,i  #aae? ,,congress  #a/ ,session  ,h4 
,r4 #ceif  ,,9 ,,! ,,h\se ,,(           
,,repres5tatives  ,july #bh1 #bjag,mr4  
,kelly ( ,p5nsylvania 7= himself & ,mr4 
,k9d7 introduc$ ! foll[+ bill2 :i* 0    
ref]r$ to ! ,committee on ,education & !
 ,work=ce1 & 9 addition to ! ,committees
 on ,rules1 & ! ,budget1 = a p]iod to be
 subsequ5tly det]m9$ by ! ,speak]1 9 ea*
 case = consid]ation ( su* provisions z 
fall )9 ! jurisdiction ( ! committee    
conc]n$  ,a ,,bill  ,to am5d ! ,employee
 ,retirem5t ,income ,security ,act (    
#aigd to adju/ s+le-employ] premiums1 & 
= o!r purposes4  #a4 ,%ort title ,?is   
,act may be cit$ z ! ,rightsiz+ ,p5sion 
,premiums ,act ( #bjag4  #b4 ,rightsiz+ 
p5sion premiums  7a7 ,9 g5]al ,section  
#djjf7;a7 ( ! ,employee ,retirem5t      
,income ,security ,act ( #aigd 7#bi     
,u4,s4,c4 #acjf7;a77 is am5d$ by add+ at
 ! end ! foll[+3  7#i7 ,premium         
adju/m5ts = small employ]s & bas$ on    
,,pbgc fund$ p]c5tage  7,a7 ,9 g5]al    
,not)/&+ p>agraph 7#c77;,a77i7 & subject

 to subp>agraphs 7,b7 & 7,c71 ! annual  
premium rate payable to ! corporation by
 a s+le-employ] plan = basic b5efits    
gu>ante$ "u ?is title is--  7i7 9 ! case
 ( a s+le-employ] plan = any plan ye>   
beg9n+ 9 a fiscal ye> ) respect to :i* !
 av]age ( ! s+le-employ] p5sion         
insurance program fund$ p]c5tages = ! #b
 fiscal ye>s imm$iately prec$+ su*      
fiscal ye> is #aaj p]c5t or great]1 an  
am\nt = ea* individual :o is a          
p>ticipant 9 su* plan dur+ ! plan ye>   
equal to ! sum ( #ai & an additional    
premium equal to ! quoti5t 7n to exce$  
#ejj7 obta9$ by divid+--  7,i7 an am\nt 
equal to #i = ea* #a1jjj 7or fraction   
!re(7 ( unfund$ ve/$ b5efits "u ! plan z
 ( ! close ( ! prec$+ plan ye>1 by      
7,,ii7 ! numb] ( p>ticipants 9 su* plan 
z ( ! close ( ! prec$+ plan ye>2  7ii7 9
 ! case ( a s+le-employ] plan = any plan
 ye> beg9n+ 9 a fiscal ye> ) respect to 
:i* ! av]age ( ! s+le-employ] p5sion    
insurance program fund$ p]c5tages = ! #b
 fiscal ye>s imm$iately prec$+ su*      

fiscal ye> is at lea/ #ajj p]c5t b less 
?an #aaj p]c5t1 an am\nt = ea*          
individual :o is a p>ticipant 9 su* plan
 dur+ ! plan ye> equal to ! sum ( #cj & 
an additional premium equal to ! quoti5t
 7n to exce$ #ejj7 obta9$ by divid+--   
7,i7 an am\nt equal to #i = ea* #a1jjj  
7or fraction !re(7 ( unfund$ ve/$       
b5efits "u ! plan z ( ! close ( ! prec$+
 plan ye>1 by  7,,ii7 ! numb] (         
p>ticipants 9 su* plan z ( ! close ( !  
prec$+ plan ye>2  7iii7 9 ! case ( a    
s+le-employ] plan = any plan ye> beg9n+ 
9 a fiscal ye> ) respect to :i* ! av]age
 ( ! s+le-employ] p5sion insurance      
program fund$ p]c5tages = ! #b fiscal   
ye>s imm$iately prec$+ su* fiscal ye> is
 at lea/ #ij p]c5t b less ?an #ajj      
p]c5t1 an am\nt = ea* individual :o is a
 p>ticipant 9 su* plan dur+ ! plan ye>  
equal to ! sum ( #fd & an additional    
premium equal to ! quoti5t 7n to exce$  
#ejj7 obta9$ by divid+--  7,i7 an am\nt 
equal to #bh = ea* #a1jjj 7or fraction  
!re(7 ( unfund$ ve/$ b5efits "u ! plan z

