H. R. 1256—77 
(3) collect data on the health effects (particularly with 
respect to individuals under 18 years of age) resulting from 
cross-border trade in tobacco products, including the health 
effects resulting from— 
(A) the illicit trade of tobacco products and the trade 
of counterfeit tobacco products; and 
(B) the differing tax rates applicable to tobacco prod-
ucts. 
(b) REPORT.—Not later than 18 months after the date of enact-
ment of this Act, the Comptroller General of the United States 
shall submit to the Committee on Health, Education, Labor, and 
Pensions of the Senate and the Committee on Energy and Com-
merce of the House of Representatives a report on the study 
described in subsection (a). 
(c) DEFINITION.—In this section: 
(1) The term ‘‘cross-border trade’’ means trade across a 
border of the United States, a State or Territory, or Indian 
country. 
(2) The term ‘‘Indian country’’ has the meaning given to 
such term in section 1151 of title 18, United States Code. 
(3) The terms ‘‘State’’ and ‘‘Territory’’ have the meanings 
given to those terms in section 201 of the Federal Food, Drug, 
and Cosmetic Act (21 U.S.C. 321). 
DIVISION B—FEDERAL RETIREMENT 
REFORM ACT 
SEC. 100. SHORT TITLE; TABLE OF CONTENTS. 
(a) SHORT TITLE.—This division may be cited as the ‘‘Federal 
Retirement Reform Act of 2009’’. 
(b) TABLE OF CONTENTS.—The table of contents for this division 
is as follows: 
DIVISION B—FEDERAL RETIREMENT REFORM ACT 
Sec. 100. Short title; table of contents. 
TITLE I—PROVISIONS RELATING TO FEDERAL EMPLOYEES RETIREMENT 
Sec. 101. Short title. 
Sec. 102. Automatic enrollments and immediate employing agency contributions. 
Sec. 103. Qualified Roth contribution program. 
Sec. 104. Authority to establish mutual fund window. 
Sec. 105. Reporting requirements. 
Sec. 106. Acknowledgment of risk. 
Sec. 107. Subpoena authority. 
Sec. 108. Amounts in Thrift Savings Funds subject to legal proceedings. 
Sec. 109. Accounts for surviving spouses. 
Sec. 110. Treatment of members of the uniformed services under the Thrift Savings 
Plan. 
TITLE II—SPECIAL SURVIVOR INDEMNITY ALLOWANCE FOR SURVIVING 
SPOUSES OF ARMED FORCES MEMBERS 
Sec. 201. Increase in monthly amount of special survivor indemnity allowance for 
widows and widowers of deceased members of the Armed Forces affected 
by required Survivor Benefit Plan annuity offset for dependency and in-
demnity compensation.
H. R. 1256—78 
TITLE I—PROVISIONS RELATING TO 
FEDERAL EMPLOYEES RETIREMENT 
SEC. 101. SHORT TITLE. 
This title may be cited as the ‘‘Thrift Savings Plan Enhance-
ment Act of 2009’’. 
SEC. 102. AUTOMATIC ENROLLMENTS AND IMMEDIATE EMPLOYING 
AGENCY CONTRIBUTIONS. 
(a) IN GENERAL.—Section 8432(b) of title 5, United States Code, 
is amended by striking paragraphs (2) through (4) and inserting 
the following: 
‘‘(2)(A) The Executive Director shall by regulation provide for 
an eligible individual to be automatically enrolled to make contribu-
tions under subsection (a) at the default percentage of basic pay. 
‘‘(B) For purposes of this paragraph, the default percentage 
shall be equal to 3 percent or such other percentage, not less 
than 2 percent nor more than 5 percent, as the Board may prescribe. 
‘‘(C) The regulations shall include provisions under which any 
individual who would otherwise be automatically enrolled in accord-
ance with subparagraph (A) may— 
‘‘(i) modify the percentage or amount to be contributed 
pursuant to automatic enrollment, effective not later than the 
first full pay period following receipt of the election by the 
appropriate processing entity; or 
‘‘(ii) decline automatic enrollment altogether. 
‘‘(D)(i) Except as provided in clause (ii), for purposes of this 
paragraph, the term ‘eligible individual’ means any individual who, 
after any regulations under subparagraph (A) first take effect, 
is appointed, transferred, or reappointed to a position in which 
that individual becomes eligible to contribute to the Thrift Savings 
Fund. 
‘‘(ii) Members of the uniformed services shall not be eligible 
individuals for purposes of this paragraph. 
‘‘(E) Sections 8351(a)(1), 8440a(a)(1), 8440b(a)(1), 8440c(a)(1), 
8440d(a)(1), and 8440e(a)(1) shall be applied in a manner consistent 
with the purposes of this paragraph.’’. 
(b) TECHNICAL AMENDMENT.—Section 8432(b)(1) of title 5, 
United States Code, is amended by striking the parenthetical matter 
in subparagraph (B). 
SEC. 103. QUALIFIED ROTH CONTRIBUTION PROGRAM. 
(a) IN GENERAL.—Subchapter III of chapter 84 of title 5, United 
States Code, is amended by inserting after section 8432c the fol-
lowing: 
‘‘§ 8432d. Qualified Roth contribution program 
‘‘(a) DEFINITIONS.—For purposes of this section— 
‘‘(1) the term ‘qualified Roth contribution program’ means 
a program described in paragraph (1) of section 402A(b) of 
the Internal Revenue Code of 1986 which meets the require-
ments of paragraph (2) of such section; and 
‘‘(2) the terms ‘designated Roth contribution’ and ‘elective 
deferral’ have the meanings given such terms in section 402A 
of the Internal Revenue Code of 1986.
