I 
109TH CONGRESS 
1ST SESSION H. R. 4428 
To clarify the status of retirement benefits provided by the Young Women’s 
Christian Association Retirement Fund under the benefit accrual stand-
ards of the Employee Retirement Income Security Act of 1974 and 
the Internal Revenue Code of 1986. 
IN THE HOUSE OF REPRESENTATIVES 
NOVEMBER 18, 2005 
Mr. TIBERI introduced the following bill; which was referred to the Committee 
on Education and the Workforce, and in addition to the Committee on 
Ways and Means, for a period to be subsequently determined by the 
Speaker, in each case for consideration of such provisions as fall within 
the jurisdiction of the committee concerned 
A BILL 
To clarify the status of retirement benefits provided by the 
Young Women’s Christian Association Retirement Fund 
under the benefit accrual standards of the Employee 
Retirement Income Security Act of 1974 and the Inter-
nal Revenue Code of 1986. 
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 ‘‘YWCA Retirement 
Plan Preservation Act of 2005’’.
SEC. 2. CLARIFICATION OF BENEFIT ACCRUAL STANDARDS. 
(a) RULES RELATING TO REDUCTION IN ACCRUED 
BENEFITS BECAUSE OF ATTAINMENT OF ANY AGE.— 
(1) COMPARISON
TO
SIMILARLY
SITUATED, 
YOUNGER INDIVIDUALS.— 
(A) IN
GENERAL.—A pension plan de-
scribed in subsection (c) shall not be treated as 
failing to meet the requirements of section 
204(b)(1)(H)(i) of the Employee Retirement In-
come 
Security 
Act 
of 
1974 
or 
section 
411(b)(1)(H)(i) of the Internal Revenue Code 
of 1986 if a participant’s entire accrued benefit, 
as determined as of any date under the formula 
for determining benefits as set forth in the text 
of the plan documents, would be equal to or 
greater than that of any similarly situated, 
younger individual. 
(B) SIMILARLY SITUATED INDIVIDUAL.— 
For purposes of this paragraph, an individual is 
similarly situated to a participant if such indi-
vidual is identical to such participant in every 
respect (including period of service, compensa-
tion, position, date of hire, work history, and 
any other respect) except for age. 
(C) SUBSIDIZED
PORTION
OF
EARLY 
RETIREMEN BENEFIT DISREGARDED.—In deter-
mining the entire accrued benefit for purposes 
of this paragraph, the subsidized portion of any 
early retirement benefit (including any early re-
tirement subsidy that is fully or partially in-
cluded or reflected in an employee’s opening 
balance or other transition benefits) shall be 
disregarded. 
(2) TREATMENT
OF
INTEREST
ACCRUED
ON 
HYPOTHETICAL
ACCOUNT.—A pension plan de-
scribed in subsection (c) under which the accrued 
benefit payable under the plan upon distribution (or 
any portion thereof) is expressed as the balance of 
a hypothetical account maintained for the partici-
pant shall not be treated as failing to meet the re-
quirements of section 204(b)(1)(H)(i) of the Em-
ployee Retirement Income Security Act of 1974 or 
section 411(b)(1)(H)(i) of the Internal Revenue 
Code of 1986 solely because interest accruing on 
such balance is taken into account. 
(3) ALLOWABLE OFFSETS.—A pension plan de-
scribed in subsection (c) shall not be treated as fail-
ing 
to 
meet 
the 
requirements 
of 
section 
204(b)(1)(H) of the Employee Retirement Income 
Security Act of 1974 or section 411(b)(1)(H) of the 
Internal Revenue Code of 1986 solely because the
plan provides allowable offsets against those benefits 
under the plan which are attributable to employer 
contributions, based on benefits which are provided 
under title II of the Social Security Act, the Rail-
road Retirement Act of 1974, another plan described 
in section 401(a) of the Internal Revenue Code of 
1986 maintained by the same employer, or under 
any retirement program for officers or employees of 
the Federal Government or of the government of any 
State or political subdivision thereof. For purposes 
of this paragraph, allowable offsets based on such 
benefits consist of offsets equal to all or part of the 
actual benefit payment amounts, reasonable projec-
tions or estimations of such benefit payment 
amounts, or actuarial equivalents of such actual ben-
efit payment amounts, projections, or estimations 
(determined on the basis of reasonable actuarial as-
sumptions). 
(4) COMPLIANCE WITH RULES PERMITTING DIS-
PARITY IN PLAN CONTRIBUTIONS OR BENEFITS.—A 
pension plan described in subsection (c) shall not be 
treated as failing to meet the requirements of sec-
tion 204(b)(1)(H) of the Employee Retirement In-
come Security Act of 1974 or section 411(b)(1)(H) 
of the Internal Revenue Code of 1986 solely because
the plan provides a disparity in contributions or ben-
efits with respect to which the requirements of sec-
tion 401(l) of the Internal Revenue Code of 1986 
are met. 
(5) PRE-RETIREMENT INDEXING.— 
(A) IN
GENERAL.—A pension plan de-
scribed in subsection (c) shall not be treated as 
failing to meet the requirements of section 
204(b)(1)(H) of the Employee Retirement In-
come 
Security 
Act 
of 
1974 
or 
section 
411(b)(1)(H) of the Internal Revenue Code of 
1986 solely because the plan provides for pre- 
retirement indexing of accrued benefits under 
the plan. 
(B) DEFINITION.—For purposes of this 
clause, the term ‘‘pre-retirement indexing’’ 
means, in connection with an accrued benefit, 
the periodic adjustment of the accrued benefit 
by means of the application of a recognized 
index or methodology so as to protect the eco-
nomic value of the benefit against inflation 
prior to distribution. 
(b) DETERMINATIONS
OF ACCRUED BENEFIT
AS 
BALANCE OF BENEFIT ACCOUNT.—
(1) IN GENERAL.—A pension plan described in 
subsection (c) under which the accrued benefit pay-
able under the plan upon distribution (or any por-
tion thereof) is expressed as the balance of a hypo-
thetical account maintained for the participant shall 
not be treated as failing to meet the requirements of 
section 203(a)(2) or 205(g) of the Employee Retire-
ment Income Security Act of 1974 or section 
411(a)(2) or 417(e) of the Internal Revenue Code of 
1986 solely because of the amount actually made 
available for such distribution under the terms of 
the plan, in any case in which the applicable interest 
rate that would be used under the terms of the plan 
to project the amount of the participant’s account 
balance to normal retirement age is not greater than 
a market rate of return. 
(2) REGULATIONS.—The Secretary of the 
Treasury may provide by regulation for rules gov-
erning the calculation of a market rate of return for 
purposes of paragraph (1) and for permissible meth-
ods of crediting interest to the account (including 
variable interest rates) resulting in effective rates of 
return meeting the requirements of paragraph (1). 
(c) PENSION PLAN DESCRIBED.—A pension plan de-
scribed in this subsection is a defined benefit plan (as de-