I 
117TH CONGRESS 
2D SESSION 
H. R. 9462 
To establish the American Worker Retirement Plan, improve the financial 
security of working Americans by facilitating the accumulation of wealth, 
and for other purposes. 
IN THE HOUSE OF REPRESENTATIVES 
DECEMBER 8, 2022 
Ms. SEWELL (for herself, Mr. SMUCKER, Mr. SMITH of Nebraska, and Mrs. 
MILLER of West Virginia) introduced the following bill; which was re-
ferred to the Committee on Education and Labor, and in addition to the 
Committee on Ways and Means, for a period to be subsequently deter-
mined by the Speaker, in each case for consideration of such provisions 
as fall within the jurisdiction of the committee concerned 
A BILL 
To establish the American Worker Retirement Plan, improve 
the financial security of working Americans by facili-
tating the accumulation of wealth, and for other pur-
poses. 
Be it enacted by the Senate and House of Representa-
tives of the United States of America in Congress assembled, 
SECTION 1. SHORT TITLE; TABLE OF CONTENTS. 
(a) SHORT TITLE.—This Act may be cited as the 
‘‘Retirement Savings for Americans Act of 2022’’. 
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(b) TABLE OF CONTENTS.—The table of contents for 
this Act is as follows: 
Sec. 1. Short title; table of contents. 
Sec. 2. Definitions. 
Sec. 3. Relationship to Social Security. 
Sec. 4. Government benefits. 
TITLE I—THE AMERICAN WORKER RETIREMENT PLAN 
Sec. 101. The American Worker Retirement Fund. 
Sec. 102. Investment of American Worker Retirement Fund. 
Sec. 103. Eligibility. 
Sec. 104. Enrollment. 
Sec. 105. Contributions. 
Sec. 106. Distributions. 
Sec. 107. Accounts. 
Sec. 108. Tax treatment. 
Sec. 109. Spousal protections; survivor rights. 
TITLE II—THE AMERICAN WORKER RETIREMENT PLAN 
INVESTMENT MANAGEMENT SYSTEM 
Sec. 201. The American Worker Retirement Investment Board. 
Sec. 202. The American Worker Retirement Plan Advisory Council. 
Sec. 203. Executive Director. 
Sec. 204. Investment policies and selection of asset managers. 
Sec. 205. Administrative provisions. 
Sec. 206. Fiduciary responsibilities; liability and penalties. 
Sec. 207. Bonding. 
Sec. 208. Investigative authority. 
Sec. 209. Exculpatory provisions; insurance. 
Sec. 210. Subpoena authority. 
TITLE III—TAX CODE PROVISIONS 
Sec. 301. Government Match Tax Credit. 
Sec. 302. Disclosure of return information to implement involuntary distribu-
tions. 
SEC. 2. DEFINITIONS. 
As used in this Act, except as otherwise provided: 
(1) ACCOUNT.—The term ‘‘account’’ means an 
account established and maintained under section 
107. 
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(2) BOARD.—The term ‘‘Board’’ means the 
American Worker Retirement Investment Board es-
tablished under section 201. 
(3) BUSINESS.—The term ‘‘business’’ means 
any entity, including any sole proprietor, partner-
ship, limited liability company, or corporation, that 
engages in interstate commerce. 
(4) EARNINGS.—The term ‘‘earnings’’, when 
used with respect to the Fund, means the amount 
of the gain realized or yield received from the invest-
ment of sums in such Fund. 
(5) EXECUTIVE DIRECTOR.—The term ‘‘Execu-
tive Director’’ means the Executive Director ap-
pointed under section 203. 
(6) EXISTING RETIREMENT PLAN.—The term 
‘‘existing retirement plan’’ means— 
(A) an eligible retirement plan, as defined 
in section 402(c)(8)(B) of the Internal Revenue 
Code of 1986, including any defined benefit 
plan; 
(B) the Thrift Savings Plan established 
under subchapter III of chapter 84 of title 5, 
United States Code; and 
(C) any other tax deferred employee retire-
ment plan determined by the Secretary of the 
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Treasury to be consistent with the purposes of 
this Act. 
