Page:United States Statutes at Large Volume 94 Part 1.djvu/1273

 PUBLIC LAW 96-364—SEPT. 26, 1980

94 STAT. 1223

"(1) the amount determined under section 4211, and adjusted under section 4209 if appropriate, determined as if the employer had withdrawn from the plan in a complete withdrawal— "(A) on the date of the partial withdrawal, or "(B) in the case of a partial withdrawal described in section 4205(a)(1) (relating to 70-percent contribution decline), on the last day of the first plan year in the 3-year testing period, multiplied b}^ "(2) a fraction which is 1 minus a fraction— "(A) the numerator of which is the employer's contribution base units for the plan year following the plan year in which the partial withdrawal occurs, and "(B) the denominator of which is the average of the employer's contribution base units for— "(i) except as provided in clause (ii), the 5 plan years immediately preceding the plan year in which the partial withdrawal occurs, or "(ii) in the case of a partial withdrawal described in section 4205(aKl) (relating to 70-percent contribution decline), the 5 plan years immediately preceding the beginning of the 3-year testing period. "(b)(1) In the case of an employer that has withdrawal liability for a partial withdrawal from a plan, any withdrawal liability of that employer for a partial or complete withdrawal from that plan in a subsequent plan year shall be reduced by the amount of any partial withdrawal liability (reduced by any abatement or reduction of such liability) of the employer with respect to the plan for a previous plan year. "(2) The corporation shall prescribe such regulations as may be Regulations. necessary to provide for proper adjustments in the reduction provided by paragraph (1) for— "(A) changes in unfunded vested benefits arising after the close of the prior year for which partial withdrawal liability was determined, "(B) changes in contribution base units occurring after the close of the prior year for which partial withdrawal liability was determined, and "(C) any other factors for which it determines adjustment to be appropriate, so that the liability for any complete or partial withdrawal in any subsequent year (after the application of the reduction) properly reflects the employer's share of liability with respect to the plan. REDUCTION OR WAIVER OF COMPLETE WITHDRAWAL LIABILITY

"SEC. 4207. (a) The corporation shall provide by regulation for the reduction or waiver of liability for a complete withdrawal in the event that an employer who has withdrawn from a plan subsequently resumes covered operations under the plan or renews an obligation to contribute under the plan, to the extent that the corporation determines that reduction or waiver of withdrawal liability is consistent with the purposes of this Act. "(b) The corporation shall prescribe by regulation a procedure and standards for the amendment of plans to provide alternative rules for the reduction or waiver of liability for a complete withdrawal in the event that an employer who has withdrawn from the plan subsequently resumes covered operations or renews an obligation to

Regulations. 29 USC 1387.

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