683
‘‘Per-
centage
of basic
pay
Service period
5 ..........
July 1, 1942, to August
1, 1946.
6 ..........
August 2, 1946, to Oc-
tober 31, 1956.
7.50 .....
November 1, 1956, to
December 31, 1969.
8 ..........
January 1, 1970, to De-
cember 31, 1998.
8.25 .....
January 1, 1999, to De-
cember 31, 1999.
8.40 .....
January 1, 2000, to De-
cember 31, 2000.
8.50 .....
January 1, 2001, to De-
cember 31, 2002.
8 ..........
After December 31,
2002.
Law enforcement officer for law enforce-
ment service and firefighter for fire-
fighter service ........................................
2.50 .....
3.50 .....
August 1, 1920, to
June 30, 1926.
July 1, 1926, to June
30, 1942.
5 ..........
July 1, 1942, to June
30, 1948.
6 ..........
July 1, 1948, to Octo-
ber 31, 1956.
6.50 .....
November 1, 1956, to
December 31, 1969.
7 ..........
January 1, 1970, to De-
cember 31, 1974.
7.50 .....
January 1, 1975, to De-
cember 31, 1998.
7.75 .....
January 1, 1999, to De-
cember 31, 1999.
7.90 .....
January 1, 2000, to De-
cember 31, 2000.
8 ..........
January 1, 2001, to De-
cember 31, 2002.
7.50 .....
After December 31,
2002.
Bankruptcy judge ......................................
2.50 .....
August 1, 1920, to
June 30, 1926.
3.50 .....
July 3, 1926, to June
30, 1942.
5 ..........
July 1, 1942, to June
30, 1948.
6 ..........
July 1, 1948, to Octo-
ber 31, 1956.
6.50 .....
November 1, 1956, to
December 31, 1969.
684
‘‘Per-
centage
of basic
pay
Service period
7 ..........
January 1, 1970, to De-
cember 31, 1983.
8 ..........
January 1, 1984, to De-
cember 31, 1998.
8.25 .....
January 1, 1999, to De-
cember 31, 1999.
8.40 .....
January 1, 2000, to De-
cember 31, 2000.
8.50 .....
January 1, 2001, to De-
cember 31, 2002.
8 ..........
After December 31,
2002.
Judge of the United States Court of Ap-
peals for the Armed Forces for service
as a judge of that court .........................
6 ..........
6.50 .....
May 5, 1950, to Octo-
ber 31, 1956.
November 1, 1956, to
December 31, 1969.
7 ..........
January 1, 1970, to
(but not including)
the date of the enact-
ment of the Depart-
ment of Defense Au-
thorization Act, 1984.
8 ..........
The date of the enact-
ment of the Depart-
ment of Defense Au-
thorization Act, 1984,
to December 31,
1998.
8.25 .....
January 1, 1999, to De-
cember 31, 1999.
8.40 .....
January 1, 2000, to De-
cember 31, 2000.
8.50 .....
January 1, 2001, to De-
cember 31, 2002.
8 ..........
After December 31,
2002.
United States magistrate ..........................
2.50 .....
August 1, 1920, to
June 30, 1926.
3.50 .....
July 1, 1926, to June
30, 1942.
5 ..........
July 1, 1942, to June
30, 1948.
6 ..........
July 1, 1948, to Octo-
ber 31, 1956.
6.50 .....
November 1, 1956, to
December 31, 1969.
7 ..........
January 1, 1970, to
September 30, 1987.
685
‘‘Per-
centage
of basic
pay
Service period
8 ..........
October 1, 1987, to De-
cember 31, 1998.
8.25 .....
January 1, 1999, to De-
cember 31, 1999.
8.40 .....
January 1, 2000, to De-
cember 31, 2000.
8.50 .....
January 1, 2001, to De-
cember 31, 2002.
8 ..........
After December 31,
2002.
Claims Court Judge ...................................
2.50 .....
August 1, 1920, to
June 30, 1926.
3.50 .....
July 1, 1926, to June
30, 1942.
5 ..........
July 1, 1942, to June
30, 1948.
6 ..........
July 1, 1948, to Octo-
ber 31, 1956.
6.50 .....
November 1, 1956, to
December 31, 1969.
7 ..........
January 1, 1970, to
September 30, 1988.
8 ..........
October 1, 1988, to De-
cember 31, 1998.
8.25 .....
January 1, 1999, to De-
cember 31, 1999.
8.40 .....
January 1, 2000, to De-
cember 31, 2000.
8.50 .....
