H. RES. 380
In the House of Representatives, U. S.,
March 8, 1994.
Resolved, That upon the adoption of this resolution, the
bill (H.R. 3345) to provide temporary authority to Govern-
ment agencies relating to voluntary separation incentive pay-
ments, and for other purposes, with the Senate amendment
thereto, shall be considered to have been taken from the
Speaker’s table to the end that the Senate amendment there-
to be, and the same is hereby, agreed to with an amendment
as follows:
In lieu of the matter proposed to be inserted by the
amendment of the Senate to the text of the bill, insert the
following:
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SECTION 1. SHORT TITLE.
This Act may be cited as the ‘‘Federal Workforce Re-
structuring Act of 1994’’.
SEC. 2. TRAINING.
(a) IN GENERAL.—Chapter 41 of title 5, United
States Code, is amended—
(1) in section 4101(4) by striking ‘‘fields’’ and
all that follows through the semicolon and inserting
‘‘fields which will improve individual and organiza-
tional performance and assist in achieving the
agency’s mission and performance goals;’’;
(2) in section 4103—
(A) in subsection (a)—
(i) by striking ‘‘In’’ and all that fol-
lows through ‘‘maintain’’ and inserting ‘‘In
order to assist in achieving an agency’s
mission and performance goals by improv-
ing employee and organizational perform-
ance, the head of each agency, in conform-
ity with this chapter, shall establish, oper-
ate, maintain, and evaluate’’;
(ii) by striking ‘‘and’’ at the end of
paragraph (2);
(iii) by redesignating paragraph (3) as
paragraph (4); and
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(iv) by inserting after paragraph (2)
the following:
‘‘(3) provide that information concerning the
selection and assignment of employees for training
and the applicable training limitations and restric-
tions be made available to employees of the agency;
and’’; and
(B) in subsection (b)—
(i) in paragraph (1) by striking ‘‘de-
termines’’ and all that follows through the
period and inserting ‘‘determines that such
training would be in the interests of the
Government.’’;
(ii) by striking paragraph (2) and re-
designating paragraph (3) as paragraph
(2); and
(iii) in subparagraph (C) of paragraph
(2) (as so redesignated) by striking ‘‘re-
taining’’ and all that follows through the
period and inserting ‘‘such training.’’;
(3) in section 4105—
(A) in subsection (a) by striking ‘‘(a)’’;
and
(B) by striking subsections (b) and (c);
(4) by repealing section 4106;
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(5) in section 4107—
(A) by amending the catchline to read as
follows:
‘‘§ 4107. Restriction on degree training’’;
(B) by striking subsections (a) and (b) and
redesignating subsections (c) and (d) as sub-
sections (a) and (b), respectively;
(C) by amending subsection (a) (as so re-
designated)—
(i) by striking ‘‘subsection (d)’’ and
inserting ‘‘subsection (b)’’; and
(ii) by striking ‘‘by, in, or through a
non-Government facility’’; and
(D) by amending paragraph (1) of sub-
section (b) (as so redesignated) by striking
‘‘subsection (c)’’ and inserting ‘‘subsection (a)’’;
(6) in section 4108(a) by striking ‘‘by, in, or
through a non-Government facility under this chap-
ter’’ and inserting ‘‘for more than a minimum period
prescribed by the head of the agency’’;
(7) in section 4113(b)—
(A) in the first sentence by striking ‘‘annu-
ally to the Office,’’ and inserting ‘‘to the Office,
at least once every 3 years, and’’; and
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(B) by striking the matter following the
first sentence and inserting the following: ‘‘The
report shall set forth—
‘‘(1) information needed to determine that
training is being provided in a manner which is in
compliance with applicable laws intended to protect
or promote equal employment opportunity; and
‘‘(2) information concerning the expenditures of
the agency in connection with training and such
other information as the Office considers appro-
priate.’’;
(8) by repealing section 4114; and
(9) in section 4118—
(A) in subsection (a)(7) by striking ‘‘by,
in, and through non-Government facilities’’;
(B) by striking subsection (b); and
(C) by redesignating subsections (c) and
(d) as subsections (b) and (c), respectively.
