Federal Employees' Retirement System Technical Corrections Act of 1986
PL 99-556 (H.R.5626), enacted 10/27/1986

PUBLIC LAW 99-556—OCT. 27, 1986 
100 STAT. 3131 
Public Law 99-556 
99th Congress 
•a. 
An Act 
•5.^'.>iitjl0-g'}'i 
To make technical corrections in the Federal Employees Retirement System Act of 
1986, and for other purposes. 
Be it enacted by the Senate and House of Representatives of the 
United States of 
America in Congress assembled, 
SECTION 1. SHORT TITLE. 
This Act may be cited as the "Federal Employees' Retirement 
System Technical Corrections Act of 1986". 
TITLE 
I—PROVISIONS 
RELATING 
TO 
TITLE I OF THE FEDERAL EMPLOYEES' 
RETIREMENT SYSTEM ACT OF 1986 
Oct. 27, 1986 
[H.R. 5626] 
Federal 
Employees' 
Retirement 
System 
Technical 
Corrections 
Act of 1986. 
5 use 8401 note. 
SEC. 101. REFERENCES. 
Except as otherwise expressly provided, whenever in this title an 
amendment is expressed in terms of an amendment to a section or 
other provision, the reference shall be considered to be made to a 
section or other provision of chapter 84 of title 5, United States 
Code, as added by section 101 of the Federal Employees' Retirement 
System Act of 1986 (Public Law 99-335; 100 Stat. 516). 
SEC. 102. 0PM AUDIT AUTHORITY. 
Section 8461(mX2) is amended by striking out ", and from the 
Thrift Savings Fund,". 
SEC. 103. DEPOSIT FOR CERTAIN SERVICE. 
'. . 
. -. ^
^
n .!' 
Section 8411 is amended— 
(1) in subsection Ot>)(2), by inserting "except as provided in 
subsection (f)," before "service"; and 
(2) in subsection (fKD, by inserting "(bX2) or" before "(bX3)". 
SEC. 104. CLARIFICATION RELATING TO THE MINIMUM AMOUNT OF A 
DISABILITY ANNUITY. 
Section 8452(d) is amended by inserting "(after the reduction 
under subsection (aX2), if applicable, has been made)" after "this 
section". 
SEC. 105. ELECTION TO DEFER ANNUITY COMMENCEMENT DATE. 
(a) IN GENERAL.—Subsection (g) of section 8412 is amended— 
(1) by redesignating such subsection as subsection (gXD; and 
(2) by adding at the end thereof the following: 
"(2) An employee or Member entitled to an annuity under this 
subsection may defer the commencement of such annuity by written 
election. The date to which the commencement of the annuity is 
deferred may not precede the 31st day after the date of filing the 
100 STAT. 3132 
PUBLIC LAW 99-556—OCT. 27, 1986 
election, and must precede the date on which the employee or 
Member becomes 62 years of age. 
Regulations. 
"(3) The Office shall prescribe regulations under which an election 
under paragraph (2) shall be made.". 
(b) 
CONFORMING 
AMENDMENTS.—(1) 
Section 
8413(bXl) 
is 
amended— 
(A) in the first sentence, by inserting "but before attaining 
the applicable minimum retirement age under section 8412(h)" 
before "is entitled"; and 
(B) in the second sentence, by striking out "the applicable 
' ' 
minimum retirement age under section 8412(h)" and inserting 
in lieu thereof "such minimum retirement age". 
; 
(2) Subparagraphs (A) and (B) of section 8415(fX2) are amended by 
inserting "8412(g) or" before "8413(b)". 
SEC. 106. AMENDMENT TO SECTION 8452. 
The second sentence of section 8452(bX3) is amended by striking 
out "(aXlXA)," and inserting in lieu thereof "(aXlXAXi),". 
SEC. 107. LUMP-SUM CREDIT. 
Section 8401(19) is amended— 
r, - 
(1) in subparagraph (B), by striking out "and"; 
(2) by redesignating subparagraph (C) as subparagraph (D); 
and 
(3) by inserting after subparagraph (B) the following: 
"(C) amounts deposited by an employee. Member, or 
survivor under section 8411(f); and". 
