Page:United States Statutes at Large Volume 120.djvu/900

 PUBLIC LAW 109–280—AUG. 17, 2006

120 STAT. 869

‘‘(b) DETERMINATION OF ENDANGERED AND CRITICAL STATUS.— For purposes of this section— ‘‘(1) ENDANGERED STATUS.—A multiemployer plan is in endangered status for a plan year if, as determined by the plan actuary under paragraph (3), the plan is not in critical status for the plan year and, as of the beginning of the plan year, either— ‘‘(A) the plan’s funded percentage for such plan year is less than 80 percent, or ‘‘(B) the plan has an accumulated funding deficiency for such plan year, or is projected to have such an accumulated funding deficiency for any of the 6 succeeding plan years, taking into account any extension of amortization periods under section 304(d). For purposes of this section, a plan shall be treated as in seriously endangered status for a plan year if the plan is described in both subparagraphs (A) and (B). ‘‘(2) CRITICAL STATUS.—A multiemployer plan is in critical status for a plan year if, as determined by the plan actuary under paragraph (3), the plan is described in 1 or more of the following subparagraphs as of the beginning of the plan year: ‘‘(A) A plan is described in this subparagraph if— ‘‘(i) the funded percentage of the plan is less than 65 percent, and ‘‘(ii) the sum of— ‘‘(I) the fair market value of plan assets, plus ‘‘(II) the present value of the reasonably anticipated employer contributions for the current plan year and each of the 6 succeeding plan years, assuming that the terms of all collective bargaining agreements pursuant to which the plan is maintained for the current plan year continue in effect for succeeding plan years, is less than the present value of all nonforfeitable benefits projected to be payable under the plan during the current plan year and each of the 6 succeeding plan years (plus administrative expenses for such plan years). ‘‘(B) A plan is described in this subparagraph if— ‘‘(i) the plan has an accumulated funding deficiency for the current plan year, not taking into account any extension of amortization periods under section 304(d), or ‘‘(ii) the plan is projected to have an accumulated funding deficiency for any of the 3 succeeding plan years (4 succeeding plan years if the funded percentage of the plan is 65 percent or less), not taking into account any extension of amortization periods under section 304(d). ‘‘(C) A plan is described in this subparagraph if— ‘‘(i)(I) the plan’s normal cost for the current plan year, plus interest (determined at the rate used for determining costs under the plan) for the current plan year on the amount of unfunded benefit liabilities under the plan as of the last date of the preceding plan year, exceeds

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