#aac? ,,congress #b;d ,session ,s4 #acjb ,,an ,,act ,to am5d ! ,employee ,retirem5t ,income ,security ,act ( #aigd & ! ,int]nal ,rev5ue ,code ( #aihf to provide = coop]ative & small employ] *>ity p5sion plans4 #a4 ,%ort title2 table ( cont5ts 7a7 ,%ort title ,?is ,act may be cit$ z ! ,coop]ative & ,small ,employ] ,*>ity ,p5sion ,flexibility ,act4 7b7 ,table ( cont5ts ,! table ( cont5ts ( ?is ,act is z foll[s3 ,sec4 #a4 ,%ort title2 table ( cont5ts4,sec4 #b4 ,congressional f9d+s & decl>ations ( policy4,sec4 #c4 ,effective date4,,title ,i--,am5dm5ts to ,employee ,retirem5t ,income ,security ,act ( #aigd & o!r provisions,sec4 #aja4 ,def9ition ( coop]ative & small employ] *>ity p5sion plans4,sec4 #ajb4 ,fund+ rules applicable to coop]ative & small employ] *>ity p5sion plans4,sec4 #ajc4 ,elections4,sec4 #ajd4 ,transp>5cy4,sec4 #aje4 ,sponsor education & assi/ance4,,title ,,ii--,am5dm5ts to ,int]nal ,rev5ue ,code ( #aihf,sec4 #bja4 ,def9ition ( coop]ative & small employ] *>ity p5sion plans4,sec4 #bjb4 ,fund+ rules applicable to coop]ative & small employ] *>ity p5sion plans4,sec4 #bjc4 ,election n to be treat$ z a ,,csec plan4 #b4 ,congressional f9d+s & decl>ations ( policy ,congress f9ds z foll[s3 7#a7 ,def9$ b5efit p5sion plans are a co/-effective way = coop]ative associations & *>ities to provide _! employees ) economic security 9 retirem5t4 7#b7 ,_m coop]ative associations & *>itable organizations are only able to provide _! employees ) def9$ b5efit p5sion plans because ^? organizations are able to pool _! res\rces us+ ! multiple employ] plan /ructure4 7#c7 ,! p5sion fund+ rules %\ld enc\rage coop]ative associations & *>ities to cont9ue to provide _! employees ) p5sion b5efits4 #c4 ,effective date ,unless o!rwise specifi$ 9 ?is ,act1 ! provisions ( ?is ,act %all apply to ye>s beg9n+ aft] ,decemb] #ca1 #bjac4 ,i ,am5dm5ts to ,employee ,retirem5t ,income ,security ,act ( #aigd & o!r provisions #aja4 ,def9ition ( coop]ative & small employ] *>ity p5sion plans ,section #baj ( ! ,employee ,retirem5t ,income ,security ,act ( #aigd 7#bi ,u4,s4,c4 #ajfj7 is am5d$ by add+ at ! end ! foll[+ new subsection3 7f7 ,coop]ative & small employ] *>ity p5sion plans 7#a7 ,9 g5]al ,= purposes ( ?is title1 except z provid$ 9 ?is subsection1 a ,,csec plan is an employee p5sion b5efit plan 7o!r ?an a multiemploy] plan7 t is a def9$ b5efit plan-- 7,a7 to :i* section #ajd ( ! ,p5sion ,protection ,act ( #bjjf applies1 )\t reg>d to-- 7i7 section #ajd7;a77#b7 ( su* ,act2 7ii7 ! am5dm5ts to su* section #ajd by section #bjb7;b7 ( ! ,pres]vation ( ,access to ,c>e = ,m$ic>e ,b5efici>ies & ,p5sion ,relief ,act ( #bjaj2 & 7iii7 p>agraph 7#c77;,b72 or 7,b7 t1 z ( ,june #be1 #bjaj1 0 ma9ta9$ by m ?an "o employ] & all ( ! employ]s 7 organizations describ$ 9 section #eja7;c77#c7 ( ! ,int]nal ,rev5ue ,code ( #aihf4 7#b7 ,aggregation ,all employ]s t are treat$ z a s+le employ] "u subsection 7b7 or 7c7 ( section #dad ( ! ,int]nal ,rev5ue ,code ( #aihf %all be treat$ z a s+le employ] = purposes ( det]m9+ if a plan 0 ma9ta9$ by m ?an "o employ] "u p>agraph 7#a77;,b74 4 #ajb4 ,fund+ rules applicable to coop]ative & small employ] *>ity p5sion plans 7a7 ,9 g5]al ,"p #c ( title ,i ( ! ,employee ,retirem5t ,income ,security ,act ( #aigd 7#bi ,u4,s4,c4 #ajha et seq47 is am5d$ by add+ at ! end ! foll[+ new section3 #cjf4 ,m9imum fund+ /&>ds 7a7 ,g5]al rule ,= purposes ( section #cjb1 ! t]m accumulat$ fund+ defici5cy = a ,,csec plan means ! excess ( ! total *>ges to ! fund+ /&>d acc\nt = all plan ye>s 7beg9n+ ) ! fir/ plan ye> to :i* section #cjb applies7 ov] ! total cr$its to su* acc\nt = su* ye>s or1 if less1 ! excess ( ! total *>ges to ! alt]native m9imum fund+ /&>d acc\nt = su* plan ye>s ov] ! total cr$its to su* acc\nt = su* ye>s4 7b7 ,fund+ /&>d acc\nt 7#a7 ,acc\nt requir$ ,ea* plan to :i* ?is section applies %all e/abli% & ma9ta9 a fund+ /&>d acc\nt4 ,su* acc\nt %all be cr$it$ & *>g$ solely z provid$ 9 ?is section4 7#b7 ,*>ges to acc\nt ,= a plan ye>1 ! fund+ /&>d acc\nt %all be *>g$ ) ! sum (-- 7,a7 ! normal co/ ( ! plan = ! plan ye>1 7,b7 ! am\nts necess>y to amortize 9 equal annual in/allm5ts 7until fully amortiz$7-- 7i7 9 ! case ( a plan 9 exi/5ce on ,janu>y #a1 #aigd1 ! unfund$ pa/ s]vice liability "u ! plan on ! fir/ day ( ! fir/ plan ye> to :i* section #cjb applies1 ov] a p]iod ( #dj plan ye>s1 7ii7 9 ! case ( a plan :i* comes into exi/5ce aft] ,janu>y #a1 #aigd1 b be=e ! fir/ day ( ! fir/ plan ye> beg9n+ aft] ,decemb] #ca1 #bjac1 ! unfund$ pa/ s]vice liability "u ! plan on ! fir/ day ( ! fir/ plan ye> to :i* section #cjb applies1 ov] a p]iod ( #cj plan ye>s1 7iii7 sep>ately1 ) respect to ea* plan ye>1 ! net increase 7if any7 9 unfund$ pa/ s]vice liability "u ! plan aris+ f plan am5dm5ts adopt$ 9 su* ye>1 ov] a p]iod ( #ae plan ye>s1 7iv7 sep>ately1 ) respect to ea* plan ye>1 ! net exp]i5ce loss 7if any7 "u ! plan1 ov] a p]iod ( #e plan ye>s1 & 7v7 sep>ately1 ) respect to ea* plan ye>1 ! net loss 7if any7 result+ f *anges 9 actu>ial assumptions us$ "u ! plan1 ov] a p]iod ( #aj plan ye>s1 7,c7 ! am\nt necess>y to amortize ea* waiv$ fund+ defici5cy 7)9 ! mean+ ( section #cjb7;c77#c77 = ea* prior plan ye> 9 equal annual in/allm5ts 7until fully amortiz$7 ov] a p]iod ( #e plan ye>s1 7,d7 ! am\nt necess>y to amortize 9 equal annual in/allm5ts 7until fully amortiz$7 ov] a p]iod ( #e plan ye>s any am\nt cr$it$ to ! fund+ /&>d acc\nt "u p>agraph 7#c77;,d71 & 7,e7 ! am\nt necess>y to amortize 9 equal annual in/allm5ts 7until fully amortiz$7 ov] a p]iod ( #bj ye>s ! contributions :i* w\ld be requir$ to be made "u ! plan b = ! provisions ( section #cjb7;c77#g77;,a77i77,i7 7z 9 effect on ! day be=e ! enactm5t ( ! ,p5sion ,protection ,act ( #bjjf74 7#c7 ,cr$its to acc\nt ,= a plan ye>1 ! fund+ /&>d acc\nt %all be cr$it$ ) ! sum (-- 7,a7 ! am\nt consid]$ contribut$ by ! employ] to or "u ! plan = ! plan ye>1 7,b7 ! am\nt necess>y to amortize 9 equal annual in/allm5ts 7until fully amortiz$7-- 7i7 sep>ately1 ) respect to ea* plan ye>1 ! net decrease 7if any7 9 unfund$ pa/ s]vice liability "u ! plan aris+ f plan am5dm5ts adopt$ 9 su* ye>1 ov] a p]iod ( #ae plan ye>s1 7ii7 sep>ately1 ) respect to ea* plan ye>1 ! net exp]i5ce ga9 7if any7 "u ! plan1 ov] a p]iod ( #e plan ye>s1 & 7iii7 sep>ately1 ) respect to ea* plan ye>1 ! net ga9 7if any7 result+ f *anges 9 actu>ial assumptions us$ "u ! plan1 ov] a p]iod ( #aj plan ye>s1 7,c7 ! am\nt ( ! waiv$ fund+ defici5cy 7)9 ! mean+ ( section #cjb7;c77#c77 = ! plan ye>1 & 7,d7 9 ! case ( a plan ye> = :i* ! accumulat$ fund+ defici5cy is det]m9$ "u ! fund+ /&>d acc\nt if su* plan ye> foll[s a plan ye> = :i* su* defici5cy 0 det]m9$ "u ! alt]native m9imum fund+ /&>d1 ! excess 7if any7 ( any debit balance 9 ! fund+ /&>d acc\nt 7det]m9$ )\t reg>d to ?is subp>agraph7 ov] any debit balance 9 ! alt]native m9imum fund+ /&>d acc\nt4 7#d7 ,comb9+ & (fsett+ am\nts to be amortiz$ ,"u regulations prescrib$ by ! ,secret>y ( ! ,treasury1 am\nts requir$ to be amortiz$ "u p>agraph 7#b7 or p>agraph 7#c71 z ! case may be-- 7,a7 may be comb9$ into "o am\nt "u su* p>agraph to be amortiz$ ov] a p]iod det]m9$ on ! basis ( ! rema9+ amortization p]iod = all items ent]+ into su* comb9$ am\nt1 & 7,b7 may be (fset aga9/ am\nts requir$ to be amortiz$ "u ! o!r su* p>agraph1 ) ! result+ am\nt to be amortiz$ ov] a p]iod det]m9$ on ! basis ( ! rema9+ amortization p]iods = all items ent]+ into :i*ev] ( ! two am\nts be+ (fset is ! great]4 7#e7 ,int]e/ 7,a7 ,9 g5]al ,except z provid$ 9 subp>agraph 7,b71 ! fund+ /&>d acc\nt 7& items !re97 %all be *>g$ or cr$it$ 7z det]m9$ "u regulations prescrib$ by ! ,secret>y ( ! ,treasury7 ) int]e/ at ! appropriate rate consi/5t ) ! rate or rates ( int]e/ us$ "u ! plan to det]m9e co/s4 7,b7 ,exception ,! int]e/ rate us$ = purposes ( comput+ ! amortization *>ge describ$ 9 subsection 7b77#b77;,c7 or = purposes ( any arrangem5t "u subsection 7d7 = any plan ye> %all be ! great] (-- 7i7 #aej p]c5t ( ! ,f$]al mid-t]m rate 7z 9 effect "u section #abgd ( ! ,int]nal ,rev5ue ,code ( #aihf = ! #a/ mon? ( su* plan ye>71 or 7ii7 ! rate ( int]e/ det]m9$ "u subp>agraph 7,a74 7#f7 ,amortization s*$ules 9 effect ,amortization s*$ules = am\nts describ$ 9 p>agraphs 7#b7 & 7#c7 t are 9 effect z ( ! la/ day ( ! la/ plan ye> beg9n+ be=e ,janu>y #a1 #bjad1 by reason ( section #ajd ( ! ,p5sion ,protection ,act ( #bjjf %all rema9 9 effect pursuant to _! t]ms & ?is section1 except t su* am\nts %all n be amortiz$ aga9 "u ?is section4 7c7 ,special rules 7#a7 ,det]m9ations to be made "u fund+ me?od ,= purposes ( ?is section1 normal co/s1 accru$ liability1 pa/ s]vice liabilities1 & exp]i5ce ga9s & losses %all be det]m9$ "u ! fund+ me?od us$ to det]m9e co/s "u ! plan4 7#b7 ,valuation ( assets 7,a7 ,9 g5]al ,= purposes ( ?is section1 ! value ( ! plan's assets %all be det]m9$ on ! basis ( any reasonable actu>ial me?od ( valuation :i* takes into acc\nt fair m>ket value & :i* is p]mitt$ "u regulations prescrib$ by ! ,secret>y ( ! ,treasury4 7,b7 ,d$icat$ bond portfolio ,! ,secret>y ( ! ,treasury may by regulations provide t ! value ( any d$icat$ bond portfolio ( a plan %all be det]m9$ by us+ ! int]e/ rate "u section #cjb7;b77#e7 7z 9 effect on ! day be=e ! enactm5t ( ! ,p5sion ,protection ,act ( #bjjf74 7#c7 ,actu>ial assumptions mu/ be reasonable ,= purposes ( ?is section1 all co/s1 liabilities1 rates ( int]e/1 & o!r factors "u ! plan %all be det]m9$ on ! basis ( actu>ial assumptions & me?ods-- 7,a7 ea* ( :i* is reasonable 7tak+ into acc\nt ! exp]i5ce ( ! plan & reasonable expectations71 & 7,b7 :i*1 9 comb9ation1 (f] ! actu>y's be/ e/imate ( anticipat$ exp]i5ce "u ! plan4 7#d7 ,treatm5t ( c]ta9 *anges z exp]i5ce ga9 or loss ,= purposes ( ?is section1 if-- 7,a7 a *ange 9 b5efits "u ! ,social ,security ,act or 9 o!r retirem5t b5efits creat$ "u ,f$]al or ,/ate law1 or 7,b7 a *ange 9 ! def9ition ( ! t]m wages "u section #caba ( ! ,int]nal ,rev5ue ,code ( #aihf or a *ange 9 ! am\nt ( su* wages tak5 into acc\nt "u regulations prescrib$ = purposes ( section #dja7;a77#e7 ( su* ,code1 results 9 an increase or decrease 9 accru$ liability "u a plan1 su* increase or decrease %all be treat$ z an exp]i5ce loss or ga94 7#e7 ,fund+ me?od & plan ye> 7,a7 ,fund+ me?ods available ,all fund+ me?ods available to ,,csec plans "u section #cjb 7z 9 effect on ! day be=e ! enactm5t ( ! ,p5sion ,protection ,act ( #bjjf7 %all cont9ue to be available "u ?is section4 7,b7 ,*anges ,if ! fund+ me?od = a plan is *ang$1 ! new fund+ me?od %all become ! fund+ me?od us$ to det]m9e co/s & liabilities "u ! plan only if ! *ange is approv$ by ! ,secret>y ( ! ,treasury4 ,if ! plan ye> = a plan is *ang$1 ! new plan ye> %all become ! plan ye> = ! plan only if ! *ange is approv$ by ! ,secret>y ( ! ,treasury4 7,c7 ,approval requir$ = c]ta9 *anges 9 assumptions by c]ta9 s+le-employ] plans subject to additional fund+ requirem5t 7i7 ,9 g5]al ,no actu>ial assumption 7o!r ?an ! assumptions describ$ 9 subsection 7h77#c77 us$ to det]m9e ! curr5t liability = a plan to :i* ?is subp>agraph applies may be *ang$ )\t ! approval ( ! ,secret>y ( ! ,treasury4 7ii7 ,plans to :i* subp>agraph applies ,?is subp>agraph %all apply