SEC. 108. CLARIFICATION RELATING TO FIDUCIARIES. 
Section 8478(aXl) is amended by striking out "(other" and all that 
follows thereafter through "member)". 
SEC. 109. DEFINITION OF A "LOSS". 
Section 8401(18) is amended to read as follows: 
"(18) the term 'loss', as used with respect to the Thrift Savings 
Fund, includes the amount of any loss resulting from the invest-
ment of sums in such Fund, or from the breach of any respon-
sibility, duty, or obligation under section 8477.". 
SEC. 110. INVESTIGATIVE AUTHORITY. 
(a) IN GENERAL.—Title 5, United States Code, is amended by 
inserting after section 8478 the following: 
"§ 8478a. Investigative authority 
"Any authority available to the Secretary of Labor under section 
29 use 1134. 
504 of the Employee Retirement Income Security Act of 1974 is 
hereby made available to the Secretary of Labor, and any officer 
designated by the Secretary of Labor, to determine whether any 
person has violated, or is about to violate, any provision of section 
8477 or 8478.". 
(b) CHAPTER ANALYSIS.—The analysis for chapter 84 is amended by 
inserting after the item relating to section 8478 the following: 
"8478a. Investigative authority.". 
PUBLIC LAW 99-556—OCT. 27, 1986 
100 STAT. 3133 
SEC. 111. INTERIM EXEMPTION PROCEDURES. 
(a) IN GENERAL.—Subject to subsection (b), until such time as final 
5 use 8477 note. 
regulations under subparagraph (A) of section 8477(c)(3) of title 5, 
United States Code, become effective, the Secretary of Labor may, in 
accordance with procedures under section 408(a) of the Employee 
Retirement Income Security Act of 1974, grant any exemption 
29 use 1108. 
allowable under such section 8477(c)(3). 
(b) TERMINATION OF INTERIM AUTHORITY.—The authority to grant 
an exemption under section 8477(cX3) of title 5, United States CJode, 
using the procedures under section 408(a) of the Employee Retire-
ment Income Security Act of 1974 shall expire not later than 
December 31,1988. 
SEC. 112. ADOPTION OF ERISA ADMINISTRATIVE EXEMPTIONS. 
Section 8477(cX3) is amended by adding at the end thereof the Federal 
following: 
Register, 
"(E) Notwithstanding subparagraph (D), the Secretary of Labor Publication. 
may determine that an exemption granted for any class of fidu-
ciaries or transactions under section 408(a) of the Employee Retire-
ment Income Security Act of 1974 shall, upon publication of notice 29 use 1108. 
in the Federal Register under this subparagraph, constitute an 
exemption for purposes of the provisions of paragraph (2).". 
SEC. 113. INTERIM BONDING REGULATIONS. 
(a) IN GENERAL.—Subject to subsection O
t
>
)
, until such time as the 5 use 8478 note. 
Secretary of Labor promulgates final regulations under section 8478 
of title 5, United States Code, the Secretary of Labor may, with 
respect to the Thrift Savings Fund, apply the temporary regulations 
under section 412 of the Employee Retirement Income Security Act 
of 1974 that are set forth in section 2550.412-1, and subchapter I of 29 use 1112. 
chapter XXV, of title 29 of the Code of Federal Regulations, as in 
effect on September 23,1986. 
0)) TERMINATION OF INTERIM AUTHORITY.—The authority to apply 
the temporary regulations referred to in subsection (a) with respect 
to the Thrift Savings Fund shall expire not later than December 31, 
1989. 
SEC. 114. ALLOCATION OF FIDUCIARY RESPONSIBILITIES. 
(a) INTERIM PROCEDURES.—(1) Subject to paragraph (2), until such 5 use 8477 note. 
time as final regulations under subparagraph (E) of section 
8477(eXl) of title 5, United States Code, become effective, a fiduciary 
(as defined by section 8477(aX3) of title 5, United States C!ode) may, 
in accordance with procedures established by the Federal Retire-
ment Thrift Investment Board, make any allocation of fiduciary 
responsibilities. 
