(1) to be CSRS-Offset covered instead; or
(2) to remain CSRS covered.
(d) DEFAULT RULE.—If the employee is given writ-
ten notice in accordance with section 201 as to the avail-
ability of an election under this section, but does not make
any such election within the 6-month period beginning on
the date on which such notice is so given, the option under
subsection (b)(2) or (c)(2), as applicable, shall be deemed
to have been elected on the last day of such period.
(e) RETROACTIVE EFFECT.—An election under this
section (including an election by default, and an election
to remain covered by the retirement system by which the
electing individual is covered as of the date of the election)
shall be effective retroactive to the effective date of the
retirement coverage error (as referred to in subsection (a))
to which such election relates.
SEC. 152. EFFECT OF AN ELECTION TO BE TRANSFERRED
FROM CSRS-OFFSET TO CSRS TO CORRECT
THE RETIREMENT COVERAGE ERROR.
(a) APPLICABILITY.—This section shall apply in the
case of any employee affected by an error described in sec-
tion 151(a) who elects the option available to such em-
ployee under section 151(b)(1).
(b) MAKEUP CONTRIBUTIONS TO THE CSRDF.—
(1) IN GENERAL.—Upon notification that an
employee has made an election under this section,
the agency in or under which such employee is em-
ployed shall promptly pay to the CSRDF, in a lump
sum, an amount equal to the amount by which—
(A) the amount that should have been de-
ducted and withheld from the pay of the em-
ployee for the period of erroneous coverage in-
volved under section 8334 of title 5, United
States Code (by virtue of being CSRS covered),
exceeds
(B) any amounts actually deducted and
withheld from the pay of the employee for the
period of erroneous coverage involved under
such section (pursuant to CSRS-Offset cov-
erage).
(2) AGENCY TO BE REIMBURSED FOR CERTAIN
AMOUNTS.—
(A) IN GENERAL.—The employee for whom
the payment under paragraph (1) is made shall
repay to the agency (referred to in paragraph
(1)) an amount equal to the OASDI employee
taxes refunded or refundable to such employee
for any portion of the period of erroneous cov-
erage involved (computed in such manner as the
Director of the Office of Personnel Manage-
ment, with the concurrence of the Commis-
sioner of Social Security, shall by regulation
prescribe), not to exceed the amount described
in paragraph (1)(A).
(B) RIGHT OF RECOVERY; WAIVER.—If the
employee fails to repay the amount required
under subparagraph (A), a sum equal to the
amount outstanding is recoverable by the Gov-
ernment from the employee (or the employee’s
estate, if applicable) by—
(i) setoff against accrued pay, com-
pensation, amount of retirement credit, or
another amount due the employee from the
Government; and
(ii) such other method as is provided
by law for the recovery of amounts owing
to the Government.
The head of the agency concerned may waive,
in whole or in part, a right of recovery under
this paragraph if it is shown that recovery
would be against equity and good conscience or
against the public interest.
(C) TREATMENT OF AMOUNTS REPAID OR
RECOVERED.—Any amount repaid by, or recov-
ered from, an individual (or an estate) under
this paragraph shall be credited to the appro-
priation, fund, or account from which the
amount involved was originally paid.
(3) DEPOSIT TO BE BASED ON AMOUNT OF RE-
FUND ACTUALLY RECEIVED.—For purposes of ap-
plying sections 8334(d)(1) and 8339(i) of title 5,
United States Code, in the case of an employee de-
scribed in subsection (a) who has received a refund
of deductions that are attributable to a period when
the employee was erroneously CSRS-Offset covered,
nothing in either of those sections shall be consid-
ered to require that, in order to receive credit for
that period as a CSRS-covered employee, a deposit
be made in excess of the refund actually received for
such period, plus interest.
SEC. 153. EFFECT OF AN ELECTION TO BE RESTORED TO
CSRS-OFFSET AFTER HAVING BEEN COR-
RECTED TO CSRS.
(a) APPLICABILITY.—This section shall apply in the
case of any employee affected by an error described in sec-
tion 151(a) who elects the option available to such em-
ployee under section 151(c)(1).
