for equal to in clause (i)(I) thereof, (II) 4 percent of compensation, and such matching contributions meet the requirement of subsection (m)(11)(B) were substituted for 6 percent of compensation in clause (i)(I) thereof, and (III) 2 percent were substituted for 3 percent in clause (i)(II) thereof. (C) Reporting This paragraph shall apply to an arrangement only if the plan includes with the reports required under sections 6057 and 6058— (i) the number of employees eligible to participate in the arrangement, and (ii) the number of participants for the plan year. . (b) Modification of existing automatic contribution safe harbor (1) Qualified percentage (A) In general Clause (iii) of section 401(k)(13)(C) of the Internal Revenue Code of 1986 is amended by striking 10 percent and inserting 15 percent . (B) Conforming amendments (i) Subclause (I) of section 401(k)(13)(C)(iii) of the Internal Revenue Code of 1986 is amended— (I) by striking 3 percent and inserting 3 percent, but not greater than 10 percent, , and (II) by adding and at the end. (ii) Subclause (II) of section 401(k)(13)(C)(iii) of such Code is amended to read as follows: (II) during any subsequent plan year, the lesser of 1 percentage point higher than the percentage in effect for the preceding plan year or 8 percent. . (iii) Section 401(k)(13)(C)(iii) of such Code is amended by striking subclauses (III) and (IV). (2) Automatic re-election Subparagraph (C) of section 401(k)(13) of such Code is amended by striking clause (iv) and by adding at the end the following new clause: (iv) Automatic re-election required The requirements of this subparagraph shall be treated as met only if, under the arrangement, every 3 years each employee— (I) who is eligible to participate in the arrangement, and (II) who is not participating, or is contributing less than 3 percent of compensation, at the time of determination, is treated as having made the election described in clause (i) unless the employee makes a new election under clause (ii). . (c) Effective date (1) In