(7) FORMER PARTICIPANT.—The term ‘‘former 
participant’’ means a participant who has an ac-
count with the Fund and is no longer a qualifying 
worker. 
(8) FUND.—The term ‘‘Fund’’ means the 
American Worker Retirement Fund established 
under section 101(a). 
(9) INVESTMENT
ADVISORY
COUNCIL.—The 
term ‘‘Investment Advisory Council’’ means the 
council established under section 202. 
(10) LOSS.—The term ‘‘loss’’, as used with re-
spect to the Fund, includes the amount of any loss 
resulting from the investment of sums in such Fund, 
or from the breach of any responsibility, duty, or ob-
ligation under section 206. 
(11) NET
EARNINGS.—The term ‘‘net earn-
ings’’ means the excess of earnings over losses. 
(12) NET
LOSSES.—The term ‘‘net losses’’ 
means the excess of losses over earnings. 
(13) PARTICIPANT.—The term ‘‘participant’’ 
means any qualifying worker who is enrolled to par-
ticipate in the Fund under section 104(a) and has 
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not opted out of participation under section 
104(b)(3). 
(14) PARTICIPATING
EMPLOYER.—The term 
‘‘participating employer’’ means any business that— 
(A) employs a qualifying worker; or 
(B) contracts with an independent con-
tractor who is a qualifying worker and opts to 
enroll such independent contractor to partici-
pate in the Fund under section 104(a)(2). 
(15) QUALIFYING WORKER.—The term ‘‘quali-
fying worker’’ means— 
(A) an employee who— 
(i) is employed by a business that has 
not established an existing retirement plan 
and does not provide an individual retire-
ment 
plan 
(as 
defined 
in 
section 
7701(a)(37) of the Internal Revenue Code 
of 1986) with an automatic enrollment 
payroll deduction arrangement; or 
(ii) is not eligible to participate in any 
such plan or arrangement established by 
the business that employs the employee; or 
(B) an independent contractor who— 
(i) is self-employed; and 
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(ii) has not established an existing re-
tirement plan, and does not have an indi-
vidual retirement plan (as defined in sec-
tion 7701(a)(37) of the Internal Revenue 
Code of 1986) with an automatic enroll-
ment payroll deduction arrangement. 
SEC. 3. RELATIONSHIP TO SOCIAL SECURITY. 
Except as otherwise provided in this Act, the funds 
payable under the Fund to participants and former par-
ticipants are in addition to the benefits payable under the 
Social Security Act (42 U.S.C. 301 et seq.). 
SEC. 4. GOVERNMENT BENEFITS. 
The funds owned by an individual in an account and 
any contribution made to such funds by a participant or 
the Secretary of the Treasury shall not be taken into con-
sideration when determining the individual’s eligibility for 
any Federal public assistance benefit. 
TITLE I—THE AMERICAN 
WORKER RETIREMENT PLAN 
SEC. 101. THE AMERICAN WORKER RETIREMENT FUND. 
(a) ESTABLISHMENT.—There is established in the 
Treasury of the United States the American Worker Re-
tirement Fund. 
(b) PURPOSES.—The Fund shall consist of the sum 
of all amounts contributed under sections 105 and 301, 
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increased by the total net earnings from investments of 
the sums in the Fund or reduced by the total net losses 
from investments of the Fund, and reduced by the total 
amount of payments made from the Fund (including pay-
ments for administrative expenses under subsection (e)). 
(c) INVESTMENT.—The sums in the Fund shall re-
main available without fiscal year limitation— 
(1) to invest pursuant section 102; 
(2) to pay the administrative expenses of the 
Fund under subsection (e); 
(3) to make distributions as provided in section 
106; 
(4) to make loans as authorized under section 
106(h); and 
(5) to purchase insurance as provided in section 
209. 
(d) ACCOUNTS.—Each participant shall have an ac-
count with the Fund. Amounts contributed by a partici-
pant under section 105 and by the Secretary of the Treas-
ury under section 25F of the Internal Revenue Code of 
1986 shall be deposited in the Fund and credited to the 
participant’s account in accordance with such procedures 
as the Secretary of the Treasury may, in consultation with 
the Executive Director, prescribe in regulation. 
