[Congressional Bills 103th Congress]
[From the U.S. Government Publishing Office]
[S. 1535 Reported in Senate (RS)]
Calendar No. 362
103d CONGRESS
2d Session
S. 1535
[Report No. 103-223]
_______________________________________________________________________
A BILL
To amend title 5, United States Code, to eliminate narrow restrictions
on employee training, to provide a temporary voluntary separation
incentive, and for other purposes.
_______________________________________________________________________
February 4 (legislative day, January 25), 1994
Reported with amendments
Calendar No. 362
103d CONGRESS
2d Session
S. 1535
[Report No. 103-223]
To amend title 5, United States Code, to eliminate narrow restrictions
on employee training, to provide a temporary voluntary separation
incentive, and for other purposes.
_______________________________________________________________________
IN THE SENATE OF THE UNITED STATES
October 7 (legislative day, September 27), 1993
Mr. Glenn (for himself, Mr. Stevens, Mr. Pryor, and Mr. Warner)
introduced the following bill; which was read twice and referred to the
Committee on Governmental Affairs
February 4 (legislative day, January 25), 1994
Reported by Mr. Glenn, with amendments
[Omit the part struck through and insert the part printed in italic]
_______________________________________________________________________
A BILL
To amend title 5, United States Code, to eliminate narrow restrictions
on employee training, to provide a temporary voluntary separation
incentive, and for other purposes.
Be it enacted by the Senate and House of Representatives of the
United States of America in Congress assembled,
SECTION 1. SHORT TITLE.
This Act may be cited as the ``Federal Workforce Restructuring Act
of 1993''.
SEC. 2. EMPLOYEE TRAINING.
(a) In General.--Chapter 41 of title 5, United States Code, is
amended--
(1) in section 4101(4) by striking out ``fields'' and all
that follows through the semicolon and inserting in lieu
thereof ``fields which will improve individual and
organizational performance and assist in achieving the agency's
mission and performance goals;'';
(2) in section 4103--
(A) in subsection (a) by striking out ``In'' and
all that follows through ``proficiency'' and inserting
in lieu thereof ``In order to assist in achieving an
agency's mission and performance goals by improving
employee and organizational performance''; and
(B) in subsection (b)--
(i) in paragraph (1) by striking out
``determines'' and all that follows through the
period and inserting in lieu thereof
``determines that such training would be in the
interests of the Government.'';
(ii) by striking out paragraph (2) and
redesignating paragraph (3) as paragraph (2);
and
(iii) in subparagraph (C) of paragraph (2)
(as redesignated under clause (ii) of this
subparagraph) by striking out ``retaining'' and
all that follows through the period and
inserting in lieu thereof ``such training.'';
(3) in section 4105--
(A) in subsection (a) by striking out ``(a)''; and
(B) by striking out subsections (b) and (c);
(4) by repealing section 4106;
(5) in section 4107--
(A) by amending the section heading to read as
follows:
``Sec. 4107. Restriction on degree training'';
(B) by striking out subsections (a) and (b) and
redesignating subsections (c) and (d) as subsections
(a) and (b), respectively;
(C) by amending subsection (a) (as redesignated
under subparagraph (B) of this paragraph)--
(i) by striking out ``subsection (d)'' and
inserting in lieu thereof ``subsection (b)'';
and
(ii) by striking out ``by, in, or through a
non-Government facility''; and
(D) by amending paragraph (1) of subsection (b) (as
redesignated under subparagraph (B) of this paragraph)
by striking out ``subsection (c)'' and inserting in
lieu thereof ``subsection (a)'';
(6) in section 4108(a) by striking out ``by, in, or through
a non-Government facility under this chapter'' and inserting in
lieu thereof ``for more than a minimum period prescribed by the
head of the agency'';
(7) in section 4113(b) by striking out all that follows the
first sentence;
(8) by repealing section 4114; and
(9) in section 4118--
(A) in subsection (a)(7) by striking out ``by, in,
and through non-Government facilities'';
(B) by striking out subsection (b); and
(C) by redesignating subsections (c) and (d) as
subsections (b) and (c), respectively.
(b) Technical and Conforming Amendments.--The table of sections for
chapter 41 of title 5, United States Code, is amended--
(1) by striking out the items relating to sections 4106 and
4114; and
(2) by amending the item relating to section 4107 to read
as follows:
``4107. Restriction on degree training.''.
