(Sec. 102) Provides for an exclusion from an employee's gross income of payroll deduction contributions to individual retirement accounts (IRAs).
(Sec. 103) Provides for a nonrefundable tax credit for contributions to individual retirement plans.
(Sec. 104) Allows the use, without penalty, of distributions from certain plans during periods of unemployment.
Subtitle B: Secure Money Annuity or Retirement (SMART) Trusts - Establishes a defined benefit plan option for small businesses, to be known as secure money annuity or retirement (SMART) trusts.
Subtitle C: Improved Fairness in Retirement Plan Benefits - Amends the IRC to require a specified minimum employer contribution to simple retirement accounts. Provides for an employer option to suspend contributions with 30-days' notice. Amends the Employee Retirement Income Security Act of 1974 (ERISA) with respect to fiduciary duties in the case of such accounts.
(Sec. 122) Amends the IRC to set forth various nondiscrimination rules for qualified cash or deferred arrangements and matching contributions.
(Sec. 123) Increases from $75,000 to $80,000 per year specified compensation criteria for a highly compensated employee. Excludes specified categories of employees with respect to age, short length of service, and part-time service from the meaning of highly compensated employee.
(Sec. 124) Includes multiemployer plans, as well as governmental plans, under specified provisions of IRC for: (1) special limitation rules relating to compensation limits; and (2) exemptions for survivor and disability benefits.
(Sec. 125) Declares that compensation deferred under a mirror plan shall not be taken into account in applying certain limits (with respect to deferred compensation plans of State and local governments and tax-exempt organizations) to compensation deferred under any other deferred compensation plan.
(Sec. 126) Amends specified Federal law relating to Federal employees to allow immediate participation in the Thrift Savings Plan for Federal employees by eliminating certain waiting periods.
(Sec. 127) Amends IRC and ERISA to set a full funding limitation for multiemployer plans.
(Sec. 128) Eliminates IRC partial termination rules for multiemployer plans.
(Sec. 129) Replaces the 150 percent of current liability factor in the calculation of the full-funding limit with an incremental scale from 155 percent in 1998 to 170 percent in 2001, followed by zero in 2002 and succeeding years.
Title II: Security - Subtitle A: General Provisions - Amends ERISA to revise requirements for periodic pension benefits statements.
(Sec. 202) Applies an ERISA requirement for annual, detailed investment reports to certain IRC section 401(k) plans.
(Sec. 203) Directs the Secretary of Labor, in prescribing regulations for required information in such reports, to consider including specified types of information.
(Sec. 204) Directs the Secretary to study and report to the Congress on: (1) the extent to which pension plans invest in collectibles; and (2) whether such investments present a risk to the pension security of the participants and beneficiaries of such plans.
(Sec. 205) Amends IRC to prohibit qualified employer plans from making loans through credit cards and other intermediaries.
(Sec. 206) Increases the amounts of multiemployer plan benefits guaranteed under ERISA.
(Sec. 207) Increases the maximum amount of the civil penalty which may be assessed administratively for certain prohibited transactions.
(Sec. 208) Amends ERISA with respect to substantial owner benefits to revise the phase-in of guarantee and the allocation of assets.
(Sec. 209) Directs the Secretary to report annually to the President and the Congress on plans from which residual assets were distributed to employers (reversion report).
Subtitle B: ERISA Enforcement - Amends ERISA enforcement provisions to change from mandatory to discretionary the Secretary's authority to impose certain civil penalties for breach of fiduciary responsibilities.
(Sec. 212) Revises reporting and enforcement requirements for employee benefit plans. Requires plan administrators and accountants to notify the Secretary: (1) of specified irregularities; and (2) upon termination of the accountant. Authorizes the Secretary to impose civil penalties for failure to make such notifications.
(Sec. 213) Sets forth additional ERISA requirements for qualified public accountants.
(Sec. 214) Directs the Inspector General of the Department of Labor to study, and report to Congress and the Secretary on, the need for regulatory standards and procedures to authorize the Secretary, in appropriate cases, to prohibit persons from serving as qualified accountants for purposes of specified annual reports.
Subtitle C: Increase in Excise Tax on Employer Reversions - Amends the IRC to increase the excise tax on reversions of qualified employee benefit plan assets to employers.
Title III: Portability - Amends ERISA and the IRC to provide for faster vesting of employer matching contributions.
(Sec. 302) Revises certain restrictions on distributions from IRC section 401(k) plans.
(Sec. 303) Amends ERISA and the IRC with respect to an accrued benefit not to be decreased by plan amendment to revise the treatment of transfers between defined contribution plans.
(Sec. 304) Amends ERISA rules requiring transfer of benefits of missing participants to direct the Pension Benefit Guaranty Corporation (PBGC) to prescribe similar rules for multiemployer plans that terminate. Requires transfer of missing participants' plan benefits to the PBGC by certain plans not otherwise subject to ERISA enforcement provisions.
(Sec. 305) Allows rollovers from and to the IRC section 403(b) plans (annuities purchased for employees by a tax-exempt organization or public school).
(Sec. 306) Amends the IRC to set forth requirements relating to rollover contributions from deferred compensation plans of State and local governments.
(Sec. 307) Extends the IRC 60-day rollover period in the case of presidentially declared disasters and service in combat zones.
(Sec. 308) Excludes from gross income, for certain IRC purposes, amounts involved in a direct trustee-to-trustee transfer to a defined benefit governmental plan, if such transfer is for: (1) purchase of service credit under such plan; or (2) a specified type of repayment.
Title IV: Comprehensive Women's Pension Protection - Subtitle A: Pension Reform - Amends the IRC and ERISA to provide for the spouse's right to know specified distribution information relating to survivor annuities. Provides for the employee's right to know of the opportunity for elective contributions under IRC section 401(k) plans.
(Sec. 402) Directs the Secretary of Labor to contract with an independent organization to create a women's pension toll-free phone number and contact. Authorizes appropriations.
(Sec. 403) Amends the Social Security Act to modify the government pension offset with respect to certain insurance benefits for wives, husbands, widows, widowers, and mothers and fathers.
(Sec. 404) Amends the IRC and ERISA to treat periods of family and medical leave, under the Family and Medical Leave Act of 1993, as hours of service for purposes of pension participation and vesting.
(Sec. 405) Amends the IRC to: (1) disallow integration for simplified employee pensions; and (2) provide for eventual repeal of certain pension integration rules.
(Sec. 406) Amends the IRC and ERISA with respect to division of pension benefits upon divorce, at the former spouse's election, to deem any State divorce decree to be a domestic relations order specifying that half of the marital share of the participant's accrued benefit is to be provided to such former spouse.
(Sec. 407) Amends the Railroad Retirement Act of 1974 (RRA) to entitle divorced spouses to railroad retirement annuities independent of the employee's actual entitlement.
Subtitle B: Protection of Rights of Former Spouses to Pension Benefits Under Certain Government and Government-Sponsored Retirement Programs - Amends RRA to extend Tier II railroad retirement benefits to surviving former spouses pursuant to divorce agreements.
(Sec. 412) Amends Federal civil service law with respect to survivor annuities for widows, widowers, and former spouses of Federal employees who die before attaining the age for deferred annuity under the Civil Service Retirement System (CSRS).
(Sec. 413) Amends Federal civil service law with respect to payment of lump-sum benefits to former spouses of Federal employees under CSRS and the Federal Employees' Retirement System (FERS).
Subtitle C: Modifications of Joint and Survivor Annuity Requirements - Modifies ERISA and IRC requirements for joint and survivor annuities to provide for an alternative joint and two-thirds survivor annuity payable while both the participant and the spouse are alive.
(Sec. 422) Requires spousal consent for distributions from the IRC section 401(k) plans.
Title V: Date for Adoption of Plan Amendments - Sets forth dates for adoption of plan amendments.
[Congressional Bills 106th Congress]
[From the U.S. Government Publishing Office]
[H.R. 1590 Introduced in House (IH)]
106th CONGRESS
1st Session
H. R. 1590
To provide retirement security for all Americans.
_______________________________________________________________________
IN THE HOUSE OF REPRESENTATIVES
April 28, 1999
Mr. Gejdenson (for himself, Mr. Gephardt, Mr. Bonior, Mr. Rangel, Mr.
Clay, Mr. Andrews, Mr. Neal of Massachusetts, Mr. Pomeroy, Mr. Frost,
Mr. Menendez, Ms. DeLauro, Mr. Kennedy of Rhode Island, Mr. Nadler, Mr.
Crowley, Mr. Brady of Pennsylvania, Ms. Norton, Mrs. Capps, Mr. Brown
of Ohio, Mr. Green of Texas, Mr. Vento, Mr. Baldacci, Mr. Filner, Mr.
McGovern, Ms. Pelosi, Mr. Dixon, Mr. DeFazio, Mr. Underwood, Mr.
Pallone, Mr. Shows, Mr. Oberstar, Mrs. Mink of Hawaii, Mr.
Faleomavaega, Ms. Schakowsky, Mr. Kildee, Mr. Olver, Mr. Strickland,
Ms. Lofgren, Mr. George Miller of California, Mr. Kleczka, Mr.
Jefferson, Mr. LaFalce, Mr. Sandlin, Mr. Ford, Mr. Lewis of Georgia,
Mr. Inslee, Mr. Hilliard, Mr. McNulty, Ms. Kilpatrick, Mr. Frank of
Massachusetts, Ms. Kaptur, Mr. Weiner, Mr. Moore, Mr. Price of North
Carolina, Mr. Hinchey, Mr. Delahunt, Ms. Berkley, Mrs. Meek of Florida,
Mr. Wynn, Mr. Rahall, Mr. Boucher, Mr. Cummings, Mr. Gutierrez, Mr.
Doyle, Mr. Kucinich, Mr. Moakley, Mr. Wise, Mr. Clyburn, Mr. Ackerman,
Ms. Brown of Florida, Ms. Lee, Mrs. Maloney of New York, Mr. Berman,
Ms. Stabenow, Mr. Tierney, Mr. Maloney of Connecticut, Mr. Waxman, Ms.
Millender-McDonald, Ms. Eddie Bernice Johnson of Texas, Mr. Lampson,
Mr. Martinez, Mr. Gonzalez, Mr. Wexler, Ms. Jackson-Lee of Texas, Mr.
Dingell, Mrs. Lowey, Mr. Capuano, Mr. Allen, Mr. Stark, Ms. Woolsey,
Mr. Evans, Mrs. Thurman, Mr. Markey, Mr. Sabo, Ms. Waters, Mr. Hastings
of Florida, Mr. Blagojevich, Mr. Engel, Ms. Roybal-Allard, and Mrs.
Napolitano) introduced the following bill; which was referred to the
Committee on Ways and Means, and in addition to the Committees on
Education and the Workforce, Government Reform, and Transportation and
Infrastructure, 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 provide retirement security for all Americans.
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 ``Retirement Security Act of 1999''.
SEC. 2. TABLE OF CONTENTS.
The table of contents for this Act is as follows:
Sec. 1. Short title.
Sec. 2. Table of contents.
TITLE I--PENSION ACCESS AND COVERAGE
Sec. 100. Amendment of 1986 Code.
Subtitle A--Improved Access to Individual Retirement Savings
Sec. 101. Credit for pension plan startup costs of small employers.
Sec. 102. Exclusion for payroll deduction contributions to IRAs.
Sec. 103. Nonrefundable tax credit for contributions to individual
retirement plans.
Sec. 104. Distributions from certain plans may be used without penalty
during periods of unemployment.
Subtitle B--Secure Money Annuity or Retirement (SMART) Trusts
Sec. 111. Secure money annuity or retirement (SMART) trusts.
Subtitle C--Improved Fairness in Retirement Plan Benefits
Sec. 121. Amendments to SIMPLE retirement accounts.
Sec. 122. Nondiscrimination rules for qualified cash or deferred
arrangements and matching contributions.
Sec. 123. Definition of highly compensated employees.
Sec. 124. Treatment of multiemployer plans under section 415.
Sec. 125. Exemption of mirror plans from section 457 limits.
Sec. 126. Immediate participation in the thrift savings plan for
Federal employees.
Sec. 127. Full funding limitation for multiemployer plans.
Sec. 128. Elimination of partial termination rules for multiemployer
plans.
Sec. 129. Repeal of 150 percent of current liability funding limit.
TITLE II--SECURITY
Sec. 200. Amendment of ERISA.
Subtitle A--General Provisions
Sec. 201. Periodic pension benefits statements.
Sec. 202. Requirement of annual, detailed investment reports applied to
certain 401(k) plans.
Sec. 203. Information required to be provided to investment managers of
401(k) plans.
Sec. 204. Study on investments in collectibles.
Sec. 205. Qualified employer plans prohibited from making loans through
credit cards and other intermediaries.
Sec. 206. Multiemployer plan benefits guaranteed.
Sec. 207. Prohibited transactions.
Sec. 208. Substantial owner benefits.
Sec. 209. Reversion report.
Subtitle B--ERISA Enforcement
Sec. 211. Civil penalties for breach of fiduciary responsibilities made
discretionary, etc.
Sec. 212. Reporting and enforcement requirements for employee benefit
plans.
Sec. 213. Additional requirements for qualified public accountants.
Sec. 214. Inspector General study.
Subtitle C--Increase in Excise Tax on Employer Reversions
Sec. 221. Increase in excise tax.
TITLE III--PORTABILITY
Sec. 301. Faster vesting of employer matching contributions.
Sec. 302. Rationalization of the restrictions on distributions from
401(k) plans.
Sec. 303. Treatment of transfers between defined contribution plans.
Sec. 304. Missing participants.
Sec. 305. Allowance of rollovers from and to 403(b) plans.
Sec. 306. Rollover contributions from deferred compensation plans of
State and local governments.
Sec. 307. Extension of 60-day rollover period in the case of
Presidentially declared disasters and
service in combat zone.
Sec. 308. Purchase of service credit in governmental defined benefit
plans.
TITLE IV--COMPREHENSIVE WOMEN'S PENSION PROTECTION
Subtitle A--Pension Reform
Sec. 401. Pension right to know proposals.
Sec. 402. Women's pension toll-free phone number.
Sec. 403. Modification of government pension offset.
Sec. 404. Family leave provisions.
Sec. 405. Pension integration rules.
Sec. 406. Division of pension benefits upon divorce.
Sec. 407. Entitlement of divorced spouses to railroad retirement
annuities independent of actual entitlement
of employee.
Sec. 408. Effective dates.
Subtitle B--Protection of Rights of Former Spouses to Pension Benefits
Under Certain Government and Government-Sponsored Retirement Programs
Sec. 411. Extension of tier II railroad retirement benefits to
surviving former spouses pursuant to
divorce agreements.
Sec. 412. Survivor annuities for widows, widowers, and former spouses
of Federal employees who die before
attaining age for deferred annuity under
civil service retirement system.
Sec. 413. Payment of lump-sum benefits to former spouses of Federal
employees.
Subtitle C--Modifications of Joint and Survivor Annuity Requirements
Sec. 421. Modifications of joint and survivor annuity requirements.
Sec. 422. Spousal consent required for distributions from defined
contribution plans.
TITLE V--DATE FOR ADOPTION OF PLAN AMENDMENTS
Sec. 501. Date for adoption of plan amendments.
TITLE I--PENSION ACCESS AND COVERAGE
SEC. 100. AMENDMENT OF 1986 CODE.
Except as otherwise expressly provided, whenever in this title an
amendment or repeal is expressed in terms of an amendment to, or repeal
of, a section or other provision, the reference shall be considered to
be made to a section or other provision of the Internal Revenue Code of
1986.
Subtitle A--Improved Access to Individual Retirement Savings
SEC. 101. CREDIT FOR PENSION PLAN STARTUP COSTS OF SMALL EMPLOYERS.
(a) In General.--Subpart D of part IV of subchapter A of chapter 1
(relating to business related credits) is amended by adding at the end
the following new section:
``SEC. 45D. SMALL EMPLOYER PENSION PLAN STARTUP COSTS.
``(a) General Rule.--For purposes of section 38, in the case of an
eligible employer, the small employer pension plan startup cost credit
determined under this section for any taxable year is an amount equal
to 50 percent of the qualified startup costs paid or incurred by the
taxpayer during the taxable year.
``(b) Dollar Limitation.--The amount of the credit determined under
this section for any taxable year shall not exceed--
``(1) $1,000 for the first credit year,
``(2) $500 for each of the 2 taxable years immediately
following the first credit year, and
``(3) zero for any other taxable year.
``(c) Eligible Employer.--For purposes of this section--
``(1) In general.--The term `eligible employer' has the
meaning given such term by section 408(p)(2)(C)(i).
``(2) Employers maintaining qualified plans during 1997 not
eligible.--Such term shall not include an employer if such
employer (or any predecessor employer) maintained a qualified
plan (as defined in section 408(p)(2)(D)(ii)) with respect to
which contributions were made, or benefits were accrued, for
service in 1997. If only individuals other than employees
described in subparagraph (A) or (B) of section 410(b)(3) are
eligible to participate in the qualified employer plan referred
to in subsection (d)(1), then the preceding sentence shall be
applied without regard to any qualified plan in which only
employees so described are eligible to participate.
``(d) Other Definitions.--For purposes of this section--
``(1) Qualified startup costs.--
``(A) In general.--The term `qualified startup
costs' means any ordinary and necessary expenses of an
eligible employer which are paid or incurred in
connection with--
``(i) the establishment or administration
of an eligible employer plan, or
``(ii) the retirement-related education of
employees with respect to such plan.
``(B) Plan must have at least 2 participants.--Such
term shall not include any expense in connection with a
plan that does not have at least 2 individuals who are
eligible to participate.
``(C) Plan must be established before january 1,
2002.--Such term shall not include any expense in
connection with a plan established after December 31,
2001.
``(2) Eligible employer plan.--The term `eligible employer
plan' means a qualified employer plan within the meaning of
section 4972(d), or a qualified payroll deduction arrangement
within the meaning of section 408(q)(1) (whether or not an
election is made under section 408(q)(2)). A qualified payroll
deduction arrangement shall be treated as an eligible employer
plan only if all employees of the employer who--
``(A) have been employed for 90 days, and
``(B) are not described in subparagraph (A) or (C)
of section 410(b)(3),
are eligible to make the election under section 408(q)(1)(A).
``(3) First credit year.--The term `first credit year'
means--
``(A) the taxable year which includes the date that
the eligible employer plan to which such costs relate
becomes effective, or
``(B) at the election of the eligible employer, the
taxable year preceding the taxable year referred to in
subparagraph (A).
``(e) Special Rules.--For purposes of this section--
``(1) Aggregation rules.--All persons treated as a single
employer under subsection (a) or (b) of section 52, or
subsection (n) or (o) of section 414, shall be treated as one
person. All eligible employer plans shall be treated as 1
eligible employer plan.
