,i  #aaf? ,,congress  #a/ ,session  ,h4 
,r4 #cig  ,,9 ,,! ,,h\se ,,(            
,,repres5tatives  ,janu>y #i1 #bjai,mr4 
,neal 7= himself1 ,mr4 ,k+ ( ,new ,york1
 ,mr4 ,scott ( ,virg9ia1 ,mr4 ,"y1 ,mrs4
 ,d+ell1 ,mr4 ,smi? ( ,new ,j]sey1 ,mr4 
,norcross1 ,mr4 ,katko1 ,ms4 ,kaptur1 & 
,mr4 ,=t5b]ry7 introduc$ ! foll[+ bill2 
:i* 0 ref]r$ to ! ,committee on         
,education & ,labor1 & 9 addition to !  
,committees on ,ways & ,means1 &        
,appropriations1 = 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 ! ,int]nal 
,rev5ue ,code ( #aihf to create a       
,p5sion ,rehabilitation ,tru/ ,fund1 to 
e/abli% a ,p5sion ,rehabilitation       
,adm9i/ration )9 ! ,dep>tm5t ( !        
,treasury to make loans to multiemploy] 
def9$ b5efit plans1 & = o!r purposes4   
#a4 ,%ort title ,?is ,act may be cit$ z 
! ,rehabilitation = ,multiemploy]       
,p5sions ,act4  #b4 ,p5sion             

,rehabilitation ,adm9i/ration2          
e/abli%m5t2 p[]s  7a7 ,e/abli%m5t ,!re  
is e/abli%$ 9 ! ,dep>tm5t ( ! ,treasury 
an ag5cy to be kn[n z ! ,p5sion         
,rehabilitation ,adm9i/ration4  7b7     
,director  7#a7 ,e/abli%m5t ( position  
,!re %all be at ! head ( ! ,p5sion      
,rehabilitation ,adm9i/ration a         
,director1 :o %all be appo9t$ by !      
,presid5t4  7#b7 ,t]m  7,a7 ,9 g5]al ,! 
t]m ( (fice ( ! ,director %all be #e    
ye>s4  7,b7 ,s]vice until appo9tm5t (   
successor ,an individual s]v+ z         
,director at ! expiration ( a t]m may   
cont9ue to s]ve until a successor is    
appo9t$4  7#c7 ,p[]s  7,a7 ,appo9tm5t ( 
,deputy ,directors1 (fic]s1 & employees 
,! ,director may appo9t ,deputy         
,directors1 (fic]s1 & employees1 includ+
 attorneys1 9 accordance ) *apt] #ea &  
sub*apt] ,,iii ( *apt] #ec ( title #e1  
,unit$ ,/ates ,code4  7,b7 ,contract+   
7i7 ,9 g5]al ,! ,director may contract =
 f9ancial & adm9i/rative s]vices        
7includ+ ^? relat$ to budget & acc\nt+1 

f9ancial report+1 p]sonnel1 &           
procurem5t7 ) ! ,g5]al ,s]vices         
,adm9i/ration1 or su* o!r ,f$]al ag5cy z
 ! ,director det]m9es appropriate1 = :i*
 paym5t %all be made 9 advance1 or by   
reimbursem5t1 f funds ( ! ,p5sion       
,rehabilitation ,adm9i/ration 9 su*     
am\nts z may be agre$ ^u by ! ,director 
& ! head ( ! ,f$]al ag5cy provid+ !     
s]vices4  7ii7 ,subject to              
appropriations ,contract au?ority "u    
clause 7i7 %all be effective = any      
fiscal ye> only to ! ext5t t            
appropriations are available = t        
purpose4  7c7 ,transf] ( funds ,!       
,secret>y ( ! ,treasury may transf] =   
any fiscal ye>1 f unobligat$ am\nts     
appropriat$ to ! ,dep>tm5t ( !          
,treasury1 to ! ,p5sion ,rehabilitation 
,adm9i/ration su* sums z may be         
reasonably necess>y = ! adm9i/rative &  
op]at+ exp5ses ( ! ,p5sion              
,rehabilitation ,adm9i/ration4  #c4     
,p5sion rehabilitation tru/ fund  7a7 ,9
 g5]al ,sub*apt] ,a ( *apt] #ih ( !     

,int]nal ,rev5ue ,code ( #aihf is am5d$ 
by add+ at ! end ! foll[+ new section3  
#ieab4 ,p5sion ,rehabilitation ,tru/    
,fund  7a7 ,creation ( ,tru/ ,fund ,!re 
is e/abli%$ 9 ! ,treasury ( ! ,unit$    
,/ates a tru/ fund to be kn[n z !       
,p5sion ,rehabilitation ,tru/ ,fund     
7h]eaft] 9 ?is section ref]r$ to z !    
,fund71 consi/+ ( su* am\nts z may be   
appropriat$ or cr$it$ to su* ,tru/ ,fund
 z provid$ 9 ?is section & section      
#ifjb7;b74  7b7 ,transf]s to ,fund  7#a7
 ,am\nts attributable to ,treasury bonds
 ,!re %all be cr$it$ to ! ,fund ! am\nts
 transf]r$ "u section #f7;b7 ( !        
,rehabilitation = ,multiemploy] ,p5sions
 ,act4  7#b7 ,loan int]e/ & pr9cipal    
7,a7 ,9 g5]al ,! ,director ( ! ,p5sion  
,rehabilitation ,adm9i/ration e/abli%$  
"u section #b ( ! ,rehabilitation =     
,multiemploy] ,p5sions ,act %all deposit
 9 ! ,fund any am\nts receiv$ f a plan z
 paym5t ( int]e/ or pr9cipal on a loan  
"u section #d ( su* ,act4  7,b7 ,int]e/ 
,= purposes ( subp>agraph 7,a71 ! t]m   