 ( ! close ( ! prec$+ plan ye>1 by      
7,,ii7 ! numb] ( p>ticipants 9 su* plan 
z ( ! close ( ! prec$+ plan ye>2  7iv7  
not)/&+ clauses 7i7 ?r\gh 7iii71 9 !    
case ( a ,,csec plan 7z def9$ 9 section 
#baj7;f77 or s+le-employ] plan ma9ta9$  
by a small employ] = any plan ye>1 an   
am\nt = ea* individual :o is a          
p>ticipant 9 su* plan dur+ ! plan ye>   
equal to ! sum ( #ai & an additional    
premium equal to ! quoti5t 7n to exce$  
#ejj7 obta9$ by divid+--  7,i7 an am\nt 
equal to #i = ea* #a1jjj 7or fraction   
!re(7 ( unfund$ ve/$ b5efits "u ! plan z
 ( ! close ( ! prec$+ plan ye>1 by      
7,,ii7 ! numb] ( p>ticipants 9 su* plan 
z ( ! close ( ! prec$+ plan ye>2 &  7v7 
9 any o!r case1 ! am\nt det]m9$ "u      
p>agraph 7#c77;,a77i74  7,b7 ,small     
employ] premium phase-out  7i7 ,9 g5]al 
,9 ! case ( a s+le-employ] plan ma9ta9$ 
by an employ] :o has m ?an #ejj         
employees b n m ?an #fjj employees on ! 
fir/ day ( ! plan ye>1 ! annual premium 
rate payable to ! corporation by su*    

plan = basic b5efits gu>ante$ "u ?is    
title is an am\nt = ea* individual :o is
 a p>ticipant 9 su* plan dur+ ! plan ye>
 equal to ! sum (--  7,i7 ! annual      
premium rate t w\ld be s payable by su* 
plan if su* plan 7 ma9ta9$ by a small   
employ] = su* plan ye>1 plus--  7,,ii7 !
 applicable p]c5tage ( ! excess (-- 7aa7
 ! annual premium rate s payable by su* 
plan )\t reg>d to ?is subp>agraph1 ov]  
7bb7 ! annual premium rate t w\ld be s  
payable by su* plan z describ$ "u       
subclause 7,i74  7ii7 ,applicable       
p]c5tage ,= purposes ( ?is subp>agraph1 
! applicable p]c5tage is ! ratio        
7express$ z a p]c5tage7 (--  7,i7 !     
numb] ( employees ( ! employ] to ! ext5t
 su* numb] exce$s #ejj1 ov]  7,,ii7     
#ajj4  7,c7 ,special rule = multiple    
employ] plans ,9 ! case ( a multiple    
employ] plan 7o!r ?an a ,,csec plan 7z  
def9$ 9 section #baj7;f7771 ! annual    
premium rate payable to ! corporation by
 su* plan = basic b5efits gu>ante$ "u   
?is title is ! sum ( ! annual premiums  

t1 if ea* employ] ma9ta9+ su* plan 7    
treat$ z ma9ta9+ a sep>ate plan 9 :i*-- 
7i7 ! numb] ( p>ticipants equals ! numb]
 ( p>ticipants 9 ! multiple employ] plan
 :o are employ$ 7or =m]ly employ$7 by   
su* employ]1 &  7ii7 ! am\nt ( unfund$  
ve/$ b5efits equals ! portion ( !       
unfund$ ve/$ b5efits "u ! multiple      
employ] plan attributable to su*        
employ]1  w\ld be impos$ on ea* sep>ate 
plan 9 accordance ) ?is section4 ,9     
det]m9+ ! annual premiums t w\ld be     
impos$ on ea* ( ! sep>ate plans describ$
 "u ?is subp>agraph1 ! det]m9ation (    
:e!r an employ] is a small employ] %all 
be made sep>ately ) respect to ea*      
employ] ma9ta9+ ! multiple employ] plan4
  7,d7 ,special rule = small employ]s ) 
#be or few] employees ,9 ! case ( a     
s+le-employ] plan ma9ta9$ by a small    
employ] :o has #be or few] employees on 
! fir/ day ( ! plan ye> 7z det]m9$ "u   
p>agraph 7#c77;,i77ii771 ! additional   
premium o!rwise det]m9$ "u subp>agraph  
7,a77iv7 %all n exce$ #e multipli$ by ! 

numb] ( p>ticipants 9 ! plan z ( ! close
 ( ! prec$+ plan ye>4  7,e7 ,wage index+
 ( c]ta9 am\nts  ,= ea* plan ye> beg9n+ 
9 a cal5d> ye> aft] #bjah1 !re %all be  
sub/itut$ = ea* ( ! fir/ & second doll> 
am\nts 9 clause 7ii7 ( subp>agraph 7,a7 
& ! fir/1 second1 & ?ird doll> am\nts 9 
clause 7iii7 ( su* subp>agraph an am\nt 
equal to ! great] (--  7i7 ! product    
d]iv$ by multiply+ ea* su* am\nt by !   
ratio (-- 7,i7 ! national av]age wage   
index 7z def9$ 9 section #bji7k77#a7 ( !
 ,social ,security ,act7 = ! fir/ ( ! #b
 cal5d> ye>s prec$+ ! cal5d> ye> 9 :i*  
su* plan ye> beg9s1 to  7,,ii7 !        
national av]age wage index 7z s def9$7 =
 #bjaf2 &  7ii7 ea* su* am\nt z 9 effect
 = plan ye>s beg9n+ 9 ! prec$+ cal5d>   
ye>4  ,if any am\nt det]m9$ "u ?is      
subp>agraph is n a multiple ( #a1 su*   
product %all be r\nd$ to ! ne>e/        
multiple ( #a4  7,f7 ,def9itions ,=     
purposes ( ?is p>agraph3 7i7 ,small     
employ] ,! t]m small employ] means an   
employ] :o has #ejj or few] employees on