``(2) Disallowance of deduction.--No deduction shall be
allowed for that portion of the qualified startup costs paid or
incurred for the taxable year which is equal to the credit
determined under subsection (a).
``(3) Election not to claim credit.--This section shall not
apply to a taxpayer for any taxable year if such taxpayer
elects to have this section not apply for such taxable year.''
(b) Credit Allowed as Part of General Business Credit.--Section
38(b) (defining current year business credit) is amended by striking
``plus'' at the end of paragraph (11), by striking the period at the
end of paragraph (12) and inserting ``, plus'', and by adding at the
end the following new paragraph:
``(13) in the case of an eligible employer (as defined in
section 45D(c)), the small employer pension plan startup cost
credit determined under section 45D(a).''
(c) Conforming Amendments.--
(1) Section 39(d) is amended by adding at the end the
following new paragraph:
``(8) No carryback of small employer pension plan startup
cost credit before effective date.--No portion of the unused
business credit for any taxable year which is attributable to
the small employer pension plan startup cost credit determined
under section 45D may be carried back to a taxable year ending
on or before the date of the enactment of section 45D.''
(2) Subsection (c) of section 196 is amended by striking
``and'' at the end of paragraph (7), by striking the period at
the end of paragraph (8) and inserting ``, and'', and by adding
at the end the following new paragraph:
``(9) the small employer pension plan startup cost credit
determined under section 45D(a).''
(3) The table of sections for subpart D of part IV of
subchapter A of chapter 1 is amended by adding at the end the
following new item:
``Sec. 45D. Small employer pension plan
startup costs.''
(d) Effective Date.--The amendments made by this section shall
apply to costs paid or incurred in taxable years ending after the date
of the enactment of this Act.
SEC. 102. EXCLUSION FOR PAYROLL DEDUCTION CONTRIBUTIONS TO IRAS.
(a) In General.--Section 408 (relating to individual retirement
accounts) is amended by redesignating subsection (q) as subsection (r)
and by inserting after subsection (p) the following new subsection:
``(q) Qualified Payroll Deduction Arrangement for IRA
Contributions.--
``(1) In general.--For purposes of this title, the term
`qualified payroll deduction arrangement' means a written
arrangement of an employer under which--
``(A) an employee eligible to participate in the
arrangement may elect to have the employer make
payments--
``(i) to the employee directly in cash, or
``(ii) as elective employer contributions
to an individual retirement plan (as defined in
section 7701(a)(37)), other than an individual
retirement plan described in section 408(k),
408(p), or 408A(b), on behalf of the employee
for the taxable year in which the payments
otherwise would have been made to the employee
directly in cash,
``(B) the amount which the employee may elect under
subparagraph (A) for any year may not exceed a total of
$2,000,
``(C) no other contributions may be made other than
contributions described in subparagraph (A),
``(D) the employee's rights to any contributions
made to an individual retirement plan are
nonforfeitable (for this purpose, rules similar to the
rules of subsection (k)(4) shall apply), and
``(E) the employer makes the elective employer
contributions under subparagraph (A) not later than the
close of the 30-day period following the last day of
the month with respect to which the contributions are
to be made.
``(2) Election not to have subsection apply.--An employer
that maintains an arrangement otherwise described in paragraph
(1) may elect to have contributions treated as though they were
not made under such an arrangement. If an employer does not
make an election described in the preceding sentence, an
employee may elect, before any contributions are made for the
calendar year, to have contributions on behalf of the employee
treated as though they were not made under an arrangement
described in paragraph (1). An employer shall be deemed to have
made an election under this paragraph for a year if the
employer maintained a qualified plan with respect to which
contributions were made or benefits were accrued for such year.
For purposes of the preceding sentence, the term `qualified
plan' means a plan, contract, pension, or trust described in
subparagraph (A) or (B) of section 219(g)(5).''.
(b) Tax Treatment of Employer Contributions Made Under a Qualified
Payroll Deduction Arrangement.--
(1) Coordination with deduction under section 219.--
(A) Section 219(b) (relating to maximum amount of
deduction) is amended by adding at the end the
following new paragraph:
``(5) Special rule for contributions under a qualified
payroll deduction arrangement.--This section shall not apply
with respect to any amount contributed under a qualified
payroll deduction arrangement described in section 408(q)(1)
(for which an election has not been made under section
408(q)(2)).''.
(B) Section 219(g)(1) (relating to the limitation
on deduction for active participants) is amended to
read as follows:
``(1) In general.--If (for any part of any plan year ending
with or within a taxable year) an individual is an active
participant, each of the dollar limitations contained in
subsections (b)(1)(A) and (c)(1)(A) for such taxable year shall
be reduced (but not below zero) by the sum of--
``(A) the amount determined under paragraph (2),
and
``(B) the amount contributed for the taxable year
under a qualified payroll deduction arrangement
described in section 408(q)(1) (for which an election
has not been made under section 408(q)(2)).''.
(2) Deductibility of employer contributions.--Section 404
(relating to deductions for contributions of an employer to
pension, etc., plans) is amended by adding at the end the
following new subsection:
``(n) Special Rules for Contributions Under a Qualified Payroll
Deduction Arrangement.--Rules similar to the rules of subsection (m)
shall apply to employer contributions made under a qualified payroll
deduction arrangement described in section 408(q)(1) (for which an
election has not been made under section 408(q)(2)).''.
(3) Contributions and distributions.--Section 402 (relating
to taxability of beneficiary of employees' trust) is amended by
adding at the end the following new subsection:
``(l) Treatment of Contributions and Distributions Under a
Qualified Payroll Deduction Arrangement.--Rules similar to the rules of
paragraphs (1) and (3) of subsection (h) shall apply to contributions
and distributions made with respect to an individual retirement plan
under a qualified payroll deduction arrangement described in section
408(q)(1) (for which an election has not been made under section
408(q)(2)), except that contributions made by an employer on behalf of
an employee for a taxable year shall be excluded from income only to
the extent such contributions would have been deductible for such
taxable year under section 219, if such section applied, without regard
to section 219(g)(1)(B). Contributions that are not excluded from
income under the preceding sentence shall be treated as designated
nondeductible contributions under section 408(o).''.
(c) Exemption From Withholding.--Subsection (a) of section 3401
(defining wages) is amended by striking ``or'' at the end of paragraph
(20), by striking the period at the end of paragraph (21) and inserting
``; or'', and by inserting after paragraph (21) the following new
paragraph:
``(22) for any payment made for the benefit of the employee
to an individual retirement plan if the amount of such payment
was deducted and withheld under section 408(q).''.
(d) Exclusion Shown on W-2.--Subsection (a) of section 6051
(relating to receipts for employees) is amended by striking ``and'' at
the end of paragraph (10), by striking the period at the end of
paragraph (11) and inserting ``, and'', and by inserting after
paragraph (11) the following new paragraph:
``(12) the total amount deducted and withheld pursuant to
section 408(q).''.
(e) Effective Date.--The amendments made by this section shall
apply to remuneration paid after December 31, 1999.
SEC. 103. NONREFUNDABLE TAX CREDIT FOR CONTRIBUTIONS TO INDIVIDUAL
RETIREMENT PLANS.
(a) In General.--Subpart A of part IV of subchapter A of chapter 1
(relating to nonrefundable personal credits) is amended by inserting
after section 25A the following new section:
``SEC. 25B. RETIREMENT SAVINGS.
``(a) Allowance of Credit.--There shall be allowed as a credit
against the tax imposed by this chapter so much of the qualified
retirement contributions of the taxpayer for the taxable year as does
not exceed the applicable amount of the adjusted gross income of the
taxpayer for such year.
``(b) Applicable Amount.--For purposes of subsection (a), the
applicable amount is determined in accordance with the following table:
``If adjusted gross income is: The applicable amount is:
Not over $15,000...............
$450.
Over $15,000 but not over
$20,000.
$400.
Over $20,000 but not over
$25,000.
$350.
Over $25,000 but not over
$30,000.
$300.
Over $30,000...................
$0.
``(c) Section Not To Apply to Certain Contributions.--This section
shall not apply with respect to--
``(1) an employer contribution to a simplified employee
pension,
``(2) any amount contributed to a simple retirement account
established under section 408(p),
``(3) any amount contributed to a Roth IRA, and
``(4) any designated nondeductible contribution (as defined
in section 408(o)(2)(C)).
``(d) Other Limitations and Restrictions.--
``(1) Beneficiary must be under age 70\1/2\.--No credit
shall be allowed under this section with respect to any
qualified retirement contribution for the benefit of an
individual if such individual has attained age 70\1/2\ before
the close of such individual's taxable year for which the
contribution was made.
``(2) Recontributed amounts.--No credit shall be allowed
under this section with respect to a rollover contribution
described in section 402(c), 403(a)(4), 403(b)(8), or
408(d)(3).
``(3) Amounts contributed under endowment contract.--In the
case of an endowment contract described in section 408(b), no
credit shall be allowed under this section for that portion of
the amounts paid under the contract for the taxable year which
is properly allocable, under regulations prescribed by the
Secretary, to the cost of life insurance.
``(4) Denial of credit for amount contributed to inherited
annuities or accounts.--No credit shall be allowed under this
section with respect to any amount paid to an inherited
individual retirement account or individual retirement annuity
(within the meaning of section 408(d)(3)(C)(ii)).
``(5) No double benefit.--No credit shall be allowed under
this section for any taxable year with respect to the amount of
any qualified retirement contribution for the benefit of an
individual if such individual takes a deduction with respect to such
amount under section 219 for such taxable year.
``(e) Qualified Retirement Contribution.--For purposes of this
section, the term `qualified retirement contribution' means--
``(1) any amount paid in cash for the taxable year by or on
behalf of an individual to an individual retirement plan for
such individual's benefit, and
``(2) any amount contributed on behalf of any individual to
a plan described in section 501(c)(18).
``(f) Other Definitions and Special Rules.--
``(1) Compensation.--For purposes of this section, the term
`compensation' has the meaning given in section 219(f)(1).
``(2) Married couples must file joint return.--If the
taxpayer is married at the close of the taxable year, the
credit shall be allowed under subsection (a) only if the
taxpayer and the taxpayer's spouse file a joint return for the
taxable year.
``(3) Time when contributions deemed made.--For purposes of
this section, a taxpayer shall be deemed to have made a
contribution to an individual retirement plan on the last day
of the preceding taxable year if the contribution is made on
account of such taxable year and is made not later than the
time prescribed by law for filing the return for such taxable
year (not including extensions thereof).
``(4) Employer payments.--For purposes of this title, any
amount paid by an employer to an individual retirement plan
shall be treated as payment of compensation to the employee
(other than a self-employed individual who is an employee
within the meaning of section 401(c)(1)) includible in his
gross income in the taxable year for which the amount was
contributed, whether or not a credit for such payment is
allowable under this section to the employee.''
(b) Conforming Amendments.--
(1) Section 86(f) is amended by redesignating paragraphs
(2), (3), and (4) as paragraphs (3), (4), and (5),
respectively, and by inserting after paragraph (1) the
following new paragraph:
``(2) section 25B(f)(1) (defining compensation),''.
(2) Clause (i) of section 501(c)(18)(D) is amended by
inserting ``which may be taken into account in computing the
credit allowable under section 25B or'' before ``with
respect''.
(3) Section 6047(c) is amended by inserting ``section 25B
or'' before ``section 219''.
(4) Section 6652(g) is amended by inserting ``Creditable''
before ``Deductible'' in the heading thereof.
(5) The table of sections for subpart A of part IV of
subchapter A of chapter 1 is amended by inserting after the
item relating to section 25A the following new item:
``Sec. 25B. Retirement savings.''
(c) Effective Date.--The amendments made by this section apply to
taxable years beginning after December 31, 1999.
SEC. 104. DISTRIBUTIONS FROM CERTAIN PLANS MAY BE USED WITHOUT PENALTY
DURING PERIODS OF UNEMPLOYMENT.
(a) In General.--Paragraph (2) of section 72(t) (relating to
exceptions to 10-percent additional tax on early distributions from
qualified retirement plans) is amended by adding at the end the
following new subparagraph:
``(G) Additional distributions to unemployed
individuals.--
``(i) In general.--Distributions from an
individual retirement plan, or from amounts
attributable to employer contributions made
pursuant to elective deferrals described in
subparagraph (A) or (C) of section 402(g)(3) or
section 501(c)(18)(D)(iii), to an individual
after separation from employment if--
``(I) such individual has received
unemployment compensation for 12
consecutive weeks under any Federal or
State unemployment compensation law by
reason of such separation, and
``(II) such distributions are made
during the 1-year period beginning on
the date of such separation.
``(ii) Distributions after reemployment.--
Clause (i) shall not apply to any distribution
made after the individual has been employed for
at least 60 days after the separation from
employment to which clause (i) applies.
``(iii) Coordination with subparagraph
(d).--Distributions during the 1-year period
described in clause (i)(II) shall not be taken
into account in applying the limitation under
subparagraph (D)(i)(III).''
(b) Conforming Amendments.--
(1) Section 401(k)(2)(B)(i) is amended by striking ``or''
at the end of subclause (III), by striking ``and'' at the end
of subclause (IV) and inserting ``or'', and by inserting after
subclause (IV) the following new subclause:
``(V) the date on which a period
referred to in section 72(t)(2)(G)
begins, and''.
(2) Section 403(b)(11) is amended by striking ``or'' at the
end of subparagraph (A), by striking the period at the end of
subparagraph (B) and inserting ``, or'', and by inserting after
subparagraph (B) the following new subparagraph:
``(C) for distributions to which section
72(t)(2)(G) applies.''
(c) Effective Date.--The amendments made by this section shall
apply to distributions after the date of the enactment of this Act.
Subtitle B--Secure Money Annuity or Retirement (SMART) Trusts
SEC. 111. SECURE MONEY ANNUITY OR RETIREMENT (SMART) TRUSTS.
(a) In General.--Subpart A of part I of subchapter D of chapter 1
is amended by inserting after section 408A the following new section:
``SEC. 408B. SMART PLANS.
``(a) Employer Eligibility.--
``(1) In general.--An employer may establish and maintain a
SMART annuity or a SMART trust for any year only if--
``(A) the employer is an eligible employer (as
defined in section 408(p)(2)(C)), and
``(B) the employer does not maintain (and no
predecessor of the employer maintains) a qualified plan
(other than a permissible plan) with respect to which
contributions were made, or benefits were accrued, for
service in any year in the period beginning with the
year such annuity or trust became effective and ending
with the year for which the determination is being
made.
The period described in subparagraph (B) shall include the
period of 5 years before the year such trust or annuity became
effective with respect to qualified plans which are defined
benefit plans or money purchase pension plans.
``(2) Definitions.--For purposes of paragraph (1)--
``(A) Qualified plan.--The term `qualified plan'
has the meaning given such term by section
408(p)(2)(D)(ii).
``(B) Permissible plan.--The term `permissible
plan' means--
``(i) a SIMPLE plan described in section
408(p),
``(ii) a SIMPLE 401(k) plan described in
section 401(k)(11),
``(iii) an eligible deferred compensation
plan described in section 457(b),
``(iv) a collectively bargained plan but
only if the employees eligible to participate
in such plan are not also entitled to a benefit
described in subsection (b)(5) or (c)(5), or
``(v) a plan under which there may be made
only--
``(I) elective deferrals described
in section 402(g)(3), and
``(II) employer matching
contributions not in excess of the
amounts described in subclauses (I) and
(II) of section 401(k)(12)(B)(i).
``(b) SMART Annuity.--
``(1) In general.--For purposes of this title, the term
`SMART annuity' means an individual retirement annuity (as
defined in section 408(b) without regard to paragraph (2)
thereof and without regard to the limitation on aggregate
annual premiums contained in the flush language of section
408(b)) if--
``(A) such annuity meets the requirements of
paragraphs (2) through (7), and
``(B) the only contributions to such annuity are
employer contributions.
Nothing in this section shall be construed as preventing an
employer from using a group annuity contract which is divisible
into individual retirement annuities for purposes of providing
SMART annuities.
``(2) Participation requirements.--
``(A) In general.--The requirements of this
paragraph are met for any year only if all employees of
the employer who--
``(i) received at least $5,000 in
compensation from the employer during any 2
consecutive preceding years, and
``(ii) received at least $5,000 in
compensation during the year,
are entitled to the benefit described in paragraph (5)
for such year.
``(B) Excludable employees.--An employer may elect
to exclude from the requirements under subparagraph (A)
employees described in subparagraph (A) or (C) of
section 410(b)(3).
``(3) Vesting.--The requirements of this paragraph are met
if the employee's rights to any benefits under the annuity are
nonforfeitable.
``(4) Benefit form.--The requirements of this paragraph are
met if the only form of benefit is--
``(A) a benefit payable annually in the form of a
single life annuity with monthly payments (with no
ancillary benefits) beginning at age 65, or
``(B) any other form of benefit which is the
actuarial equivalent (based on the assumptions
specified in the SMART annuity) of the benefit
described in subparagraph (A).
``(5) Amount of annual accrued benefit.--
``(A) In general.--The requirements of this
paragraph are met for any plan year if the accrued
benefit of each participant derived from employer
contributions for such year, when expressed as a
benefit described in paragraph (4)(A), equals the
applicable percentage of the participant's compensation
for such year.
``(B) Applicable percentage.--For purposes of this
paragraph--
``(i) In general.--The term `applicable
percentage' means 2 percent.
``(ii) Election of higher percentage.--An
employer may elect to apply an applicable
percentage of 1 percent for any year for all
employees eligible to participate in the plan
for such year, if the employer notifies the
employees of such percentage within a
reasonable period before the beginning of such
year. An employer may also elect to apply an
applicable percentage of 3 percent for any of
the first 5 years that the plan is effective
for all employees eligible to participate in
the plan for such year, if the employer so
notifies the employees.
``(C) Compensation limit.--
``(i) In general.--The compensation taken
into account under this paragraph for any year
shall not exceed $100,000.
``(ii) Cost-of-living adjustment.--The
Secretary shall adjust annually the $100,000
amount in clause (i) for increases in the cost-
of-living at the same time and in the same
manner as adjustments under section 415(d);
except that the base period shall be the
calendar quarter beginning October 1, 1999, and
any increase which is not a multiple of $5,000
shall be rounded to the next lowest multiple of
$5,000.
``(6) Funding.--
``(A) In general.--The requirements of this
paragraph are met only if the employer is required to
contribute to the annuity for each plan year the amount
necessary to purchase a SMART annuity in the amount of
the benefit accrued for such year for each participant
entitled to such benefit. Such contribution must be
made no later than 8\1/2\ months after the end of the
plan year.
