109TH CONGRESS

2D SESSION S. 4091

AN ACT

To provide authority for restoration of the Social Security

Trust Funds from the effects of a clerical error, 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 ‘‘Social Security Trust

5 Funds Restoration Act of 2006’’.
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1 SEC. 2. DEFINITIONS.

2 For purposes of this Act—

3 (1) CLERICAL ERROR.—The term ‘‘clerical

4 error’’ means the bookkeeping errors at the Social

5 Security Administration that resulted in the over6 payment of amounts transferred from the Trust

7 Funds to the general fund of the Treasury during

8 the period commencing with 1999 and ending with

9 2005 as transfers, under the voluntary withholding

10 program authorized by section 3402(p) of the Inter11 nal Revenue Code of 1986, of anticipated taxes on

12 benefit payments under title II of the Social Security

13 Act.

14 (2) SECRETARY.—The term ‘‘Secretary’’ means

15 the Secretary of the Treasury.

16 (3) TRUST FUNDS.—The term ‘‘Trust Funds’’

17 means the Federal Old-Age and Survivors Insurance

18 Trust Fund and the Federal Disability Insurance

19 Trust Fund.

20 SEC. 3. RESTORATION OF TRUST FUNDS.

21 (a) APPROPRIATION.—There is hereby appropriated

22 to each of the Trust Funds, out of any money in the

23 Treasury not otherwise appropriated, an amount deter24 mined by the Secretary, in consultation with the Commis25 sioner of Social Security, to be equal, to the extent prac-
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1 ticable in the judgment of the Secretary, to the difference

2 between—

3 (1) the sum of—

4 (A) the amounts that the Secretary deter5 mines, in consultation with the Commissioner of

6 Social Security, were overpaid from such Trust

7 Fund to the general fund of the Treasury by

8 reason of the clerical error, and

9 (B) the amount that the Secretary deter10 mines, in consultation with the Commissioner of

11 Social Security, to be equal, to the extent prac12 ticable in the judgment of the Secretary, to the

13 interest income that would have been payable to

14 such Trust Fund pursuant to section 201(d) of

15 the Social Security Act on obligations issued

16 under chapter 31 of title 31, United States

17 Code, that was not paid by reason of the cler18 ical error, and

19 (2) the sum of—

20 (A) the amounts that are refunded to such

21 Trust Fund as overpayments by reason of the

22 clerical error to the extent not limited by peri23 ods of limitation under applicable provisions of

24 the Internal Revenue Code of 1986, and
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S 4091 ES

1 (B) the interest that is paid to such Trust

2 Fund on the overpayments resulting from the

3 clerical error to the extent allowed under appli4 cable provisions of such Code.

5 (b) INVESTMENT.—The Secretary shall invest the

6 amounts appropriated to each of the Trust Funds under

7 subsection (a) in accordance with the currently applicable

8 investment policy for such Trust Fund.

9 SEC. 4. TIMING.

10 (a) ACTIONS BY THE SECRETARY.—The Secretary

11 shall take such actions as are necessary to accomplish the

12 restoration described in section 3 not later than 120 days

13 after the date of the enactment of this Act.

14 (b) ACTION BY THE COMMISSIONER.—The Commis15 sioner of Social Security shall cooperate with the Secretary

16 to the extent necessary to enable the Secretary to meet

17 the requirements of subsection (a).

18 SEC. 5. CONGRESSIONAL NOTIFICATION.

19 Not later than 30 days after the Secretary takes the

20 last action necessary to accomplish the restoration de-
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1 scribed in section 3, the Secretary shall notify each House

2 of the Congress in writing of the actions so taken.

Passed the Senate December 7, 2006.

Attest:

Secretary.
109TH CONGRESS

2D SESSION S. 4091

AN ACT

To provide authority for restoration of the Social

ical error, and for other purposes.Security Trust Funds from the effects of a cler-