IB 

Union Calendar No. 274 

112TH CONGRESS 

2D SESSION H. R. 3813 

[Report No. 112–394, Part I] 

To amend title 5, United States Code, to secure the annuities of Federal 

civilian employees, and for other purposes. 

IN THE HOUSE OF REPRESENTATIVES 

JANUARY 24, 2012 

Mr. ROSS of Florida introduced the following bill; which was referred to the 

Committee on Oversight and Government Reform, and in addition to the 

Committee on House Administration, for a period to be subsequently determined by the Speaker, in each case for consideration of such provisions 

as fall within the jurisdiction of the committee concerned 

FEBRUARY 9, 2012 

Reported from the Committee on Oversight and Government Reform with an 

amendment 

[Strike out all after the enacting clause and insert the part printed in italic] 

FEBRUARY 9, 2012 

The Committee on House Administration discharged; committed to the Committee of the Whole House on the State of the Union and ordered to be 

printed 

[For text of introduced bill, see copy of bill as introduced on January 24, 2012] 


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A BILL 

To amend title 5, United States Code, to secure the annuities 

of Federal civilian employees, and for other purposes. 


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1 Be it enacted by the Senate and House of Representa2 tives of the United States of America in Congress assembled, 

3 SECTION 1. SHORT TITLE. 

4 This Act may be cited as the ‘‘Securing Annuities for 

5 Federal Employees Act of 2012’’. 

6 SEC. 2. RETIREMENT CONTRIBUTIONS. 

7 (a) CIVIL SERVICE RETIREMENT SYSTEM.— 

8 (1) INDIVIDUAL CONTRIBUTIONS.—Section 

9 8334(c) of title 5, United States Code, is amended— 

10 (A) by striking ‘‘(c) Each’’ and inserting 

11 ‘‘(c)(1) Each’’; and 

12 (B) by adding at the end the following: 

13 ‘‘(2) Notwithstanding any other provision of this sub14 section, the applicable percentage of basic pay under this 

15 subsection shall, for purposes of computing an amount— 

16 ‘‘(A) for a period in calendar year 2013, 2014, 

17 or 2015, be equal to the applicable percentage under 

18 this subsection for the preceding calendar year (in19 cluding as increased under this paragraph, if appli20 cable), plus an additional 0.5 percentage point; and 

21 ‘‘(B) for a period in any calendar year after 

22 2015, be equal to the applicable percentage under this 

23 subsection for calendar year 2015 (as determined 

24 under subparagraph (A)).’’. 


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1 (2) GOVERNMENT CONTRIBUTIONS.—Section 

2 8334(a)(1)(B) of title 5, United States Code, is 

3 amended— 

4 (A) in clause (i), by striking ‘‘Except as 

5 provided in clause (ii),’’ and inserting ‘‘Except 

6 as provided in clause (ii) or (iii),’’; and 

7 (B) by adding at the end the following: 

8 ‘‘(iii) The amount to be contributed under clause (i) 

9 shall, with respect to a period in any year beginning after 

10 December 31, 2012, be equal to— 

11 ‘‘(I) the amount which would otherwise apply 

12 under clause (i) with respect to such period, reduced 

13 by 

14 ‘‘(II) the amount by which, with respect to such 

15 period, the withholding under subparagraph (A) ex16 ceeds the amount which would otherwise have been 

17 withheld from the basic pay of the employee or elected 

18 official involved under subparagraph (A) based on the 

19 percentage applicable under subsection (c) for cal20 endar year 2012.’’. 

21 (b) FEDERAL EMPLOYEES’ RETIREMENT SYSTEM.— 

22 Section 8422(a)(3) of title 5, United States Code, is amend23 ed— 

24 (1) by striking ‘‘(3) The’’ and inserting ‘‘(3)(A) 

25 The’’; and 


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1 (2) by adding at the end the following: 

2 ‘‘(B) Notwithstanding any other provision of this 

3 paragraph, the applicable percentage under this paragraph 

4 shall, for purposes of computing any amount— 

5 ‘‘(i) for a period in calendar year 2013, 2014, or 

6 2015, be equal to the applicable percentage under this 

7 paragraph for the preceding calendar year (including 

8 as increased under this subparagraph, if applicable), 

9 plus an additional 0.5 percentage point; and 

10 ‘‘(ii) for a period in any calendar year after 

11 2015, be equal to the applicable percentage under this 

12 paragraph for calendar year 2015 (as determined 

13 under clause (i)).’’. 