``(B) Penalty for failure to make required
contribution.--The taxes imposed by section 4971 shall
apply to a failure to make the contribution required by
this paragraph in the same manner as if the amount of
the failure were an accumulated funding deficiency to
which such section applies.
``(7) Limitation on distributions.--
``(A) In general.--The requirements of this
paragraph are met only if distributions may be paid
only when the employee attains age 65, separates from
service, dies, or becomes disabled (within the meaning
of section 72(m)(7)).
``(B) Limitation on distributions on separation
from service of employees who have not attained age
65.--Subparagraph (A) shall apply to a distribution on separation of
service of an employee who has not attained age 65 only if--
``(i) the aggregate cash value of an
employee's SMART annuity does not exceed the
dollar limit in effect under section
411(a)(11)(A), or
``(ii) the distribution is a direct
trustee-to-trustee transfer of the entire
balance to the credit of the employee to a
SMART trust described in subsection (c), a
SMART rollover plan, or a SMART annuity for the
benefit of such employee.
``(8) Joint and survivor annuity rules applicable.--The
requirements of this paragraph are met only if the annuity
satisfies section 401(a)(11).
``(9) Definitions and special rule.--
``(A) Definitions.--The definitions in section
408(p)(6) shall apply for purposes of this subsection.
``(B) Use of designated financial institutions.--A
rule similar to the rule of section 408(p)(7) (without
regard to the last sentence thereof) shall apply for
purposes of this subsection.
``(C) SMART rollover plan.--For purposes of this
section, the term `SMART rollover plan' means an
individual retirement plan for the benefit of the
employee to which a rollover was made from a SMART
Annuity, SMART trust, or another SMART Rollover plan.
``(c) SMART Trust.--
``(1) In general.--For purposes of this title, the term
`SMART trust' means a trust forming part of a defined benefit
plan if--
``(A) such trust meets the requirements of section
401(a) as modified by subsection (d),
``(B) such plan meets the requirements of
paragraphs (2) through (8), and
``(C) the only contributions to such trust are
employer contributions.
``(2) Participation requirements.--A plan meets the
requirements of this paragraph for any year only if the
requirements of subsection (b)(2) are met for such year.
``(3) Vesting.--A plan meets the requirements of this
paragraph for any year only if the requirements of subsection
(b)(3) are met for such year.
``(4) Benefit form.--
``(A) In general.--Except as provided in
subparagraph (B), a plan meets the requirements of this
paragraph only if the trustee distributes a SMART
annuity that satisfies subsection (b)(4) where the
annual benefit described in subsection (b)(4)(A) is no
less than the accrued benefit determined under
paragraph (5).
``(B) Direct transfers to individual retirement
plan or smart annuity.--A plan shall not fail to meet
the requirements of this paragraph by reason of
permitting, as an optional form of benefit, the
distribution of the entire balance to the credit of the
employee. If the employee is under age 65, such
distribution must be in the form of a direct trustee-
to-trustee transfer to a SMART annuity, another SMART
trust, or a SMART rollover plan (or, in the case of a
distribution that does not exceed the dollar limit in
effect under section 411(a)(11)(A), any other
individual retirement plan).
``(5) Amount of annual accrued benefit.--A plan meets the
requirements of this paragraph for any year only if the
requirements of subsection (b)(5) are met for such year.
``(6) Funding.--
``(A) In general.--A plan meets the requirements of
this paragraph for any year only if--
``(i) the requirements of subparagraph (A)
of subsection (b)(6) are met for such year,
``(ii) in the case of a plan which has an
unfunded annuity amount with respect to the
account of any participant, the plan requires
that the employer make an additional
contribution to such plan (at the time the
annuity contract to which such amount relates
is purchased) equal to the unfunded annuity
amount, and
``(iii) in the case of a plan which has an
unfunded prior year liability with respect to
the account of any participant as of the close
of such plan year, the plan requires that the
employer make an additional contribution to
such plan for such year equal to the amount of
such unfunded prior year liability no later
than 8\1/2\ months following the end of the
plan year.
``(B) Unfunded annuity amount.--For purposes of
this paragraph, the term `unfunded annuity amount'
means, with respect to the account of any participant
for whom an annuity is being purchased, the excess (if
any) of--
``(i) the amount necessary to purchase an
annuity contract which meets the requirements
of subsection (b)(4) in the amount of the
participant's accrued benefit determined under
paragraph (5), over
``(ii) the balance in such account at the
time such contract is purchased.
``(C) Unfunded prior year liability.--For purposes
of this paragraph, the term `unfunded prior year
liability' means, with respect to any plan year, the
excess (if any) of--
``(i) the aggregate present value of the
participants' accrued benefits under the plan
as of the close of the prior plan year, over
``(ii) the value of the plan's assets
determined under section 412(c)(2) as of the
close of the plan year (determined
without regard to any contributions for such plan year).
Such present value shall be determined using the
assumptions specified in subparagraph (D).
``(D) Actuarial assumptions.--In determining the
amount required to be contributed under subparagraph
(A)--
``(i) the assumed interest rate shall be 5
percent per year,
``(ii) the assumed mortality shall be
determined under the applicable mortality table
(as defined in section 417(e)(3), as modified
by the Secretary so that it does not include
any assumption for preretirement mortality),
and
``(iii) the assumed retirement age shall be
65.
``(E) Changes in mortality table.--If the
applicable mortality table under section 417(e)(3) for
any plan year is not the same as such table for the
prior plan year, the Secretary shall prescribe
regulations which phase in the effect of the changes
over a reasonable period of plan years determined by
the Secretary.
``(F) Penalty for failure to make required
contribution.--The taxes imposed by section 4971 shall
apply to a failure to make the contribution required by
this paragraph in the same manner as if the amount of
the failure were an accumulated funding deficiency to
which such section applies.
``(7) Separate accounts for participants.--A plan meets the
requirements of this paragraph for any year only if the plan
provides--
``(A) for an individual account for each
participant, and
``(B) for benefits based solely on--
``(i) the amount contributed to the
participant's account,
``(ii) any income, expenses, gains and
losses, and any forfeitures of accounts of
other participants which may be allocated to
such participant's account, and
``(iii) the amount of any unfunded annuity
amount with respect to the participant.
``(8) Trust may not hold securities which are not readily
tradable.--A plan meets the requirements of this paragraph only
if the plan prohibits the trust from holding directly or
indirectly securities which are not readily tradable on an
established securities market. Nothing in this paragraph shall
prohibit the trust from holding insurance company products
regulated by State law.
``(9) Definitions.--The definitions applicable under
subsection (b)(8) shall apply for purposes of this subsection.
``(d) Special Rules for SMART Annuities and Trusts.--For purposes
of section 401(a), a SMART annuity and a SMART trust shall be treated
as meeting the requirements of the following provisions:
``(1) Section 401(a)(4) (relating to nondiscrimination
rules).
``(2) Section 401(a)(26) (relating to minimum
participation).
``(3) Section 410 (relating to minimum participation and
coverage requirements).
``(4) Section 411(b) (relating to accrued benefit
requirements).
``(5) Section 416 (relating to special rules for top-heavy
plans).''
(b) Deduction Rules.--
(1) In general.--Section 404 is further amended by adding
at the end the following new subsection:
``(o) Special Rules for SMART Annuities and Trusts.--
``(1) In general.--Employer contributions to a SMART
annuity shall be treated as if they are made to a plan
described in paragraph (1) of subsection (a).
``(2) Deductible limit.--For purposes of section
404(a)(1)(A)(i), the amount necessary to satisfy the minimum
funding requirement of section 408B(b)(6) or (c)(6) shall be
treated as the amount necessary to satisfy the minimum funding
requirement of section 412.''
(2) Coordination with deduction under section 219.--
(A) Section 219(b) is amended by adding at the end
the following new paragraph:
``(5) Special rule for smart annuities.--This section shall
not apply with respect to any amount contributed to a SMART
annuity established under section 408B(b).''
(B) Section 219(g)(5)(A) (defining active
participant) is amended by striking ``or'' at the end
of clause (v) and by adding at the end the following
new clause:
``(vii) any SMART annuity (within the
meaning of section 408B), or''.
(c) Contributions and Distributions.--
(1) Section 402 is further amended by adding at the end the
following new subsection:
``(m) Treatment of SMART Annuities.--Rules similar to the rules of
paragraphs (1) and (3) of subsection (h) shall apply to contributions
and distributions with respect to SMART annuities under section 408B.''
(2) Section 408(d)(3) is amended by adding at the end the
following new subparagraph:
``(H) SMART annuities.--This paragraph shall not
apply to any amount paid or distributed out of a SMART
annuity (as defined in section 408B) unless it is paid
in a trustee-to-trustee transfer into a SMART rollover
plan.''
(3)(A) Section 412(h) is amended by striking ``or'' at the
end of paragraph (5), by striking the period at the end of
paragraph (6) and inserting ``, or'', and by inserting after
paragraph (6) the following new paragraph:
``(7) any plan providing for the purchase of any SMART
annuity or any SMART plan.''
(B) Section 301(a) of Employee Retirement Income Security
Act of 1974 (29 U.S.C. 1081) is amended by striking ``or'' at
the end of paragraph (9), by striking the period at the end of
paragraph (10) and inserting ``; or'', and by adding at the end
the following new paragraph:
``(11) any plan providing for the purchase of any SMART
annuity or any SMART plan (as such terms are defined in section
408B of such Code).''
(4) Section 415(b) is amended by adding at the end the
following new paragraph:
``(12) Treatment of smart annuities and trusts.--A SMART
annuity and a SMART trust shall be treated as meeting the
requirements of this section, but distributions from such an
annuity or trust shall be taken into account in determining
whether any other plan satisfies the requirements of this
section.''
(d) Increased Penalty on Early Withdrawals.--Section 72(t)
(relating to additional tax on early distributions) is amended by
adding at the end the following new paragraph:
``(9) Special rules for smart annuities and trusts.--In the
case of any amount received from a SMART annuity, a SMART
trust, or a SMART rollover plan (within the meaning of section
408B), paragraph (1) shall be applied by substituting `20
percent' for `10 percent' and paragraph (2) shall be applied by
substituting `age 65' for `age 59\1/2\'.''
(e) Simplified Employer Reports.--
(1) SMART annuities.--Section 408(l) (relating to
simplified employer reports) is amended by adding at the end
the following new paragraph:
``(3) SMART annuities.--
``(A) Simplified report.--The employer maintaining
any SMART annuity (within the meaning of section 408B)
shall file a simplified annual return with the
Secretary containing only the information described in
subparagraph (B).
``(B) Contents.--The return required by
subparagraph (A) shall set forth--
``(i) the name and address of the employer,
``(ii) the date the plan was adopted,
``(iii) the number of employees of the
employer,
``(iv) the number of such employees who are
eligible to participate in the plan,
``(v) the total amount contributed by the
employer to each such annuity for such year and
the minimum amount required under section 408B
to be so contributed,
``(vi) the percentage elected under section
408B(b)(5)(B),
``(vii) the name of the issuer,
``(viii) the employer identification
number,
``(ix) the name of the plan, and
``(x) the date of the contribution.
``(C) Reporting by issuer of smart annuity.--
``(i) In general.--The issuer of each SMART
annuity shall provide to the owner of the
annuity for each year a statement setting forth
as of the close of such year--
``(I) the benefits guaranteed at
age 65 under the annuity, and
``(II) the cash surrender value of
the annuity.
``(ii) Summary description.--The issuer of
any SMART annuity shall provide to the employer
maintaining the annuity for each year a
description containing the following
information:
``(I) The name and address of the
employer and the issuer.
``(II) The requirements for
eligibility for participation.
``(III) The benefits provided with
respect to the annuity.
``(IV) The procedures for, and
effects of, withdrawals (including
rollovers) from the annuity.
``(D) Time and manner of reporting.--Any return,
report, or statement required under this paragraph
shall be made in such form and at such time as the
Secretary shall prescribe.''
(2) SMART trusts.--Section 6059 (relating to actuarial
reports) is amended by redesignating subsections (c) and (d) as
subsections (d) and (e), respectively, and by inserting after
subsection (b) the following new subsection:
``(c) SMART Trusts.--In the case of a SMART trust (within the
meaning of section 408B), the Secretary shall require a simplified
actuarial report which contains--
``(1) information similar to the information required in
section 408(l)(3)(B),
``(2) the fair market value of the assets of the trust,
``(3) the amounts distributed directly to participants,
``(4) the amounts transferred to SMART rollover plans, and
``(5) the present value of the annual accrued benefits
under the plan to which the trust relates.''
(f) Conforming Amendments.--
(1) Subparagraph (A) of section 219(g)(5) is amended by
striking ``or'' at the end of clause (v) and by inserting after
clause (vi) the following new clause:
``(vii) any SMART trust or SMART annuity
(within the meaning of section 408B), or''.
(2) Section 280G(b)(6) is amended by striking ``or'' at the
end of subparagraph (C), by striking the period at the end of
subparagraph (D) and inserting ``, or'' and by adding after
subparagraph (D) the following new subparagraph:
``(E) a SMART annuity described in section 408B.''
(3) Subsections (b), (c), (m)(4)(B), and (n)(3)(B) of
section 414 are each amended by inserting ``408B,'' after
``408(p),''.
(4) Section 4972(d)(1)(A) is amended by striking ``and'' at
the end of clause (iii), by striking the period at the end of
clause (iv) and inserting
``, and'', and by adding after clause (iv) the following new
clause:
``(v) any SMART annuity (within the meaning
of section 408B).''
(g) Reporting Requirements Under ERISA.--Section 101 of the
Employee Retirement Income Security Act of 1974 (29 U.S.C. 1021) is
amended by redesignating subsection (h) as subsection (i) and by
inserting after subsection (g) the following new subsection:
``(h) SMART Annuities.--
``(1) No employer reports.--Except as provided in this
subsection, no report shall be required under this section by
an employer maintaining a SMART annuity under section 408B(b)
of the Internal Revenue Code of 1986.
``(2) Summary description.--The issuer of any SMART annuity
shall provide to the employer maintaining the annuity for each
year a description containing the following information:
``(A) The name and address of the employer and the
issuer.
``(B) The requirements for eligibility for
participation.
``(C) The benefits provided with respect to the
annuity.
``(D) The procedures for, and effects of,
withdrawals (including rollovers) from the annuity.
``(3) Employee notification.--The employer shall provide
each employee eligible to participate in the SMART annuity with
the description described in paragraph (2) at the same time as
the notification required under section 408B(b)(5)(B) of the
Internal Revenue Code of 1986.''
(h) $5 Per Participant PBGC Premium.--Subparagraph (A) of section
4006(a)(3) of the Employee Retirement Income Security Act of 1974 (29
U.S.C. 1306) is amended--
(1) by inserting ``not described in clause (iv)'' after
``in the case of a single-employer plan'' in clause (i),
(2) by striking the period at the end of clause (iii) and
inserting ``; and'', and
(3) by inserting after clause (iii) the following new
clause:
``(iv) in the case of a single-employer plan described in
section 408B(c) of the Internal Revenue Code of 1986, an amount
equal to $5 for each participant.''.
(i) Clerical Amendment.--The table of sections for subpart A of
part I of subchapter D of chapter 1 is amended by inserting after the
item relating to section 408A the following new item:
``Sec. 408B. SMART plans.''
(j) Effective Date.--The amendments made by this section shall
apply to years beginning after December 31, 1999.
Subtitle C--Improved Fairness in Retirement Plan Benefits
SEC. 121. AMENDMENTS TO SIMPLE RETIREMENT ACCOUNTS.
(a) Minimum Contribution Requirement.--
(1) In general.--Paragraph (2) of section 408(p) (defining
qualified salary reduction arrangement) is amended--
(A) by striking clauses (iii) and (iv) of
subparagraph (A) and inserting the following new
clauses:
``(iii) the employer is required to make a
matching contribution to the simple retirement
account for any year in an amount equal to--
``(I) so much of the amount the
employee elects under clause (i)(I) as
does not exceed 3 percent of
compensation for the year, and
``(II) a uniform percentage (which
is at least 50 percent but not more
than 100 percent) of the amount the
employee elects under clause (i)(I) to
the extent that such amount exceeds 3
percent but does not exceed 5 percent
of the employee's compensation,
``(iv) the employer is required to make
nonelective contributions of 1 percent of
compensation for each employee eligible to
participate in the arrangement who has at least
$5,000 of compensation from the employer for
the year, and
``(v) no contributions may be made other
than contributions described in clause (i),
(iii), or (iv).'', and
(B) by striking subparagraph (B) and inserting the
following new subparagraph:
``(B) Contribution rules.--
``(i) Employer may elect 3-percent
nonelective contribution.--An employer shall be
treated as meeting the requirements of clauses
(iii) and (iv) of subparagraph (A) for any year
if, in lieu of the contributions described in
such clauses, the employer elects to make
nonelective contributions of 3 percent of
compensation for each employee who is eligible
to participate in the arrangement and who has
at least $5,000 of compensation from the
employer for the year. If an employer makes an
election under this clause for any year, the
employer shall notify employees of such
election within a reasonable period of
time before the 60-day period for such year under paragraph (5)(C).
``(ii) Discretionary contributions.--A plan
shall not be treated as failing to meet the
requirements of subparagraph (A)(v) merely
because, pursuant to the terms of the plan, an
employer makes nonelective contributions under
subparagraph (A)(iv) or clause (i) of this
subparagraph in excess of 1 percent or 3
percent of compensation, respectively, but only
if all such contributions bear a uniform
relationship to the compensation of each
eligible employee and do not exceed 5 percent
of compensation for any eligible employee.
``(iii) Compensation limitation.--The
compensation taken into account under this
paragraph for any year shall not exceed the
limitation in effect for such year under
section 401(a)(17).''
(2) Matching contributions.--Subparagraph (B) of section
401(k)(11) (relating to adoption of simple plan to meet
nondiscrimination tests) is amended--
(A) by striking subclauses (II) and (III) of clause
(i) and inserting the following new subclauses:
``(II) the employer is required to
make a matching contribution to the
trust for any year in an amount equal
to--
``(aa) so much of the
amount the employee elects
under subclause (I) as does not
exceed 3 percent of
compensation for the year, and
``(bb) a uniform percentage
(which is at least 50 percent
but not more than 100 percent)
of the amount the employee elects under subclause (I) to the extent
that such amount exceeds 3 percent but does not exceed 5 percent of the
employee's compensation,
``(III) the employer is required to
make nonelective contributions of 1
percent of compensation for each
employee eligible to participate in the
arrangement who has at least $5,000 of
compensation from the employer for the
year, and
``(IV) no other contributions may
be made other than contributions
described in subclause (I), (II), or
(III).'', and
(B) by striking clause (ii) and inserting the
following new clause:
``(ii) Contribution rules.--
``(I) Employer may elect 3-percent
nonelective contribution.--An employer
shall be treated as meeting the
requirements of subclauses (II) and
(III) of clause (i) for any year if, in
lieu of the contributions described in
such subclauses, the employer elects to
make nonelective contributions of 3
percent of compensation for each
employee who is eligible to participate
in the arrangement and who has at least
$5,000 of compensation from the
employer for the year. If an employer
makes an election under this subclause
for any year, the employer shall notify
employees of such election within a
reasonable period of time before the
60th day before the beginning of such
year.