(2) The authority to make any allocation under section 
8477(eXlXE) using the procedures referred to in paragraph (1), and 
any allocation so made using such procedures, shall expire not later 
than December 31,1988. 
(b) CONFORMING AMENDMENT.—Section 8477(e) dXEXi) is amended 
by striking "Board" and inserting "Secretary of Labor (or the Board 
under section 114 of the Federal Employees' Retirement System 
Technical Corrections Act of 1986)". 
100 STAT. 3134 
PUBLIC LAW 99-556—OCT. 27, 1986 
SEC. 115. SURETY CORPORATIONS. 
'
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Section 8478(c)(2) is amended by striking out "sections 6 through 
13 of title 6" and inserting in lieu thereof "sections 9304 through 
9308 of title 31". 
.,jj , 
SEC. 116. AUTHORITY TO EXCLUDE CERTAIN EMPLOYEES SERVING ON A 
TEMPORARY OR INTERMITTENT BASIS. 
Section 8402(c) is amended by adding at the end thereof the 
following: 
"(5) The Clerk of the House of Representatives and the Secretary 
of the Senate each may exclude from the operation of this chapter a 
Congressional employee— 
"(A) whose employment is temporary or intermittent; and 
"(B) who is paid by such Clerk or Secretary, as the case may 
i." • ' 
be. 
f-; 
"(6) The Director of the Office of Technology Assessment may 
' ' 
exclude from the operation of this chapter an employee under the 
Office of Technology Assessment whose employment is temporary or 
intermittent.". 
SEC. 117. CLARIFICATIONS RELATING TO COMPUTATION OF SURVIVOR'S 
BENEFITS FOR A CHILD. 
(a) AMOUNT REFLECTS C S R S ADJUSTMENTS.—Section 8443(a)(2) is 
amended by inserting "(including any adjustment based on section 
J. 
r 
: 
8340)" after "83". 
(b) AMOUNT DOES NOT REFLECT F E R S ADJUSTMENTS.—Section 
8462(b)(3) is amended by adding at the end thereof the following: 
"Nothing in the preceding sentence shall affect the computation of 
any amount under section 8443(a)(2).". 
" 
SEC. 118. AMENDMENT RELATING TO SECTION 8457. 
* 
Section 8457(a) is amended by striking out "subsection (c)" each 
place it appears and inserting in lieu thereof "subsection (b)". 
SEC. 119. AMENDMENT RELATING TO SECTION 8401(11). 
Section 8401(11) is amended by striking out "any o f each place it 
appears. 
SEC. 120. COMMENCEMENT DATE OF ANNUITY FOR THE WIDOW OR WID-
' 
OWER OF AN EMPLOYEE OR MEMBER WHO DIES ENTITLED TO 
A DEFERRED ANNUITY. 
Section 8442(c)(2)(b)(i)(I) is amended to read as follows: 
"(I) on the day after the date on which the former employee or 
Member would have attained age 62 (or, if applicable, either age 
60 if the former employee or Member completed at least 20 
years of service, or the applicable minimum retirement age 
(under section 8412(h)) if the former employee or Member com-
pleted at least 30 years of service); or". 
SEC. 121. REDUCTIONS BASED ON EARNINGS TO TERMINATE AFTER 
ENTITLEMENT TO ANNUITY SUPPLEMENT ENDS. 
Section 8421a is amended by striking out subsection (c), and 
redesignating subsection (d) as subsection (c). 
PUBLIC LAW 99-556—OCT. 27, 1986 
100 STAT. 3135 
TITLE II—AMENDMENTS RELATING TO 
TITLE II OF THE FEDERAL EMPLOY-
EES' RETIREMENT SYSTEM ACT OF 1986 
SEC. 201. EMPLOYEES OF THE GOVERNMENT OF THE DISTRICT OF 
COLUMBIA. 
Subsection (c) of section 207 of the Federal Employees' Retirement 
System Act of 1986 is amended— 
(1) by redesignating such subsection as subsection (c)(1); and 
5 USC 6301. 
(2) by adding at the end thereof the following: 
"(2) The amendment made by paragraph (1) shall not result in the 5 USC 6301 note, 
coverage, under subchapter I of chapter 63 of title 5, United States 
Code, of any individual (or class of individuals) employed by the 
government of the District of Columbia who would not have been 
covered under such subchapter if such amendment had not been 
made.". 
