I 
115TH CONGRESS 
1ST SESSION H. R. 3031 
To amend title 5, United States Code, to provide for flexibility in making 
withdrawals from a Thrift Savings Plan account, and for other purposes. 
IN THE HOUSE OF REPRESENTATIVES 
JUNE 23, 2017 
Mr. CUMMINGS (for himself and Mr. MEADOWS) introduced the following bill; 
which was referred to the Committee on Oversight and Government Reform 
A BILL 
To amend title 5, United States Code, to provide for flexi-
bility in making withdrawals from a Thrift Savings Plan 
account, and for other 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 ‘‘TSP Modernization 
Act of 2017’’. 
SEC. 2. THRIFT SAVINGS PLAN ACCOUNT WITHDRAWAL 
FLEXIBILITY. 
(a) POST-SEPARATION PARTIAL WITHDRAWALS.— 
Section 8433(c) of title 5, United States Code, is amend-
ed— 
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(1) in paragraph (1)— 
(A) by striking ‘‘and who has not made a 
withdrawal under subsection (h)(1)(A) may 
make one withdrawal’’ and inserting ‘‘may 
make one or more withdrawals’’; and 
(B) by striking ‘‘as a single payment’’ and 
inserting ‘‘in the same manner as a single pay-
ment is made’’; and 
(2) by adding at the end the following: 
‘‘(5) Withdrawals under this subsection shall be sub-
ject to such other limitations or conditions as the Execu-
tive Director may prescribe by regulation.’’. 
(b) LIMITATION ON RETURN OF PAYMENT RELATING 
TO A CHANGE IN ELECTION.—Section 8433(d) of title 5, 
United States Code, is amended— 
(1) in paragraph (1), by inserting ‘‘, except that 
in the case of an election to receive an annuity, a 
former employee or Member may not change an elec-
tion under this section on or after the date on which 
an annuity contract is purchased to provide for the 
annuity elected by the former employee or Member’’ 
after ‘‘this subchapter’’; and 
(2) in paragraph (2)— 
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(A) by striking ‘‘change an’’ and inserting 
‘‘return a payment that was made pursuant to 
an’’; and 
(B) by striking ‘‘on or after’’ and all that 
follows through ‘‘the former employee or Mem-
ber’’. 
(c) ELIMINATION OF AUTOMATIC ANNUITY IN AB-
SENCE OF ELECTION.—Section 8433(f) of title 5, United 
States Code, is amended— 
(1) by striking ‘‘(1) Notwithstanding’’ and in-
serting ‘‘Notwithstanding’’; 
(2) by striking ‘‘this paragraph’’ and inserting 
‘‘this subsection’’; and 
(3) by striking paragraph (2). 
(d) ALLOWANCE OF MULTIPLE AGE-BASED IN-SERV-
ICE WITHDRAWALS.—Section 8433(h) of title 5, United 
States Code, is amended— 
(1) by striking paragraph (2); 
(2) by redesignating paragraphs (3), (4), and 
(5) as paragraphs (2), (3), and (4), respectively; and 
(3) in paragraph (3), as so redesignated, by in-
serting ‘‘limitations or’’ before ‘‘conditions’’. 
(e) 
TECHNICAL
AMENDMENT.—Section 
8432b(h)(2)(A) of title 5, United States Code, is amended 
by striking ‘‘section 8433(d), or paragraph (1) or (2) of 
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section 8433(h)’’ and inserting ‘‘subsection (d) or (f) of 
section 8433’’. 
(f) REGULATIONS.—As soon as is practicable, as de-
termined by the Executive Director of the Federal Retire-
ment Thrift Investment Board, the Executive Director 
shall prescribe such regulations as are necessary to carry 
out the amendments made by this section. 
(g) EFFECTIVE DATE.—The amendments made by 
this section shall take effect on the date on which the regu-
lations prescribed under subsection (f) take effect. 
Æ 
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