int]e/ includes po9ts & o!r simil>      
am\nts4  7#c7 ,transf]s f ,secret>y ,!  
,director ( ! ,p5sion ,rehabilitation   
,adm9i/ration %all deposit 9 ! ,fund any
 am\nts receiv$ f ! ,secret>y "u section
 #b7;c7 ( su* ,act4  7#d7 ,availability 
( funds ,am\nts cr$it$ to or deposit$ 9 
! ,fund %all rema9 available until      
exp5d$4  7c7 ,exp5ditures f ,fund       
,am\nts 9 ! ,fund are available )\t     
fur!r appropriation to ! ,p5sion        
,rehabilitation ,adm9i/ration--  7#a7 = 
! purpose ( mak+ ! loans describ$ 9     
section #d ( ! ,rehabilitation =        
,multiemploy] ,p5sions ,act1  7#b7 = !  
paym5t ( pr9cipal & int]e/ on bonds     
issu$ "u section #f ( su* ,act1 &  7#c7 
= adm9i/rative & op]at+ exp5ses ( su*   
,adm9i/ration4  4  7b7 ,cl]ical am5dm5t 
,! table ( sections = sub*apt] ,a (     
*apt] #ih ( ! ,int]nal ,rev5ue ,code (  
#aihf is am5d$ by add+ at ! end ! foll[+
 new item3  ,sec4 #ieab4 ,p5sion        
,rehabilitation ,tru/ ,fund4  4  #d4    
,loan program = multiemploy] def9$      

b5efit plans  7a7 ,loan au?ority  7#a7  
,9 g5]al ,! ,p5sion ,rehabilitation     
,adm9i/ration e/abli%$ "u section #b is 
au?oriz$-- 7,a7 to make loans to        
multiemploy] plans 7z def9$ 9 section   
#dad7;f7 ( ! ,int]nal ,rev5ue ,code (   
#aihf7 :i* are def9$ b5efit plans 7z    
def9$ 9 section #dad7;j7 ( su* ,code7 & 
:i*--  7i7 are 9 critical & decl9+ /atus
 7)9 ! mean+ ( section #dcb7;b77#f7 (   
su* ,code & section #cje7;b77#f7 ( !    
,employee ,retirem5t ,income ,security  
,act ( #aigd71 includ+ any plan )       
respect to :i* a susp5sion ( b5efits has
 be5 approv$ "u section #dcb7;e77#i7 (  
su* ,code & section #cje7;e77#i7 ( su*  
,act2 or  7ii7 are insolv5t = purposes (
 section #dah;,e ( su* ,code1 if !y     
became insolv5t aft] ,decemb] #af1      
#bjad1 & h n be5 t]m9at$2 &  7,b7       
subject to subsection 7b71 to e/abli%   
appropriate t]ms = su* loans4  7#b7     
,consultation ,! ,director ( ! ,p5sion  
,rehabilitation ,adm9i/ration %all      
consult ) ! ,secret>y ( ! ,treasury1 !  

,secret>y ( ,labor1 & ! ,director ( !   
,p5sion ,b5efit ,gu>anty ,corporation   
be=e mak+ any loan "u p>agraph 7#a71 &  
%all %>e ) su* p]sons ! application &   
plan in=mation ) respect to ea* su*     
loan4  7#c7 ,e/abli%m5t ( loan program  
7,a7 ,9 g5]al ,a program to make ! loans
 au?oriz$ "u ?is section %all be        
e/abli%$ n lat] ?an ,april #cj1 #bjai1 )
 guidance reg>d+ su* program to be      
promulgat$ by ! ,director ( ! ,p5sion   
,rehabilitation ,adm9i/ration1 9        
consultation ) ! ,p5sion ,b5efit        
,gu>anty ,corporation & ! ,dep>tm5t (   
,labor1 n lat] ?an ,july #a1 #bjai4     
7,b7 ,loans au?oriz$ be=e program date  
,)\t reg>d to :e!r ! program "u         
subp>agraph 7,a7 has be5 e/abli%$1 a    
plan may apply = a loan "u ?is section  
be=e ei!r date describ$ 9 su*           
subp>agraph1 & ! ,p5sion ,rehabilitation
 ,adm9i/ration %all approve !           
application & make ! loan be=e          
e/abli%m5t ( ! program if necess>y to   
avoid any susp5sion ( ! accru$ b5efits (

 p>ticipants4  7b7 ,loan t]ms ,! t]ms ( 
any loan made "u subsection 7a7 %all    
/ate t-- 7#a7 ! plan %all make paym5ts (
 int]e/ on ! loan = a p]iod ( #bi ye>s  
beg9n+ on ! date ( ! loan2  7#b7 f9al   
paym5t ( int]e/ & pr9cipal %all be due 9
 ! #cj? ye> aft] ! date ( ! loan2 &     
7#c7 z a condition ( ! loan1 ! plan     
sponsor /ipulates t-- 7,a7 except z     
provid$ 9 subp>agraph 7,b71 ! plan w n  
increase b5efits1 all[ any employ]      
p>ticipat+ 9 ! plan to r$uce its        
contributions1 or accept any collective 
b>ga9+ agreem5t :i* provides = r$uc$    
contribution rates1 dur+ ! #cj-ye> p]iod
 describ$ 9 p>agraphs 7#a7 & 7#b72  7,b7
 9 ! case ( a plan ) respect to :i* a   
susp5sion ( b5efits has be5 approv$ "u  
section #dcb7;e77#i7 ( ! ,int]nal       
,rev5ue ,code ( #aihf & section         
#cje7;e77#i7 ( ! ,employee ,retirem5t   
,income ,security ,act ( #aigd1 or "u   
section #dah;,e ( su* ,code1 be=e !     
loan1 ! plan w re9/ate ! susp5d$ b5efits
 7or w n c>ry out any susp5sion :i* has 