(b) DISPOSITION
OF
CONTRIBUTIONS
TO
THE
CSRDF.—In the case of an employee described in sub-
section (a), the provisions of section 102(b) shall apply,
except that, in applying such provisions—
(1) ‘‘the applicable provisions of section 8334’’
shall be substituted for ‘‘section 8422’’ in paragraph
(1)(B)(ii)(II) thereof; and
(2) ‘‘the applicable provisions of section 8334’’
shall be substituted for ‘‘section 8423’’ in paragraph
(2)(B)(ii)(II) thereof.
Subtitle G—Additional Provisions
Relating to Government Agencies
SEC. 161. REPAYMENT REQUIRED IN CERTAIN SITUATIONS.
(a) IN GENERAL.—An individual who previously re-
ceived a payment ordered by a court or provided as a set-
tlement of claim for losses resulting from a retirement cov-
erage error shall not be entitled to make an election under
this Act unless repayment of the amount so received by
such individual is waived in whole or in part by the Office
of Personnel Management, and any amount not waived is
repaid.
(b) REGULATIONS.—Any repayment under this sec-
tion shall be made in accordance with regulations pre-
scribed by the Office.
SEC. 162. EQUITABLE SHARING OF AMOUNTS PAYABLE
FROM THE GOVERNMENT IF MORE THAN ONE
AGENCY INVOLVED.
The Office of Personnel Management shall by regula-
tion prescribe rules under which, in the case of an em-
ployee who has been employed in or under more than 1
agency since the date of the retirement coverage error in-
volved (and before its rectification under this Act), any
contributions or other amounts required to be paid from
the then current employing agency (other than lost earn-
ings under section 163(a)(2)) shall be equitably allocated
between or among the appropriate agencies.
SEC. 163. PROVISIONS RELATING TO THE ORIGINAL RE-
SPONSIBLE AGENCY.
(a) OBLIGATIONS OF THE ORIGINAL RESPONSIBLE
AGENCY.—
(1) EXPENSES
FOR
SERVICES
OF
FINANCIAL
ADVISOR.—The Office of Personnel Management
shall by regulation prescribe rules under which, in
the case of any employee eligible to make an election
under this Act, the original responsible agency (as
determined under succeeding provisions of this sec-
tion) shall pay (or make reimbursement for) any
reasonable expenses incurred by such employee for
services received from any licensed financial or legal
consultant or advisor in connection with such elec-
tion.
(2) SPECIAL RULE.—Such regulations shall also
include provisions to ensure that, to the extent lost
earnings under the Thrift Savings Fund are involved
in connection with a particular error, the original re-
sponsible agency shall pay (or reimburse any other
agency that pays) any amounts to the Thrift Sav-
ings Fund representing lost earnings with respect to
such error.
(b) ORIGINAL RESPONSIBLE AGENCY DEFINED.—
For purposes of this Act, the term ‘‘original responsible
agency’’, with respect to a retirement coverage error af-
fecting an employee, means—
(1) except in the situation described in para-
graph (2), the agency determined by the Office of
Personnel Management to have made the initial re-
tirement coverage error (including one made before
January 1, 1984); or
(2) if the error is attributable, in whole or in
part, to an erroneous regulation promulgated by the
Office of Personnel Management, such Office.
(c) PROCEDURES FOR IDENTIFYING THE ORIGINAL
RESPONSIBLE AGENCY.—
(1) IN GENERAL.—For purposes of this section,
the original responsible agency, in any situation to
which this section applies, shall be identified by the
Office of Personnel Management in accordance with
regulations which the Office shall prescribe.
(2) FINALITY.—A determination made by the
Office under this subsection shall be final and not
subject to any review.
(d) IF ORIGINAL RESPONSIBLE AGENCY NO LONGER
EXISTS.—If the agency which (before the application of
this subsection) is identified as the original responsible
agency no longer exists (whether because of a reorganiza-
tion or otherwise)—
(1) the successor agency (as determined under
regulations prescribed by the Office) shall be treated
as the original responsible agency; or
(2) if none, this section shall be applied by sub-
stituting the CSRDF for the original responsible
agency.