H. R. 1256—79 
‘‘(b) AUTHORITY TO ESTABLISH.—The Executive Director shall 
by regulation provide for the inclusion in the Thrift Savings Plan 
of a qualified Roth contribution program, under such terms and 
conditions as the Board may prescribe. 
‘‘(c) REQUIRED PROVISIONS.—The regulations under subsection 
(b) shall include— 
‘‘(1) provisions under which an election to make designated 
Roth contributions may be made— 
‘‘(A) by any individual who is eligible to make contribu-
tions under section 8351, 8432(a), 8440a, 8440b, 8440c, 
8440d, or 8440e; and 
‘‘(B) by any individual, not described in subparagraph 
(A), who is otherwise eligible to make elective deferrals 
under the Thrift Savings Plan; 
‘‘(2) any provisions which may, as a result of enactment 
of this section, be necessary in order to clarify the meaning 
of any reference to an ‘account’ made in section 8432(f), 8433, 
8434(d), 8435, 8437, or any other provision of law; and 
‘‘(3) any other provisions which may be necessary to carry 
out this section.’’. 
(b) CLERICAL AMENDMENT.—The analysis for chapter 84 of title 
5, United States Code, is amended by inserting after the item 
relating to section 8432c the following: 
‘‘8432d. Qualified Roth contribution program.’’. 
SEC. 104. AUTHORITY TO ESTABLISH MUTUAL FUND WINDOW. 
(a) IN GENERAL.—Section 8438(b)(1) of title 5, United States 
Code, is amended— 
(1) in subparagraph (D), by striking ‘‘and’’ at the end; 
(2) in subparagraph (E), by striking the period and 
inserting ‘‘; and’’; and 
(3) by adding after subparagraph (E) the following: 
‘‘(F) a service that enables participants to invest in 
mutual funds, if the Board authorizes the mutual fund 
window under paragraph (5).’’. 
(b) REQUIREMENTS.—Section 8438(b) of title 5, United States 
Code, is amended by adding at the end the following: 
‘‘(5)(A) The Board may authorize the addition of a mutual 
fund window under the Thrift Savings Plan if the Board determines 
that such addition would be in the best interests of participants. 
‘‘(B) The Board shall ensure that any expenses charged for 
use of the mutual fund window are borne solely by the participants 
who use such window. 
‘‘(C) The Board may establish such other terms and conditions 
for the mutual fund window as the Board considers appropriate 
to protect the interests of participants, including requirements 
relating to risk disclosure. 
‘‘(D) The Board shall consult with the Employee Thrift Advisory 
Council (established under section 8473) before authorizing the 
addition of a mutual fund window or establishing a service that 
enables participants to invest in mutual funds.’’. 
(c) 
TECHNICAL
AND
CONFORMING
AMENDMENT.—Section 
8438(d)(1) of title 5, United States Code, is amended by inserting 
‘‘and options’’ after ‘‘investment funds’’.
H. R. 1256—80 
SEC. 105. REPORTING REQUIREMENTS. 
(a) ANNUAL REPORT.—The Board shall, not later than June 
30 of each year, submit to Congress an annual report on the 
operations of the Thrift Savings Plan. Such report shall include, 
for the prior calendar year, information on the number of partici-
pants as of the last day of such prior calendar year, the median 
balance in participants’ accounts as of such last day, demographic 
information on participants, the percentage allocation of amounts 
among investment funds or options, the status of the development 
and implementation of the mutual fund window, the diversity demo-
graphics of any company, investment adviser, or other entity 
retained to invest and manage the assets of the Thrift Savings 
Fund, and such other information as the Board considers appro-
priate. A copy of each annual report under this subsection shall 
be made available to the public through an Internet website. 
(b) REPORTING OF FEES AND OTHER INFORMATION.— 
(1) IN GENERAL.—The Board shall include in the periodic 
statements provided to participants under section 8439(c) of 
title 5, United States Code, the amount of the investment 
management fees, administrative expenses, and any other fees 
or expenses paid with respect to each investment fund and 
option under the Thrift Savings Plan. Any such statement 
shall also provide a statement notifying participants as to how 
they may access the annual report described in subsection 
(a), as well as any other information concerning the Thrift 
Savings Plan that might be useful. 
(2) USE
OF
ESTIMATES.—For purposes of providing the 
information required under this subsection, the Board may 
provide a reasonable and representative estimate of any fees 
or expenses described in paragraph (1) and shall indicate any 
such estimate as being such an estimate. Any such estimate 
shall be based on the previous year’s experience. 
(c) DEFINITIONS.—For purposes of this section— 
(1) the term ‘‘Board’’ has the meaning given such term 
by 8401(5) of title 5, United States Code; 
(2) the term ‘‘participant’’ has the meaning given such 
term by section 8471(3) of title 5, United States Code; and 
(3) the term ‘‘account’’ means an account established under 
section 8439 of title 5, United States Code. 
SEC. 106. ACKNOWLEDGMENT OF RISK. 
(a) IN GENERAL.—Section 8439(d) of title 5, United States Code, 
is amended— 
(1) by striking the matter after ‘‘who elects to invest in’’ 
and before ‘‘shall sign an acknowledgment’’ and inserting ‘‘any 
investment fund or option under this chapter, other than the 
Government Securities Investment Fund,’’; and 
(2) by striking ‘‘either such Fund’’ and inserting ‘‘any such 
fund or option’’. 
(b) COORDINATION WITH PROVISIONS RELATING TO FIDUCIARY 
RESPONSIBILITIES, 
LIABILITIES, 
AND
PENALTIES.—Section 
8477(e)(1)(C) of title 5, United States Code, is amended— 
(1) by redesignating subparagraph (C) as subparagraph 
(C)(i); and 
(2) by adding at the end the following: 
‘‘(ii) A fiduciary shall not be liable under subparagraph (A), 
and no civil action may be brought against a fiduciary—