be5 approv$ b n yet implem5t$72  7,c7 ! 
plan sponsor w comply ) ! requirem5ts ( 
section #fjei;,a ( ! ,int]nal ,rev5ue   
,code ( #aihf2 &  7,d7 ! plan & plan    
adm9i/rator w meet su* o!r requirem5ts z
 ! ,director ( ! ,p5sion ,rehabilitation
 ,adm9i/ration provides 9 ! loan t]ms4  
7c7 ,loan application  7#a7 ,9 g5]al ,9 
apply+ = a loan "u subsection 7a71 !    
plan sponsor %all-- 7,a7 demon/rate t1  
except z provid$ 9 subp>agraph 7,c7--   
7i7 ! loan w enable ! plan to avoid     
insolv5cy = at lea/ ! #cj-ye> p]iod     
describ$ 9 p>agraphs 7#a7 & 7#b7 (      
subsection 7b7 or1 9 ! case ( a plan :i*
 is already insolv5t1 to em]ge f        
insolv5cy )9 & avoid insolv5cy = !      
rema9d] ( su* p]iod2 &  7ii7 ! plan is  
reasonably expect$ to be able to pay    
b5efits & ! int]e/ on ! loan dur+ su*   
p]iod & to accumulate suffici5t funds to
 repay ! pr9cipal :5 due2  7,b7 provide 
! in=mation necess>y to det]m9e ! loan  
am\nt "u subsection 7d72  7,c7 /ipulate 
:e!r ! plan is also apply+ = f9ancial   

assi/ance "u section #dbfa7;d7 ( !      
,employee ,retirem5t ,income ,security  
,act ( #aigd 7#bi ,u4,s4,c4 #adca7;d77 9
 comb9ation ) ! loan to enable ! plan to
 avoid insolv5cy & to pay b5efits1 or is
 already receiv+ su* f9ancial assi/ance 
z a result ( a previ\s application2     
7,d7 /ate 9 :at mann] ! loan proce$s w  
be inve/$ pursuant to subsection 7d71 ! 
p]son f :om any annuity contracts "u su*
 subsection w be pur*as$1 & ! p]son :o w
 be ! inve/m5t manag] = any portfolio   
implem5t$ "u su* subsection2 &  7,e7    
include su* o!r in=mation &             
c]tifications z ! ,director ( ! ,p5sion 
,rehabilitation ,adm9i/ration %all      
require4  7#b7 ,/&>d = accept+ actu>ial 
& plan sponsor det]m9ations &           
demon/rations 9 ! application ,9        
evaluat+ ! plan sponsor's application1 !
 ,director ( ! ,p5sion ,rehabilitation  
,adm9i/ration %all accept ! det]m9ations
 & demon/rations 9 ! application unless 
! ,director1 9 consultation ) !         
,director ( ! ,p5sion ,b5efit ,gu>anty  

,corporation & ! ,secret>y ( ,labor1    
concludes t ! det]m9ations &            
demon/rations 9 ! application 7 cle>ly  
errone\s4  7#c7 ,requir$ action2 deem$  
approval ,! ,director ( ! ,p5sion       
,rehabilitation ,adm9i/ration %all      
approve or d5y any application "u ?is   
subsection )9 #ij days aft] ! submission
 ( su* application4 ,an application %all
 be deem$ approv$ unless1 )9 su* #ij    
days1 ! ,director notifies ! plan       
sponsor t ! det]m9ations or             
demon/rations 9 ! application 7 deem$   
cle>ly errone\s "u p>agraph 7#b74 ,any  
approval or d5ial ( an application by ! 
,director ( ! ,p5sion ,rehabilitation   
,adm9i/ration %all be treat$ z a f9al   
ag5cy action = purposes ( section #gjd (
 title #e1 ,unit$ ,/ates ,code4  7#d7   
,c]ta9 plans requir$ to apply ,! plan   
sponsor ( any plan ) respect to :i* a   
susp5sion ( b5efits has be5 approv$ "u  
section #dcb7;e77#i7 ( ! ,int]nal       
,rev5ue ,code ( #aihf & section         
#cje7;e77#i7 ( ! ,employee ,retirem5t   

,income ,security ,act ( #aigd or "u    
section #dah;,e ( su* ,code1 be=e ! date
 ( ! enactm5t ( ?is ,act %all apply = a 
loan "u ?is section4 ,! ,director ( !   
,p5sion ,rehabilitation ,adm9i/ration   
%all provide = su* plan sponsors to use 
! simplifi$ application "u subsection   
7d77#b77;,b74  7d7 ,loan am\nt & use    
7#a7 ,am\nt ( loan  7,a7 ,9 g5]al       
,except z provid$ 9 subp>agraph 7,b7 &  
p>agraph 7#b71 ! am\nt ( any loan "u    
subsection 7a7 %all be1 z demon/rat$ by 
! plan sponsor on ! application "u      
subsection 7c71 ! am\nt ne$$ to pur*ase 
annuity contracts or to implem5t a      
portfolio describ$ 9 p>agraph 7#c77;,c7 
7or a comb9ation ( ! two7 suffici5t to  
provide b5efits ( p>ticipants &         
b5efici>ies ( ! plan 9 pay /atus at ! "t
 ! loan is made4  7,b7 ,plans ) susp5d$ 
b5efits ,9 ! case ( a plan :i* has      
susp5d$ b5efits "u section #dcb7;e77#i7 
( ! ,int]nal ,rev5ue ,code ( #aihf &    
section #cje7;e77#i7 ( ! ,employee      
,retirem5t ,income ,security ,act (     

