Page:United States Statutes at Large Volume 118.djvu/628

 118 STAT. 598 PUBLIC LAW 108–218—APR. 10, 2004 indices that are selected periodically by the Sec retary and that are in the top 3 quality levels available. The Secretary shall make the permis sible range, and the indices and methodology used to determine the average rate, publicly available.’’. (B) SECRETARIAL AUTHORITY.—Subclause (III) of section 412(b)(5)(B)(ii) of such Code, as redesignated by subpara graph (A), is amended— (i) by inserting ‘‘or (II)’’ after ‘‘subclause (I)’’ the first place it appears, and (ii) by striking ‘‘subclause (I)’’ the second place it appears and inserting ‘‘such subclause’’. (C) CONFORMING AMENDMENT.—Subclause (I) of section 412(b)(5)(B)(ii) of such Code is amended by inserting ‘‘or (III)’’ after ‘‘subclause (II)’’. (2) DETERMINATION OF CURRENT LIABILITY.—Clause (i) of section 412(l)(7)(C) of such Code is amended by adding at the end the following new subclause: ‘‘(IV) SPECIAL RULE FOR 2004 AND 2005.—For plan years beginning in 2004 or 2005, notwith standing subclause (I), the rate of interest used to determine current liability under this subsection shall be the rate of interest under subsection (b)(5).’’. (3) CONFORMING AMENDMENT.—Paragraph (7) of section 412(m) of such Code is amended to read as follows: ‘‘(7) SPECIAL RULE FOR 2002.—In any case in which the interest rate used to determine current liability is determined under subsection (l)(7)(C)(i)(III), for purposes of applying para graphs (1) and (4)(B)(ii) for plan years beginning in 2002, the current liability for the preceding plan year shall be redeter mined using 120 percent as the specified percentage determined under subsection (l)(7)(C)(i)(II).’’. (4) LIMITATION ON CERTAIN ASSUMPTIONS.—Section 415(b)(2)(E)(ii) of such Code is amended by inserting ‘‘, except that in the case of plan years beginning in 2004 or 2005, ‘5.5 percent’ shall be substituted for ‘5 percent’ in clause (i)’’ before the period at the end. (5) ELECTION TO DISREGARD MODIFICATION FOR DEDUCTION PURPOSES.—Section 404(a)(1) of such Code is amended by adding at the end the following new subparagraph: ‘‘(F) ELECTION TO DISREGARD MODIFIED INTEREST RATE.—An employer may elect to disregard subsections (b)(5)(B)(ii)(II) and (l)(7)(C)(i)(IV) of section 412 solely for purposes of determining the interest rate used in calcu lating the maximum amount of the deduction allowable under this paragraph.’’. (c) PROVISIONS RELATING TO PLAN AMENDMENTS.— (1) IN GENERAL.—If this subsection applies to any plan or annuity contract amendment— (A) such plan or contract shall be treated as being operated in accordance with the terms of the plan or con tract during the period described in paragraph (2)(B)(i), and (B) except as provided by the Secretary of the Treasury, such plan shall not fail to meet the requirements of section 411(d)(6) of the Internal Revenue Code of 1986 and section 26 USC 411 note. 26 USC 404. 26 USC 415. 26 USC 412. Public information.

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