``(II) Discretionary
contributions.--A plan shall not be
treated as failing to meet the
requirements of clause (i)(IV) merely
because, pursuant to the terms of the
plan, an employer makes nonelective
contributions under clause (i)(III) or
subclause (I) of this clause in excess
of 1 percent or 3 percent of
compensation, respectively, but only if
all such contributions bear a uniform
relationship to the compensation of
each eligible employee and do not
exceed 5 percent of compensation for
any eligible employee.''
(b) Option To Suspend Contributions.--Section 408(p) (relating to
simple retirement accounts) is amended by adding at the end the
following new paragraph:
``(10) Suspension of plan.--Except as provided by the
Secretary, a plan shall not be treated as failing to meet the
requirements of this subsection if, under the plan, the
employer may suspend all elective, matching, and nonelective
contributions under the plan after notifying employees eligible
to participate in the arrangement of such suspension in writing
at least 30 days in advance. Such suspension shall apply to
contributions with respect to compensation earned after the
effective date of the suspension. Only 1 suspension under this
paragraph may take effect during any year.''
(c) Conforming Amendments.--Section 408(p)(2)(C) is amended--
(1) by striking clause (ii),
(2) by striking ``Definitions'' in the heading and
inserting ``Eligible employer'',
(3) by striking ``(i) Eligible employer.--'', and
(4) by redesignating subclauses (I) and (II) as clauses (i)
and (ii), respectively.
(d) Effective Date.--
(1) In general.--Except as provided in paragraph (2), the
amendments made by this section shall apply to taxable years
beginning after December 31, 1999.
(2) Delayed effective date for plans established in 1998 or
1999.--In the case of plans established in 1998 or 1999 under
section 408(p) of the Internal Revenue Code of 1986, the amendments
made by this section shall apply to taxable years beginning after
December 31, 2003.
SEC. 122. NONDISCRIMINATION RULES FOR QUALIFIED CASH OR DEFERRED
ARRANGEMENTS AND MATCHING CONTRIBUTIONS.
(a) Alternative Methods of Satisfying Section 401(k)
Nondiscrimination Tests.--Subparagraph (B) of section 401(k)(12)
(relating to alternative methods of meeting nondiscrimination
requirements) is amended to read as follows:
``(B) Nonelective and matching contributions.--
``(i) In general.--The requirements of this
subparagraph are met if the requirements of
clauses (ii) and (iii) are met.
``(ii) Nonelective contributions.--The
requirements of this clause are met if, under
the arrangement, the employer is required,
without regard to whether the employee makes an
elective contribution or employee contribution,
to make a contribution to a defined
contribution plan on behalf of each employee
who is not a highly compensated employee and
who is eligible to participate in the
arrangement in an amount equal to at least 1
percent of the employee's compensation.
``(iii) Matching contributions.--The
requirements of this clause are met if, under
the arrangement, the employer makes matching
contributions on behalf of each employee who is
not a highly compensated employee in an amount
equal to--
``(I) 100 percent of the elective
contributions of the employee to the
extent such elective contributions do
not exceed 3 percent of the employee's
compensation, and
``(II) 50 percent of the elective
contributions of the employee to the
extent that such elective contributions
exceed 3 percent but do not exceed 5
percent of the employee's compensation.
``(iv) Rate for highly compensated
employees.--The requirements of clause (iii)
are not met if, under the arrangement, the rate
of matching contribution with respect to any
rate of elective contribution of a highly
compensated employee is greater than that with
respect to an employee who is not a highly
compensated employee. For purposes of this
clause, to the extent provided in regulations,
the last sentences of paragraph (3)(A) and
subsection (m)(2)(B) shall not apply.
``(v) Alternative plan designs.--If the
rate of matching contribution with respect to
any rate of elective contribution is not equal
to the percentage required under clause (iii),
an arrangement shall not be treated as failing
to meet the requirements of clause (iii) if--
``(I) the rate of an employer's
matching contribution does not increase
as an employee's rate of elective
contribution increase, and
``(II) the aggregate amount of
matching contributions at such rate of
elective contribution is at least equal
to the aggregate amount of matching
contributions which would be made if
matching contributions were made on the
basis of the percentages described in
clause (iii).''
(b) Contributions Part of Qualified Cash or Deferred Arrangement.--
Subparagraph (E)(ii) of section 401(k)(12) is amended to read as
follows:
``(ii) Social security and similar
contributions not taken into account.--Except
as provided in regulations, an arrangement
shall not be treated as meeting the
requirements of subparagraph (B) or (C) unless
such requirements are met without regard to
subsection (l), and, for purposes of subsection
(l), and determining whether contributions
provided under a plan satisfy subsection (a)(4)
on the basis of equivalent benefits, employer
contributions under subparagraph (B) or (C)
shall not be taken into account.''
(c) Alternative Methods of Satisfying Section 401(m)
Nondiscrimination Tests.--Section 401(m)(11) (relating to alternative
method of satisfying tests) is amended--
(1) by striking ``subparagraph (B)'' in subparagraph
(A)(iii) and inserting ``subparagraphs (B) and (C)'',
(2) by adding at the end of subparagraph (B) the following
new flush sentence:
``To the extent provided in regulations, the last
sentences of paragraph (2)(B) and subsection (k)(3)(A)
shall not apply for purposes of clause (iii).'', and
(3) by adding at the end the following new subparagraph:
``(C) Test must be met separately.--If this
paragraph applies to any matching contributions, such
contributions shall not be taken into account in
determining whether employee contributions satisfy the
requirements of this subsection.''
(d) Special Rule for Determining Average Deferral Percentage for
First Plan Year, Etc.--Subparagraph (E) of section 401(k)(3) is amended
to read as follows:
``(E) For purposes of this paragraph, in the case
of the first plan year of any plan, the amount taken
into account as the actual deferral percentage of
nonhighly compensated employees for the preceding plan
year shall be--
``(i) 3 percent, or
``(ii) the actual deferral percentage of
nonhighly compensated employees determined for
such first plan year in the case of--
``(I) an employer who elects to
have this clause apply, or
``(II) except to the extent
provided by the Secretary, a successor
plan.''
(e) Effective Date.--The amendments made by this section shall
apply to years beginning after December 31, 1999.
SEC. 123. DEFINITION OF HIGHLY COMPENSATED EMPLOYEES.
(a) In General.--Subparagraph (B) of section 414(q)(1) (defining
highly compensated employee) is amended to read as follows:
``(B) for the preceding year had compensation from
the employer in excess of $80,000.''
(b) Conforming Amendments.--
(1)(A) Subsection (q) of section 414 is amended by striking
paragraphs (3), (5), and (7) and by redesignating paragraphs
(4), (6), (8), and (9) as paragraphs (3) through (6),
respectively.
(B) Sections 129(d)(8)(B), 401(a)(5)(D)(ii), 408(k)(2)(C),
and 416(i)(1)(D) are each amended by striking ``section
414(q)(4)'' and inserting ``section 414(q)(3)''.
(C) Section 416(i)(1)(A) is amended by striking ``section
414(q)(5)'' and inserting ``section 414(r)(9)''.
(2)(A) Section 414(r) is amended by adding at the end the
following new paragraph:
``(9) Excluded employees.--For purposes of paragraph
(2)(A), the following employees shall be excluded:
``(A) Employees who have not completed 6 months of
service.
``(B) Employees who normally work less than 17\1/2\
hours per week.
``(C) Employees who normally work during not more
than 6 months during any year.
``(D) Employees who have not attained the age of
21.
``(E) Except to the extent provided in regulations,
employees who are included in a unit of employees
covered by an agreement which the Secretary of Labor
finds to be a collective bargaining agreement between
employee representatives and the employer.''
(B) Subparagraph (A) of section 414(r)(2) is amended by
striking ``subsection (q)(5)'' and inserting ``paragraph (9)''.
(c) Effective Date.--The amendments made by this section shall
apply to years beginning after December 31, 1999.
SEC. 124. TREATMENT OF MULTIEMPLOYER PLANS UNDER SECTION 415.
(a) Compensation Limit.--Paragraph (11) of section 415(b) (relating
to limitation for defined benefit plans) is amended to read as follows:
``(11) Special limitation rule for governmental and
multiemployer plans.--In the case of a governmental plan (as
defined in section 414(d)) or a multiemployer plan (as defined
in section 414(f)), subparagraph (B) of paragraph (1) shall not
apply.''
(b) Exemption for Survivor and Disability Benefits.--Subparagraph
(I) of section 415(b)(2) (relating to limitation for defined benefit
plans) is amended--
(1) by inserting ``or a multiemployer plan (as defined in
section 414(f))'' after ``section 414(d))'' in clause (i),
(2) by inserting ``or multiemployer plan'' after
``governmental plan'' in clause (ii), and
(3) by inserting ``and multiemployer'' after
``governmental'' in the heading.
(c) Effective Date.--The amendments made by this section shall
apply to years beginning after December 31, 1999.
SEC. 125. EXEMPTION OF MIRROR PLANS FROM SECTION 457 LIMITS.
(a) In General.--Subsection (e) of section 457 (relating to
deferred compensation plans of State and local governments and tax-
exempt organizations) is amended by adding at the end the following new
paragraph:
``(16) Exemption for mirror plans.--
``(A) In general.--Amounts of compensation deferred
under a mirror plan shall not be taken into account in
applying this section to amounts of compensation
deferred under any other deferred compensation plan.
``(B) Mirror plan.--The term `mirror plan' means a
plan, program, or arrangement maintained solely for the
purpose of providing retirement benefits for employees
in excess of the limitations imposed by section 401(a)(17) or section
415, or both.''
(b) Effective Date.--The amendment made by this section shall apply
to taxable years beginning after December 31, 1999.
SEC. 126. IMMEDIATE PARTICIPATION IN THE THRIFT SAVINGS PLAN FOR
FEDERAL EMPLOYEES.
(a) Elimination of Certain Waiting Periods for Purposes of Employee
Contributions.--Paragraph (4) of section 8432(b) of title 5, United
States Code, is amended to read as follows:
``(4) The Executive Director shall prescribe such regulations as
may be necessary to carry out the following:
``(A) Notwithstanding subparagraph (A) of paragraph (2), an
employee or Member described in such subparagraph shall be
afforded a reasonable opportunity to first make an election
under this subsection beginning on the date of commencing service or,
if that is not administratively feasible, beginning on the earliest
date thereafter that such an election becomes administratively
feasible, as determined by the Executive Director.
``(B) An employee or Member described in subparagraph (B)
of paragraph (2) shall be afforded a reasonable opportunity to
first make an election under this subsection (based on the
appointment or election described in such subparagraph)
beginning on the date of commencing service pursuant to such
appointment or election or, if that is not administratively
feasible, beginning on the earliest date thereafter that such
an election becomes administratively feasible, as determined by
the Executive Director.
``(C) Notwithstanding the preceding provisions of this
paragraph, contributions under paragraphs (1) and (2) of
subsection (c) shall not be payable with respect to any pay
period before the earliest pay period for which such
contributions would otherwise be allowable under this
subsection if this paragraph had not been enacted.
``(D) Sections 8351(a)(2), 8440a(a)(2), 8440b(a)(2),
8440c(a)(2), and 8440d(a)(2) shall be applied in a manner
consistent with the purposes of subparagraphs (A) and (B), to
the extent those subparagraphs can be applied with respect
thereto.
``(E) Nothing in this paragraph shall affect paragraph
(3).''
(b) Technical and Conforming Amendments.--
(1) Section 8432(a) of title 5, United States Code, is
amended--
(A) in the first sentence by striking ``(b)(1)''
and inserting ``(b)''; and
(B) by amending the second sentence to read as
follows: ``Contributions under this subsection pursuant
to such an election shall, with respect to each pay
period for which such election remains in effect, be
made in accordance with a program of regular
contributions provided in regulations prescribed by the
Executive Director.''
(2) Section 8432(b)(1)(B) of such title is amended by
inserting ``(or any election allowable by virtue of paragraph
(4))'' after ``subparagraph (A)''.
(3) Section 8432(b)(3) of such title is amended by striking
``Notwithstanding paragraph (2)(A), an'' and inserting ``An''.
(4) Section 8432(i)(1)(B)(ii) of such title is amended by
striking ``either elected to terminate individual contributions
to the Thrift Savings Fund within 2 months before commencing
military service or''.
(5) Section 8439(a)(1) of such title is amended by
inserting ``who makes contributions or'' after ``for each
individual'' and by striking ``section 8432(c)(1)'' and
inserting ``section 8432''.
(6) Section 8439(c)(2) of such title is amended by adding
at the end the following: ``Nothing in this paragraph shall be
considered to limit the dissemination of information only to
the times required under the preceding sentence.''
(7) Sections 8440a(a)(2) and 8440d(a)(2) of such title are
amended by striking all after ``subject to'' and inserting
``subject to this chapter.''
(c) Effective Date.--This section shall take effect 6 months after
the date of the enactment of this Act or such earlier date as the
Executive Director may by regulation prescribe.
SEC. 127. FULL FUNDING LIMITATION FOR MULTIEMPLOYER PLANS.
(a) Amendments to Code.--
(1) Full funding limitation.--Section 412(c)(7)(C)
(relating to full funding limitation) is amended--
(A) by inserting ``or in the case of a
multiemployer plan,'' after ``paragraph (6)(B),'', and
(B) by inserting ``and multiemployer plans'' after
``paragraph (6)(b)'' in the heading thereof.
(2) Valuation.--Section 412(c)(9) (relating to annual
valuation) is amended--
(A) by inserting ``(3 years in the case of a
multiemployer plan)'' after ``year'', and
(B) by striking ``Annual valuation'' in the heading
and inserting ``Valuation''.
(b) Amendments to ERISA.--
(1) Full funding limitation.--Section 302(c)(7)(C) of the
Employee Retirement Income Security Act of 1974 (29 U.S.C.
1082(c)(7)(C)) is amended--
(A) by inserting ``or in the case of a
multiemployer plan,'' after ``paragraph (6)(B),'', and
(B) by inserting ``and multiemployer plans'' after
``paragraph (6)(b)'' in the heading thereof.
(2) Valuation.--Section 302(c)(9) of such Act (29 U.S.C.
1082(c)(9)) is amended--
(A) by inserting ``(3 years in the case of a
multiemployer plan)'' after ``year'', and
(B) by striking ``Annual valuation'' in the heading
and inserting ``Valuation''.
(c) Effective Date.--The amendments made by this section shall
apply to plan years beginning after December 31, 1999.
SEC. 128. ELIMINATION OF PARTIAL TERMINATION RULES FOR MULTIEMPLOYER
PLANS.
(a) Partial Termination Rules for Multiemployer Plans.--Section
411(d)(3) (relating to termination or partial termination;
discontinuance of contributions) is amended by adding at the end the
following new sentence: ``This paragraph shall not apply in the case of
a partial termination of a multiemployer plan.''
(b) Effective Date.--The amendment made by this section shall apply
to partial terminations beginning after December 31, 1999.
SEC. 129. REPEAL OF 150 PERCENT OF CURRENT LIABILITY FUNDING LIMIT.
(a) In General.--Section 412(c)(7) (relating to full-funding
limitation) is amended--
(1) by striking ``150 percent'' in subparagraph (A)(i)(I)
and inserting ``the applicable percentage'', and
(2) by adding at the end the following new subparagraph:
``(F) Applicable percentage.--For purposes of
subparagraph (A)(i)(I), the applicable percentage is
determined according to the following table:
``In the case of any plan year The applicable percentage is--
beginning in--
1998.......................................... 155
1999.......................................... 160
2000.......................................... 165
2001.......................................... 170
2002 and succeeding years..................... 0.''
(b) Special Amortization Rule.--
(1) In general.--Section 412(c)(7), as amended by
subsection (a), is amended by adding at the end the following
new subparagraph:
``(G) Special amortization rule.--Contributions
that would be required to be made under the plan but
for the provisions of subparagraph (A)(i)(I) shall be
amortized over a 20-year period.''
(2) Conforming amendment.--Section 412(c)(7)(D) is amended
by adding ``and'' at the end of clause (i), by striking ``,
and'' at the end of clause (ii) and inserting a period, and by
striking clause (iii).
(3) Effective date.--The amendments made by this subsection
shall apply to any unamortized bases with respect to plan years
beginning before, on, or after December 31, 1999.
TITLE II--SECURITY
SEC. 200. AMENDMENT OF ERISA.
Except as otherwise expressly provided, whenever in this title an
amendment or repeal is expressed in terms of an amendment to, or repeal
of, a section or other provision, the reference shall be considered to
be made to a section or other provision of the Employee Retirement
Income Security Act of 1974.
Subtitle A--General Provisions
SEC. 201. PERIODIC PENSION BENEFITS STATEMENTS.
(a) In General.--Subsection (a) of section 105 (29 U.S.C. 1025) is
amended--
(1) by striking ``shall furnish to any plan participant or
beneficiary who so requests in writing,'' and inserting ``shall
furnish at least once every 3 years, in the case of a
participant in a defined benefit plan who has attained age 35,
and annually, in the case of a defined contribution plan, to
each plan participant, and shall furnish to any plan
participant or beneficiary who so requests,'', and
(2) by adding at the end the following flush sentence:
``Information furnished under the preceding sentence to a participant
in a defined benefit plan (other than at the request of the
participant) may be based on reasonable estimates determined under
regulations prescribed by the Secretary.''
(b) Rule for Multiemployer Plans.--Subsection (d) of section 105
(29 U.S.C. 1025) is amended to read as follows:
``(d) Each administrator of a plan to which more than 1
unaffiliated employer is required to contribute shall furnish to any
plan participant or beneficiary who so requests in writing, a statement
described in subsection (a).''
(c) Effective Date.--The amendments made by this section shall
apply to plan years beginning after the later of--
(1) the date of issuance by the Secretary of Labor of
regulations providing guidance for simplifying defined benefit
plan calculations with respect to the information required
under section 105 of the Employee Retirement Income Security
Act of 1974 (29 U.S.C. 1025), or
(2) December 31, 1999.
SEC. 202. REQUIREMENT OF ANNUAL, DETAILED INVESTMENT REPORTS APPLIED TO
CERTAIN 401(K) PLANS.