(b) TECHNICAL AND CONFORMING AMENDMENTS.—
Title 5, United States Code, is amended—
(1) in section 3381(e) by striking ‘‘4105(a),’’
and inserting ‘‘4105,’’; and
(2) in the analysis for chapter 41—
(A) by repealing the items relating to sec-
tions 4106 and 4114; and
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(B) by amending the item relating to sec-
tion 4107 to read as follows:
‘‘4107. Restriction on degree training.’’.
(c) EFFECTIVE DATE.—The amendments made by
this section shall become effective on the date of enact-
ment of this Act.
SEC. 3. VOLUNTARY SEPARATION INCENTIVES.
(a) DEFINITIONS.—For the purpose of this section—
(1) the term ‘‘agency’’ means an Executive
agency (as defined by section 105 of title 5, United
States Code), but does not include the Department
of Defense, the Central Intelligence Agency, or the
General Accounting Office; and
(2) the term ‘‘employee’’ means an employee
(as defined by section 2105 of title 5, United States
Code) who is employed by an agency, is serving
under an appointment without time limitation, and
has been currently employed for a continuous period
of at least 12 months; such term includes an individ-
ual employed by a county committee established
under section 8(b) of the Soil Conservation and Do-
mestic Allotment Act (16 U.S.C. 590h(b)), but does
not include—
(A) a reemployed annuitant under sub-
chapter III of chapter 83 or chapter 84 of title
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5, United States Code, or another retirement
system for employees of the Government; or
(B) an employee having a disability on the
basis of which such employee is or would be eli-
gible for disability retirement under the applica-
ble retirement system referred to in subpara-
graph (A).
(b) AUTHORITY.—
(1) IN GENERAL.—In order to avoid or mini-
mize the need for involuntary separations due to a
reduction in force, reorganization, transfer of func-
tion, or other similar action, and subject to para-
graph (2), the head of an agency may pay, or au-
thorize the payment of, voluntary separation incen-
tive payments to agency employees—
(A) in any component of the agency;
(B) in any occupation;
(C) in any geographic location; or
(D) on the basis of any combination of fac-
tors under subparagraphs (A) through (C).
(2) CONDITION.—
(A) IN GENERAL.—In order to receive an
incentive payment, an employee must separate
from service with the agency (whether by retire-
ment or resignation) before April 1, 1995.
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(B) EXCEPTION.—An employee who does
not separate from service before the date speci-
fied in subparagraph (A) shall be ineligible for
an incentive payment under this section un-
less—
(i) the agency head determines that,
in order to ensure the performance of the
agency’s mission, it is necessary to delay
such employee’s separation; and
(ii) the employee separates after com-
pleting any additional period of service re-
quired (but not later than March 31,
1997).
(c) AMOUNT AND TREATMENT OF PAYMENTS.—A
voluntary separation incentive payment—
(1) shall be paid in a lump sum after the em-
ployee’s separation;
(2) shall be equal to the lesser of—
(A) an amount equal to the amount the
employee would be entitled to receive under sec-
tion 5595(c) of title 5, United States Code, if
the employee were entitled to payment under
such section; or
(B) $25,000;
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(3) shall not be a basis for payment, and shall
not be included in the computation, of any other
type of Government benefit;
(4) shall not be taken into account in determin-
ing the amount of any severance pay to which an
employee may be entitled under section 5595 of title
5, United States Code, based on any other separa-
tion; and
(5) shall be paid from appropriations or funds
available for the payment of the basic pay of the em-
ployee.
(d) EFFECT OF SUBSEQUENT EMPLOYMENT WITH
THE GOVERNMENT.—
(1) IN GENERAL.—An employee who has re-
ceived a voluntary separation incentive payment
under this section and accepts employment with the
Government of the United States within 5 years
after the date of the separation on which the pay-
ment is based shall be required to repay the entire
amount of the incentive payment to the agency that
paid the incentive payment.
(2) WAIVER AUTHORITY.—
(A) EXECUTIVE AGENCY.—If the employ-
ment is with an Executive agency (as defined
by section 105 of title 5, United States Code),
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the Director of the Office of Personnel Manage-
ment may, at the request of the head of the
agency, waive the repayment if the individual
involved possesses unique abilities and is the
only qualified applicant available for the posi-
tion.
(B) LEGISLATIVE
BRANCH.—If the em-
ployment is with an entity in the legislative
branch, the head of the entity or the appointing
official may waive the repayment if the individ-
ual involved possesses unique abilities and is
the only qualified applicant available for the po-
sition.