January 1, 2001, to De-
cember 31, 2002.
8 ..........
After December 31,
2002.
Notwithstanding the preceding provisions of this sub-
section and any provision of section 206(b)(3) of the Fed-
eral Employees’ Retirement Contribution Temporary Ad-
justment Act of 1983, the percentage of basic pay required
under this subsection in the case of an individual described
in section 8402(b)(2) shall, with respect to any covered
service (as defined by section 203(a)(3) of such Act) per-
formed by such individual after December 31, 1983, and
686
before January 1, 1987, be equal to 1.3 percent, and, with
respect to any such service performed after December 31,
1986, be equal to the amount that would have been de-
ducted from the employee’s basic pay under subsection (k)
of this section if the employee’s pay had been subject to
that subsection during such period.’’.
(2) DEDUCTIONS.—The first sentence of section
8334(a)(1) of title 5, United States Code, is amend-
ed to read as follows: ‘‘The employing agency shall
deduct and withhold from the basic pay of an em-
ployee, Member, Congressional employee, law en-
forcement officer, firefighter, bankruptcy judge,
judge of the United States Court of Appeals for the
Armed Forces, United States magistrate, or Claims
Court judge, as the case may be, the percentage of
basic pay applicable under subsection (c).’’.
(3) OTHER SERVICE.—
(A) MILITARY SERVICE.—Section 8334(j)
of title 5, United States Code, is amended—
(i) in paragraph (1)(A) by inserting
‘‘and subject to paragraph (5),’’ after ‘‘Ex-
cept as provided in subparagraph (B),’’;
and
(ii) by adding at the end the follow-
ing:
687
‘‘(5) Effective with respect to any period of military
service performed after December 31, 1998, and before
January 1, 2003, the percentage of basic pay under sec-
tion 204 of title 37 payable under paragraph (1) shall be
equal to the same percentage as would be applicable under
section 8334(c) for that same period for service as an ‘em-
ployee’, subject to paragraph (1)(B).’’.
(B) 
VOLUNTEER
SERVICE.—Section
8334(l) of title 5, United States Code, is
amended—
(i) in paragraph (1) by striking the
period at the end and inserting ‘‘, subject
to paragraph (4).’’; and
(ii) by adding at the end the follow-
ing:
‘‘(4) Effective with respect to any period of service
as a volunteer or volunteer leader performed after Decem-
ber 31, 1998, and before January 1, 2003, the percentage
of the readjustment allowance or stipend (as the case may
be) payable under paragraph (1) shall be equal to the
same percentage as would be applicable under section
8334(c) for that same period for service as an ‘em-
ployee’.’’.
(b) GOVERNMENT CONTRIBUTIONS.—
688
(1) IN
GENERAL.—Section 8334 of title 5,
United States Code, is amended by adding at the
end the following:
‘‘(m)(1) This subsection shall govern for purposes of
determining the amount to be contributed under the sec-
ond sentence of subsection (a)(1) with respect to any serv-
ice—
‘‘(A) which is performed after September 30,
1997, and before January 1, 2003; and
‘‘(B) as to which a contribution under such sen-
tence would otherwise be payable.
‘‘(2) The amount of the contribution required under
the second sentence of subsection (a)(1) with respect to
any service described in paragraph (1) shall (instead of
the amount which would otherwise apply under such sen-
tence) be equal to the amount of basic pay received for
such service by the employee or Member involved, multi-
plied by the percentage under paragraph (3).
‘‘(3)(A) The percentage under this paragraph is, with
respect to any service, equal to the sum of—
‘‘(i) the percentage which would have been ap-
plicable under subsection (c), with respect to such
service, if it had been performed in fiscal year 1997,
plus
689
‘‘(ii) the applicable percentage under subpara-
graph (B).
‘‘(B) The applicable percentage under this subpara-
graph is, with respect to service performed—
‘‘(i) after September 30, 1997, and before Octo-
ber 1, 2002, 1.51 percent; or
‘‘(ii) after September 30, 2002, and before Jan-
uary 1, 2003, 0 percent.
‘‘(4) An amount determined under this subsection
with respect to any period of service shall, for purposes
of subsection (k)(1)(B) (and any other provision of law
which similarly refers to contributions under the second
sentence of subsection (a)(1)), be treated as the amount
required under such sentence with respect to such service.