(c) Effective Date.--The amendments made by this section shall take
effect on the date of enactment of this Act.
SEC. 3. VOLUNTARY SEPARATION INCENTIVES.
(a) Definitions.--For purposes of this section, the term--
(1) ``agency'' means an Executive agency, as defined under
section 105 of title 5, United States Code, but does not
include the Department of Defense, the Central Intelligence
Agency, or the General Accounting Office; and
(2) ``employee'' means an employee, as defined under
section 2105 of title 5, United States Code, of an agency,
serving under an appointment without time limitation, who has
been currently employed for a continuous period of at least 12
months, including an individual employed by a county committee
established under section 8(b) of the Soil Conservation and
Domestic Allotment Act (16 U.S.C. 590h(b)), but does not
include--
(A) a reemployed annuitant under subchapter III of
chapter 83 or chapter 84 of title 5, United States
Code, or another retirement system for employees of the
Government; or
(B) an employee having a disability on the basis of
which such employee is or would be eligible for
disability retirement under the applicable retirement
system referred to in subparagraph (A).
(b) Authority To Make Payment.--(1) In order to assist in the
restructuring of the Federal workforce while minimizing involuntary
separations, the head of an agency may pay, or authorize the payment
of, a voluntary separation incentive payment to employees--
(A) in any component of the agency;
(B) in any occupation;
(C) in any geographic location; or
(D) on the basis of any combination of the factors
described under subparagraphs (A) through (C).
(2) In order to receive an incentive payment under paragraph (1),
an employee shall separate from service with the agency (whether by
retirement or resignation) during the 90-day period described under
paragraph (3).
(3) The head of an agency shall designate a continuous 90-day
period for purposes of separation under this subsection for such agency
or any component thereof. Such 90-day period shall begin no earlier
than the date of the enactment of this Act and shall end no later than
September 30, 1994.
(4) Notwithstanding the provisions of paragraphs (2) and (3), an
employee may receive an incentive payment under this section and delay
a separation from service if--
(A) the agency head determines that it is necessary to
delay such employee's separation from service in order to
ensure the performance of the agency's mission; and
(B) no later than 2 years after the date of the last day of
the 90-day period designated under paragraph (3), such employee
separates from service in the agency.
(c) Voluntary Separation Incentive Payment.--A voluntary separation
incentive payment--
(1) shall be paid in a lump sum after the employee's
separation;
(2) shall be equal to the lesser of--
(A) an amount equal to the amount the employee
would be entitled to receive under section 5595(c) of
title 5, United States Code, if the employee were
entitled to payment under such section; or
(B) $25,000;
(3) shall not be a basis for payment, and shall not be
included in the computation, of any other type of Government
benefit;
(4) shall not be taken into account in determining the
amount of any severance pay to which an employee may be
entitled under section 5595 of title 5, United States Code,
based on any other separation; and
(5) shall be paid from appropriations or funds available
for the payment of the basic pay of the employee.
(d) Subsequent Employment and Repayment of Incentive Payment.--(1)
An employee who has received a voluntary separation incentive payment
under this section and accepts employment with the Government of the
United States within 5 years of the date of the separation on which
payment of the incentive is based shall be required to repay the entire
amount of the incentive payment to the agency that paid the incentive
payment.
(2) If the employment is with an Executive agency (as defined under
section 105 of title 5, United States Code), the Director of the Office
of Personnel Management may, at the request of the head of the agency,
waive the repayment if the employment is in a position for which there
is exceptional difficulty in recruiting a qualified employee.
(3) If the employment is with an entity in the legislative branch,
the head of the entity or the appointing official may waive the
repayment if the employment is in a position for which there is
exceptional difficulty in recruiting a qualified employee.
(4) If the employment is with the judicial branch, the Director of
the Administrative Office of the United States Courts may waive the
repayment if the employment is in a position for which there is
exceptional difficulty in recruiting a qualified employee.
(e) Regulations.--The Director of the Office of Personnel
Management may prescribe any regulations necessary for the
administration of this section.
(f) Judicial Branch Program.--The Director of the Administrative
Office of the United States Courts may, by regulation, establish a
program consistent with the program established by subsections (a)
through (d) of this section for employees of the judicial branch.
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(g) Reduction of Full-Time Equivalent Positions.--(1) The President
or his designee shall take such action as he determines necessary to
ensure that, no later than September 30, 1995, employment in the
executive branch is reduced by at least 1 full-time equivalent position
for each voluntary separation incentive payment paid under this
section.