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(e) ADMINISTRATIVE
EXPENSES.—Administrative 
expenses (including expenses related to financial literacy 
requirements under section 201(f)(5)) incurred to carry 
out this Act shall be paid out of the net earnings of the 
Fund, including earnings attributed to forfeited credit 
amounts under section 105(e). 
(f) EXCLUSIVE BENEFIT.— 
(1) IN GENERAL.—Subject to paragraphs (2) 
and (3) and subsection (e), sums in the Fund cred-
ited to the accounts of a participant or former par-
ticipant may not be used for, or diverted to, pur-
poses other than for the exclusive benefit of the par-
ticipant or former participant, or a beneficiary there-
of, except as otherwise provided by law. 
(2) ASSIGNMENT.—Except as provided in para-
graph (3), sums in the Fund may not be assigned 
or alienated and are not subject to execution, levy, 
attachment, garnishment, or other legal process. For 
purposes of this paragraph, a loan made from the 
Fund to a participant shall not be considered to be 
an assignment or alienation. 
(3) LEGAL OBLIGATIONS.—Moneys due or pay-
able from the Fund to any individual and, in the 
case of an individual who is a participant or former 
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participant, the balance in the account of the partici-
pant or former participant shall be subject to— 
(A) legal process for the enforcement of 
the individual’s legal obligation to provide child 
support or make alimony payments as provided 
in section 459 of the Social Security Act (42 
U.S.C. 659); 
(B) an obligation of the Executive Director 
to make a payment to another person under 
section 109; and 
(C) any Federal tax levy under section 
6331 of the Internal Revenue Code of 1986. 
For the purposes of this paragraph, an amount con-
tributed for the benefit of a participant or former 
participant under section 25F of the Internal Rev-
enue Code of 1986 (including any earnings attrib-
utable thereto) shall be considered part of the bal-
ance in such participant or former participant’s ac-
count. 
(g) NON-APPROPRIATED FUNDS.—The sums in the 
Fund shall not be appropriated for any purpose other than 
the purposes specified in this section and may not be used 
for any other purpose. 
(h) BENEFIT TO PARTICIPANTS.—All sums contrib-
uted to the Fund by a participant or the Secretary of the 
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Treasury for the benefit of such participant and all net 
earnings in such Fund in trust for such participant shall 
be the exclusive property of the participant. 
(i) NONFORFEITABLE.—Except as provided in sec-
tion 105(e), all the contributions made under section 105 
and section 25F of the Internal Revenue Code of 1986 
shall be fully nonforfeitable when made. 
SEC. 102. INVESTMENT OF AMERICAN WORKER RETIRE-
MENT FUND. 
(a) IN GENERAL.—The Board shall establish the in-
vestment policies of the Fund and select the investment 
funds, indexes, and other investment products that the 
amounts in the Fund shall be invested in subject to the 
following conditions: 
(1) The Board shall provide for the following 
investment options for participants: 
(A) A Government Securities Investment 
Fund under which sums in the Fund are in-
vested in— 
(i) bonds issued or guaranteed by the 
United States Government; and 
(ii) bonds issued by Government-spon-
sored enterprises or Government corpora-
tions. 
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(B) A Fixed-Income Investment Fund 
under which sums are in the Fund are invested 
in— 
(i) insurance contracts; 
(ii) certificates of deposit; and 
(iii) other instruments or obligations 
selected by qualified professional asset 
managers (as defined in section 8438(a)(8) 
of title 5, United States Code), 
which return the amount invested and pay in-
terest, at a specific rate or rates, on that 
amount during a specific period of time. 
(C) A Common Stock Index Investment 
Fund, as described in section 8438(b)(2) of 
title 5, United States Code. 
(D) A Small Capitalization Stock Index In-
vestment 
Fund, 
as 
described 
in 
section 
8438(b)(3) of title 5, United States Code. 