#aigd 7#bi ,u4,s4,c4 #ajhe7;e77#i77 or  
"u section #dah;,e ( su* ,code--  7i7 ! 
susp5sion ( b5efits %all n be tak5 into 
acc\nt 9 apply+ p>agraph 7#a72 &  7ii7 !
 loan am\nt %all be ! am\nt suffici5t to
 provide b5efits ( p>ticipants &        
b5efici>ies ( ! plan 9 pay /atus at ! "t
 ! loan is made1 det]m9$ )\t reg>d to ! 
susp5sion1 includ+ retroactive paym5t ( 
b5efits :i* w\ld o!rwise h be5 payable  
dur+ ! p]iod ( ! susp5sion4  7#b7       
,coord9ation ) ,,pbgc f9ancial assi/ance
  7,a7 ,9 g5]al ,9 ! case ( a plan :i*  
is also apply+ = f9ancial assi/ance "u  
section #dbfa7;d7 ( ! ,employee         
,retirem5t ,income ,security ,act (     
#aigd 7#bi ,u4,s4,c4 #adca7;d77--  7i7 !
 plan sponsor %all submit ! loan        
application & ! application = f9ancial  
assi/ance jo9tly to ! ,p5sion           
,rehabilitation ,adm9i/ration & !       
,p5sion ,b5efit ,gu>anty ,corporation ) 
! in=mation necess>y to det]m9e ! am\nt 
"u subp>agraph 7,b72 &  7ii7 if su*     
f9ancial assi/ance is grant$1 ! am\nt ( 

! loan "u subsection 7a7 %all be ! am\nt
 describ$ 9 p>agraph 7#a7 r$uc$ by !    
am\nt ( su* f9ancial assi/ance4  7,b7   
,plans already receiv+ ,,pbgc assi/ance 
,! ,director ( ! ,p5sion ,rehabilitation
 ,adm9i/ration %all provide = a         
simplifi$ application = ! loan "u ?is   
section :i* may be us$ by an insolv5t   
plan :i* has n be5 t]m9at$ & :i* is     
already receiv+ f9ancial assi/ance 7o!r 
?an "u section #dbfa7;d7 ( su* ,act7 f !
 ,p5sion ,b5efit ,gu>anty ,corporation  
at ! "t ( ! application = ! loan "u ?is 
section4  7#c7 ,use ( loan funds  7,a7  
,9 g5]al ,! loan receiv$ "u subsection  
7a7 %all be us$ to pur*ase annuity      
contracts :i* meet ! requirem5ts (      
subp>agraph 7,b7 or to implem5t a       
portfolio describ$ 9 subp>agraph 7,c7   
7or a comb9ation ( ! two7 to provide !  
b5efits describ$ 9 p>agraph 7#a74  7,b7 
,annuity contract requirem5ts ,! annuity
 contracts pur*as$ "u subp>agraph 7,a7  
%all be issu$ by an insurance company   
:i* is lic5s$ to d bus9ess "u ! laws (  

any ,/ate & :i* is rat$ ,a or bett] by a
 nationally recogniz$ /ati/ical rat+    
organization1 & ! pur*ase ( su*         
contracts %all meet all applicable      
fiduci>y /&>ds "u ! ,employee ,retirem5t
 ,income ,security ,act ( #aigd4  7,c7  
,portfolio  7i7 ,9 g5]al ,a portfolio   
describ$ 9 ?is subp>agraph is-- 7,i7 a  
ca% mat*+ portfolio or duration mat*+   
portfolio consi/+ ( inve/m5t grade 7z   
rat$ by a nationally recogniz$ /ati/ical
 rat+ organization7 fix$ income         
inve/m5ts1 includ+ ,unit$ ,/ates        
doll>-d5om9at$ public or private debt   
obligations issu$ or gu>ante$ by !      
,unit$ ,/ates or a =eign issu]1 :i* are 
tradeable 9 ,unit$ ,/ates curr5cy & are 
issu$ at fix$ or z]o c\pon rates2 or    
7,,ii7 any o!r portfolio prescrib$ by ! 
,secret>y ( ! ,treasury 9 regulations   
:i* has a simil> risk pr(ile to !       
portfolios describ$ 9 subclause 7,i7 &  
is equally protective ( ! int]e/s (     
p>ticipants & b5efici>ies4  ,once       
implem5t$1 su* a portfolio %all be      

ma9ta9$ until all liabilities to        
p>ticipants & b5efici>ies 9 pay /atus at
 ! "t ( ! loan are satisfi$4  7ii7      
,fiduci>y duty ,any inve/m5t manag] ( a 
portfolio "u ?is subp>agraph %all       
ackn[l$ge 9 writ+ t su* p]son is a      
fiduci>y "u ! ,employee ,retirem5t      
,income ,security ,act ( #aigd ) respect
 to ! plan4  7iii7 ,treatm5t (          
p>ticipants & b5efici>ies ,p>ticipants &
 b5efici>ies cov]$ by a portfolio "u ?is
 subp>agraph %all cont9ue to be treat$ z
 p>ticipants & b5efici>ies ( ! plan4    
7,d7 ,acc\nt+  7i7 ,9 g5]al ,annuity    
contracts pur*as$ & portfolios implem5t$
 "u ?is p>agraph %all be acc\nt$ =      
sep>ately f ! o!r assets ( ! plan1 & !  
proce$s !re( %all be us$ solely to      
provide ! b5efits describ$ 9 p>agraph   
7#a7 until all su* b5efits h be5 paid4  
7ii7 ,ov]sight ( non-annuity inve/m5ts  
7,i7 ,9 g5]al ,any portfolio implem5t$  
"u ?is p>agraph %all be subject to      
ov]sight by ! ,p5sion ,rehabilitation   
,adm9i/ration1 includ+ a m&atory        