to a plan only if-- 7,i7 ! plan is a ,,csec plan1 7,,ii7 ! aggregate unfund$ ve/$ b5efits z ( ! close ( ! prec$+ plan ye> 7z det]m9$ "u section #djjf7;a77#c77;,e77iii77 ( su* plan & all o!r plans ma9ta9$ by ! contribut+ sponsors 7z def9$ 9 section #djja7;a77#ac77 & memb]s ( su* sponsors' controll$ gr\ps 7z def9$ 9 section #djja7;a77#ad77 :i* are cov]$ by title ,,iv 7disreg>d+ plans ) no unfund$ ve/$ b5efits7 exce$ #ej1jjj1jjj1 & 7,,iii7 ! *ange 9 assumptions 7det]m9$ aft] tak+ into acc\nt any *anges 9 int]e/ rate & mortality table7 results 9 a decrease 9 ! fund+ %ortfall ( ! plan = ! curr5t plan ye> t exce$s #ej1jjj1jjj1 or t exce$s #e1jjj1jjj & t is #e p]c5t or m ( ! curr5t liability ( ! plan be=e su* *ange4 7#f7 ,full fund+ ,if1 z ( ! close ( a plan ye>1 a plan w\ld 7)\t reg>d to ?is p>agraph7 h an accumulat$ fund+ defici5cy 7det]m9$ )\t reg>d to ! alt]native m9imum fund+ /&>d acc\nt p]mitt$ "u subsection 7e77 9 excess ( ! full fund+ limitation-- 7,a7 ! fund+ /&>d acc\nt %all be cr$it$ ) ! am\nt ( su* excess1 & 7,b7 all am\nts describ$ 9 p>agraphs 7#b77;,b71 7,c71 & 7,d7 & 7#c77;,b7 ( subsection 7b7 :i* are requir$ to be amortiz$ %all be consid]$ fully amortiz$ = purposes ( su* p>agraphs4 7#g7 ,full-fund+ limitation ,= purposes ( p>agraph 7#f71 ! t]m full-fund+ limitation means ! excess 7if any7 (-- 7,a7 ! accru$ liability 7includ+ normal co/7 "u ! plan 7det]m9$ "u ! entry age normal fund+ me?od if su* accru$ liability _c be directly calculat$ "u ! fund+ me?od us$ = ! plan71 ov] 7,b7 ! less] (-- 7i7 ! fair m>ket value ( ! plan's assets1 or 7ii7 ! value ( su* assets det]m9$ "u p>agraph 7#b74 7,c7 ,m9imum am\nt 7i7 ,9 g5]al ,9 no ev5t %all ! full-fund+ limitation det]m9$ "u subp>agraph 7,a7 be less ?an ! excess 7if any7 (-- 7,i7 #ij p]c5t ( ! curr5t liability 7det]m9$ )\t reg>d to p>agraph 7#d7 ( subsection 7h77 ( ! plan 7includ+ ! expect$ increase 9 su* curr5t liability due to b5efits accru+ dur+ ! plan ye>71 ov] 7,,ii7 ! value ( ! plan's assets det]m9$ "u p>agraph 7#b74 7ii7 ,assets ,= purposes ( clause 7i71 assets %all n be r$uc$ by any cr$it balance 9 ! fund+ /&>d acc\nt4 7#h7 ,annual valuation 7,a7 ,9 g5]al ,= purposes ( ?is section1 a det]m9ation ( exp]i5ce ga9s & losses & a valuation ( ! plan's liability %all be made n less frequ5tly ?an once e ye>1 except t su* det]m9ation %all be made m frequ5tly to ! ext5t requir$ 9 p>ticul> cases "u regulations prescrib$ by ! ,secret>y ( ! ,treasury4 7,b7 ,valuation date 7i7 ,curr5t ye> ,except z provid$ 9 clause 7ii71 ! valuation ref]r$ to 9 subp>agraph 7,a7 %all be made z ( a date )9 ! plan ye> to :i* ! valuation ref]s or )9 "o mon? prior to ! beg9n+ ( su* ye>4 7ii7 ,use ( prior ye> valuation ,! valuation ref]r$ to 9 subp>agraph 7,a7 may be made z ( a date )9 ! plan ye> prior to ! ye> to :i* ! valuation ref]s if1 z ( su* date1 ! value ( ! assets ( ! plan are n less ?an #ajj p]c5t ( ! plan's curr5t liability4 7iii7 ,adju/m5ts ,in=mation "u clause 7ii7 %all1 9 accordance ) regulations1 be actu>ially adju/$ to reflect significant diff]5ces 9 p>ticipants4 7iv7 ,limitation ,a *ange 9 fund+ me?od to use a prior ye> valuation1 z provid$ 9 clause 7ii71 may n be made unless z ( ! valuation date )9 ! prior plan ye>1 ! value ( ! assets ( ! plan are n less ?an #abe p]c5t ( ! plan's curr5t liability4 7#i7 ,"t :5 c]ta9 contributions deem$ made ,= purposes ( ?is section1 any contributions = a plan ye> made by an employ] dur+ ! p]iod-- 7,a7 beg9n+ on ! day aft] ! la/ day ( su* plan ye>1 & 7,b7 end+ on ! day :i* is #h mon?s aft] ! close ( ! plan ye>1 %all be deem$ to h be5 made on su* la/ day4 7#aj7 ,anticipation ( b5efit increases effective 9 ! future ,9 det]m9+ project$ b5efits1 ! fund+ me?od ( a collectively b>ga9$ ,,csec plan describ$ 9 section #dac7;a7 ( ! ,int]nal ,rev5ue ,code ( #aihf %all anticipate b5efit increases s*$ul$ to take effect dur+ ! t]m ( ! collective b>ga9+ agreem5t applicable to ! plan4 7d7 ,ext5sion ( amortization p]iods ,! p]iod ( ye>s requir$ to amortize any unfund$ liability 7describ$ 9 any clause ( subsection 7b77#b77;,b77 ( any plan may be ext5d$ by ! ,secret>y ( ! ,treasury = a p]iod ( "t 7n 9 excess ( #aj ye>s7 if su* ,secret>y det]m9es t su* ext5sion w\ld c>ry out ! purposes ( ?is ,act & provide adequate protection = p>ticipants "u ! plan & _! b5efici>ies1 & if su* ,secret>y det]m9es t ! failure to p]mit su* ext5sion w\ld result 9-- 7#a7 a sub/antial risk to ! volunt>y cont9uation ( ! plan1 or 7#b7 a sub/antial curtailm5t ( p5sion b5efit levels or employee comp5sation4 7e7 ,alt]native m9imum fund+ /&>d 7#a7 ,9 g5]al ,a ,,csec plan :i* uses a fund+ me?od t requires contributions 9 all ye>s n less ?an ^? requir$ "u ! entry age normal fund+ me?od may ma9ta9 an alt]native m9imum fund+ /&>d acc\nt = any plan ye>4 ,su* acc\nt %all be cr$it$ & *>g$ solely z provid$ 9 ?is subsection4 7#b7 ,*>ges & cr$its to acc\nt ,= a plan ye> ! alt]native m9imum fund+ /&>d acc\nt %all be-- 7,a7 *>g$ ) ! sum (-- 7i7 ! less] ( normal co/ "u ! fund+ me?od us$ "u ! plan or normal co/ det]m9$ "u ! unit cr$it me?od1 7ii7 ! excess1 if any1 ( ! pres5t value ( accru$ b5efits "u ! plan ov] ! fair m>ket value ( ! assets1 & 7iii7 an am\nt equal to ! excess 7if any7 ( cr$its to ! alt]native m9imum /&>d acc\nt = all prior plan ye>s ov] *>ges to su* acc\nt = all su* ye>s1 & 7,b7 cr$it$ ) ! am\nt consid]$ contribut$ by ! employ] to or "u ! plan = ! plan ye>4 7#c7 ,int]e/ ,! alt]native m9imum fund+ /&>d acc\nt 7& items !re97 %all be *>g$ or cr$it$ ) int]e/ 9 ! mann] provid$ "u subsection 7b77#e7 ) respect to ! fund+ /&>d acc\nt4 7f7 ,qu>t]ly contributions requir$ 7#a7 ,9 g5]al ,if a ,,csec plan :i* has a fund$ curr5t liability p]c5tage = ! prec$+ plan ye> ( less ?an #ajj p]c5t fails to pay ! full am\nt ( a requir$ in/allm5t = ! plan ye>1 !n ! rate ( int]e/ *>g$ to ! fund+ /&>d acc\nt "u subsection 7b77#e7 ) respect to ! am\nt ( ! und]paym5t = ! p]iod ( ! und]paym5t %all be equal to ! great] (-- 7,a7 #age p]c5t ( ! ,f$]al mid-t]m rate 7z 9 effect "u section #abgd ( ! ,int]nal ,rev5ue ,code ( #aihf = ! #a/ mon? ( su* plan ye>71 or 7,b7 ! rate ( int]e/ us$ "u ! plan 9 det]m9+ co/s4 7#b7 ,am\nt ( und]paym5t1 p]iod ( und]paym5t ,= purposes ( p>agraph 7#a7-- 7,a7 ,am\nt ,! am\nt ( ! und]paym5t %all be ! excess (-- 7i7 ! requir$ in/allm5t1 ov] 7ii7 ! am\nt 7if any7 ( ! in/allm5t contribut$ to or "u ! plan on or be=e ! due date = ! in/allm5t4 7,b7 ,p]iod ( und]paym5t ,! p]iod = :i* int]e/ is *>g$ "u ?is subsection ) reg>d to any portion ( ! und]paym5t %all run f ! due date = ! in/allm5t to ! date on :i* su* portion is contribut$ to or "u ! plan 7det]m9$ )\t reg>d to subsection 7c77#i774 7,c7 ,ord] ( cr$it+ contributions ,= purposes ( subp>agraph 7,a77ii71 contributions %all be cr$it$ aga9/ unpaid requir$ in/allm5ts 9 ! ord] 9 :i* su* in/allm5ts are requir$ to be paid4 7#c7 ,numb] ( requir$ in/allm5ts2 due dates ,= purposes ( ?is subsection-- 7,a7 ,payable 9 #d in/allm5ts ,!re %all be #d requir$ in/allm5ts = ea* plan ye>4 7,b7 ,"t = paym5t ( in/allm5ts ,9 ! case ( ! foll[+ requir$ in/allm5ts3,! due date is3#ast,april #ae #bnd,july #ae #crd,october #ae #dth,january #ae ( ! foll[+ ye>4 7#d7 ,am\nt ( requir$ in/allm5t ,= purposes ( ?is subsection-- 7,a7 ,9 g5]al ,! am\nt ( any requir$ in/allm5t %all be #be p]c5t ( ! requir$ annual paym5t4 7,b7 ,requir$ annual paym5t ,= purposes ( subp>agraph 7,a71 ! t]m requir$ annual paym5t means ! less] (-- 7i7 #ij p]c5t ( ! am\nt requir$ to be contribut$ to or "u ! plan by ! employ] = ! plan ye> "u section #cjb 7)\t reg>d to any waiv] "u subsection 7c7 !re(71 or 7ii7 #ajj p]c5t ( ! am\nt s requir$ = ! prec$+ plan ye>4 ,clause 7ii7 %all n apply if ! prec$+ plan ye> 0 n a ye> ( #ab mon?s4 7#e7 ,liquidity requirem5t 7,a7 ,9 g5]al ,a plan to :i* ?is p>agraph applies %all be treat$ z fail+ to pay ! full am\nt ( any requir$ in/allm5t to ! ext5t t ! value ( ! liquid assets paid 9 su* in/allm5t is less ?an ! liquidity %ortfall 7:e!r or n su* liquidity %ortfall exce$s ! am\nt ( su* in/allm5t requir$ to be paid b = ?is p>agraph74 7,b7 ,plans to :i* p>agraph ,applies ,?is p>agraph %all apply to a ,,csec plan o!r ?an a plan describ$ 9 section #cjb7;d77#f77;,a7 7z 9 effect on ! day be=e ! enactm5t ( ! ,p5sion ,protection ,act ( #bjjf7 :i*-- 7i7 is requir$ to pay in/allm5ts "u ?is subsection = a plan ye>1 & 7ii7 has a liquidity %ortfall = any qu>t] dur+ su* plan ye>4 7,c7 ,p]iod ( und]paym5t ,= purposes ( p>agraph 7#a71 any portion ( an in/allm5t t is treat$ z n paid "u subp>agraph 7,a7 %all cont9ue to be treat$ z unpaid until ! close ( ! qu>t] 9 :i* ! due date = su* in/allm5t occurs4 7,d7 ,limitation on increase ,if ! am\nt ( any requir$ in/allm5t is increas$ by reason ( subp>agraph 7,a71 9 no ev5t %all su* increase exce$ ! am\nt :i*1 :5 add$ to prior in/allm5ts = ! plan ye>1 is necess>y to increase ! fund$ curr5t liability p]c5tage 7tak+ into acc\nt ! expect$ increase 9 curr5t liability due to b5efits accru+ dur+ ! plan ye>7 to #ajj p]c5t4 7,e7 ,def9itions ,= purposes ( ?is p>agraph-- 7i7 ,liquidity %ortfall ,! t]m liquidity %ortfall means1 ) respect to any requir$ in/allm5t1 an am\nt equal to ! excess 7z ( ! la/ day ( ! qu>t] = :i* su* in/allm5t is made7 ( ! base am\nt ) respect to su* qu>t] ov] ! value 7z ( su* la/ day7 ( ! plan's liquid assets4 7ii7 ,base am\nt 7,i7 ,9 g5]al ,! t]m base am\nt means1 ) respect to any qu>t]1 an am\nt equal to #c times ! sum ( ! adju/$ disbursem5ts f ! plan = ! #ab mon?s end+ on ! la/ day ( su* qu>t]4 7,,ii7 ,special rule ,if ! am\nt det]m9$ "u subclause 7,i7 exce$s an am\nt equal to #b times ! sum ( ! adju/$ disbursem5ts f ! plan = ! #cf mon?s end+ on ! la/ day ( ! qu>t] & an enroll$ actu>y c]tifies to ! satisfaction ( ! ,secret>y ( ! ,treasury t su* excess is ! result ( nonrecurr+ circum/ances1 ! base am\nt ) respect to su* qu>t] %all be det]m9$ )\t reg>d to am\nts relat$ to ^? nonrecurr+ circum/ances4 7iii7 ,disbursem5ts f ! plan ,! t]m disbursem5ts f ! plan means all disbursem5ts f ! tru/1 includ+ pur*ases ( annuities1 paym5ts ( s+le sums & o!r b5efits1 & adm9i/rative exp5ses4 7iv7 ,adju/$ disbursem5ts ,! t]m adju/$ disbursem5ts means disbursem5ts f ! plan r$uc$ by ! product (-- 7,i7 ! plan's fund$ curr5t liability p]c5tage = ! plan ye>1 & 7,,ii7 ! sum ( ! pur*ases ( annuities1 paym5ts ( s+le sums1 & su* o!r disbursem5ts z ! ,secret>y ( ! ,treasury %all provide 9 regulations4 7v7 ,liquid assets ,! t]m liquid assets means ca%1 m>ketable securities & su* o!r assets z specifi$ by ! ,secret>y ( ! ,treasury 9 regulations4 7vi7 ,qu>t] ,! t]m qu>t] means1 ) respect to any requir$ in/allm5t1 ! #c-mon? p]iod prec$+ ! mon? 9 :i* ! due date = su* in/allm5t occurs4 7,f7 ,regulations ,! ,secret>y ( ! ,treasury may prescribe su* regulations z are necess>y to c>ry out ?is p>agraph4 7#f7 ,fiscal ye>s & %ort ye>s 7,a7 ,fiscal ye>s ,9 apply+ ?is subsection to a plan ye> beg9n+ on any date o!r ?an ,janu>y #a1 !re %all be sub/itut$ = ! mon?s specifi$ 9 ?is subsection1 ! mon?s :i* correspond !reto4 7,b7 ,%ort plan ye> ,?is subsection %all be appli$ to plan ye>s ( less ?an #ab mon?s 9 accordance ) regulations prescrib$ by ! ,secret>y ( ! ,treasury4 7g7 ,imposition ( li5 :]e failure ,to make requir$ contributions 7#a7 ,9 g5]al ,9 ! case ( a plan to :i* ?is section applies1 if-- 7,a7 any p]son fails to make a requir$ in/allm5t "u subsection 7f7 or any o!r paym5t requir$ "u ?is section be=e ! due date = su* in/allm5t or o!r paym5t1 & 7,b7 ! unpaid balance ( su* in/allm5t or o!r paym5t 7includ+ int]e/71 :5 add$ to ! aggregate unpaid balance ( all prec$+ su* in/allm5ts or o!r paym5ts = :i* paym5t 0 n made be=e ! due date 7includ+ int]e/71 exce$s #a1jjj1jjj1 !n !re %all be a li5 9 favor ( ! plan 9 ! am\nt det]m9$ "u p>agraph 7#c7 ^u all prop]ty & rights to prop]ty1 :e!r real or p]sonal1 belong+ to su* p]son & any o!r p]son :o is a memb] ( ! same controll$ gr\p ( :i* su* p]son is a memb]4 7#b7 ,plans to :i* subsection ,applies ,?is subsection %all apply to a ,,csec plan = any plan ye> = :i* ! fund$ curr5t liability p]c5tage ( su* plan is less ?an #ajj p]c5t4 ,?is subsection %all n apply to any plan to :i* section #djba does n apply 7z su* section is 9 effect on ! date ( ! enactm5t ( ! ,retirem5t ,protection ,act ( #aiid74 7#c7 ,am\nt ( li5 ,= purposes ( p>agraph 7#a71 ! am\nt ( ! li5 %all be equal to ! aggregate unpaid balance ( requir$ in/allm5ts & o!r paym5ts requir$ "u ?is section 7includ+ int]e/7-- 7,a7 = plan ye>s beg9n+ aft] #aihg1 & 7,b7 = :i* paym5t has n be5 made be=e ! due date4 7#d7 ,notice ( failure2 li5 7,a7 ,notice ( failure ,a p]son committ+ a failure describ$ 9 p>agraph 7#a7 %all notify ! ,p5sion ,b5efit ,gu>anty ,corporation ( su* failure )9 #aj days ( ! due date = ! requir$ in/allm5t or o!r paym5t4 7,b7 ,p]iod ( li5 ,! li5 impos$ by p>agraph 7#a7 %all arise on ! due date = ! requir$ in/allm5t or o!r paym5t & %all cont9ue until ! la/ day ( ! fir/ plan ye> 9 :i* ! plan ceases to be describ$ 9 p>agraph 7#a77;,b74 ,su* li5 %all cont9ue to run )\t reg>d to :e!r su* plan cont9ues to be describ$ 9 p>agraph 7#b7 dur+ ! p]iod ref]r$ to 9 ! prec$+ s5t5ce4 7,c7 ,c]ta9 rules to ,apply ,any am\nt ) respect to :i* a li5 is impos$ "u p>agraph 7#a7 %all be treat$ z taxes due & ow+ ! ,unit$ ,/ates & rules simil> to ! rules ( subsections 7c71 7d71 & 7e7 ( section #djfh %all apply ) respect to a li5 impos$ by subsection 7a7 & ! am\nt ) respect to su* li54 7#e7 ,en=cem5t ,any li5 creat$ "u p>agraph 7#a7 may be p]fect$ & en=c$ only by ! ,p5sion ,b5efit ,gu>anty ,corporation1 or at ! direction ( ! ,p5sion ,b5efit ,gu>anty ,corporation1 by any contribut+ employ] 7or any memb] ( ! controll$ gr\p ( ! contribut+ employ]74 7#f7 ,def9itions ,= purposes ( ?is subsection-- 7,a7 ,due date2 requir$ in/allm5t ,! t]ms due date & requir$ in/allm5t h ! mean+s giv5 su* t]ms by subsection 7f71 except t 9 ! case ( a paym5t o!r ?an a requir$ in/allm5t1 ! due date %all be ! date su* paym5t is requir$ to be made "u ?is section4 7,b7 ,controll$ gr\p ,! t]m controll$ gr\p means any gr\p treat$ z a s+le employ] "u subsections 7b71 7c71 7m71 & 7o7 ( section #dad ( ! ,int]nal ,rev5ue ,code ( #aihf4 7h7 ,curr5t liability ,= purposes ( ?is section-- 7#a7 ,9 g5]al ,! t]m curr5t liability means all liabilities to employees & _! b5efici>ies "u ! plan4 7#b7 ,treatm5t ( unpr$ictable cont+5t ev5t b5efits 7,a7 ,9 g5]al ,= purposes ( p>agraph 7#a71 any unpr$ictable cont+5t ev5t b5efit %all n be tak5 into acc\nt until ! ev5t on :i* ! b5efit is cont+5t occurs4 7,b7 ,unpr$ictable cont+5t ev5t b5efit ,! t]m unpr$ictable cont+5t ev5t b5efit means any b5efit cont+5t on an ev5t o!r ?an-- 7i7 age1 s]vice1 comp5sation1 dea?1 or disability1 or 7ii7 an ev5t :i* is reasonably & reliably pr$ictable 7z det]m9$ by ! ,secret>y ( ! ,treasury74 7#c7 ,int]e/ rate & mortality assumptions us$ 7,a7 ,int]e/ rate ,! rate ( int]e/ us$ to det]m9e curr5t liability "u ?is section %all be ! ?ird segm5t rate det]m9$ "u section #cjc7;h77#b77;,c74 7,b7 ,mortality tables 7i7 ,secret>ial au?ority ,! ,secret>y ( ! ,treasury may by regulation prescribe mortality tables to be us$ 9 det]m9+ curr5t liability "u ?is subsection4 ,su* tables %all be bas$ ^u ! actual exp]i5ce ( p5sion plans & project$ tr5ds 9 su* exp]i5ce4 ,9 prescrib+ su* tables1 ! ,secret>y ( ! ,treasury %all take into acc\nt results ( available indep5d5t /udies ( mortality ( individuals cov]$ by p5sion plans4 7ii7 ,p]iodic review ,! ,secret>y ( ! ,treasury %all p]iodically 7at lea/ e #e ye>s7 review any tables 9 effect "u ?is subsection & %all1 to ! ext5t ! ,secret>y ( ! ,treasury det]m9es necess>y1 by regulation update ! tables to reflect ! actual exp]i5ce ( p5sion plans & project$ tr5ds 9 su* exp]i5ce4 7,c7 ,sep>ate mortality tables = ! disabl$ ,not)/&+ subp>agraph 7,b7-- 7i7 ,9 g5]al ,9 ! case ( plan ye>s beg9n+ aft] ,decemb] #ca1 #aiie1 ! ,secret>y ( ! ,treasury %all e/abli% mortality tables :i* may be us$ 79 lieu ( ! tables "u subp>agraph 7,b77 to det]m9e curr5t liability "u ?is subsection = individuals :o are entitl$ to b5efits "u ! plan on acc\nt ( disability4 ,! ,secret>y ( ! ,treasury %all e/abli% sep>ate tables = individuals ^: disabilities occur 9 plan ye>s beg9n+ be=e ,janu>y #a1 #aiie1 & = individuals ^: disabilities occur 9 plan ye>s beg9n+ on or aft] su* date4 7ii7 ,special rule = disabilities occurr+ aft] #aiid ,9 ! case ( disabilities occurr+ 9 plan ye>s beg9n+ aft] ,decemb] #ca1 #aiid1 ! tables "u clause 7i7 %all apply only ) respect to individuals describ$ 9 su* subclause :o are disabl$ )9 ! mean+ ( title ,,ii ( ! ,social ,security ,act & ! regulations !reund]4 7#d7 ,c]ta9 s]vice disreg>d$ 7,a7 ,9 g5]al ,9 ! case ( a p>ticipant to :om ?is p>agraph applies1 only ! applicable p]c5tage ( ! ye>s ( s]vice be=e su* individual became a p>ticipant %all be tak5 into acc\nt 9 comput+ ! curr5t liability ( ! plan4 7,b7 ,applicable p]c5tage ,= purposes ( ?is subp>agraph1 ! applicable p]c5tage %all be det]m9$ z foll[s3 ,if ! ye>s ( p>ticipation are3,! applicable p]c5tage is3#abjbdjcfjdhje or m#ajj4 7,c7 ,p>ticipants to :om p>agraph ,applies ,?is subp>agraph %all apply to any p>ticipant :o1 at ! "t ( becom+ a p>ticipant-- 7i7 has n accru$ any o!r b5efit "u any def9$ b5efit plan 7:e!r or n t]m9at$7 ma9ta9$ by ! employ] or a memb] ( ! same controll$ gr\p ( :i* ! employ] is a memb]1 7ii7 :o fir/ becomes a p>ticipant "u ! plan 9 a plan ye> beg9n+ aft] ,decemb] #ca1 #aihg1 & 7iii7 has ye>s ( s]vice great] ?an ! m9imum ye>s ( s]vice necess>y = eligibility to p>ticipate 9 ! plan4 7,d7 ,election ,an employ] may elect n to h ?is subp>agraph apply4 ,su* an election1 once made1 may be revok$ only ) ! cons5t ( ! ,secret>y ( ! ,treasury4 7i7 ,fund$ curr5t liability p]c5tage ,= purposes ( ?is section1 ! t]m fund$ curr5t liability p]c5tage means1 ) respect to any plan ye>1 ! p]c5tage :i*-- 7#a7 ! value ( ! plan's assets det]m9$ "u subsection 7c77#b71 is ( 7#b7 ! curr5t liability "u ! plan4 7j7 ,fund+ re/oration /atus ,not)/&+ any o!r provisions ( ?is section-- 7#a7 ,normal co/ paym5t 7,a7 ,9 g5]al ,9 ! case ( a ,,csec plan t is 9 fund+ re/oration /atus = a plan ye>1 = purposes ( section #cjb1 ! t]m accumulat$ fund+ defici5cy means1 = su* plan ye>1 ! great] (-- 7i7 ! am\nt describ$ 9 subsection 7a71 or 7ii7 ! excess ( ! normal co/ ( ! plan = ! plan ye> ov] ! am\nt actually contribut$ to or "u ! plan = ! plan ye>4 7,b7 ,normal co/ ,9 ! case ( a ,,csec plan t uses a spread ga9 fund+ me?od1 = purposes ( ?is subsection1 ! t]m normal co/ means normal co/ z det]m9$ "u ! entry age normal fund+ me?od4 7#b7 ,plan am5dm5ts ,9 ! case ( a ,,csec plan t is 9 fund+ re/oration /atus = a plan ye>1 no am5dm5t to su* plan may take effect dur+ su* plan ye> if su* am5dm5t has ! effect ( increas+ liabilities ( ! plan by means ( increases 9 b5efits1 e/abli%m5t ( new b5efits1 *ang+ ! rate ( b5efit accrual1 or *ang+ ! rate at :i* b5efits become non=feitable4 ,?is p>agraph %all n apply to any plan am5dm5t t is requir$ to comply ) any applicable law4 ,?is p>agraph %all cease to apply ) respect to any plan ye>1 effective z ( ! fir/ day ( ! plan ye> 7or if lat]1 ! effective date ( ! am5dm5t7 ^u paym5t by ! plan sponsor ( a contribution to ! plan 79 addition to any contribution requir$ "u ?is section )\t reg>d to ?is p>agraph7 9 an am\nt equal to ! increase 9 ! fund+ liability ( ! plan attributable to ! plan am5dm5t4 7#c7 ,fund+ re/oration plan ,! sponsor ( a ,,csec plan %all e/abli% a writt5 fund+ re/oration plan )9 #ahj days ( ! receipt by ! plan sponsor ( a c]tification f ! plan actu>y t ! plan is 9 fund+ re/oration /atus = a plan ye>4 ,su* fund+ re/oration plan %all consi/ ( actions t are calculat$1 bas$ on reasonably anticipat$ exp]i5ce & reasonable actu>ial assumptions1 to increase ! plan's fund$ p]c5tage to #ajj p]c5t ov] a p]iod t is n long] ?an ! great] ( #g ye>s or ! %orte/ am\nt ( "t practicable4 ,su* fund+ re/oration plan %all take into acc\nt contributions requir$ "u ?is section 7)\t reg>d to ?is p>agraph74 ,if a plan rema9s 9 fund+ re/oration /atus = #b or m ye>s1 su* fund+ re/oration plan %all be updat$ ea* ye> aft] ! #a/ su* ye> )9 #ahj days ( receipt by ! plan sponsor ( a c]tification f ! plan actu>y t ! plan rema9s 9 fund+ re/oration /atus = ! plan ye>4 7#d7 ,annual c]tification by plan actu>y ,n lat] ?an ! #ij? day ( ea* plan ye> ( a ,,csec plan1 ! plan actu>y %all c]tify to ! plan sponsor :e!r or n ! plan is 9 fund+ re/oration /atus = ! plan ye>1 bas$ on ! plan's fund$ p]c5tage z ( ! beg9n+ ( ! plan ye>4 ,= ?is purpose1 ! actu>y may conclusively rely on an e/imate (-- 7,a7 ! plan's fund+ liability1 bas$ on ! fund+ liability ( ! plan = ! prec$+ plan ye> & on reasonable actu>ial e/imates1 assumptions1 & me?ods1 & 7,b7 ! am\nt ( any contributions reasonably anticipat$ to be made = ! prec$+ plan ye>4 ,contributions describ$ 9 subp>agraph 7,b7 %all be tak5 into acc\nt 9 det]m9+ ! plan's fund$ p]c5tage z ( ! beg9n+ ( ! plan ye>4 7#e7 ,def9itions ,= purposes ( ?is subsection-- 7,a7 ,fund+ re/oration /atus ,a ,,csec plan %all be treat$ z 9 fund+ re/oration /atus = a plan ye> if ! plan's fund$ p]c5tage z ( ! beg9n+ ( su* plan ye> is less ?an #hj p]c5t4 7,b7 ,fund$ p]c5tage ,! t]m fund$ p]c5tage means ! ratio 7express$ z a p]c5tage7 :i*-- 7i7 ! value ( plan assets 7z det]m9$ "u subsection 7c77#b771 be>s to 7ii7 ! plan's fund+ liability4 7,c7 ,fund+ liability ,! t]m fund+ liability = a plan ye> means ! pres5t value ( all b5efits accru$ or e>n$ "u ! plan z ( ! beg9n+ ( ! plan ye>1 bas$ on ! assumptions us$ by ! plan pursuant to ?is section1 includ+ ! int]e/ rate describ$ 9 subsection 7b77#e77;,a7 7)\t reg>d to subsection 7b77#e77;,b774 7,d7 ,spread ga9 fund+ me?od ,! t]m spread ga9 fund+ me?od has ! mean+ giv5 su* t]m "u rules & =ms issu$ by ! ,secret>y ( ! ,treasury4 4 7b7 ,sep>ate rules = csec plans 7#a7 ,9 g5]al ,p>agraph 7#b7 ( section #cjb7;a7 ( ! ,employee ,retirem5t ,income ,security ,act ( #aigd 7#bi ,u4,s4,c4 #ajhb7;a77 is am5d$ by /rik+ & at ! end ( subp>agraph 7,b71 by /rik+ ! p]iod at ! end ( subp>agraph 7,c7 & ins]t+ 1 &1 & by ins]t+ at ! end !re( ! foll[+ new subp>agraph3 7,d7 9 ! case ( a ,,csec plan1 ! employ]s make contributions to or "u ! plan = any plan ye> :i*1 9 ! aggregate1 are suffici5t to ensure t ! plan does n h an accumulat$ fund+ defici5cy "u section #cjf z ( ! end ( ! plan ye>4 