Page:United States Statutes at Large Volume 108 Part 6.djvu/464

 108 STAT. 5032 PUBLIC LAW 103-465—DEC. 8, 1994 a multiemployer plan or a plan described in subsection (d)(6)(A)) which— "(i) is required to pay installments under this subsection for a plan year, and "(ii) has a liquidity shortfall for any quarter during such plan year. "(C) PERIOD OF UNDERPAYMENT. — For purposes of paragraph (1), any portion of an installment that is treated as not paid uncier subpsiragraph (A) shall continue to be treated as unpaid until the close of the quarter in which the due date for such installment occurs. "(D) LIMITATION ON INCREASE. —I f 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 funded current liabliity percentage (taking into account the expected increase in cturent Uability due to benefits accruing during the plan year) to 100 percent. "(E) DEFINITIONS.—For purposes of this paragraph— "(i) LIQUIDITY SHORTFALL. —The term 'Uquidity shortfall' means, with respect to any required installment, an amount equal to the excess (as of the last day of the quarter for which such installment is made) of the base amount with respect to such quarter over 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 any quarter, an amount equal to 3 times the sum of the adjusted disbursements from the plan for the 12 months ending on the last day of such quarter. "(II) SPECIAL RULE.—I f the amount determined under clause (i) exceeds an amount equal to 2 times the sum of the adjusted disbursements from the plan for the 36 months ending on the last day of the quarter and an enrolled actuary certifies to the satisfaction of the Secretary of the Treasury 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, pay- ments of single sums and other benefits, and administrative expenses. "(iv) ADJUSTED DISBURSEMENTS. —The term 'adjusted disbursements' means disbursements from the plan reduced by the product of— "(I) the plan's funded current Uability percentage (as defined in subsection (d)(8)) for me plan year, and "(II) the sum of the purchases of annuities, payments of single sums, and such other disburse-

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