tri5nial review ( ! adequacy ( !        
portfolio to provide ! b5efits describ$ 
9 p>agraph 7#a7 & approval 7to be       
provid$ )9 a reasonable p]iod ( "t7 (   
any decision by ! plan sponsor to *ange 
! inve/m5t manag] ( ! portfolio4  7,,ii7
 ,rem$ial action ,if ! tri5nial review  
"u subclause 7,i7 det]m9es an           
inadequacy1 ! plan sponsor %all take    
rem$ial action to ensure t ! inadequacy 
w be cur$ )9 #e ye>s ( ! review4  7,e7  
,ombudsp]son ,! ,p>ticipant & ,plan     
,sponsor ,advocate e/abli%$ "u section  
#djjd ( ! ,employee ,retirem5t ,income  
,security ,act ( #aigd %all act z       
ombudsp]son = p>ticipants & b5efici>ies 
on behalf ( :om annuity contracts are   
pur*as$ or :o are cov]$ by a portfolio  
"u ?is p>agraph4  7e7 ,loan default ,if 
a plan is unable to make any paym5t on a
 loan "u ?is section :5 due1 ! ,p5sion  
,rehabilitation ,adm9i/ration %all      
negotiate ) ! plan sponsor revis$ t]ms =
 repaym5t reflect+ ! plan's ability to  
make paym5ts1 :i* may include in/allm5t 

paym5ts ov] a reasonable p]iod &1 if !  
,p5sion ,rehabilitation ,adm9i/ration   
deems necess>y to avoid any susp5sion ( 
! accru$ b5efits ( p>ticipants1 =giv5ess
 ( a portion ( ! loan pr9cipal4  7f7    
,au?ority ,to issue rules1 etc ,!       
,director ( ! ,p5sion ,rehabilitation   
,adm9i/ration e/abli%$ "u section #b1 9 
consultation ) ! ,p5sion ,b5efit        
,gu>anty ,corporation & ! ,dep>tm5t (   
,labor1 is au?oriz$ to issue rules      
reg>d+ ! =m1 cont5t1 & process (        
applications = loans "u ?is section1    
actu>ial /&>ds & assumptions to be us$ 9
 mak+ e/imates & projections = purposes 
( su* applications1 & assumptions reg>d+
 int]e/ rates1 mortality1 & di/ributions
 ) respect to a portfolio describ$ 9    
subsection 7d77#c77;,c74  7g7           
,coord9ation ) taxation ( unrelat$      
bus9ess income ,subp>agraph 7,a7 (      
section #ead7;c77#f7 ( ! ,int]nal       
,rev5ue ,code ( #aihf is am5d$-- 7#a7 by
 /rik+ or at ! end ( clause 7i72  7#b7  
by /rik+ ! p]iod at ! end ( clause      

7ii77,,ii7 & ins]t+ 1 or2 &  7#c7 by    
add+ at ! end ! foll[+ new clause3      
7iii7 indebt$ness ) respect to a        
multiemploy] plan "u a loan made by !   
,p5sion ,rehabilitation ,adm9i/ration   
pursuant to section #d ( !              
,rehabilitation = ,multiemploy] ,p5sions
 ,act4  4  #e4 ,coord9ation ) )drawal   
liability & fund+ rules  7a7 ,am5dm5t to
 ,int]nal ,rev5ue ,code ( #aihf ,section
 #dcb ( ! ,int]nal ,rev5ue ,code ( #aihf
 is am5d$ by add+ at ! end ! foll[+ new 
subsection3  7k7 ,special rules = plans 
receiv+ p5sion rehabilitation loans     
7#a7 ,det]m9ation ( )drawal liability   
7,a7 ,9 g5]al ,if any employ] p>ticipat+
 9 a plan at ! "t ! plan receives a loan
 "u section #d7;a7 ( ! ,rehabilitation =
 ,multiemploy] ,p5sions ,act )draws f ! 
plan be=e ! end ( ! #cj-ye> p]iod beg9n+
 on ! date ( ! loan1 ! )drawal liability
 ( su* employ] %all be det]m9$ "u !     
,employee ,retirem5t ,income ,security  
,act ( #aigd--  7i7 by apply+ section   
#dbai7;c77#a77;,d7 ( ! ,employee        

,retirem5t ,income ,security ,act (     
#aigd z if ! plan 7 t]m9at+ by ! )drawal
 ( e employ] f ! plan1 &  7ii7 by       
det]m9+ ! value ( non=feitable b5efits  
"u ! plan at ! "t ( ! deem$ t]m9ation by
 us+ ! int]e/ assumptions prescrib$ =   
purposes ( section #djdd ( ! ,employee  
,retirem5t ,income ,security ,act (     
#aigd1 z prescrib$ 9 ! regulations "u   
section #dbha ( ! ,employee ,retirem5t  
,income ,security ,act ( #aigd 9 ! case 
( su* a mass )drawal4  7,b7 ,annuity    
contracts & inve/m5t portfolios pur*as$ 
) loan funds ,annuity contracts pur*as$ 
& portfolios implem5t$ "u section       
#d7;d77#c7 ( ! ,rehabilitation =        
,multiemploy] ,p5sions ,act %all n be   
tak5 into acc\nt 9 det]m9+ ! )drawal    
liability ( any employ] "u subp>agraph  
7,a71 b ! am\nt equal to ! great] (--   
7i7 ! b5efits provid$ "u su* contracts  
or portfolios to p>ticipants &          
b5efici>ies1 or  7ii7 ! rema9+ paym5ts  
due on ! loan "u section #d7;a7 ( su*   
,act1  %all be s tak5 into acc\nt4  7#b7