(C) JUDICIAL
BRANCH.—If the employ-
ment is with the judicial branch, the Director of
the Administrative Office of the United States
Courts may waive the repayment if the individ-
ual involved possesses unique abilities and is
the only qualified applicant available for the po-
sition.
(3) DEFINITION.—For purposes of paragraph
(1) (but not paragraph (2)), the term ‘‘employment’’
includes employment under a personal services con-
tract with the United States.
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(e) REGULATIONS.—The Director of the Office of
Personnel Management may prescribe any regulations
necessary for the administration of subsections (a)
through (d).
(f) EMPLOYEES OF THE JUDICIAL BRANCH.—The
Director of the Administrative Office of the United States
Courts may, by regulation, establish a program consistent
with the program established by subsections (a) through
(d) for individuals serving in the judicial branch.
SEC. 4. ADDITIONAL AGENCY CONTRIBUTIONS TO THE RE-
TIREMENT FUND.
(a) RELATING TO FISCAL YEARS 1994 AND 1995.—
(1) IN
GENERAL.—In addition to any other
payments which it is required to make under sub-
chapter III of chapter 83 of title 5, United States
Code, an agency shall remit to the Office of Person-
nel Management for deposit in the Treasury of the
United States to the credit of the Civil Service Re-
tirement and Disability Fund an amount equal to 9
percent of the final basic pay of each employee of
the agency—
(A) who, on or after the date of the enact-
ment of this Act and before October 1, 1995,
retires under section 8336(d)(2) of such title;
and
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(B) to whom a voluntary separation incen-
tive payment has been or is to be paid by such
agency based on that retirement.
(2) DEFINITIONS.—For the purpose of this
subsection—
(A) the term ‘‘final basic pay’’, with re-
spect to an employee, means the total amount
of basic pay which would be payable for a year
of service by such employee, computed using
the employee’s final rate of basic pay, and, if
last serving on other than a full-time basis, with
appropriate adjustment therefor; and
(B) the term ‘‘voluntary separation incen-
tive payment’’ means—
(i) a voluntary separation incentive
payment under section 3 (including under
any program established under section
3(f)); and
(ii) any separation pay under section
5597 of title 5, United States Code, or sec-
tion 2 of the Central Intelligence Agency
Voluntary Separation Pay Act (Public Law
103-36; 107 Stat. 104).
(b) RELATING TO FISCAL YEARS 1995 THROUGH
1998.—
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(1) IN
GENERAL.—In addition to any other
payments which it is required to make under sub-
chapter III of chapter 83 or chapter 84 of title 5,
United States Code, in fiscal years 1995, 1996,
1997, and 1998 (and in addition to any amounts re-
quired under subsection (a)), each agency shall, be-
fore the end of each such fiscal year, remit to the
Office of Personnel Management for deposit in the
Treasury of the United States to the credit of the
Civil Service Retirement and Disability Fund an
amount equal to the product of—
(A) the number of employees of such agen-
cy who, as of March 31st of such fiscal year,
are subject to subchapter III of chapter 83 or
chapter 84 of such title; multiplied by
(B) $80.
(2) DEFINITION.—For the purpose of this sub-
section, the term ‘‘agency’’ means an Executive
agency (as defined by section 105 of title 5, United
States Code), but does not include the General Ac-
counting Office.
(c) REGULATIONS.—The Director of the Office of
Personnel Management may prescribe any regulations
necessary to carry out this section.
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SEC. 5. REDUCTION OF FEDERAL FULL-TIME EQUIVALENT
POSITIONS.
(a) DEFINITION.—For the purpose of this section,
the term ‘‘agency’’ means an Executive agency (as defined
by section 105 of title 5, United States Code), but does
not include the General Accounting Office.
(b) LIMITATIONS ON FULL-TIME EQUIVALENT POSI-
TIONS.—The President, through the Office of Manage-
ment and Budget (in consultation with the Office of Per-
sonnel Management), shall ensure that the total number
of full-time equivalent positions in all agencies shall not
exceed—
(1) 2,084,600 during fiscal year 1994;
(2) 2,043,300 during fiscal year 1995;
(3) 2,003,300 during fiscal year 1996;
(4) 1,963,300 during fiscal year 1997;
(5) 1,922,300 during fiscal year 1998; and
(6) 1,882,300 during fiscal year 1999.
