I

104TH CONGRESS

1ST SESSION H. R. 568

To amend title 10, United States Code, to provide for improved treatment

of future actuarial gains and losses to the Department of Defense Military Retirement Fund.

IN THE HOUSE OF REPRESENTATIVES

JANUARY 19, 1995

Mr. MURTHA introduced the following bill; which was referred to the

Committee on National Security

A BILL

To amend title 10, United States Code, to provide for improved treatment of future actuarial gains and losses

to the Department of Defense Military Retirement Fund.

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

3 SECTION 1. TREATMENT OF FUTURE ACTUARIAL GAINS

4 AND LOSSES TO DEPARTMENT OF DEFENSE

5 MILITARY RETIREMENT FUND.

6 (a) DETERMINATION OF CONTRIBUTIONS TO THE

7 FUND.—Section 1465 of title 10, United States Code, is

8 amended—
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1 (1) in subsection (b)(1), by adding at the end

2 the following new subparagraph:

3 ‘‘(C) The amount (including any negative

4 amount) expected to be paid into the Fund for that

5 fiscal year under section 1466(c)(1) of this title.’’;

6 (2) in subsection (b)(2), by striking out ‘‘sec7 tion 1466(a)’’ and inserting in lieu thereof ‘‘sub8 sections (a) and (c) of section 1466’’;

9 (3) in subsection (c)(2), by inserting after ‘‘cre10 ated by such change’’ the following: ‘‘attributable to

11 service performed before October 1, 1984, and a

12 separate such amortization methodology and sched13 ule with respect to service performed on or after Oc14 tober 1, 1984,’’; and

15 (4) in subsection (c)(3), by inserting after

16 ‘‘such change in assumptions’’ the following: ‘‘attrib17 utable to service performed before October 1, 1984,

18 and a separate such amortization methodology and

19 schedule with respect to service performed on or

20 after October 1, 1984,’’.

21 (b) PAYMENTS INTO THE FUND.—Section 1466 of

22 such title is amended—

23 (1) in subsection (b)(2), by inserting ‘‘attrib24 utable to service performed before October 1, 1984,’’
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1 in subparagraphs (B) and (C) after ‘‘to the Fund’’;

2 and

3 (2) by adding at the end the following new sub4 section:

5 ‘‘(c)(1) At the beginning of each fiscal year, the Sec6 retary of Defense shall promptly pay into the Fund the

7 amount determined under paragraph (2). Amounts (in8 cluding negative amounts) paid into the Fund under this

9 paragraph shall be paid from funds available for the pay

10 of members of the armed forces under the jurisdiction of

11 the Secretary of a military department (or used to offset

12 amounts paid under subsection (a)).

13 ‘‘(2) At the beginning of each fiscal year, the Sec14 retary of Defense shall determine the amount equal to the

15 sum of the following:

16 ‘‘(A) The amount (including any negative

17 amount) for that year under the most recent amorti18 zation schedule determined by the Secretary of De19 fense under section 1465(c)(2) of this title for the

20 amortization of any cumulative unfunded liability (or

21 any gain) to the Fund attributable to service per22 formed on or after October 1, 1984, resulting from

23 changes in benefits.

24 ‘‘(B) The amount (including any negative

25 amount) for that year under the most recent amorti-
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1 zation schedule determined by the Secretary of De2 fense under section 1465(c)(3) of this title for the

3 amortization of any cumulative actuarial gain or loss

4 to the Fund attributable to service performed on or

5 after October 1, 1984.’’.

6 (c) EFFECTIVE DATE.—The amendments made by

7 this section shall take effect with respect to the budget

8 for fiscal year 1997 and payments into the Department

9 of Defense Military Retirement Fund for fiscal year 1997.

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