14 SEC. 3. AMENDMENTS RELATING TO SECURE ANNUITY EM15 PLOYEES. 

16 (a) DEFINITION OF SECURE ANNUITY EMPLOYEE.— 

17 Section 8401 of title 5, United States Code, is amended— 

18 (1) in paragraph (35), by striking ‘‘and’’ at the 

19 end; 

20 (2) in paragraph (36), by striking the period 

21 and inserting ‘‘; and’’; and 

22 (3) by adding at the end the following: 

23 ‘‘(37) the term ‘secure annuity employee’ means 

24 an employee or Member who— 


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1 ‘‘(A) first becomes subject to this chapter 

2 after December 31, 2012; and 

3 ‘‘(B) at the time of first becoming subject to 

4 this chapter, does not have at least 5 years of ci5 vilian service creditable under the Civil Service 

6 Retirement System or any other retirement sys7 tem for Government employees.’’. 

8 (b) INDIVIDUAL CONTRIBUTIONS.—Section 8422(a)(3) 

9 of title 5, United States Code (as amended by section 2(b)) 

10 is further amended— 

11 (1) in subparagraph (B) (as added by section 

12 2(b)), in the matter before clause (i), by striking ‘‘this 

13 paragraph, the’’ and inserting ‘‘this paragraph and 

14 except in the case of a secure annuity employee, the’’; 

15 and 

16 (2) by adding after subparagraph (B) (as so 

17 added) the following: 

18 ‘‘(C) Notwithstanding any other provision of this 

19 paragraph, in the case of a secure annuity employee, the 

20 applicable percentage under this paragraph shall— 

21 ‘‘(i) in the case of a secure annuity employee 

22 who is an employee, Congressional employee, or Mem23 ber, be equal to 10.2 percent; and 

24 ‘‘(ii) in the case of a secure annuity employee 

25 who is a law enforcement officer, firefighter, member 


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1 of the Capitol Police, member of the Supreme Court 

2 Police, air traffic controller, nuclear materials cou3 rier, or customs and border protection officer, be equal 

4 to 10.7 percent.’’. 

5 (c) AVERAGE PAY.—Section 8401(3) of title 5, United 

6 States Code, is amended— 

7 (1) by striking ‘‘(3)’’ and inserting ‘‘(3)(A)’’; 

8 and 

9 (2) by adding ‘‘except that’’ after the semicolon; 

10 and 

11 (3) by adding at the end the following: 

12 ‘‘(B) in the case of a secure annuity employee, 

13 the term ‘average pay’ has the meaning determined 

14 applying subparagraph (A)— 

15 ‘‘(i) by substituting ‘5 consecutive years’ for 

16 ‘3 consecutive years’; and 

17 ‘‘(ii) by substituting ‘5 years’ for ‘3 

18 years’.’’. 

19 (d) COMPUTATION OF BASIC ANNUITY.—Section 8415 

20 of title 5, United States Code, is amended— 

21 (1) by striking subsections (a) through (e) and 

22 inserting the following: 

23 ‘‘(a) Except as otherwise provided in this section, the 

24 annuity of an employee retiring under this subchapter is— 


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1 ‘‘(1) in the case of an employee other than a se2 cure annuity employee, 1 percent of that individual’s 

3 average pay multiplied by such individual’s total 

4 service; and 

5 ‘‘(2) in the case of an employee who is a secure 

6 annuity employee, 0.7 percent of that individual’s av7 erage pay multiplied by such individual’s total serv8 ice. 

9 ‘‘(b)(1) The annuity of a Member, or former Member 

10 with title to a Member annuity, retiring under this sub11 chapter is computed under subsection (a)(1), except that if 

12 the individual has had at least 5 years of service as a Mem13 ber or Congressional employee, or any combination thereof, 

14 so much of the annuity as is computed with respect to either 

15 such type of service (or a combination thereof), not exceed16 ing a total of 20 years, shall be computed by multiplying 

17 1.7 percent of the individual’s average pay by the years of 

18 such service. 

19 ‘‘(2) The annuity of a Member, or former Member with 

20 title to a Member annuity, retiring under this subchapter 

21 is, if the individual is or was a secure annuity employee, 

22 computed— 

23 ‘‘(A) under subsection (a)(2); and 

24 ‘‘(B) disregarding paragraph (1) of this sub25 section. 


