An Act amend the Federal Employees Health Benefits Act of 1959) to remove certain inequities in the application of such Act, to improve the administration thereof, and for other purposes
PL 88-284 (S.1561), enacted 03/17/1964

164 
PUBLIC LAW 88-283-MAR. 13, 1964 
[78 STAT. 
March 13, 1964 
[H. R. 8507] 
Air Force. 
Medical and 
dental officers. 
Relief. 
Public Law 88-283 
AN ACT 
For the relief of certain nieflical and dental officers of the Air Force. 
Be it enacted hy the Senate and Houi^e of Refre-sentaf'tves of the 
United States of Amenen in Congress aHHemhled^ That any medical or 
dental officer, or former medical or dental officer, of the Air Force who 
was credited with an erroneous amount of service for pay pur])oses 
because of paragraph 5 of Personnel Orders Numbered 198, the Na-
tional Guard Bureau, is relieved of all liability to the United States 
for amounts received by him as a result of such erroneous credit. 
SEC. 2. In the audit and settlement of the accounts of any certifying 
or disbursing officer of the United States, credit shall be given for 
amounts for w^hich liability is relieved by this Act. 
SEC. 3. The Secretary of the Treasury is hereby authorized and di-
rected to pay, out of any money in the Treasury not otherwise appro-
priated, to each of the officers covered by section 1 of this Act an 
amount equal to the aggregate of the amounts paid by him, or with-
held from sums otherwise due him, in complete or partial satisfaction 
of the liability to the United States described in section 1 of this Act. 
SEC. 4. No part of the amount appropriated in this Act shall be paid 
or delivered to or received by any agent or attorney on account of serv-
ices rendered in connection with this claim, and the same shall be un-
lawful, any contract to the contrary notwithstanding. 
Any person 
violating the provisions of this Act shall be deemed guilty of a misde-
meanor and upon conviction thereof shall be fined in any sum not ex-
ceeding $1,000. 
Approved March 13, 1964. 
Public Law 88-284 
March 17, 1964 
[S. 1561] 
Federal Employ-
ees Health Bene-
fits Act of 1959, 
amendment. 
73 Stat. 708. 
Repeal. 
AN A C T 
To amend the Federal Employees Health Benefits Act of ll^oS) to remove certain 
inequities in the application of such Act, to improve the administration thereof, 
and for other purposes. 
Be it enacted hy the Senate and House of Reprefientatives 
of the 
United States of America in Congress assembled^ That the Federal 
Employees Health Benefits Act of 1959 (5 U.S.C. 3001-3014) is hereby 
amended as follows: 
(1) Section 2(c) (3) (5 U.S.C. 3001(c) (3)) is amended by striking 
out "as a result of injury sustained or illness contracted on or after 
such date of enactment". 
(2) Section 2(c) (4)_ (5 U.S.C. 3001(c) (4)) is amended by striking 
out "on account of injury sustained or illness contracted on or after 
such date of enactment". 
(3) Section 2(d) (5 U.S.C. 3001(d)) is amended—_ 
(A) by inserting ", foster child," immediately following "step-
child"; and 
(B) by striking out "nineteen" wherever occurring therein and 
inserting in lieu thereof "twenty-one". 
(4) Section 2(e) (5 U.S.C. 3001(e)) is repealed. 
(5) Section 3(b) (1) (5 U.S.C. 3002(b) (1)) is amended— 
(A) by striking out "whichever is shorter, or"; and 
(B) by inserting in lieu thereof "or (C) the full period or 
periods of service beginning with the enrollment which became 
eifective not later than December 31, 1964, and ending with the 
date on which he becomes an annuitant, w^hichever is shortest, or". 
78 STAT.] 
PUBLIC LAW 88-284-MAR. 17, 1964 
165 
(6) Section 3 (5 IT.S.(\ 8002) is amended by adding at the end 
tliereof tlie following new subsection : 
"(^) Any annuitant (including an individual receiving monthly 
compensation as a result of injury sustained prior to the eltective date 
specified in section 16 and who would be an annuitant if the injury or 
illness had been sustained or contracted on or after that date) who at 
the time he became an annuitant shall have been enrolled in a health 
benetits plan under this Act and who at the time he became an 
annuitant was ineligible to continue his enrollment may, upon his 
application before December 31,1964, and under such other conditions 
of eligibility as the Commission may by regulation prescribe, prospec-
tively enroll in an approved health benefits plan described in section 4. 
either as an individual or for self and family.'' 
(7) Section 6(d) (5 U.S.Cl 3005(d)) is amended by adding at 
the end thereof the following new sentence: "The (Commission may 
terminate the contract of any carrier effective at the end of a contract 
term, if the Commission finds that at no time during the preceding 
two contract terms did the carrier have three hundred or more 
employees and annuitants (exclusive of family members) enrolled for 
its plan." 
(8) Section 6(f) (5 U.S.C. 3005(f)) is amended by striking out 
"', on such terms or conditions as are prescribed by the carrier and 
approved by the Commission". 
(9) Section 6(g) (5 U.S.C. 3005(g)) is amended by striking out 
'\ at the option of the employee or annuitant,". 
