQUID ASSETS.—The term ‘liq-
uid assets’ means cash, marketable securi-
ties, and such other assets as specified by 
the Secretary in regulations. 
‘‘(vi) QUARTER.—The term ‘quarter’ 
means, with respect to any required install-
ment, the 3-month period preceding the 
month in which the due date for such in-
stallment occurs. 
‘‘(F) REGULATIONS.—The Secretary may 
prescribe such regulations as are necessary to 
carry out this paragraph. 
‘‘(k) IMPOSITION
OF LIEN WHERE FAILURE
TO 
MAKE REQUIRED CONTRIBUTIONS.—
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‘‘(1) IN GENERAL.—In the case of a plan to 
which this subsection applies, if— 
‘‘(A) any person fails to make a contribu-
tion payment required by section 412 and this 
section before the due date for such payment, 
and 
‘‘(B) the unpaid balance of such payment 
(including interest), when added to the aggre-
gate unpaid balance of all preceding such pay-
ments for which payment was not made before 
the due date (including interest), exceeds 
$1,000,000, 
then there shall be a lien in favor of the plan in the 
amount determined under paragraph (3) upon all 
property and rights to property, whether real or per-
sonal, belonging to such person and any other per-
son who is a member of the same controlled group 
of which such person is a member. 
‘‘(2) PLANS TO WHICH SUBSECTION APPLIES.— 
This subsection shall apply to a defined benefit plan 
(other than a multiemployer plan) for any plan year 
for which the funding target attainment percentage 
(as defined in subsection (d)(2)) of such plan is less 
than 100 percent. This subsection shall not apply to 
any plan to which section 4021 of the Employee Re-
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tirement Income Security Act of 1974 does not 
apply (as such section is in effect on the date of the 
enactment of the Pension Protection Act of 2005). 
‘‘(3) AMOUNT OF LIEN.—For purposes of para-
graph (1), the amount of the lien shall be equal to 
the aggregate unpaid balance of contribution pay-
ments required under this section and section 412 
for which payment has not been made before the due 
date. 
‘‘(4) NOTICE OF FAILURE; LIEN.— 
‘‘(A) NOTICE
OF
FAILURE.—A person 
committing a failure described in paragraph (1) 
shall notify the Pension Benefit Guaranty Cor-
poration of such failure within 10 days of the 
due date for the required contribution payment. 
‘‘(B) PERIOD OF LIEN.—The lien imposed 
by paragraph (1) shall arise on the due date for 
the required contribution payment and shall 
continue until the last day of the first plan year 
in which the plan ceases to be described in 
paragraph (1)(B). Such lien shall continue to 
run without regard to whether such plan con-
tinues to be described in paragraph (2) during 
the period referred to in the preceding sentence.
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‘‘(C) CERTAIN
RULES
TO
APPLY.—Any 
amount with respect to which a lien is imposed 
under paragraph (1) shall be treated as taxes 
due and owing the United States and rules 
similar to the rules of subsections (c), (d), and 
(e) of section 4068 of the Employee Retirement 
Income Security Act of 1974 shall apply with 
respect to a lien imposed by subsection (a) and 
the amount with respect to such lien. 
‘‘(5) ENFORCEMENT.—Any lien created under 
paragraph (1) may be perfected and enforced only 
by the Pension Benefit Guaranty Corporation, or at 
the direction of the Pension Benefit Guaranty Cor-
poration, by the contributing sponsor (or any mem-
ber of the controlled group of the contributing spon-
sor). 
‘‘(6) DEFINITIONS.—For purposes of this sub-
section— 
‘‘(A) CONTRIBUTION PAYMENT.—The term 
‘contribution payment’ means, in connection 
with a plan, a contribution payment required to 
be made to the plan, including any required in-
stallment under paragraphs (3) and (4) of sub-
section (i).
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‘‘(B) DUE
DATE; 
REQUIRED
INSTALL-
MENT.—The terms ‘due date’ and ‘required in-
stallment’ have the meanings given such terms 
by subsection (j), except that in the case of a 
payment other than a required installment, the 
due date shall be the date such payment is re-
quired to be made under section 430. 