(2) No later than December 1, 1995, the President or his designee
shall report to the Congress on the implementation of this subsection.
(h) Limitation on Procurement of Service Contracts.--The President
shall take appropriate action to ensure that there is no increase in
the procurement of service contracts by reason of the enactment of this
section except in cases in which a cost comparison demonstrates such
contracts would be to the financial advantage of the Federal
Government.
SEC. 4. SUBSEQUENT EMPLOYMENT AND REPAYMENT OF SEPARATION PAYMENT.
(a) Defense Agency Separation Pay.--Section 5597 of title 5, United
States Code, is amended by adding at the end thereof the following new
subsection:
``(g)(1) An employee who receives separation pay under this section
on the basis of a separation occurring on or after the date of
enactment of the Federal Workforce Restructuring Act of 1993 and
accepts employment with the Government of the United States within -2 5
years of the date of the separation on which payment of the separation
pay is based shall be required to repay the entire amount of the
separation pay to the defense agency that paid the separation pay.
``(2) If the employment is with an Executive agency (as defined
under section 105 of title 5, United States Code), the Director of the
Office of Personnel Management may, at the request of the head of the
agency, waive the repayment if the employment is in a position for
which there is exceptional difficulty in recruiting a qualified
employee.
``(3) If the employment is with an entity in the legislative
branch, the head of the entity or the appointing official may waive the
repayment if the employment is in a position for which there is
exceptional difficulty in recruiting a qualified employee.
``(4) If the employment is with the judicial branch, the Director
of the Administrative Office of the United States Courts may waive the
repayment if the employment is in a position for which there is
exceptional difficulty in recruiting a qualified employee.''.
(b) Central Intelligence Agency Separation Payment.--Section 2(b)
of the Central Intelligence Agency Voluntary Separation Pay Act (Public
Law 103-36; 107 Stat. 104) is amended by adding at the end thereof the
following: ``An employee who receives separation pay under this section
on the basis of a separation occurring on or after the date of the
enactment of the Federal Workforce Restructuring Act of 1993 and
accepts employment with the Government of the United States within -2 5
years of the date of the separation on which payment of the separation
pay is based shall be required to repay the entire amount of the
separation pay to the Central Intelligence Agency. If the employment is
with an Executive agency (as defined under section 105 of title 5,
United States Code), the Director of the Office of Personnel Management
may, at the request of the head of the agency, waive the repayment if
the employment is in a position for which there is exceptional
difficulty in recruiting a qualified employee. If the employment is
with an entity in the legislative branch, the head of the entity or the
appointing official may waive the repayment if the employment is in a
position for which there is exceptional difficulty in recruiting a
qualified employee. If the employment is with the judicial branch, the
Director of the Administrative Office of the United States Courts may
waive the repayment if the employment is in a position for which there
is exceptional difficulty in recruiting a qualified employee.''.
SEC. 5. FUNDING OF EARLY RETIREMENTS IN CIVIL SERVICE RETIREMENT
SYSTEM.
(a) In General.--Section 8334 of title 5, United States Code, is
amended by adding at the end thereof the following new subsection:
``(l) In addition to any other payments required by this
subchapter, an agency shall remit to the Office for deposit in the
Treasury of the United States to the credit of the Fund an amount equal
to 9 percent of the final rate of basic pay of each employee of the
agency who retires under section 8336(d).''.
(b) Effective Date.--The amendment made by this section shall apply
with respect to retirements occurring on or after the date of the
enactment of this Act.
SEC. 6. REDUCTION OF FEDERAL FULL-TIME EQUIVALENT POSITIONS.
(a) Definition.--For purposes of this section, the term ``agency''
means an Executive agency as defined under section 105 of title 5,
United States Code, but does not include the General Accounting Office.
(b) Limitations on Full-Time Equivalent Positions.--The President,
through the Office of Management and Budget (in consultation with the
Office of Personnel Management), shall ensure that the total number of
full-time equivalent positions in all agencies shall not exceed--
(1) 2,095,182 during fiscal year 1994;
(2) 2,044,100 during fiscal year 1995;
(3) 2,003,846 during fiscal year 1996;
(4) 1,963,593 during fiscal year 1997;
(5) 1,923,339 during fiscal year 1998; and
(6) 1,883,086 during fiscal year 1999.
