I 112th CONGRESS 1st Session H. R. 1201 IN THE HOUSE OF REPRESENTATIVES March 17, 2011 Mr. Paul introduced the following bill; which was referred to the Committee on Oversight and Government Reform A BILL To amend title 5, United States Code, to provide for the establishment of a precious metals investment option in the Thrift Savings Fund.

1.

Short title

This Act may be cited as the Thrift Savings Fund Improvement Act.

2.

Precious Metals Investment Fund

(a)

Fund Defined

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 and inserting ; and; and (3)by adding at the end the following: (11)the term Precious Metals Investment Fund means the Precious Metals Investment 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 (E), by striking and at the end; (B)in subparagraph (F), by striking the period and inserting ; and; and (C)by adding at the end the following: (G)a Precious Metals Investment Fund as provided in paragraph (6). . (2)

Fund requirements

Section 8438(b) of title 5, United States Code, is amended by adding at the end the following: (6)(A)The Board shall establish a Precious Metals Investment Fund. (B)Contributions to the Precious Metals Investment Fund shall be invested in physical gold, silver, or platinum bullion (rather than any mining company shares, certificates, derivatives, or futures options), and any bullion so acquired shall constitute the assets of the Precious Metals Investment Fund and shall be stored in a vault in a federally chartered or State chartered bank. Each share in the Precious Metals Investment Fund shall represent a direct investment in the precious metal itself. .

3.

Effective date; definitions

(a)

Effective Date

The Federal Retirement Thrift Investment Board— (1)shall study the operation of existing precious metals funds to determine the best practices of those funds; and (2)not later than 1 year after the date of the enactment of this Act— (A)shall establish the Precious Metals Investment Fund, incorporating the best practices referred to in paragraph (1) to such extent and in such manner as the Board shall determine; and (B)shall make the Precious Metals Investment Fund available to individuals participating in the Thrift Savings Plan. (b)

Definitions

For purposes of this section— (1)the term Precious Metals Investment Fund has the meaning given such term by section 8438(a)(11) of title 5, United States Code (as amended by section 2(a)); and (2)the term Thrift Savings Plan refers to the plan described in subchapter III of chapter 84 of such title 5.