4 7#b7 ,con=m+ am5dm5ts ,section #cjb ( ! ,employee ,retirem5t ,income ,security ,act ( #aigd 7#bi ,u4,s4,c4 #ajhb7 is am5d$-- 7,a7 by /rik+ multiemploy] plan ! fir/ place x appe>s 9 clause 7i7 ( subsection 7c77#a77;,a7 & ! la/ place x appe>s 9 p>agraph 7#b7 ( subsection 7d71 & ins]t+ multiemploy] plan or a ,,csec plan1 7,b7 by /rik+ #cjc7;j7 9 p>agraph 7#a7 ( subsection 7b7 & ins]t+ #cjc7;j7 or "u section #cjf7;f71 7,c7 7i7 by /rik+ & at ! end ( clause 7i7 ( subsection 7c77#a77;,b71 7ii7 by /rik+ ! p]iod at ! end ( clause 7ii7 ( subsection 7c77#a77;,b71 & ins]t+ 1 &1 & 7iii7 by ins]t+ ! foll[+ new clause aft] clause 7ii7 ( subsection 7c77#a77;,b73 7iii7 9 ! case ( a ,,csec plan1 ! fund+ /&>d acc\nt %all be cr$it$ "u section #cjf7;b77#c77;,c7 ) ! am\nt ( ! waiv$ fund+ defici5cy & su* am\nt %all be amortiz$ z requir$ "u section #cjf7;b77#b77;,c74 1 7,d7 by /rik+ "u p>agraph 7#a7 9 clause 7i7 ( subsection 7c77#d77;,a7 & ins]t+ "u p>agraph 7#a7 or = grant+ an ext5sion "u section #cjf7;d71 7,e7 by /rik+ waiv] "u ?is subsection 9 subp>agraph 7,b7 ( subsection 7c77#d7 & ins]t+ waiv] "u ?is subsection or an ext5sion "u #cjf7;d71 7,f7 by /rik+ waiv] or modification 9 subclause 7,i7 ( subsection 7c77#d77;,b77i7 & ins]t+ waiv]1 modification1 or ext5sion1 7,g7 by /rik+ waiv]s 9 ! head+ ( subsection 7c77#d77;,c7 & ( clause 7ii7 ( subsection 7c77#d77;,c7 & ins]t+ waiv]s or ext5sions1 7,h7 by /rik+ section #cjd7;d7 9 subp>agraph 7,a7 ( subsection 7c77#g7 & 9 p>agraph 7#b7 ( subsection 7d7 & ins]t+ section #cjd7;d7 or section #cjf7;d71 7,i7 by /rik+ & at ! end ( subclause 7,i7 ( subsection 7c77#d77;,c77i7 & add+ or ! accumulat$ fund+ defici5cy "u section #cjf1 :i*ev] is applicable11 7,j7 by /rik+ #cjc7;e77#b71 9 subclause 7,,ii7 ( subsection 7c77#d77;,c77i7 & ins]t+ #cjc7;e77#b7 or #cjf7;b77#b77;,c71 :i*ev] is applicable1 &1 7,k7 by add+ imm$iately aft] subclause 7,,ii7 ( subsection 7c77#d77;,c77i7 ! foll[+ new subclause3 7,,iii7 ! total am\nts n paid by reason ( an ext5sion 9 effect "u section #cjf7;d71 1 7,l7 by /rik+ = waiv]s ( 9 clause 7ii7 ( subsection 7c77#d77;,c7 & ins]t+ = waiv]s or ext5sions ) respect to1 & 7,m7 by /rik+ s+le-employ] plan 9 subp>agraph 7,a7 ( subsection 7a77#b7 & 9 clause 7i7 ( subsection 7c77#a77;,b7 & ins]t+ s+le-employ] plan 7o!r ?an a ,,csec plan74 7#c7 ,b5efit re/rictions ,subsection 7g7 ( section #bjf ( ! ,employee ,retirem5t ,income ,security ,act ( #aigd 7#bi ,u4,s4,c4 #ajef7 is am5d$ by add+ at ! end !re( ! foll[+ new p>agraph3 7#ab7 ,,csec plans ,?is subsection %all n apply to a ,,csec plan 7z def9$ 9 section #baj7;f774 4 7#d7 ,b5efit increases ,p>agraph 7#c7 ( section #bjd7;i7 ( ! ,employee ,retirem5t ,income ,security ,act ( #aigd 7#bi ,u4,s4,c4 #ajed7;i77 is am5d$ by /rik+ multiemploy] plans & ins]t+ multiemploy] plans or ,,csec plans4 7#e7 ,section #ajc ,subp>agraph 7,b7 ( section #ajc7;d77#h7 ( ! ,employee ,retirem5t ,income ,security ,act ( #aigd 7#bi ,u4,s4,c4 #ajbc7;d77#h77 is am5d$ by /rik+ #cjc7;h7 & #cjd7;c77#c7 & ins]t+ #cjc7;h71 #cjd7;c77#c71 & #cjf7;c77#c74 7#f7 ,section #ejb ,subsection 7c7 ( section #ejb ( ! ,employee ,retirem5t ,income ,security ,act ( #aigd is am5d$-- 7,a7 by r$esignat+ ! la/ p>agraph z p>agraph 7#aa71 & 7,b7 by add+ at ! end ! foll[+ new p>agraph3 7#ab7 ,! ,secret>y may assess a civil p5alty aga9/ any sponsor ( a ,,csec plan ( up to #ajj a day f ! date ( ! plan sponsor's failure to comply ) ! requirem5ts ( section #cjf7;j77#c7 to e/abli% or update a fund+ re/oration plan4 4 7#g7 ,section #djjc ,subp>agraph 7,b7 ( section #djjc7;e77#a7 ( ! ,employee ,retirem5t ,income ,security ,act ( #aigd 7#bi ,u4,s4,c4 #acjc7;e77#a77 is am5d$ by /rik+ #cjc7k77#a77;,a7 & 7,b7 ( ?is ,act or section #dcj7k77#a77;,a7 & 7,b7 ( ! ,int]nal ,rev5ue ,code ( #aihf & ins]t+ #cjc7k77#a77;,a7 & 7,b7 or #cjf7;g77#a77;,a7 & 7,b7 ( ?is ,act or section #dcj7k77#a77;,a7 & 7,b7 or #dcc7;g77#a77;,a7 & 7,b7 ( ! ,int]nal ,rev5ue ,code ( #aihf4 7#h7 ,section #djaj ,p>agraph 7#b7 ( section #djaj7;b7 ( ! ,employee ,retirem5t ,income ,security ,act ( #aigd 7#bi ,u4,s4,c4 #acaj7;b77 is am5d$ by /rik+ #cjc7k77#a77;,a7 & 7,b7 ( ?is ,act or section #dcj7k77#a77;,a7 & 7,b7 ( ! ,int]nal ,rev5ue ,code ( #aihf & ins]t+ #cjc7k77#a77;,a7 & 7,b7 or #cjf7;g77#a77;,a7 & 7,b7 ( ?is ,act or section #dcj7k77#a77;,a7 & 7,b7 or #dcc7;g77#a77;,a7 & 7,b7 ( ! ,int]nal ,rev5ue ,code ( #aihf4 7#i7 ,section #djga ,section #djga ( ! ,employee ,retirem5t ,income ,security ,act ( #aigd 7#bi ,u4,s4,c4 #acga7 is am5d$ by /rik+ section #cjc7k77#d7 & ins]t+ section #cjc7k77#d7 or #cjf7;g77#d74 #ajc4 ,elections 7a7 ,election n ,to be treat$ z a ,,csec plan ,subsection 7f7 ( section #baj ( ! ,employee ,retirem5t ,income ,security ,act ( #aigd1 z add$ by section #aja1 is am5d$ by add+ at ! end ! foll[+ new p>agraph3 7#c7 ,election 7,a7 ,9 g5]al ,if a plan falls )9 ! def9ition ( a ,,csec plan "u ?is subsection 7)\t reg>d to ?is p>agraph71 su* plan %all be a ,,csec plan unless ! plan sponsor elects n lat] ?an ! close ( ! fir/ plan ye> ( ! plan beg9n+ aft] ,decemb] #ca1 #bjac1 n to be treat$ z a ,,csec plan4 ,an election "u ! prec$+ s5t5ce %all take effect = su* plan ye> &1 once made1 may be revok$ only ) ! cons5t ( ! ,secret>y ( ! ,treasury4 7,b7 ,special rule ,if a plan describ$ 9 subp>agraph 7,a7 is treat$ z a ,,csec plan1 section #ajd ( ! ,p5sion ,protection ,act ( #bjjf1 z am5d$ by ! ,pres]vation ( ,access to ,c>e = ,m$ic>e ,b5efici>ies & ,p5sion ,relief ,act ( #bjaj1 %all cease to apply to su* plan z ( ! fir/ date z ( :i* su* plan is treat$ z a ,,csec plan4 4 7b7 ,election ,to cease ,to be treat$ z an eligible *>ity plan ,subsection 7d7 ( section #ajd ( ! ,p5sion ,protection ,act ( #bjjf1 z add$ by section #bjb ( ! ,pres]vation ( ,access to ,c>e = ,m$ic>e ,b5efici>ies & ,p5sion ,relief ,act ( #bjaj1 is am5d$-- 7#a7 by /rik+ ,= purposes ( & ins]t+ 7#a7 ,9 g5]al4--,= purposes (1 & 7#b7 by add+ at ! end ! foll[+3 7#b7 ,election n to be an eligible *>ity plan ,a plan sponsor may elect = a plan to cease to be treat$ z an eligible *>ity plan = plan ye>s beg9n+ aft] ,decemb] #ca1 #bjac4 ,su* election %all be made at su* "t & 9 su* =m & mann] z %all be prescrib$ by ! ,secret>y ( ! ,treasury4 ,any su* election may be revok$ only ) ! cons5t ( ! ,secret>y ( ! ,treasury4 7#c7 ,election to use fund+ options available to o!r plan sponsors 7,a7 ,a plan sponsor t makes ! election describ$ 9 p>agraph 7#b7 may elect = a plan to apply ! rules describ$ 9 subp>agraphs 7,b71 7,c71 & 7,d7 = plan ye>s beg9n+ aft] ,decemb] #ca1 #bjac4 ,su* election %all be made at su* "t & 9 su* =m & mann] z %all be prescrib$ by ! ,secret>y ( ! ,treasury4 ,any su* election may be revok$ only ) ! cons5t ( ! ,secret>y ( ! ,treasury4 7,b7 ,"u ! rules describ$ 9 ?is subp>agraph1 = ! fir/ plan ye> beg9n+ aft] ,decemb] #ca1 #bjac1 a plan has-- 7i7 an #aa-ye> %ortfall amortization base1 7ii7 a #ab-ye> %ortfall amortization base1 & 7iii7 a #g-ye> %ortfall amortization base4 7,c7 ,"u ! rules describ$ 9 ?is subp>agraph1 section #cjc7;c77#b77;,a7 & 7,b7 ( ! ,employee ,retirem5t ,income ,security ,act ( #aigd1 & section #dcj7;c77#b77;,a7 & 7,b7 ( ! ,int]nal ,rev5ue ,code ( #aihf %all be appli$ by-- 7i7 9 ! case ( an #aa-ye> %ortfall amortization base1 sub/itut+ #aa-plan-ye> p]iod = #g-plan-ye> p]iod :]ev] su* phrase appe>s1 & 7ii7 9 ! case ( a #ab-ye> %ortfall amortization base1 sub/itut+ #ab-plan-ye> p]iod = #g-plan-ye> p]iod :]ev] su* phrase appe>s4 7,d7 ,"u ! rules describ$ 9 ?is subp>agraph1 section #cjc7;c77#g7 ( ! ,employee ,retirem5t ,income ,security ,act ( #aigd & section #dcj7;c77#g7 ( ! ,int]nal ,rev5ue ,code ( #aihf %all apply to a plan = :i* an election has be5 made "u subp>agraph 7,a74 ,su* provisions %all apply 9 ! foll[+ mann]3 7i7 ,! fir/ plan ye> beg9n+ aft] ,decemb] #ca1 #bjac1 %all be treat$ z an election ye>1 & no o!r plan ye>s %all be s treat$4 7ii7 ,all ref]5ces 9 section #cjc7;c77#g7 ( su* ,act & section #dcj7;c77#g7 ( su* ,code to ,febru>y #bh1 #bjaj or ,m>* #a1 #bjaj %all be treat$ z ref]5ces to ,febru>y #bh1 #bjac or ,m>* #a1 #bjac1 respectively4 7,e7 ,= purposes ( ?is p>agraph1 ! #aa-ye> amortization base is an am\nt1 det]m9$ = ! fir/ plan ye> beg9n+ aft] ,decemb] #ca1 #bjac1 equal to ! unamortiz$ pr9cipal am\nt ( ! %ortfall amortization base 7z def9$ 9 section #cjc7;c77#c7 ( ! ,employee ,retirem5t ,income ,security ,act ( #aigd & section #dcj7;c77#c7 ( ! ,int]nal ,rev5ue ,code ( #aihf7 t w\ld h appli$ to ! plan = ! fir/ plan beg9n+ aft] ,decemb] #ca1 #bjji1 if-- 7i7 ! plan _h nev] be5 an eligible *>ity plan1 7ii7 ! plan sponsor _h made ! election describ$ 9 section #cjc7;c77#b77;,d77i7 ( ! ,employee ,retirem5t ,income ,security ,act ( #aigd & 9 section #dcj7;c77#b77;,d77i7 ( ! ,int]nal ,rev5ue ,code ( #aihf to h section #cjc7;c77#b77;,d77i7 ( su* ,act & section #dcj7;c77#b77;,d77iii7 ( su* ,code apply ) respect to ! %ortfall amortization base = ! fir/ plan ye> beg9n+ aft] ,decemb] #ca1 #bjji1 & 7iii7 no ev5t _h occurr$ "u p>agraph 7#f7 or 7#g7 ( section #cjc7;c7 ( su* ,act or p>agraph 7#f7 or 7#g7 ( section #dcj7;c7 ( su* ,code t1 z ( ! fir/ day ( ! fir/ plan ye> beg9n+ aft] ,decemb] #ca1 #bjac1 w\ld h modifi$ ! %ortfall amortization base or ! %ortfall amortization in/allm5ts ) respect to ! fir/ plan ye> beg9n+ aft] ,decemb] #ca1 #bjji4 7,f7 ,= purposes ( ?is p>agraph1 ! #ab-ye> amortization base is an am\nt1 det]m9$ = ! fir/ plan ye> beg9n+ aft] ,decemb] #ca1 #bjac1 equal to ! unamortiz$ pr9cipal am\nt ( ! %ortfall amortization base 7z def9$ 9 section #cjc7;c77#c7 ( ! ,employee ,retirem5t ,income ,security ,act ( #aigd & section #dcj7;c77#c7 ( ! ,int]nal ,rev5ue ,code ( #aihf7 t w\ld h appli$ to ! plan = ! fir/ plan beg9n+ aft] ,decemb] #ca1 #bjaj1 if-- 7i7 ! plan _h nev] be5 an eligible *>ity plan1 7ii7 ! plan sponsor _h made ! election describ$ 9 section #cjc7;c77#b77;,d77i7 ( ! ,employee ,retirem5t ,income ,security ,act ( #aigd & 9 section #dcj7;c77#b77;,d77i7 ( ! ,int]nal ,rev5ue ,code ( #aihf to h section #cjc7;c77#b77;,d77i7 ( su* ,act & section #dcj7;c77#b77;,d77iii7 ( su* ,code apply ) respect to ! %ortfall amortization base = ! fir/ plan ye> beg9n+ aft] ,decemb] #ca1 #bjaj1 & 7iii7 no ev5t _h occurr$ "u p>agraph 7#f7 or 7#g7 ( section #cjc7;c7 ( su* ,act or p>agraph 7#f7 or 7#g7 ( section #dcj7;c7 ( su* ,code t1 z ( ! fir/ day ( ! fir/ plan ye> beg9n+ aft] ,decemb] #ca1 #bjac1 w\ld h modifi$ ! %ortfall amortization base or ! %ortfall amortization in/allm5ts ) respect to ! fir/ plan ye> beg9n+ aft] ,decemb] #ca1 #bjaj4 7,g7 ,= purposes ( ?is p>agraph1 ! #g-ye> %ortfall amortization base is an am\nt1 det]m9$ = ! fir/ plan ye> beg9n+ aft] ,decemb] #ca1 #bjac1 equal to-- 7i7 ! %ortfall amortization base = ! fir/ plan ye> beg9n+ aft] ,decemb] #ca1 #bjac1 )\t reg>d to ?is p>agraph1 m9us 7ii7 ! sum ( ! #aa-ye> %ortfall amortization base & ! #ab-ye> %ortfall amortization base4 7#d7 ,retroactive election ,n lat] ?an ,decemb] #ca1 #bjad1 a plan sponsor may make a "o-"t1 irrevocable1 retroactive election to n be treat$ z an eligible *>ity plan4 ,su* election %all be effective = plan ye>s beg9n+ aft] ,decemb] #ca1 #bjjg1 & %all be made by provid+ reasonable notice to ! ,secret>y ( ! ,treasury4 4 7c7 ,deem$ election ,= purposes ( ! ,int]nal ,rev5ue ,code ( #aihf1 sections #d7;b77#b7 & #djba7;b77#c7 ( ! ,employee ,retirem5t ,income ,security ,act ( #aigd1 & all o!r purposes1 a plan %all be deem$ to h made an irrevocable election "u section #daj7;d7 ( ! ,int]nal ,rev5ue ,code ( #aihf if-- 7#a7 ! plan 0 e/abli%$ be=e ,janu>y #a1 #bjad2 7#b7 ! plan falls )9 ! def9ition ( a ,,csec plan2 7#c7 ! plan sponsor does n make an election "u section #baj7;f77#c77;,a7 ( ! ,employee ,retirem5t ,income ,security ,act ( #aigd & section #dad7y77#c77;,a7 ( ! ,int]nal ,rev5ue ,code ( #aihf1 z add$ by ?is ,act2 & 7#d7 ! plan1 plan sponsor1 adm9i/rator1 or fiduci>y remits "o or m premium paym5ts = ! plan to ! ,p5sion ,b5efit ,gu>anty ,corporation = a plan ye> beg9n+ aft] ,decemb] #ca1 #bjac4 7d7 ,effective date ,! am5dm5ts made by ?is section %all apply z ( ! date ( enactm5t ( ?is ,act4 #ajd4 ,transp>5cy 7a7 ,notice to p>ticipants 7#a7 ,9 g5]al ,p>agraph 7#b7 ( section #aja7;f7 ( ! ,employee ,retirem5t ,income ,security ,act ( #aigd 7#bi ,u4,s4,c4 #ajba7;f77 is am5d$ by add+ at ! end ! foll[+ new subp>agraph3 7,e7 ,effect ( csec plan rules on plan fund+ ,9 ! case ( a ,,csec plan1 ea* notice "u p>agraph 7#a7 %all include-- 7i7 a /atem5t t diff]5t rules apply to ,,csec plans ?an apply to s+le-employ] plans1 7ii7 = ! fir/ #b plan ye>s beg9n+ aft] ,decemb] #ca1 #bjac1 a /atem5t t1 z a result ( *anges 9 ! law made by ! ,coop]ative & ,small ,employ] ,*>ity ,p5sion ,flexibility ,act1 ! contributions to ! plan may h *ang$1 & 7iii7 9 ! case ( a ,,csec plan t is 9 fund+ re/oration /atus = ! plan ye>1 a /atem5t t ! plan is 9 fund+ re/oration /atus = su* plan ye>4 ,a copy ( ! /atem5t requir$ "u clause 7iii7 %all be provid$ to ! ,secret>y1 ! ,secret>y ( ! ,treasury1 & ! ,director ( ! ,p5sion ,b5efit ,gu>anty ,corporation4 4 7#b7 ,model notice ,! ,secret>y ( ,labor may modify ! model notice requir$ to be publi%$ "u section #eja7;c7 ( ! ,p5sion ,protection ,act ( #bjjf to include ! in=mation describ$ 9 section #aja7;f77#b77;,e7 ( ! ,employee ,retirem5t ,income ,security ,act ( #aigd1 z add$ by ?is subsection4 7b7 ,notice ( failure ,to meet m9imum fund+ /&>ds 7#a7 ,p5d+ waiv]s ,p>agraph 7#b7 ( section #aja7;d7 ( ! ,employee ,retirem5t ,income ,security ,act ( #aigd 7#bi ,u4,s4,c4 #ajba7;d77 is am5d$ by /rik+ #cjc & ins]t+ #cjc or #cjf4 7#b7 ,def9itions ,p>agraph 7#c7 ( section #aja7;d7 ( ! ,employee ,retirem5t ,income ,security ,act ( #aigd 7#ba ,u4,s4,c4 #ajba7;d77 is am5d$ by /rik+ #cjc7;j7 & ins]t+ #cjc7;j7 or #cjf7;f71 :i*ev] is applicable4 7c7 ,additional report+ requirem5ts ,section #ajc ( ! ,employee ,retirem5t ,income ,security ,act ( #aigd 7#bi ,u4,s4,c4 #ajbc7 is am5d$ by add+ at ! end ! foll[+ new subsection3 7g7 ,additional in=mation ) respect to multiple employ] plans ,) respect to any multiple employ] plan1 an annual report "u ?is section = a plan ye> %all include a li/ ( p>ticipat+ employ]s & a good fai? e/imate ( ! p]c5tage ( total contributions made by su* p>ticipat+ employ]s dur+ ! plan ye>4 4 #aje4 ,sponsor education & assi/ance 7a7 ,def9ition ,9 ?is section1 ! t]m ,,csec plan has ! mean+ giv5 t t]m 9 subsection 7f77#a7 ( section #baj ( ! ,employee ,retirem5t ,income ,security ,act ( #aigd 7#bi ,u4,s4,c4 #ajfj7;f77#a77 7z add$ by ?is ,act74 7b7 ,education ,! ,p>ticipant & ,plan ,sponsor ,advocate e/abli%$ "u section #djjd ( ! ,employee ,retirem5t ,income ,security ,act ( #aigd 7#bi ,u4,s4,c4 #acjd7 %all make itself available to assi/ ,,csec plan sponsors & p>ticipants z "p ( ! duties x p]=ms "u ! g5]al sup]vision ( ! ,bo>d ( ,directors "u section #djjd7;b7 ( su* ,act 7#bi ,u4,s4,c4 #acjd7;b774 ,,ii ,am5dm5ts to ,int]nal ,rev5ue ,code ( #aihf #bja4 ,def9ition ( coop]ative & small employ] *>ity p5sion plans ,section #dad ( ! ,int]nal ,rev5ue ,code ( #aihf is am5d$ by add+ at ! end ! foll[+ new subsection3 7y7 ,coop]ative & small employ] *>ity p5sion plans 7#a7 ,9 g5]al ,= purposes ( ?is title1 except z provid$ 9 ?is subsection1 a ,,csec plan is a def9$ b5efit plan 7o!r ?an a multiemploy] plan7-- 7,a7 to :i* section #ajd ( ! ,p5sion ,protection ,act ( #bjjf applies1 )\t reg>d to-- 7i7 section #ajd7;a77#b7 ( su* ,act2 7ii7 ! am5dm5ts to su* section #ajd by section #bjb7;b7 ( ! ,pres]vation ( ,access to ,c>e = ,m$ic>e ,b5efici>ies & ,p5sion ,relief ,act ( #bjaj2 & 7iii7 p>agraph 7#c77;,b72 or 7,b7 t1 z ( ,june #be1 #bjaj1 0 ma9ta9$ by m ?an "o employ] & all ( ! employ]s 7 organizations describ$ 9 section #eja7;c77#c74 7#b7 ,aggregation ,all employ]s t are treat$ z a s+le employ] "u subsection 7b7 or 7c7 %all be treat$ z a s+le employ] = purposes ( det]m9+ if a plan 0 ma9ta9$ by m ?an "o employ] "u p>agraph 7#a77;,b74 4 #bjb4 ,fund+ rules applicable to coop]ative & small employ] *>ity p5sion plans 7a7 ,9 g5]al ,subp>t ,a ( "p ,,iii ( sub*apt] ,d ( *apt] #a ( subtitle ,a ( ! ,int]nal ,rev5ue ,code ( #aihf is am5d$ by add+ at ! end ! foll[+ new section3 #dcc4 ,m9imum fund+ /&>ds 7a7 ,g5]al rule ,= purposes ( section #dab1 ! t]m accumulat$ fund+ defici5cy = a ,,csec plan means ! excess ( ! total *>ges to ! fund+ /&>d acc\nt = all plan ye>s 7beg9n+ ) ! fir/ plan ye> to :i* section #dab applies7 ov] ! total cr$its to su* acc\nt = su* ye>s or1 if less1 ! excess ( ! total *>ges to ! alt]native m9imum fund+ /&>d acc\nt = su* plan ye>s ov] ! total cr$its to su* acc\nt = su* ye>s4 7b7 ,fund+ /&>d acc\nt 7#a7 ,acc\nt requir$ ,ea* plan to :i* ?is section applies %all e/abli% & ma9ta9 a fund+ /&>d acc\nt4 ,su* acc\nt %all be cr$it$ & *>g$ solely z provid$ 9 ?is section4 7#b7 ,*>ges to acc\nt ,= a plan ye>1 ! fund+ /&>d acc\nt %all be *>g$ ) ! sum (-- 7,a7 ! normal co/ ( ! plan = ! plan ye>1 7,b7 ! am\nts necess>y to amortize 9 equal annual in/allm5ts 7until fully amortiz$7-- 7i7 9 ! case ( a plan 9 exi/5ce on ,janu>y #a1 #aigd1 ! unfund$ pa/ s]vice liability "u ! plan on ! fir/ day ( ! fir/ plan ye> to :i* section #dab applies1 ov] a p]iod ( #dj plan ye>s1 7ii7 9 ! case ( a plan :i* comes into exi/5ce aft] ,janu>y #a1 #aigd1 b be=e ! fir/ day ( ! fir/ plan ye> beg9n+ aft] ,decemb] #ca1 #bjac1 ! unfund$ pa/ s]vice liability "u ! plan on ! fir/ day ( ! fir/ plan ye> to :i* section #dab applies1 ov] a p]iod ( #cj plan ye>s1 7iii7 sep>ately1 ) respect to ea* plan ye>1 ! net increase 7if any7 9 unfund$ pa/ s]vice liability "u ! plan aris+ f plan am5dm5ts adopt$ 9 su* ye>1 ov] a p]iod ( #ae plan ye>s1 7iv7 sep>ately1 ) respect to ea* plan ye>1 ! net exp]i5ce loss 7if any7 "u ! plan1 ov] a p]iod ( #e plan ye>s1 & 7v7 sep>ately1 ) respect to ea* plan ye>1 ! net loss 7if any7 result+ f *anges 9 actu>ial assumptions us$ "u ! plan1 ov] a p]iod ( #aj plan ye>s1 7,c7 ! am\nt necess>y to amortize ea* waiv$ fund+ defici5cy 7)9 ! mean+ ( section #dab7;c77#c77 = ea* prior plan ye> 9 equal annual in/allm5ts 7until fully amortiz$7 ov] a p]iod ( #e plan ye>s1 7,d7 ! am\nt necess>y to amortize 9 equal annual in/allm5ts 7until fully amortiz$7 ov] a p]iod ( #e plan ye>s any am\nt cr$it$ to ! fund+ /&>d acc\nt "u p>agraph 7#c77;,d71 & 7,e7 ! am\nt necess>y to amortize 9 equal annual in/allm5ts 7until fully amortiz$7 ov] a p]iod ( #bj ye>s ! contributions :i* w\ld be requir$ to be made "u ! plan b = ! provisions ( section #dab7;c77#g77;,a77i77,i7 7z 9 effect on ! day be=e ! enactm5t ( ! ,p5sion ,protection ,act ( #bjjf74 7#c7 ,cr$its to acc\nt ,= a plan ye>1 ! fund+ /&>d acc\nt %all be cr$it$ ) ! sum (-- 7,a7 ! am\nt consid]$ contribut$ by ! employ] to or "u ! plan = ! plan ye>1 7,b7 ! am\nt necess>y to amortize 9 equal annual in/allm5ts 7until fully amortiz$7-- 7i7 sep>ately1 ) respect to ea* plan ye>1 ! net decrease 7if any7 9 unfund$ pa/ s]vice liability "u ! plan aris+ f plan am5dm5ts adopt$ 9 su* ye>1 ov] a p]iod ( #ae plan ye>s1 7ii7 sep>ately1 ) respect to ea* plan ye>1 ! net exp]i5ce ga9 7if any7 "u ! plan1 ov] a p]iod ( #e plan ye>s1 & 7iii7 sep>ately1 ) respect to ea* plan ye>1 ! net ga9 7if any7 result+ f *anges 9 actu>ial assumptions us$ "u ! plan1 ov] a p]iod ( #aj plan ye>s1 7,c7 ! am\nt ( ! waiv$ fund+ defici5cy 7)9 ! mean+ ( section #dab7;c77#c77 = ! plan ye>1 & 7,d7 9 ! case ( a plan ye> = :i* ! accumulat$ fund+ defici5cy is det]m9$ "u ! fund+ /&>d acc\nt if su* plan ye> foll[s a plan ye> = :i* su* defici5cy 0 det]m9$ "u ! alt]native m9imum fund+ /&>d1 ! excess 7if any7 ( any debit balance 9 ! fund+ /&>d acc\nt 7det]m9$ )\t reg>d to ?is subp>agraph7 ov] any debit balance 9 ! alt]native m9imum fund+ /&>d acc\nt4 7#d7 ,comb9+ & (fsett+ am\nts to be amortiz$ ,"u regulations prescrib$ by ! ,secret>y1 am\nts requir$ to be amortiz$ "u p>agraph 7#b7 or p>agraph 7#c71 z ! case may be-- 7,a7 may be comb9$ into "o am\nt "u su* p>agraph to be amortiz$ ov] a p]iod det]m9$ on ! basis ( ! rema9+ amortization p]iod = all items ent]+ into su* comb9$ am\nt1 & 7,b7 may be (fset aga9/ am\nts requir$ to be amortiz$ "u ! o!r su* p>agraph1 ) ! result+ am\nt to be amortiz$ ov] a p]iod det]m9$ on ! basis ( ! rema9+ amortization p]iods = all items ent]+ into :i*ev] ( ! two am\nts be+ (fset is ! great]4 7#e7 ,int]e/ 7,a7 ,9 g5]al ,except z provid$ 9 subp>agraph 7,b71 ! fund+ /&>d acc\nt 7& items !re97 %all be *>g$ or cr$it$ 7z det]m9$ "u regulations prescrib$ by ! ,secret>y7 ) int]e/ at ! appropriate rate consi/5t ) ! rate or rates ( int]e/ us$ "u ! plan to det]m9e co/s4 7,b7 ,exception ,! int]e/ rate us$ = purposes ( comput+ ! amortization *>ge describ$ 9 subsection 7b77#b77;,c7 or = purposes ( any arrangem5t "u subsection 7d7 = any plan ye> %all be ! great] (-- 7i7 #aej p]c5t ( ! ,f$]al mid-t]m rate 7z 9 effect "u section #abgd = ! #a/ mon? ( su* plan ye>71 or 7ii7 ! rate ( int]e/ det]m9$ "u subp>agraph 7,a74 7#f7 ,amortization s*$ules 9 effect ,amortization s*$ules = am\nts describ$ 9 p>agraphs 7#b7 & 7#c7 t are 9 effect z ( ! la/ day ( ! la/ plan ye> beg9n+ be=e ,janu>y #a1 #bjad1 by reason ( section #ajd ( ! ,p5sion ,protection ,act ( #bjjf %all rema9 9 effect pursuant to _! t]ms & ?is section1 except t su* am\nts %all n be amortiz$ aga9 "u ?is section4 7c7 ,special rules 7#a7 ,det]m9ations to be made "u fund+ me?od ,= purposes ( ?is section1 normal co/s1 accru$ liability1 pa/ s]vice liabilities1 & exp]i5ce ga9s & losses %all be det]m9$ "u ! fund+ me?od us$ to det]m9e co/s "u ! plan4 7#b7 ,valuation ( assets 7,a7 ,9 g5]al ,= purposes ( ?is section1 ! value ( ! plan's assets %all be det]m9$ on ! basis ( any reasonable actu>ial me?od ( valuation :i* takes into acc\nt fair m>ket value & :i* is p]mitt$ "u regulations prescrib$ by ! ,secret>y4 7,b7 ,d$icat$ bond portfolio ,! ,secret>y may by regulations provide t ! value ( any d$icat$ bond portfolio ( a plan %all be det]m9$ by us+ ! int]e/ rate "u section #dab7;b77#e7 7z 9 effect on ! day be=e ! enactm5t ( ! ,p5sion ,protection ,act ( #bjjf74 7#c7 ,actu>ial assumptions mu/ be reasonable ,= purposes ( ?is section1 all co/s1 liabilities1 rates ( int]e/1 & o!r factors "u ! plan %all be det]m9$ on ! basis ( actu>ial assumptions & me?ods-- 7,a7 ea* ( :i* is reasonable 7tak+ into acc\nt ! exp]i5ce ( ! plan & reasonable expectations71 & 7,b7 :i*1 9 comb9ation1 (f] ! actu>y's