(c) Monitoring and Notification.--The Office of Management and
Budget, after consultation with the Office of Personnel Management,
shall--
(1) continuously monitor all agencies and make a
determination on the first date of each quarter of each
applicable fiscal year of whether the requirements under
subsection (b) are met; and
(2) notify the President and the Congress on the first date
of each quarter of each applicable fiscal year of any
determination that any requirement of subsection (b) is not
met.
(d) Compliance.--If at any time during a fiscal year, the Office of
Management and Budget notifies the President and the Congress that any
requirement under subsection (b) is not met, no agency may hire any
employee for any position in such agency until the Office of Management
and Budget notifies the President and the Congress that the total
number of full-time equivalent positions for all agencies equals or is
less than the applicable number required under subsection (b).
(e) Waiver.--Any provision of this section may be waived upon--
(1) a determination by the President of the existence of
war or a national emergency; or
(2) the enactment of a joint resolution upon an affirmative
vote of three-fifths of the Members of each House of the
Congress duly chosen and sworn.
SEC. 7. REDUCTION IN DISCRETIONARY SPENDING LIMITS.
The Director of the Office of Management and Budget shall, upon
enactment of this Act, reduce the discretionary spending limits set
forth in section 601(a)(2) of the Congressional Budget Act of 1974 for
fiscal years 1994 through 1998 as follows:
(1) for fiscal year 1994, for the discretionary category:
$329,000,000 in new budget authority and $314,000,000 in
outlays;
(2) for fiscal year 1995, for the discretionary category:
$2,423,000,000 in new budget authority and $2,330,000,000 in
outlays;
(3) for fiscal year 1996, for the discretionary category:
$4,267,000,000 in new budget authority and $4,184,000,000 in
outlays;
(4) for fiscal year 1997, for the discretionary category:
$6,313,000,000 in new budget authority and $6,221,000,000 in
outlays; and
(5) for fiscal year 1998, for the discretionary category:
$8,545,000,000 in new budget authority and $8,443,000,000 in
outlays.
SEC. 8. STANDARDIZATION OF WITHDRAWAL OPTIONS FOR THRIFT SAVINGS PLAN
PARTICIPANTS.
(a) Participation in the Thrift Savings Plan.--Section 8351(b) of
title 5, United States Code, is amended--
(1) by amending paragraph (4) to read as follows:
``(4) Section 8433(b) of this title applies to any employee
or Member who elects to make contributions to the Thrift
Savings Fund under subsection (a) of this section and separates
from Government employment.'';
(2) by striking out paragraphs (5), (6), and (8);
(3) by redesignating paragraphs (7), (9), and (10) as
paragraphs (5), (6), and (7), respectively;
(4) in paragraph (5)(C) (as redesignated under paragraph
(3) of this subsection) by striking out ``or former spouse'' in
both places it appears;
(5) by amending paragraph (6) (as redesignated under
paragraph (3) of this subsection) to read as follows:
``(6) Notwithstanding paragraph (4), if an employee or
Member separates from Government employment and such employee's
or Member's nonforfeitable account balance is $3,500 or less,
the Executive Director shall pay the nonforfeitable account
balance to the participant in a single payment unless the
employee or Member elects, at such time and otherwise in such
manner as the Executive Director prescribes, one of the options
available under subsection (b).''; and
(6) in paragraph (7) (as redesignated under paragraph (3)
of this subsection) by striking out ``nonforfeiture'' and
inserting in lieu thereof ``nonforfeitable''.
