II

106TH CONGRESS

1ST SESSION S. 297

To amend title 37, United States Code, to authorize members of the uniformed services to participate in the Thrift Savings Plan; and for other

purposes.

IN THE SENATE OF THE UNITED STATES

JANUARY 22, 1999

Mr. SHELBY introduced the following bill; which was read twice and referred

to the Committee on Governmental Affairs

A BILL

To amend title 37, United States Code, to authorize members

of the uniformed services to participate in the Thrift

Savings Plan; and for other purposes.

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

3 SECTION 1. PARTICIPATION OF MEMBERS OF THE UNI4 FORMED SERVICES IN THE THRIFT SAVINGS

5 PLAN.

6 (a) AUTHORITY.—(1) Chapter 3 of title 37, United

7 States Code, is amended by adding at the end the follow8 ing:
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1 ‘‘§ 211. Participation in Thrift Savings Plan

2 ‘‘(a) PARTICIPATION AUTHORIZED.—(1) A member

3 of the uniformed services may contribute to the Thrift

4 Savings Fund out of basic pay.

5 ‘‘(2) An election to contribute to the Thrift Savings

6 Fund under paragraph (1) may be made only during a

7 period provided under section 8432(b) of title 5 for indi8 viduals subject to chapter 84 of such title.

9 ‘‘(b) APPLICABILITY OF THRIFT SAVINGS PLAN PRO10 VISIONS.—Except as otherwise provided in this section,

11 the provisions of subchapters III and VII of chapter 84

12 of title 5 shall apply with respect to members of the uni13 formed services making contributions to the Thrift Sav14 ings Fund as if such members were employees within the

15 meaning of section 8401(11) of such title.

16 ‘‘(c) MAXIMUM CONTRIBUTION FROM BASIC PAY.—

17 (1) The amount contributed by a member of the uni18 formed services for any pay period out of basic pay may

19 not exceed the amount equal to the maximum allowable

20 percent of such member’s basic pay for such pay period.

21 ‘‘(2) For the purposes of paragraph (1), the maxi22 mum allowable percent of basic pay applicable to a mem23 ber with respect to a pay period is as follows:

24 ‘‘(A) If the member has less than 5 years of

25 service computed under section 205 of title 37 on or

26 before the last day of the pay period, 5 percent.
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1 ‘‘(B) If the member has at least 5 years of

2 service computed under section 205 of title 37 on or

3 before the last day of the pay period, 10 percent.

4 ‘‘(d) AGENCY CONTRIBUTIONS.—Contributions shall

5 be made under paragraph (2), but not any other para6 graph, of section 8432(c) of title 5 for the benefit of a

7 member of the uniformed services making contributions

8 to the Thrift Savings Fund under subsection (a). For the

9 purposes of this subsection, the reference in paragraph (2)

10 of such section to contributions under paragraph (1) of

11 such section does not apply.

12 ‘‘(e) RULES OF CONSTRUCTION.—The following rules

13 of construction apply for the purposes of this section:

14 ‘‘(1) In applying section 8433 of title 5 to a

15 member of the uniformed services who has an ac16 count balance in the Thrift Savings Fund, any ref17 erence in such section to separation from Govern18 ment employment shall be construed to refer to the

19 following actions:

20 ‘‘(A) Release of the member from active21 duty service (not followed by a resumption of

22 active-duty service within 30 days after the ef23 fective date of the release).

24 ‘‘(B) Transfer of the member to an inac25 tive status.
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1 ‘‘(C) Transfer of the member by the Sec2 retary concerned to a retired list maintained by

3 the Secretary.

4 ‘‘(2) The reference in section 8433(g)(1) of title

5 5 to contributions made under section 8432(a) of

6 such title shall be treated as being a reference to

7 contributions made to the Fund by the member,

8 whether made under this section or section 8351 or

9 8432(a) of title 5.’’.

10 (2) The table of sections at the beginning of such

11 chapter is amended by adding at the end the following:

‘‘211. Participation in Thrift Savings Plan.’’.

12 (b) RELATIONSHIP TO PARTICIPATION UNDER

13 OTHER AUTHORITY.—Section 8432b(b)(2)(B) of title 5,

14 United States Code, is amended by inserting after ‘‘section

15 8432(a)’’ the following ‘‘of this title or section 211 of title

16 37’’.

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