SEC. 202. AMENDMENT RELATING TO RETIREMENT COUNSELING. 
Section 8350(c)(1) of title 5, United States Code, as added by 
section 205 of the Federal Employees' Retirement System Act of 
1986 (Public Law 99-335; 100 Stat. 592), is amended by striking out 
"(b)(1)" and inserting in lieu thereof "(b)". 
TITLE III—AMENDMENTS RELATING TO 
TITLE III OF THE FEDERAL EMPLOY-
EES' RETIREMENT SYSTEM ACT OF 1986 
SEC. SOL ELECTIONS FOR CERTAIN INDIVIDUALS NOT COVERED AS OF 
DECEMBER 31,1986. 
Section 301(b)(3) of the Federal Employees' Retirement System 5 USC 8331 note. 
Act of 1986 (Public Law 99-335; 100 Stat. 599) is amended to read as 
follows: 
"(3)(A) If, as of December 31, 1986, the individual is not 
subject to subchapter III of chapter 83 of title 5, United States 
Code, such individual may, during the 6-month period described 
in subsection (a)(1)(B)— 
"(i) elect to become subject to chapter 84 of such title; or 
' ! 
"(ii) if such individual has not since made an election 
described in subparagraph (B), elect to become subject to 
subchapter III of chapter 83 of such title under the same 
terms and conditions as apply in the case of an individual 
described in section 8402(b)(2) of such title who is subject to 
such subchapter. 
"(B) Nothing in this paragraph shall be considered to preclude 
/ ; ' ; 
the individual from electing to become subject to subchapter III 
i 
of chapter 83 of such title pursuant to notification under section 
8331(2) of such title— 
"(i) during the period after December 31, 1986, and before 
July 1, 1987; or 
"(ii) after December 31, 1987, if such individual has not 
- since become subject to subchapter III of chapter 83, or 
chapter 84, of such title. 
100 STAT. 3136 
PUBLIC LAW 99-556—OCT. 27, 1986 
"(C) Any individual who becomes subject to subchapter III of 
chapter 83 of such title pursuant to notification under section 
8331(2) of such title after December 31, 1986, shall become 
subject to such subchapter under the same terms and conditions 
as apply in the case of an individual described in section 
84020>X2) of such title who is subject to such subchapter.". 
SEC. 302. INTEREST ON REFUNDS. 
5 u s e 8331 note. 
(a) REFUND B A S E D ON AN ELECTION TO BECOME SUBJECT TO THE 
FEDERAL EMPLOYEES' RETIREMENT SYSTEM.—Subparagraph (A) of 
section 302(cX2) of the Federal Employees' Retirement System Act of 
' 
1986 (Public Law 99-335; 100 Stat. 605) is amended to read as 
follows: 
"(A) shall be payable with interest, computed in accordance 
with paragraphs (2) and (3) of section 8334(e) of title 5, United 
States Code, and regulations prescribed by the Office of Person-
nel Mangigement.". 
5 u s e 8331 note. 
(b) REFUND B A S E D ON AN ELECTION U N D E R SECTION 301(bXlXA) OF 
FERSA.—Section 303(a) of the Federal Employees' Retirement 
System Act of 1986 (Public Law 99-335; 100 Stat. 605) is amended by 
adding at the end thereof the following; 
"A refund under this subsection shall be computed with interest in 
accordance with paragraphs (2) and (3) of section 8334(e) of title 5, 
United States Code, and regulations prescribed by the Office of 
Personnel Management.". 
TITLE IV—FOREIGN SERVICE 
RETIREMENT 
SEC. 4
0
1
. 
REFERENCES. 
Except as otherwise expressly provided, whenever in this title an 
amendment is expressed in terms of an amendment to a section or 
other provision, the reference shall be considered to be made to a 
section or other provision of chapter 8 of the Foreign Service Act of 
1980 (22 U.S.C. 4041 et seq.). 
