Page:United States Statutes at Large Volume 100 Part 1.djvu/274

 100 STAT. 238

Commerce and trade.

PUBLIC LAW 99-272—APR. 7, 1986

(2) is desirable to provide for the transfer of liabilities to the termination insurance system only in cases of severe hardship; (3) is necessary to maintain the premium costs of such system at a reasonable level; and (4) is necessary to finance properly current funding deficiencies and future obligations of the single-employer pension plan termination insurance system. (c) DECLARATION OF POLICY.—It is hereby declared to be the policy of this title CD to foster and facilitate interstate commerce; (2) to encourage the maintenance and growth of single-employer defined benefit pension plans; (3) to increase the likelihood that participants and beneficiaries under single-employer defined benefit pension plans will receive their full benefits; (4) to provide for the transfer of unfunded pension liabilities onto the single-employer pension plan termination insurance system only in cases of severe hardship; (5) to maintain the premium costs of such system at a reasonable level; and (6) to assure the prudent financing of current funding deficiencies and future obligations of the single-employer pension plan termination insurance system by increasing termination insurance premiums. SEC. 11003. AMENDMENT OF THE EMPLOYEE RETIREMENT INCOME SECURITY ACT OF 1974. Whenever in this title an amendment or repeal is expressed in terms of an amendment to or repeal of a section or other provision, the reference is to a section or other provision of the Employee Retirement Income Security Act of 1974, unless otherwise specified. SEC. 11004. DEFINITIONS. (a) IN GENERAL.—Section 4001(a) (29 U.S.C. 1301(a)) is amended— (1) by striking out paragraph (2) and inserting in lieu thereof the following new paragraph: "(2) 'substantial employer', for any plan year of a singleemployer plan, means one or more persons— "(A) who are contributing sponsors of the plan in such plan year, "(B) who, at any time during such plan year, are members of the same controlled group, and "(C) whose required contributions to the plan for each plan year constituting one of—"(i) the two immediately preceding plan years, or "(ii) the first two of the three immediately preceding plan years, total an amount greater than or equal to 10 percent of all contributions required to be paid to or under the plan for such plan year;"; (2) in paragraph (11), by striking out "and"; (3) in paragraph (12), by striking out "corporation." and inserting in lieu thereof "corporation;'; and (4) by adding after paragraph (12) the following new paragraphs: "(13) 'contributing sponsor', of a single-employer plan, means a person—

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