[Congressional Bills 104th Congress]
[From the U.S. Government Publishing Office]
[H.R. 3510 Introduced in House (IH)]
104th CONGRESS
2d Session
H. R. 3510
To provide additional pension security for spouses and former spouses,
and for other purposes.
_______________________________________________________________________
IN THE HOUSE OF REPRESENTATIVES
May 22, 1996
Ms. Furse introduced the following bill; which was referred to the
Committee on Ways and Means, and in addition to the Committees on
Economic and Educational Opportunities, Government Reform and
Oversight, and Transportation and Infrastructure, for a period to be
subsequently determined by the Speaker, in each case for consideration
of such provisions as fall within the jurisdiction of the committee
concerned
_______________________________________________________________________
A BILL
To provide additional pension security for spouses and former spouses,
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 ``Women's Pension Equity Act of
1996''.
SEC. 2. MODEL SPOUSAL CONSENT FORM AND QUALIFIED DOMESTIC RELATIONS
ORDER.
(a) Model Spousal Consent Form.--
(1) Amendment to internal revenue code.--Section 417(a) of
the Internal Revenue Code of 1986 is amended by adding at the
end the following new paragraph:
``(7) Consent form.--The Secretary shall develop a form not
later than January 1, 1997, for the spousal consent required
under paragraph (2) which--
``(A) is written in a manner calculated to be
understood by the average person, and
``(B) discloses in plain form whether--
``(i) the waiver is irrevocable, and
``(ii) the waiver may be revoked by a
qualified domestic relations order.''.
(2) Amendment to erisa.--Section 205(c) of the Employee
Retirement Income Security Act of 1974 (29 U.S.C. 1055(c)) is
amended by adding at the end the following new paragraph:
``(8) The Secretary of the Treasury shall develop a form no
later than January 1, 1997, for the spousal consent required
under paragraph (2) which--
``(A) is written in a manner calculated to be
understood by the average person, and
``(B) discloses in plain form whether--
``(i) the wavier is irrevocable, and
``(ii) the waiver may be revoked by a
qualified domestic relations order.''.
(b) Model Qualified Domestic Relations Order.--
(1) Amendment to erisa.--Section 206(d)(3) of the Employee
Retirement Income Security Act of 1974 (29 U.S.C. 1056(d)(3))
is amended by adding at the end the following new subparagraph:
``(O) The Secretary shall develop a form not later than January 1,
1997, for a qualified domestic relations order--
``(i) which meets all the requirements of subparagraph
(B)(i), and
``(ii) the provisions of which focus attention on the need
to consider the treatment of any lump sum payment, qualified
joint and survivor annuity, or qualified preretirement survivor
annuity.''.
(2) Amendment to internal revenue code.--Section 414(p) of
the Internal Revenue Code of 1986 is amended by adding at the
end the following new paragraph:
``(13) The Secretary of Labor shall develop a form not
later than January 1, 1997, for a qualified domestic relations
order which--
``(A) which meets all the requirements of paragraph
(1)(A), and
``(B) the provisions of which focus attention on
the need to consider the treatment of any lump sum
payment, qualified joint and survivor annuity, or
qualified preretirement survivor annuity.''.
(c) Publicity.--The Secretary of the Treasury and the Secretary of
Labor shall include publicity for the model forms required by the
amendments made by this section in the pension outreach efforts
undertaken by each Secretary.
SEC. 3. EXTENSION OF TIER II RAILROAD RETIREMENT BENEFITS TO SURVIVING
FORMER SPOUSES PURSUANT TO DIVORCE AGREEMENTS.
(a) In General.--Section 5 of the Railroad Retirement Act of 1974
(45 U.S.C. 231d) is amended by adding at the end the following new
subsection:
``(d) Notwithstanding any other provisions of law, the payment of
any portion of an annuity computed under section 3(d) to a surviving
former spouse in accordance with a court decree of divorce, annulment,
or legal separation or the terms of any court-approved property
settlement incident to any such court decree shall not be terminated
upon the death of the individual who preformed the service with respect
to which such annuity is so computed unless such termination is
otherwise required by the terms of such court decree.''.
(b) Effective Date.--The amendment made by this section shall take
effect on the date of the enactment of this Act.
SEC. 4. SURVIVOR ANNUITIES FOR WIDOWS, WIDOWERS, AND FORMER SPOUSES OF
FEDERAL EMPLOYEES WHO DIE BEFORE ATTAINING AGE FOR
DEFERRED ANNUITY UNDER CIVIL SERVICE RETIREMENT SYSTEM.
(a) Benefits for Widow or Widower.--Section 8341(f) of title 5,
United States Code, is amended--
(1) in the matter preceding paragraph (1) by--
(A) by inserting ``a former employee separated from
the service with title to deferred annuity from the
Fund dies before having established a valid claim for
annuity and is survived by a spouse, or if'' before ``a
Member''; and
(B) by inserting ``of such former employee or
Member'' after ``the surviving spouse'';
(2) in paragraph (1)--
(A) by inserting ``former employee or'' before
``Member commencing''; and
(B) by inserting ``former employee or'' before
``Member dies''; and
(3) in the undesignated sentence following paragraph (2)--
(A) in the matter preceding subparagraph (A) by
inserting ``former employee or'' before ``Member''; and
(B) in subparagraph (B) by inserting ``former
employee or'' before ``Member''.