SEC. 402. ANNUITY OFFSET BY AMOUNT OF SOCIAL SECURITY BENEFITS. 
Subsection (m) of section 806 (22 U.S.C. 4046) is amended to read 
as follows: 
"(m) The retirement, disability, or survivor annuity payable to 
any person based on the service of an individual subject to section 
805(h) beginning with the first day of the month for which such 
person first becomes— 
"(1) eligible for an annuity under this subchapter based on the 
? 
service of such individual, and 
"(2) entitled, or would, upon proper application, be entitled to 
old age, disability, or survivor benefits under title II of the 
42 use 401. 
Social Security Act based on the service of such individual 
under this subchapter, 
shall be computed as if section 8349 of title 5, United States Code, 
were applicable.". 
SEC. 403. INCREASE IN CEILING ON ANNUAL RATE OF PAY FOR RE-
EMPLOYED ANNUITANTS. 
'• Paragraph (3) of section 824(b) (22 U.S.C. 4064(b)) is amended to 
read as follows: 
PUBLIC LAW 99-556—OCT. 27, 1986 
100 STAT. 3137 
"(3)(A) The sum of— 
"(i) the total annuity payable under this chapter to an annu-
itant making an election under paragraph (1), and 
"(ii) the annual rate of pay payable to the annuitant during 
the part-time, intermittent, or temporary employment referred 
to in paragraph (1), 
may not exceed, in any calendar year, the amount described in 
subparagraph (B). 
"(B) The amount referred to in subparagraph (A) is the greater 
of— 
"(i) the highest annual rate of basic pay which is payable 
during such year for full-time employment in the position in 
which the annuitant is employed, or 
"(ii) the basic pay the annuitant was entitled to receive under 
this Act on the date of retirement from the Service. 
"(C) For purposes of this section, the term 'annuity' means the 
annuity earned by the reemployed member based on his or her 
service irrespective of whether or not the amount payable is reduced 
by the amount of an annuity payable under section 814 or 820(b).". 
SEC. 404. THRIFT SAVINGS FUND PARTICIPATION BY FSRDS PARTICI-
PANTS. 
(a) PARTICIPATION BY FSRDS PARTICIPANTS.—Subchapter I of 
chapter 8 is amended by adding after section 828 the following new 
section: 
"SEC. 829. THRIFT SAVINGS FUND PARTICIPATION.—Participants in 22 use 4069. 
this System shall be deemed to be employees for the purposes of 
section 8351 of title 5, United States Code. Any reference in such 
section 8351 or in subchapter III of chapter 84 of such title 5 to 5 USC 8431 et 
retirement or separation under subchapter III of chapter 83 or 
I^S'-op, g„„. 
chapter 84 of such title 5 shall be deemed to be references to 
^^^ 
*
^
^
^
^ ^' 
retirement or separation under subchapter I or II of this chapter 
with similar benefits or entitlements with respect to participants 
under such subchapter I or II, respectively.". 
(b) CONFORMING AMENDMENT TO TABLE OF CONTENTS.—The table 
of contents in section 2 of such Act is amended by inserting after the 
item relating to section 828 the following: 
"Sec. 829. Thrift Savings Fund participation.". 
SEC. 405. CREDITABLE SERVICE. 
(a) TREATMENT OF CONTRIBUTION FOR PRIOR SERVICE.—Subsection 
(d) of section 854 (22 U.S.C. 4071c) is amended by striking out "which 
would have been deducted from pay under section 854(a) had the 
individual been a participant" and inserting in lieu thereof "which 
was deducted and withheld from the individual's basic pay under 
the other retirement system". 
(b) EMPLOYEE OF A MEMBER OR OFFICE OF THE CONGRESS.—Section 
854 (22 U.S.C. 4071c) is amended by adding at the end thereof the 
following new subsection: 
"(e) A participant who, while on approved leave without pay, 
serves as a full-time paid employee of a Member or office of the 
Congress shall continue to make contributions to the Fund based 
upon the Foreign Service salary rate that would be in effect if the 
participant were in a pay status. The participant's employing 
Member or office in the Congress shall make a matching contribu-
seq. 
