American Miners Act of 2019

II 116TH CONGRESS 1ST SESSION S. 27 To amend the Surface Mining Control and Reclamation Act of 1977 to transfer certain funds to the 1974 United Mine Workers of America Pension Plan, and for other purposes. IN THE SENATE OF THE UNITED STATES JANUARY 3, 2019 Mr. MANCHIN (for himself, Mr. KAINE, Mr. WARNER, Mr. BROWN, Mr. JONES, and Mr. CASEY) introduced the following bill; which was read twice and referred to the Committee on Finance A BILL To amend the Surface Mining Control and Reclamation Act of 1977 to transfer certain funds to the 1974 United Mine Workers of America Pension Plan, and for other purposes. Be it enacted by the Senate and House of Representa- 1 tives of the United States of America in Congress assembled, 2 SECTION 1. SHORT TITLE. 3 This Act may be cited as the ‘‘American Miners Act 4 of 2019’’. 5 SEC. 2. TRANSFERS TO 1974 UMWA PENSION PLAN. 6 (a) IN GENERAL.—Subsection (i) of section 402 of 7 the Surface Mining Control and Reclamation Act of 1977 8 VerDate Sep 11 2014 23:28 Jan 07, 2019 Jkt 089200 PO 00000 Frm 00001 Fmt 6652 Sfmt 6201 E:\BILLS\S27.IS S27 pamtmann on DSKBFK8HB2PROD with BILLS 2 •S 27 IS (30 U.S.C. 1232), as amended by the Further Continuing 1 and Security Assistance Appropriations Act, 2017, is 2 amended— 3 (1) in paragraph (3)(A), by striking 4 ‘‘$490,000,000’’ and inserting ‘‘$750,000,000’’; 5 (2) by redesignating paragraph (4) as para- 6 graph (5); and 7 (3) by inserting after paragraph (3) the fol- 8 lowing: 9 ‘‘(4) ADDITIONAL AMOUNTS.— 10 ‘‘(A) CALCULATION.—If the dollar limita- 11 tion specified in paragraph (3)(A) exceeds the 12 aggregate amount required to be transferred 13 under paragraphs (1) and (2) for a fiscal year, 14 the Secretary of the Treasury shall transfer an 15 additional amount equal to the difference be- 16 tween such dollar limitation and such aggregate 17 amount to the trustees of the 1974 UMWA 18 Pension Plan to pay benefits required under 19 that plan. 20 ‘‘(B) CESSATION OF TRANSFERS.—The 21 transfers described in subparagraph (A) shall 22 cease as of the first fiscal year beginning after 23 the first plan year for which the funded per- 24 centage (as defined in section 432(j)(2) of the 25 VerDate Sep 11 2014 23:28 Jan 07, 2019 Jkt 089200 PO 00000 Frm 00002 Fmt 6652 Sfmt 6201 E:\BILLS\S27.IS S27 pamtmann on DSKBFK8HB2PROD with BILLS 3 •S 27 IS Internal Revenue Code of 1986) of the 1974 1 UMWA Pension Plan is at least 100 percent. 2 ‘‘(C) PROHIBITION ON BENEFIT IN- 3 CREASES, ETC.—During a fiscal year in which 4 the 1974 UMWA Pension Plan is receiving 5 transfers under subparagraph (A), no amend- 6 ment of such plan which increases the liabilities 7 of the plan by reason of any increase in bene- 8 fits, any change in the accrual of benefits, or 9 any change in the rate at which benefits become 10 nonforfeitable under the plan may be adopted 11 unless the amendment is required as a condi- 12 tion of qualification under part I of subchapter 13 D of chapter 1 of the Internal Revenue Code of 14 1986. 15 ‘‘(D) TREATMENT OF TRANSFERS FOR 16 PURPOSES OF WITHDRAWAL LIABILITY UNDER 17 ERISA.—The amount of any transfer made 18 under subparagraph (A) (and any earnings at- 19 tributable thereto) shall be disregarded in deter- 20 mining the unfunded vested benefits of the 21 1974 UMWA Pension Plan and the allocation 22 of such unfunded vested benefits to an employer 23 for purposes of determining the employer’s 24 withdrawal liability under section 4201 of the 25 VerDate Sep 11 2014 23:28 Jan 07, 2019 Jkt 089200 PO 00000 Frm 00003 Fmt 6652 Sfmt 6201 E:\BILLS\S27.IS S27 pamtmann on DSKBFK8HB2PROD with BILLS 4 •S 27 IS Employee Retirement Income Security Act of 1 1974. 