Page:United States Statutes at Large Volume 120.djvu/849

 120 STAT. 818

PUBLIC LAW 109–280—AUG. 17, 2006

(2) the effective date of the Cost Accounting Standards Pension Harmonization Rule, or (3) January 1, 2011. (b) INTEREST RATE.—In applying section 302(b)(5)(B) of the Employee Retirement Income Security Act of 1974 and section 412(b)(5)(B) of the Internal Revenue Code of 1986 (as in effect before the amendments made by this subtitle and subtitle B) to an eligible government contractor plan for plan years beginning after December 31, 2007, and before the first plan year to which such amendments apply, the third segment rate determined under section 303(h)(2)(C)(iii) of such Act and section 430(h)(2)(C)(iii) of such Code (as added by such amendments) shall be used in lieu of the interest rate otherwise used. (c) ELIGIBLE GOVERNMENT CONTRACTOR PLAN DEFINED.—For purposes of this section, a plan shall be treated as an eligible government contractor plan if it is maintained by a corporation or a member of the same affiliated group (as defined by section 1504(a) of the Internal Revenue Code of 1986), whose primary source of revenue is derived from business performed under contracts with the United States that are subject to the Federal Acquisition Regulations (chapter 1 of title 48, CFR) and that are also subject to the Defense Federal Acquisition Regulation Supplement (chapter 2 of title 48, CFR), and whose revenue derived from such business in the previous fiscal year exceeded $5,000,000,000, and whose pension plan costs that are assignable under those contracts are subject to sections 412 and 413 of the Cost Accounting Standards (48 CFR 9904.412 and 9904.413). (d) COST ACCOUNTING STANDARDS PENSION HARMONIZATION RULE.—The Cost Accounting Standards Board shall review and revise sections 412 and 413 of the Cost Accounting Standards (48 CFR 9904.412 and 9904.413) to harmonize the minimum required contribution under the Employee Retirement Income Security Act of 1974 of eligible government contractor plans and government reimbursable pension plan costs not later than January 1, 2010. Any final rule adopted by the Cost Accounting Standards Board shall be deemed the Cost Accounting Standards Pension Harmonization Rule.

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SEC. 107. TECHNICAL AND CONFORMING AMENDMENTS.

29 USC 1021. 29 USC 1023.

VerDate 14-DEC-2004

10:20 Jul 12, 2007

(a) MISCELLANEOUS AMENDMENTS TO TITLE I.—Subtitle B of title I of such Act (29 U.S.C. 1021 et seq.) is amended— (1) in section 101(d)(3), by striking ‘‘section 302(e)’’ and inserting ‘‘section 303(j)’’; (2) in section 103(d)(8)(B), by striking ‘‘the requirements of section 302(c)(3)’’ and inserting ‘‘the applicable requirements of sections 303(h) and 304(c)(3)’’; (3) in section 103(d), by striking paragraph (11) and inserting the following: ‘‘(11) If the current value of the assets of the plan is less than 70 percent of— ‘‘(A) in the case of a single-employer plan, the funding target (as defined in section 303(d)(1)) of the plan, or ‘‘(B) in the case of a multiemployer plan, the current liability (as defined in section 304(c)(6)(D)) under the plan, the percentage which such value is of the amount described in subparagraph (A) or (B).’’;

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