(E) An International Stock Index Invest-
ment Fund, as described in section 8438(b)(4) 
of title 5, United States Code. 
(F) A Life-Cycle Investment Fund con-
sisting of target date asset allocation portfolios. 
(2) The Board may, in its discretion, provide 
for other investment options for participants con-
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shall provide in such regulations, but in no event less fre-
quently than twice a year. 
(d) VOTING RIGHTS.—Participants, former partici-
pants, the Board, and the Executive Director may not ex-
ercise voting rights associated with the ownership of secu-
rities by the Fund. 
(e) REPORTS.—The Board shall issue regular reports 
(not less frequently than quarterly) to participants and 
former participants on the performance of each investment 
option selected under subsection (a), which shall include 
personalized estimates of assets and income at retirement, 
the additional assets and income at retirement a partici-
pant would have if the participant makes sufficient con-
tributions to receive the maximum amount of the Govern-
ment match tax credit under section 25F of the Internal 
Revenue Code of 1986, and any other information the 
Board determines may help participants make sound fi-
nancial decisions. The Board shall provide the reports re-
quired under this subsection by electronic delivery, except 
that upon the request of a participant or former partici-
pant, reports shall be provided by mail to such individual. 
SEC. 103. ELIGIBILITY. 
(a) ELIGIBILITY.—A qualifying worker shall be eligi-
ble to participate in the Fund upon completion of the en-
rollment process set forth in section 104. 
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(b) CESSATION OF ELIGIBILITY.—A former partici-
pant shall not be eligible to contribute to the Fund under 
section 105(a) but shall remain the owner of the funds 
in the former participant’s account with the Fund (and 
any net earnings attributable to such funds) subject to the 
withdrawal conditions established under section 106, and 
may exercise investment decisions with respect to such ac-
count on the same basis as a participant. 
SEC. 104. ENROLLMENT. 
(a) ENROLLMENT.— 
(1) IN GENERAL.—The Secretary of the Treas-
ury and the Executive Director shall jointly establish 
an enrollment process for participating employers to 
enroll qualifying workers to participate in the Fund 
that incorporates, to the extent practicable, such en-
rollment and participant contributions under section 
105(a) into Federal tax withholding forms and pay-
ments. 
(2) INDEPENDENT CONTRACTORS.—In the case 
of independent contractors who are qualifying work-
ers, the enrollment process shall allow businesses 
who have contracts with such qualifying workers to 
elect to enroll such qualifying workers to participate 
in the Fund. 
(b) AUTO-ENROLLMENT; OPT-OUT.— 
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(1) IN GENERAL.—Each participating employer 
shall enroll each of its qualifying workers to partici-
pate in the Fund under subsection (a) unless such 
qualifying worker elects to opt out of participating 
pursuant to paragraph (3). A qualifying worker who 
is a sole proprietor or independent contractor shall 
enroll or elect to opt out of participating pursuant 
to paragraph (3). 
(2) AUTOMATIC CONTRIBUTION RATES.—Each 
qualifying worker enrolled under paragraph (1) shall 
be automatically enrolled to make contributions 
under section 105(a) at the default percentage of 3 
percent of the qualifying worker’s compensation 
from the employer for such period as shall be estab-
lished by regulation under section 105(a)(3). 
(3) OPT-OUT.—A qualifying worker may elect 
to opt out of participating in the Fund pursuant to 
procedures established jointly by the Secretary of the 
Treasury and the Executive Director as part of the 
regulations governing the enrollment process set 
forth in subsection (a). If a qualifying worker elects 
to opt out of participating in the Fund, such quali-
fying worker shall not be enrolled in subsequent 
years unless the qualifying worker elects to partici-
pate in the Fund. The Secretary of the Treasury 
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and the Executive Director shall determine proce-
dures to establish accounts for qualifying workers 
who elect to opt out of participating in the Fund 
who are determined to be eligible for automatic con-
tributions or who would make contributions other-
wise allowable by law outside the withholding proc-
ess. 