2 ‘‘(E) REQUIREMENT TO MAINTAIN CON- 3 TRIBUTION RATE.—A transfer under subpara- 4 graph (A) shall not be made for a fiscal year 5 unless the persons that are obligated to con- 6 tribute to the 1974 UMWA Pension Plan on 7 the date of the transfer are obligated to make 8 the contributions at rates that are no less than 9 those in effect on the date which is 30 days be- 10 fore the date of enactment of the American 11 Miners Act of 2019. 12 ‘‘(F) ENHANCED ANNUAL REPORTING.— 13 ‘‘(i) IN GENERAL.—Not later than the 14 90th day of each plan year beginning after 15 the date of enactment of the American 16 Miners Act of 2019, the trustees of the 17 1974 UMWA Pension Plan shall file with 18 the Secretary of the Treasury or the Sec- 19 retary’s delegate and the Pension Benefit 20 Guaranty Corporation a report (including 21 appropriate documentation and actuarial 22 certifications from the plan actuary, as re- 23 quired by the Secretary of the Treasury or 24 the Secretary’s delegate) that contains— 25 VerDate Sep 11 2014 23:28 Jan 07, 2019 Jkt 089200 PO 00000 Frm 00004 Fmt 6652 Sfmt 6201 E:\BILLS\S27.IS S27 pamtmann on DSKBFK8HB2PROD with BILLS 5 •S 27 IS ‘‘(I) whether the plan is in en- 1 dangered or critical status under sec- 2 tion 305 of the Employee Retirement 3 Income Security Act of 1974 and sec- 4 tion 432 of the Internal Revenue Code 5 of 1986 as of the first day of such 6 plan year; 7 ‘‘(II) the funded percentage (as 8 defined in section 432(j)(2) of such 9 Code) as of the first day of such plan 10 year, and the underlying actuarial 11 value of assets and liabilities taken 12 into account in determining such per- 13 centage; 14 ‘‘(III) the market value of the as- 15 sets of the plan as of the last day of 16 the plan year preceding such plan 17 year; 18 ‘‘(IV) the total value of all con- 19 tributions made during the plan year 20 preceding such plan year; 21 ‘‘(V) the total value of all bene- 22 fits paid during the plan year pre- 23 ceding such plan year; 24 VerDate Sep 11 2014 23:28 Jan 07, 2019 Jkt 089200 PO 00000 Frm 00005 Fmt 6652 Sfmt 6201 E:\BILLS\S27.IS S27 pamtmann on DSKBFK8HB2PROD with BILLS 6 •S 27 IS ‘‘(VI) cash flow projections for 1 such plan year and either the 6 or 10 2 succeeding plan years, at the election 3 of the trustees, and the assumptions 4 relied upon in making such projec- 5 tions; 6 ‘‘(VII) funding standard account 7 projections for such plan year and the 8 9 succeeding plan years, and the as- 9 sumptions relied upon in making such 10 projections; 11 ‘‘(VIII) the total value of all in- 12 vestment gains or losses during the 13 plan year preceding such plan year; 14 ‘‘(IX) any significant reduction 15 in the number of active participants 16 during the plan year preceding such 17 plan year, and the reason for such re- 18 duction; 19 ‘‘(X) a list of employers that 20 withdrew from the plan in the plan 21 year preceding such plan year, and 22 the resulting reduction in contribu- 23 tions; 24 VerDate Sep 11 2014 23:28 Jan 07, 2019 Jkt 089200 PO 00000 Frm 00006 Fmt 6652 Sfmt 6201 E:\BILLS\S27.IS S27 pamtmann on DSKBFK8HB2PROD with BILLS 7 •S 27 IS ‘‘(XI) a list of employers that 1 paid withdrawal liability to the plan 2 during the plan