‘‘(5)(A) Notwithstanding paragraphs (1) through (4),
the amount to be contributed by the Postal Service by rea-
son of the second sentence of subsection (a)(1) with re-
spect to any service performed by an officer or employee
of the Postal Service during the period described in sub-
paragraph (A) of paragraph (1) shall be determined as
if section 6101 of the Balanced Budget Act of 1997 had
never been enacted.
‘‘(B) For purposes of this paragraph, the term ‘Post-
al Service’ means the United States Postal Service and
the Postal Rate Commission.’’.
690
(2) CONFORMING
AMENDMENT.—The second
sentence of section 8334(a)(1) of title 5, United
States Code, is amended by striking the period and
inserting ‘‘, subject to subsection (m).’’.
SEC. 6102. CONTRIBUTIONS UNDER THE FEDERAL EMPLOY-
EES’ RETIREMENT SYSTEM.
(a) INDIVIDUAL CONTRIBUTIONS.—
(1) IN
GENERAL.—Subsection (a) of section
8422 of title 5, United States Code, is amended—
(A) in paragraph (1) by striking ‘‘para-
graph (2).’’ and inserting ‘‘paragraph (2) or
(3), as applicable.’’;
(B) in paragraph (2) by striking ‘‘The ap-
plicable’’ and inserting ‘‘Subject to paragraph
(3), the applicable’’; and
(C) by adding at the end the following:
‘‘(3)(A) The applicable percentage under this sub-
section shall, for purposes of service performed after De-
cember 31, 1998, and before January 1, 2003, be equal
to—
‘‘(i) the applicable percentage under subpara-
graph (B), minus
‘‘(ii) the percentage then in effect under section
3101(a) of the Internal Revenue Code of 1986 (re-
691
lating to rate of tax for old-age, survivors, and dis-
ability insurance).
‘‘(B) The applicable percentage under this subpara-
graph shall be as follows:
‘‘Per-
centage
of basic
pay
Service period
Employee ...................................................
7.25 .....
January 1, 1999, to De-
cember 31, 1999.
7.40 .....
January 1, 2000, to De-
cember 31, 2000.
7.50 .....
January 1, 2001, to De-
cember 31, 2002.
Congressional employee .............................
7.75 .....
January 1, 1999, to De-
cember 31, 1999.
7.90 .....
January 1, 2000, to De-
cember 31, 2000.
8 ..........
January 1, 2001, to De-
cember 31, 2002.
Member ......................................................
7.75 .....
January 1, 1999, to De-
cember 31, 1999.
7.90 .....
January 1, 2000, to De-
cember 31, 2000.
8 ..........
January 1, 2001, to De-
cember 31, 2002.
Law enforcement officer ............................
7.75 .....
January 1, 1999, to De-
cember 31, 1999.
7.90 .....
January 1, 2000, to De-
cember 31, 2000.
8 ..........
January 1, 2001, to De-
cember 31, 2002.
Firefighter .................................................
7.75 .....
January 1, 1999, to De-
cember 31, 1999.
7.90 .....
January 1, 2000, to De-
cember 31, 2000.
8 ..........
January 1, 2001, to De-
cember 31, 2002.
Air traffic controller ..................................
7.75 .....
January 1, 1999, to De-
cember 31, 1999.
7.90 .....
January 1, 2000, to De-
cember 31, 2000.
8 ..........
January 1, 2001, to De-
cember 31, 2002.’’.
(2) OTHER SERVICE.—
692
(A) MILITARY SERVICE.—Section 8422(e)
of title 5, United States Code, is amended—
(i) in paragraph (1)(A) by inserting
‘‘and subject to paragraph (5),’’ after ‘‘Ex-
cept as provided in subparagraph (B),’’;
and
(ii) by adding at the end the follow-
ing:
‘‘(5) Effective with respect to any period of military
service performed after December 31, 1998, and before
January 1, 2003, the percentage of basic pay under sec-
tion 204 of title 37 payable under paragraph (1) shall be
equal to the sum of the percentage specified in paragraph
(1), plus—
‘‘(A) .25 percent, if performed after December
31, 1998, and before January 1, 2000;
‘‘(B) .40 percent, if performed after December
31, 1999, and before January 1, 2001;
‘‘(C) .50 percent, if performed after December
31, 2000, and before January 1, 2003.’’.
