Employee Retirement Income Security Act of 1974 Section 408(a) Prohibited Transaction Provisions Exemption Application Procedure

Forms and Documents

Document	Type	Status	Availability
1210-0060 408(a) procedure SS (clean) 3.2.22.docx	Supporting Statement A	Uploaded 2022-03-02	Repair queued
29 CFR § 2570.30 - Scope of rules.pdf	Supplementary Document	Uploaded 2021-02-03	Repair queued
26 USC 4975.pdf	Supplementary Document	Uploaded 2021-02-03	Repair queued
29 USC 1108.pdf	Supplementary Document	Uploaded 2021-02-03	Repair queued

IC Document Collections

IC ID	Collection	Type	Status	Form
13362	Employee Retirement Income Security Act of 1974 Section 408(a) Prohibited Transaction Provisions Exemption Application Procedure		Modified

ICR Details

OMB Control No: 1210-0060	ICR Reference No: 202203-1210-002
Status: Received in OIRA	Previous ICR Reference No: 202012-1210-005
Agency/Subagency: DOL/EBSA	Agency Tracking No:
Title: Employee Retirement Income Security Act of 1974 Section 408(a) Prohibited Transaction Provisions Exemption Application Procedure
Type of Information Collection: Revision of a currently approved collection	Common Form ICR:  No
Type of Review Request: Regular	Date Submitted to OIRA: 03/15/2022

	Requested	Previously Approved
Expiration Date	36 Months From Approved	04/30/2024
Responses	5,799	4,899
Time Burden (Hours)	3,045	632
Cost Burden (Dollars)	1,846	551,422

---

Abstract: Section 408(a) of the Employee Retirement Income Security Act of 1974 (ERISA) and section 4975(c)(2) of the Internal Revenue Code of 1986 (the Code) authorizes the Secretary of Labor and the Secretary of the Treasury to establish an exemption procedure in order to grant a conditional or unconditional exemption of any fiduciary, disqualified person or class of fiduciaries, or orders of disqualified persons or transactions, from all or part of the restrictions imposed by sections 406 and 407(a) of ERISA and from the taxes imposed by section 4975(a) and (b) of the Code, by reason of section 4975(c)(1) of the Code. This collection provides the Secretary with information needed to grant exemptions from the prohibited transaction sections of 406 and 407(a) of ERISA.

---

Authorizing Statute(s): US Code: 26 USC 4975(c)(2) Name of Law: Internal Revenue Code
   US Code: 29 USC 1108 Name of Law: Employee Retirement Income Security Act of 1974
  

Citations for New Statutory Requirements: None

---

Associated Rulemaking Information
RIN:	Stage of Rulemaking:	Federal Register Citation:	Date:
1210-AC05	Proposed rulemaking	87 FR 14722	03/15/2022

---

Federal Register Notices & Comments

Did the Agency receive public comments on this ICR? No

---

Number of Information Collection (IC) in this ICR: 1

IC Title	Form No.	Form Name
Employee Retirement Income Security Act of 1974 Section 408(a) Prohibited Transaction Provisions Exemption Application Procedure

---

ICR Summary of Burden

	Total Request	Previously Approved	Change Due to New Statute	Change Due to Agency Discretion	Change Due to Adjustment in Estimate	Change Due to Potential Violation of the PRA
Annual Number of Responses	5,799	4,899	0	0	900	0
Annual Time Burden (Hours)	3,045	632	0	1,061	1,352	0
Annual Cost Burden (Dollars)	1,846	551,422	0	0	-549,576	0

Burden increases because of Program Change due to Agency Discretion: Yes

Burden Increase Due to: Miscellaneous Actions

Burden decreases because of Program Change due to Agency Discretion: No

Burden Reduction Due to:

Short Statement: The Department has increased the total burden estimates due to both an update in the number of reponses and the additional burden brought forth by the proposed changes to the exemption procedure regulation. The Department has updated the burden estimates to reflect a increase in the number of exemption applications and the number of exemptions granted and proposed, relative to the last submission. This new estimated burden totals approximately 1,984 hours, and was accompanied by an increase in the cost of labor and postage. Due to the proposed revisions to the requirements set forth in subsections (c) through (f), the Department takes into account the additional burden on qualified independent appraisers and qualified independent fiduciaries that will be involved in exemption transactions. The Department also estimates additional burden due to the amendments to section 2730.31(k) and section 2570.34(d) will be placed on those entities that do not submit a pre-submission application. In total, the Department estimates that the proposed amendments will add 1,061 hours to the total burden.

---

Annual Cost to Federal Government: $10,486

Does this IC contain surveys, censuses, or employ statistical methods? No

Does this ICR request any personally identifiable information (see OMB Circular No. A-130 for an explanation of this term)? Please consult with your agency's privacy program when making this determination.     No

Does this ICR include a form that requires a Privacy Act Statement (see 5 U.S.C. §552a(e)(3))? Please consult with your agency's privacy program when making this determination.     No

Is this ICR related to the Affordable Care Act [Pub. L. 111-148 & 111-152]? No

Is this ICR related to the Dodd-Frank Wall Street Reform and Consumer Protection Act, [Pub. L. 111-203]? No

Is this ICR related to the American Recovery and Reinvestment Act of 2009 (ARRA)? No

Is this ICR related to the Pandemic Response? No

---

Common Form ICR:  No

---

On behalf of this Federal agency, I certify that the collection of information encompassed by this request complies with 5 CFR 1320.9 and the related provisions of 5 CFR 1320.8(b)(3).

The following is a summary of the topics, regarding the proposed collection of information, that the certification covers:

(a) It is necessary for the proper performance of agency functions;

(b) It avoids unnecessary duplication;

(c) It reduces burden on small entities;

(d) It uses plain, coherent, and unambiguous language that is understandable to respondents;

(e) Its implementation will be consistent and compatible with current reporting and recordkeeping practices;

(f) It indicates the retention periods for recordkeeping requirements;

(g) It informs respondents of the information called for under 5 CFR 1320.8 (b)(3) about:

(i) Why the information is being collected;

(ii) Use of information;

(iii) Burden estimate;

(iv) Nature of response (voluntary, required for a benefit, or mandatory);

(v) Nature and extent of confidentiality; and

(vi) Need to display currently valid OMB control number;

(h) It was developed by an office that has planned and allocated resources for the efficient and effective management and use of the information to be collected.

(i) It uses effective and efficient statistical survey methodology (if applicable); and

(j) It makes appropriate use of information technology.

If you are unable to certify compliance with any of these provisions, identify the item by leaving the box unchecked and explain the reason in the Supporting Statement.

Certification Date: 03/15/2022

---