PUBLIC LAW 108–476—DEC. 21, 2004 118 STAT. 3901

Public Law 108–476

108th Congress

An Act

To treat certain arrangements maintained by the YMCA Retirement Fund as church

plans for the purposes of certain provisions of the Internal Revenue Code of

1986, 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. CERTAIN ARRANGEMENTS MAINTAINED BY THE YMCA

RETIREMENT FUND TREATED AS CHURCH PLANS.

(a) RETIREMENT PLANS.—

(1) IN GENERAL.—For purposes of sections 401(a) and 403(b)

of the Internal Revenue Code of 1986, any retirement plan

maintained by the YMCA Retirement Fund as of January 1,

2003, shall be treated as a church plan (within the meaning

of section 414(e) of such Code) which is maintained by an

organization described in section 414(e)(3)(A) of such Code.

(2) TAX-DEFERRED RETIREMENT PLAN.—In the case of a

retirement plan described in paragraph (1) which allows contributions to be made under a salary reduction agreement—

(A) such treatment shall not apply for purposes of

section 415(c)(7) of such Code, and

(B) any account maintained for a participant or beneficiary of such plan shall be treated for purposes of such

Code as a retirement income account described in section

403(b)(9) of such Code, except that such account shall not,

for purposes of section 403(b)(12) of such Code, be treated

as a contract purchased by a church for purposes of section

403(b)(1)(D) of such Code.

(3) MONEY PURCHASE PENSION PLAN.—In the case of a

retirement plan described in paragraph (1) which is subject

to the requirements of section 401(a) of such Code—

(A) such plan (but not any reserves held by the YMCA

Retirement Fund)—

(i) shall be treated for purposes of such Code as

a defined contribution plan which is a money purchase

pension plan, and

(ii) shall be treated as having made an election

under section 410(d) of such Code for plan years beginning after December 31, 2005, except that notwithstanding the election—

(I) nothing in the Employee Retirement

Income Security Act of 1974 or such Code shall

prohibit the YMCA Retirement Fund from

commingling for investment purposes the assets

of the electing plan with the assets of such Fund

Dec. 21, 2004

[H.R. 5365]

118 STAT. 3902 PUBLIC LAW 108–476—DEC. 21, 2004

LEGISLATIVE HISTORY—H.R. 5365:

CONGRESSIONAL RECORD, Vol. 150 (2004):

Nov. 19, considered and passed House.

Dec. 7, considered and passed Senate.

Æ

and with the assets of any employee benefit plan

maintained by such Fund, and

(II) nothing in this section shall be construed

as subjecting any assets described in subclause

(I), other than the assets of the electing plan,

to any provision of such Act,

(B) notwithstanding section 401(a)(11) or 417 of such

Code or section 205 of such Act, such plan may offer a

lump-sum distribution option to participants who have not

attained age 55 without offering such participants an

annuity option, and

(C) any account maintained for a participant or beneficiary of such plan shall, for purposes of section 401(a)(9)

of such Code, be treated as a retirement income account

described in section 403(b)(9) of such Code.

(4) SELF-FUNDED DEATH BENEFIT PLAN.—For purposes of

section 7702(j) of such Code, a retirement plan described in

paragraph (1) shall be treated as an arrangement described

in section 7702(j)(2).

(b) YMCA RETIREMENT FUND.—For purposes of this section,

the term ‘‘YMCA Retirement Fund’’ means the Young Men’s Christian Association Retirement Fund, a corporation created by an

Act of the State of New York which became law on April 30,

1921.

(c) EFFECTIVE DATE.—This section shall apply to plan years

beginning after December 31, 2003.

Approved December 21, 2004.