Congressional Annuity Reform Act of 1995

SECTION 1. FEDERAL RETIREMENT PROVISIONS RELATING TO MEMBERS OF 
              CONGRESS AND CONGRESSIONAL EMPLOYEES.

    (a) Short Title.--This Act may be cited as the ``Congressional 
Annuity Reform Act of 1995''.
    (b) Relating to the Maximum Annuity Allowable Pursuant to Cost-of-
Living Adjustments.--Section 8340(g)(1) of title 5, United States Code, 
is amended--
            (1) in subparagraph (A) by striking ``or'' after the 
        semicolon;
            (2) in subparagraph (B)--
                    (A) by striking ``employee or Member'' and 
                inserting ``employee'';
                    (B) by striking ``employee or Member'' and 
                inserting ``employee,'';
                    (C) by striking ``employee's or Member's'' and 
                inserting ``employee's''; and
                    (D) by striking the period at the end of 
                subparagraph (B)(ii) and inserting ``; or ''; and
            (3) by adding at the end the following:
            ``(C) the final pay of the Member with respect to whom the 
        annuity is paid.''.
    (c) Relating to the Years of Service as a Member of Congress and 
Congressional Employees for Purposes of Computing an Annuity.--
            (1) CSRS.--Section 8339 of title 5, United States Code, is 
        amended--
                    (A) by striking subsections (b) and (c); and
                    (B) in subsection (a) by inserting ``or Member'' 
                after ``employee''.
            (2) FERS.--Section 8415 of title 5, United States Code, is 
        amended--
                    (A) by striking subsections (b) and (c);
                    (B) in subsections (a) and (g) by inserting ``or 
                Member'' after ``employee'' each place it appears; and
                    (C) in subsection (g)(2) by striking out 
                ``Congressional employee''.
    (d) Contribution Rates.--
            (1) CSRS.--(A) Section 8334(a)(1) of title 5, United States 
        Code, is amended--
                    (i) by striking out ``of an employee, 7\1/2\ 
                percent of the basic pay of a Congressional employee,'' 
                and inserting in lieu thereof ``of an employee, a 
                Member,''; and
                    (ii) by striking out ``basic pay of a Member,'' and 
                inserting in lieu thereof ``basic pay of''.
            (B) The table under section 8334(c) of title 5, United 
        States Code is amended--
                    (i) in the item relating to Member of employee for 
                congressional employee service by striking out


''                              7\1/2\........................  After December 31, 1969.''                      
                                                                                                                


                and inserting in lieu thereof


''                              7\1/2\........................  December 31, 1969 to (but not including) the    
                                                                 effective date of the Congressional Annuity    
                                                                 Reform Act of 1995.                            
''                              7.............................  On and after the effective date of the          
                                                                 Congressional Annuity Reform Act of 1995.'';   
                                                                                                                


                and
                    (ii) in the item relating to Member for Member 
                service by striking out


''                              8.............................  After December 31, 1969.''                      
                                                                                                                


                and inserting in lieu thereof


''                              8.............................  December 31, 1969 to (but not including) the    
                                                                 effective date of the Congressional Annuity    
                                                                 Reform Act of 1995.                            
''                              7.............................  On and after the effective date of the          
                                                                 Congressional Annuity Reform Act of 1995.''.   
                                                                                                                


            (2) FERS.--Section 8422(a)(2) of title 5, United States 
        Code, is amended--
                    (A) in subparagraph (A) by striking out ``employee 
                (other than a law enforcement officer, firefighter, air 
                traffic controller, or Congressional employee)'' and 
                inserting in lieu thereof ``employee or Member (other 
                than a law enforcement officer, firefighter, or air 
                traffic controller)''; and
                    (B) in subparagraph (B)--
                            (i) by striking out ``a Member,''; and
                            (ii) by striking out ``air traffic 
                        controller, or Congressional employee,'' and 
                        inserting in lieu thereof ``or air traffic 
                        controller,''.
    (e) Administrative Regulations.--The Secretary of the Senate and 
the Clerk of the House of Representatives, in consultation with the 
Office of Personnel Management, may prescribe regulations to carry out 
the provisions of this section and the amendments made by this section 
for applicable employees and Members of Congress.
    (f) Effective Dates.--
            (1) Short title.--Subsection (a) shall take effect on the 
        date of the enactment of this Act.
            (2) COLA adjustments.--The amendments made by subsection 
        (b) shall take effect on the date of the enactment of this Act 
        and shall apply with respect to annuities commencing on or 
        after November 6, 1996.
            (3) Years of service; annuity computation.--(A) The 
        amendments made by subsection (c) shall take effect on the date 
        of the enactment of this Act and shall apply only with regard 
        to the computation of an annuity relating to--
                    (i) the service of a Member of Congress as a Member 
                or as a congressional employee performed after November 
                6, 1996; and
                    (ii) the service of a congressional employee as a 
                congressional employee performed after November 6, 
                1996.
            (B) An annuity shall be computed as though the amendments 
        made under subsection (c) has not been enacted with regard to--
                    (i) the service of a Member of Congress as a Member 
                or a congressional employee or military service 
                performed before November 6, 1996; and
                    (ii) the service of a congressional employee as a 
                congressional employee or military service performed 
                before November 6, 1996.
            (4) Contribution rates.--The amendments made by subsection 
        (d) shall take effect on the first day of the first applicable 
        pay period beginning on or after November 6, 1996.
            (5) Regulations.--The provisions of subsection (e) shall 
        take effect on the date of the enactment of this Act.

Summary: Congressional Annuity Reform Act of 1995 - Amends provisions concerning the Civil Service Retirement System (CSRS) and the Federal Employees' Retirement System (FERS) to: (1) limit the maximum CSRS annuity payable to Members of Congress with respect to cost of living adjustments (COLAs) to the final pay of the Member with respect to whom the annuity is paid. And (2) make other changes in the computation of CSRS and FERS annuities payable to Members, including eliminating adjustments for previous service as a congressional employee. Provides for the deduction and withholding of seven percent of the basic pay of a Member or congressional employee under CSRS, thus making such deduction and withholding equivalent to that of a Federal employee. Makes deductions and withholding under FERS for Members and congressional employees conform to those of Federal employees as well. Makes provisions of this Act regarding: (1) COLA adjustments and Member annuities applicable to annuities commencing on or after November 6, 1996. (2) computation of annuities and years of service applicable to service performed after such date. And (3) contribution rates applicable in the first pay period beginning on or after such date.