(a) In General.--Section 104(b)(3) (29 U.S.C. 1024(b)(3)) is
amended--
(1) by inserting ``(A)'' after ``(3)''; and
(2) by adding at the end the following new subparagraph:
``(B)(i) If, for any plan year, a plan includes a qualified
cash or deferred arrangement (as defined in section 401(k)(2)
of the Internal Revenue Code of 1986) and such plan covers less
than 100 participants, the administrator shall furnish (within
60 days after the end of such plan year) to each participant
and to each beneficiary receiving benefits under the plan an
annual investment report detailing such information as the
Secretary by regulation shall require.
``(ii) Clause (i) shall not apply with respect to any
participant described in section 404(c).''
(b) Regulations.--
(1) In general.--The Secretary of Labor, in prescribing
regulations required under section 104(b)(3)(B)(i) of the
Employee Retirement Income Security Act of 1974 (29 U.S.C.
1023(b)(3)(B)(i)), as added by subsection (a), shall consider
including in the information required in an annual investment
report the following:
(A) Total plan assets and liabilities as of the
beginning and ending of the plan year.
(B) Plan income and expenses and contributions made
and benefits paid for the plan year.
(C) Any transaction between the plan and the
employer, any fiduciary, or any 10-percent owner during
the plan year, including the acquisition of any
employer security or employer real property.
(D) Any noncash contributions made to or purchases
of nonpublicly traded securities made by the plan
during the plan year without an appraisal by an
independent third party.
(2) Electronic transfer.--The Secretary of Labor in
prescribing such regulations shall also make provision for the
electronic transfer of the required annual investment report by
a plan administrator to plan participants and beneficiaries.
(c) Effective Date.--The amendment made by subsection (a) shall
apply to plan years beginning after the date of the enactment of this
Act.
SEC. 203. INFORMATION REQUIRED TO BE PROVIDED TO INVESTMENT MANAGERS OF
401(K) PLANS.
(a) In General.--Section 105 (29 U.S.C. 1025) is amended by adding
at the end the following new subsection:
``(e) If--
``(1) the administrator of an individual account plan
described in section 401(k) of the Internal Revenue Code of
1986 provides for investment of the plan assets by means of a
contractual arrangement with another party, and
``(2) such other party is not required under such
arrangement to separately account for benefits accrued with
respect to each participant and beneficiary under this plan,
such administrator shall be treated as failing to meet the requirements
of subsection (a) unless, under such contractual arrangement, such
administrator provides to such other party such information as is
necessary to enable such party to separately account at any time for
benefits accrued with respect to each participant and beneficiary.''
(b) Civil Penalty for Violations.--Paragraph (1) of section 502(c)
(29 U.S.C. 1132(c)(1)) is amended by striking ``or section 101(e)(1)''
and inserting ``, section 101(e)(1), or section 105(e)''.
SEC. 204. STUDY ON INVESTMENTS IN COLLECTIBLES.
(a) Study.--The Secretary of Labor, in consultation with the
Secretary of the Treasury, shall study the extent to which pension
plans invest in collectibles and whether such investments present a
risk to the pension security of the participants and beneficiaries of
such plans.
(b) Report.--Not later than 12 months after the date of the
enactment of this Act, the Secretary of Labor shall submit a report to
the Congress containing the findings of the study described in
subsection (a) and any recommendations for legislative action.
SEC. 205. QUALIFIED EMPLOYER PLANS PROHIBITED FROM MAKING LOANS THROUGH
CREDIT CARDS AND OTHER INTERMEDIARIES.
(a) In General.--Subsection (a) of section 401 of the Internal
Revenue Code of 1986 is amended by adding after paragraph (34) the
following new paragraph:
``(35) Prohibition of loans through credit cards and other
intermediaries.--A trust shall not constitute a qualified trust
under this section if the plan makes any loan to any
beneficiary under the plan through the use of any credit card
or any other intermediary.''
(b) Effective Date.--The amendment made by subsection (a) shall
apply to plan years beginning after the date of the enactment of this
Act.
SEC. 206. MULTIEMPLOYER PLAN BENEFITS GUARANTEED.
(a) In General.--Section 4022A(c) (29 U.S.C. 1322a(c)) is amended--
(1) by striking ``$5'' each place it appears in paragraph
(1) and inserting ``$11'',
(2) by striking ``$15'' in paragraph (1) and inserting
``$33'', and
(3) by striking paragraphs (2), (5), and (6) and by
redesignating paragraphs (3) and (4) as paragraphs (2) and (3),
respectively.
(b) Effective Date.--The amendments made by this section shall
apply to any multiemployer plan that has not received financial
assistance (within the meaning of section 4261 of the Employee
Retirement Income Security Act of 1974) within the 1-year period ending
on the date of the enactment of this Act.
SEC. 207. PROHIBITED TRANSACTIONS.
(a) In General.--Section 502(i) (29 U.S.C. 1132(i)) is amended by
striking ``5 percent'' and inserting ``15 percent''.
(b) Effective Date.--The amendments made by this section shall
apply to prohibited transactions occurring after the date of the
enactment of this Act.
SEC. 208. SUBSTANTIAL OWNER BENEFITS.
(a) Modification of Phase-in of Guarantee.--Subparagraphs (B) and
(C) of section 4022(b)(5) (29 U.S.C. 1322(b)(5)) are amended to read as
follows:
``(B) For purposes of this title, the term `majority owner' has the
same meaning as substantial owner under subparagraph (A), except that
subparagraph (A) shall be applied by substituting `50 percent or more'
for `more than 10 percent' each place it appears.
``(C) In the case of a participant who is a majority owner, the
amount of benefits guaranteed under this section shall not exceed the
product of--
``(i) a fraction (not to exceed 1) the numerator of which
is the number of years from the later of the effective date or
the adoption date of the plan to the termination date, and the
denominator of which is 30, and
``(ii) the amount of the majority owner's monthly benefits
guaranteed under subsection (a) (as limited by paragraph (3) of
this subsection).''
(b) Modification of Allocation of Assets.--
(1) Section 4044(a)(4)(B) (29 U.S.C. 1344(a)(4)(B)) is
amended by striking ``section 4022(b)(5)'' and inserting
``section 4022(b)(5)(C)''.
(2) Section 4044(b) (29 U.S.C. 1344(b)) is amended--
(A) by striking ``(5)'' in paragraph (2) and
inserting ``(4), (5),'', and
(B) by redesignating paragraphs (3) through (6) as
paragraphs (4) through (7), respectively, and by
inserting after paragraph (2) the following new
paragraph:
``(3) If assets available for allocation under paragraph
(4) of subsection (a) are insufficient to satisfy in full the
benefits of all individuals who are described in that paragraph, the
assets shall be allocated first to benefits described in subparagraph
(A) of that paragraph. Any remaining assets shall then be allocated to
subparagraph (B). If assets allocated to subparagraph (B) are
insufficient to satisfy in full the benefits in that subparagraph, the
assets shall be allocated pro rata among individuals on the basis of
the present value (as of the termination date) of their respective
benefits described in that subparagraph.''
(c) Effective Date.--The amendments made by this section shall
apply to plan terminations--
(1) under section 4041(c) of the Employee Retirement Income
Security Act of 1974 (29 U.S.C. 1341(c)) with respect to which
notices of intent to terminate are provided under section
4041(a)(2) of such Act (29 U.S.C. 1341(a)(2)) on or after the
date of the enactment of this Act, or
(2) under section 4042 of such Act (29 U.S.C. 1342) with
respect to which proceedings are instituted by the corporation
on or after such date.
SEC. 209. REVERSION REPORT.
(a) In General.--Section 4008 (29 U.S.C. 1308) is amended by adding
at the end the following new subsection:
``(b) Reversion Report.--As soon as practicable after the close of
each fiscal year, the Secretary of Labor (acting in the Secretary's
capacity as chairman of the corporation's board) shall transmit to the
President and the Congress a report providing information on plans from
which residual assets were distributed to employers pursuant to section
4044(d).''
(b) Conforming Amendment.--Section 4008 (29 U.S.C. 1308) is amended
by striking ``Sec. 4008.'' and inserting ``Sec. 4008. (a) Annual
Report.--''.
(c) Effective Date.--The amendments made by this section shall
apply to fiscal years beginning after September 30, 1999.
Subtitle B--ERISA Enforcement
SEC. 211. CIVIL PENALTIES FOR BREACH OF FIDUCIARY RESPONSIBILITIES MADE
DISCRETIONARY, ETC.
(a) Imposition and Amount of Penalty Made Discretionary.--Section
502(l)(1) (29 U.S.C. 1132(l)) is amended--
(1) by striking ``shall'' and inserting ``may'', and
(2) by striking ``equal to'' and inserting ``not greater
than''.
(b) Applicable Recovery Amount.--Section 502(l)(2) (29 U.S.C.
1132(l)(2)) is amended to read as follows:
``(2) For purposes of paragraph (1), the term `applicable recovery
amount' means any amount which is recovered from (or on behalf of) any
fiduciary or other person with respect to a breach or violation
described in paragraph (1) on or after the 30th day following receipt
by such fiduciary or other person of written notice from the Secretary
of the violation, whether paid voluntarily or by order of a court in a
judicial proceeding instituted by the Secretary under paragraph (2) or
(5) of subsection (a). The Secretary may, in the Secretary's sole
discretion, extend the 30-day period described in the preceding
sentence.''.
(c) Other Rules.--Section 502(l) is amended by adding at the end
the following new paragraphs:
``(5) A person shall be jointly and severally liable for the
penalty described in paragraph (1) to the same extent that such person
is jointly and severally liable for the applicable recovery amount on
which the penalty is based.
``(6) No penalty shall be assessed under this subsection unless the
person against whom the penalty is assessed is given notice and
opportunity for a hearing with respect to the violation and applicable
recovery amount.''
(d) Effective Dates.--
(1) In general.--The amendments made by this section shall
apply to any breach of fiduciary responsibility or other
violation of part 4 of title I of the Employee Retirement
Income Security Act of 1974 occurring on or after the date of
the enactment of this Act.
(2) Transition rule.--In applying the amendment made by
subsection (b), a breach or other violation occurring before
the date of the enactment of this Act which continues after the
180th day after such date (and which may be discontinued at any
time during its existence) shall be treated as having occurred
on the day after such date of enactment.
SEC. 212. REPORTING AND ENFORCEMENT REQUIREMENTS FOR EMPLOYEE BENEFIT
PLANS.
(a) In General.--Part 1 of subtitle B of title I (29 U.S.C. 1021 et
seq.) is amended--
(1) by redesignating section 111 as section 112, and
(2) inserting after section 110 the following new section:
``direct reporting of certain events
``Sec. 111. (a) Required Notifications.--
``(1) Notifications by plan administrator.--Within 5
business days after an administrator of an employee benefit
plan determines that there is evidence (or after the
administrator is notified under paragraph (2)) that an
irregularity may have occurred with respect to the plan, the
administrator shall--
``(A) notify the Secretary of the irregularity in
writing; and
``(B) furnish a copy of such notification to the
accountant who is currently engaged under section
103(a)(3)(A).
``(2) Notifications by accountant.--
``(A) In general.--Within 5 business days after an
accountant engaged by the administrator of an employee
benefit plan under section 103(a)(3)(A) determines in
connection with such engagement that there is evidence
that an irregularity may have occurred with respect to
the plan, the accountant shall--
``(i) notify the plan administrator of the
irregularity in writing, or
``(ii) if the accountant determines that
there is evidence that the irregularity may
have involved an individual who is the plan
administrator or who is a senior official of
the plan administrator, notify the Secretary of
the irregularity in writing.
``(B) Notification upon failure of plan
administrator to notify.--If an accountant who has
provided notification to the plan administrator
pursuant to subparagraph (A)(i) does not receive a copy
of the administrator's notification to the Secretary
required in paragraph (1) within the 5-business day
period specified therein, the accountant shall furnish
to the Secretary a copy of the accountant's
notification made to the plan administrator on the next
business day following such period.
``(3) Irregularity defined.--
``(A) For purposes of this subsection, the term
`irregularity' means--
``(i) a theft, embezzlement, or a violation
of section 664 of title 18, United States Code
(relating to theft or embezzlement from an
employee benefit plan);
``(ii) an extortion or a violation of
section 1951 of title 18, United States Code
(relating to interference with commerce by
threats or violence);
``(iii) a bribery, a kickback, or a
violation of section 1954 of title 18, United
States Code (relating to offer, acceptance, or
solicitation to influence operations of an
employee benefit plan);
``(iv) a violation of section 1027 of title
18, United States Code (relating to false
statements and concealment of facts in relation
to employee benefit plan records); or
``(v) a violation of section 411, 501, or
511 of this title (relating to criminal
violations).
``(B) The term `irregularity' does not include any
act or omission described in this paragraph involving
less than $1,000 unless there is reason to believe that
the act or omission may bear on the integrity of plan
management.
``(b) Notification Upon Termination of Engagement of Accountant.--
``(1) Notification by plan administrator.--Within 5
business days after the termination of an engagement of an
accountant under section 103(a)(3)(A) with respect to an
employee benefit plan, the administrator of such plan shall--
``(A) notify the Secretary in writing of such
termination, giving the reasons for such termination,
and
``(B) furnish the accountant whose engagement was
terminated with a copy of the notification sent to the
Secretary.
``(2) Notification by accountant.--If the accountant
referred to in paragraph (1)(B) has not received a copy of the
administrator's notification to the Secretary as required under
paragraph (1)(B), or if the accountant disagrees with the
reasons given in the notification of termination of the
engagement for auditing services, the accountant shall notify
the Secretary in writing of the termination, giving the reasons
for the termination, within 10 business days after the
termination of the engagement.
``(c) Determination of Periods Required for Notification.--In
determining whether a notification required under this section with
respect to any act or omission has been made within the required number
of business days--
``(1) the day on which such act or omission begins shall
not be included; and
``(2) Saturdays, Sundays, and legal holidays shall not be
included.
For purposes of this subsection, the term `legal holiday' means any
Federal legal holiday and any other day appointed as a holiday by the
State in which the person responsible for making the notification
principally conducts business.
``(d) Immunity for Good Faith Notification.--No accountant or plan
administrator shall be liable to any person for any finding,
conclusion, or statement made in any notification made pursuant to
subsection (a)(2) or (b)(2), or pursuant to any regulations issued
under those subsections, if the finding, conclusion, or statement is
made in good faith.''
(b) Civil Penalty.--
(1) In general.--Section 502(c) (29 U.S.C. 1132(c)) is
amended by inserting after paragraph (6) the following new
paragraph:
``(8)(A) The Secretary may assess a civil penalty of up to $50,000
against any administrator who fails to provide the Secretary with any
notification as required under section 111.
``(B) The Secretary may assess a civil penalty of up to $50,000
against any accountant who knowingly and willfully fails to provide the
Secretary with any notification as required under section 111.''
(2) Conforming amendment.--Section 502(a)(6) (29 U.S.C.
1132(a)(6)) is amended by striking ``or (6)'' and inserting
``(6), or (8)''.
(c) Clerical Amendments.--
(1) Section 514(d) (29 U.S.C. 114(d)) is amended by
striking ``111'' and inserting ``112''.
(2) The table of contents in section 1 is amended by
striking the item relating to section 111 and inserting the
following new items:
``Sec. 111. Direct reporting of certain events.
``Sec. 112. Repeal and effective date.''
(d) Effective Date.--The amendments made by this section shall
apply with respect to any irregularity or termination of engagement
described in the amendments only if the 5-day period described in the
amendments in connection with the irregularity or termination commences
at least 90 days after the date of the enactment of this Act.
SEC. 213. ADDITIONAL REQUIREMENTS FOR QUALIFIED PUBLIC ACCOUNTANTS.
(a) In General.--Section 103(a)(3)(D) (29 U.S.C. 1023(a)(3)(D)) is
amended--
(1) by inserting ``(i)'' after ``(D)'';
(2) by inserting ``, with respect to any engagement of an
accountant under subparagraph (A)'' after ``means'';
(3) by redesignating clauses (i), (ii), and (iii) as
subclauses (I), (II), and (III), respectively;
(4) by striking the period at the end of subclause (III)
(as so redesignated) and inserting a comma;
(5) by adding after and below subclause (III) (as so
redesignated), the following: ``but only if such person meets
the requirements of clauses (ii) and (iii), with respect to
such engagement.''; and
(6) by adding at the end the following new clauses:
``(ii) A person meets the requirements of this
clause with respect to an engagement of the person as
an accountant under subparagraph (A) if the person--
``(I) has in operation an appropriate
internal quality control system;
``(II) has undergone a qualified external
quality control review of the person's
accounting and auditing practices, including
such practices relevant to employee benefit
plans (if any), during the 3-year period
immediately preceding such engagement; and
``(III) has completed, within the 2
calendar years immediately preceding such
engagement, such continuing education or
training as the Secretary in regulations
determines is necessary to maintain
professional proficiency in connection with
employee benefit plans.
``(iii) A person meets the requirements of this
clause with respect to an engagement of the person as
an accountant under subparagraph (A) if the person
meets such additional requirements and qualifications
of regulations which the Secretary deems necessary to
ensure the quality of plan audits.
``(iv) For purposes of clause (ii)(II), an external
quality control review shall be treated as qualified
with respect to a person referred to in clause (ii)
if--
``(I) such review is performed in
accordance with the requirements of external
quality control review programs of recognized
auditing standard setting bodies, as determined
in regulations of the Secretary, and
``(II) in the case of any such person who
has, during the peer review period, conducted 1
or more previous audits of employee benefit
plans, such review includes the review of an
appropriate number (determined as provided in
such regulations, but in no case less than 1)
of plan audits in relation to the scale of the
person's auditing practice.''
(b) Effective Dates.--
(1) In general.--Except as provided in paragraph (2), the
amendments made by this section apply with respect to plan
years beginning on or after the date which is 3 years after the
date of the enactment of this Act.
(2) Restrictions on conducting examinations.--Clause (iii)
of section 103(a)(1)(D) of the Employee Retirement Income
Security Act of 1974 (as added by subsection (a)(6)) takes
effect on the date of enactment of this Act.
(3) Regulations.--The Secretary shall issue regulations
under this section no later than December 31, 2000.
SEC. 214. INSPECTOR GENERAL STUDY.
(a) Study.--The Inspector General of the Department of Labor shall
conduct a study on the need for regulatory standards and procedures to
authorize the Secretary, in appropriate cases, to prohibit persons from
serving as qualified accountants for purposes of section 103 of the
Employee Retirement Income Security Act of 1974 (29 U.S.C. 1023).
(b) Matters To Be Studied.--In conducting the study under this
section, the Inspector General shall address whether standards and
procedures to prohibit persons from serving as qualified public
accountants are likely to improve the quality of employee benefit plan
audits, and the potential for increased costs to plans. If the
Inspector General concludes that regulations incorporating standards
and procedures would be appropriate, the study shall include
recommended standards and procedures.
