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$20 Billion Underfunding of Central States Pension Plan May Tie Treasury Department's Hands on MPRA Benefit Suspensions
Milliman
May 6, 2016 "In Central States' case, it may not even matter if the participants are in the majority against [the benefit suspension plan].... [MPRA] requires Treasury to determine if the plan in question is a 'systemically important plan' ... one that, absent MPRA suspensions, would be estimated to require more than $1 billion in assistance from the PBGC to support retiree benefits at guarantee levels as a result of the plan's insolvency. Central States is believed to be such a plan. In this case, Treasury would override the participants' vote and implement the suspensions anyway, although it could modify the terms[.]" MORE >> |
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