be/ e/imate ( anticipat$ exp]i5ce "u ! plan4 7#d7 ,treatm5t ( c]ta9 *anges z exp]i5ce ga9 or loss ,= purposes ( ?is section1 if-- 7,a7 a *ange 9 b5efits "u ! ,social ,security ,act or 9 o!r retirem5t b5efits creat$ "u ,f$]al or ,/ate law1 or 7,b7 a *ange 9 ! def9ition ( ! t]m wages "u section #caba or a *ange 9 ! am\nt ( su* wages tak5 into acc\nt "u regulations prescrib$ = purposes ( section #dja7;a77#e71 results 9 an increase or decrease 9 accru$ liability "u a plan1 su* increase or decrease %all be treat$ z an exp]i5ce loss or ga94 7#e7 ,fund+ me?od & plan ye> 7,a7 ,fund+ me?ods available ,all fund+ me?ods available to ,,csec plans "u section #dab 7z 9 effect on ! day be=e ! enactm5t ( ! ,p5sion ,protection ,act ( #bjjf7 %all cont9ue to be available "u ?is section4 7,b7 ,*anges ,if ! fund+ me?od = a plan is *ang$1 ! new fund+ me?od %all become ! fund+ me?od us$ to det]m9e co/s & liabilities "u ! plan only if ! *ange is approv$ by ! ,secret>y4 ,if ! plan ye> = a plan is *ang$1 ! new plan ye> %all become ! plan ye> = ! plan only if ! *ange is approv$ by ! ,secret>y4 7,c7 ,approval requir$ = c]ta9 *anges 9 assumptions by c]ta9 s+le-employ] plans subject to additional fund+ requirem5t 7i7 ,9 g5]al ,no actu>ial assumption 7o!r ?an ! assumptions describ$ 9 subsection 7h77#c77 us$ to det]m9e ! curr5t liability = a plan to :i* ?is subp>agraph applies may be *ang$ )\t ! approval ( ! ,secret>y4 7ii7 ,plans to :i* subp>agraph applies ,?is subp>agraph %all apply to a plan only if-- 7,i7 ! plan is a ,,csec plan1 7,,ii7 ! aggregate unfund$ ve/$ b5efits z ( ! close ( ! prec$+ plan ye> 7z det]m9$ "u section #djjf7;a77#c77;,e77iii7 ( ! ,employee ,retirem5t ,income ,security ,act ( #aigd7 ( su* plan & all o!r plans ma9ta9$ by ! contribut+ sponsors 7z def9$ 9 section #djja7;a77#ac7 ( su* ,act7 & memb]s ( su* sponsors' controll$ gr\ps 7z def9$ 9 section #djja7;a77#ad7 ( su* ,act7 :i* are cov]$ by title ,,iv 7disreg>d+ plans ) no unfund$ ve/$ b5efits7 exce$ #ej1jjj1jjj1 & 7,,iii7 ! *ange 9 assumptions 7det]m9$ aft] tak+ into acc\nt any *anges 9 int]e/ rate & mortality table7 results 9 a decrease 9 ! fund+ %ortfall ( ! plan = ! curr5t plan ye> t exce$s #ej1jjj1jjj1 or t exce$s #e1jjj1jjj & t is #e p]c5t or m ( ! curr5t liability ( ! plan be=e su* *ange4 7#f7 ,full fund+ ,if1 z ( ! close ( a plan ye>1 a plan w\ld 7)\t reg>d to ?is p>agraph7 h an accumulat$ fund+ defici5cy 7det]m9$ )\t reg>d to ! alt]native m9imum fund+ /&>d acc\nt p]mitt$ "u subsection 7e77 9 excess ( ! full fund+ limitation-- 7,a7 ! fund+ /&>d acc\nt %all be cr$it$ ) ! am\nt ( su* excess1 & 7,b7 all am\nts describ$ 9 p>agraphs 7#b77;,b71 7,c71 & 7,d7 & 7#c77;,b7 ( subsection 7b7 :i* are requir$ to be amortiz$ %all be consid]$ fully amortiz$ = purposes ( su* p>agraphs4 7#g7 ,full-fund+ limitation ,= purposes ( p>agraph 7#f71 ! t]m full-fund+ limitation means ! excess 7if any7 (-- 7,a7 ! accru$ liability 7includ+ normal co/7 "u ! plan 7det]m9$ "u ! entry age normal fund+ me?od if su* accru$ liability _c be directly calculat$ "u ! fund+ me?od us$ = ! plan71 ov] 7,b7 ! less] (-- 7i7 ! fair m>ket value ( ! plan's assets1 or 7ii7 ! value ( su* assets det]m9$ "u p>agraph 7#b74 7,c7 ,m9imum am\nt 7i7 ,9 g5]al ,9 no ev5t %all ! full-fund+ limitation det]m9$ "u subp>agraph 7,a7 be less ?an ! excess 7if any7 (-- 7,i7 #ij p]c5t ( ! curr5t liability 7det]m9$ )\t reg>d to p>agraph 7#d7 ( subsection 7h77 ( ! plan 7includ+ ! expect$ increase 9 su* curr5t liability due to b5efits accru+ dur+ ! plan ye>71 ov] 7,,ii7 ! value ( ! plan's assets det]m9$ "u p>agraph 7#b74 7ii7 ,assets ,= purposes ( clause 7i71 assets %all n be r$uc$ by any cr$it balance 9 ! fund+ /&>d acc\nt4 7#h7 ,annual valuation 7,a7 ,9 g5]al ,= purposes ( ?is section1 a det]m9ation ( exp]i5ce ga9s & losses & a valuation ( ! plan's liability %all be made n less frequ5tly ?an once e ye>1 except t su* det]m9ation %all be made m frequ5tly to ! ext5t requir$ 9 p>ticul> cases "u regulations prescrib$ by ! ,secret>y4 7,b7 ,valuation date 7i7 ,curr5t ye> ,except z provid$ 9 clause 7ii71 ! valuation ref]r$ to 9 subp>agraph 7,a7 %all be made z ( a date )9 ! plan ye> to :i* ! valuation ref]s or )9 "o mon? prior to ! beg9n+ ( su* ye>4 7ii7 ,use ( prior ye> valuation ,! valuation ref]r$ to 9 subp>agraph 7,a7 may be made z ( a date )9 ! plan ye> prior to ! ye> to :i* ! valuation ref]s if1 z ( su* date1 ! value ( ! assets ( ! plan are n less ?an #ajj p]c5t ( ! plan's curr5t liability4 7iii7 ,adju/m5ts ,in=mation "u clause 7ii7 %all1 9 accordance ) regulations1 be actu>ially adju/$ to reflect significant diff]5ces 9 p>ticipants4 7iv7 ,limitation ,a *ange 9 fund+ me?od to use a prior ye> valuation1 z provid$ 9 clause 7ii71 may n be made unless z ( ! valuation date )9 ! prior plan ye>1 ! value ( ! assets ( ! plan are n less ?an #abe p]c5t ( ! plan's curr5t liability4 7#i7 ,"t :5 c]ta9 contributions deem$ made ,= purposes ( ?is section1 any contributions = a plan ye> made by an employ] dur+ ! p]iod-- 7,a7 beg9n+ on ! day aft] ! la/ day ( su* plan ye>1 & 7,b7 end+ on ! day :i* is #h mon?s aft] ! close ( ! plan ye>1 %all be deem$ to h be5 made on su* la/ day4 7#aj7 ,anticipation ( b5efit increases effective 9 ! future ,9 det]m9+ project$ b5efits1 ! fund+ me?od ( a collectively b>ga9$ ,,csec plan describ$ 9 section #dac7;a7 %all anticipate b5efit increases s*$ul$ to take effect dur+ ! t]m ( ! collective b>ga9+ agreem5t applicable to ! plan4 7d7 ,ext5sion ( amortization p]iods ,! p]iod ( ye>s requir$ to amortize any unfund$ liability 7describ$ 9 any clause ( subsection 7b77#b77;,b77 ( any plan may be ext5d$ by ! ,secret>y = a p]iod ( "t 7n 9 excess ( #aj ye>s7 if ! ,secret>y det]m9es t su* ext5sion w\ld c>ry out ! purposes ( ! ,employee ,retirem5t ,income ,security ,act ( #aigd & provide adequate protection = p>ticipants "u ! plan & _! b5efici>ies1 & if ! ,secret>y det]m9es t ! failure to p]mit su* ext5sion w\ld result 9-- 7#a7 a sub/antial risk to ! volunt>y cont9uation ( ! plan1 or 7#b7 a sub/antial curtailm5t ( p5sion b5efit levels or employee comp5sation4 7e7 ,alt]native m9imum fund+ /&>d 7#a7 ,9 g5]al ,a ,,csec plan :i* uses a fund+ me?od t requires contributions 9 all ye>s n less ?an ^? requir$ "u ! entry age normal fund+ me?od may ma9ta9 an alt]native m9imum fund+ /&>d acc\nt = any plan ye>4 ,su* acc\nt %all be cr$it$ & *>g$ solely z provid$ 9 ?is subsection4 7#b7 ,*>ges & cr$its to acc\nt ,= a plan ye> ! alt]native m9imum fund+ /&>d acc\nt %all be-- 7,a7 *>g$ ) ! sum (-- 7i7 ! less] ( normal co/ "u ! fund+ me?od us$ "u ! plan or normal co/ det]m9$ "u ! unit cr$it me?od1 7ii7 ! excess1 if any1 ( ! pres5t value ( accru$ b5efits "u ! plan ov] ! fair m>ket value ( ! assets1 & 7iii7 an am\nt equal to ! excess 7if any7 ( cr$its to ! alt]native m9imum /&>d acc\nt = all prior plan ye>s ov] *>ges to su* acc\nt = all su* ye>s1 & 7,b7 cr$it$ ) ! am\nt consid]$ contribut$ by ! employ] to or "u ! plan = ! plan ye>4 7#c7 ,int]e/ ,! alt]native m9imum fund+ /&>d acc\nt 7& items !re97 %all be *>g$ or cr$it$ ) int]e/ 9 ! mann] provid$ "u subsection 7b77#e7 ) respect to ! fund+ /&>d acc\nt4 7f7 ,qu>t]ly contributions requir$ 7#a7 ,9 g5]al ,if a ,,csec plan :i* has a fund$ curr5t liability p]c5tage = ! prec$+ plan ye> ( less ?an #ajj p]c5t fails to pay ! full am\nt ( a requir$ in/allm5t = ! plan ye>1 !n ! rate ( int]e/ *>g$ to ! fund+ /&>d acc\nt "u subsection 7b77#e7 ) respect to ! am\nt ( ! und]paym5t = ! p]iod ( ! und]paym5t %all be equal to ! great] (-- 7,a7 #age p]c5t ( ! ,f$]al mid-t]m rate 7z 9 effect "u section #abgd = ! #a/ mon? ( su* plan ye>71 or 7,b7 ! rate ( int]e/ us$ "u ! plan 9 det]m9+ co/s4 7#b7 ,am\nt ( und]paym5t1 p]iod ( und]paym5t ,= purposes ( p>agraph 7#a7-- 7,a7 ,am\nt ,! am\nt ( ! und]paym5t %all be ! excess (-- 7i7 ! requir$ in/allm5t1 ov] 7ii7 ! am\nt 7if any7 ( ! in/allm5t contribut$ to or "u ! plan on or be=e ! due date = ! in/allm5t4 7,b7 ,p]iod ( und]paym5t ,! p]iod = :i* int]e/ is *>g$ "u ?is subsection ) reg>d to any portion ( ! und]paym5t %all run f ! due date = ! in/allm5t to ! date on :i* su* portion is contribut$ to or "u ! plan 7det]m9$ )\t reg>d to subsection 7c77#i774 7,c7 ,ord] ( cr$it+ contributions ,= purposes ( subp>agraph 7,a77ii71 contributions %all be cr$it$ aga9/ unpaid requir$ in/allm5ts 9 ! ord] 9 :i* su* in/allm5ts are requir$ to be paid4 7#c7 ,numb] ( requir$ in/allm5ts2 due dates ,= purposes ( ?is subsection-- 7,a7 ,payable 9 #d in/allm5ts ,!re %all be #d requir$ in/allm5ts = ea* plan ye>4 7,b7 ,"t = paym5t ( in/allm5ts ,9 ! case ( ! foll[+ requir$ in/allm5ts3,! due date is3#ast,april #ae #bnd,july #ae #crd,october #ae #dth,january #ae ( ! foll[+ ye>4 7#d7 ,am\nt ( requir$ in/allm5t ,= purposes ( ?is subsection-- 7,a7 ,9 g5]al ,! am\nt ( any requir$ in/allm5t %all be #be p]c5t ( ! requir$ annual paym5t4 7,b7 ,requir$ annual paym5t ,= purposes ( subp>agraph 7,a71 ! t]m requir$ annual paym5t means ! less] (-- 7i7 #ij p]c5t ( ! am\nt requir$ to be contribut$ to or "u ! plan by ! employ] = ! plan ye> "u section #dab 7)\t reg>d to any waiv] "u subsection 7c7 !re(71 or 7ii7 #ajj p]c5t ( ! am\nt s requir$ = ! prec$+ plan ye>4 ,clause 7ii7 %all n apply if ! prec$+ plan ye> 0 n a ye> ( #ab mon?s4 7#e7 ,liquidity requirem5t 7,a7 ,9 g5]al ,a plan to :i* ?is p>agraph applies %all be treat$ z fail+ to pay ! full am\nt ( any requir$ in/allm5t to ! ext5t t ! value ( ! liquid assets paid 9 su* in/allm5t is less ?an ! liquidity %ortfall 7:e!r or n su* liquidity %ortfall exce$s ! am\nt ( su* in/allm5t requir$ to be paid b = ?is p>agraph74 7,b7 ,plans to :i* p>agraph ,applies ,?is p>agraph %all apply to a ,,csec plan o!r ?an a plan describ$ 9 section #dab7l77#f77;,a7 7z 9 effect on ! day be=e ! enactm5t ( ! ,p5sion ,protection ,act ( #bjjf7 :i*-- 7i7 is requir$ to pay in/allm5ts "u ?is subsection = a plan ye>1 & 7ii7 has a liquidity %ortfall = any qu>t] dur+ su* plan ye>4 7,c7 ,p]iod ( und]paym5t ,= purposes ( p>agraph 7#a71 any portion ( an in/allm5t t is treat$ z n paid "u subp>agraph 7,a7 %all cont9ue to be treat$ z unpaid until ! close ( ! qu>t] 9 :i* ! due date = su* in/allm5t occurs4 7,d7 ,limitation on increase ,if ! am\nt ( any requir$ in/allm5t is increas$ by reason ( subp>agraph 7,a71 9 no ev5t %all su* increase exce$ ! am\nt :i*1 :5 add$ to prior in/allm5ts = ! plan ye>1 is necess>y to increase ! fund$ curr5t liability p]c5tage 7tak+ into acc\nt ! expect$ increase 9 curr5t liability due to b5efits accru+ dur+ ! plan ye>7 to #ajj p]c5t4 7,e7 ,def9itions ,= purposes ( ?is p>agraph-- 7i7 ,liquidity %ortfall ,! t]m liquidity %ortfall means1 ) respect to any requir$ in/allm5t1 an am\nt equal to ! excess 7z ( ! la/ day ( ! qu>t] = :i* su* in/allm5t is made7 ( ! base am\nt ) respect to su* qu>t] ov] ! value 7z ( su* la/ day7 ( ! plan's liquid assets4 7ii7 ,base am\nt 7,i7 ,9 g5]al ,! t]m base am\nt means1 ) respect to any qu>t]1 an am\nt equal to #c times ! sum ( ! adju/$ disbursem5ts f ! plan = ! #ab mon?s end+ on ! la/ day ( su* qu>t]4 7,,ii7 ,special rule ,if ! am\nt det]m9$ "u subclause 7,i7 exce$s an am\nt equal to #b times ! sum ( ! adju/$ disbursem5ts f ! plan = ! #cf mon?s end+ on ! la/ day ( ! qu>t] & an