(c) PENALTIES.— 
(1) PENALTY.—A participating employer who 
fails to enroll a qualifying worker pursuant to sub-
section (b) or fails to deposit in the Fund the 
amount of a participant’s contributions under sec-
tion 105(a) shall be subject to a penalty equal to the 
applicable penalty percentage of the amount of the 
contributions by the qualifying worker or partici-
pant, as the case may be, that the participating em-
ployer fails to deposit due to failure to enroll the 
qualifying worker or otherwise deposit such funds. 
The Secretary of the Treasury and the Executive 
Director shall jointly prescribe regulations under 
which a participating employer shall be required to 
pay to the Fund amounts representing lost earnings 
resulting from errors made by such participating 
employer in carrying out this section. 
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(2) APPLICABLE PENALTY PERCENTAGE.—The 
term ‘‘applicable penalty percentage’’ means— 
(A) 2-percent if the failure is for not more 
than 5 days; 
(B) 5-percent if the failure is for more 
than 5 days but not more than 15 days; and 
(C) 10-percent if the failure is for more 
than 15 days. 
(3) FUNDS.—The Secretary of the Treasury 
shall credit to the Fund, out of any sums in the 
Treasury not otherwise appropriated, the amount 
determined by the Executive Director to be nec-
essary to carry out this section and section 105(d). 
SEC. 105. CONTRIBUTIONS. 
(a) CONTRIBUTIONS BY PARTICIPANTS.— 
(1) IN GENERAL.—Pursuant to the regulations 
established under subsection (d), a participant may 
make contributions to the participant’s account with 
the Fund in any pay period in an amount not to ex-
ceed the participant’s compensation for such period. 
(2) 
CATCH-UP
CONTRIBUTIONS.—Notwith-
standing the limitation under paragraph (1), a par-
ticipant may make such additional contributions to 
the participant’s account with the Fund as are per-
mitted by section 414(v) of the Internal Revenue 
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Code of 1986, and the regulations established under 
subsection (d) consistent therewith. 
(3) CONTRIBUTIONS.—The Secretary of the 
Treasury and the Executive Director shall jointly 
prescribe regulations that establish a program of 
regular contribution under which participants may— 
(A) make contributions to their accounts 
with the Fund under paragraph (1); 
(B) modify the amount contributed under 
such paragraph; or 
(C) terminate such contributions. 
(4) ELECTION.—An election to make contribu-
tions under this subsection— 
(A) may be made at any time; 
(B) shall take effect on the earliest date 
after the election that is administratively fea-
sible; and 
(C) shall remain in effect until modified or 
terminated. 
(b) CONTRIBUTION OF GOVERNMENT MATCH TAX 
CREDIT.—A participant’s account shall receive contribu-
tions in the form of the Government Match Tax Credit 
contributed by the Secretary of the Treasury under section 
25F of the Internal Revenue Code of 1986. 
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(c) CONTRIBUTION LIMITS.—Notwithstanding any 
other provision of this section, no contribution may be 
made under this section for any year to the extent that 
such contribution, when added to prior contributions for 
such year, exceeds the limitation under sections 219(b)(5) 
of the Internal Revenue Code of 1986. Any contribution 
made under section 25F of the Internal Revenue Code of 
1986 shall not be taken into account for purposes of the 
preceding sentence. 
(d) TREATMENT AS ROTH CONTRIBUTIONS.—Con-
tributions under subsection (a) shall not be excludable 
from gross income and no deduction shall be allowed with 
respect to such contributions under section 219 of the In-
ternal Revenue Code of 1986. 
(e) FORFEITURE OF TAX CREDIT AMOUNTS WHICH 
DO
NOT
REMAIN
IN
ACCOUNT
FOR
AT
LEAST
MONTHS.— 
(1) IN GENERAL.—In the case of any contribu-
tion made under section 25F of the Internal Rev-
enue Code of 1986 to a participant’s account, if 
such contribution does not remain in the account of 
such participant for at least 6 months after the date 
of such contribution, such contribution shall be for-
feited as provided in paragraph (2). 