(B) 
VOLUNTEER
SERVICE.—Section
8422(f) of title 5, United States Code, is
amended—
693
(i) in paragraph (1) by striking the
period at the end and inserting ‘‘, subject
to paragraph (4).’’; and
(ii) by adding at the end the follow-
ing:
‘‘(4) Effective with respect to any period of service
as a volunteer or volunteer leader performed after Decem-
ber 31, 1998, and before January 1, 2003, the percentage
of the readjustment allowance or stipend (as the case may
be) payable under paragraph (1) shall be equal to the sum
of the percentage specified in paragraph (1), plus—
‘‘(A) .25 percent, if performed after December
31, 1998, and before January 1, 2000;
‘‘(B) .40 percent, if performed after December
31, 1999, and before January 1, 2001;
‘‘(C) .50 percent, if performed after December
31, 2000, and before January 1, 2003.’’.
(b) GOVERNMENT CONTRIBUTIONS.—
(1) IN
GENERAL.—Section 8423 of title 5,
United States Code, is amended by adding at the
end the following:
‘‘(d)(1) This subsection shall govern for purposes of
determining the amount to be contributed by an employing
agency for any period (or portion thereof)—
694
‘‘(A) which is occurs after September 30, 1997,
and before January 1, 2003; and
‘‘(B) as to which a contribution under sub-
section (a) would otherwise be payable by such agen-
cy.
‘‘(2) The amount of the contribution required under
subsection (a) with respect to any period (or portion there-
of) described in paragraph (1) shall (instead of the
amount which would otherwise apply) be equal to the
amount which would be required under subsection (a) if
section 6102(a) of the Balanced Budget Act of 1997 had
never been enacted.’’.
(2) 
CONFORMING
AMENDMENT.—Section
8423(a)(1) of title 5, United States Code, is amend-
ed by striking ‘‘Each’’ and inserting ‘‘Subject to
subsection (d), each’’.
SEC. 6103. GOVERNMENT CONTRIBUTION FOR HEALTH
BENEFITS.
(a) IN GENERAL.—Section 8906 of title 5, United
States Code, is amended by striking subsection (a) and
all that follows through the end of paragraph (1) of sub-
section (b) and inserting the following:
‘‘(a)(1) The Office of Personnel Management shall,
not later than October 1 of each year, determine the
weighted average of the subscription charges that will be
695
in effect during the following contract year with respect
to—
‘‘(A) enrollments under this chapter for self
alone; and
‘‘(B) enrollments under this chapter for self
and family.
‘‘(2) In determining each weighted average under
paragraph (1), the weight to be given to a particular sub-
scription charge shall, with respect to each plan (and op-
tion) to which it is to apply, be commensurate with the
number of enrollees enrolled in such plan (and option) as
of March 31 of the year in which the determination is
being made.
‘‘(3) For purposes of paragraph (2), the term ‘en-
rollee’ means any individual who, during the contract year
for which the weighted average is to be used under this
section, will be eligible for a Government contribution for
health benefits.
‘‘(b)(1) Except as provided in paragraphs (2) and
(3), the biweekly Government contribution for health bene-
fits for an employee or annuitant enrolled in a health bene-
fits plan under this chapter is adjusted to an amount equal
to 72 percent of the weighted average under subsection
(a)(1)(A) or (B), as applicable. For an employee, the ad-
justment begins on the first day of the employee’s first
696
pay period of each year. For an annuitant, the adjustment
begins on the first day of the first period of each year
for which an annuity payment is made.’’.
(b) EFFECTIVE DATE.—This section and the amend-
ment made by this section shall take effect on the first
day of the contract year that begins in 1999, except that
nothing in this subsection shall prevent the Office of Per-
sonnel Management from taking any action, before such
first day, which it considers necessary in order to ensure
the timely implementation of such amendment.
SEC. 6104. EFFECTIVE DATE.
(a) IN GENERAL.—Except as provided in section
6103, this subtitle shall take effect on—
(1) October 1, 1997; or
(2) if later, the date of the enactment of this
Act.
(b) SPECIAL RULE.—If the date of the enactment of
this Act is later than October 1, 1997, then, for purposes
of applying the amendments made by sections 6101 and
6102—
(1) any reference in any such amendment to
‘‘September 30, 1997’’ shall be treated as referring
to the day before the date of the enactment of this
Act; and
697
(2) any reference in any such amendment to
‘‘October 1, 1997’’ shall be treated as referring to
the date of the enactment of this Act.
TITLE 
VII—COMMITTEE 
ON
TRANSPORTATION 
AND 
IN-
FRASTRUCTURE
SEC. 7001. EXTENSION OF HIGHER VESSEL TONNAGE DU-
TIES.