‘‘(C) CONTROLLED
GROUP.—The term 
‘controlled group’ means any group treated as 
a single employer under subsections (b), (c), 
(m), and (o) of section 414. 
‘‘(l) QUALIFIED TRANSFERS TO HEALTH BENEFIT 
ACCOUNTS.—In the case of a qualified transfer (as de-
fined in section 420), any assets so transferred shall not, 
for purposes of this section, be treated as assets in the 
plan.’’. 
(b) EFFECTIVE DATE.—The amendments made by 
this section shall apply with respect to plan years begin-
ning after December 31, 2006. 
SEC. 
113. 
BENEFIT 
LIMITATIONS 
UNDER 
SINGLE-EM-
PLOYER PLANS. 
(a) PROHIBITION
OF SHUTDOWN BENEFITS
AND 
OTHER UNPREDICTABLE CONTINGENT EVENT BENEFITS 
UNDER SINGLE-EMPLOYER PLANS.—
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(1) IN GENERAL.—Part III of subchapter D of 
chapter 1 of the Internal Revenue Code of 1986 (re-
lating to deferred compensation, etc.) is amended— 
(A) by striking the heading and inserting 
the following: 
‘‘PART III—RULES RELATING TO MINIMUM FUND-
ING STANDARDS AND BENEFIT LIMITATIONS 
‘‘Subpart A. Minimum funding standards for pension plans. 
‘‘Subpart B. Benefit limitations under single-employer plans. 
‘‘Subpart A—Minimum Funding Standards for 
Pension Plans 
‘‘Sec. 430. Minimum funding standards for single-employer defined benefit pen-
sion plans.’’, and 
(B) by adding at the end the following new 
subpart: 
‘‘Subpart B—Benefit Limitations Under Single- 
employer Plans 
‘‘Sec. 436. Funding-based limitation on shutdown benefits and other unpredict-
able contingent event benefits under single-employer plans. 
‘‘SEC. 436. FUNDING-BASED LIMITATION ON SHUTDOWN 
BENEFITS AND OTHER UNPREDICTABLE CON-
TINGENT EVENT BENEFITS UNDER SINGLE- 
EMPLOYER PLANS. 
‘‘(a) IN GENERAL.—No defined benefit plan (other 
than a multiemployer plan) may provide benefits to which 
participants are entitled solely by reason of the occurrence
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of a plant shutdown or any other unpredictable contingent 
event occurring during any plan year if the funding target 
attainment percentage as of the valuation date of the plan 
for such plan year— 
‘‘(1) is less than 80 percent, or 
‘‘(2) would be less than 80 percent taking into 
account such occurrence. 
‘‘(b) EXEMPTION.—Subsection (a) shall cease to 
apply with respect to any plan year, effective as of the 
first date of the plan year, upon payment by the plan 
sponsor of a contribution (in addition to any minimum re-
quired contribution under section 430) equal to— 
‘‘(1) in the case of subsection (a)(1), the 
amount of the increase in the funding target of the 
plan (under section 430) for the plan year attrib-
utable to the occurrence referred to in subsection 
(a), and 
‘‘(2) in the case of subsection (a)(2), the 
amount sufficient to result in a funding target at-
tainment percentage of 80 percent. 
Rules similar to the rules of section 437(f) shall apply for 
purposes of this subsection. 
‘‘(c) UNPREDICTABLE CONTINGENT EVENT.—For 
purposes of this section, the term ‘unpredictable contin-
gent event’ means an event other than—
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‘‘(1) attainment of any age, performance of any 
service, receipt or derivation of any compensation, or 
the occurrence of death or disability, or 
‘‘(2) an event which is reasonably and reliably 
predictable (as determined by the Secretary). 
‘‘(d) NEW PLANS.—Subsection (a) shall not apply to 
a plan for the first 5 plan years of the plan. For purposes 
of this subsection, the reference in this subsection to a 
plan shall include a reference to any predecessor plan. 