(c) Report.--Not later than 1 year after the date of the enactment
of this Act, the Inspector General shall submit a report on the results
of the study conducted pursuant to this section to each house of
Congress and the Secretary of Labor.
Subtitle C--Increase in Excise Tax on Employer Reversions
SEC. 221. INCREASE IN EXCISE TAX.
(a) In General.--Section 4980 of the Internal Revenue Code of 1986
(relating to tax on reversion of qualified plan assets to employer) is
amended--
(1) in subsection (a), by striking ``20 percent'' and
inserting ``35 percent''; and
(2) in subsection (d)(1), by striking ``substituting `50
percent' for `20 percent' with respect to any employer
reversion'' and inserting ``substituting `65 percent' for `35
percent' with respect to any employer reversion''.
(b) Effective Date.--
(1) In general.--Except as provided in paragraph (2), the
amendment made by this section shall apply to reversions
occurring after December 31, 1999.
(2) Exception.--The amendment made by this section shall
not apply to any reversion after December 31, 1999, if--
(A) in the case of plans subject to title IV of the
Employee Retirement Income Security Act of 1974, a
notice of intent to terminate under such title was provided to
participants (or if no participants, to the Pension Benefit Guaranty
Corporation) before June 25, 1999,
(B) in the case of plans subject to title I (and
not to title IV) of such Act, a notice of intent to
reduce future accruals under section 204(h) of such Act
was provided to participants in connection with the
termination before June 25, 1999,
(C) in the case of plans not subject to title I or
IV of such Act, a request for a determination letter
with respect to the termination was filed with the
Secretary of the Treasury or the Secretary's delegate
before June 25, 1999, or
(D) in the case of plans not subject to title I or
IV of such Act and having only 1 participant, a
resolution terminating the plan was adopted by the
employer before June 25, 1999.
TITLE III--PORTABILITY
SEC. 301. FASTER VESTING OF EMPLOYER MATCHING CONTRIBUTIONS.
(a) Amendment of Internal Revenue Code.--Paragraph (2) of section
411(a) of the Internal Revenue Code of 1986 (relating to employer
contributions) is amended--
(1) by inserting ``, and, if applicable, (C)'' after ``or
(B)'', and
(2) by adding at the end the following new subparagraph:
``(C) Matching contributions.--In the case of a
plan that includes an accrued benefit derived from
matching contributions (as defined in section
401(m)(4)(A)), the plan satisfies the requirements of
this subparagraph if--
``(i) an employee who has completed at
least 3 years of service has a nonforfeitable
right to 100 percent of the employee's accrued
benefit derived from such matching
contributions, or
``(ii) an employee has a nonforfeitable
right to a percentage of the employee's accrued
benefit derived from employer matching
contributions (as so defined) determined under
the following table:
The nonforfeitable
``Years of service: percentage is:
2............................................. 20
3............................................. 40
4............................................. 60
5............................................. 80
6............................................. 100.''
(b) Amendment of ERISA.--Paragraph (2) of section 203(a) of the
Employee Retirement Income Security Act of 1974 (29 U.S.C. 1053(a)) is
amended--
(1) by inserting ``, and, if applicable, (C)'' after ``or
(B)'', and
(2) by adding at the end the following new subparagraph:
``(C) Matching contributions.--In the case of a
plan that includes an accrued benefit derived from
matching contributions (as defined in section
401(m)(4)(A) of the Internal Revenue Code of 1986), the
plan satisfies the requirements of this subparagraph
if--
``(i) an employee who has completed at
least 3 years of service has a nonforfeitable
right to 100 percent of the employee's accrued
benefit derived from such matching
contributions, or
``(ii) an employee has a nonforfeitable
right to a percentage of the employee's accrued
benefit derived from employer matching
contributions (as so defined) determined under
the following table:
The nonforfeitable
``Years of service: percentage is:
2............................................. 20
3............................................. 40
4............................................. 60
5............................................. 80
6............................................. 100.''
(c) Effective Date.--
(1) In general.--Except as provided in paragraphs (2) and
(3), the amendments made by this section shall apply to plan
years beginning after December 31, 1999.
(2) Application to current employees.--The amendments made
by this section shall not apply to any employee who does not
have at least 1 hour of service in any plan year beginning
after December 31, 1999.
(3) Collective bargaining agreements.--In the case of a
plan maintained pursuant to 1 or more collective bargaining
agreements between employee representatives and 1 or more
employers ratified by the date of the enactment of this Act,
the amendments made by this section shall not apply to
employees covered by any such agreement in plan years beginning
before the earlier of--
(A) the later of--
(i) the date on which the last of such
collective bargaining agreements terminates
(determined without regard to any extension
thereof on or after such date of enactment), or
(ii) January 1, 2000, or
(B) January 1, 2004.
SEC. 302. RATIONALIZATION OF THE RESTRICTIONS ON DISTRIBUTIONS FROM
401(K) PLANS.
(a) In General.--Section 401(k)(2)(B)(i)(I) of the Internal Revenue
Code of 1986 (relating to qualified cash or deferred arrangements) is
amended by striking ``separation from service'' and inserting
``severance from employment''.
(b) Business Sale Requirements Deleted.--
(1) In general.--Section 401(k)(2)(B)(i)(II) of the
Internal Revenue Code of 1986 (relating to qualified cash or
deferred arrangements) is amended by striking ``an event'' and
inserting ``a plan termination''.
(2) Conforming amendments.--Section 401(k)(10) of such Code
is amended--
(A) by striking subparagraph (A) and inserting the
following:
``(A) In general.--A plan termination is described
in this paragraph if the termination of the plan is
without establishment or maintenance of another defined
contribution plan (other than an employee stock
ownership plan as defined in section 4975(e)(7)).'',
(B) by striking subparagraph (C), and
(C) by striking ``or disposition of assets or
subsidiary'' in the heading.
(c) Effective Date.--The amendments made by this section shall
apply to distributions after December 31, 1999.
SEC. 303. TREATMENT OF TRANSFERS BETWEEN DEFINED CONTRIBUTION PLANS.
(a) In General.--Section 411(d)(6) of the Internal Revenue Code of
1986 (relating to accrued benefit not to be decreased by amendment) is
amended by adding at the end the following new subparagraph:
``(D) Plan transfers.--A defined contribution plan
(in this subparagraph referred to as the `transferee
plan') shall not be treated as failing to meet the
requirements of this paragraph merely because the
transferee plan does not provide some or all of the
forms of distribution previously available under
another defined contribution plan (in this subparagraph
referred to as the `transferor plan') to the extent
that--
``(i) the forms of distribution previously
available under the transferor plan applied to
the account of a participant or beneficiary
under the transferor plan that was transferred
from the transferor plan to the transferee plan
pursuant to a direct transfer rather than
pursuant to a distribution from the transferor
plan,
``(ii) the terms of both the transferor
plan and the transferee plan authorize the
transfer described in clause (i),
``(iii) the transfer described in clause
(i) was made pursuant to a voluntary election
by the participant or beneficiary whose account
was transferred to the transferee plan,
``(iv) the election described in clause
(iii) was made after the participant or
beneficiary received a notice describing the
consequences of making the election,
``(v) if the transferor plan provides for
an annuity as the normal form of distribution
under the plan in accordance with section 417,
the transfer is made with the consent of the
participant's spouse (if any), and such consent
meets requirements similar to the requirements
imposed by section 417(a)(2), and
``(vi) the transferee plan allows the
participant or beneficiary described in clause
(iii) to receive any distribution to which the
participant or beneficiary is entitled under
transferee plan in the form of a single sum
distribution.''
(b) Conforming Amendment.--Section 204(g) of the Employee
Retirement Income Security Act of 1974 (29 U.S.C. 1054(g)) is amended
by adding at the end the following new paragraph:
``(4) A defined contribution plan (in this paragraph referred to as
the `transferee plan') shall not be treated as failing to meet the
requirements of this subsection merely because the transferee plan does
not provide some or all of the forms of distribution previously
available under another defined contribution plan (in this paragraph
referred to as the `transferor plan') to the extent that--
``(A) the forms of distribution previously available under
the transferor plan applied to the account of a participant or
beneficiary under the transferor plan that was transferred from
the transferor plan to the transferee plan pursuant to a direct
transfer rather than pursuant to a distribution from the
transferor plan,
``(B) the terms of both the transferor plan and the
transferee plan authorize the transfer described in
subparagraph (A),
``(C) the transfer described in subparagraph (A) was made
pursuant to a voluntary election by the participant or
beneficiary whose account was transferred to the transferee
plan,
``(D) the election described in subparagraph (C) was made
after the participant or beneficiary received a notice
describing the consequences of making the election,
``(E) if the transferor plan provides for an annuity as the
normal form of distribution under the plan in accordance with
section 205, the transfer is made with the consent of the
participant's spouse (if any), and such consent meets
requirements similar to the requirements imposed by section 205(c)(2),
and
``(F) the transferee plan allows the participant or
beneficiary described in subparagraph (C) to receive any
distribution to which the participant or beneficiary is
entitled under transferee plan in the form of a single sum
distribution.''
(b) Effective Date.--The amendments made by this section shall
apply to transfers after December 31, 1999.
SEC. 304. MISSING PARTICIPANTS.
(a) In General.--Section 4050 of the Employee Retirement Income
Security Act of 1974 (29 U.S.C. 1350) is amended by redesignating
subsection (c) as subsection (e) and by inserting after subsection (b)
the following new subsections:
``(c) Multiemployer Plans.--The corporation shall prescribe rules
similar to the rules in subsection (a) for multiemployer plans covered
by this title that terminate under section 4041A.
``(d) Plans Not Otherwise Subject to Title.--
``(1) Transfer to corporation.--The plan administrator of a
plan described in paragraph (4) may elect to transfer a missing
participant's benefits to the corporation upon termination of
the plan.
``(2) Information to the corporation.--To the extent
provided in regulations, the plan administrator of a plan
described in paragraph (4) shall, upon termination of the plan,
provide the corporation information with respect to benefits of
a missing participant if the plan transfers such benefits--
``(A) to the corporation, or
``(B) to an entity other than the corporation or a
plan described in paragraph (4)(B)(ii).
``(3) Payment by the corporation.--If benefits of a missing
participant were transferred to the corporation under paragraph
(1), the corporation shall, upon location of the participant or
beneficiary, pay to the participant or beneficiary the amount
transferred (or the appropriate survivor benefit) either--
``(A) in a single sum (plus interest), or
``(B) in such other form as is specified in
regulations of the corporation.
``(4) Plans described.--A plan is described in this
paragraph if--
``(A) the plan is a pension plan (within the
meaning of section 3(2))--
``(i) to which the provisions of this
section do not apply (without regard to this
subsection), and
``(ii) which is not a plan described in
paragraphs (2) through (11) of section 4021(b),
and
``(B) at the time the assets are to be distributed
upon termination, the plan--
``(i) has missing participants, and
``(ii) has not provided for the transfer of
assets to pay the benefits of all missing
participants to another pension plan (within
the meaning of section 3(2)).
``(5) Certain provisions not to apply.--Subsections (a)(1)
and (a)(3) shall not apply to a plan described in paragraph
(4).''
(b) Conforming Amendments.--
(1) Section 206(f) of the Employee Retirement Income
Security Act of 1974 (29 U.S.C. 1056(f)) is amended--
(A) by striking ``title IV'' and inserting
``section 4050'', and
(B) by striking ``the plan shall provide that,''.
(2) Section 401(a)(34) of the Internal Revenue Code of 1986
(relating to benefits of missing participants on plan
termination) is amended by striking ``title IV'' and inserting
``section 4050''.
(c) Effective Date.--The amendments made by this section shall
apply to distributions made after final regulations implementing
subsections (c) and (d) of section 4050 of the Employee Retirement
Income Security Act of 1974 (as added by subsection (a)), respectively,
are prescribed.
SEC. 305. ALLOWANCE OF ROLLOVERS FROM AND TO 403(B) PLANS.
(a) Rollovers From Section 403(b) Plans.--Section 403(b)(8)(A)(ii)
of the Internal Revenue Code of 1986 (relating to rollover amounts) is
amended by striking ``such distribution'' and all that follows and
inserting ``such distribution to an eligible retirement plan described
in section 402(c)(8)(B), and''.
(b) Rollovers to Section 403(b) Plans.--Section 402(c)(8)(B) of
such Code (defining eligible retirement plan) is amended by striking
``and'' at the end of clause (ii), by striking the period at the end of
clause (iv) and inserting ``, and'', and by adding at the end the
following:
``(v) an annuity contract described in
section 403(b).''
(c) Conforming Amendments.--
(1) Section 72(o)(4) of such Code is amended by striking
``and 408(d)(3)'' and inserting ``403(b)(8), and 408(d)(3)''.
(2) Section 401(a)(31)(B) of such Code is amended by
striking ``and 403(a)(4)'' and inserting ``, 403(a)(4), and
403(b)(8)''.
(3) Subparagraph (B) of section 403(b)(8) of such Code is
amended by inserting ``and (9)'' after ``through (7)''.
(4) Subparagraphs (A) and (B) of section 415(b)(2) of such
Code are each amended by striking ``and 408(d)(3)'' and
inserting ``403(b)(8), and 408(d)(3)''.
(d) Effective Date; Special Rule.--
(1) Effective date.--The amendments made by this section
shall apply to distributions after December 31, 1999.
(2) Special rule.--Notwithstanding any other provision of
law, subsections (h)(3) and (h)(5) of section 1122 of the Tax
Reform Act of 1986 shall not apply to any distribution from an
eligible retirement plan on behalf of an individual if there
was a rollover to such plan on behalf of such individual which
is permitted solely by reason of any amendment made by this
section.
SEC. 306. ROLLOVER CONTRIBUTIONS FROM DEFERRED COMPENSATION PLANS OF
STATE AND LOCAL GOVERNMENTS.
(a) Rollovers From Section 457 Plans.--
(1) In general.--Section 457(e) of the Internal Revenue
Code of 1986 (relating to other definitions and special rules)
is amended by adding at the end the following:
``(16) Rollover amounts.--
``(A) General rule.--In the case of an eligible
deferred compensation plan of an eligible employer
described in paragraph (1)(A), if--
``(i) any portion of the balance to the
credit of an employee in such plan is paid to
such employee in a rollover distribution (other
than a distribution described in subsection
(d)(1)(A)(iii) or in subparagraph (A) or (B) of
section 402(c)(4)),
``(ii) the employee transfers any portion
of the property such employee receives in such
distribution to an individual retirement plan
(as defined in section 7701(a)(37), and
``(iii) in the case of a distribution of
property other than money, the amount so
transferred consists of the property
distributed,
then such distribution (to the extent so transferred)
shall not be includible in gross income for the taxable
year in which paid.
``(B) Certain rules made applicable.--Rules similar
to the rules of section 401(a)(31), paragraphs (2),
(3), (5), (6), (7), and (9) of section 402(c), and
section 402(f) shall apply for purposes of subparagraph (A).''
(2) Distribution requirements.--Section 457(d)(1)(A) of
such Code (relating to distribution requirements) is amended by
inserting ``except as provided in subsection (e)(16),'' after
``(A)''.
(3) Conforming amendments.--
(A) Section 72(o)(4) of such Code is amended--
(i) by striking ``and 408(d)(3)'' and
inserting ``408(d)(3), and 457(e)(16)'',
(ii) by inserting ``or excludable'' after
``deductible'' each place it appears, and
(iii) in the heading by inserting ``or
Excludable'' after ``Deductible''.
(B) Section 219(d)(2) of such Code is amended by
striking ``or 408(d)(3)'' and inserting ``408(d)(3), or
457(e)(16)''.
(C) Section 401(a)(31)(B) of such Code is amended
by striking ``and 403(b)(8)'' and inserting ``,
403(b)(8), and 457(e)(16)''.
(D) Paragraph (4) of section 402(c) of such Code is
amended by inserting ``or in an eligible deferred
compensation plan (as defined in section 457(b)) of an
eligible employer described in section 457(e)(1)(A)''
after ``qualified trust''.
(E) Section 408(a)(1) of such Code is amended by
striking ``or 403(b)(8)'' and inserting ``, 403(b)(8),
or 457(e)(16)''.
(F) Section 408(d)(3)(A)(ii) of such Code is
amended by striking ``or'' after ``501(a)'' and
inserting a comma, and by inserting ``, or from an
eligible deferred compensation plan described in
section 457(b)'' after ``contribution)''.
(G) Subparagraphs (A) and (B) of section 415(b)(2)
of such Code are each amended by striking ``and
408(d)(3)'' and inserting ``408(d)(3), and 457(e)(16)''.
(H) Section 4973(b)(1)(A) of such Code is amended
by striking ``or 408(d)(3)'' and inserting ``408(d)(3),
or 457(e)(16)''.
(d) Effective Date; Special Rule.--
(1) Effective date.--The amendments made by this section
shall apply to distributions after December 31, 1999.
(2) Special rule.--Notwithstanding any other provision of
law, subsections (h)(3) and (h)(5) of section 1122 of the Tax
Reform Act of 1986 shall not apply to any distribution from an
individual retirement plan on behalf of an individual if there
was a rollover to such plan on behalf of such individual which
is permitted solely by reason of any amendment made by this
section.
SEC. 307. EXTENSION OF 60-DAY ROLLOVER PERIOD IN THE CASE OF
PRESIDENTIALLY DECLARED DISASTERS AND SERVICE IN COMBAT
ZONE.
(a) In General.--Paragraph (1) of section 7508(a) of the Internal
Revenue Code of 1986 (relating to time postponed for performing certain
acts) is amended by striking ``and'' at the end of subparagraph (J), by
redesignating subparagraph (K) as subparagraph (L), and by inserting
after subparagraph (J) the following new subparagraph:
``(K) Rollover of any distribution within the 60-
day period specified in section 402(c)(3) or
408(d)(3)(A); and''.
(b) Effective Date.--The amendment made by this section shall apply
to distributions made after December 31, 1999.
SEC. 308. PURCHASE OF SERVICE CREDIT IN GOVERNMENTAL DEFINED BENEFIT
PLANS.
(a) 403(b) Plans.--Subsection (b) of section 403 of the Internal
Revenue Code of 1986 is amended by adding at the end the following new
paragraph:
``(13) Trustee-to-trustee transfers to purchase permissive
service credit.--No amount shall be includible in gross income
by reason of a direct trustee-to-trustee transfer to a defined
benefit governmental plan (as defined in section 414(d)) if
such transfer is--
``(A) for the purchase of permissive service credit
(as defined in section 415(n)(3)(A)) under such plan,
or
``(B) a repayment to which section 415 does not
apply by reason of subsection (k)(3) thereof.''
