[Congressional Bills 108th Congress]
[From the U.S. Government Publishing Office]
[H.R. 4140 Introduced in House (IH)]






108th CONGRESS
  2d Session
                                H. R. 4140

   To amend title 5, United States Code, to provide for a corporate 
    responsibility investment option under the Thrift Savings Plan.


_______________________________________________________________________


                    IN THE HOUSE OF REPRESENTATIVES

                             April 2, 2004

  Mr. Langevin (for himself, Mr. Shays, Mr. Matsui, Mr. Simmons, Mr. 
  Pascrell, Mrs. McCarthy of New York, Mr. Van Hollen, Mr. Kennedy of 
Rhode Island, Mr. Larson of Connecticut, Mrs. Davis of California, Ms. 
   McCollum, Mr. Tierney, Ms. Schakowsky, Mr. Kucinich, and Mr. Ney) 
 introduced the following bill; which was referred to the Committee on 
                           Government Reform

_______________________________________________________________________

                                 A BILL


 
   To amend title 5, United States Code, to provide for a corporate 
    responsibility investment option under the Thrift Savings Plan.

    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 Employees Responsible 
Investment Act''.

SEC. 2. FINDINGS.

    Congress finds the following:
            (1) The Department of Labor has asserted that socially 
        responsible investments meet the fiduciary standards set in the 
        Employee Retirement Income Security Act.
            (2) 84 percent of mutual fund investors would be more 
        likely to invest in a fund if one of its principles was to 
        invest in companies that engage in ethical business practices 
        in terms of operations and reporting.
            (3) 71 percent of investors agree that companies that 
        operate with higher levels of integrity carry less investment 
        risk, and 67 percent of investors believe that these companies 
        deliver better investment returns.

SEC. 3. CORPORATE RESPONSIBILITY STOCK INDEX FUND.

    (a) Definition.--Section 8438(a) of title 5, United States Code, is 
amended--
            (1) in paragraph (9), by striking ``and'' at the end;
            (2) in paragraph (10), by striking the period at the end 
        and inserting ``; and''; and
            (3) by adding at the end the following:
            ``(11) the term `Corporate Responsibility Stock Index Fund' 
        refers to the fund established under subsection (b)(1)(F).''.
    (b) Establishment.--
            (1) In general.--Section 8438(b)(1) of title 5, United 
        States Code, is amended--
                    (A) in subparagraph (D), by striking ``and'' at the 
                end;
                    (B) in subparagraph (E), by striking the period at 
                the end and inserting ``; and''; and
                    (C) by adding at the end the following:
            ``(F) a Corporate Responsibility Stock Index Fund as 
        provided under paragraph (5).''.
            (2) Fund requirements.--Section 8438(b) of title 5, United 
        States Code, is amended by adding at the end the following:
    ``(5)(A) The Board shall select an index which is a commonly 
recognized, passively managed index comprised of domestic stocks that 
have been analyzed based on criteria consistent with the purposes of 
this paragraph. Such criteria may include corporate governance, 
environmental practices, workplace relations and benefits, product 
safety and impact, international operations and human rights, 
involvement with repressive regimes, and community relations. The 
index's financial track record must be comparable to that of the other 
options available under the Thrift Savings Plan.
    ``(B) The Corporate Responsibility Stock Index Fund shall be 
invested in a portfolio designed to replicate the performance of the 
index in subparagraph (A). The portfolio shall be designed such that, 
to the extent practicable, the percentage of the Corporate 
Responsibility Stock Index Fund that is invested in each stock is the 
same as the percentage determined by dividing the aggregate market 
value of all shares of that stock by the aggregate market value of all 
shares of all stocks included in such index.''.
    (c) Acknowledgment of Risk.--Section 8439(d) of title 5, United 
States Code, is amended--
            (1) by striking ``or the Small Capitalization Stock Index 
        Investment Fund,'' and inserting ``the Small Capitalization 
        Stock Index Investment Fund, or the Corporate Responsibility 
        Stock Index Fund,''; and
            (2) by striking ``and (10),'' and inserting ``(10), and 
        (11),''.

SEC. 4. EFFECTIVE DATE.

    The fund required under this Act shall be made available beginning 
with the earliest election period (under section 8432(b) of title 5, 
United States Code) practicable, as determined by the Executive 
Director of the Thrift Savings Fund in regulations.
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