year preceding such 3 plan year and, for each employer, a 4 total assessment of the withdrawal li- 5 ability paid, the annual payment 6 amount, and the number of years re- 7 maining in the payment schedule with 8 respect to such withdrawal liability; 9 ‘‘(XII) any material changes to 10 benefits, accrual rates, or contribution 11 rates during the plan year preceding 12 such plan year; 13 ‘‘(XIII) any scheduled benefit in- 14 crease or decrease in the plan year 15 preceding such plan year having a 16 material effect on liabilities of the 17 plan; 18 ‘‘(XIV) details regarding any 19 funding improvement plan or rehabili- 20 tation plan and updates to such plan; 21 ‘‘(XV) the number of partici- 22 pants and beneficiaries during the 23 plan year preceding such plan year 24 who are active participants, the num- 25 VerDate Sep 11 2014 23:28 Jan 07, 2019 Jkt 089200 PO 00000 Frm 00007 Fmt 6652 Sfmt 6201 E:\BILLS\S27.IS S27 pamtmann on DSKBFK8HB2PROD with BILLS 8 •S 27 IS ber of participants and beneficiaries in 1 pay status, and the number of termi- 2 nated vested participants and bene- 3 ficiaries; 4 ‘‘(XVI) the information contained 5 on the most recent annual funding no- 6 tice submitted by the plan under sec- 7 tion 101(f) of the Employee Retire- 8 ment Income Security Act of 1974; 9 ‘‘(XVII) the information con- 10 tained on the most recent Department 11 of Labor Form 5500 of the plan; and 12 ‘‘(XVIII) copies of the plan docu- 13 ment and amendments, other retire- 14 ment benefit or ancillary benefit plans 15 relating to the plan and contribution 16 obligations under such plans, a break- 17 down of administrative expenses of 18 the plan, participant census data and 19 distribution of benefits, the most re- 20 cent actuarial valuation report as of 21 the plan year, copies of collective bar- 22 gaining agreements, and financial re- 23 ports, and such other information as 24 the Secretary of the Treasury or the 25 VerDate Sep 11 2014 23:28 Jan 07, 2019 Jkt 089200 PO 00000 Frm 00008 Fmt 6652 Sfmt 6201 E:\BILLS\S27.IS S27 pamtmann on DSKBFK8HB2PROD with BILLS 9 •S 27 IS Secretary’s delegate, in consultation 1 with the Secretary of Labor and the 2 Director of the Pension Benefit Guar- 3 anty Corporation, may require. 4 ‘‘(ii) ELECTRONIC SUBMISSION.—The 5 report required under clause (i) shall be 6 submitted electronically. 7 ‘‘(iii) INFORMATION SHARING.—The 8 Secretary of the Treasury or the Sec- 9 retary’s delegate shall share the informa- 10 tion in the report under clause (i) with the 11 Secretary of Labor. 12 ‘‘(iv) PENALTY.—Any failure to file 13 the report required under clause (i) on or 14 before the date described in such clause 15 shall be treated as a failure to file a report 16 required to be filed under section 6058(a) 17 of the Internal Revenue Code of 1986, ex- 18 cept that section 6652(e) of such Code 19 shall be applied with respect to any such 20 failure by substituting ‘$100’ for ‘$25’. 21 The preceding sentence shall not apply if 22 the Secretary of the Treasury or the Sec- 23 retary’s delegate determines that reason- 24 able diligence has been exercised by the 25 VerDate Sep 11 2014 23:28 Jan 07, 2019 Jkt 089200 PO 00000 Frm 00009 Fmt 6652 Sfmt 6201 E:\BILLS\S27.IS S27 pamtmann on DSKBFK8HB2PROD with BILLS 10 •S 27 IS trustees of such plan in attempting to 1 timely file such report. 2 ‘‘(G) 1974 UMWA PENSION PLAN DE- 3 FINED.