[Congressional Record Volume 146, Number 96 (Friday, July 21, 2000)]
[Senate]
[Pages S7455-S7456]
From the Congressional Record Online through the Government Publishing Office [www.gpo.gov]




             CONTRIBUTIONS TO THRIFT SAVINGS PLAN ACCOUNTS

  Mr. BENNETT. Mr. President, I ask unanimous consent that the Senate 
now proceed to the consideration of Calendar No. 682, H.R. 208.
  The PRESIDING OFFICER. The clerk will report the bill by title.
  The assistant legislative clerk read as follows:

       A bill (H.R. 208) to amend title 5, United States Code, to 
     allow for the contribution of certain rollover distributions 
     to accounts in the Thrift Savings Plan, to eliminate certain 
     waiting-period requirements for participating in the Thrift 
     Savings Plan, and for other purposes.

  There being no objection, the Senate proceeded to consider the 
bill which had been reported from the Committee on Governmental 
Affairs, with amendments; as follows:

  (Omit the part in black brackets and insert the part printed in 
italic.)

                                H.R. 208

       Be it enacted by the Senate and House of Representatives of 
     the United States of America in Congress assembled,

     SECTION 1. ELIGIBLE ROLLOVER DISTRIBUTIONS.

       (a) In General.--Section 8432 of title 5, United States 
     Code, is amended by adding at the end the following:
       ``(j)(1) For the purpose of this subsection--
       ``(A) the term `eligible rollover distribution' has the 
     meaning given such term by section 402(c)(4) of the Internal 
     Revenue Code of 1986; and
       ``(B) the term `qualified trust' has the meaning given such 
     term by section 402(c)(8) of the Internal Revenue Code of 
     1986.
       ``(2) An employee or Member may contribute to the Thrift 
     Savings Fund an eligible rollover distribution [from a 
     qualified trust.] that a qualified trust could accept under 
     the Internal Revenue Code of 1986. A contribution made under 
     this subsection shall be made in the form described in 
     section 401(a)(31) of the Internal Revenue Code of 1986. In 
     the case of an eligible rollover distribution, the maximum 
     amount transferred to the Thrift Savings Fund shall not 
     exceed the amount which would otherwise have been included in 
     the employee's or Member's gross income for Federal income 
     tax purposes.
       ``(3) The Executive Director shall prescribe regulations to 
     carry out this subsection.''.
       [(b) Effective Date.--The amendment made by this section 
     shall take effect on October 1, 2000, or such earlier date as 
     the Executive Director (as defined by section 8401 of title 
     5, United States Code) may by regulation prescribe, but not 
     before September 1, 2000.]
       (b) Effective Date.--The amendment made by this section 
     shall take effect at the earliest practicable date after 
     September 30, 2000, as determined by the Executive Director 
     in regulations.

     SEC. 2. IMMEDIATE PARTICIPATION IN THE THRIFT SAVINGS PLAN.

       (a) Elimination of Certain Waiting Periods for Purposes of 
     Employee Contributions.--Paragraph (4) of section 8432(b) of 
     title 5, United States Code, is amended to read as follows:
       ``(4) The Executive Director shall prescribe such 
     regulations as may be necessary to carry out the following:
       ``(A) Notwithstanding subparagraph (A) of paragraph (2), an 
     employee or Member described in such subparagraph shall be 
     afforded a reasonable opportunity to first make an election 
     under this subsection beginning on the date of commencing 
     service or, if that is not administratively feasible, 
     beginning on the earliest date thereafter that such an 
     election becomes administratively feasible, as determined by 
     the Executive Director.
       ``(B) An employee or Member described in subparagraph (B) 
     of paragraph (2) shall be afforded a reasonable opportunity 
     to first make an election under this subsection (based on the 
     appointment or election described in such subparagraph) 
     beginning on the date of commencing service pursuant to such 
     appointment or election or, if that is not administratively 
     feasible, beginning on the earliest date thereafter that such 
     an election becomes administratively feasible, as determined 
     by the Executive Director.
       ``(C) Notwithstanding the preceding provisions of this 
     paragraph, contributions under paragraphs (1) and (2) of 
     subsection (c) shall not be payable with respect to any pay 
     period before the earliest pay period for which such 
     contributions would otherwise be allowable under this 
     subsection if this paragraph had not been enacted.
       ``(D) Sections 8351(a)(2), 8440a(a)(2), 8440b(a)(2), 
     8440c(a)(2), and 8440d(a)(2) shall be applied in a manner 
     consistent with the purposes of subparagraphs (A) and (B), to 
     the extent those subparagraphs can be applied with respect 
     thereto.
       ``(E) Nothing in this paragraph shall affect paragraph 
     (3).''.
       (b) Technical and Conforming Amendments.--(1) Section 
     8432(a) of title 5, United States Code, is amended--
       (A) in the first sentence by striking ``(b)(1)'' and 
     inserting ``(b)''; and
       (B) by amending the second sentence to read as follows: 
     ``Contributions under this subsection pursuant to such an 
     election shall, with respect to each pay period for which 
     such election remains in effect, be made in accordance with a 
     program of regular contributions provided in regulations 
     prescribed by the Executive Director.''.
       (2) Section 8432(b)(1)(B) of title 5, United States Code, 
     is amended by inserting ``(or any election allowable by 
     virtue of paragraph (4))'' after ``subparagraph (A)''.
       (3) Section 8432(b)(3) of title 5, United States Code, is 
     amended by striking ``Notwithstanding paragraph (2)(A), an'' 
     and inserting ``An''.