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1 ‘‘(c)(1) The annuity of a Congressional employee, or 

2 former Congressional employee, retiring under this sub3 chapter is computed under subsection (a)(1), except that if 

4 the individual has had at least 5 years of service as a Con5 gressional employee or Member, or any combination thereof, 

6 so much of the annuity as is computed with respect to either 

7 such type of service (or a combination thereof), not exceed8 ing a total of 20 years, shall be computed by multiplying 

9 1.7 percent of the individual’s average pay by the years of 

10 such service. 

11 ‘‘(2) The annuity of a Congressional employee, or 

12 former Congressional employee, retiring under this sub13 chapter is, if the individual is or was a secure annuity em14 ployee, computed— 

15 ‘‘(A) under subsection (a)(2); and 

16 ‘‘(B) disregarding paragraph (1) of this sub17 section. 

18 ‘‘(d) The annuity of an employee retiring under sub19 section (d) or (e) of section 8412 or under subsection (a), 

20 (b), or (c) of section 8425 is— 

21 ‘‘(1) in the case of an individual other than a 

22 secure annuity employee— 

23 ‘‘(A) 1.7 percent of that individual’s aver24 age pay multiplied by so much of such individVerDate Mar 15 2010 00:41 Feb 10, 2012 Jkt 019200 PO 00000 Frm 00009 Fmt 6652 Sfmt 6203 E:\BILLS\H3813.RH H3813

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1 ual’s total service as does not exceed 20 years; 

2 plus 

3 ‘‘(B) 1 percent of that individual’s average 

4 pay multiplied by so much of such individual’s 

5 total service as exceeds 20 years; and 

6 ‘‘(2) in the case of an individual who is a secure 

7 annuity employee— 

8 ‘‘(A) 1.4 percent of that individual’s aver9 age pay multiplied by so much of such individ10 ual’s total service as does not exceed 20 years; 

11 plus 

12 ‘‘(B) 0.7 percent of that individual’s aver13 age pay multiplied by so much of such individ14 ual’s total service as exceeds 20 years. 

15 ‘‘(e) The annuity of an air traffic controller or former 

16 air traffic controller retiring under section 8412(a) is com17 puted under subsection (a)(1), except that if the individual 

18 has had at least 5 years of service as an air traffic controller 

19 as defined by section 2109(1)(A)(i), so much of the annuity 

20 as is computed with respect to such type of service shall 

21 be computed— 

22 ‘‘(1) in the case of an individual other than a 

23 secure annuity employee, by multiplying 1.7 percent 

24 of the individual’s average pay by the years of such 

25 service; and 


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1 ‘‘(2) in the case of an individual who is a secure 

2 annuity employee, by multiplying 1.4 percent of the 

3 individual’s average pay by the years of such serv4 ice.’’; and 

5 (2) in subsection (h)— 

6 (A) in paragraph (1), by striking ‘‘sub7 section (a)’’ and inserting ‘‘subsection (a)(1)’’; 

8 and 

9 (B) in paragraph (2), in the matter fol10 lowing subparagraph (B), by striking ‘‘or cus11 toms and border protection officer’’ and inserting 

12 ‘‘customs and border protection officer, or secure 

13 annuity employee.’’. 

14 SEC. 4. ANNUITY SUPPLEMENT. 

15 Section 8421(a) of title 5, United States Code, is 

16 amended— 

17 (1) in paragraph (1), by striking ‘‘paragraph 

18 (3)’’ and inserting ‘‘paragraphs (3) and (4)’’; 

19 (2) in paragraph (2), by striking ‘‘paragraph 

20 (3)’’ and inserting ‘‘paragraphs (3) and (4)’’; and 

21 (3) by adding at the end the following: 

22 ‘‘(4)(A) Except as provided in subparagraph (B), no 

23 annuity supplement under this section shall be payable in 

24 the case of an individual whose entitlement to annuity is 


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1 based on such individual’s separation from service after De2 cember 31, 2012. 

3 ‘‘(B) Nothing in this paragraph applies in the case 

4 of an individual separating under subsection (d) or (e) of 

5 section 8412.’’. 