(c) MONITORING AND NOTIFICATION.—The Office of
Management and Budget, after consultation with the Of-
fice of Personnel Management, shall—
(1) continuously monitor all agencies and make
a determination on the first date of each quarter of
each applicable fiscal year of whether the require-
ments under subsection (b) are met; and
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(2) notify the President and the Congress on
the first date of each quarter of each applicable fis-
cal year of any determination that any requirement
of subsection (b) is not met.
(d) COMPLIANCE.—If, at any time during a fiscal
year, the Office of Management and Budget notifies the
President and the Congress that any requirement under
subsection (b) is not met, no agency may hire any em-
ployee for any position in such agency until the Office of
Management and Budget notifies the President and the
Congress that the total number of full-time equivalent po-
sitions for all agencies equals or is less than the applicable
number required under subsection (b).
(e) WAIVER.—
(1) EMERGENCIES.—Any provision of this sec-
tion may be waived upon a determination by the
President that—
(A) the existence of a state of war or other
national security concern so requires; or
(B) the existence of an extraordinary
emergency threatening life, health, safety, prop-
erty, or the environment so requires.
(2) AGENCY
EFFICIENCY
OR
CRITICAL
MIS-
SION.—
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(A) Subsection (d) may be waived, in the
case of a particular position or category of posi-
tions in an agency, upon a determination of the
President that the efficiency of the agency or
the performance of a critical agency mission so
requires.
(B) Whenever the President grants a waiv-
er pursuant to subparagraph (A), the President
shall take all necessary actions to ensure that
the overall limitations set forth in subsection
(b) are not exceeded.
(f) EMPLOYMENT BACKFILL PREVENTION.—
(1) IN GENERAL.—The total number of funded
employee positions in all agencies (excluding the De-
partment of Defense and the Central Intelligence
Agency) shall be reduced by one position for each
vacancy created by the separation of any employee
who has received, or is due to receive, a voluntary
separation incentive payment under section 3 (a)–
(e). For purposes of this subsection, positions and
vacancies shall be counted on a full-time-equivalent
basis.
(2) RELATED RESTRICTION.—No funds budg-
eted for and appropriated by any Act for salaries or
expenses of positions eliminated under this sub-
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section may be used for any purpose other than au-
thorized separation costs.
(g) LIMITATION
ON PROCUREMENT
OF SERVICE
CONTRACTS.—The President shall take appropriate action
to ensure that there is no increase in the procurement of
service contracts by reason of the enactment of this Act,
except in cases in which a cost comparison demonstrates
such contracts would be to the financial advantage of the
Federal Government.
SEC. 6. SUBSEQUENT EMPLOYMENT AND REPAYMENT OF
SEPARATION PAYMENT.
(a) DEFENSE AGENCY SEPARATION PAY.—Section
5597 of title 5, United States Code, is amended by adding
at the end the following:
‘‘(g)(1) An employee who receives separation pay
under this section on the basis of a separation occurring
on or after the date of the enactment of the Federal
Workforce Restructuring Act of 1994 and accepts employ-
ment with the Government of the United States within
5 years after the date of the separation on which payment
of the separation pay is based shall be required to repay
the entire amount of the separation pay to the defense
agency that paid the separation pay.
‘‘(2) If the employment is with an Executive agency,
the Director of the Office of Personnel Management may,
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at the request of the head of the agency, waive the repay-
ment if the individual involved possesses unique abilities
and is the only qualified applicant available for the posi-
tion.
‘‘(3) If the employment is with an entity in the legis-
lative branch, the head of the entity or the appointing offi-
cial may waive the repayment if the individual involved
possesses unique abilities and is the only qualified appli-
cant available for the position.
‘‘(4) If the employment is with the judicial branch,
the Director of the Administrative Office of the United
States Courts may waive the repayment if the individual
involved possesses unique abilities and is the only qualified
applicant available for the position.’’.