 ! fir/ day ( ! plan ye>4  7ii7         
,multiple employ] plan ,! t]m multiple  
employ] plan means a s+le-employ] plan  
ma9ta9$ by m ?an "o employ] 7z det]m9$  
"u section #baj7;a774  7iii7            
,s+le-employ] p5sion insurance program  
fund$ p]c5tage ,! t]m s+le-employ]      
p5sion insurance program fund$ p]c5tage 
= a fiscal ye> means ! ratio 7express$ z
 a p]c5tage7 (-- 7,i7 ! value ( all     
assets held by ! corporation 9 any tru/ 
or revolv+ fund on ! la/ day ( su*      
fiscal ye> available = ! paym5t ( basic 
b5efits gu>ante$ "u section #djbb1 to   
7,,ii7 ! pres5t value 7z det]m9$ 9      
accordance ) section #cjc7;h7 )\t reg>d 
to p>agraph 7#b77;,c77iv77 ( !          
liabilities ( ! corporation attributable
 to su* gu>ante$ b5efits on ! la/ day ( 
su* fiscal ye>4  7iv7 ,unfund$ ve/$     
b5efits ,! t]m unfund$ ve/$ b5efits has 
! mean+ giv5 su* t]m 9 p>agraph         
7#c77;,e77iii71 except t ) respect to a 
,,csec plan 7z def9$ 9 section          
#baj7;f771 su* t]m means ! excess (--   

7,i7 ! plan's fund+ liability 7z def9$ 9
 section #cjf7;j77#e77;,c771 det]m9$ by 
only tak+ into acc\nt ve/$ b5efits1 ov] 
7,,ii7 ! fair m>ket value ( plan assets 
= ! plan ye> :i* are held by ! plan on !
 valuation date4  4  7b7 ,individuals   
p>ticipat+ 9 m ?an "o plan ,section     
#djjf7;a77#c77;,b7 ( ! ,employee        
,retirem5t ,income ,security ,act (     
#aigd 7#bi ,u4,s4,c4 #acjf7;a77#c77;,b77
 is am5d$ by ins]t+ or p>agraph 7#i7    
aft] subp>agraph 7,a77i74  7c7 ,con=m+  
am5dm5t ,section #djjf7;a77#c77;,a7 ( ! 
,employee ,retirem5t ,income ,security  
,act ( #aigd 7#bi ,u4,s4,c4 #acjf7 is   
am5d$ 9 ! matt] prec$+ clause 7i7 by    
ins]t+ & p>agraph 7#i7 aft] subp>agraph 
7,c74  7d7 ,effective date  ,! am5dm5ts 
made by ?is %all apply ) respect to plan
 ye>s beg9n+ aft] ,decemb] #ca1 #bjag4  
#c4 ,correction ( ! budget effects (    
premium *anges  7a7 ,9 g5]al ,9 ! ,s5ate
 & ! ,h\se ( ,repres5tatives1 = purposes
 ( det]m9+ po9ts ( ord] "u !            
,congressional ,budget ,act ( #aigd 7#b 

,u4,s4,c4 #fba et seq47 or any concurr5t
 resolution on ! budget1 any provision t
 increases or decreases1 or ext5ds !    
increase or decrease (1 any premiums    
payable to ! ,p5sion ,b5efit ,gu>anty   
,corporation %all n be c\nt$ 9 e/imat+ !
 level ( budget au?ority1 outlays1 or   
rev5ues--  7#a7 9 ! ,s5ate1 = any bill1 
jo9t resolution1 am5dm5t1 am5dm5t betwe5
 ! ,h\ses1 conf]5ce report1 or motion2  
or  7#b7 9 ! ,h\se ( ,repres5tatives1 = 
any bill or jo9t resolution1 or am5dm5t 
!reto or conf]5ce report !reon4  7b7    
,rules ( s5ate & h\se ( repres5tatives  
,congress adopts ! provisions ( ?is     
section-- 7#a7 z an ex]cise ( ! rulemak+
 p[] ( ! ,s5ate & ! ,h\se (             
,repres5tatives1 respectively1 & z su*  
is deem$ a "p ( ! rules ( ea* ,h\se1    
respectively1 & sup]s$e o!r rules only  
to ! ext5t t !y are inconsi/5t ) su*    
rules2 &  7#b7 ) full recognition ( !   
con/itutional "r ( ei!r ,h\se to *ange !
 rules 7s f> z relat+ to ! proc$ure ( t 
,h\se7 at any "t1 9 ! same mann]1 & to !

 same ext5t z 9 ! case ( any o!r rule ( 
t ,h\se4