[[Page S7456]]

       (4) Section 8439(a)(1) of title 5, United States Code, is 
     amended by inserting ``who makes contributions or'' after 
     ``for each individual'' and by striking ``section 
     8432(c)(1)'' and inserting ``section 8432''.
       (5) Section 8439(c)(2) of title 5, United States Code, is 
     amended by adding at the end the following: ``Nothing in this 
     paragraph shall be considered to limit the dissemination of 
     information only to the times required under the preceding 
     sentence.''.
       (6) Sections 8440a(a)(2) and 8440d(a)(2) of title 5, United 
     States Code, are amended by striking all after ``subject to'' 
     and inserting ``this chapter.''.
       (c) Effective Date.--
       [(1) In general.--The amendments made by this section shall 
     take effect on October 1, 2000, or such earlier date as the 
     Executive Director (as defined by section 8401 of title 5, 
     United States Code) may by regulation prescribe, but not 
     before September 1, 2000.]
       (1) In general.--The amendments made by this section shall 
     take effect at the earliest practicable date after September 
     30, 2000, as determined by the Executive Director in 
     regulations.
       (2) Savings provision.--Notwithstanding any other provision 
     of this section, until the amendments made by this section 
     take effect, title 5, United States Code, shall be applied as 
     if this section had not been enacted.

     [SEC. 3. ADDITIONAL GOVERNMENT CONTRIBUTIONS FOR RETIREMENT.

       [(a) Federal Employees' Retirement System.--Section 8423(a) 
     of title 5, United States Code, is amended by adding at the 
     end the following:
       [``(5) Notwithstanding any other provision of this chapter, 
     effective with respect to contributions for pay periods 
     beginning on or after October 1, 2000, the normal-cost 
     percentage used for purposes of any computation under this 
     subsection shall be equal to--
       [``(A) the percentage that would otherwise apply if this 
     paragraph had not been enacted, plus
       [``(B) .01 of 1 percentage point.''.
       [(b) Supplemental Liability.--For purposes of applying 
     section 8423(b) of title 5, United States Code, and section 
     857(b) of the Foreign Service Act of 1980 (22 U.S.C. 
     4071f(b)), all amounts shall be determined as if this section 
     had never been enacted.
       [(c) Limitation on Source of Additional Contributions.--
     Notwithstanding section 8423(a)(3) of title 5, United States 
     Code, or any other provision of law, the additional 
     Government contributions required to be made by reason of the 
     amendment made by subsection (a) shall be made out of any 
     amounts available to the employing agency involved, other 
     than any appropriation, fund, or other amounts available for 
     the payment of employee salaries or benefits.
       [(d) Conforming Amendment.--Section 307 of the Federal 
     Employees' Retirement System Act of 1986 (Public Law 99-335; 
     5 U.S.C. 8401 note) is amended by inserting ``, including the 
     additional amount required under section 8423(a)(5)(B) of 
     such title 5,'' after ``Federal Employees' Retirement 
     System''.]

     SEC. 3. COURT ORDERS AFFECTING REFUNDS.

       (a) Civil Service Retirement System.--Section 8342(j)(1) of 
     title 5, United States Code, is amended to read as follows:
       ``(j)(1)(A) Payment of the lump-sum credit under subsection 
     (a) may be made only if the spouse, if any, and any former 
     spouse of the employee or Member are notified of the employee 
     or Member's application.
       ``(B) The Office shall prescribe regulations under which 
     the lump-sum credit shall not be paid without the consent of 
     a spouse or former spouse of the employee or Member where the 
     Office has received such additional information and 
     documentation as the Office may require that--
       ``(i) a court order bars payment of the lump-sum credit in 
     order to preserve the court's ability to award an annuity 
     under section 8341(h) or section 8345(j); or
       ``(ii) payment of the lump-sum credit would extinguish the 
     entitlement of the spouse or former spouse, under a court 
     order on file with the Office, to a survivor annuity under 
     section 8341(h) or to any portion of an annuity under section 
     8345(j).''.
       (b) Federal Employees Retirement System.--Section 
     8424(b)(1) of title 5, United States Code, is amended to read 
     as follows:
       ``(b)(1)(A) Payment of the lump-sum credit under subsection 
     (a) may be made only if the spouse, if any, and any former 
     spouse of the employee or Member are notified of the employee 
     or Member's application.
       ``(B) The Office shall prescribe regulations under which 
     the lump-sum credit shall not be paid without the consent of 
     a spouse or former spouse of the employee or Member where the 
     Office has received such additional information or 
     documentation as the Office may require that--
       ``(i) a court order bars payment of the lump-sum credit in 
     order to preserve the court's ability to award an annuity 
     under section 8445 or 8467; or
       ``(ii) payment of the lump-sum credit would extinguish the 
     entitlement of the spouse or former spouse, under a court 
     order on file with the Office, to a survivor annuity under 
     section 8445 or to any portion of an annuity under section 
     8467.''.

  Mr. BENNETT. Mr. President, I ask unanimous consent that the 
committee amendments be agreed to.
  The PRESIDING OFFICER. Without objection, it is so ordered.
  The committee amendments were agreed to.
  Mr. BENNETT. I ask unanimous consent the bill, as amended, be read 
the third time and passed, the motion to reconsider be laid upon the 
table, and that any statements relating to the bill be printed in the 
Record.
  The PRESIDING OFFICER. Without objection, it is so ordered.
  The bill (H.R. 208), as amended, was read the third time and passed.

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