(e) SOURCE OF PAYMENTS IF ERROR DUE TO ERRO-
NEOUS OPM REGULATIONS.—In any case in which the
Office of Personnel Management is the original respon-
sible agency by reason of subsection (b)(2), any amounts
payable from the Office under this section shall be payable
from the CSRDF.
TITLE II—GENERAL PROVISIONS
SEC. 201. IDENTIFICATION AND NOTIFICATION REQUIRE-
MENTS.
(a) IN GENERAL.—The Office of Personnel Manage-
ment shall prescribe regulations under which Government
agencies shall take such measures as may be necessary
to ensure that all individuals who are (or have been) af-
fected by a retirement coverage error giving rise to any
election or automatic change in retirement coverage under
this Act shall be promptly identified and notified in ac-
cordance with this section.
(b) MATTER TO BE INCLUDED IN NOTICE TO INDI-
VIDUALS.—Any notice furnished under this section shall
be made in writing and shall include at least the following:
(1) DESCRIPTION OF ERROR.—A description of
the error involved, including a clear and concise ex-
planation as to why the original retirement coverage
determination was erroneous, citations to (and a
summary description of) the pertinent provisions of
law, and how that determination should instead have
been made.
(2) METHOD
FOR
RECTIFICATION.—How the
error is to be rectified under this Act, including
whether rectification will be achieved through an
automatic change in retirement coverage (and, if so,
the time, form, and manner in which that change
will be effected) or an election.
(3) ELECTION PROCEDURES, ETC.—If an elec-
tion is provided under this Act, all relevant informa-
tion as to how such an election may be made, the
options available, the differences between those re-
spective options (as further specified in succeeding
provisions of this subsection), and the consequences
of failing to make a timely election.
(4) ACCRUED BENEFITS, ETC.—With respect to
the (or each) retirement system by which the indi-
vidual is then covered (disregarding the Thrift Sav-
ings Plan), and to the extent applicable:
(A) A brief summary of any benefits ac-
crued.
(B) The amount of employee contributions
made to date and the effect of any applicable
disposition rules relating thereto (including pro-
visions relating to excess amounts or shortfalls).
(C) The amount of any Government con-
tributions made to date and the effect of any
applicable disposition rules relating thereto (in-
cluding provisions relating to excess amounts or
shortfalls).
(5) THRIFT SAVINGS FUND.—With respect to
the Thrift Savings Fund, the balance that then is
(or would be) credited to the individual’s account de-
pending on the option chosen, with any such balance
to be shown both in the aggregate and broken down
by—
(A) individual contributions;
(B) automatic (1 percent) Government
contributions; and
(C) matching Government contributions,
including lost earnings on each and the extent to
which any makeup contributions or forfeitures would
be involved.
(6) OASDI BENEFITS.—Such information re-
garding benefits under title II of the Social Security
Act as the Commissioner of Social Security consid-
ers appropriate.
(7) OTHER INFORMATION.—Any other informa-
tion that the Director of the Office of Personnel
Management may by regulation prescribe after con-
sultation with the Executive Director of the Federal
Retirement Thrift Investment Board and such other
agency heads as the Director considers appropriate,
including any appeal rights available to the individ-
ual.
(c) COMPARISONS.—Any amounts required to be in-
cluded under subsection (b)(4) shall, with respect to the
respective retirement systems involved, be determined—
(1) as of the date the retirement coverage error
was corrected (if applicable);
(2) as of the then most recent date for which
those benefits and amounts are ascertainable, as-
suming no change in retirement coverage; and
(3) as of the then most recent date for which
those benefits and amounts are ascertainable, as-
suming the alternative option is chosen.
(d) PAST ERRORS.—All measures required under this
section shall, with respect to errors preceding the date
specified in section 206(e) (relating to the effective date
for all regulations prescribed under this Act), be completed
no later than December 31, 2001.
SEC. 202. INDIVIDUAL APPEAL RIGHTS.
(a) IN GENERAL.—An individual aggrieved by a final
determination under this Act shall be entitled to appeal
such determination to the Merit Systems Protection Board
under section 7701 of title 5, United States Code.
(b) NOTIFICATION APPEALS.—The Office of Person-
nel Management shall by regulation establish procedures
under which individuals may bring an appeal to the Office
with respect to any failure to have been properly notified