100 STAT. 3138 
PUBLIC LAW 99-556—OCT. 27, 1986 
tion (from the appropriation or fund which is used for payment of 
the salary of the participant) to the Treasury of the United States to 
the credit of the Fund. AH periods of service for which full contribu-
tions to the Fund are made under this subsection shall be counted as 
creditable service for purposes of this subchapter and shall not, 
unless all retirement credit is transferred, be counted as creditable 
service under any other Government retirement system.". 
SEC. 406. ENTITLEMENT TO ANNUITY. 
(a) SERVICE AS A NONCAREER MEMBER OF THE FOREIGN SERVICE.— 
Paragraph (1) of section 855(b) (22 U.S.C. 4071d) is amended by 
striking out "of service subject to this chapter" and inserting in lieu 
thereof "as a member of the Foreign Service". 
(b) CLARIFICATION OF RATES APPUCABLE TO ANNUITY COMPUTA-
TION.—Paragraph (2) of section 855(b) (22 U.S.C. 4071d(b)) is 
amended by striking out subparagraphs (A), (B), and (C) and insert-
ing in lieu thereof the following: 
"(A) in accordance with section 8415(d)(1) of title 5, 
• «• 
United States Code, fDr all service while a participant in 
, ,,,|v 
this System and for prior service creditable under this 
subchapter not otherwise counted as— 
(i) a member of the Service, 
"(ii) an employee of the Central Intelligence Agency 
entitled to retirement credit under title II of the 
Central Intelligence Agency Retirement Act of 1964 for 
[">'• 
" 
Certain Employees or under section 302(a) or 303(b) of 
50 use 403 note. 
that Act, or 
-" 
"(iii) a participant £is a Member of Congress, a 
congressional employee, law enforcement officer, fire-
fighter, or air traffic controller in the Civil Service 
Retirement System under subchapter III of chapter 83, 
5 use 8331 et 
title 5, United States Code, or in the Federal Employ-
seq. 
ees' Retirement System under chapter 84 of title 5, 
,^ 
United States Code; and 
^".*. ' 
"(B) at the rate stated in section 8415(a) of title 5, United 
States Code, for all other service creditable under this 
System including service in excess of 20 years otherwise 
creditable under paragraph (A).". 
(c) CLARIFICATION OF OTHER ANNUITY COMPUTATIONS RELATING TO 
INVOLUNTARY SEPARATION, DISABIUTY, DEFERRED ANNUITY, AND 
SURVIVOR ANNUITY.—Subsection (b) of section 855 (22 U.S.C. 4071d) 
is amended by adding at the end thereof the following: 
"(3) Any participant who is involuntarily retired or separated 
under section 607, 608, or 610 and who would if a participant under 
subchapter I, become eligible for a refund of contributions or a 
deferred annuity under subchapter I, shall, in lieu thereof, receive 
benefits for an involuntary separation under this subchapter. 
"(4) A disability annuity under this subchapter required to be 
redetermined under section 8452(b) of title 5, United States Code, or 
computed under section 8452 (c) or (d) of such title 5, shall be 
recomputed or computed using the formula in subsection (b)(2XA) of 
this section rather than section 8415 of such title 5 (as stated in 
section 8452(b)(2)(A) and 8452 (c) and (d) of such title). Such annuity 
shall also be computed in accordance with the preceding sentence if, 
as of the day on which such annuity commences or is restored, the 
annuitant satisfies the age and service requirements for entitlement 
to an immediate annuity under section 811 of this Act. 
PUBLIC LAW 99-556—OCT. 27, 1986 
100 STAT. 3139 
"(5) A former participant entitled to a deferred annuity under 
section 8413(b) of title 5, United States Code, shall not be subject to 
section 8415(fKl) of such title 5 if the former participant has 20 years 
of service creditable under this subchapter and is at least 50 years of 
age as of the date on which the annuity is to commence. 
"(6XA) The amount of a survivor annuity for a widow or widower 
of a participant or former participant shall be 50 percent of an 
annuity computed for the deceased under this subchapter rather 
than under section 8415 of such title 5 (as stated in sections 
8442(aXl), (bXlXB), and (cX2) of such title). 