(b) Benefits for Former Spouse.--Section 8341(h) of title 5, United
States Code, is amended--
(1) in paragraph (1) by adding after the first sentence
``Subject to paragraphs (2) through (5) of this subsection, a
former spouse of a former employee who dies after having
separated from the service with title to a deferred annuity
under section 8338(a) but before having established a valid
claim for annuity is entitled to a survivor annuity under this
subsection, if and to the extent expressly provided for in an
election under section 8339(j)(3) of this title, or in the
terms of any decree of divorce or annulment or any court order
or court-approved property settlement agreement incident to
such decree.''; and
(2) in paragraph (2)--
(A) in subparagraph (A)(ii) by striking ``or
annuitant,'' and inserting ``annuitant, or former
employee''; and
(B) in subparagraph (B)(iii) by inserting ``former
employee or'' before ``Member''.
(c) Protection of Survivor Benefit Rights.--Section 8339(j)(3) of
title 5, United States Code, is amended by inserting at the end the
following:
``The Office shall provide by regulation for the application of
this subsection to the widow, widower, or surviving former spouse of a
former employee who dies after having separated from the service with
title to a deferred annuity under section 8338(a) but before having
established a valid claim for annuity.''.
(d) Effective Date.--The amendments made by this section shall take
effect on the date of the enactment of this Act and shall apply only in
the case of a former employee who dies on or after such date.
SEC. 5. COURT ORDERS RELATING TO FEDERAL RETIREMENT BENEFITS FOR FORMER
SPOUSES OF FEDERAL EMPLOYEES.
(a) Civil Service Retirement System.--
(1) In general.--Section 8345(j) of title 5, United States
Code, is amended--
(A) by redesignating paragraph (3) as paragraph
(4); and
(B) by inserting after paragraph (2) the following
new paragraph:
``(3) Payment to a person under a court decree, court order,
property settlement, or similar process referred to under paragraph (1)
shall include payment to a former spouse of the employee, Member, or
annuitant.''.
(2) Lump-sum benefits.--Section 8342 of title 5, United
States Code, is amended--
(A) in subsection (c) by striking ``Lump-sum
benefits'' and inserting ``Subject to subsection (j),
lump-sum benefits''; and
(B) in subsection (j)(1) by striking ``the lump-sum
credit under subsection (a) of this section'' and
inserting ``any lump-sum credit or lump-sum benefit
under this section''.
(b) Federal Employees Retirement System.--Section 8467 of title 5,
United States Code, is amended--
(1) by redesignating subsection (c) as subsection (d); and
(2) by inserting after subsection (b) the following new
subsection:
``(c) Payment to a person under a court decree, court order,
property settlement, or similar process referred to under subsection
(a) shall include payment to a former spouse of the employee, Member,
or annuitant.''.
(c) Effective Date.--The amendments made by this section shall take
effect on the date of the enactment of this Act.
SEC. 6. PREVENTION OF CIRCUMVENTION OF COURT ORDER BY WAIVER OF RETIRED
PAY TO ENHANCE CIVIL SERVICE RETIREMENT ANNUITY.
(a) Civil Service Retirement and Disability System.--(1) Subsection
(c) of section 8332 of title 5, United States Code, is amended by
adding at the end the following:
``(4) If an employee or Member waives retired pay that is subject
to a court order from which there has been effective service on the
Secretary concerned for purposes of section 1408 of title 10, the
military service on which the retired pay is based may be credited as
service for purposes of this subchapter only if, in accordance with
regulations prescribed by the Director of the Office of Personnel
Management, the employee or Member authorizes the Director to deduct
and withhold from the annuity payable to the employee or Member under
this subchapter, and to pay to the former spouse covered by the court
order, the same amount that would have been deducted and withheld from
the employee's or Member's retired pay and paid to that former spouse
under such section 1408.''.
(2) Paragraph (1) of such subsection is amended by striking out
``Except as provided in paragraph (2)'' and inserting ``Except as
provided in paragraphs (2) and (4)''.
(b) Federal Employees' Retirement System.--(1) Subsection (c) of
section 8411 of title 5, United States Code, is amended by adding at
the end the following:
``(5) If an employee or Member waives retired pay that is subject
to a court order for which there has been effective service on the
Secretary concerned for purposes of section 1408 of title 10, the
military service on which the retired pay is based may be credited as
service for purposes of this chapter only if, in accordance with
regulations prescribed by the Director of the Office of Personnel
Management, the employee or Member authorizes the Director to deduct
and withhold from the annuity payable to the employee or Member under
this subchapter, and to pay to the former spouse covered by the court
order, the same amount that would have been deducted and withheld from
the employee's or Member's retired pay and paid to that former spouse
under such section 1408.''.
(2) Paragraph (1) of such subsection is amended by striking out
``Except as provided in paragraph (2) or (3)'' and inserting ``Except
as provided in paragraphs (2), (3), and (5)''.
(b) Effective Date.--The amendment made by subsection (a) shall
take effect on January 1, 1997.
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