(b) CENTRAL INTELLIGENCE AGENCY SEPARATION
PAYMENT.—Section 2(b) of the Central Intelligence Agen-
cy Voluntary Separation Pay Act (Public Law 103–36;
107 Stat. 104) is amended by adding at the end the fol-
lowing: ‘‘An employee who receives separation pay under
this section on the basis of a separation occurring on or
after the date of the enactment of the Federal Workforce
Restructuring Act of 1994 and accepts employment with
the Government of the United States within 5 years after
the date of the separation on which payment of the separa-
tion pay is based shall be required to repay the entire
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amount of the separation pay to the Central Intelligence
Agency. If the employment is with an Executive agency
(as defined by section 105 of title 5, United States Code),
the Director of the Office of Personnel Management may,
at the request of the head of the agency, waive the repay-
ment if the individual involved possesses unique abilities
and is the only qualified applicant available for the posi-
tion. If the employment is with an entity in the legislative
branch, the head of the entity or the appointing official
may waive the repayment if the individual involved pos-
sesses unique abilities and is the only qualified applicant
available for the position. If the employment is with the
judicial branch, the Director of the Administrative Office
of the United States Courts may waive the repayment if
the individual involved possesses unique abilities and is the
only qualified applicant available for the position.’’.
SEC. 7. STANDARDIZATION OF WITHDRAWAL OPTIONS FOR
THRIFT SAVINGS PLAN PARTICIPANTS.
(a) PARTICIPATION
IN
THE
THRIFT
SAVINGS
PLAN.—Section 8351(b) of title 5, United States Code,
is amended—
(1) by amending paragraph (4) to read as fol-
lows:
‘‘(4) Section 8433(b) of this title applies to any em-
ployee or Member who elects to make contributions to the
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Thrift Savings Fund under subsection (a) of this section
and separates from Government employment.’’;
(2) by striking paragraphs (5), (6), and (8);
(3) by redesignating paragraphs (7), (9), and
(10) as paragraphs (5), (6), and (7), respectively;
(4) in paragraph (5)(C) (as so redesignated by
paragraph (3) of this subsection) by striking ‘‘or
former spouse’’ each place it appears;
(5) by amending paragraph (6) (as so redesig-
nated by paragraph (3) of this subsection) to read
as follows:
‘‘(6) Notwithstanding paragraph (4), if an employee
or Member separates from Government employment and
such employee’s or Member’s nonforfeitable account bal-
ance is $3,500 or less, the Executive Director shall pay
the nonforfeitable account balance to the participant in a
single payment unless the employee or Member elects, at
such time and otherwise in such manner as the Executive
Director prescribes, one of the options available under
subsection (b).’’; and
(6) in paragraph (7) (as so redesignated by
paragraph (3) of this subsection) by striking
‘‘nonforfeiture’’ and inserting ‘‘nonforfeitable’’.
(b) BENEFITS AND ELECTION OF BENEFITS.—Sec-
tion 8433 of title 5, United States Code, is amended—
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(1) in subsection (b) by striking the matter be-
fore paragraph (1) and inserting the following:
‘‘(b) Subject to section 8435 of this title, any em-
ployee or Member who separates from Government em-
ployment is entitled and may elect—’’;
(2) by striking subsections (c) and (d) and re-
designating subsections (e) through (i) as sub-
sections (c) through (g), respectively;
(3) in subsection (c)(1) (as so redesignated by
paragraph (2) of this subsection) by striking ‘‘or
(c)(4) or required under subsection (d) directly to an
eligible retirement plan or plans (as defined in sec-
tion 402(a)(5)(E) of the Internal Revenue Code of
1954)’’ and inserting ‘‘directly to an eligible retire-
ment plan or plans (as defined in section 402(c)(8)
of the Internal Revenue Code of 1986)’’;
(4) in subsection (d)(2) (as so redesignated by
paragraph (2) of this subsection) by striking ‘‘or
(c)(2)’’; and
(5) in subsection (f) (as so redesignated by
paragraph (2) of this subsection)—
(A) by striking paragraph (1) and redesig-
nating paragraphs (2) and (3) as paragraphs
(1) and (2), respectively; and
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(B) in paragraph (1) (as so redesignated
by subparagraph (A) of this paragraph)—
(i) by striking ‘‘Notwithstanding sub-
sections (b) and (c), if an employee or
Member separates from Government em-
ployment under circumstances making
such employee or Member eligible to make
an election under either of those sub-
sections, and such employee’s or Mem-
ber’s’’ and inserting ‘‘Notwithstanding
subsection (b), if an employee or Member
separates from Government employment,
and such employee’s or Member’s’’; and
(ii) by striking ‘‘or (c), as applicable’’;
and
(C) in paragraph (2) (as so redesignated
by subparagraph (A) of this paragraph) by
striking ‘‘paragraphs (1) and (2)’’ and inserting
‘‘paragraph (1)’’.