"(B) Any calculation for a widow or widower of a participant or 
former participant under section 8442(fK2XA) shall be based on an 
'assumed FSRDS annuity' rather than an 'assumed CSRS annuity' 
as stated in such section. For the purpose of this subparagraph, the 
term 'assumed FSRDS annuity' means the amount of the survivor 
annuity to which the widow or widower would be entitled under 
subchapter I based on the service of the deceased annuitant deter-
mined under section 8442(fK5) of such title 5.". 
SEC. 407. CLARIFICATION OF DISQUALIFICATION OF FORMER SPOUSES 
FOR SURVIVOR BENEFIT IF REMARRIAGE BEFORE AGE 55. 
Subsection (b) of section 861 (22 U.S.C. 4071j) is amended by 
adding at the end thereof the following: 
"(3) A former spouse shsQl not be qualified for any benefit under 
this subsection if, before the commencement of any benefit, the 
former spouse remarries before becoming 55 years of age.". 
••.•..\>. 
SEC. 408. EFFECTIVE DATE. 
This title and the amendments made by this title shall take effect 
22 use 4046 
on Januaiy 1,1987. The amendment made by section 403 shall apply ^°^-
to any individual in a reemployed status on or after January 1,1987. 
TITLE V—MISCELLANEOUS PROVISIONS 
SEC. 501. TECHNICAL AMENDMEI4TS TO PUBLIC LAW 98-615. 
(a) AMENDMENTS.—(1) Subsections (aX4XB), (aX5XBXiii), and (f) of 5 use 8341 note. 
section 4 of Public Law 98-615 (98 Stat. 3204), as amended by section 
201 of Public Law 99-251 (100 Stat. 20), are amended by striking out 
"Federal Employees Benefits Improvement Act of 1985" and insert-
ing in lieu thereof "Federal Employees Benefits Improvement Act of 
1986". 
(2) Section 4(aX5XA) of Public Law 98-615, as so amended, is 
amended— 
(A) by striking out "Paragraphs (2)," and inserting in lieu 
thereof "Paragraphs"; and 
(B) by adding at the end thereof the following: "The para-
graphs referred to in the preceding sentence f 
hall so apply only 
insofar as they relate to an election to provide a survivor 
annuity for a former spouse.". 
(b) EFFECTIVE DATE.—The amendments made by this section shall 5 use 8341 note. 
be effective as of May 7,1985. 
100 STAT. 3140 
PUBLIC LAW 99-556—OCT. 27, 1986 
SEC. 502. CREDITABILITY OF CERTAIN MILITARY SERVICE IN COMPUTING 
AN ANNUITY FOR THE SURVIVOR OF AN EMPLOYEE OR 
MEMBER WHO DIES IN SERVICE. 
(a) CIVIL SERVICE RETIREMENT SYSTEM.—Section 8332(c) of title 5, 
United States Code, is amended by adding at the end thereof the 
following: 
"(3)(A) Notwithstanding paragraph (2) of this subsection, for pur-
poses of computing a survivor annuity for a survivor of an employee 
or Member— 
"(i) who was awarded retired pay based on any period of 
military service, and 
"(ii) whose death occurs before separation from the service, 
creditable service of the deceased employee or Member shall include 
each period of military service includable under subparagraph (A) or 
(B) of paragraph (1) of this subsection, as applicable. In carrying out 
this subparagraph, any amount deposited under section 8334(h) of 
this title shall be taken into account. 
"(B) A survivor annuity computed based on an amount which, 
under authority of subparagraph (A), takes into consideration any 
period of military service shall be reduced by the amount of any 
survivor's benefits— 
"(i) payable to a survivor (other than a child) under a retire-
ment system for members of the uniformed services; 
"(ii) if, or to the extent that, such benefits are based on such 
period of military service. 
Regulations. 
"(C) The Office of Personnel Management shall prescribe regula-
tions to carry out this paragraph, including regulations under 
which— 
n ! f
-
. 
"(i) a survivor may elect not to be covered by this paragraph; 
^ 
and 
"(ii) this paragraph shall be carried out in any case which 
involves a former spouse.". 
