[Federal Register Volume 61, Number 232 (Monday, December 2, 1996)]
[Notices]
[Pages 63870-63871]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 96-30605]
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DEPARTMENT OF LABOR
Pension and Welfare Benefits Administration
Proposed Information Collection Request Submitted for Public
Comment and Recommendations; Prohibited Transaction Class Exemption 91-
38
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 (PRA 95) (44 U.S.C. 3506(c)(2)(A)). This program
helps to ensure that requested data can be provided in the desired
format, reporting burden (time and financial resources) is minimized,
collection instruments are clearly understood, and the impact of
collection requirements on respondents can be properly assessed.
Currently, the Pension and Welfare Benefits Administration is
soliciting comments concerning the proposed extension of a currently
approved collection of information, Prohibited Transaction Class
Exemption 91-38. A copy of the proposed information collection request
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 January 31,
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 clarify 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.
ADDRESSEE: Gerald B. Lindrew, Department of Labor, Pension and Welfare
Benefits Administration, 200 Constitution Avenue, NW., Washington, DC
20210, (202) 219-7933, FAX (202) 219-4745.
SUPPLEMENTARY INFORMATION:
I. Background
Prohibited Transaction Class Exemption 91-38 provides an exemption
from the prohibited transaction provisions of ERISA for certain
transactions between a bank collective investment fund and persons who
are parties in interest with respect to a plan as long as the plan's
participation in the collective investment fund does not exceed a
specified percentage of the total assets in the collective investment
fund. In order to ensure that the exemption is not abused, that the
rights of participants and beneficiaries are protected, and that
compliance with the exemption's conditions are taking place, DOL has
required that records regarding the exempted transactions be maintained
for six years.
II. Current Actions
This existing collection of information should be continued because
without the exemption, individuals or entities which are parties in
interest of a plan that invests in a bank collective investment fund
would not be able to engage in transactions with the collective
investment fund and would, thus, create a potential hardship to those
affected. For DOL to grant an exemption, however, it needs to assure
that the plan's participants and beneficiaries are protected. It,
therefore, included certain conditions in the exemption, and required
that records be kept for six years from the date of the transaction so
that it can be determined whether these conditions have been followed.
Without such records, DOL and other interested parties, such as
participants, would be unable to effectively enforce the terms of the
exemption and ensure user compliance.
Type of Review: Extension
Agency: Pension and Welfare Benefits Administration
Title: Prohibited Transaction Class Exemption 91-38
OMB Number: 1210-0082
Affected Public: Business or other for-profit, Not-for-profit
institutions, Individuals
Frequency: On occasion
Estimated Total Burden Hours: 1
Respondents, proposed frequency of response, and annual hour
burden: Under ERISA regulation section 2520.103-9, banks sponsoring
collective investment funds are required to
[[Page 63871]]
maintain certain records each year for preparing the annual report or
to be supplied to the plan sponsor to prepare the annual report. In
addition, banks are highly regulated by state and federal law, and
their books and records are subject to periodic examination by state
and federal agencies. Because of the ERISA annual reporting
requirements and the heavy state and federal regulation, the Department
has assumed that the records required by this class exemption are the
same records kept in the normal course of business by banks. Therefore,
the burden of this exemption is minimal, and the Department has
assigned one hour to it.
Total Burden Cost (capital/start-up): $0.00
Total Burden Cost (operating/maintenance): $0.00
Comments submitted in response to this notice will be summarized
and/or included in the request for Office of Management and Budget
approval of the information collection request; they will also become a
matter of public record.
Dated: November 26, 1996.
Gerald B. Lindrew,
Director, Pension and Welfare Benefits Administration, Office of Policy
and Legislative Analysis.
[FR Doc. 96-30605 Filed 11-29-96; 8:45 am]
BILLING CODE 4510-29-M
