Page:United States Statutes at Large Volume 94 Part 1.djvu/1324

 94 STAT. 1274

26 USC 418A.

PUBLIC LAW 96-364—SEPT. 26, 1980

the last day of the plan year in which the plan is treated as having terminated. "SEC. 418A, NOTICE OF REORGANIZATION AND FUNDING REQUIREMENTS. "(a) NOTICE REQUIREMENT.—

Infra.

"(1) IN GENERAL.—If— "(A) a multiemployer plan is in reorganization for a plan year, and "(B) section 418B would require an increase in contributions for such plan year, the plan sponsor shall notify the persons described in paragraph (2) that the plan is in reorganization and that, if contributions to the plan are not increased, accrued benefits under the plan may be reduced or an excise tax may be imposed (or both such reduction and imposition may occur). "(2) PERSONS TO WHOM NOTICE IS TO BE GIVEN.—The persons

Ante, p. 1233.

described in this paragraph are— "(A) each employer who has an obligation to contribute under the plan (within the meaning of section 4212(a) of the Employee Retirement Income Security Act of 1974), and "(B) each employee organization which, for purposes of collective bargaining, represents plan participants employed by such an employer. "(3) OVERBURDEN CREDIT NOT TAKEN INTO ACCOUNT.—The de-

26 USC 418B.

termination under paragraph (I)(B) shall be made without regard to the overburden credit provided by section 418C. "(b) ADDITIONAL REQUIREMENTS.—The Pension Benefit Guaranty Corporation may prescribe additional or alternative requirements for assuring, in the case of a plan with respect to which notice is required by subsection (a)(1), that the persons described in subsection (a)(2)— "(1) receive appropriate notice that the plan is in reorganization, "(2) are adequately informed of the implications of reorganization status, and "(3) have reasonable access to information relevant to the plan's reorganization status. "SEC. 418B. MINIMUM CONTRIBUTION REQUIREMENT. "(a) ACCUMULATED FUNDING DEFICIENCY IN REORGANIZATION.—

26 USC 412.

"(1) IN GENERAL.—For any plan year in which a multiemployer plan is in reorganization— "(A) the plan shall continue to maintain its funding standard account, and "(B) the plan's accumulated funding deficiency under section 412(a) for such plan year shall be equal to the excess (if any) of— "(i) the sum of the minimum contribution requirement for such plan year (taking into account any overburden credit under section 418C(a)) plus the plan's accumulated funding deficiency for the preceding plan year (determined under this section if the plan was in reorganization during such plan year or under section 412(a) if the plan was not in reorganization), over "(ii) amounts considered contributed by employers to or under the plan for the plan year (increased by any amount waived under subsection (f) for the plan year). "(2) TREATMENT OF WITHDRAWAL LIABILITY PAYMENTS.—For

purposes of paragraph (1), withdrawal liability payments

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