(b) FEDERAL EMPLOYEES' RETIREMENT SYSTEM.—Section 8411(c) of 
title 5, United States Code, is amended by adding at the end thereof 
the following: 
"(4)(A) Notwithstanding paragraph (2), for purposes of computing 
a survivor annuity for a survivor of an employee or Member— 
"*"'•' 
"(i) who was awarded retired pay based on any period of 
military service, and 
"(ii) whose death occurs before separation from the service, 
creditable service of the deceased employee or Member shall include 
each period of military service includable under subparagraph (A) or 
(B) of paragraph (1) or under paragraph (3). In carrying out this 
subparagraph, any amount deposited under subsection (fK4) shall be 
taken into account. 
"(B) A survivor annuity computed based on an amount which, 
under authority of subparagraph (A), takes into consideration any 
period of military service shall be reduced by the amount of any 
survivor's benefits— 
"(i) payable to a survivor (other than a child) under a retire-
ment system for members of the uniformed services; 
^ ? 
"(ii) if, or to the extent that, such benefits are based on such 
period of military service. 
Regulations. 
"(C) The Office of Personnel Management shall prescribe regula-
tions to carry out this paragraph, including regulations under 
which— 
PUBLIC LAW 99-556—OCT. 27, 1986 
100 STAT. 3141 
"(i) a survivor may elect not to be covered by this paragraph; 
and 
"(ii) this paragraph shall be carried out in any case which 
involves a former spouse.", 
(c) APPUCABIUTY.—(1) The amendments made by this section shall 
5 USC 8332 note. 
apply to a survivor of an employee or Member who dies on or after 
the 180th day after the date of the enactment of this Act. 
(2) Upon application to the Office of Personnel Management, such 
amendments shall also apply to a survivor of an employee or 
Member whose date of death precedes such 180th day, except that 
any resulting recomputation shall not be effective for any period 
beginning before the 60th day after the date on which the applica-
tion is received. 
SEC. 503. CLARIFICATION RELATING TO ELIGIBILITY OF CERTAIN SURVI-
VOR ANNUITANTS TO PARTICIPATE IN FEHBP. 
Section 8901(3XB) of title 5, United States Code, is amended by 
inserting after "of an employee" the following: "(including a family 
member entitled to an amount under section 8442(bXlXA), whether 
or not such family member is entitled to an annuity under section 
8442(bXlXB))". 
SEC. 504. MANDATORY SEPARATION PROVISION NOT TO BE APPLIED 
RETROACTIVELY. 
(a) IN GENERAL.—Section 8335(a) of title 5, United States Code, Air traffic 
shall not apply to any air traffic controller appointed before Janu- ^"^^'l^^il^^; ^ 
ary 1,1987. 
^ ^^^ ^^^^ ''°*^' 
(b) DEFINITION.—For purposes of this section, the term "air traffic 
controller" means any individual who— 
(1) is an air traffic controller within the meaning of section 
2109(1) of title 5, United States (Dode, as in effect on January 1, 
1987; but 
(2) is not an air traffic controller within the meaning of 
section 2109(1) of title 5, United States Code, as in effect on 
December 31,1986. 
SEC. 505. COORDINATION WITH PAY PERIODS. 
Under regulations prescribed by the Office of Personnel Manage- 
5 USC 8331 note. 
ment, any reference to a specific date in section 302, 303, 305, or 
702(a) of the Federal Employees' Retirement System Act of 1986 
100 STAT. 3142 
PUBLIC LAW 99-556—OCT. 27, 1986 
(Public Law 99-335; 100 Stat. 514) shall, for purposes of individual 
contributions (including deductions from basic pay), Government 
contributions, and refunds, be deemed to be a reference to the first 
day of the first applicable pay period beginning on or after such 
0 
date, or to the day before such first day, as appropriate. 
Approved October 27, 1986. 
, 
hi'" 
LEGISLATIVE HISTORY—H.R. 5626: 
CONGRESSIONAL RECORD, Vol. 132 (1986): 
Oct. 6, considered and passed House. 
Oct. 8, considered and passed Senate.