‘‘(e) DEEMED
REDUCTION
OF
FUNDING
BAL-
ANCES.—A rule similar to the rule of section 437(h) shall 
apply for purposes of this section.’’. 
(2) CLERICAL
AMENDMENT.—The table of 
parts for suchapter D of chapter 1 of the Internal 
Revenue Code of 1986 is amended by adding at the 
end the following new item: 
‘‘PART III—RULES RELATING TO MINIMUM FUNDING STANDARDS AND 
BENEFIT LIMITATIONS’’. 
(b) OTHER LIMITS ON BENEFITS AND BENEFIT AC-
CRUALS.— 
(1) IN GENERAL.—Subpart B of part III of 
subchapter D of chapter 1 of such Code is amended 
by adding at the end the following:
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‘‘SEC. 437. FUNDING-BASED LIMITS ON BENEFITS AND BEN-
EFIT ACCRUALS UNDER SINGLE-EMPLOYER 
PLANS. 
‘‘(a) LIMITATIONS ON PLAN AMENDMENTS INCREAS-
ING LIABILITY FOR BENEFITS.— 
‘‘(1) IN GENERAL.—No amendment to a de-
fined benefit plan (other than a multiemployer plan) 
which has the effect of increasing liabilities of the 
plan by reason of increases in benefits, establish-
ment of new benefits, changing the rate of benefit 
accrual, or changing the rate at which benefits be-
come nonforfeitable to the plan may take effect dur-
ing any plan year if the funding target attainment 
percentage as of the valuation date of the plan for 
such plan year is— 
‘‘(A) less than 80 percent, or 
‘‘(B) would be less than 80 percent taking 
into account such amendment. 
For purposes of this paragraph, any increase in ben-
efits under the plan by reason of an increase in the 
benefit rate provided under the plan or on the basis 
of an increase in compensation shall be treated as 
effected by plan amendment. 
‘‘(2) EXEMPTION.—Paragraph (1) shall cease 
to apply with respect to any plan year, effective as 
of the first date of the plan year (or if later, the ef-
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fective date of the amendment), upon payment by 
the plan sponsor of a contribution (in addition to 
any minimum required contribution under section 
430) equal to— 
‘‘(A) in the case of paragraph (1)(A), the 
amount of the increase in the funding target of 
the plan (under section 430) for the plan year 
attributable to the amendment, and 
‘‘(B) in the case of paragraph (1)(B), the 
amount sufficient to result in a funding target 
attainment percentage of 80 percent. 
‘‘(b) FUNDING-BASED
LIMITATION
ON
CERTAIN 
FORMS OF DISTRIBUTION.— 
‘‘(1) IN
GENERAL.—A defined benefit plan 
(other than a multiemployer plan) shall provide that, 
in any case in which the plan’s funding target at-
tainment percentage as of the valuation date of the 
plan for a plan year is less than 80 percent, the plan 
may not after such date pay any payment described 
in section 401(a)(32)(B). 
‘‘(2) EXCEPTION.—Paragraph (1) shall not 
apply to any plan for any plan year if the terms of 
such plan (as in effect for the period beginning on 
June 29, 2005, and ending with such plan year)
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provide for no benefit accruals with respect to any 
participant during such period. 
‘‘(c) LIMITATIONS
ON BENEFIT ACCRUALS
FOR 
PLANS WITH SEVERE FUNDING SHORTFALLS.—A de-
fined benefit plan (other than a multiemployer plan) shall 
provide that, in any case in which the plan’s funding tar-
get attainment percentage as of the valuation date of the 
plan for a plan year is less than 60 percent, all future 
benefit accruals under the plan shall cease as of such date. 
‘‘(d) NEW PLANS.—Subsections (a) and (c) shall not 
apply to a plan for the first 5 plan years of the plan. For 
purposes of this subsection, the reference in this sub-
section to a plan shall include a reference to any prede-
cessor plan. 
