Page:United States Statutes at Large Volume 120.djvu/929

 120 STAT. 898

Deadline.

26 USC 431 note.

Deadline. Applicability.

VerDate 14-DEC-2004

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PUBLIC LAW 109–280—AUG. 17, 2006 ‘‘(A) IN GENERAL.—If the plan sponsor of a multiemployer plan submits to the Secretary an application for an extension of the period of years required to amortize any unfunded liability described in any clause of subsection (b)(2)(B) or described in subsection (b)(4), the Secretary may extend the amortization period for a period of time (not in excess of 10 years reduced by the number of years of any extension under paragraph (1) with respect to such unfunded liability) if the Secretary makes the determination described in subparagraph (B). Such extension shall be in addition to any extension under paragraph (1). ‘‘(B) DETERMINATION.—The Secretary may grant an extension under subparagraph (A) if the Secretary determines that— ‘‘(i) such extension would carry out the purposes of this Act and would provide adequate protection for participants under the plan and their beneficiaries, and ‘‘(ii) the failure to permit such extension would— ‘‘(I) result in a substantial risk to the voluntary continuation of the plan, or a substantial curtailment of pension benefit levels or employee compensation, and ‘‘(II) be adverse to the interests of plan participants in the aggregate. ‘‘(C) ACTION BY SECRETARY.—The Secretary shall act upon any application for an extension under this paragraph within 180 days of the submission of such application. If the Secretary rejects the application for an extension under this paragraph, the Secretary shall provide notice to the plan detailing the specific reasons for the rejection, including references to the criteria set forth above. ‘‘(3) ADVANCE NOTICE.— ‘‘(A) IN GENERAL.—The Secretary shall, before granting an extension under this subsection, require each applicant to provide evidence satisfactory to such Secretary that the applicant has provided notice of the filing of the application for such extension to each affected party (as defined in section 4001(a)(21) of the Employee Retirement Income Security Act of 1974) with respect to the affected plan. Such notice shall include a description of the extent to which the plan is funded for benefits which are guaranteed under title IV of such Act and for benefit liabilities. ‘‘(B) CONSIDERATION OF RELEVANT INFORMATION.—The Secretary shall consider any relevant information provided by a person to whom notice was given under paragraph (1).’’. (b) EFFECTIVE DATE.— (1) IN GENERAL.—The amendments made by this section shall apply to plan years beginning after 2007. (2) SPECIAL RULE FOR CERTAIN AMORTIZATION EXTENSIONS.—If the Secretary of the Treasury grants an extension under section 304 of the Employee Retirement Income Security Act of 1974 and section 412(e) of the Internal Revenue Code of 1986 with respect to any application filed with the Secretary of the Treasury on or before June 30, 2005, the extension

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