II

106TH CONGRESS

1ST SESSION S. 763

To amend title 10, United States Code, to increase the minimum Survivor

Benefit Plan basic annuity for surviving spouses age 62 and older;

and for other purposes.

IN THE SENATE OF THE UNITED STATES

APRIL 12, 1999

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

referred to the Committee on Armed Services

A BILL

To amend title 10, United States Code, to increase the

minimum Survivor Benefit Plan basic annuity for surviving spouses age 62 and older; 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. SHORT TITLE.

4 This Act may be cited as the ‘‘SBP Benefits Improve5 ment Act of 1999’’.

6 SEC. 2. COMPUTATION OF SURVIVOR BENEFITS.

7 (a) INCREASED BASIC ANNUITY.—(1) Subsection

8 (a)(1)(B)(i) of section 1451 of title 10, United States

9 Code, is amended by striking ‘‘35 percent of the base
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1 amount.’’ and inserting ‘‘the product of the base amount

2 and the percent applicable for the month. The percent ap3 plicable for a month is 35 percent for months beginning

4 on or before the date of the enactment of the SBP Bene5 fits Improvement Act of 1999, 40 percent for months be6 ginning after such date and before October 2004, and 45

7 percent for months beginning after September 2004.’’.

8 (2) Subsection (a)(2)(B)(i)(I) of such section is

9 amended by striking ‘‘35 percent’’ and inserting ‘‘the per10 cent specified under subsection (a)(1)(B)(i) as being appli11 cable for the month’’.

12 (3) Subsection (c)(1)(B)(i) of such section is

13 amended—

14 (A) by striking ‘‘35 percent’’ and inserting ‘‘the

15 applicable percent’’; and

16 (B) by adding at the end the following: ‘‘The

17 percent applicable for a month under the preceding

18 sentence is the percent specified under subsection

19 (a)(1)(B)(i) as being applicable for the month.’’.

20 (4) The heading for subsection (d)(2)(A) of such sec21 tion is amended to read as follows: ‘‘COMPUTATION OF AN22 NUITY.—’’.

23 (b) ADJUSTED SUPPLEMENTAL ANNUITY.—Section

24 1457(b) of title 10, United States Code, is amended—
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1 (1) by striking ‘‘5, 10, 15, or 20 percent’’ and

2 inserting ‘‘the applicable percent’’; and

3 (2) by inserting after the first sentence the fol4 lowing: ‘‘The percent used for the computation shall

5 be an even multiple of 5 percent and, whatever the

6 percent specified in the election, may not exceed 20

7 percent for months beginning on or before the date

8 of the enactment of the SBP Benefits Improvement

9 Act of 1999, 15 percent for months beginning after

10 that date and before October 2004, and 10 percent

11 for months beginning after September 2004.’’.

12 (c) RECOMPUTATION OF ANNUITIES.—(1) Effective

13 on the first day of each month referred to in paragraph

14 (2)—

15 (A) each annuity under section 1450 of title 10,

16 United States Code, that commenced before that

17 month, is computed under a provision of section

18 1451 of that title amended by subsection (a), and is

19 payable for that month shall be recomputed so as to

20 be equal to the amount that would be in effect if the

21 percent applicable for that month under that provi22 sion, as so amended, had been used for the initial

23 computation of the annuity; and

24 (B) each supplemental survivor annuity under

25 section 1457 of such title that commenced before
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1 that month and is payable for that month shall be

2 recomputed so as to be equal to the amount that

3 would be in effect if the percent applicable for that

4 month under that section, as amended by this sec5 tion, had been used for the initial computation of

6 the supplemental survivor annuity.

7 (2) The requirements for recomputation of annuities

8 under paragraph (1) apply with respect to the following

9 months:

10 (A) The first month that begins after the date

11 of the enactment of this Act.

12 (B) October 2004.

13 (d) RECOMPUTATION OF RETIRED PAY REDUCTIONS

14 FOR SUPPLEMENTAL SURVIVOR ANNUITIES.—The Sec15 retary of Defense shall take such actions as are neces16 sitated by the amendments made by subsection (b) and

17 the requirements of subsection (c)(1)(B) to ensure that

18 the reductions in retired pay under section 1460 of title

19 10, United States Code, are adjusted to achieve the objec20 tives set forth in subsection (b) of that section.

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