(b) Benefits and Election of Benefits.--Section 8433 of title 5,
United States Code, is amended--
(1) in subsection (b) by striking out the matter before
paragraph (1) and inserting in lieu thereof ``Subject to
section 8435 of this title, any employee or Member who
separates from Government employment entitled to an annuity
under subchapter II of this chapter or any employee or Member
who separates from Government employment is entitled and may
elect--'';
(2) by striking out subsections (c) and (d) and
redesignating subsections (e), (f), (g), (h), and (i) as
subsections (c), (d), (e), (f), and (g), respectively;
(3) in subsection (c)(1) (as redesignated under paragraph
(2) of this subsection) by striking out ``or (c)(4) or required
under subsection (d) directly to an eligible retirement plan or
plans) (as defined in section 402(a)(5)(E) of the Internal
Revenue Code of 1954)'' and inserting in lieu thereof
``directly to an eligible retirement plan or plans (as defined
in section 402(c)(8) of the Internal Revenue Code of 1986)'';
(4) in subsection (d)(2) (as redesignated under paragraph
(2) of this subsection) by striking out ``or (c)(2)''; and
(5) in subsection (f) (as redesignated under paragraph (2)
of this subsection)--
(A) by striking out paragraph (1) and redesignating
paragraphs (2) and (3) as paragraphs (1) and (2),
respectively; and
(B) in paragraph (1) (as redesignated under
subparagraph (A) of this paragraph)--
(i) by striking out ``Notwithstanding
subsections (b) and (c), if an employee or
Member separates from Government employment
under circumstances making such an employee or
Member eligible to make an election under
either of those subsections, and such
employee's or Member's'' and inserting in lieu
thereof ``Notwithstanding subsection (b), if an
employee or Member separates from Government
employment, and such employee's or Member's'';
and
(ii) by striking out ``or (c), as
applicable''; and
(C) in paragraph (2) (as redesignated under
subparagraph (A) of this paragraph) by striking out
``paragraphs (1) and (2)'' and inserting in lieu
thereof ``paragraph (1)''.
(c) Annuities: Methods of Payment; Election; Purchase.--Section
8434(c) of title 5, United States Code, is amended to read as follows:
``(c) Notwithstanding an elimination of a method of payment by the
Board an employee, Member, former employee, or former Member may elect
the eliminated method if the elimination of such method became
effective less than 5 years before the date on which annuity
commences.''.
(d) Protections for Spouses and Former Spouses.--Section 8435 of
title 5, United States Code, is amended--
(1) in subsection (a)(1)(A) by striking out ``subsection
(b)(3), (b)(4), (c)(3), or (c)(4) of section 8433 of this title
or change an election previously made under subsection (b)(1),
(b)(2), (c)(1), or (c)(2)'' and inserting in lieu thereof
``subsection (b)(3) or (b)(4) of section 8433 of this title or
change an election previously made under subsection (b)(1) or
(b)(2)'';
(2) by striking out subsection (b);
(3) by redesignating subsections (c), (d), (e), (f), (g),
(h), and (i) as subsections (b), (c), (d), (e), (f), (g), and
(h), respectively;
(4) in subsection (b) (as redesignated under paragraph (3)
of this subsection) by amending paragraph (2) to read as
follows:
``(2) Paragraph (1) shall not apply, if--
``(A) a joint waiver of such method is made, in
writing, by the employee or Member and the spouse; or
``(B) the employee or Member waives such method, in
writing, after establishing to the satisfaction of the
Executive Director that circumstances described under
subsection (a)(2) (A) or (B) make the requirement of a
joint waiver inappropriate.''; and
(5) in subsection (c)(1) (as redesignated under paragraph
(3) of this subsection) by striking out ``and a transfer may
not be made under section 8433(d) of this title''.
(e) Justices and Judges.--Section 8440a(b) of title 5, United
States Code, is amended--
(1) in paragraph (5) by striking out ``Section 8433(d)''
and inserting in lieu thereof ``Section 8433(b)''; and
(2) by striking out paragraphs (7) and (8) and inserting in
lieu thereof the following:
``(7) Notwithstanding paragraphs (4) and (5), if any
justice or judge retires under subsection (a) or (b) of section
371 or section 372(a) of title 28, or resigns without having
met the age and service requirements set forth under section
371(c) of title 28, and such justice's or judge's
nonforfeitable account balance is $3,500 or less, the Executive
Director shall pay the nonforfeitable account balance to the
participant in a single payment unless the justice or judge
elects, at such time and otherwise in such manner as the
Executive Director prescribes, one of the options available
under section 8433(b).''.