 ,coord9ation ) fund+ requirem5ts ,9 !  
case ( a plan :i* receives a loan "u    
section #d7;a7 ( ! ,rehabilitation =    
,multiemploy] ,p5sions ,act-- 7,a7      
annuity contracts pur*as$ & portfolios  
implem5t$ "u section #d7;d77#c7 ( su*   
,act1 & ! b5efits provid$ to p>ticipants
 & b5efici>ies "u su* contracts or      
portfolios1 %all n be tak5 into acc\nt 9
 det]m9+ m9imum requir$ contributions "u
 section #dab1  7,b7 paym5ts on ! int]e/
 & pr9cipal "u ! loan1 & any b5efits ow$
 9 excess ( ^? provid$ "u su* contracts 
or portfolios1 %all be tak5 into acc\nt 
z liabilities = purposes ( su* section1 
&  7,c7 if su* a portfolio is project$  
due to unfavorable inve/m5t or actu>ial 
exp]i5ce to be unable to fully satisfy !
 liabilities :i* x cov]s1 ! am\nt ( !   
liabilities project$ to be unsatisfi$   
%all be tak5 into acc\nt z liabilities =
 purposes ( su* section4  4  7b7        
,am5dm5t to ,employee ,retirem5t ,income
 ,security ,act ( #aigd ,section #cje ( 
! ,employee ,retirem5t ,income ,security

 ,act ( #aigd 7#bi ,u4,s4,c4 #ajhe7 is  
am5d$ by add+ at ! end ! foll[+ new     
subsection3  7k7 ,special rules = plans 
receiv+ p5sion rehabilitation loans     
7#a7 ,det]m9ation ( )drawal liability   
7,a7 ,9 g5]al ,if any employ] p>ticipat+
 9 a plan at ! "t ! plan receives a loan
 "u section #d7;a7 ( ! ,rehabilitation =
 ,multiemploy] ,p5sions ,act )draws f ! 
plan be=e ! end ( ! #cj-ye> p]iod beg9n+
 on ! date ( ! loan1 ! )drawal liability
 ( su* employ] %all be det]m9$--  7i7 by
 apply+ section #dbai7;c77#a77;,d7 z if 
! plan 7 t]m9at+ by ! )drawal ( e       
employ] f ! plan1 &  7ii7 by det]m9+ !  
value ( non=feitable b5efits "u ! plan  
at ! "t ( ! deem$ t]m9ation by us+ !    
int]e/ assumptions prescrib$ = purposes 
( section #djdd1 z prescrib$ 9 !        
regulations "u section #dbha 9 ! case ( 
su* a mass )drawal4  7,b7 ,annuity      
contracts & inve/m5t portfolios pur*as$ 
) loan funds ,annuity contracts pur*as$ 
& portfolios implem5t$ "u section       
#d7;d77#c7 ( ! ,rehabilitation =        

,multiemploy] ,p5sions ,act %all n be   
tak5 into acc\nt 9 det]m9+ ! )drawal    
liability ( any employ] "u subp>agraph  
7,a71 b ! am\nt equal to ! great] (--   
7i7 ! b5efits provid$ "u su* contracts  
or portfolios to p>ticipants &          
b5efici>ies1 or  7ii7 ! rema9+ paym5ts  
due on ! loan "u section #d7;a7 ( su*   
,act1  %all be s tak5 into acc\nt4  7#b7
 ,coord9ation ) fund+ requirem5ts ,9 !  
case ( a plan :i* receives a loan "u    
section #d7;a7 ( ! ,rehabilitation =    
,multiemploy] ,p5sions ,act-- 7,a7      
annuity contracts pur*as$ & portfolios  
implem5t$ "u section #d7;d77#c7 ( su*   
,act1 & ! b5efits provid$ to p>ticipants
 & b5efici>ies "u su* contracts or      
portfolios1 %all n be tak5 into acc\nt 9
 det]m9+ m9imum requir$ contributions "u
 section #cjb1  7,b7 paym5ts on ! int]e/
 & pr9cipal "u ! loan1 & any b5efits ow$
 9 excess ( ^? provid$ "u su* contracts 
or portfolios1 %all be tak5 into acc\nt 
z liabilities = purposes ( su* section1 
&  7,c7 if su* a portfolio is project$  

due to unfavorable inve/m5t or actu>ial 
exp]i5ce to be unable to fully satisfy !
 liabilities :i* x cov]s1 ! am\nt ( !   
liabilities project$ to be unsatisfi$   
%all be tak5 into acc\nt z liabilities =
 purposes ( su* section4  4  #f4        
,issuance ( ,treasury bonds  7a7 ,9     
g5]al ,! ,secret>y ( ! ,treasury %all   
issue bonds z au?oriz$ by section #cajb 
( title #ca1 ,unit$ ,/ates ,code1 9 an  
am\nt necess>y to fund ! loan program "u
 section #d ( ?is ,act1 z det]m9$ 9     
consultation ) ! ,director ( ! ,p5sion  
,rehabilitation ,adm9i/ration e/abli%$  
"u section #b4  7b7 ,transf]s to ,p5sion
 ,rehabilitation ,tru/ ,fund ,!         
,secret>y ( ! ,treasury %all f "t to "t 
transf] an am\nt equal to ! proce$s ( ! 
issue "u subsection 7a71 f ! g5]al fund 
( ! ,treasury to ! ,p5sion              
,rehabilitation ,tru/ ,fund e/abli%$ "u 
section #ieab ( ! ,int]nal ,rev5ue ,code
 ( #aihf4  #g4 ,reports ( plans receiv+ 
p5sion rehabilitation loans  7a7 ,9     
g5]al ,subp>t ,e ( "p ,,iii ( sub*apt]  

,a ( *apt] #fa ( ! ,int]nal ,rev5ue     
,code ( #aihf is am5d$ by add+ at ! end 
! foll[+ new section3  #fjei;,a4        
,reports ( plans receiv+ p5sion         
rehabilitation loans  7a7 ,9 g5]al ,9 ! 
case ( a plan receiv+ a loan "u section 
#d7;a7 ( ! ,rehabilitation =            
,multiemploy] ,p5sions ,act1 ) respect  
to ! fir/ plan ye> beg9n+ aft] ! date ( 
! loan & ea* ( ! #bi succe$+ plan ye>s1 
n lat] ?an ! #ij? day ( ea* su* plan ye>
 ! plan sponsor %all file ) ! ,secret>y 
a report 7includ+ appropriate           
docum5tation & actu>ial c]tifications f 
! plan actu>y1 z requir$ by ! ,secret>y7
 t conta9s--  7#a7 ! fund$ p]c5tage 7z  
def9$ 9 section #dcb7;j77#b77 z ( ! fir/
 day ( su* plan ye>1 & ! und]ly+        
actu>ial value ( assets 7det]m9$ )      
reg>d1 & )\t reg>d1 to annuity contracts
 pur*as$ & portfolios implem5t$ )       
proce$s ( su* loan7 & liabilities       
7includ+ any am\nts due ) respect to su*
 loan7 tak5 into acc\nt 9 det]m9+ su*   
p]c5tage1  7#b7 ! m>ket value ( ! assets