(a) EXTENSION OF DUTIES.—Section 36 of the Act
of August 5, 1909 (36 Stat. 111; 46 U.S.C. App. 121),
is amended by striking ‘‘for fiscal years 1991, 1992, 1993,
1994, 1995, 1996, 1997, 1998,’’ each place it appears and
inserting ‘‘for fiscal years through fiscal year 2002,’’.
(b) CONFORMING AMENDMENT.—The Act entitled
‘‘An Act concerning tonnage duties on vessels entering
otherwise than by sea’’, approved March 8, 1910 (36 Stat.
234; 46 U.S.C. App. 132), is amended by striking ‘‘for
fiscal years 1991, 1992, 1993, 1994, 1995, 1996, 1997,
and 1998,’’ and inserting ‘‘for fiscal years through fiscal
year 2002,’’.
SEC. 7002. SALE OF GOVERNORS ISLAND, NEW YORK.
(a) IN GENERAL.—Notwithstanding any other provi-
sion of law, no earlier than fiscal year 2002, the Adminis-
trator of General Services shall dispose of by sale at fair
market value all rights, title, and interests of the United
698
States in and to the land of, and improvements to, Gov-
ernors Island, New York.
(b) RIGHT OF FIRST REFUSAL.—Before a sale is
made under subsection (a) to any other parties, the State
of New York and the city of New York shall be given the
right of first refusal to purchase all or part of Governors
Island. Such right may be exercised by either the State
of New York or the city of New York or by both parties
acting jointly.
(c) PROCEEDS.—Proceeds from the disposal of Gov-
ernors Island under subsection (a) shall be deposited in
the general fund of the Treasury and credited as mis-
cellaneous receipts.
SEC. 7003. SALE OF AIR RIGHTS.
(a) IN GENERAL.—Notwithstanding any other provi-
sion of law, the Administrator of General Services shall
sell, at fair market value and in a manner to be deter-
mined by the Administrator, the air rights adjacent to
Washington Union Station described in subsection (b), in-
cluding air rights conveyed to the Administrator under
subsection (d). The Administrator shall complete the sale
by such date as is necessary to ensure that the proceeds
from the sale will be deposited in accordance with sub-
section (c).
699
(b) DESCRIPTION.—The air rights referred to in sub-
section (a) total approximately 16.5 acres and are depicted
on the plat map of the District of Columbia as follows:
(1) Part of lot 172, square 720.
(2) Part of lots 172 and 823, square 720.
(3) Part of lot 811, square 717.
(c) PROCEEDS.—Before September 30, 2002, pro-
ceeds from the sale of air rights under subsection (a) shall
be deposited in the general fund of the Treasury and cred-
ited as miscellaneous receipts.
(d) CONVEYANCE OF AMTRAK AIR RIGHTS.—
(1) GENERAL RULE.—As a condition of future
Federal financial assistance, Amtrak shall convey to
the Administrator of General Services on or before
December 31, 1997, at no charge, all of the air
rights of Amtrak described in subsection (b).
(2) FAILURE TO COMPLY.—If Amtrak does not
meet the condition established by paragraph (1),
Amtrak shall be prohibited from obligating Federal
funds after March 1, 1998.
TITLE VIII—COMMITTEE ON
VETERANS’ AFFAIRS
SEC. 8001. SHORT TITLE; TABLE OF CONTENTS.
(a) SHORT TITLE.—This title may be cited as the
‘‘Veterans Reconciliation Act of 1997’’.
707
(1) in subsection (a)(1), by striking out ‘‘the
reasonable cost of’’ and inserting in lieu thereof
‘‘reasonable charges for’’;
(2) in subsection (c)(2)—
(A) by striking out ‘‘the reasonable cost
of’’ in the first sentence of subparagraph (A)
and in subparagraph (B) and inserting in lieu
thereof ‘‘reasonable charges for’’; and
(B) by striking out ‘‘cost’’ in the second
sentence of subparagraph (A) and inserting in
lieu thereof ‘‘charges’’.
(e) TECHNICAL AMENDMENT.—Paragraph (2) of sec-
tion 712(b) of title 38, United States Code, is amended—
(1) by striking out subparagraph (B); and
(2) by redesignating subparagraph (C) as sub-
paragraph (B).
(f) IMPLEMENTATION.—(1) Not later than January
1, 1999, the Secretary of Veterans Affairs shall submit
to the Committees on Veterans’ Affairs of the Senate and
House of Representatives a report on the implementation
of this section. The report shall describe the collections
under each of the provisions specified in section 1729A(b)
of title 38, United States Code, as added by subsection
(a). Information on such collections shall be shown for
each of the health service networks (known as Veterans