‘‘(e) PRESUMED UNDERFUNDING FOR PURPOSES OF 
BENEFIT LIMITATIONS BASED ON PRIOR YEAR’S FUND-
ING STATUS.— 
‘‘(1) PRESUMPTION
OF
CONTINUED
UNDER-
FUNDING.—In any case in which a benefit limitation 
under subsection (a), (b), or (c) has been applied to 
a plan with respect to the plan year preceding the 
current plan year, the funding target attainment 
percentage of the plan as of the valuation date of 
the plan for the current plan year shall be presumed 
to be equal to the funding target attainment per-
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centage of the plan as of the valuation date of the 
plan for the preceding plan year until the enrolled 
actuary of the plan certifies the actual funding tar-
get attainment percentage of the plan as of the valu-
ation date of the plan for the current plan year. 
‘‘(2) PRESUMPTION OF UNDERFUNDING AFTER 
10TH MONTH.—In any case in which no such certifi-
cation is made with respect to the plan before the 
first day of the 10th month of the current plan year, 
for purposes of subsections (a), (b), and (c), the 
plan’s funding target attainment percentage shall be 
conclusively presumed to be less than 60 percent as 
of the first day of such 10th month, and such day 
shall be deemed, for purposes of such subsections, to 
be the valuation date of the plan for the current 
plan year. 
‘‘(3) PRESUMPTION OF UNDERFUNDING AFTER 
4TH MONTH FOR NEARLY UNDERFUNDED PLANS.— 
In any case in which— 
‘‘(A) a benefit limitation under subsection 
(a), (b), or (c) did not apply to a plan with re-
spect to the plan year preceding the current 
plan year, but the funding target attainment 
percentage of the plan for such preceding plan 
year was not more than 10 percentage points
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greater than the percentage which would have 
caused such subsection to apply to the plan 
with respect to such preceding plan year, and 
‘‘(B) as of the first day of the 4th month 
of the current plan year, the enrolled actuary of 
the plan has not certified the actual funding 
target attainment percentage of the plan as of 
the valuation date of the plan for the current 
plan year, 
until the enrolled actuary so certifies, such first day 
shall be deemed, for purposes of such subsection, to 
be the valuation date of the plan for the current 
plan year and the funding target attainment per-
centage of the plan as of such first day shall, for 
purposes of such subsection, be presumed to be 
equal to 10 percentage points less than the funding 
target attainment percentage of the plan as of the 
valuation date of the plan for such preceding plan 
year. 
‘‘(f) RESTORATION BY PLAN AMENDMENT OF BENE-
FITS OR BENEFIT ACCRUAL.—In any case in which a pro-
hibition under subsection (b) of a payment described in 
subsection (b)(1) or a cessation of benefit accruals under 
subsection (c) is applied to a plan with respect to any plan 
year and such prohibition or cessation, as the case may
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be, ceases to apply to any subsequent plan year, the plan 
may provide for the resumption of such benefit payment 
or such benefit accrual only by means of the adoption of 
a plan amendment after the valuation date of the plan 
for such subsequent plan year. The preceding sentence 
shall not apply to a prohibition or cessation required by 
reason of subsection (e). 
‘‘(g) FUNDING
TARGET
ATTAINMENT
PERCENT-
AGE.— 
‘‘(1) IN GENERAL.—For purposes of this sec-
tion, the term ‘funding target attainment percent-
age’ means, with respect to any plan for any plan 
year, the ratio (expressed as a percentage) which— 
‘‘(A) the value of plan assets for the plan 
year (as determined under section 430(g)) re-
duced by the pre-funding balance and the fund-
ing standard carryover balance (within the 
meaning of section 430(f)), bears to 
‘‘(B) the funding target of the plan for the 
plan 
year 
(as 
determined 
under 
section 
430(d)(1), but without regard to section 
430(i)(1)). 
‘‘(2) APPLICATION
TO
PLANS
WHICH
ARE 
FULLY FUNDED WITHOUT REGARD TO REDUCTIONS 
FOR FUNDING BALANCES.—
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‘‘(A) IN GENERAL.—In the case of a plan 
for any plan year, if the funding target attain-
ment percentage is 100 percent or more (deter-
mined without regard to this subparagraph and 
without regard to the reduction under para-
graph (1)(A) for the pre-funding balance and 
the funding standard carryover balance), para-
graph (1) shall be applied without regard to 
such reduction. 