(b) 457 Plans.--Subsection (e) of section 457 of such Code, as
amended by section 306, is amended by adding at the end the following
new paragraph:
``(17) Trustee-to-trustee transfers to purchase permissive
service credit.--No amount shall be includible in gross income
by reason of a direct trustee-to-trustee transfer to a defined
benefit governmental plan (as defined in section 414(d)) if
such transfer is--
``(A) for the purchase of permissive service credit
(as defined in section 415(n)(3)(A)) under such plan,
or
``(B) a repayment to which section 415 does not
apply by reason of subsection (k)(3) thereof.''
(c) Effective Date.--The amendments made by this section shall
apply to trustee-to-trustee transfers after December 31, 1999.
TITLE IV--COMPREHENSIVE WOMEN'S PENSION PROTECTION
Subtitle A--Pension Reform
SEC. 401. PENSION RIGHT TO KNOW PROPOSALS.
(a) Spouse's Right To Know Distribution Information.--
(1) Amendment of internal revenue code.--Paragraph (3) of
section 417(a) of the Internal Revenue Code of 1986 (relating
to definitions and special rules for purposes of minimum
survivor annuity requirements) is amended by adding at the end
the following new subparagraph:
``(C) Explanation to spouse.--At the time a plan
provides a participant with a written explanation under
subparagraph (A) or (B), such plan shall provide a copy
of such explanation to such participant's spouse. If
the last known address of the spouse is the same as the
last known address of the participant, the requirement
of the preceding sentence shall be treated as met if
the copy referred to in the preceding sentence is
included in a single mailing made to such address and
addressed to both such participant and spouse.''
(2) Amendment of erisa.--Paragraph (3) of section 205(c) of
Employee Retirement Income Security Act of 1974 is amended by
adding at the end the following new subparagraph:
``(C) Explanation to spouse.--At the time a plan
provides a participant with a written explanation under
subparagraph (A) or (B), such plan shall provide a copy
of such explanation to such participant's spouse. If the last known
address of the spouse is the same as the last known address of the
participant, the requirement of the preceding sentence shall be treated
as met if the copy referred to in the preceding sentence is included in
a single mailing made to such address and addressed to both such
participant and spouse.''
(b) Employee's Right To Know of Opportunity for Elective
Contributions Under 401(k) Plans.--Subparagraph (D) of section
401(k)(12) of the Internal Revenue Code of 1986 (relating to notice
requirements) is amended--
(1) by striking ``, within a reasonable period before any
year,'' and inserting ``before the 60th day before the
beginning of any year'', and
(2) by adding at the end the following new flush sentence:
``The requirements of paragraph (11)(B)(iii) shall
apply for purposes of this subparagraph.''
SEC. 402. WOMEN'S PENSION TOLL-FREE PHONE NUMBER.
(a) In General.--The Secretary of Labor shall contract with an
independent organization to create a women's pension toll-free
telephone number and contact to serve as--
(1) a resource for women on pension questions and issues;
(2) a source for referrals to appropriate agencies; and
(3) a source for printed information.
(b) Authorization of Appropriations.--There are authorized to be
appropriated $1,000,000 for each of the fiscal years 2000, 2001, 2002,
and 2003 to carry out subsection (a).
SEC. 403. MODIFICATION OF GOVERNMENT PENSION OFFSET.
(a) Wife's Insurance Benefits.--Section 202(b)(4)(A) of the Social
Security Act (42 U.S.C. 402(b)(4)(A)) is amended--
(1) by inserting ``the amount (if any) by which the sum of
such benefit (before reduction under this paragraph) and''
after ``two-thirds of''; and
(2) by inserting ``exceeds the amount described in
subsection (z) for such month,'' before ``if''.
(b) Husband's Insurance Benefits.--Section 202(c)(2)(A) of such Act
(42 U.S.C. 402(c)(2)(A)) is amended--
(1) by inserting ``the amount (if any) by which the sum of
such benefit (before reduction under this paragraph) and''
after ``two-thirds of''; and
(2) by inserting ``exceeds the amount described in
subsection (z) for such month,'' before ``if''.
(c) Widow's Insurance Benefits.--Section 202(e)(7)(A) of such Act
(42 U.S.C. 402(e)(7)(A)) is amended--
(1) by inserting ``the amount (if any) by which the sum of
such benefit (before reduction under this paragraph) and''
after ``two-thirds of''; and
(2) by inserting ``exceeds the amount described in
subsection (z) for such month,'' before ``if''.
(d) Widower's Insurance Benefits.--Section 202(f)(2)(A) of such Act
(42 U.S.C. 402(f)(2)(A)) is amended--
(1) by inserting ``the amount (if any) by which the sum of
such benefit (before reduction under this paragraph) and''
after ``two-thirds of''; and
(2) by inserting ``exceeds the amount described in
subsection (z) for such month,'' before ``if''.
(e) Mother's and Father's Insurance Benefits.--Section 202(g)(4)(A)
of such Act (42 U.S.C. 402(g)(4)(A)) is amended--
(1) by inserting ``the amount (if any) by which the sum of
such benefit (before reduction under this paragraph) and''
after ``two-thirds of''; and
(2) by inserting ``exceeds the amount described in
subsection (z) for such month,'' before ``if''.
(f) Amount Described.--Section 202 of such Act (42 U.S.C. 402) is
amended by adding at the end the following:
``(z) The amount described in this subsection is, for months in
each 12-month period beginning in December of 1999, and each succeeding
calendar year, the greater of--
``(1) $1,200; or
``(2) the amount applicable for months in the preceding 12-
month period, increased by the cost-of-living adjustment for
such period determined for an annuity under section 8340 of
title 5, United States Code (without regard to any other
provision of law).''
(g) Limitations on Reductions in Benefits.--Section 202 of such Act
(42 U.S.C. 402), as amended by subsection (f), is amended by adding at
the end the following:
``(aa) For any month after December 1999, in no event shall an
individual receive a reduction in a benefit under subsection (b)(4)(A),
(c)(2)(A), (e)(7)(A), (f)(2)(A), or (g)(4)(A) for the month that is
more than the reduction in such benefit that would have applied for
such month under such subsections as in effect on December 1, 1999.''
(h) Effective Date.--The amendments made by this section shall
apply with respect to monthly insurance benefits payable under title II
of the Social Security Act for months after December 1999.
SEC. 404. PERIODS OF FAMILY AND MEDICAL LEAVE TREATED AS HOURS OF
SERVICE FOR PENSION PARTICIPATION AND VESTING.
(a) Amendments of Internal Revenue Code.--
(1) Participation.--
(A) In general.--Paragraph (3) of section 410(a)
(relating to minimum participation standards) is
amended by adding at the end the following new
subparagraph:
``(E) Family and medical leave treated as
service.--
``(i) In general.--For purposes of this
subsection, in the case of an individual who is
absent from work on leave required to be given
to such individual under the Family and Medical
Leave Act of 1993, the plan shall treat as
hours of service--
``(I) the hours of service which
otherwise would normally have been
credited to such individual but for
such absence, or
``(II) in any case in which the
plan is unable to determine the hours
described in subclause (I), 8 hours of
service per day of absence.
``(ii) Year to which hours are credited.--
The hours described in clause (i) shall be
treated as hours of service as provided in this
subparagraph--
``(I) only in the year in which the
absence from work begins, if section
411(a)(5)(E)(ii)(I) requires hours to
be credited to the year in which the
absence from work begins, or
``(II) in any other case, in the
immediately following year.''
(B) Coordination with treatment of maternity and
paternity absences under break in service rules.--
Subparagraph (E) of section 410(a)(5) is amended--
(i) by inserting ``not under family and
medical leave act of 1993'' after ``absences''
in the heading, and
(ii) by adding at the end of clause (i) the
following new sentence: ``The preceding
sentence shall apply to an absence from work
only if no part of such absence is required to
be given under the Family and Medical Leave Act
of 1993.''
(2) Vesting.--
(A) In general.--Paragraph (5) of section 411(a)
(relating to minimum vesting standards) is amended by
adding at the end the following new subparagraph:
``(E) Family and medical leave treated as
service.--
``(i) In general.--For purposes of this
subsection, in the case of an individual who is
absent from work on leave required to be given
to such individual under the Family and Medical
Leave Act of 1993, the plan shall treat as
hours of service--
``(I) the hours of service which
otherwise would normally have been
credited to such individual but for
such absence, or
``(II) in any case in which the
plan is unable to determine the hours
described in subclause (I), 8 hours of
service per day of absence.
``(ii) Year to which hours are credited.--
The hours described in clause (i) shall be
treated as hours of service as provided in this
subparagraph--
``(I) only in the year in which the
absence from work begins, if the
participant's rights in his accrued
benefit derived from employer
contributions are to any extent not
nonforfeitable and the participant
would have a year of service solely because the period of absence is
treated as hours of service as provided in clause (i); or
``(II) in any other case, in the
immediately following year.''
(B) Coordination with treatment of maternity and
paternity absences under break in service rules.--
Subparagraph (E) of section 411(a)(6) is amended--
(i) by inserting ``not under family and
medical leave act of 1993'' after ``absences''
in the heading, and
(ii) by adding at the end of clause (i) the
following new sentence: ``The preceding
sentence shall apply to an absence from work
only if no part of such absence is required to
be given under the Family and Medical Leave Act
of 1993.''
(b) Amendments of ERISA.--
(1) Participation.--
(A) In general.--Paragraph (3) of section 202(a) of
the Employee Retirement Income Security Act of 1974
(relating to minimum participation standards) is
amended by adding at the end the following new
subparagraph:
``(E)(i) For purposes of this subsection, in the case of an
individual who is absent from work on leave required to be given to
such individual under the Family and Medical Leave Act of 1993, the
plan shall treat as hours of service--
``(I) the hours of service which otherwise would normally
have been credited to such individual but for such absence, or
``(II) in any case in which the plan is unable to determine
the hours described in subclause (I), 8 hours of service per
day of absence.
``(ii) The hours described in clause (i) shall be treated as hours
of service as provided in this subparagraph--
``(I) only in the year in which the absence from work
begins, if section 203(b)(2)(E)(ii)(I) requires hours to be
credited to the year in which the absence from work begins, or
``(II) in any other case, in the immediately following
year.''
(B) Coordination with treatment of maternity and
paternity absences under break in service rules.--
Subparagraph (A) of section 202(b)(5) of such Act is
amended by adding at the end of clause (i) the
following new sentence: ``The preceding sentence shall
apply to an absence from work only if no part of such
absence is required to be given under the Family and
Medical Leave Act of 1993.''
(2) Vesting.--
(A) In general.--Paragraph (2) of section 203(b) of
such Act (relating to minimum vesting standards) is
amended by adding at the end the following new
subparagraph:
``(E)(i) For purposes of this subsection, in the case of an
individual who is absent from work on leave required to be given to
such individual under the Family and Medical Leave Act of 1993, the
plan shall treat as hours of service--
``(I) the hours of service which otherwise would normally
have been credited to such individual but for such absence, or
``(II) in any case in which the plan is unable to determine
the hours described in subclause (I), 8 hours of service per
day of absence.
``(ii) The hours described in clause (i) shall be treated as hours
of service as provided in this subparagraph--
``(I) only in the year in which the absence from work
begins, if the participant's rights in his accrued benefit
derived from employer contributions are to any extent not
nonforfeitable and the participant would have a year of service
solely because the period of absence is treated as hours of
service as provided in clause (i); or
``(II) in any other case, in the immediately following
year.''
(B) Coordination with treatment of maternity and
paternity absences under break in service rules.--
Clause (i) of section 203(b)(3)(E) of such Act is
amended by adding at the end of clause (i) the
following new sentence: ``The preceding sentence shall
apply to an absence from work only if no part of such
absence is required to be given under the Family and
Medical Leave Act of 1993.''
(c) Effective Date.--
(1) In general.--Except as provided in paragraph (2), the
amendments made by this section shall apply to plan years
beginning after December 31, 1999.
(2) Application to current employees.--The amendments made
by this section shall not apply to any employee who does not
have at least 1 hour of service in any plan year beginning
after December 31, 1999.
SEC. 405. PENSION INTEGRATION RULES.
(a) Applicability of New Integration Rules Extended to All Existing
Accrued Benefits.--Notwithstanding subsection (c)(1) of section 1111 of
the Tax Reform Act of 1986 (relating to effective date of application
of nondiscrimination rules to integrated plans) (100 Stat. 2440),
effective for plan years beginning after the date of the enactment of
this Act, the amendments made by subsection (a) of such section 1111
shall also apply to benefits attributable to plan years beginning on or
before December 31, 1988.
(b) Integration Disallowed for Simplified Employee Pensions.--
(1) In general.--Subparagraph (D) of section 408(k)(3) of
the Internal Revenue Code of 1986 (relating to permitted
disparity under rules limiting discrimination under simplified
employee pensions) is repealed.
(2) Conforming amendment.--Subparagraph (C) of such section
408(k)(3) is amended by striking ``and except as provided in
subparagraph (D),''.
(3) Effective date.--The amendments made by this subsection
shall apply with respect to taxable years beginning on or after
January 1, 1999.
(c) Eventual Repeal of Integration Rules.--Effective for plan years
beginning on or after January 1, 2004--
(1) subparagraphs (C) and (D) of section 401(a)(5) of the
Internal Revenue Code of 1986 (relating to pension integration
exceptions under nondiscrimination requirements for
qualification) are repealed, and subparagraph (E) of such
section 401(a)(5) is redesignated as subparagraph (C); and
(2) subsection (l) of section 401 of such Code (relating to
nondiscriminatory coordination of defined contribution plans
with OASDI) is repealed.
SEC. 406. DIVISION OF PENSION BENEFITS UPON DIVORCE.
(a) Amendments to the Internal Revenue Code of 1986.--Section
414(p) of the Internal Revenue Code of 1986 (relating to qualified
domestic relations order defined) is amended by redesignating paragraph
(12) as paragraph (13) and by adding at the end the following new
paragraph:
``(12) Special rules and procedures for domestic relations
orders not specifying division of pension benefits.--
``(A) In general.--If--
``(i) a domestic relations order (including
an annulment or other order of marital
dissolution) relates to provision of marital
property with respect to a marriage of at least
5 years duration between the participant and
the former spouse,
``(ii)(I) such order (and any prior order)
does not specifically provide that pension
benefits were considered by the parties and no
division is intended, and
``(II) such order is not a qualified
domestic relations order without regard to this
paragraph and there is no other prior qualified
domestic relations order issued in connection
with the dissolution of the marriage to which
such order relates, and
``(iii) the former spouse notifies a plan
within the period prescribed under subparagraph
(C) that the former spouse is entitled to
benefits under the plan in accordance with the
provisions of this paragraph,
then such domestic relations order shall be treated as
a qualified domestic relations order for purposes of
this subsection and section 401(a)(13).
``(B) Amount of benefit.--
``(i) In general.--Any domestic relations
order treated as a qualified domestic relations
order under subparagraph (A) shall be treated
as specifying that the former spouse is
entitled to the applicable percentage of the
marital share of the participant's accrued
benefit.
``(ii) Marital share.--For purposes of
clause (i), the marital share of a
participant's accrued benefit is an amount
equal to the product of--
``(I) such benefit as of the date
of the first payment under the plan (to
the extent such accrued benefit is
vested at the date of the divorce or
any later date), and
``(II) a fraction the numerator of
which is the period of participation by
the participant under the plan starting
with the date of marriage and ending
with the date of divorce, and the
denominator of which is the total
period of participation by the
participant under the plan.
``(iii) Applicable percentage.--For
purposes of this subparagraph, the applicable
percentage is--
``(I) except as provided in
subclause (II), 50 percent, and
``(II) in the case of a participant
who fails to provide the plan with
notice of a domestic relations order
within the time prescribed under
subparagraph (C), 67 percent.
``(C) Notice requirements.--
``(i) Notice by employee.--Each employee
who is a participant in a pension plan shall,
within 60 days after the dissolution of the
marriage of the employee--
``(I) notify the plan administrator
of the plan of such dissolution, and
``(II) provide to the plan
administrator a copy of the domestic
relations order (including an annulment
or other order of marital dissolution)
providing for such dissolution and
the last known address of the employee's former spouse.
``(ii) Notice by plan administrator.--Each
plan administrator receiving notice under
clause (i) shall promptly notify the former
spouse of a participant of such spouse's rights
under this paragraph, including the time period
within which such spouse is required to notify
the plan of the spouse's intention to claim
rights under this paragraph.
``(iii) Notice by former spouse.--A former
spouse may notify the plan administrator of
such spouse's intent to claim rights under this
paragraph at any time before the last day of
the 1-year period following receipt of notice
under clause (ii).
``(iv) Coordination with plan procedures.--
The determination under paragraph (6)(A)(ii)
with respect to a domestic relations order to
which this paragraph applies shall be made
within a reasonable period of time after the
plan administrator receives the notice
described in clause (iii).
``(D) Interpretation as qualified domestic
relations order.--Each plan shall establish reasonable
rules for determining how any such deemed domestic
relations order is to be interpreted under the plan so
as to constitute a qualified domestic relations order
that satisfies paragraphs (2) through (4) (and a copy
of such rules shall be provided to such former spouse
promptly after delivery of the divorce decree). Such
rules--
``(i) may delay the effect of such an order
until the earlier of the date the participant
is fully vested or has terminated employment,
``(ii) may allow the former spouse to be
paid out immediately,
``(iii) shall permit the former spouse to
be paid not later than the earliest retirement
age under the plan or the participant's death,
``(iv) may require the submitter of the
divorce decree to present a marriage
certificate or other evidence of the marriage
date to assist in benefit calculations, and
``(v) may conform to the rules applicable
to qualified domestic relations orders
regarding form or type of benefit.''
(b) Amendments to the Employee Retirement Income Security Act of
1974.--Section 206(d)(3) of the Employee Retirement Income Security Act
of 1974 (29 U.S.C. 1056(d)(3)) is amended by redesignating subparagraph
(N) as subparagraph (O) and by inserting after subparagraph (M) the
following new subparagraph:
``(N) Special rules and procedures for domestic
relations orders not specifying division of pension
benefits.--
``(i) In general.--If--
``(I) a domestic relations order
(including an annulment or other order
of marital dissolution) relates to
provision of marital property with
respect to a marriage of at least 5
years duration between the participant
and the former spouse,
``(II)(aa) such order (and any
prior order) does not specifically
provide that pension benefits were
considered by the parties and no
division is intended, or
``(bb) such order is a qualified
domestic relations order without regard
to this subparagraph or there is no
other prior qualified domestic
relations order issued in connection
with the dissolution of the marriage to
which such order relates, and
``(III) the former spouse notifies
a plan within the period prescribed
under clause (iii) that the former
spouse is entitled to benefits under
the plan in accordance with the
provisions of this subparagraph,
then such domestic relations order shall be
treated as a qualified domestic relations order
for purposes of this paragraph.
