[Federal Register: July 2, 1998 (Volume 63, Number 127)]
[Notices]               
[Page 36266-36267]
From the Federal Register Online via GPO Access [wais.access.gpo.gov]
[DOCID:fr02jy98-129]

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DEPARTMENT OF LABOR

Pension and Welfare Benefits Administration

 
Proposed Information Collection Request Submitted for Public 
Comment and Recommendations; Final Regulation Relating to Loans to Plan 
Participants and Beneficiaries Who Are Parties in Interest With Respect 
to the Plan

ACTION: Notice.

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SUMMARY: The Department of Labor, as part of its continuing effort to 
reduce paperwork and respondent burden, provides the general public and 
Federal agencies with an opportunity to comment on proposed and/or 
continuing collections of information in

[[Page 36267]]

accordance with the Paperwork Reduction Act of 1995 (PRA 95) 44 U.S.C. 
3506(c)(2)(A). This program helps to ensure that requested data can be 
provided in the desired format, reporting burden (time and financial 
resources) is minimized, collection instruments are clearly understood, 
and the impact of collection requirements on respondents can be 
properly assessed. Currently, the Pension and Welfare Benefits 
Administration is soliciting comments concerning the proposed extension 
of a currently approved collection of information, that is included in 
the final regulation relating to loans to plan participants and 
beneficiaries who are parties in interest with respect to the plan (29 
CFR Sec. 2550.408b-1). A copy of the proposed information collection 
request (ICR) can be obtained by contacting the employee listed below 
in the contact section of this notice.

DATES: Written comments must be submitted on or before August 31, 1998.

    The Department of Labor is particularly interested in comments 
which:
    <bullet> Evaluate whether the proposed collection of information is 
necessary for the proper performance of the functions of the agency, 
including whether the information will have practical utility;
    <bullet> Evaluate the accuracy of the agency's estimate of the 
burden of the proposed collection of information, including the 
validity of the methodology and assumptions used;
    <bullet> Enhance the quality, utility, and clarify the information 
to be collected; and
    <bullet> Minimize the burden of the collection of information on 
those who are to respond, including through the use of appropriate 
automated, electronic, mechanical, or other technological collection 
techniques or other forms of information technology, e.g., permitting 
electronic submissions of responses.

ADDRESSES: Gerald B. Lindrew, Department of Labor, Pension and Welfare 
Benefits Administration, 200 Constitution Avenue, NW, Washington, DC 
20210, (202) 219-4782 (this is not a toll-free number), FAX (202) 219-
4745.

SUPPLEMENTARY INFORMATION: 

I. Background

    The Employee Retirement Income Security Act of 1974 (ERISA) 
prohibits a fiduciary with respect to a plan from causing the plan to 
engage in the direct or indirect lending of money or other extension of 
credit between the plan a party in interest. ERISA section 408(b)(1) 
exempts loans made by a plan to parties in interest who are 
participants and beneficiaries of the plan from this prohibition 
provided that certain requirements are satisfied. One such requirement 
is that loans to participants must be made in accordance with specific 
provisions regarding such loans set forth in the plan. In final 
regulations published in the Federal Register on July 20, 1989 (54 FR 
30520), the Department of Labor provided additional guidance on section 
408(b)(1)(C), which requires that loans must be made in accordance with 
specific provisions set forth in the plan. This ICR relates to the 
specific provisions which must be included in plan documents for those 
plans which permit loans to participants.

II. Current Actions

    This existing collection of information should be continued because 
it ensures that participants and beneficiaries are provided with 
adequate information with respect to matters affecting their benefits. 
This ICR also provides additional guidance concerning the statutory 
requirement that loans to participants be made in accordance with 
specific written plan provisions.
    Type of Review: Extension.
    Agency: Pension and Welfare Benefits Administration.
    Title: Final Regulation Relating to Loans to Plan Participants and 
Beneficiaries who are Parties in Interest with Respect to the Plan.
    OMB Number: 1210-0076.
    Affected Public: Business or other for-profit, Not-for-profit 
institutions, Individuals.
    Total Respondents: 7,000.
    Frequency: On occasion.
    Total Responses: 7,000.
    Average Time Per Response: 3 hours.
    Estimated Total Burden Hours: 5,250.
    Total Burden Cost (operating/maintenance): $393,750.00.
    Comments submitted in response to this notice will be summarized 
and/or included in the request for Office of Management and Budget 
approval of the information collection request; they will also become a 
matter of public record.

    Dated: June 26, 1998.
Gerald B. Lindrew,
Deputy Director, Office of Policy and Research, Pension and Welfare 
Benefits Administration.
[FR Doc. 98-17569 Filed 7-1-98; 8:45 am]
BILLING CODE 4510-29-M