I
105TH CONGRESS
1ST SESSION
H. R. 1873
To amend chapter 84 of title 5, United States Code, to make certain
temporary Federal service creditable for retirement purposes.
IN THE HOUSE OF REPRESENTATIVES
JUNE 12, 1997
Mr. KANJORSKI (for himself and Mrs. MORELLA) introduced the following bill;
which was referred to the Committee on Government Reform and Oversight
A BILL
To amend chapter 84 of title 5, United States Code, to
make certain temporary Federal service creditable for
retirement purposes.
Be it enacted by the Senate and House of Representa-
tives of the United States of America in Congress assembled,
SECTION 1. SHORT TITLE.
This Act may be cited as the ‘‘FERS Buyback Act
of 1997’’.
SEC. 2. CREDITABILITY OF SERVICE.
(a) IN GENERAL.—Section 8411(b) of title 5, United
States Code, is amended—
(1) by striking ‘‘and’’ at the end of paragraph
(3);
(2) by striking the period at the end of para-
graph (4) and inserting ‘‘; and’’; and
(3) by adding at the end the following:
‘‘(5) subject to section 8411(i), service as a
temporary or intermittent employee not otherwise
creditable for purposes of this chapter, performed
after December 31, 1988, and before January 1,
1997, of at least 1 year’s duration (whether per-
formed over a continuous period or otherwise), but
only if the individual performing such service later
becomes subject to this chapter, and such service is
not credited for purposes of any benefit under any
other retirement system established by a law of the
United States (disregarding the Social Security Act
and chapter 83 of this title).’’.
(b) DEPOSIT REQUIREMENT.—Section 8411 of title
5, United States Code, is amended by adding at the end
the following:
‘‘(i)(1) An employee or Member shall, with respect
to any service described in subsection (b)(5) performed by
such employee or Member, be required to deposit to the
credit of the Fund an amount equal to 1.3 percent of basic
pay for such service.
‘‘(2) Any deposit under paragraph (1) made more
than 5 years after the later of—
‘‘(A) October 1, 1997, or
‘‘(B) the date on which the employee or Mem-
ber making the deposit first becomes an employee or
Member following the period of temporary or inter-
mittent service for which such deposit is due,
shall include interest on such amount, computed in the
manner described in subsection (f)(3) and compounded
annually beginning on the date of the expiration of the
5-year period.
‘‘(3) If the deposit under paragraph (1) is not made
or if less than the entire amount of such deposit is made—
‘‘(A) service of the employee or Member de-
scribed in subsection (b)(5) shall be fully creditable;
but
‘‘(B) any annuity under this chapter based on
the service of such employee or Member shall be re-
duced in a manner similar to that described in sec-
tion 8418(b).’’.
SEC. 3. PROVISIONS RELATING TO PERSONS WHO HAVE
SEPARATED.
(a) IN GENERAL.—The Office of Personnel Manage-
ment shall prescribe regulations under which credit for
service, as described in section 8411(b)(5) of title 5, Unit-
ed States Code, as amended by this Act, which was per-
formed by an individual who has separated from Govern-
ment service may be obtained.
(b) REQUIREMENTS.—Under the regulations, credit
shall not be given under this section unless appropriate
written application is submitted, not later than December
31, 1999, in such form and manner as the regulations re-
quire.
(c) RECOMPUTATION OF ANNUITY.—
(1) IN GENERAL.—Any annuity or survivor an-
nuity payable as of when an application under this
subsection is submitted shall be recomputed to take
into account any service described in section
8411(b)(5) of title 5, United States Code (performed
by the individual on whose service the annuity is
based), effective with respect to amounts accruing
for months beginning more than 30 days after the
date on which such application is submitted.
(2) CONDITION.—If the full amount of the de-
posit required under section 8411(i) of such title 5
is not timely made (before such deadline as the Of-
fice shall by regulation prescribe) with respect to
any service as to which the application under para-
graph (1) relates, an appropriate reduction shall be
made in the recomputed annuity in accordance with
paragraph (3) of such section 8411(i). Interest shall