[Congressional Bills 113th Congress]
[From the U.S. Government Publishing Office]
[S. 2117 Engrossed in Senate (ES)]

113th CONGRESS
  2d Session
                                S. 2117

_______________________________________________________________________

                                 AN ACT


 
To amend title 5, United States Code, to change the default investment 
      fund under the Thrift Savings Plan, 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 ``Smart Savings Act''.

SEC. 2. THRIFT SAVINGS PLAN DEFAULT INVESTMENT FUND.

    (a) In General.--Section 8438(c)(2) of title 5, United States Code, 
is amended to read as follows:
    ``(2)(A) Except as provided in subparagraph (B), if an election has 
not been made with respect to any sums available for investment in the 
Thrift Savings Fund, the Executive Director shall invest such sums in 
an age-appropriate target date asset allocation portfolio of the funds 
described in subsection (b), as determined by the Executive Director.
    ``(B) If an election has not been made by a member (as defined in 
section 211 of title 37) contributing to the Thrift Savings Fund under 
section 8440e with respect to any sums available for investment in such 
member's Thrift Savings Fund account, the Executive Director shall 
invest such sums in the Government Securities Investment Fund.''.
    (b) Acknowledgment of Risk.--Section 8439(d) of title 5, United 
States Code, is amended--
            (1) by inserting ``(1)'' before ``Each employee''; and
            (2) by adding at the end the following:
    ``(2) Before the date on which an individual is enrolled to make 
contributions to the Thrift Savings Fund, or as soon as practical 
thereafter, an individual who is automatically enrolled under section 
8432(b)(2) shall receive the risk acknowledgment information described 
in paragraph (1).''.
    (c) Technical and Conforming Amendment.--Section 8472(g)(2) of 
title 5, United States Code, is amended by striking ``required by 
section 8438 of this title to be invested in securities of the 
Government'' and inserting ``under section 8438(c)(2)(B)''.
    (d) Guidance.--Not later than 9 months after the date of enactment 
of this Act, the Executive Director (as that term is defined under 
section 8401(13) of title 5, United States Code) shall develop and 
issue guidance implementing the amendments made by this section.
    (e) Effective Date and Application.--The amendments made by this 
section shall--
            (1) take effect on the date on which the Executive Director 
        issues guidance under subsection (d); and
            (2) apply to individuals who enroll in the Thrift Savings 
        Plan on or after such date.

SEC. 3. CLARIFICATION OF FIDUCIARY PROTECTIONS.

    Section 8477(e)(1)(C)(ii) of title 5, United States Code, is 
amended--
            (1) in subclause (II)--
                    (A) by inserting ``or beneficiary'' after 
                ``participant''; and
                    (B) by inserting ``or option'' after ``fund''; and
            (2) in subclause (III)--
                    (A) by inserting ``or beneficiary'' after 
                ``participant''; and
                    (B) by inserting ``or beneficiaries''' after 
                ``participants'''.

            Passed the Senate September 16, 2014.

            Attest:

                                                             Secretary.
113th CONGRESS

  2d Session

                                S. 2117

_______________________________________________________________________

                                 AN ACT

To amend title 5, United States Code, to change the default investment 
      fund under the Thrift Savings Plan, and for other purposes.