 ( ! plan 7det]m9$ z provid$ 9 p>agraph 
7#a77 z ( ! la/ day ( ! plan ye> prec$+ 
su* plan ye>1  7#c7 ! total value ( all 
contributions made by employ]s &        
employees dur+ ! plan ye> prec$+ su*    
plan ye>1  7#d7 ! total value ( all     
b5efits paid dur+ ! plan ye> prec$+ su* 
plan ye>1  7#e7 ca% fl[ projections =   
su* plan ye> & ! #i succe$+ plan ye>s1 &
 ! assumptions us$ 9 mak+ su*           
projections1  7#f7 fund+ /&>d acc\nt    
projections = su* plan ye> & ! #i       
succe$+ plan ye>s1 & ! assumptions reli$
 ^u 9 mak+ su* projections1  7#g7 !     
total value ( all inve/m5t ga9s or      
losses dur+ ! plan ye> prec$+ su* plan  
ye>1  7#h7 any significant r$uction 9 ! 
numb] ( active p>ticipants dur+ ! plan  
ye> prec$+ su* plan ye>1 & ! reason =   
su* r$uction1  7#i7 a li/ ( employ]s t  
)drew f ! plan 9 ! plan ye> prec$+ su*  
plan ye>1 & ! result+ r$uction 9        
contributions1  7#aj7 a li/ ( employ]s t
 paid )drawal liability to ! plan dur+ !
 plan ye> prec$+ su* plan ye> &1 = ea*  

employ]1 a total assessm5t ( ! )drawal  
liability paid1 ! annual paym5t am\nt1 &
 ! numb] ( ye>s rema9+ 9 ! paym5t s*$ule
 ) respect to su* )drawal liability1    
7#aa7 any mat]ial *anges to b5efits1    
accrual rates1 or contribution rates    
dur+ ! plan ye> prec$+ su* plan ye>1 &  
:e!r su* *anges relate to ! t]ms ( !    
loan1  7#ab7 details reg>d+ any fund+   
improvem5t plan or rehabilitation plan &
 updates to su* plan1  7#ac7 ! numb] (  
p>ticipants & b5efici>ies dur+ ! plan   
ye> prec$+ su* plan ye> :o are active   
p>ticipants1 ! numb] ( p>ticipants &    
b5efici>ies 9 pay /atus1 & ! numb] (    
t]m9at$ ve/$ p>ticipants & b5efici>ies1 
7#ad7 ! am\nt ( any f9ancial assi/ance  
receiv$ "u section #dbfa ( ! ,employee  
,retirem5t ,income ,security ,act (     
#aigd to pay b5efits dur+ ! prec$+ plan 
ye>1 & ! total am\nt ( su* f9ancial     
assi/ance receiv$ = all prec$+ ye>s1    
7#ae7 ! in=mation conta9$ on ! mo/ rec5t
 annual fund+ notice submitt$ by ! plan 
"u section #aja7;f7 ( ! ,employee       

,retirem5t ,income ,security ,act (     
#aigd1  7#af7 ! in=mation conta9$ on !  
mo/ rec5t annual return "u section #fjeh
 & actu>ial report "u section #fjei ( ! 
plan1 &  7#ag7 copies ( ! plan docum5t &
 am5dm5ts1 o!r retirem5t b5efit or      
ancill>y b5efit plans relat+ to ! plan &
 contribution obligations "u su* plans1 
a breakd[n ( adm9i/rative exp5ses ( !   
plan1 p>ticipant c5sus data &           
di/ribution ( b5efits1 ! mo/ rec5t      
actu>ial valuation report z ( ! plan    
ye>1 copies ( collective b>ga9+         
agreem5ts1 & f9ancial reports1 & su* o!r
 in=mation z ! ,secret>y1 9 consultation
 ) ! ,director ( ! ,p5sion              
,rehabilitation ,adm9i/ration1 may      
require4  7b7 ,electronic submission ,! 
report requir$ "u subsection 7a7 %all be
 submitt$ electronically4  7c7          
,in=mation %>+ ,! ,secret>y %all %>e !  
in=mation 9 ! report "u subsection 7a7 )
 ! ,secret>y ( ,labor & ! ,director ( ! 
,p5sion ,b5efit ,gu>anty ,corporation4  
7d7 ,report to p>ticipants1 b5efici>ies1