``(ii) Amount of benefit.--
``(I) In general.--Any domestic
relations order treated as a qualified
domestic relations order under clause
(i) shall be treated as specifying that
the former spouse is entitled to the
applicable percentage of the marital
share of the participant's accrued
benefit.
``(II) Marital share.--For purposes
of subclause (I), the marital share of
a participant's accrued benefit is an
amount equal to the product of--
``(aa) such benefit as of
the date of the first payment
under the plan (to the extent
such accrued benefit is vested
at the date of the divorce or
any later date), and
``(bb) the numerator of
which is the period of
participation by the
participant under the plan
starting with the date of
marriage and ending with the
date of divorce, and the
denominator of which is the
total period of participation
by the participant under the
plan.
``(III) Applicable percentage.--For
purposes of this clause, the applicable
percentage is--
``(aa) except as provided
in item (bb), 50 percent, and
``(bb) in the case of a
participant who fails to
provide the plan with notice of
a domestic relations order
within the time prescribed
under clause (iii), 67 percent.
``(iii) Notice requirements.--
``(I) Notice by employee.--Each
employee who is a participant in a
pension plan shall, within 60 days
after the dissolution of the marriage
of the employee--
``(aa) notify the plan
administrator of the plan of
such dissolution, and
``(bb) provide to the plan
administrator a copy of the
domestic relations order
(including an annulment or
other order of marital
dissolution) providing for such
dissolution and the last known
address of the employee's former spouse.
``(II) Notice by plan
administrator.--Each plan
administrator receiving notice under subclause (I) shall promptly
notify the former spouse of a participant of such spouse's rights under
this subparagraph, including the time period within which such spouse
is required to notify the plan of the spouse's intention to claim
rights under this subparagraph.
``(III) Notice by former spouse.--A
former spouse may notify the plan
administrator of such spouse's intent
to claim rights under this subparagraph
at any time before the last day of the
1-year period following receipt of
notice under subclause (II).
``(IV) Coordination with plan
procedures.--The determination under
subparagraph (G)(i)(II) with respect to
a domestic relations order to which
this subparagraph applies shall be made
within a reasonable period of time
after the plan administrator receives
the notice described in subclause
(III).
``(iv) Interpretation as qualified domestic
relations order.--Each plan shall establish
reasonable rules for determining how any such
deemed domestic relations order is to be
interpreted under the plan so as to constitute
a qualified domestic relations order that
satisfies subparagraphs (C) through (E) (and a
copy of such rules shall be provided to such
former spouse promptly after delivery of the
divorce decree). Such rules--
``(I) may delay the effect of such
an order until the earlier of the date
the participant is fully vested or has
terminated employment,
``(II) may allow the former spouse
to be paid out immediately,
``(III) shall permit the former
spouse to be paid not later than the
earliest retirement age under the plan
or the participant's death,
``(IV) may require the submitter of
the divorce decree to present a
marriage certificate or other evidence
of the marriage date to assist in
benefit calculations, and
``(V) may conform to the rules
applicable to qualified domestic
relations orders regarding form or type
of benefit.''
SEC. 407. ENTITLEMENT OF DIVORCED SPOUSES TO RAILROAD RETIREMENT
ANNUITIES INDEPENDENT OF ACTUAL ENTITLEMENT OF EMPLOYEE.
Section 2 of the Railroad Retirement Act of 1974 (45 U.S.C. 231a)
is amended--
(1) in subsection (c)(4)(i), by striking ``(A) is entitled
to an annuity under subsection (a)(1) and (B)''; and
(2) in subsection (e)(5), by striking ``or divorced wife''
the second place it appears.
SEC. 408. EFFECTIVE DATES.
(a) In General.--Except as provided in subsection (b), the
amendments made by this subtitle, other than sections 403 and 405,
shall apply with respect to plan years beginning on or after January 1,
2000, and the amendments made by section 406 shall apply only with
respect to divorces becoming final in such plan years.
(b) Special Rule for Collectively Bargained Plans.--In the case of
a plan maintained pursuant to 1 or more collective bargaining
agreements between employee representatives and 1 or more employers
ratified on or before the date of the enactment of this Act, subsection
(a) shall be applied to benefits pursuant to, and individuals covered
by, any such agreement by substituting for ``January 1, 2000'' the date
of the commencement of the first plan year beginning on or after the
earlier of--
(1) the later of--
(A) January 1, 2001, or
(B) the date on which the last of such collective
bargaining agreements terminates (determined without
regard to any extension thereof after the date of the
enactment of this Act), or
(2) January 1, 2002.
Subtitle B--Protection of Rights of Former Spouses to Pension Benefits
Under Certain Government and Government-Sponsored Retirement Programs
SEC. 411. EXTENSION OF TIER II RAILROAD RETIREMENT BENEFITS TO
SURVIVING FORMER SPOUSES PURSUANT TO DIVORCE AGREEMENTS.
(a) In General.--Section 5 of the Railroad Retirement Act of 1974
(45 U.S.C. 231d) is amended by adding at the end the following new
subsection:
``(d) Notwithstanding any other provision of law, the payment of
any portion of an annuity computed under section 3(b) to a surviving
former spouse in accordance with a court decree of divorce, annulment,
or legal separation or the terms of any court-approved property
settlement incident to any such court decree shall not be terminated
upon the death of the individual who performed the service with respect
to which such annuity is so computed unless such termination is
otherwise required by the terms of such court decree.''
(b) Effective Date.--The amendment made by this section shall take
effect on the date of the enactment of this Act.
SEC. 412. SURVIVOR ANNUITIES FOR WIDOWS, WIDOWERS, AND FORMER SPOUSES
OF FEDERAL EMPLOYEES WHO DIE BEFORE ATTAINING AGE FOR
DEFERRED ANNUITY UNDER CIVIL SERVICE RETIREMENT SYSTEM.
(a) Benefits for Widow or Widower.--Section 8341(f) of title 5,
United States Code, is amended--
(1) in the matter preceding paragraph (1) by--
(A) by inserting ``a former employee separated from
the service with title to deferred annuity from the
Fund dies before having established a valid claim for
annuity and is survived by a spouse, or if'' before ``a
Member''; and
(B) by inserting ``of such former employee or
Member'' after ``the surviving spouse'';
(2) in paragraph (1)--
(A) by inserting ``former employee or'' before
``Member commencing''; and
(B) by inserting ``former employee or'' before
``Member dies''; and
(3) in the undesignated sentence following paragraph (2)--
(A) in the matter preceding subparagraph (A) by
inserting ``former employee or'' before ``Member''; and
(B) in subparagraph (B) by inserting ``former
employee or'' before ``Member''.
(b) Benefits for Former Spouse.--Section 8341(h) of title 5, United
States Code, is amended--
(1) in paragraph (1) by adding after the first sentence
``Subject to paragraphs (2) through (5) of this subsection, a
former spouse of a former employee who dies after having
separated from the service with title to a deferred annuity
under section 8338(a) but before having established a valid
claim for annuity is entitled to a survivor annuity under this
subsection, if and to the extent expressly provided for in an
election under section 8339(j)(3) of this title, or in the
terms of any decree of divorce or annulment or any court order
or court-approved property settlement agreement incident to
such decree.''; and
(2) in paragraph (2)--
(A) in subparagraph (A)(ii) by striking ``or
annuitant,'' and inserting ``annuitant, or former
employee''; and
(B) in subparagraph (B)(iii) by inserting ``former
employee or'' before ``Member''.
(c) Protection of Survivor Benefit Rights.--Section 8339(j)(3) of
title 5, United States Code, is amended by inserting at the end the
following: ``The Office shall provide by regulation for the application
of this subsection to the widow, widower, or surviving former spouse of
a former employee who dies after having separated from the service with
title to a deferred annuity under section 8338(a) but before having
established a valid claim for annuity.''
(d) Effective Date.--The amendments made by this section shall take
effect on the date of the enactment of this Act and shall apply only in
the case of a former employee who dies on or after such date.
SEC. 413. PAYMENT OF LUMP-SUM BENEFITS TO FORMER SPOUSES OF FEDERAL
EMPLOYEES.
(a) Civil Service Retirement System.--Chapter 83 of title 5, United
States Code, is amended--
(1) in section 8342(c), by striking ``Lump-sum'' and
inserting ``Except as provided in section 8345(j), lump-sum'';
(2) in section 8345(j) by adding at the end of paragraph
(1) the following: ``Except for purposes of subparagraph (B),
the first sentence of this paragraph shall be deemed to be
amended by inserting after `that individual' the following: `,
and any lump-sum benefits authorized by section 8342(d) through
(f) which would otherwise be paid to any person or persons
under section 8342(c),' ''; and
(3) by adding at the end the following:
``(4) Any payment under this subsection to a person bars recovery
by any other person.''
(b) Federal Employees' Retirement System.--Chapter 84 of title 5,
United States Code, is amended--
(1) in section 8424(d), by striking ``Lump-sum'' and
inserting ``Except as provided in section 8467(a), lump-sum'';
and
(2) in section 8467--
(A) in subsection (a), by adding at the end the
following: ``Except for purposes of paragraph (2), the
first sentence of this subsection shall be deemed to be
amended by inserting after `that individual' the
following: `, and any lump-sum benefits authorized by
section 8424(e) through (g) which would otherwise be
paid to any individual or individuals under section
8424(d),' ''; and
(B) by adding at the end the following:
``(d) Any payment under this section to a person bars recovery by
any other person.''
(c) Effective Date.--The amendments made by this section shall
apply with respect to any amount payable by reason of any death
occurring on or after the date of the enactment of this Act.
Subtitle C--Modifications of Joint and Survivor Annuity Requirements
SEC. 421. MODIFICATIONS OF JOINT AND SURVIVOR ANNUITY REQUIREMENTS.
(a) Amendments to ERISA.--
(1) Amount of annuity.--
(A) In general.--Paragraph (1) of section 205(a) of
the Employee Retirement Income Security Act of 1974 (29
U.S.C. 1055(a)) is amended by inserting ``or, at the
election of the participant, shall be provided in the
form of a qualified joint and \2/3\ survivor annuity''
after ``survivor annuity,''.
(B) Definition.--Subsection (d) of section 205 of
such Act (29 U.S.C. 1055) is amended--
(i) by redesignating paragraphs (1) and (2)
as subparagraphs (A) and (B), respectively,
(ii) by inserting ``(1)'' after ``(d)'',
and
(iii) by adding at the end the following
new paragraph:
``(2) For purposes of this section, the term ``qualified joint and
\2/3\ survivor annuity'' means a joint and survivor annuity under which
the survivor annuity for the life of the surviving spouse is equal to
at least \2/3\ of the amount of the annuity which is payable during the
joint lives of the participant and spouse.''
(2) Illustration requirement.--Clause (i) of section
205(c)(3)(A) of such Act (29 U.S.C. 1055(c)(3)(A)) is amended
to read as follows:
``(i) the terms and conditions of each qualified joint and
survivor annuity and qualified joint and \2/3\ survivor annuity
offered, accompanied by an illustration of the benefits under
each such annuity for the particular participant and spouse and
an acknowledgement form to be signed by the participant and the
spouse that they have read and considered the illustration
before any form of retirement benefit is chosen,''.
(b) Amendments to Internal Revenue Code.--
(1) Amount of annuity.--
(A) In general.--Clause (i) of section
401(a)(11)(A) of the Internal Revenue Code of 1986
(relating to requirement of joint and survivor annuity
and preretirement survivor annuity) is amended by
inserting ``or, at the election of the participant,
shall be provided in the form of a qualified joint and
\2/3\ survivor annuity'' after ``survivor annuity,''.
(B) Definition.--Section 417 of such Code (relating
to definitions and special rules for purposes of
minimum survivor annuity requirements), as amended by
section 422, is amended by redesignating subsection (f)
as subsection (g) and by inserting after subsection (e)
the following new subsection:
``(f) Definition of Qualified Joint and \2/3\ Survivor Annuity.--
For purposes of this section and section 401(a)(11), the term
`qualified joint and \2/3\ survivor annuity' means a joint and survivor
annuity under which the survivor annuity for the life of the surviving
spouse is equal to at least \2/3\ of the amount of the annuity which is
payable during the joint lives of the participant and spouse.''
(2) Illustration requirement.--Clause (i) of section
417(a)(3)(A) of such Code (relating to explanation of joint and
survivor annuity) is amended to read as follows:
``(i) the terms and conditions of each
qualified joint and survivor annuity and
qualified joint and \2/3\ survivor annuity
offered, accompanied by an illustration of the
benefits under each such annuity for the
particular participant and spouse and an
acknowledgement form to be signed by the
participant and the spouse that they have read
and considered the illustration before any form
of retirement benefit is chosen,''.
(c) Effective Date.--The amendments made by this section shall
apply to plan years beginning on or after January 1, 2000.
SEC. 422. SPOUSAL CONSENT REQUIRED FOR DISTRIBUTIONS FROM DEFINED
CONTRIBUTION PLANS.
(a) Amendments to Internal Revenue Code of 1986.--
(1) In general.--Section 401(a)(11) of the Internal Revenue
Code of 1986 (relating to requirement of joint and survivor
annuity and preretirement survivor annuity) is amended by
striking subparagraphs (B), (C), and (D), by redesignating
subparagraphs (E) and (F) as subparagraphs (C) and (D),
respectively, and by inserting after subparagraph (A) the
following new subparagraph:
``(B) Plans to which paragraph applies.--This
paragraph shall apply to any defined benefit plan and
to any defined contribution plan.''
(2) Exception for hardship distributions.--Section 417(f)
of such Code is amended by adding at the end the following new
paragraph:
``(8) Hardship distributions.--The requirements of section
401(a)(11) and this section shall not apply to a hardship
distribution under section 401(k)(2)(B)(i)(IV).''
(3) Special rule for cash-outs.--Section 417(e) of such
Code is amended by adding at the end the following new
paragraph:
``(4) Special rule for defined contribution plans.--
``(A) In general.--In the case of a defined
contribution plan, notwithstanding paragraph (2), if
the present value of the qualified joint and survivor
annuity does not exceed $10,000, the plan may
immediately distribute 50 percent of the present value
of such annuity to each spouse.
``(B) Exception.--The plan may distribute a
different percentage of the present value of an annuity
to each spouse if a court order or contractual
agreement provides for such different percentage.''
(b) Amendments to ERISA.--
(1) In general.--Section 205(b) of the Employee Retirement
Income Security Act of 1974 (29 U.S.C. 1055(b)) is amended to
read as follows:
``(b)(1) This section shall apply to any defined benefit plan and
to any individual account plan.
``(2) This section shall not apply to a plan which the Secretary of
the Treasury or his delegate has determined is a plan described in
section 404(c) of the Internal Revenue Code of 1986 (or a continuation
thereof) in which participation is substantially limited to individuals
who, before January 1, 1976, ceased employment covered by the plan.''
(2) Hardship distribution.--Section 205 of such Act (29
U.S.C. 1055) is amended by adding at the end the following new
subsection:
``(m) This section shall not apply to a hardship distribution under
section 401(k)(2)(B)(i)(IV) of the Internal Revenue Code of 1986.''
(3) Special rule for cash-outs.--Section 205(g) of such Act
(29 U.S.C. 1055(g)) is amended by adding at the end the
following new paragraph:
``(4) Special rule for defined contribution plans.--
``(A) In general.--In the case of an individual
account plan, notwithstanding paragraph (2), if the
present value of the qualified joint and survivor
annuity or the qualified preretirement survivor annuity
exceeds $10,000, the plan may immediately distribute 50
percent of the present value of such annuity to each
spouse.
``(B) Exception.--The plan may distribute a
different percentage of the present value of an annuity
to each spouse if a court order or contractual
agreement provides for such different percentage.''
(c) Effective Date.--The amendments made by this section shall
apply to plan years beginning after December 31, 2000.
TITLE V--DATE FOR ADOPTION OF PLAN AMENDMENTS
SEC. 501. DATE FOR ADOPTION OF PLAN AMENDMENTS.
(a) In General.--Except as otherwise provided in this Act, if any
amendment made by this Act requires an amendment to any plan, such plan
amendment shall not be required to be made before the last day of the
first plan year beginning on or after January 1, 2000, if--
(1) during the period after such amendment takes effect and
before the last day of such first plan year, the plan is
operated in accordance with the requirements of such amendment,
and
(2) such plan amendment applies retroactively to such
period.
A plan shall not be treated as failing to provide definitely
determinable benefits or contributions, or to be operated in accordance
with the provisions of the plan, merely because it operates in
accordance with this subsection.
(b) Governmental Plans.--In the case of a governmental plan (as
defined in section 414(d) of the Internal Revenue Code of 1986),
subsection (a) shall be applied by substituting for ``January 1, 2000''
the later of--
(1) January 1, 2001, or
(2) the date which is 90 days after the opening of the
first legislative session beginning after January 1, 2000, of
the governing body with authority to amend the plan, but only
if such governing body does not meet continuously.
(c) Special Rule for Collectively Bargained Plans.--Notwithstanding
any other provision of this Act, in the case of a plan maintained
pursuant to 1 or more collective bargaining agreements between employee
representatives and 1 or more employers ratified on or before the date
of the enactment of this Act, any amendment made by this Act which
requires an amendment to such plan shall not be required to be made
before the last day of the first plan year beginning on or after the
earlier of--
(1) the later of--
(A) January 1, 2000, or
(B) the date on which the last of such collective
bargaining agreements terminates (determined without
regard to any extension thereof after the date of the
enactment of this Act), or
(2) January 1, 2001.
<all>
Introduced in House
Introduced in House
Referred to the Committee on Ways and Means, and in addition to the Committees on Education and the Workforce, Government Reform, and Transportation and Infrastructure, 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.
Referred to the Committee on Ways and Means, and in addition to the Committees on Education and the Workforce, Government Reform, and Transportation and Infrastructure, 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.
Referred to the Committee on Ways and Means, and in addition to the Committees on Education and the Workforce, Government Reform, and Transportation and Infrastructure, 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.
Referred to the Committee on Ways and Means, and in addition to the Committees on Education and the Workforce, Government Reform, and Transportation and Infrastructure, 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.
Referred to the Committee on Ways and Means, and in addition to the Committees on Education and the Workforce, Government Reform, and Transportation and Infrastructure, 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.
Llama 3.2 · runs locally in your browser
Ask anything about this bill. The AI reads the full text to answer.
Enter to send · Shift+Enter for new line
Referred to the Subcommittee on Water Resources and Environment.
Referred to the Subcommittee on Civil Service.
Referred to the Subcommittee on Employer-Employee Relations.