97-28917. Proposed Extension of Information Collection Request Submitted for Public Comment and Recommendations; Summary Plan Descriptions Under ERISA

[Federal Register Volume 62, Number 211 (Friday, October 31, 1997)]
[Notices]
[Page 59003]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 97-28917]



[[Page 59003]]

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DEPARTMENT OF LABOR

Pension and Welfare Benefits Administration


Proposed Extension of Information Collection Request Submitted 
for Public Comment and Recommendations; Summary Plan Descriptions Under 
ERISA

ACTION: Notice.

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SUMMARY: The Department of Labor, as part of its continuing effort to 
reduce paperwork and respondent burden, provides the general public and 
Federal agencies with an opportunity to comment on proposed and/or 
continuing collections of information in accordance with the Paperwork 
Reduction Act of 1995 (44 U.S.C. Chapter 35). This program helps to 
ensure that requested data can be provided in the desired format, 
reporting burden (time and financial resources) is minimized, 
collection instruments are clearly understood, and the impact of 
collection requirements on respondents can be properly assessed. 
Currently, the Pension and Welfare Benefits Administration is 
soliciting comments concerning the proposed extension of a currently 
approved collection of information, Summary Plan Description 
Requirements under the Employee Retirement Income Security Act (ERISA). 
A copy of the proposed ICR can be obtained by contacting the employee 
listed below in the contact section of this notice.

DATES: Written comments must be submitted on or before December 30, 
1997. The Department of Labor is particularly interested in comments 
which:
     Evaluate whether the proposed collection of information is 
necessary for the proper performance of the functions of the agency, 
including whether the information will have practical utility;
     Evaluate the accuracy of the agency's estimate of the 
burden of the proposed collection of information, including the 
validity of the methodology and assumptions used;
     Enhance the quality, utility, and clarity of the 
information to be collected; and
     Minimize the burden of the collection of information on 
those who are to respond, including through the use of appropriate 
automated, electronic, mechanical, or other technological collection 
techniques or other forms of information technology, e.g., permitting 
electronic submissions of responses.

ADDRESSES: Gerald B. Lindrew, Department of Labor, Pension and Welfare 
Benefits Administration, 200 Constitution Avenue, NW., Room N-5647, 
Washington, DC 20210. Telephone: [phone] (this is not a toll-free 
number). Fax: [phone].

SUPPLEMENTARY INFORMATION:

I. Background

    The administrator of an employee benefit plan is required to 
furnish a Summary Plan Description (SPD) to each participant covered 
under the plan and to each beneficiary who is receiving benefits under 
the plan. The SPD must be written in a manner calculated to be 
understood by the average plan participant and must be sufficiently 
comprehensive to apprise the plan's participants and beneficiaries of 
their rights and obligations under the plan. To the extent that there 
is a material modification in the terms of the plan or a change in the 
information required to be contained in the SPD, ERISA requires that 
the administrator furnish participants covered under the plan and 
beneficiaries receiving benefits with a summary of such changes (SMM). 
The Health Insurance Portability and Accountability Act (HIPAA) and the 
Newborns' and Mothers' Health Protection Act (NMHPA) amend certain 
reporting and disclosure provisions of ERISA. On April 8, 1997, the 
Department of Labor issued Interim Rules Amending ERISA Disclosure 
Requirements for Group Health Plans with an information collection 
request (ICR). 62 F.R. 31695. OMB approved this ICR through December 
31, 1997 under OMB control number 1210-0039. Subsequently, the 
Department published the OMB control number in the Federal Register. 62 
FR 36205 (July 7, 1997).

II. Current Actions

    Pension and Welfare Benefits Administration proposes to extend the 
currently approved information collection requirements of ERISA's 
Summary Plan Description Requirements.
    Type of Review: Extension of a currently approved collection.
    Agency: Pension and Welfare Benefits Administration.
    Title: Summary Plan Description Requirements under ERISA.
    OMB Number: 1210-0039.
    Affected Public: Business or other for-profit, Not-for-profit 
institutions, Individuals.
    Total Responses (annual): 43,952,715 (1997), 62,728,915 (1998), 
31,896,715 (1999).
    Total Respondents (annual): 176,315 (1997), 194,235 (1998), 163,515 
(1999).
    Frequency: On occasion.
    Average Time per Response: 
    Average SPD/SMM--We estimate it takes an average of 6 hours for 
preparation of SPDs/SMMs, including the time to copy and assemble the 
document.
    SMM Compliance--We estimate that preparation of an SMM sufficient 
to satisfy the requirements of the Interim Rules will take an average 
of 1 hour.
    Distribution--We estimate that 2 minutes per participant is the 
time needed to distribute an SMM/SPD, including time spent reproducing 
the document and mailing the document.
    Estimated Total Burden Hours: 1,007,425 (1997), 1,130,283 (1998), 
942,980 (1999).
    There is estimated to be no capital/start-up cost.
    Total Burden Cost for operating/maintenance is estimated to be 
$72,310,858 in 1997, $82,338,958 in 1998 and $65,002,858 in 1999.

    Note. The average Time Per Response, Estimated Total Burden 
Hours, and Total Burden Cost have been estimated without accounting 
for those respondents that will implement the ``alternative 
mechanisms to delivery by mail'' provision contained in the interim 
rules. It is expected that some respondents will use these 
alternatives, and that these alternatives will reduce burden hours 
and costs.

    Comments submitted in response to this notice will be summarized 
and/or included in the request for Office of Management and Budget 
approval of the ICR; they will also become a matter of public record.

    Dated: October 28, 1997.
Gerald B. Lindrew,
Deputy Director, Pension and Welfare Benefits Administration, Office of 
Policy and Research.
[FR Doc. 97-28917 Filed 10-30-97; 8:45 am]
BILLING CODE 4510-29-M