‘‘(B) TRANSITION
RULE.—Subparagraph 
(A) shall be applied to plan years beginning 
after 2006 and before 2011 by substituting for 
‘100 percent’ the applicable percentage deter-
mined in accordance with the following table: 
‘‘In the case of a plan year beginning in calendar 
year: 
The appli-
cable per-
centage is: 
2007 ..............................................................................................
92 percent
2008 ..............................................................................................
94 percent
2009 ..............................................................................................
96 percent
2010 ..............................................................................................
98 percent. 
‘‘(C) 
LIMITATION.—Subparagraph 
(B) 
shall not apply with respect to any plan year 
after 2007 unless the funding target attainment 
percentage (determined without regard to this 
paragraph and without regard to the reduction 
under paragraph (1)(A) for the pre-funding bal-
ance and the funding standard carryover bal-
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ance) of the plan for each preceding plan year 
after 2006 was not less than the applicable per-
centage with respect to such preceding plan 
year determined under subparagraph (B). 
‘‘(h) DEEMED
REDUCTION
OF
FUNDING
BAL-
ANCES.—In the case of a plan maintained pursuant to 1 
or more collective bargaining agreements between em-
ployee representatives and 1 or more employers— 
‘‘(1) IN GENERAL.—In any case in which a ben-
efit limitation under subsection (a), (b), or (c) would 
(but for this subsection and determined without re-
gard to subsection (a)(2)) apply to such plan for the 
plan year, the plan sponsor of such plan shall be 
treated for purposes of this title as having made an 
election under section 430(f)(5) to reduce the bal-
ance of the pre-funding balance and the funding 
standard carryover balance for the plan year (in a 
manner consistent with the requirements of section 
430(f)(5)(B)) by such amount as is necessary for 
such benefit limitation to not apply to the plan for 
such plan year. 
‘‘(2) EXCEPTION FOR INSUFFICIENT FUNDING 
BALANCES.—Paragraph (1) shall not apply with re-
spect to a benefit limitation for any plan year if the
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application of paragraph (1) would not result in the 
benefit limitation not applying for such plan year.’’. 
(2) CLERICAL AMENDMENT.—The table of sec-
tions for such subpart is amended by adding at the 
end the following new item: 
‘‘Sec. 437. Funding-based limits on benefits and benefit accruals under single- 
employer plans.’’. 
(c) EFFECTIVE DATE.— 
(1) SHUTDOWN BENEFITS.—Except as provided 
in paragraph (3), the amendments made by sub-
section (a) shall apply with respect to plant shut-
downs, or other unpredictable contingent events, oc-
curring after December 31, 2006. 
(2) OTHER BENEFITS.—Except as provided in 
paragraph (3), the amendments made by subsection 
(b) shall apply with respect to plan years beginning 
after December 31, 2006. 
(3) COLLECTIVE BARGAINING EXCEPTION.—In 
the case of a plan maintained pursuant to 1 or more 
collective bargaining agreements between employee 
representatives and 1 or more employers ratified be-
fore the date of the enactment of this Act, the 
amendments made by this subsection shall not apply 
to plan years beginning before the earlier of— 
(A) the later of—
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(i) the date on which the last collec-
tive bargaining agreement relating to the 
plan terminates (determined without re-
gard to any extension thereof agreed to 
after the date of the enactment of this 
Act), or 
(ii) the first day of the first plan year 
to which the amendments made by this 
subsection would (but for this subpara-
graph) apply, or 
(B) January 1, 2009. 
For purposes of clause (i), any plan amendment 
made pursuant to a collective bargaining agreement 
relating to the plan which amends the plan solely to 
conform to any requirement added by this subsection 
shall not be treated as a termination of such collec-
tive bargaining agreement. 
