[Federal Register Volume 59, Number 51 (Wednesday, March 16, 1994)] [Unknown Section] [Page 0] From the Federal Register Online via the Government Publishing Office [www.gpo.gov] [FR Doc No: 94-6046] Federal Register / Vol. 59, No. 51 / Wednesday, March 16, 1994 / [[Page Unknown]] [Federal Register: March 16, 1994] VOL. 59, NO. 51 Wednesday, March 16, 1994 ======================================================================= ----------------------------------------------------------------------- OFFICE OF PERSONNEL MANAGEMENT 5 CFR Parts 831, 838, 842, and 890 RIN 3206-AF66 Payment of Survivor Deposits by Actuarial Reduction AGENCY: Office of Personnel Management. ACTION: Final rule. ----------------------------------------------------------------------- SUMMARY: The Office of Personnel Management (OPM) is adopting its interim regulations to implement section 11004 of the Omnibus Budget Reconciliation Act of 1993 as final. The Act requires OPM to reduce a retiree's annuity instead of collecting a deposit when the retiree marries during retirement and elects to provide a survivor annuity for the new spouse. These regulations comply with the requirement that OPM establish, by regulation, the method for computing the reduction on an actuarial basis. These regulations also reorganize OPM's survivor elections and survivor annuity regulations for the Civil Service Retirement System to group together sections on similar subjects and provide a more detailed table of contents to make the regulations easier to use. EFFECTIVE DATE: April 15, 1994. FOR FURTHER INFORMATION CONTACT: Harold L. Siegelman, (202) 606-0299. SUPPLEMENTARY INFORMATION: On October 13, 1993, we published (at 58 FR 56877) interim regulations concerning survivor elections under the Civil Service Retirement System (CSRS) and the Federal Employees Retirement System (FERS) and survivor annuities under CSRS. The interim regulations implemented the statutory change in the way we collect survivor election deposits for post-retirement marriage. The interim regulations also reorganized subpart F of our CSRS regulations to make it easier to use. We also requested comments on the interim regulations. We received no comments. Under section 11004 of the Omnibus Budget Reconciliation Act of 1993, Public Law 103-66, effective October 1, 1993, OPM will no longer collect these deposits in either a lump sum or by installments. Instead, OPM is now required to establish a permanent actuarial reduction in the annuity of the retiree. This means that OPM must take the amount of the deposit computed under the old law, and ``translate'' it into a lifetime reduction in the retiree's benefit. The reduction is based on actuarial tables, similar to those used for alternative forms of annuity under sections 8343a and 8420a of title 5, United States Code. The following three charts contain the present value factors that will apply beginning on the first day of the month beginning on or after the effective date of the final regulations. These present value factors have been revised to reflect the new economic assumption adopted by the Board of Actuaries of the Civil Service Retirement and Disability Fund. On September 21, 1993, we published (at 58 FR 49066) the new economic assumption as part of the notice of change in FERS normal cost percentage effective at the beginning of fiscal year 1995. CSRS Present Value Factors ------------------------------------------------------------------------ Reduction Age factor ------------------------------------------------------------------------ 40......................................................... 294.4 41......................................................... 290.0 42......................................................... 285.5 43......................................................... 280.8 44......................................................... 276.2 45......................................................... 270.4 46......................................................... 264.7 47......................................................... 259.2 48......................................................... 253.5 49......................................................... 247.2 50......................................................... 240.4 51......................................................... 235.0 52......................................................... 229.8 53......................................................... 224.4 54......................................................... 218.6 55......................................................... 212.6 56......................................................... 207.5 57......................................................... 202.4 58......................................................... 197.0 59......................................................... 192.3 60......................................................... 188.3 61......................................................... 182.9 62......................................................... 177.0 63......................................................... 171.9 64......................................................... 166.5 65......................................................... 161.1 66......................................................... 156.0 67......................................................... 150.7 68......................................................... 145.4 69......................................................... 140.2 70......................................................... 134.7 71......................................................... 129.4 72......................................................... 124.0 73......................................................... 118.8 74......................................................... 113.6 75......................................................... 108.5 76......................................................... 103.5 77......................................................... 98.7 78......................................................... 93.9 79......................................................... 89.4 80......................................................... 84.9 81......................................................... 80.5 82......................................................... 76.3 83......................................................... 72.3 84......................................................... 68.4 85......................................................... 64.7 86......................................................... 61.2 87......................................................... 57.9 88......................................................... 54.7 89......................................................... 51.8 90......................................................... 