SFA Template 7

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Version
v20220701p

v20220701p

Date updated
7/1/2022

TEMPLATE 7

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7a - Assumption/Method Changes for SFA Eligibility
File name: Template 7 Plan Name, where "Plan Name" is an abbreviated version of the plan name.
Instructions for Section C, Item (7)a. of the Instructions for Filing Requirements for Multiemployer Plans Applying for Special Financial Assistance:
Sheet 7a of Template 7 is not required if the plan is eligible for SFA under § 4262.3(a)(2) (MPRA suspensions) or § 4262.3(a)(4) (certain insolvent plans) of PBGC’s special
financial assistance regulation.
Sheet 7a of Template 7 is not required if the plan is eligible based on a certification of plan status completed before January 1, 2021.
Sheet 7a of Template 7 is not required if the plan is eligible based on a certification of plan status completed after December 31, 2020 but reflects the same assumptions as those
in the pre-2021 certification of plan status.
Provide a table identifying which assumptions/methods used in determining the plan's eligibility for SFA differ from those used in the pre-2021 certification of plan status and
brief explanations as to why using those assumptions/methods is no longer reasonable and why the changed assumptions/methods are reasonable.
This table should identify all changed assumptions/methods (including those that are reflected in the Baseline provided in Template 5A or Template 5B) and should be an
abbreviated version of information provided in Section D, Item (6)a. of the SFA filing instructions.
For example, if the mortality assumption used in the pre-2021 certification of plan status is the RP-2000 mortality table, and the plan proposes to change to the Pri-2012(BC)
table, complete one line of the table as follows:

(A)

(B)

(C)

Assumption/Method That Has Changed From
Assumption/Method Used in Most Recent
Certification of Plan Status Completed Prior to
1/1/2021

Brief description of
assumption/method used in the
most recent certification of plan
status completed prior to
1/1/2021

Brief description of
assumption/method used in
showing the plan's eligibility for
SFA (if different)

Brief explanation on why the assumption/method in (A)
is no longer reasonable and why the assumption/method
in (B) is reasonable

Base Mortality Assumption

RP-2000 mortality table

Pri-2012(BC) mortality table

Prior assumption is outdated. New assumption reflects
more recently published experience for blue collar
workers.

Add one line for each assumption/method that has changed from that used in the most recent certification of plan status completed prior to 1/1/2021.
Since this Template 7a is intended as an abbreviated version of more detailed information provided in Section D, Item (6)a. of the SFA filing instructions, it is not necessary to
include full tables of rates at every age (e.g., for retirement, turnover, etc.). Instead, a high level description that focuses on what aspect of the assumption/method has changed is
preferred.

Template 7 - Sheet 7a

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Assumption/Method Changes - SFA Eligibility
PLAN INFORMATION
Abbreviated
Plan Name:
EIN:
PN:
Brief description of basis for qualifying for SFA
(e.g., critical and declining status in 2020,
insolvent plan, critical status and meet other
criteria)
(A)
Assumption/Method That Has Changed From
Assumption/Method Used in Most Recent
Certification of Plan Status Completed Prior to
1/1/2021

(B)

(C)

Brief description of assumption/method used in
Brief explanation on why the assumption/method
Brief description of assumption/method used in
the most recent certification of plan status
in (A) is no longer reasonable and why the
showing the plan's eligibility for SFA (if different)
completed prior to 1/1/2021
assumption/method in (B) is reasonable

TEMPLATE 7

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7b - Assumption/Method Changes for SFA Amount
File name: Template 7 Plan Name, where "Plan Name" is an abbreviated version of the plan name.
Instructions for Section C, Item (7)b. of the Instructions for Filing Requirements for Multiemployer Plans Applying for Special Financial Assistance:
Provide a table identifying which assumptions/methods used in determining the amount of SFA differ from those used in the pre-2021 certification of plan status (except the nonSFA and SFA interest rates) and brief explanations as to why using those original assumptions/methods is no longer reasonable and why the changed assumptions/methods are
reasonable.
Please state if the changed assumption is an extension of the CBU assumption or the administrative expenses assumption as described in Paragraph A "Adoption of assumptions
not previously factored into pre-2021 certification of plan status" of Section III, Acceptable Assumption Changes of PBGC's guidance on Special Financial Assistance
Assumptions.
This table should identify all changed assumptions/methods except for the interest rates (including those that are reflected in the Baseline provided in Template 5A or Template
5B) and should be an abbreviated version of information provided in Section D, Item (6)b. of the SFA filing instructions.
For example, if the mortality assumption used in the pre-2021 certification of plan status is the RP-2000 mortality table, and the plan proposes to change to the Pri-2012(BC)
table, complete one line of the table as follows:
(A)
Brief description of
Assumption/Method That Has Changed From
assumption/method used in the
Assumption Used in Most Recent Certification of most recent certification of plan
Plan Status Completed Prior to 1/1/2021
status completed prior to
1/1/2021

Base Mortality Assumption

RP-2000 mortality table

(B)

(C)

Brief description of
assumption/method used to
determine the requested SFA
amount (if different)

Brief explanation on why the assumption/method in (A)
is no longer reasonable and why the assumption/method
in (B) is reasonable

Pri-2012(BC) mortality table

Original assumption is outdated. New assumption
reflects more recently published experience for blue
collar workers.

For example, assume the plan is projected to be insolvent in 2029 in the pre-2021 certification of plan status. The plan changes its CBU assumption by extending the assumption
to the later projection years as described in Paragraph A, "Adoption of assumptions not previously factored into pre-2021 certification of plan status" of Section III, Acceptable
Assumption Changes of PBGC's guidance on Special Financial Assistance Assumptions. Complete one line of the table as follows:
(A)
Brief description of
Assumption/Method That Has Changed From
assumption/method used in the
Assumption Used in Most Recent Certification of most recent certification of plan
Plan Status Completed Prior to 1/1/2021
status completed prior to
1/1/2021

CBU Assumption

(B)

(C)

Brief description of
assumption/method used to
determine the requested SFA
amount (if different)

Brief explanation on why the assumption/method in (A)
is no longer reasonable and why the assumption/method
in (B) is reasonable

Same number of CBUs for each
Decrease from most recent plan
projection year to 2028 as shown in
year's actual number of CBUs by
(A), then constant CBUs for all
2% per year to 2028
years after 2028.

Original assumption does not address years after
original projected insolvency in 2029. Proposed
assumption uses acceptable extension methodology.

Add one line for each assumption/method that has changed from that used in the most recent certification of plan status completed prior to 1/1/2021.
Since this Template 7b is intended as an abbreviated version of more detailed information provided in Section D, Item (6)b. of the SFA filing instructions, it is not necessary to
include full tables of rates at every age (e.g., for retirement, turnover, etc.). Instead, a high level description that focuses on what aspect of the assumption/method has changed is
preferred.

Template 7 - Sheet 7b

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Assumption/Method Changes - SFA Amount
PLAN INFORMATION
Abbreviated
Plan Name:
EIN:
PN:
(A)
Assumption/Method That Has Changed From
Assumption Used in Most Recent Certification of
Plan Status Completed Prior to 1/1/2021

(B)

(C)

Brief description of assumption/method used in
Brief explanation on why the assumption/method
Brief description of assumption/method used to
the most recent certification of plan status
in (A) is no longer reasonable and why the
determine the requested SFA amount (if different)
completed prior to 1/1/2021
assumption/method in (B) is reasonable