(10) Section 7(a)(1) (5 U.S.C. 3006(a) (1)) is amended— 
(A) by striking out the comma at the end of clause (A) thereof 
and inserting "and" in lieu of such comma; and 
(B) by striking out "(other than as provided hi clause (C) of 
this paragra])li), and (C) not less than $1.75 or more than $2.50 
biweekly for a female employee or annuitant enrolled for self and 
family including a nondependent husband". 
(11) Section 7(a) (2) (5 U.S.C. 3006(a) (2)) is amended to read as 
follows: 
"(2) For an employee or annuitant enrolled in a plan described 
under section 4 (3) or (4) for which the biweekly subscription charge 
is less than twice the Government contribution established under para-
graph (1) of this subsection, the Government contribution shall be 
50 per centum of the subscription charge." 
(12) Section 8(b) (5 U.S.C. 3007(b)) is amended by inserting 
immediately after the first sentence thereof the following new sen-
tences : "The Commission, from time to time and in such amounts as it 
considers appropriate, may transfer unused funds for administrative 
expenses to the contingency reserves of the plans then under contract 
with the Commission. 
When funds are so transferred, each con-
tingency reserve shall be credited in proportion to the total amount 
of the subscription charges paid and accrued to the plan for the 
contract term immediately preceding the contract term in which the 
transfer is made." 
(13) Section 8 ( 5 U.S.C. 3007) is amended by adding at the end 
thereof the following new subsection: 
"(d)(1) Whenever the assets, liabilities, and membership of 
employee organizations sponsoring or underwriting plans approved 
under section 4(3) have been or are hereafter merged, the assets 
(including contingency reserves) and liabilities of the plans spon-
sored or underwritten by the merged organizations shall, at the begin-
ning of the contract term next following the date of the merger or 
enactment of this subsection, be transferred to the plan sponsored 
or underwritten by the successor organization. 
Each employee or 
Enrollment eli-
gibility. 
5 u s e 3001 
note. 
5 u s e 3003. 
eontract termi-
nations, conditions. 
73 Stat. 713. 
Government con-
tributions. 
5 u s e 3003. 
eontingency 
reserve. 
Reserve funds, 
transfer. 
166 
PUBLIC LAW 88-285-MAR. 17, 1964 
[78 STAT. 
Reinstatement. 
Effective date. 
{innuitant hereafter affected by a mer|2:er shall also be transferred to 
the plan sponsored or underwritten by the successor organization 
unless he enrolls in another plan under this Act. 
"(2) P^xcept as provided in paragraph (1) of this subsection, when-
ever a plan described under section 4(3) or 4(4) is or has been discon-
tinued under this Act, the contingency reserve of that plan shall be 
credited to the contingency reserves of the plans continuing under this 
Act for the contract term following that in which termination occurs, 
each reserve to be credited in proportion to the amount of the subscrip-
tion charges paid and accrued to the plan for the year of termination." 
(14) Section 10(c) (5 U.S.C. 3009(c)) is amended to read as 
follows: 
"(c) Any employee enrolled in a plan under this Act who is removed 
or suspended without pay and later reinstated or restored to duty 
on the ground that such removal or suspension was unjustified 
or unwarranted may, at his option, enroll as a new employee or have 
his coverage restored, M'ith appropriate adjustments made in contribu-
tions and claims, to the same extent and effect as though such removal 
or suspension had not taken place." 
SEC. 2. Paragraphs (4), (10), and (11) of the first section of this Act 
shall become effective on the first day of the first pay period which 
begins at least ninety days after the date of enactment of this Act. 
Approved March 17, 1964. 
March 17, 1964 
[S. 2455] 
Public Law 88-285 
AN A C T 
To ameiul further the Peace Corps Act {7~> Stat. (>12), as amended. 
Peace Corps. 
Appropriation, 
1965. 
77 Stat. 359. 
22 u s e 2502. 
Be it erufcted hy the Senate (ind HoiOfe of Rei)re,sent<ittre>^ of the 
United States of Arne/nea m Cortgrex-s a-s-se/iibted^ That section 3(b) 
of the Peace Corps Act, as amended, which authorizes appropriations 
to carry out the purposes of that Act, is amended by striking out 
"1964" and "$102,000,000" and substituting "1965" and "$115,000,000", 
respectively. 
Approved March 17, 1964. 
Public Law 88-286 
AN ACT 
March 18, 1964 
[H. R. 10051] 
rpQ amend Public Law 86-272, as amended, with respect to tlie reporting date. 
Interstate com-
merce. 
Taxation 
studies. 
Reporting date, 
extension. 
15 u s e 381 note. 
Be it enacted l>y the Senate and House of Bepreisentatives of the 
United States of Amerha in Congress assembled, That section 202 of 
Public Law 86-272 (73 Stat. 556), as amended, is amended to read 
as follows: 
"SEC. 202. The committees shall report to their respective Houses 
the results of such studies, together wnth their proposjils for legisla-
tion, on or before June 30, 1965." 
Approved March 18, 1964.