6 SEC. 5. CONTRIBUTIONS TO THRIFT SAVINGS FUND OF PAY7 MENTS FOR ACCRUED OR ACCUMULATED 

8 LEAVE. 

9 (a) AMENDMENTS RELATING TO CSRS.—Section 

10 8351(b) of title 5, United States Code, is amended— 

11 (1) by striking paragraph (2)(A) and inserting 

12 the following: 

13 ‘‘(2)(A) An employee or Member may contribute to the 

14 Thrift Savings Fund in any pay period any amount of such 

15 employee’s or Member’s basic pay for such pay period, and 

16 may contribute (by direct transfer to the Fund) any part 

17 of any payment that the employee or Member receives for 

18 accumulated and accrued annual or vacation leave under 

19 section 5551 or 5552. Notwithstanding section 2105(e), in 

20 this paragraph the term ‘employee’ includes an employee 

21 of the United States Postal Service or of the Postal Regu22 latory Commission.’’; 

23 (2) by striking subparagraph (B) of paragraph 

24 (2); and 


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1 (3) by redesignating subparagraph (C) of para2 graph (2) as subparagraph (B). 

3 (b) AMENDMENTS RELATING TO FERS.—Section 

4 8432(a) of title 5, United States Code, is amended— 

5 (1) by striking paragraphs (1) and (2) and in6 serting the following: 

7 ‘‘(1) An employee or Member— 

8 ‘‘(A) may contribute to the Thrift Savings Fund 

9 in any pay period, pursuant to an election under 

10 subsection (b), any amount of such employee’s or 

11 Member’s basic pay for such pay period; and 

12 ‘‘(B) may contribute (by direct transfer to the 

13 Fund) any part of any payment that the employee or 

14 Member receives for accumulated and accrued annual 

15 or vacation leave under section 5551 or 5552. 

16 ‘‘(2) Contributions made under paragraph (1)(A) pur17 suant to an election under subsection (b) shall, with respect 

18 to each pay period for which such election remains in effect, 

19 be made in accordance with a program of regular contribu20 tions provided in regulations prescribed by the Executive 

21 Director.’’; and 

22 (2) by adding at the end the following new para23 graph: 

24 ‘‘(4) Notwithstanding section 2105(e), in this sub25 section the term ‘employee’ includes an employee of the 


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1 United States Postal Service or of the Postal Regulatory 

2 Commission.’’. 

3 (c) REGULATIONS.—The Executive Director of the Fed4 eral Retirement Thrift Investment Board shall promulgate 

5 regulations to carry out the amendments made by this sec6 tion. 

7 (d) EFFECTIVE DATE.—The amendments made by 

8 subsections (a) and (b) shall take effect one year after the 

9 date of the enactment of this section, or upon such earlier 

10 date as may be established by the Executive Director of the 

11 Federal Retirement Thrift Investment Board under the reg12 ulations promulgated pursuant to subsection (c). 

13 SEC. 6. COORDINATION WITH OTHER RETIREMENT SYS14 TEMS. 

15 (a) FOREIGN SERVICE.—For provisions of law requir16 ing maintenance of existing conformity— 

17 (1) between the Civil Service Retirement System 

18 and the Foreign Service Retirement System, and 

19 (2) between the Federal Employees’ Retirement 

20 System and the Foreign Service Pension System, 

21 see section 827 of the Foreign Service Act of 1980 (22 U.S.C. 

22 4067). 

23 (b) CIARDS.— 

24 (1) COMPATIBILITY WITH CSRS.—For provisions 

25 of law relating to maintenance of existing conformity 


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1 between the Civil Service Retirement System and the 

2 Central Intelligence Agency Retirement and Dis3 ability System, see section 292 of the Central Intel4 ligence Agency Retirement Act (50 U.S.C. 2141). 

5 (2) APPLICABILITY OF FERS.—For provisions of 

6 law providing for the application of the Federal Em7 ployees’ Retirement System with respect to employees 

8 of the Central Intelligence Agency, see title III of the 

9 Central Intelligence Agency Retirement Act (50 

10 U.S.C. 2151 and following). 

11 (c) TVA.—Section 3 of the Tennessee Valley Authority 

12 Act of 1933 (16 U.S.C. 831b) is amended by adding at the 

13 end the following: 

14 ‘‘(c) The chief executive officer shall prescribe any reg15 ulations which may be necessary in order to carry out the 

16 purposes of the Securing Annuities for Federal Employees 

17 Act of 2012 with respect to any defined benefit plan cov18 ering employees of the Tennessee Valley Authority.’’. 


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Union Calendar No. 274 

112TH CONGRESS 

2D SESSION H. R. 3813 

[Report No. 112–394, Part I] 

A BILL 

To amend title 5, United States Code, to secure the 

other purposes. annuities of Federal civilian employees, and for 

FEBRUARY 9, 2012 

The Committee on House Administration discharged; 

the State of the Union and ordered to be printed committed to the Committee of the Whole House on 


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