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(2) TREATMENT OF FORFEITED AMOUNTS.—In 
the case of any contribution to which paragraph (1) 
applies— 
(A) the Executive Director shall make a 
distribution from the participant’s account in 
an amount equal to such contribution to the 
Secretary of the Treasury for deposit into the 
general fund of the Treasury, and 
(B) in the case of any earnings on such 
contribution, such earnings shall be distributed 
by the Executive Director from the participant’s 
account and shall be available to the Executive 
Director, without need of further appropriation, 
for administrative expenses described in section 
101(e). 
(3) FORFEITED AMOUNTS NOT INCLUDIBLE IN 
GROSS INCOME.—Any distribution made under para-
graph (2) shall not be includible in the gross income 
of the participant. 
(f) REGULATIONS.—The amounts contributed to the 
Fund by a participant under section 105(a) and on behalf 
of a participant by the Secretary of the Treasury under 
section 25F of the Internal Revenue Code of 1986 shall 
be deposited in the Fund and credited to the participant’s 
account with the Fund pursuant to regulations jointly pre-
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scribed by the Secretary of the Treasury and the Execu-
tive Director. 
SEC. 106. DISTRIBUTIONS. 
(a) FORMER PARTICIPANTS.—A former participant is 
entitled to access the amounts in the former participant’s 
account as provided in this section. Amounts in the ac-
count of a former participant shall remain in the Fund 
until distributed in accordance with subsection (b). 
(b) 
FORMER
PARTICIPANT
WITHDRAWAL
OP-
TIONS.—Subject to section 109, a former participant is 
entitled to and may elect to withdraw from the Fund the 
balance of the former participant’s account as— 
(1) an annuity; 
(2) a single payment; 
(3) 2 or more substantially equal payments to 
be made not less frequently than annually; or 
(4) any combination of payments described in 
paragraphs (1) through (3) as the Executive Direc-
tor may prescribe by regulation. 
(c) ADDITIONAL
FORMER
PARTICIPANT
WITH-
DRAWAL OPTIONS.— 
(1) IN GENERAL.—In addition to the right pro-
vided under subsection (b) to withdraw the balance 
of the account, a former participant may make 1 or 
more withdrawals of any amount in the same man-
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ner as a single payment is made in accordance with 
subsection (b)(2) from the former participant’s ac-
count. 
(2) TRANSFERS TO RETIREMENT PLANS.— 
(A) IN
GENERAL.—A former participant 
may request that the amount withdrawn from 
the Fund under paragraph (1) be transferred to 
an existing retirement plan. 
(B) TRANSFERS.—The Executive Director 
shall make each transfer directly to an existing 
retirement plan identified by the former partici-
pant for whom the transfer is made. A transfer 
shall not be made under the preceding sentence 
until the Executive Director receives from the 
former participant the information required by 
the Executive Director specifically to identify 
the existing retirement plan to which the trans-
fer is to be made. 
(3) LIMITATIONS.—Withdrawals under this 
subsection shall be subject to such other limitations 
or conditions as the Executive Director may pre-
scribe by regulation. 
(d) PAYMENT OF ANNUITIES.—The Board shall pre-
scribe methods of payment of annuities under this Act 
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substantially similar to those provided for under section 
8434 of title 5, United States Code. 
(e) FORMER
PARTICIPANT
CHANGES
TO
ELEC-
TIONS.— 
(1) IN GENERAL.—Subject to section 109, a 
former participant may change an election previously 
made under this section, except that in the case of 
an election to receive an annuity, a former partici-
pant may not change an election under this section 
on or after the date on which an annuity contract 
is purchased to provide for the annuity elected by 
the former participant. 
(2) DISTRIBUTIONS MADE.—A former partici-
pant may not return a distribution once made pur-
suant to an election under this section. 
(f) SURVIVOR RIGHTS.— 
(1) IN GENERAL.—If a participant or a former 
participant dies without having made an election 
under subsection (b) or after having elected an an-
nuity under subsection (b) but before making an 
election for payments to a survivor rights under sec-
tion 8434 of title 5, United States Code, an amount 
equal to the value of that individual’s account (as of 
death) shall, subject to any decree, order, or agree-
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ment referred to in section 109, be paid in a manner 
consistent with the requirements of section 109. 
