A calendar year DB Plan was frozen to new participants 1/1/2008. The 2008 AFTAP was 80%. The 2009 AF TAP was 73% and a Notice of Benefits Restriction was delivered to all participants by 4/30/2009. The Notice did not state the 2009 AF TAP.

April 1, 2010 is creeping up and I've yet to receive census or asset information. Thus, as of 4/1/2010, AFTAP will be presumed to be 63%. Thus, there is no immediate change in the extent of the restriction.

My reading of the final 436 regs. leads to the conclusion that the Plan Administrator does not have to distribute a Notice of Benefits Restriction for 2010 unless the AF TAP would later be determined or presumed to be less than 60%.

Any comments?

I have a similar situation where plan is also frozen (as of 2/1/08), 2009 AFTAP was certified 63% thus 50% restrictions, notice issued timely. 2010 AFTAP will be in same 60-80 range and 50% restrictions will continue. After reading regs and discussion with fellow actuaries here we also don't believe any action is necessary if same restrictions continue to apply.

I agree, no new notice needed.