(f) Bankruptcy Judges and Magistrates.--Section 8440b of title 5,
United States Code, is amended--
(1) in subsection (b)(4) by amending subparagraph (B) to
read as follows:
``(B) Section 8433(b) of this title applies to any
bankruptcy judge or magistrate who elects to make
contributions to the Thrift Savings Fund under
subsection (a) of this section and who retires before
attaining age 65 but is entitled, upon attaining age
65, to an annuity under section 377 of title 28 or
section 2(c) of the Retirement and Survivors Annuities
for Bankruptcy Judges and Magistrates Act of 1988.'';
(2) in subsection (b)(4)(C) by striking out ``Section
8433(d)'' and inserting in lieu thereof ``Section 8433(b)'';
(3) in subsection (b)(5) by striking out ``retirement under
section 377 of title 28 is'' and inserting in lieu thereof
``any of the actions described under paragraph (4) (A), (B), or
(C) shall be considered'';
(4) in subsection (b) by striking out paragraph (8) and
redesignating paragraph (9) as paragraph (8); and
(5) in paragraph (8) of subsection (b) (as redesignated
under paragraph (4) of this subsection)--
(A) by striking out ``Notwithstanding subparagraphs
(A) and (B) of paragraph (4), if any bankruptcy judge
or magistrate retires under circumstances making such
bankruptcy judge or magistrate eligible to make an
election under subsection (b) or (c)'' and inserting in
lieu thereof ``Notwithstanding paragraph (4), if any
bankruptcy judge or magistrate retires under
circumstances making such bankruptcy judge or
magistrate eligible to make an election under
subsection (b)''; and
(B) by striking out ``and (c), as applicable''.
(g) Claims Court Judges.--Section 8440c of title 5, United States
Code, is amended--
(1) in subsection (b)(4)(B) by striking out ``Section
8433(d)'' and inserting in lieu thereof ``Section 8433(b)'';
(2) in subsection (b)(5) by striking out ``retirement under
section 178 of title 28, is'' and inserting in lieu thereof
``any of the actions described in paragraph (4) (A) or (B)
shall be considered'';
(3) in subsection (b) by striking out paragraph (8) and
redesignating paragraph (9) as paragraph (8); and
(4) in paragraph (8) (as redesignated under paragraph (3)
of this subsection) by striking out ``Notwithstanding paragraph
(4)(A)'' and inserting in lieu thereof ``Notwithstanding
paragraph (4)''.
(h) Judges of the United States Court of Veterans Appeals.--Section
8440d(b)(5) of title 5, United States Code, is amended by striking out
``A transfer shall be made as provided under section 8433(d) of this
title'' and inserting in lieu thereof ``Section 8433(b) of this title
applies''.
(i) Technical and Conforming Amendments.--Chapters 83 and 84 of
title 5, United States Code, are amended--
(1) in section 8351(b)(5)(B) (as redesignated under
subsection (a)(3) of this section) by striking out ``section
8433(i)'' and inserting in lieu thereof ``section 8433(g)'';
(2) in section 8351(b)(5)(D) (as redesignated under
subsection (a)(3) of this section) by striking out ``section
8433(i)'' and inserting in lieu thereof ``section 8433(g)'';
(3) in section 8433(b)(4) by striking out ``subsection
(e)'' and inserting in lieu thereof ``subsection (c)'';
(4) in section 8433(d)(1) (as redesignated under subsection
(b)(2) of this section) by striking out ``(d) of section 8435''
and inserting in lieu thereof ``(c) of section 8435'';
(5) in section 8433(d)(2) (as redesignated under subsection
(b)(2) of this section) by striking out ``section 8435(d)'' and
inserting in lieu thereof ``section 8435(c)'';
(6) in section 8433(e) (as redesignated under subsection
(b)(2) of this section) by striking out ``section 8435(d)(2)''
and inserting in lieu thereof ``section 8435(c)(2)'';
(7) in section 8433(g)(5) (as redesignated under subsection
(b)(2) of this section) by striking out ``section 8435(f)'' and
inserting in lieu thereof ``section 8435(e)'';
(8) in section 8434(b) by striking out ``section 8435(c)''
and inserting in lieu thereof ``section 8435(b)'';
(9) in section 8435(a)(1)(B) by striking out ``subsection
(c)'' and inserting in lieu thereof ``subsection (b)'';
(10) in section 8435(d)(1)(B) (as redesignated under
subsection (d)(3) of this section) by striking out ``subsection
(d)(2)'' and inserting in lieu thereof ``subsection (c)(2)'';
(11) in section 8435(d)(3)(A) (as redesignated under
subsection (d)(3) of this section) by striking out ``subsection
(c)(1)'' and inserting in lieu thereof ``subsection (b)(1)'';
(12) in section 8435(d)(6) (as redesignated under
subsection (d)(3) of this section) by striking out ``or
(c)(2)'' and inserting in lieu thereof ``or (b)(2)'';
(13) in section 8435(e)(1)(A) (as redesignated under
subsection (d)(3) of this section) by striking out ``section
8433(i)'' and inserting in lieu thereof ``section 8433(g)'';
(14) in section 8435(e)(2) (as redesignated under
subsection (d)(3) of this section) by striking out ``section
8433(i) of this title shall not be approved if approval would
have the result described in subsection (d)(1)'' and inserting
in lieu thereof ``section 8433(g) of this title shall not be
approved if approval would have the result described under
subsection (c)(1)'';
(15) in section 8435(g) (as redesignated under subsection
(d)(3) of this section) by striking out ``section 8433(i)'' and
inserting in lieu thereof ``section 8433(g)'';
(16) in section 8437(c)(5) by striking out ``section
8433(i)'' and inserting in lieu thereof ``section 8433(g)'';
and
(17) in section 8440a(b)(6) by striking out ``section
8351(b)(7)'' and inserting in lieu thereof ``section
8351(b)(5)''.