48.9 ------------------------------------------------------------------------ FERS Present Value Factors for Regular Employees ------------------------------------------------------------------------ Reduction Age factor ------------------------------------------------------------------------ 40......................................................... 169.2 41......................................................... 168.8 42......................................................... 168.4 43......................................................... 168.1 44......................................................... 167.7 45......................................................... 166.9 46......................................................... 166.1 47......................................................... 165.4 48......................................................... 164.7 49......................................................... 163.7 50......................................................... 162.4 51......................................................... 161.9 52......................................................... 161.6 53......................................................... 161.2 54......................................................... 160.6 55......................................................... 160.0 56......................................................... 160.0 57......................................................... 160.2 58......................................................... 160.4 59......................................................... 161.2 60......................................................... 162.7 61......................................................... 163.5 62......................................................... 161.3 63......................................................... 157.1 64......................................................... 152.5 65......................................................... 148.0 66......................................................... 143.6 67......................................................... 139.1 68......................................................... 134.6 69......................................................... 130.1 70......................................................... 125.4 71......................................................... 120.7 72......................................................... 116.0 73......................................................... 111.4 74......................................................... 106.8 75......................................................... 102.2 76......................................................... 97.8 77......................................................... 93.5 78......................................................... 89.2 79......................................................... 85.0 80......................................................... 80.9 81......................................................... 77.0 82......................................................... 73.1 83......................................................... 69.4 84......................................................... 65.8 85......................................................... 62.4 86......................................................... 59.1 87......................................................... 56.0 88......................................................... 53.0 89......................................................... 50.2 90......................................................... 47.5 ------------------------------------------------------------------------ FERS Present Value Factors for Law Enforcement Officers, Firefighters, Air Traffic Controllers, and Military Reserve Technicians Who Retire Under 5 U.S.C. 8414(c) by Reason of Disability ------------------------------------------------------------------------ Reduction Age factor ------------------------------------------------------------------------ 40......................................................... 245.2 41......................................................... 241.9 42......................................................... 238.5 43......................................................... 235.0 44......................................................... 231.5 45......................................................... 227.9 46......................................................... 224.2 47......................................................... 220.3 48......................................................... 216.5 49......................................................... 212.6 50......................................................... 208.6 51......................................................... 204.5 52......................................................... 200.3 53......................................................... 196.1 54......................................................... 191.8 55......................................................... 187.4 56......................................................... 183.1 57......................................................... 178.6 58......................................................... 174.2 59......................................................... 169.7 60......................................................... 165.1 61......................................................... 160.4 ------------------------------------------------------------------------ (Age 62 and over, see table for regular employees.) Regulatory Flexibility Act I certify that this regulation will not have a significant economic impact on a substantial number of small entities because the regulation will only affect Federal employees and agencies and retirement payments to retired Government employees and their survivors. List of Subjects 5 CFR Parts 831 and 842 Administrative practice and procedure, Air traffic controllers, Claims, Disability benefits, Firefighters, Government employees, Income taxes, Intergovernmental relations, Law enforcement officers, Pensions, Reporting and recordkeeping requirements, Retirement. 5 CFR Part 838 Administrative practice and procedure, Claims, Disability benefits, Government employees, Income taxes, Pensions, Retirement, Courts. 5 CFR Part 890 Administrative practice and procedure, Government employees, Health facilities, Health insurance, Health professionals, Hostages, Reporting and recordkeeping requirements, Retirement. U.S. Office of Personnel Management. Lorraine A. Green, Deputy Director. Accordingly, under authority of 5 U.S.C. 8347, 8461, and 8913, OPM is adopting its interim rules amending 5 CFR parts 831, 838, 842, and 890 published on October 13, 1993, at 58 FR 56877, as final rules without change. [FR Doc. 94-6046 Filed 3-15-94; 8:45 am] BILLING CODE 6325-01-M