—For purposes of this paragraph, the 4 term ‘1974 UMWA Pension Plan’ has the 5 meaning given the term in section 9701(a)(3) 6 of the Internal Revenue Code of 1986, but 7 without regard to the limitation on participation 8 to individuals who retired in 1976 and there- 9 after.’’. 10 (b) EFFECTIVE DATES.— 11 (1) IN GENERAL.—The amendments made by 12 this section shall apply to fiscal years beginning 13 after September 30, 2016. 14 (2) REPORTING REQUIREMENTS.—Section 15 402(i)(4)(F) of the Surface Mining Control and Rec- 16 lamation Act of 1977 (30 U.S.C. 1232(i)(4)(F)), as 17 added by this section, shall apply to plan years be- 18 ginning after the date of the enactment of this Act. 19 SEC. 3. INCLUSION IN MULTIEMPLOYER HEALTH BENEFIT 20 PLAN. 21 Section 402(h)(2)(C) of the Surface Mining Control 22 and Reclamation Act of 1977 (30 U.S.C. 1232(h)(2)(C)) 23 is amended— 24 VerDate Sep 11 2014 23:28 Jan 07, 2019 Jkt 089200 PO 00000 Frm 00010 Fmt 6652 Sfmt 6201 E:\BILLS\S27.IS S27 pamtmann on DSKBFK8HB2PROD with BILLS 11 •S 27 IS (1) by striking ‘‘the Health Benefits for Miners 1 Act of 2017’’ both places it appears in clause (ii) 2 and inserting ‘‘the American Miners Act of 2019’’; 3 (2) by striking ‘‘, would be denied or reduced 4 as a result of a bankruptcy proceeding commenced 5 in 2012 or 2015’’ in clause (ii)(II) and inserting ‘‘or 6 a related coal wage agreement, would be denied or 7 reduced as a result of a bankruptcy proceeding com- 8 menced in 2012, 2015, or 2018’’; 9 (3) by striking ‘‘January 1, 2017’’ in clause (ii) 10 and inserting ‘‘January 1, 2018’’; and 11 (4) by adding at the end the following new 12 clause: 13 ‘‘(vi) RELATED COAL WAGE AGREE- 14 MENT.—For purposes of clause (ii), the 15 term ‘related coal wage agreement’ means 16 an agreement between the United Mine 17 Workers of America and an employer in 18 the bituminous coal industry that— 19 ‘‘(I) is a signatory operator; or 20 ‘‘(II) is or was a debtor in a 21 bankruptcy proceeding that was con- 22 solidated, administratively or other- 23 wise, with the bankruptcy proceeding 24 of a signatory operator or a related 25 VerDate Sep 11 2014 23:28 Jan 07, 2019 Jkt 089200 PO 00000 Frm 00011 Fmt 6652 Sfmt 6201 E:\BILLS\S27.IS S27 pamtmann on DSKBFK8HB2PROD with BILLS 12 •S 27 IS person to a signatory operator (as 1 those terms are defined in section 2 9701(c) of the Internal Revenue Code 3 of 1986).’’. 4 SEC. 4. REDUCTION IN MINIMUM AGE FOR ALLOWABLE IN- 5 SERVICE DISTRIBUTIONS. 6 (a) IN GENERAL.—Section 401(a)(36) of the Internal 7 Revenue Code of 1986 is amended by striking ‘‘age 62’’ 8 and inserting ‘‘age 591⁄2’’. 9 (b) APPLICATION TO GOVERNMENTAL SECTION 10 457(b) PLANS.—Clause (i) of section 457(d)(1)(A) of the 11 Internal Revenue Code of 1986 is amended by inserting 12 ‘‘(in the case of a plan maintained by an employer de- 13 scribed in subsection (e)(1)(A), age 591⁄2)’’ before the 14 comma at the end. 15 (c) EFFECTIVE DATE.—The amendments made by 16 this section shall apply to plan years beginning after De- 17 cember 31, 2017. 18 SEC. 5. BLACK LUNG LIABILITY TRUST FUND EXCISE TAX. 19 (a) IN GENERAL.—Section 4121(e)(2)(A) of the In- 20 ternal Revenue Code of 1986 is amended by striking ‘‘De- 21 cember 31, 2018’’ and inserting ‘‘December 31, 2028’’. 22 (b) EFFECTIVE DATE.—The amendment made by 23 this section shall apply to sales after December 31, 2018. 24 Æ VerDate Sep 11 2014 23:28 Jan 07, 2019 Jkt 089200 PO 00000 Frm 00012 Fmt 6652 Sfmt 6301 E:\BILLS\S27.IS S27 pamtmann on DSKBFK8HB2PROD with BILLS