enroll$ actu>y c]tifies to ! satisfaction ( ! ,secret>y t su* excess is ! result ( nonrecurr+ circum/ances1 ! base am\nt ) respect to su* qu>t] %all be det]m9$ )\t reg>d to am\nts relat$ to ^? nonrecurr+ circum/ances4 7iii7 ,disbursem5ts f ! plan ,! t]m disbursem5ts f ! plan means all disbursem5ts f ! tru/1 includ+ pur*ases ( annuities1 paym5ts ( s+le sums & o!r b5efits1 & adm9i/rative exp5ses4 7iv7 ,adju/$ disbursem5ts ,! t]m adju/$ disbursem5ts means disbursem5ts f ! plan r$uc$ by ! product (-- 7,i7 ! plan's fund$ curr5t liability p]c5tage = ! plan ye>1 & 7,,ii7 ! sum ( ! pur*ases ( annuities1 paym5ts ( s+le sums1 & su* o!r disbursem5ts z ! ,secret>y %all provide 9 regulations4 7v7 ,liquid assets ,! t]m liquid assets means ca%1 m>ketable securities & su* o!r assets z specifi$ by ! ,secret>y 9 regulations4 7vi7 ,qu>t] ,! t]m qu>t] means1 ) respect to any requir$ in/allm5t1 ! #c-mon? p]iod prec$+ ! mon? 9 :i* ! due date = su* in/allm5t occurs4 7,f7 ,regulations ,! ,secret>y may prescribe su* regulations z are necess>y to c>ry out ?is p>agraph4 7#f7 ,fiscal ye>s & %ort ye>s 7,a7 ,fiscal ye>s ,9 apply+ ?is subsection to a plan ye> beg9n+ on any date o!r ?an ,janu>y #a1 !re %all be sub/itut$ = ! mon?s specifi$ 9 ?is subsection1 ! mon?s :i* correspond !reto4 7,b7 ,%ort plan ye> ,?is subsection %all be appli$ to plan ye>s ( less ?an #ab mon?s 9 accordance ) regulations prescrib$ by ! ,secret>y4 7g7 ,imposition ( li5 :]e failure ,to make requir$ contributions 7#a7 ,9 g5]al ,9 ! case ( a plan to :i* ?is section applies1 if-- 7,a7 any p]son fails to make a requir$ in/allm5t "u subsection 7f7 or any o!r paym5t requir$ "u ?is section be=e ! due date = su* in/allm5t or o!r paym5t1 & 7,b7 ! unpaid balance ( su* in/allm5t or o!r paym5t 7includ+ int]e/71 :5 add$ to ! aggregate unpaid balance ( all prec$+ su* in/allm5ts or o!r paym5ts = :i* paym5t 0 n made be=e ! due date 7includ+ int]e/71 exce$s #a1jjj1jjj1 !n !re %all be a li5 9 favor ( ! plan 9 ! am\nt det]m9$ "u p>agraph 7#c7 ^u all prop]ty & rights to prop]ty1 :e!r real or p]sonal1 belong+ to su* p]son & any o!r p]son :o is a memb] ( ! same controll$ gr\p ( :i* su* p]son is a memb]4 7#b7 ,plans to :i* subsection ,applies ,?is subsection %all apply to a ,,csec plan = any plan ye> = :i* ! fund$ curr5t liability p]c5tage ( su* plan is less ?an #ajj p]c5t4 ,?is subsection %all n apply to any plan to :i* section #djba ( ! ,employee ,retirem5t ,income ,security ,act ( #aigd does n apply 7z su* section is 9 effect on ! date ( ! enactm5t ( ! ,retirem5t ,protection ,act ( #aiid74 7#c7 ,am\nt ( li5 ,= purposes ( p>agraph 7#a71 ! am\nt ( ! li5 %all be equal to ! aggregate unpaid balance ( requir$ in/allm5ts & o!r paym5ts requir$ "u ?is section 7includ+ int]e/7-- 7,a7 = plan ye>s beg9n+ aft] #aihg1 & 7,b7 = :i* paym5t has n be5 made be=e ! due date4 7#d7 ,notice ( failure2 li5 7,a7 ,notice ( failure ,a p]son committ+ a failure describ$ 9 p>agraph 7#a7 %all notify ! ,p5sion ,b5efit ,gu>anty ,corporation ( su* failure )9 #aj days ( ! due date = ! requir$ in/allm5t or o!r paym5t4 7,b7 ,p]iod ( li5 ,! li5 impos$ by p>agraph 7#a7 %all arise on ! due date = ! requir$ in/allm5t or o!r paym5t & %all cont9ue until ! la/ day ( ! fir/ plan ye> 9 :i* ! plan ceases to be describ$ 9 p>agraph 7#a77;,b74 ,su* li5 %all cont9ue to run )\t reg>d to :e!r su* plan cont9ues to be describ$ 9 p>agraph 7#b7 dur+ ! p]iod ref]r$ to 9 ! prec$+ s5t5ce4 7,c7 ,c]ta9 rules to ,apply ,any am\nt ) respect to :i* a li5 is impos$ "u p>agraph 7#a7 %all be treat$ z taxes due & ow+ ! ,unit$ ,/ates & rules simil> to ! rules ( subsections 7c71 7d71 & 7e7 ( section #djfh ( ! ,employee ,retirem5t ,income ,security ,act ( #aigd %all apply ) respect to a li5 impos$ by subsection 7a7 & ! am\nt ) respect to su* li54 7#e7 ,en=cem5t ,any li5 creat$ "u p>agraph 7#a7 may be p]fect$ & en=c$ only by ! ,p5sion ,b5efit ,gu>anty ,corporation1 or at ! direction ( ! ,p5sion ,b5efit ,gu>anty ,corporation1 by any contribut+ employ] 7or any memb] ( ! controll$ gr\p ( ! contribut+ employ]74 7#f7 ,def9itions ,= purposes ( ?is subsection-- 7,a7 ,due date2 requir$ in/allm5t ,! t]ms due date & requir$ in/allm5t h ! mean+s giv5 su* t]ms by subsection 7f71 except t 9 ! case ( a paym5t o!r ?an a requir$ in/allm5t1 ! due date %all be ! date su* paym5t is requir$ to be made "u ?is section4 7,b7 ,controll$ gr\p ,! t]m controll$ gr\p means any gr\p treat$ z a s+le employ] "u subsections 7b71 7c71 7m71 & 7o7 ( section #dad4 7h7 ,curr5t liability ,= purposes ( ?is section-- 7#a7 ,9 g5]al ,! t]m curr5t liability means all liabilities to employees & _! b5efici>ies "u ! plan4 7#b7 ,treatm5t ( unpr$ictable cont+5t ev5t b5efits 7,a7 ,9 g5]al ,= purposes ( p>agraph 7#a71 any unpr$ictable cont+5t ev5t b5efit %all n be tak5 into acc\nt until ! ev5t on :i* ! b5efit is cont+5t occurs4 7,b7 ,unpr$ictable cont+5t ev5t b5efit ,! t]m unpr$ictable cont+5t ev5t b5efit means any b5efit cont+5t on an ev5t o!r ?an-- 7i7 age1 s]vice1 comp5sation1 dea?1 or disability1 or 7ii7 an ev5t :i* is reasonably & reliably pr$ictable 7z det]m9$ by ! ,secret>y74 7#c7 ,int]e/ rate & mortality assumptions us$ 7,a7 ,int]e/ rate ,! rate ( int]e/ us$ to det]m9e curr5t liability "u ?is section %all be ! ?ird segm5t rate det]m9$ "u section #dcj7;h77#b77;,c74 7,b7 ,mortality tables 7i7 ,secret>ial au?ority ,! ,secret>y may by regulation prescribe mortality tables to be us$ 9 det]m9+ curr5t liability "u ?is subsection4 ,su* tables %all be bas$ ^u ! actual exp]i5ce ( p5sion plans & project$ tr5ds 9 su* exp]i5ce4 ,9 prescrib+ su* tables1 ! ,secret>y %all take into acc\nt results ( available indep5d5t /udies ( mortality ( individuals cov]$ by p5sion plans4 7ii7 ,p]iodic review ,! ,secret>y %all p]iodically 7at lea/ e #e ye>s7 review any tables 9 effect "u ?is subsection & %all1 to ! ext5t ! ,secret>y det]m9es necess>y1 by regulation update ! tables to reflect ! actual exp]i5ce ( p5sion plans & project$ tr5ds 9 su* exp]i5ce4 7,c7 ,sep>ate mortality tables = ! disabl$ ,not)/&+ subp>agraph 7,b7-- 7i7 ,9 g5]al ,9 ! case ( plan ye>s beg9n+ aft] ,decemb] #ca1 #aiie1 ! ,secret>y %all e/abli% mortality tables :i* may be us$ 79 lieu ( ! tables "u subp>agraph 7,b77 to det]m9e curr5t liability "u ?is subsection = individuals :o are entitl$ to b5efits "u ! plan on acc\nt ( disability4 ,! ,secret>y %all e/abli% sep>ate tables = individuals ^: disabilities occur 9 plan ye>s beg9n+ be=e ,janu>y #a1 #aiie1 & = individuals ^: disabilities occur 9 plan ye>s beg9n+ on or aft] su* date4 7ii7 ,special rule = disabilities occurr+ aft] #aiid ,9 ! case ( disabilities occurr+ 9 plan ye>s beg9n+ aft] ,decemb] #ca1 #aiid1 ! tables "u clause 7i7 %all apply only ) respect to individuals describ$ 9 su* subclause :o are disabl$ )9 ! mean+ ( title ,,ii ( ! ,social ,security ,act & ! regulations !reund]4 7#d7 ,c]ta9 s]vice disreg>d$ 7,a7 ,9 g5]al ,9 ! case ( a p>ticipant to :om ?is p>agraph applies1 only ! applicable p]c5tage ( ! ye>s ( s]vice be=e su* individual became a p>ticipant %all be tak5 into acc\nt 9 comput+ ! curr5t liability ( ! plan4 7,b7 ,applicable p]c5tage ,= purposes ( ?is subp>agraph1 ! applicable p]c5tage %all be det]m9$ z foll[s3 ,if ! ye>s ( p>ticipation are3,! applicable p]c5tage is3#abjbdjcfjdhje or m#ajj4 7,c7 ,p>ticipants to :om p>agraph ,applies ,?is subp>agraph %all apply to any p>ticipant :o1 at ! "t ( becom+ a p>ticipant-- 7i7 has n accru$ any o!r b5efit "u any def9$ b5efit plan 7:e!r or n t]m9at$7 ma9ta9$ by ! employ] or a memb] ( ! same controll$ gr\p ( :i* ! employ] is a memb]1 7ii7 :o fir/ becomes a p>ticipant "u ! plan 9 a plan ye> beg9n+ aft] ,decemb] #ca1 #aihg1 & 7iii7 has ye>s ( s]vice great] ?an ! m9imum ye>s ( s]vice necess>y = eligibility to p>ticipate 9 ! plan4 7,d7 ,election ,an employ] may elect n to h ?is subp>agraph apply4 ,su* an election1 once made1 may be revok$ only ) ! cons5t ( ! ,secret>y4 7i7 ,fund$ curr5t liability p]c5tage ,= purposes ( ?is section1 ! t]m fund$ curr5t liability p]c5tage means1 ) respect to any plan ye>1 ! p]c5tage :i*-- 7#a7 ! value ( ! plan's assets det]m9$ "u subsection 7c77#b71 is ( 7#b7 ! curr5t liability "u ! plan4 7j7 ,fund+ re/oration /atus ,not)/&+ any o!r provisions ( ?is section-- 7#a7 ,normal co/ paym5t 7,a7 ,9 g5]al ,9 ! case ( a ,,csec plan t is 9 fund+ re/oration /atus = a plan ye>1 = purposes ( section #dab1 ! t]m accumulat$ fund+ defici5cy means1 = su* plan ye>1 ! great] (-- 7i7 ! am\nt describ$ 9 subsection 7a71 or 7ii7 ! excess ( ! normal co/ ( ! plan = ! plan ye> ov] ! am\nt actually contribut$ to or "u ! plan = ! plan ye>4 7,b7 ,normal co/ ,9 ! case ( a ,,csec plan t uses a spread ga9 fund+ me?od1 = purposes ( ?is subsection1 ! t]m normal co/ means normal co/ z det]m9$ "u ! entry age normal fund+ me?od4 7#b7 ,plan am5dm5ts ,9 ! case ( a ,,csec plan t is 9 fund+ re/oration /atus = a plan ye>1 no am5dm5t to su* plan may take effect dur+ su* plan ye> if su* am5dm5t has ! effect ( increas+ liabilities ( ! plan by means ( increases 9 b5efits1 e/abli%m5t ( new b5efits1 *ang+ ! rate ( b5efit accrual1 or *ang+ ! rate at :i* b5efits become non=feitable4 ,?is p>agraph %all n apply to any plan am5dm5t t is requir$ to comply ) any applicable law4 ,?is p>agraph %all cease to apply ) respect to any plan ye>1 effective z ( ! fir/ day ( ! plan ye> 7or if lat]1 ! effective date ( ! am5dm5t7 ^u paym5t by ! plan sponsor ( a contribution to ! plan 79 addition to any contribution requir$ "u ?is section )\t reg>d to ?is p>agraph7 9 an am\nt equal to ! increase 9 ! fund+ liability ( ! plan attributable to ! plan am5dm5t4 7#c7 ,fund+ re/oration plan ,! sponsor ( a ,,csec plan %all e/abli% a writt5 fund+ re/oration plan )9 #ahj days ( ! receipt by ! plan sponsor ( a c]tification f ! plan actu>y t ! plan is 9 fund+ re/oration /atus = a plan ye>4 ,su* fund+ re/oration plan %all consi/ ( actions t are calculat$1 bas$ on reasonably anticipat$ exp]i5ce & reasonable actu>ial assumptions1 to increase ! plan's fund$ p]c5tage to #ajj p]c5t ov] a p]iod t is n long] ?an ! great] ( #g ye>s or ! %orte/ am\nt ( "t practicable4 ,su* fund+ re/oration plan %all take into acc\nt contributions requir$ "u ?is section 7)\t reg>d to ?is p>agraph74 ,if a plan rema9s 9 fund+ re/oration /atus = #b or m ye>s1 su* fund+ re/oration plan %all be updat$ ea* ye> aft] ! #a/ su* ye> )9 #ahj days ( receipt by ! plan sponsor ( a c]tification f ! plan actu>y t ! plan rema9s 9 fund+ re/oration /atus = ! plan ye>4 7#d7 ,annual c]tification by plan actu>y ,n lat] ?an ! #ij? day ( ea* plan ye> ( a ,,csec plan1 ! plan actu>y %all c]tify to ! plan sponsor :e!r or n ! plan is 9 fund+ re/oration /atus = ! plan ye>1 bas$ on ! plan's fund$ p]c5tage z ( ! beg9n+ ( ! plan ye>4 ,= ?is purpose1 ! actu>y may conclusively rely on an e/imate (-- 7,a7 ! plan's fund+ liability1 bas$ on ! fund+ liability ( ! plan = ! prec$+ plan ye> & on reasonable actu>ial e/imates1 assumptions1 & me?ods1 & 7,b7 ! am\nt ( any contributions reasonably anticipat$ to be made = ! prec$+ plan ye>4 ,contributions describ$ 9 subp>agraph 7,b7 %all be tak5 into acc\nt 9 det]m9+ ! plan's fund$ p]c5tage z ( ! beg9n+ ( ! plan ye>4 7#e7 ,def9itions ,= purposes ( ?is subsection-- 7,a7 ,fund+ re/oration /atus ,a ,,csec plan %all be treat$ z 9 fund+ re/oration /atus = a plan ye> if ! plan's fund$ p]c5tage z ( ! beg9n+ ( su* plan ye> is less ?an #hj p]c5t4 7,b7 ,fund$ p]c5tage ,! t]m fund$ p]c5tage means ! ratio 7express$ z a p]c5tage7 :i*-- 7i7 ! value ( plan assets 7z det]m9$ "u subsection 7c77#b771 be>s to 7ii7 ! plan's fund+ liability4 7,c7 ,fund+ liability ,! t]m fund+ liability = a plan ye> means ! pres5t value ( all b5efits accru$ or e>n$ "u ! plan z ( ! beg9n+ ( ! plan ye>1 bas$ on ! assumptions us$ by ! plan pursuant to ?is section1 includ+ ! int]e/ rate describ$ 9 subsection 7b77#e77;,a7 7)\t reg>d to subsection 7b77#e77;,b774 7,d7 ,spread ga9 fund+ me?od ,! t]m spread ga9 fund+ me?od has ! mean+ giv5 su* t]m "u rules & =ms issu$ by ! ,secret>y4 7,e7 ,plan sponsor ,! t]m plan sponsor means1 ) respect to a ,,csec plan1 ! association1 committee1 jo9t bo>d ( tru/ees1 or o!r simil> gr\p ( repres5tatives ( ! p>ties :o e/abli% or ma9ta9 ! plan4 4 7b7 ,,csec plans ,section #dac ( ! ,int]nal ,rev5ue ,code ( #aihf is am5d$ by add+ at ! end ! foll[+ new subsection3 7d7 ,,csec plans ,not)/&+ any o!r provision ( ?is section1 9 ! case ( a ,,csec plan-- 7#a7 ,fund+ ,! requirem5ts ( section #dab %all be det]m9$ z if all p>ticipants 9 ! plan 7 employ$ by a s+le employ]4 7#b7 ,application ( provisions ,p>agraphs 7#a71 7#b71 7#c71 & 7#e7 ( subsection 7c7 %all apply4 7#c7 ,d$uction limitations ,ea* applicable limitation provid$ by section #djd7;a7 %all be det]m9$ z if all p>ticipants 9 ! plan 7 employ$ by a s+le employ]4 ,! am\nts contribut$ to or "u ! plan by ea* employ] :o ma9ta9s ! plan 7= ! portion ( ! taxable ye> includ$ )9 a plan ye>7 %all be consid]$ n to exce$ su* applicable limitation if ! anticipat$ employ] contributions = su* plan ye> ( all employ]s 7det]m9$ 9 a reasonable mann] n inconsi/5t ) regulations prescrib$ by ! ,secret>y7 d n exce$ su* limitation4 ,if su* anticipat$ contributions exce$ su* limitation1 ! portion ( ea* su* employ]'s contributions :i* is n d$uctible "u section #djd %all be det]m9$ 9 accordance ) regulations prescrib$ by ! ,secret>y4 7#d7 ,allocations ,allocations ( am\nts "u p>agraph 7#c7 & subsection 7c77#e7 among ! employ]s ma9ta9+ ! plan %all n be inconsi/5t ) ! regulations prescrib$ = ?is purpose by ! ,secret>y4 4 7c7 ,sep>ate rules = csec plans 7#a7 ,9 g5]al ,p>agraph 7#b7 ( section #dab7;a7 ( ! ,int]nal ,rev5ue ,code ( #aihf is am5d$ by /rik+ & at ! end ( subp>agraph 7,b71 by /rik+ ! p]iod at ! end ( subp>agraph 7,c7 & ins]t+ 1 &1 & by ins]t+ at ! end !re( ! foll[+ new subp>agraph3 7,d7 9 ! case ( a ,,csec plan1 ! employ]s make contributions to or "u ! plan = any plan ye> :i*1 9 ! aggregate1 are suffici5t to ensure t ! plan does n h an accumulat$ fund+ defici5cy "u section #dcc z ( ! end ( ! plan ye>4 4 7#b7 ,con=m+ am5dm5ts ,section #dab ( su* ,code is am5d$-- 7,a7 by /rik+ multiemploy] plan 9 p>agraph 7,a7 ( subsection 7a77#b71 9 clause 7i7 ( subsection 7c77#a77;,b71 ! fir/ place x appe>s 9 clause 7i7 ( subsection 7c77#a77;,a71 & ! la/ place x appe>s 9 p>agraph 7#b7 ( subsection 7d71 & ins]t+ multiemploy] plan or a ,,csec plan1 7,b7 by /rik+ #dcj7;j7 9 p>agraph 7#a7 ( subsection 7b7 & ins]t+ #dcj7;j7 or "u section #dcc7;f71 7,c7 7i7 by /rik+ & at ! end ( clause 7i7 ( subsection 7c77#a77;,b71 7ii7 by /rik+ ! p]iod at ! end ( clause 7ii7 ( subsection 7c77#a77;,b7 & ins]t+ 1 &1 & 7iii7 by ins]t+ ! foll[+ new clause aft] clause 7ii7 ( subsection 7c77#a77;,b73 7iii7 9 ! case ( a ,,csec plan1 ! fund+ /&>d acc\nt %all be cr$it$ "u section #dcc7;b77#c77;,c7 ) ! am\nt ( ! waiv$ fund+ defici5cy & su* am\nt %all be amortiz$ z requir$ "u section #dcc7;b77#b77;,c74 1 7,d7 by /rik+ "u p>agraph 7#a7 9 clause 7i7 ( subsection 7c77#d77;,a7 & ins]t+ "u p>agraph 7#a7 or = grant+ an ext5sion "u section #dcc7;d71 7,e7 by /rik+ waiv] "u ?is subsection 9 subp>agraph 7,b7 ( subsection 7c77#d7 & ins]t+ waiv] "u ?is subsection or an ext5sion "u #dcc7;d71 7,f7 by /rik+ waiv] or modification 9 subclause 7,i7 ( subsection 7c77#d77;,b77i7 & ins]t+ waiv]1 modification1 or ext5sion1 7,g7 by /rik+ waiv]s 9 ! head+ ( subsection 7c77#d77;,c7 & ( clause 7ii7 ( subsection 7c77#d77;,c7 & ins]t+ waiv]s or ext5sions1 7,h7 by /rik+ section #dca7;d7 9 subp>agraph 7,a7 ( subsection 7c77#g7 & 9 p>agraph 7#b7 ( subsection 7d7 & ins]t+ section #dca7;d7 or section #dcc7;d71 7,i7 by /rik+ & at ! end ( subclause 7,i7 ( subsection 7c77#d77;,c77i7 & ins]t+ or ! accumulat$ fund+ defici5cy "u section #dcc1 :i*ev] is applicable11 7,j7 by /rik+ #dcj7;e77#b71 9 subclause 7,,ii7 ( subsection 7c77#d77;,c77i7 & ins]t+ #dcj7;e77#b7 or #dcc7;b77#b77;,c71 :i*ev] is applicable1 &1 7,k7 by add+ imm$iately aft] subclause 7,,ii7 ( subsection 7c77#d77;,c77i7 ! foll[+ new subclause3 7,,iii7 ! total am\nts n paid by reason ( an ext5sion 9 effect "u section #dcc7;d71 1 & 7,l7 by /rik+ = waiv]s ( 9 clause 7ii7 ( subsection 7c77#d77;,c7 & ins]t+ = waiv]s or ext5sions ) respect to4 7#c7 ,b5efit re/rictions 7,a7 ,9 g5]al ,p>agraph 7#bi7 ( section #dja7;a7 ( su* ,code is am5d$ by /rik+ multiemploy] plan & ins]t+ multiemploy] plan or a ,,csec plan4 7,b7 ,con=m+ *ange ,subsection 7a7 ( section #dcf ( su* ,code is am5d$ by /rik+ s+le-employ] plan & ins]t+ s+le-employ] plan 7o!r ?an a ,,csec plan74 7#d7 ,b5efit increases ,subp>agraph 7,c7 ( section #dja7;a77#cc7 ( su* ,code is am5d$ by /rik+ multiemploy] plans & ins]t+ multiemploy] plans or ,,csec plans4 7#e7 ,liquidity %ortfalls 7,a7 ,9 g5]al ,subp>agraph 7,a7 ( section #dja7;a77#cb7 ( su* ,code is am5d$ by /rik+ #dcj7;j77#d7 ea* place x appe>s & ins]t+ #dcj7;j77#d7 or #dcc7;f77#e74 7,b7 ,p]iod ( %ortfall ,subp>agraph 7,c7 ( section #dja7;a77#cb7 ( su* ,code is am5d$ by /rik+ #dcj7;j77#c7 by reason ( section #dcj7;j77#d77;,a7 !re( & ins]t+ #dcj7;j77#c7 or #dcc7;f7 by reason ( section #dcj7;j77#d77;,a7 or #dcc7;f77#e71 respectively4 7#f7 ,d$uction limits ,subsection 7o7 ( section #djd ( su* ,code is am5d$ by add+ at ! end ! foll[+ new p>agraph3 7#h7 ,,csec plans ,solely = purposes ( ?is subsection1 a ,,csec plan %all be treat$ z ?\gh section #dcj appli$ to su* plan & ! m9imum requir$ contribution = any plan ye> %all be ! am\nt describ$ 9 section #dab7;a77#b77;,d74 4 7#g7 ,section #dbj ,p>agraph 7#e7 ( section #dbj7;e7 ( su* ,code is am5d$ by /rik+ section #dcj ea* place x appe>s & ins]t+ sections #dcj & #dcc4 7#h7 ,coord9ation ) section #diga 7,a7 ,subsection 7a7 ( section #diga ( su* ,code is am5d$ by /rik+ & at ! end ( p>agraph 7#a71 by /rik+ ! p]iod at ! end ( p>agraph 7#b7 & ins]t+ 1 &1 & by add+ at ! end !re( ! foll[+ new p>agraph3 7#c7 9 ! case ( a ,,csec plan1 #aj p]c5t ( ! ,,csec accumulat$ fund+ defici5cy z ( ! end ( ! plan ye> end+ ) or )9 ! taxable ye>4 4 7,b7 ,subsection 7b7 ( section #diga ( su* ,code is am5d$-- 7i7 by /rik+ or at ! end ( p>agraph 7#a71 by add+ or at ! end ( p>agraph 7#b71 & by ins]t+ imm$iately aft] p>agraph 7#b7 ! foll[+ new p>agraph3 7#c7 a tax is impos$ "u subsection 7a77#c7 on any ,,csec accumulat$ fund+ defici5cy & ! ,,csec accumulat$ fund+ defici5cy is n correct$ )9 ! taxable p]iod1 1 & 7ii7 by /rik+ m9imum requir$ contributions or accumulat$ fund+ defici5cy & ins]t+ m9imum requir$ contribution1 accumulat$ fund+ defici5cy1 or ,,csec accumulat$ fund+ defici5cy4 7,c7 ,subsection 7c7 ( section #diga ( su* ,code is am5d$-- 7i7 by /rik+ accumulat$ fund+ defici5cy ea* place x appe>s 9 p>agraph 7#b7 & ins]t+ accumulat$ fund+ defici5cy or ,,csec accumulat$ fund+ defici5cy1 7ii7 by /rik+ accumulat$ fund+ defici5cy or unpaid m9imum requir$ contribution ea* place x appe>s 9 p>agraph 7#c7 & ins]t+ accumulat$ fund+ defici5cy1 ,,csec accumulat$ fund+ defici5cy1 or unpaid m9imum requir$ contribution1 & 7iii7 by add+ at ! end ! foll[+ new p>agraph3 7#e7 ,,csec accumulat$ fund+ defici5cy ,! t]m ,,csec accumulat$ fund+ defici5cy means ! accumulat$ fund+ defici5cy det]m9$ "u section #dcc4 4 7,d7 ,p>agraph 7#a7 ( section #diga7;d7 ( su* ,code is am5d$ by /rik+ accumulat$ fund+ defici5cy or unpaid m9imum requir$ contribution & ins]t+ accumulat$ fund+ defici5cy1 ,,csec accumulat$ fund+ defici5cy1 or unpaid m9imum requir$ contribution4 7,e7 ,subsection 7f7 ( section #diga ( su* ,code is am5d$-- 7i7 by /rik+ #dcj7;j77#d7 9 p>agraph 7#a7 & ins]t+ #dcj7;j77#d7 or #dcc7;f71 7ii7 by /rik+ #dcj7;j7 9 p>agraph 7#a77;,b7 & ins]t+ #dcj7;j7 or #dcc7;f71 :i*ev] is applicable1 & 7iii7 by /rik+ #dab7m77#e7 9 p>agraph 7#c77;,a7 & ins]t+ #dcj7;j7 or #dcc7;f71 :i*ev] is applicable4 7#i7 ,excise tax on failure to adopt fund+ re/oration plan ,section #diga ( su* ,code is am5d$ by r$esignat+ subsection 7h7 z subsection 7i71 & by ins]t+ aft] subsection 7g7 ! foll[+ new subsection3 7h7 ,failure ( a ,,csec plan sponsor ,to adopt fund+ re/oration plan 7#a7 ,9 g5]al ,9 ! case ( a ,,csec plan t is 9 fund+ re/oration /atus 7)9 ! mean+ ( section #dcc7;j77#e77;,a771 !re is h]eby impos$ a tax on ! failure ( su* plan to adopt a fund+ re/oration plan )9 ! "t prescrib$ "u section #dcc7;j77#c74 7#b7 ,am\nt ( tax ,! am\nt ( ! tax impos$ "u p>agraph 7#a7 ) respect to any plan sponsor = any taxable ye> %all be ! am\nt equal to #ajj multipli$ by ! numb] ( days dur+ ! taxable ye> :i* are includ$ 9 ! p]iod beg9n+ on ! day foll[+ ! close ( ! #ahj-;day p]iod describ$ 9 section #dcc7;j77#c7 & end+ on ! day on :i* ! fund+ re/oration plan is adopt$4 7#c7 ,waiv] by ,secret>y ,9 ! case ( a failure describ$ 9 p>agraph 7#a7 :i* ! ,secret>y det]m9es is due to reasonable cause & n to willful neglect1 ! ,secret>y may waive a portion or all ( ! tax impos$ by su* p>agraph4 7#d7 ,liability = tax ,! tax impos$ by p>agraph 7#a7 %all be paid by ! plan sponsor 7)9 ! mean+ ( section #dcc7;j77#e77;,e774 4 7#aj7 ,report+ 7,a7 ,9 g5]al ,p>agraph 7#b7 ( section #fjei7;b7 ( su* ,code is am5d$ by /rik+ #dcj1 & ins]t+ #dcj1 ! accumulat$ fund+ defici5cy "u section #dcc14 7,b7 ,assumptions ,subp>agraph 7,b7 ( section #fjei7;b77#c7 ( su* ,code is am5d$ by /rik+ #dcj7;h77#a7 or #dca7;c77#c7 & ins]t+ #dcj7;h77#a71 #dca7;c77#c71 or #dcc7;c77#c74 #bjc4 ,election n to be treat$ z a ,,csec plan 7a7 ,9 g5]al ,section #dad7y7 ( ! ,int]nal ,rev5ue ,code ( #aihf1 z add$ by section #bja1 is am5d$ by add+ at ! end ! foll[+ new p>agraph3 7#c7 ,election 7,a7 ,9 g5]al ,if a plan falls )9 ! def9ition ( a ,,csec plan "u ?is subsection 7)\t reg>d to ?is p>agraph71 su* plan %all be a ,,csec plan unless ! plan sponsor elects n lat] ?an ! close ( ! fir/ plan ye> ( ! plan beg9n+ aft] ,decemb] #ca1 #bjac1 n to be treat$ z a ,,csec plan4 ,an election "u ! prec$+ s5t5ce %all take effect = su* plan ye> &1 once made1 may be revok$ only ) ! cons5t ( ! ,secret>y4 7,b7 ,special rule ,if a plan describ$ 9 subp>agraph 7,a7 is treat$ z a ,,csec plan1 section #ajd ( ! ,p5sion ,protection ,act ( #bjjf1 z am5d$ by ! ,pres]vation ( ,access to ,c>e = ,m$ic>e ,b5efici>ies & ,p5sion ,relief ,act ( #bjaj1 %all cease to apply to su* plan z ( ! fir/ date z ( :i* su* plan is treat$ z a ,,csec plan4 4 7b7 ,effective date ,! am5dm5t made by ?is section %all apply z ( ! date ( enactm5t ( ?is ,act4 ,pass$ ! ,s5ate ,janu>y #bh1 #bjad4,secret>y