(c) ANNUITIES: METHODS OF PAYMENT; ELECTION;
PURCHASE.—Section 8434(c) of title 5, United States
Code, is amended to read as follows:
‘‘(c) Notwithstanding the elimination of a method of
payment by the Board, an employee, Member, former em-
ployee, or former Member may elect the eliminated method
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bankruptcy judge or magistrate retires under
circumstances making such bankruptcy judge or
magistrate eligible to make an election under
subsection (b) or (c)’’ and inserting ‘‘Notwith-
standing paragraph (4), if any bankruptcy
judge or magistrate retires under circumstances
making such bankruptcy judge or magistrate el-
igible to make an election under subsection
(b)’’; and
(B) by striking ‘‘and (c), as applicable’’.
(g) CLAIMS COURT JUDGES.—Section 8440c of title
5, United States Code, is amended—
(1) in subsection (b)(4)(B) by striking ‘‘Section
8433(d)’’ and inserting ‘‘Section 8433(b)’’;
(2) in subsection (b)(5) by striking ‘‘retirement
under section 178 of title 28 is’’ and inserting ‘‘any
of the actions described in paragraph (4) (A) or (B)
shall be considered’’;
(3) in subsection (b) by striking paragraph (8)
and redesignating paragraph (9) as paragraph (8);
and
(4) in paragraph (8) (as so redesignated by
paragraph (3) of this subsection) by striking ‘‘Not-
withstanding paragraph (4)(A)’’ and inserting ‘‘Not-
withstanding paragraph (4)’’.
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(h) JUDGES OF THE UNITED STATES COURT OF
VETERANS APPEALS.—Section 8440d(b)(5) of title 5,
United States Code, is amended by striking ‘‘A transfer
shall be made as provided in section 8433(d) of this title’’
and inserting ‘‘Section 8433(b) of this title applies’’.
(i) TECHNICAL AND CONFORMING AMENDMENTS.—
Title 5, United States Code, is amended—
(1) in section 8351(b)(5)(B) (as so redesig-
nated by subsection (a)(3) of this section) by strik-
ing 
‘‘section 
8433(i)’’ 
and 
inserting 
‘‘section
8433(g)’’;
(2) in section 8351(b)(5)(D) (as so redesig-
nated by subsection (a)(3) of this section) by strik-
ing 
‘‘section 
8433(i)’’ 
and 
inserting 
‘‘section
8433(g)’’;
(3) in section 8433(b)(4) by striking ‘‘sub-
section (e)’’ and inserting ‘‘subsection (c)’’;
(4) in section 8433(d)(1) (as so redesignated by
subsection (b)(2) of this section) by striking ‘‘(d) of
section 8435’’ and inserting ‘‘(c) of section 8435’’;
(5) in section 8433(d)(2) (as so redesignated by
subsection (b)(2) of this section) by striking ‘‘section
8435(d)’’ and inserting ‘‘section 8435(c)’’;
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(6) in section 8433(e) (as so redesignated by
subsection (b)(2) of this section) by striking ‘‘section
8435(d)(2)’’ and inserting ‘‘section 8435(c)(2)’’;
(7) in section 8433(g)(5) (as so redesignated by
subsection (b)(2) of this section) by striking ‘‘section
8435(f)’’ and inserting ‘‘section 8435(e)’’;
(8) in section 8434(b) by striking ‘‘section
8435(c)’’ and inserting ‘‘section 8435(b)’’;
(9) in section 8435(a)(1)(B) by striking ‘‘sub-
section (c)’’ and inserting ‘‘subsection (b)’’;
(10) in section 8435(d)(1)(B) (as so redesig-
nated by subsection (d)(3) of this section) by strik-
ing ‘‘subsection (d)(2)’’ and inserting ‘‘subsection
(c)(2)’’;
(11) in section 8435(d)(3)(A) (as so redesig-
nated by subsection (d)(3) of this section) by strik-
ing ‘‘subsection (c)(1)’’ and inserting ‘‘subsection
(b)(1)’’;
(12) in section 8435(d)(6) (as so redesignated
by subsection (d)(3) of this section) by striking ‘‘or
(c)(2)’’ and inserting ‘‘or (b)(2)’’;
(13) in section 8435(e)(1)(A) (as so redesig-
nated by subsection (d)(3) of this section) by strik-
ing 
‘‘section 
8433(i)’’ 
and 
inserting 
‘‘section
8433(g)’’;
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(14) in section 8435(e)(2) (as so redesignated
by subsection (d)(3) of this section) by striking ‘‘sec-
tion 8433(i) of this title shall not be approved if ap-
proval would have the result described in subsection
(d)(1)’’ and inserting ‘‘section 8433(g) of this title
shall not be approved if approval would have the re-
sult described under subsection (c)(1)’’;
(15) in section 8435(g) (as so redesignated by
subsection (d)(3) of this section) by striking ‘‘section
8433(i)’’ and inserting ‘‘section 8433(g)’’;
(16) in section 8437(c)(5) by striking ‘‘section
8433(i)’’ and inserting ‘‘section 8433(g)’’; and
(17) in section 8440a(b)(6) by striking ‘‘section
8351(b)(7)’’ and inserting ‘‘section 8351(b)(5)’’.