(2) MAINTENANCE
OF
ACCOUNT.—Notwith-
standing section 109, if a participant or former par-
ticipant dies and has designated as sole or partial 
beneficiary the spouse of the participant or former 
participant at the time of death, or, if a participant 
or former participant dies with no designated bene-
ficiary and is survived by a spouse, the spouse may 
maintain the portion of the participant or former 
participant’s account to which the spouse is entitled 
in accordance with the following terms: 
(A) Subject to the limitations of subpara-
graph (B), the spouse shall have the same with-
drawal options under subsection (b) as a former 
participant. 
(B) The spouse may not make withdrawals 
under subsection (h) or (i). 
(C) The spouse may not make contribu-
tions or transfers to the account. 
(D) The account shall be disbursed upon 
the death of the surviving spouse of the partici-
pant or former participant and shall not be 
maintained by a beneficiary or surviving spouse 
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of the surviving spouse who inherited the ac-
count. 
(3) REGULATIONS.—The Executive Director 
shall prescribe regulations to carry out this sub-
section. 
(g) SMALL BALANCE ACCOUNTS.—Notwithstanding 
subsection (b), if a former participant’s account balance 
is less than an amount that the Executive Director pre-
scribes by regulation, the Executive Director shall pay the 
nonforfeitable account balance to the participant in a sin-
gle payment. The Executive Director may prescribe more 
than 1 balance amount for payment under this subsection 
based on age of the former participant. 
(h) LOANS.— 
(1) IN GENERAL.—A participant or former par-
ticipant may apply to the Board for permission to 
borrow from the participant or former participant’s 
account an amount not exceeding the value of that 
portion of such account which is attributable to con-
tributions made by the participant or former partici-
pant. Before a loan is issued, the Executive Director 
shall provide to the participant or former participant 
in writing with appropriate information concerning 
the cost of the loan relative to other sources of fi-
nancing, as well as the lifetime cost of the loan, in-
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cluding the difference in interest rates between the 
funds offered by the Fund and any other effect of 
such loan on the participant or former participant’s 
final account balance. 
(2) SPECIAL RULES.— 
(A) IN GENERAL.—Loans under this sub-
section shall be available to all participant and 
former participants on a reasonably equivalent 
basis, and shall be subject to such other condi-
tions as the Board may prescribe by regulation, 
which shall be as equivalent as practically pos-
sible to those provided for under the Thrift 
Savings Plan. The restrictions of section 
206(c)(1) shall not apply to loans made under 
this subsection. 
(B) LIMITATION
BASED
ON
TAX
TREAT-
MENT.—A loan may not be made under this 
subsection to the extent that the loan would be 
treated as a taxable distribution under section 
72(p) of the Internal Revenue Code of 1986. 
(C) SPOUSAL PROTECTIONS.—A loan may 
not be made under this subsection unless the 
requirements of section 109 are satisfied. 
(i) VOLUNTARY DISTRIBUTIONS.— 
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(1) IN GENERAL.—A participant may apply, be-
fore becoming a former participant, to the Board for 
permission to withdraw an amount from the partici-
pant’s account based upon— 
(A) the participant having attained age 
591⁄2; or 
(B) financial hardship. 
(2) LIMITATIONS.—A withdrawal under para-
graph (1)(B) shall be available only for an amount 
not exceeding the value of that portion of such ac-
count which is attributable to contributions made by 
the participant. Withdrawals under paragraph (1) 
shall be subject to such other limitations or condi-
tions as the Executive Director may prescribe by 
regulation, which shall be as equivalent as prac-
tically possible to those provided for under the 
Thrift Savings Plan. 
(3) SPOUSAL
PROTECTIONS.—A withdrawal 
may not be made under this subsection unless the 
requirements of section 109 are satisfied. 