(j) Interim Provision.--Section 8433(d) of title 5, United States
Code, is amended by striking out ``shall transfer the amount of the
balance'' and inserting in lieu thereof ``may transfer the amount of
the balance''.
(k) Effective Dates.--(1) Except as provided in paragraph (2), the
provisions of this section shall take effect 1 year after the date of
enactment of this Act or upon such other date as the Executive Director
of the Federal Retirement Thrift Investment Board shall provide in
regulation.
(2) The provisions of subsection (j) of this section shall take
effect upon the date of the enactment of this Act.
SEC. 9. AMENDMENTS TO ALASKA RAILROAD TRANSFER ACT OF 1982 REGARDING
FORMER FEDERAL EMPLOYEES.
(a) Applicability of Voluntary Separation Incentives to Certain
Former Federal Employees.--Section 607(a) of the Alaska Railroad
Transfer Act of 1982 (45 U.S.C. 1206(a)) is amended by adding at the
end thereof the following new paragraph:
``(4)(A) The State-owned railroad shall be included in the
definition of `agency' for purposes of section 3 (a), (b), (c),
and (e) and section 5 of the Federal Workforce Restructuring
Act of 1993 and may elect to participate in the voluntary
separation incentive program established under such Act. Any
employee of the State-owned railroad who meets the
qualifications as described under the first sentence of
paragraph (1) shall be deemed an employee under such Act.
``(B) An employee who has received a voluntary separation
incentive payment under this paragraph and accepts employment
with the State-owned railroad within 5 years of the date of
separation on which payment of the incentive is based shall be
required to repay the entire amount of the incentive payment
unless the head of the State-owned railroad determines that the
employment is in a position for which there is exceptional
difficulty in recruiting a qualified employee and waives the
repayment.''.
(b) Life and Health Insurance Benefits.--Section 607 of the Alaska
Railroad Transfer Act of 1982 (45 U.S.C. 1206) is amended by striking
out subsection (e) and inserting in lieu thereof the following:
``(e)(1) Any person described under the provisions of paragraph (2)
may elect life insurance coverage under chapter 87 of title 5, United
States Code, and enroll in a health benefits plan under chapter 89 of
title 5, United States Code, in accordance with the provisions of this
subsection.
``(2) The provisions of paragraph (1) shall apply to any person
who--
``(A) on the date of the enactment of the Federal Workforce
Restructuring Act of 1993, is an employee of the State-owned
railroad;
``(B) has 20 years or more of service (in the civil service
as a Federal employee or as an employee of the State-owned
railroad, combined) on the date of retirement from the State-
owned railroad; and
``(C)(i) was covered under a life insurance policy pursuant
to chapter 87 of title 5, United States Code, on January 4,
1985, for the purpose of electing life insurance coverage under
the provisions of paragraph (1); or
``(ii) was enrolled in a health benefits plan pursuant to
chapter 89 of title 5, United States Code, on January 4, 1985,
for the purpose of enrolling in a health benefits plan under
the provisions of paragraph (1).
``(3) For purposes of this section, any person described under the
provisions of paragraph (2) shall be deemed to have been covered under
a life insurance policy under chapter 87 of title 5, United States
Code, and to have been enrolled in a health benefits plan under chapter
89 of title 5, United States Code, during the period beginning on
January 5, 1985, through the date of retirement of any such person.
``(4) The provisions of paragraph (1) shall not apply to any person
described under paragraph (2) until the date such person retires from
the State-owned railroad.''.
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