(d) SPECIAL RULE FOR 2007.—For purposes of ap-
plying subsection (e) of section 437 of such Code (as 
added by this section) to current plan years (within the 
meaning of such subsection) beginning in 2007, the modi-
fied funded current liability percentage of the plan for the 
preceding year shall be substituted for the funding target 
attainment percentage of the plan for the preceding year. 
For purposes of the preceding sentence, the term ‘‘modi-
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fied funded current liability percentage’’ means the funded 
current liability percentage (as defined in section 412(l)(8) 
of such Code), reduced as described in subparagraph (E) 
thereof in the case of a plan with a funded current liability 
percentage (as so defined and before such reduction) 
which is less than 100 percent. 
SEC. 114. TECHNICAL AND CONFORMING AMENDMENTS. 
(a) AMENDMENTS RELATED TO QUALIFICATION RE-
QUIREMENTS.— 
(1) Section 401(a)(29) of the Internal Revenue 
Code of 1986 is amended to read as follows: 
‘‘(29) BENEFIT LIMITATIONS ON PLANS IN AT- 
RISK STATUS.—In the case of a defined benefit plan 
(other than a multiemployer plan) to which the re-
quirements of section 412 apply, the trust of which 
the plan is a part shall not constitute a qualified 
trust under this subsection unless the plan meets the 
requirements of sections 436 and 437.’’. 
(2) Section 401(a)(32) of such Code is amend-
ed— 
(A) in subparagraph (A), by striking 
‘‘412(m)(5)’’ each place it appears and insert-
ing ‘‘430(j)(4)’’, and 
(B) in subparagraph (C), by striking ‘‘sec-
tion 412(m) by reason of paragraph (5)(A)
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thereof’’ and inserting ‘‘section 430(j)(3) by 
reason of section 430(j)(4)(A)’’. 
(3) Section 401(a)(33) of such Code is amend-
ed— 
(A) in subparagraph (B)(i), by striking 
‘‘funded current liability percentage (as defined 
in section 412(l)(8))’’ and inserting ‘‘funding 
target attainment percentage (as defined in sec-
tion 430(d)(2))’’, 
(B) in subparagraph (B)(iii), by striking 
‘‘subsection 412(c)(8)’’ and inserting ‘‘section 
412(d)(2)’’, and 
(C) in subparagraph (D), by striking ‘‘sec-
tion 412(c)(11) (without regard to subpara-
graph (B) thereof)’’ and inserting ‘‘section 
412(b) (without regard to paragraph (2) there-
of)’’. 
(b) VESTING RULES.—Section 411 of such Code is 
amended— 
(1) by striking ‘‘section 412(c)(8)’’ in sub-
section (a)(3)(C) and inserting ‘‘section 412(d)(2)’’, 
(2) in subsection (b)(1)(F)— 
(A) by striking ‘‘paragraphs (2) and (3) of 
section 412(i)’’ in clause (ii) and inserting
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‘‘subparagraphs 
(B) 
and 
(C) 
of 
section 
412(e)(3)’’, and 
(B) by striking ‘‘paragraphs (4), (5), and 
(6) of section 412(i)’’ and inserting ‘‘subpara-
graphs (D), (E), and (F) of section 412(e)(3)’’, 
and 
(3) by striking ‘‘section 412(c)(8)’’ in sub-
section (d)(6)(A) and inserting ‘‘section 412(d)(2)’’. 
(c) MERGERS AND CONSOLIDATIONS OF PLANS.— 
Subclause (I) of section 414(l)(2)(B)(i) of such Code is 
amended to read as follows: 
‘‘(I) 
the 
amount 
determined 
under section 431(c)(6)(A)(i) in the 
case of a multiemployer plan (and the 
sum of the target liability amount and 
target normal cost determined under 
section 430 in the case of any other 
plan), over’’. 
(d) TRANSFER OF EXCESS PENSION ASSETS TO RE-
TIREE HEALTH ACCOUNTS.— 
(1) Section 420(e)(2) of such Code is amended 
to read as follows: 
‘‘(2) EXCESS PENSION ASSETS.—The term ‘ex-
cess pension assets’ means the excess (if any) of— 
‘‘(A) the lesser of—