(j) INVOLUNTARY DISTRIBUTIONS.— 
(1) IN GENERAL.—The Executive Director shall 
make a distribution from the participant’s account 
to the participant if the participant’s gross income 
for a taxable year exceeds the dollar threshold (as 
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adjusted by the Secretary of the Treasury) estab-
lished under section 414(q)(1)(B) of the Internal 
Revenue Code of 1986. 
(2) AMOUNT OF DISTRIBUTION.—The amount 
of a distribution under paragraph (1) shall be equal 
to the sum of such participant’s contributions to the 
Fund for the taxable year for which such distribu-
tion is required under paragraph (1), increased by 
any gains attributable to such contributions, and de-
creased by any losses attributable to such contribu-
tions, any early withdrawal penalties, and any ex-
penses associated with make such distribution. 
(3) PROCESS FOR DISTRIBUTION.— 
(A) NOTICE TO PARTICIPANT.—The Exec-
utive Director shall provide notice to a partici-
pant subject to a distribution under paragraph 
(1) not later than 7 days after the Executive 
Director determines that such participant is 
subject to such distribution. For disclosure of 
taxpayer return information to the Executive 
Director to make such determination, see sec-
tion 6103(l)(23) of the Internal Revenue Code 
of 1986. 
(B) METHOD
OF
DISTRIBUTION.—Not 
later than 30 days after receiving notice under 
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subparagraph (A), a participant may elect to 
direct that a distribution under paragraph (1) 
be made— 
(i) in the case of an eligible rollover 
distribution (as defined in section 402(c) 
of the Internal Revenue Code of 1986), to 
an eligible retirement plan (as defined in 
such section of such code); or 
(ii) directly to such participant. 
(C) DEFAULT ELECTION.—In the case of a 
participant who fails to make an election within 
the period described in subparagraph (B), the 
Executive Director shall make the distribution 
directly to such participant. 
(4) TAX
TREATMENT
OF
INVOLUNTARY
DIS-
TRIBUTION.—In the case of any distribution made 
under paragraph (1) directly to the participant 
under subparagraph (B)(ii) or (C), the rules of sub-
section (k) shall apply except that— 
(A) such distribution such shall be treated 
as an early distribution from a qualified retire-
ment plan to which section 72(t) of the Internal 
Revenue Code of 1986 applies, and 
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(B) contributions made under section 25F 
shall be treated as though such contributions 
had been included in gross income. 
(k) TREATMENT
AS ROTH DISTRIBUTIONS.—The 
rules of sections 408(d) and 408A(d) of the Internal Rev-
enue Code of 1986 shall apply to distributions from the 
Fund in the same manner as if such Fund were a Roth 
IRA. For purposes of the preceding sentence, contribu-
tions made under section 25F of such Code shall be treat-
ed as employer contributions which were not includible in 
gross income. 
SEC. 107. ACCOUNTS. 
(a) IN GENERAL.—The Executive Director shall es-
tablish and maintain an account for each participant who 
makes contributions under section 105(a), or for whom 
contributions are made under section 25F of the Internal 
Revenue Code of 1986, to the Fund. 
(b) ACCOUNT BALANCES.—The balance in a partici-
pant’s account is the excess of— 
(1) the sum of— 
(A) all contributions made to the Fund by 
the participant under section 105(a); 
(B) all contributions made to the Fund for 
the benefit of the participant by the Secretary 
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the breach or violation, except that, in the 
case of fraud or concealment, such action 
may be commenced not later than 6 years 
after the date of discovery of such breach 
or violation. 
(F) JURISDICTION.— 
(i) IN GENERAL.—The district courts 
of the United States shall have exclusive 
jurisdiction of civil actions under this sub-
section. 
(ii) VENUE.—An action under this 
subsection may be brought in the District 
Court of the United States for the District 
of Columbia or a district court of the 
United States in the district where the 
breach alleged in the complaint or petition 
filed in the action took place or in the dis-
trict where a defendant resides or may be 
found. Process may be served in any other 
district where a defendant resides or may 
be found. 
(G) OTHER RULES.— 
(i) IN GENERAL.—A copy of the com-
plaint or petition filed in any action 
brought under this subsection (other than 
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