(j) EFFECTIVE DATE.—This section shall take effect
1 year after the date of the enactment of this Act or on
such earlier date as the Executive Director of the Federal
Retirement Thrift Investment Board shall provide in regu-
lation.
SEC. 8. AMENDMENTS TO ALASKA RAILROAD TRANSFER
ACT OF 1982 REGARDING FORMER FEDERAL
EMPLOYEES.
(a) APPLICABILITY OF VOLUNTARY SEPARATION IN-
CENTIVES
TO CERTAIN FORMER FEDERAL EMPLOY-
EES.—Section 607(a) of the Alaska Railroad Transfer Act
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of 1982 (45 U.S.C. 1206(a)) is amended by adding at the
end the following:
‘‘(4)(A) The State-owned railroad shall be in-
cluded in the definition of ‘agency’ for purposes of
section 3 (a), (b), (c), and (e) of the Federal
Workforce Restructuring Act of 1994 and may elect
to participate in the voluntary separation incentive
program established under such Act. Any employee
of the State-owned railroad who meets the qualifica-
tions as described under the first sentence of para-
graph (1) shall be deemed an employee under such
Act.
‘‘(B) An employee who has received a voluntary
separation incentive payment under this paragraph
and accepts employment with the State-owned rail-
road within 5 years after the date of separation on
which payment of the incentive is based shall be re-
quired to repay the entire amount of the incentive
payment unless the head of the State-owned railroad
determines that the individual involved possesses
unique abilities and is the only qualified applicant
available for the position.’’.
(b) LIFE AND HEALTH INSURANCE BENEFITS.—Sec-
tion 607 of the Alaska Railroad Transfer Act of 1982 (45
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U.S.C. 1206) is amended by striking subsection (e) and
inserting the following:
‘‘(e)(1) Any person described under the provisions of
paragraph (2) may elect life insurance coverage under
chapter 87 of title 5, United States Code, and enroll in
a health benefits plan under chapter 89 of title 5, United
States Code, in accordance with the provisions of this sub-
section.
‘‘(2) The provisions of paragraph (1) shall apply to
any person who—
‘‘(A) on the date of the enactment of the Fed-
eral Workforce Restructuring Act of 1994, is an em-
ployee of the State-owned railroad;
‘‘(B) has 20 years or more of service (in the
civil service as a Federal employee or as an employee
of the State-owned railroad, combined) on the date
of retirement from the State-owned railroad; and
‘‘(C)(i) was covered under a life insurance pol-
icy pursuant to chapter 87 of title 5, United States
Code, on January 4, 1985, for the purpose of elect-
ing life insurance coverage under the provisions of
paragraph (1); or
‘‘(ii) was enrolled in a health benefits plan pur-
suant to chapter 89 of title 5, United States Code,
on January 4, 1985, for the purpose of enrolling in
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a health benefits plan under the provisions of para-
graph (1).
‘‘(3) For purposes of this section, any person de-
scribed under the provisions of paragraph (2) shall be
deemed to have been covered under a life insurance policy
under chapter 87 of title 5, United States Code, and to
have been enrolled in a health benefits plan under chapter
89 of title 5, United States Code, during the period begin-
ning on January 5, 1985, through the date of retirement
of any such person.
‘‘(4) The provisions of paragraph (1) shall not apply
to any person described under paragraph (2) until the
date such person retires from the State-owned railroad.’’.
Attest:
Clerk.
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