< Back to H.R. 3279 (104th Congress, 1995–1996)

Text of To provide for early deferred annuities under chapter 83 of title 5, United States Code, for certain former Department of ...

...former Department of Defense employees who are seperated from service by reason of certain defense base closures, and for other purpose

This bill was introduced on April 18, 1996, in a previous session of Congress, but was not enacted. The text of the bill below is as of Apr 18, 1996 (Introduced).

Source: GPO

HR 3279 IH

104th CONGRESS

2d Session

H. R. 3279

To provide for early deferred annuities under chapter 83 of title 5, United States Code, for certain former Department of Defense employees who are separated from service by reason of certain defense base closures, and for other purposes.

IN THE HOUSE OF REPRESENTATIVES

April 18, 1996

Mr. WARD (for himself, Mr. HAMILTON, Mr. FAZIO of California, Mr. MATSUI, Mr. JACOBS, Mr. MYERS of Indiana, Mr. TEJEDA, Mr. LEWIS of Kentucky, and Mr. SHUSTER) introduced the following bill; which was referred to the Committee on Government Reform and Oversight


A BILL

To provide for early deferred annuities under chapter 83 of title 5, United States Code, for certain former Department of Defense employees who are separated from service by reason of certain defense base closures, and for other purposes.

    Be it enacted by the Senate and House of Representatives of the United States of America in Congress assembled,

SECTION 1. EARLY DEFERRED ANNUITIES OF CERTAIN FORMER EMPLOYEES OF THE DEPARTMENT OF DEFENSE.

    (a) DEFINITIONS- For purposes of this section--

      (1) the term ‘Civil Service Retirement System’ means the retirement system under subchapter III of chapter 83 of title 5, United States Code;

      (2) the term ‘defense contractor’ means any entity that--

        (A) contracts with the Department of Defense to perform a function previously performed by Department of Defense employees; and

        (B) performs that function at the installation at which such function was previously performed by Department of Defense employees or in the vicinity of such installation;

      (3) the term ‘early deferred retirement age’, as used with respect to a transferred employee, means the earliest age at which such transferred employee would have been eligible for immediate retirement under subsection (a) or (b) of section 8336 of title 5, United States Code, if such transferred employee had remained continuously employed, until attaining such age, in the position held by such employee when separated from Federal service as described in paragraph (6)(A);

      (4) the term ‘severance pay’ means severance pay under section 5595 of title 5, United States Code;

      (5) the term ‘separation pay’ means separation pay under section 5597 of title 5, United States Code; and

      (6) the term ‘transferred employee’ means a former employee of the Department of Defense (other than a former temporary employee) who--

        (A) while employed by the Department of Defense at a military installation to be closed or realigned pursuant to recommendations of the Defense Base Closure and Realignment Commission that were approved by the President in 1995 under section 2903(e) of the Defense Base Closure and Realignment Act of 1990 (Public Law 101-510; 10 U.S.C. 2687 note) and while covered under the Civil Service Retirement System, was separated from Federal service in a reduction-in-force resulting from conversion from performance of a function by Department of Defense employees at such military installation to performance of such function by a defense contractor at such installation or in the vicinity of such installation;

        (B) has completed 5 years of civilian service creditable under section 8332 of title 5, United States Code, by the date of separation from Federal service as described in subparagraph (A);

        (C) is employed by the defense contractor within 60 days following such separation to perform substantially the same function performed before the separation;

        (D)(i) remains employed by the defense contractor or a successor defense contractor, or a subcontractor of either, until attaining early deferred retirement age; or

        (ii) is involuntarily separated from employment referred to in clause (i) before attaining early deferred retirement age for reasons other than misconduct; and

        (E) at the time separated from Federal service as described in subparagraph (A), was not eligible for an immediate annuity under the Civil Service Retirement System.

    (b) RETIREMENT BENEFITS OF TRANSFERRED EMPLOYEES- For purposes of determining eligibility for a deferred annuity under section 8338(a) of title 5, United States Code, a transferred employee shall be deemed to

have satisfied the age requirement under such section 8338(a) upon attaining early deferred retirement age.

    (c) COMPUTATION OF AVERAGE PAY- (1)(A) This paragraph applies to the computation of the annuity of a transferred employee who retires under this section who immediately before separation from Federal service as described in subsection (a)(6)(A) was employed in a position classified under the General Schedule.

    (B) In the computation of an annuity referred to in subparagraph (A) for a transferred employee, the average pay of the transferred employee under section 8331(4) of title 5, United States Code, shall be adjusted at the same time and by the same percentage that rates of basic pay are increased under section 5303 of title 5, United States Code, during the period beginning on the date on which the transferred employee separates from Federal service as described in subsection (a)(6)(A) and ending on the date on which the transferred employee attains early deferred retirement age.

    (2)(A) This paragraph applies to the computation of the annuity of a transferred employee who retires under this section who immediately before separation from Federal service as described in subsection (a)(6)(A) was a prevailing rate employee as defined under section 5342(a)(2) of title 5, United States Code.

    (B) In the computation of an annuity referred to in subparagraph (A) for a transferred employee, average pay under section 8331(4) of title 5, United States Code, shall be adjusted at the same time and by the same percentage that rates of basic pay for positions that are in the same area as, and are comparable to, the last position the transferred employee held as a prevailing rate employee, are increased under section 5343(a) of such title during the period beginning on the date on which the transferred employee separates from Federal service as described in subsection (a)(6)(A) and ending on the date on which the transferred employee attains early deferred retirement age.

    (d) SERVICE FOR A DEFENSE CONTRACTOR NOT CREDITABLE SERVICE- Service performed by a transferred employee for a defense contractor (or a successor or subcontractor referred to in subsection (a)(6)(D)) after separation from Federal service as described in subsection (a)(6)(A) shall not be treated as creditable service for purposes of computing the amount of an early deferred annuity under this section.

    (e) SEPARATION AND SEVERANCE PAY- A transferred employee who receives separation pay or severance pay upon separation from Federal service as described in subsection (a)(6)(A) is not eligible to receive an early deferred annuity under this section unless the employee repays the full amount of such pay (with interest as determined by the Office of Personnel Management) to the Department of Defense before attaining early deferred retirement age.

    (f) RECEIPT OF BENEFITS WHILE EMPLOYED BY A DEFENSE CONTRACTOR- A transferred employee may commence receipt of an early deferred annuity in accordance with this section while continuing to work for a defense contractor.

    (g) LUMP-SUM CREDIT PAYMENT- If a transferred employee dies before attaining early deferred retirement age, such employee shall, for purposes of section 8342 of title 5, United States Code, be treated as a former employee not retired who dies, as described in subsection (d) of such section. For purposes of the preceding sentence, the term ‘transferred employee’ shall have the meaning such term would have under subsection (a)(6) if subparagraph (D) thereof were disregarded.

    (h) IMPLEMENTING REGULATIONS- The Office of Personnel Management shall promulgate regulations to carry out the provisions of this section.

    (i) EFFECTIVE DATE- This section shall take effect on August 1, 1996, and shall apply to any transferred employee whose date of separation from Federal service, as described in subsection (a)(6)(A), occurs on or after that date.