Page:United States Statutes at Large Volume 94 Part 1.djvu/1299

 PUBLIC LAW 96-364—SEPT. 26, 1980

94 STAT. 1249

"(2) If the employer withdraws from the new plan within 240 months after the effective date of a transfer of assets and liabilities described in this section, the amount of the employer's withdrawal liability to the new plan shall be the greater of— "(A) the employer's withdrawal liability determined under part 1 with respect to the new plan, or "(B) the amount by which the employer's withdrawal liability to the old plan was reduced under subsection (c), reduced by 5 percent for each 12-month period following the effective date of the transfer and ending before the date of the withdrawal from the new plan. Definitions. "(g) For purposes of this section— "(1) 'appropriate amount of assets' means the amount by which the value of the nonforfeitable benefits to be transferred exceeds the amount of the employer's withdrawal liability to the old plan (determined under part 1 without regard to section 4211(e)), and Ante, p. 1226. "(2) 'certified change of collective bargaining representative' means a change of collective bargaining representative certified under the Labor-Management Relations Act, 1947, or the Rail- 29 USC 141. 45 USC 151. way Labor Act. "PART 3—REORGANIZATION; MINIMUM CONTRIBUTION REQUIREMENT FOR MULTIEMPLOYER PLANS REORGANIZATION STATUS

"SEC. 4241. (a) A multiemployer plan is in reorganization for a plan year if the plan's reorganization index for that year is greater than zero. "(b)(1) A plan's reorganization index for any plan year is the excess of— "(A) the vested benefits charge for such year, over "(B) the net charge to the funding standard account for such year. "(2) For purposes of this part, the net charge to the funding standard account for any plan year is the excess (if any) of— "(A) the charges to the funding standard account for such year under section 412(b)(2) of the Internal Revenue Code of 1954, over "(B) the credits to the funding standard account under section 412(b)(3)(B) of such Code. "(3) For purposes of this part, the vested benefits charge for any plan year is the amount which would be necessary to amortize the plan's unfunded vested benefits as of the end of the base plan year in equal annual installments— "(A) over 10 years, to the extent such benefits are attributable to persons in pay status, and "(B) over 25 years, to the extent such benefits are attributable to other participants. "(4)(A) The vested benefits charge for a plan year shall be based on an actuarial valuation of the plan as of the end of the base plan year, adjusted to reflect— "(pany— "(I) decrease of 5 percent or more in the value of plan assets, or increase of 5 percent or more in the number of persons in pay status, during the period beginning on the first day of the plan year following the base plan year and ending on the adjustment date, or

29 USC 1421.

Reorganization index.

Funding standard account. 26 USC 412.

Vested benefits charge.

Actuarial valuation.

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