Page:United States Statutes at Large Volume 101 Part 2.djvu/1155

 PUBLIC LAW 100-203—DEC. 22, 1987

101 STAT. 1330-361

SEC. 9312. ELIMINATION OF SECTION 4049 TRUST: INCREASE IN LIABILITY TO PENSION BENEFIT GUARANTY CORPORATION AND IN PAYMENTS BY CORPORATION TO PARTICIPANTS AND BENEFICIARIES.
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(a) REPEAL.—Section 4049 of ERISA (29 U.S.C. 1349) is repealed. (b) CONFORMING AMENDMENTS.— (1) ELIMINATION OF EMPLOYER LIABILITY TO SECTION
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(A) REPEAL.—Subsection (c) of section 4062 of ERISA (29 U.S.C. 1362(c)) is repealed. (B) CONFORMING AMENDMENTS.—Section 4062 of ERISA is further amended by redesignating subsections (d), (e), and (f) as subsections (c), (d), and (e), respectively.

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(2) INCREASE IN EMPLOYER LIABILITY TO THE CORPORATION.—

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(A) IN GENERAL.—Subparagraph (A) of section 4062(b)(1) of ERISA (29 U.S.C. 1362(b)(l)(A)) is amended to read as w»i; •' follows: "(A) IN GENERAL.—Exccpt as provided in subparagraph Regulations. '' (B), the liability to the corporation of a person described in subsection (a) shall be the total amount of the unfunded benefit liabilities (as of the termination date) to all participants and beneficiaries under the plan, together with interest (at a reasonable rate) calculated from the termination date in accordance with regulations prescribed by the corporation." JUMC »

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(B) L I E N LIMITED TO 30 PERCENT OF NET WORTH.—

(i) Subsection (a) of section 4068 of ERISA (29 U.S.C. 1368(a)) is amended by striking out "to the extent of an amount equal to the unpaid amount described in section 4062(b)(l)(A)(i)" each place it appears and inserting in lieu thereof "to the extent such amount does not exceed 30 percent of the collective net worth of all persons described in section 4062(a)". (ii) Title IV of ERISA (29 U.S.C. 4001 et seq.) is amended by transferring subsection (e) of section 4062 of ERISA (29 U.S.C. 1362(e)) to the end of section 4068 of ERISA (29 U.S.C. 1368) and by redesignating such subsection as subsection (f). (C) TREATMENT OF MULTIPLE CONTROLLED GROUPS.—

(i) IN GENERAL.—So much of section 4064(b) of ERISA (29 U.S.C. 13640t))) as precedes the second sentence is "" ""' amended to read as follows: "(b) The corporation shall determine the liability with respect to each contributing sponsor and each member of its controlled group in a manner consistent with section 4062, except that the amount of liability determined under section 4062(bKl) with respect to the entire plan shall be allocated to each controlled group by multiplying such amount by a fraction— "(1) the numerator of which is the amount required to be contributed to the plan for the last 5 plan years ending prior to the termination date by persons in such controlled group as "'' contributing sponsors, and "(2) the denominator of which is the total amount required to ^ be contributed to the plan for such last 5 plan years by all persons as contributing sponsors,

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