I 111th CONGRESS 1st Session H. R. 3857 IN THE HOUSE OF REPRESENTATIVES October 20, 2009 Mr. Connolly of Virginia (for himself, Mr. Wolf, Ms. Norton, and Mr. Reyes) introduced the following bill; which was referred to the Committee on Oversight and Government Reform A BILL To amend subchapter III of chapter 83 of title 5, United States Code, to make service performed as an employee of a nonappropriated fund instrumentality after 1965 and before 1987 creditable for retirement purposes.

1.

Short title

This Act may be cited as the Nonappropriated Fund Equity Act.

2.

Creditability of service

(a)

In General

Section 8332 of title 5, United States Code, is amended by adding at the end the following: (p)(1)Subject to paragraph (2), upon application to the Office of Personnel Management, any individual who is an employee or Member on the date of the enactment of this subsection, and who has on such date 5 or more years of creditable civilian service under this section (exclusive of service for which credit is allowed under this subsection) shall be allowed credit for service performed, after December 31, 1965, and before January 1, 1987, as an employee described in section 2105(c). (2)(A)An employee or Member may, with respect to any period of service for which such employee or Member is allowed credit under this subsection, deposit to the credit of the Fund an amount equal to the deductions from basic pay which would have been required under section 8334(a) if such service were service as an employee. (B)An employee or Member who makes the deposit described in subparagraph (A) shall be allowed full retirement credit for the period of service involved. (C)If an employee or Member does not make the deposit or makes less than the full amount of the deposit described in subparagraph (A), retirement credit shall be allowed, but the resulting annuity shall be reduced in a manner similar to the method provided under section 8339(j)(3) to make up the amount of any deposit described in the second sentence thereof. In no event shall the application of this subparagraph cause an annuity to be less than it would have been if this subsection had not been enacted. (D)For the purpose of survivor annuities, any deposit authorized by subparagraph (A) may also be made by a survivor of an employee or Member. (3)The Office shall accept the certification of the appropriate Secretary or his designee concerning the service of, and the amount of compensation received by, an employee or Member with respect to which credit is sought under this subsection. For purposes of the preceding sentence, the appropriate Secretary is— (A)the Secretary of Defense, to the extent that service in or under the Department of Defense is involved; and (B)the Secretary of Transportation, to the extent that service in or under the Coast Guard is involved. (4)An individual receiving credit for service for any period under this subsection shall not be granted credit for such service under any retirement system for employees of a nonappropriated fund instrumentality. (5)An application for retirement credit under this subsection may be submitted no later than 2 years after the effective date of the regulations prescribed by the Office to carry out this subsection. . (b)

Regulations

The Office of Personnel Management shall prescribe regulations to carry out this Act and the amendment made by subsection (a). Such regulations— (1)shall take effect not later than 12 months after the date of the enactment of this Act; and (2)shall include provisions to provide for the application of such amendment in the case of— (A)any employee or Member (as defined by the following sentence) who, upon separation (at the time described in paragraph (1) or (2) of subsection (c)), would otherwise be entitled to an annuity under chapter 84 of title 5, United States Code, that is partially computed under subchapter III of chapter 83 of such title; and (B)any survivor of an employee or Member described in subparagraph (A). For purposes of this subsection, the terms employee, Member, and survivor have the meanings set forth in section 8401 of such title 5.(c)

Applicability

(1)

In general

Except as provided in paragraph (2), the amendment made by subsection (a) shall apply only in the case of any annuity entitlement which is based on a separation from service occurring on or after the effective date of the regulations prescribed under subsection (b). (2)

Limited exception for annuities based on separations occurring after date of enactment and before effective date of implementing regulations

(A)

Recomputation requirement

In the case of any individual— (i)who is entitled to an annuity entitlement to which is based on a separation from service occurring after the date of the enactment of this Act and before the effective date of the regulations prescribed under subsection (b), and (ii)whose annuity would be increased by the application of section 8332(p) of title 5, United States Code (as amended by subsection (a)), the Office of Personnel Management shall, upon receipt of an appropriate application submitted before the deadline specified in section 8332(p)(5) of such title 5 (as so amended), recompute the amount of such annuity so as to take such section 8332(p) into account. In carrying out the preceding sentence, any deposit timely made shall be treated as if it had been made before the commencement date of the annuity involved.(B)

No payment for any earlier periods

Any change in an annuity resulting from a recomputation under subparagraph (A) shall be payable only with respect to amounts accruing for months beginning after the date on which the application (referred to in subparagraph (A)) is received.

3.

Notification and assistance

(a)

Notification

The Office of Personnel Management shall take such measures as it considers appropriate to inform individuals entitled to have any service credited under section 8332(p) of title 5, United States Code (as amended by section 2(a)), or to have any amounts recomputed under section 2(c)(2), of their entitlement to such credit or recomputation. (b)

Assistance From the Office of Personnel Management

The Office of Personnel Management shall, on request, assist any individual referred to in subsection (a) in obtaining from any department, agency, or other instrumentality of the United States such information in the possession of such instrumentality as may be necessary to verify the entitlement of such individual to have any service credited under section 8332(p) of title 5, United States Code (as amended by section 2(a)) or to have any amounts recomputed under section 2(c)(2). (c)

Assistance From Other Agencies

Any department, agency, or other instrumentality of the United States which possesses any information with respect to any service of an individual described in section 8332(p) of title 5, United States Code (as amended by section 2(a)) shall— (1)at the request of such individual (or an appropriate survivor), furnish such information to that individual (or survivor); and (2)at the request of the Office of Personnel Management, furnish such information to the Office.