 & employ]s ,ea* plan sponsor requir$ to
 file a report "u subsection 7a7 %all1  
be=e ! expiration ( ! "t prescrib$ = !  
fil+ ( su* report1 also provide a summ>y
 7writt5 9 a mann] s z to be und]/ood by
 ! av]age plan p>ticipant7 ( ! in=mation
 9 su* report to p>ticipants &          
b5efici>ies 9 ! plan & to ea* employ] ) 
an obligation to contribute to ! plan4  
4  7b7 ,p5alty ,subsection 7e7 ( section
 #ffeb ( ! ,int]nal ,rev5ue ,code (     
#aihf is am5d$-- 7#a7 by ins]t+ 1       
#fjei;,a 7relat+ to reports ( plans     
receiv+ p5sion rehabilitation loans7    
aft] def]r$ comp5sation72  7#b7 by      
ins]t+ 7#ajj 9 ! case ( failures "u     
section #fjei;,a7 aft] #be2 &  7#c7 by  
add+ at ! end ! foll[+3 ,9 ! case ( a   
failure ) respect to section #fjei;,a1 !
 am\nt impos$ "u ?is subsection %all n  
be paid f ! assets ( ! plan44  7c7      
,cl]ical am5dm5t ,! table ( sections =  
subp>t ,e ( "p ,,iii ( sub*apt] ,a (    
*apt] #fa ( ! ,int]nal ,rev5ue ,code (  
#aihf is am5d$ by add+ at ! end ! foll[+

 new item3  ,sec4 #fjei;,a4 ,reports (  
plans receiv+ p5sion rehabilitation     
loans4  4  #h4 ,,pbgc f9ancial assi/ance
  7a7 ,9 g5]al ,section #dbfa ( !       
,employee ,retirem5t ,income ,security  
,act ( #aigd 7#bi ,u4,s4,c4 #adca7 is   
am5d$ by add+ at ! end ! foll[+ new     
subsection3  7d7  7#a7 ,! plan sponsor (
 a multiemploy] plan-- 7,a7 :i* is 9    
critical & decl9+ /atus 7)9 ! mean+ (   
section #cje7;b77#f771 or  7,b7 :i* is  
insolv5t b has n be5 t]m9at$ & is       
receiv+ assi/ance f ! corporation 7o!r  
?an assi/ance "u ?is subsection71  & :i*
 is apply+ = a loan "u section #d7;a7 ( 
! ,rehabilitation = ,multiemploy]       
,p5sions ,act may also apply to !       
corporation = f9ancial assi/ance "u ?is 
subsection1 by jo9tly submitt+ su*      
applications 9 accordance ) section     
#d7;d77#b7 ( su* ,act4 ,! application = 
f9ancial assi/ance "u ?is subsection    
%all demon/rate1 bas$ on projections by 
! plan actu>y1 t aft] ! receipt ( !     
anticipat$ loan am\nt "u section #d7;a7 

( su* ,act1 ! plan w /ill become 7or    
rema97 insolv5t )9 ! #cj-ye> p]iod      
beg9n+ on ! date ( ! loan4  7#b7 ,9 !   
case ( a plan describ$ 9 p>agraph       
7#a77;,a71 ! f9ancial assi/ance provid$ 
pursuant to su* application "u ?is      
subsection %all be ! am\nt 7det]m9$ by !
 plan actu>y & submitt$ on !            
application7 equal to ! sum (--  7,a7 ! 
p]c5tage ( b5efits ( p>ticipants &      
b5efici>ies ( ! plan 9 pay /atus at ! "t
 ( ! application1 &  7,b7 ! p]c5tage (  
future b5efits to :i* p>ticipants :o h  
sep>at$ f s]vice b are n yet 9 pay /atus
 are entitl$1  :i*1 if su* p]c5tage 7   
paid by ! corporation 9 comb9ation ) !  
loan1 w\ld all[ ! plan to avoid !       
project$ insolv5cy & be project$ to h   
increas+ assets ov] any #e-ye> p]iod    
foll[+ ! repaym5t ( ! loan4 ,su* am\nt  
%all n exce$ ! maximum gu>ante$ b5efit )
 respect to all p>ticipants &           
b5efici>ies ( ! plan "u sections        
#djbb;,a & #djbb;,b4 ,= ?is purpose1 !  
maximum gu>ante$ b5efit am\nt %all be   

det]m9$ by disreg>d+ any loan available 
f ! ,p5sion ,rehabilitation             
,adm9i/ration & %all be det]m9$ z if !  
plan 7 insolv5t on ! date ( !           
application4 ,fur!r1 ! pres5t value ( ! 
maximum gu>ante$ b5efit am\nt ) respect 
to su* p>ticipants & b5efici>ies may be 
calculat$ 9 ! aggregate1 r ?an by       
ref]5ce to ! b5efit ( ea* su* p>ticipant
 or b5efici>y4  7#c7 ,9 ! case ( a plan 
describ$ 9 p>agraph 7#a77;,b71 !        
f9ancial assi/ance provid$ pursuant to  
su* application "u ?is subsection %all  
be ! am\nt 7det]m9$ by ! plan actu>y &  
submitt$ on ! application7 :i*1 if su*  
am\nt 7 paid by ! corporation 9         
comb9ation ) ! loan & any o!r assi/ance 
be+ provid$ to ! plan by ! corporation  
at ! "t ( ! application1 w\ld enable !  
plan to em]ge f insolv5cy4  7#d7        
,subsections 7b7 & 7c7 %all apply to    
f9ancial assi/ance "u ?is subsection z  
if x 7 provid$ "u subsection 7a71 except
 t ! t]ms = repaym5t "u subsection      
7b77#b7 %all n require ! f9ancial       

assi/ance to be repaid be=e ! date on   
:i* ! loan "u section #d7;a7 ( !        
,rehabilitation = ,multiemploy] ,p5sions
 ,act is repaid 9 full4  7#e7 ,!        
corporation may =go repaym5t ( !        
f9ancial assi/ance provid$ "u ?is       
subsection if necess>y to avoid any     
susp5sion ( ! accru$ b5efits (          
p>ticipants4  4  7b7 ,appropriations    
,!re is appropriat$ to ! ,director ( !  
,p5sion ,b5efit ,gu>anty ,corporation   
su* sums z may be necess>y = ea* fiscal 
ye> to provide ! f9ancial assi/ance     
describ$ 9 section #dbfa7;d7 ( !        
,employee ,retirem5t ,income ,security  
,act ( #aigd 7#bi ,u4,s4,c4 #adca7;d77  
7z add$ by ?is section7 7includ+        
necess>y adm9i/rative & op]at+ exp5ses  
relat+ to su* assi/ance74