Text: H.R.1820 — 102nd Congress (1991-1992)All Information (Except Text)

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HR 1820 SC
102d CONGRESS
1st Session
 H. R. 1820
To amend title 5, United States Code, to allow Federal employees within any
agency undergoing a major reorganization, reduction in force, or transfer
of function to be credited with an additional 4 years (in age or length of
service) in order to encourage voluntary retirements, and for other purposes.
IN THE HOUSE OF REPRESENTATIVES
April 16, 1991
Mrs. BOXER (for herself, Mr. FAZIO, Mr. BUSTAMANTE, Mr. THOMAS of Georgia,
Mr. BROWN, Mr. STARK, Mr. BARNARD, Mr. SISISKY, Mrs. UNSOELD, Mr. OWENS
of New York, Mr. WEISS, Ms. PELOSI, Mr. CHAPMAN, Mr. SERRANO, Mr. TORRES,
Mr. BORSKI, Mr. MARKEY, Mr. MCMILLEN of Maryland, Mr. TOWNS, Mr. PALLONE,
Mr. GEJDENSON, Mr. ROYBAL, Mr. ROSE, Mr. GONZALEZ, Mr. LEACH, Mr. CAMPBELL
of Colorado, Mr. DELLUMS, and Mr. EVANS) introduced the following bill;
which was referred to the Committee on Post Office and Civil Service
November 12, 1991
Additional sponsors: Mr. FOGLIETTA, Mr. GORDON, Mr. HOYER, Mr. DWYER of New
Jersey, Mr. KOPETSKI, Mr. DYMALLY, Ms. KAPTUR, Mr. JEFFERSON, Mr. KENNEDY,
Mr. ALEXANDER, Mr. RAVENEL, Mr. LANCASTER, Mr. ENGEL, Mr. COLEMAN of Texas,
Mrs. LOWEY of New York, Mr. SWIFT, Mr. JONTZ, Mr. HUTTO, Mr. MAVROULES,
Mr. KOLTER, Mr. FORD of Tennessee, Mr. ABERCROMBIE, Mr. DICKS, Mr. RANGEL,
Mr. MILLER of Washington, Mr. WOLPE, Mr. CONYERS, Mr. DAVIS, Mr. RAHALL,
Mr. CONDIT, Ms. NORTON, Mrs. MINK, Mr. JOHNSON of South Dakota, Mr. SLATTERY,
Mr. MFUME, Mr. MARTINEZ, Mr. LEWIS of Georgia, Mr. TORRICELLI, Mr. SCHIFF,
Mr. JACOBS, Mr. HOCHBRUECKNER, Mr. HAYES of Louisiana, Mr. MATSUI, Mr. COX
of Illinois, Mr. MORAN, Ms. SNOWE, Mr. PETERSON of Minnesota, Mr. SAXTON,
and Mr. ANDREWS of Maine
A BILL
To amend title 5, United States Code, to allow Federal employees within any
agency undergoing a major reorganization, reduction in force, or transfer
of function to be credited with an additional 4 years (in age or length of
service) in order to encourage voluntary retirements, and for other purposes.
  Be it enacted by the Senate and House of Representatives of the United
  States of America in Congress assembled,
SECTION 1. SHORT TITLE.
  This Act may be cited as the `Federal Employees Retirement Incentive Act'.
SEC. 2. RIGHT OF ELECTION.
  (a) CSRS- (1) Subchapter III of chapter 83 of title 5, United States Code,
  is amended by adding at the end the following:
`Sec. 8352. Provisions relating to early retirement
  `(a) An election under this section may be made by any employee whose
  position is within a geographic area which has been designated (for purposes
  of the employee's employing agency) as one with respect to which section
  8336(d)(2) applies.
  `(b) An employee under subsection (a) may elect, for the purposes described
  in subsection (c)--
  `(1) to have 4 years added to such employee's age (as of the date of
  separation);
  `(2) to have 4 years of civilian service added to such employee's total
  creditable service; or
  `(3) a combination of subparagraphs (A) and (B) (not to exceed a total of
  4 years).
  `(c) An election under this section shall be effective for purposes of--
  `(1) determining the employee's eligibility for retirement under section
  8336(d)(2); and
  `(2) computing any benefits under this subchapter based on the service of
  such employee (subject to section 8339(f)).
  `(d) An election under this section may not be made by an employee who--
  `(1) does not otherwise satisfy section 8333 (relating to the minimum
  eligibility requirements for an annuity);
  `(2) is a reemployed annuitant; or
  `(3) is eligible (or would, on proper application, be eligible) for a
  disability annuity.
  `(e) Regulations to carry out this section shall be prescribed by the
  Office of Personnel Management. Such regulations shall include provisions
  to ensure that--
  `(1) whenever a determination under section 8336(d)(2) is made giving rise
  to any election rights under this section, written notice shall be given to
  all employees who may be eligible to make an election under this section,
  informing them of--
  `(A) the election rights available under this section based on such
  determination; and
  `(B) the eligibility requirements, procedures, and deadlines for making
  an election (including the deadline under paragraph (3)(B)), as well as
  the effect of such an election;
  `(2) upon the giving of notice under paragraph (1), a period of 30 calendar
  days (beginning on a date determined under the regulations, but not before
  notice under paragraph (1) is given) shall be afforded, during which time
  any eligible employee may make an election under this section; and
  `(3) whenever an election under this section is made within the time and
  otherwise in accordance with applicable requirements--
  `(A) written confirmation of the election shall be given to the employee
  involved; and
  `(B) the election shall be effective, unless the employee fails to separate
  from service before the 90th calendar day after the written confirmation
  under subparagraph (A) is given.'
  (2) The table of sections for chapter 83 of title 5, United States Code,
  is amended by adding at the end the following:
`8352. Provisions relating to early retirement.'
  (b) FERS- (1) Subchapter II of chapter 84 of title 5, United States Code,
  is amended by adding at the end the following:
`Sec. 8426. Additional provisions relating to early retirement
  `(a) An election under this section may be made by any employee whose
  position is within a geographic area which has been designated (for purposes
  of the employee's employing agency) as one with respect to which section
  8414(b)(1)(B) applies.
  `(b) An employee under subsection (a) may elect, for the purposes described
  in subsection (c)--
  `(1) to have 4 years added to such employee's age (as of the date of
  separation);
  `(2) to have 4 years of civilian service added to such employee's total
  creditable service; or
  `(3) a combination of paragraphs (1) and (2) (not to exceed a total of
  4 years).
  `(c) An election under this section shall be effective for purposes of--
  `(1) determining the employee's eligibility for retirement under section
  8414(b)(1)(B); and
  `(2) computing any benefits under this subchapter or subchapter IV based
  on the service of such employee.
  `(d) An election under this section may not be made by an employee who--
  `(1) does not otherwise satisfy section 8410 (relating to the minimum
  eligibility requirements for an annuity);
  `(2) is a reemployed annuitant; or
  `(3) is eligible (or would, on proper application, be eligible) for a
  disability annuity.
  `(e) Regulations to carry out this section shall be prescribed by the
  Office of Personnel Management. Such regulations shall include provisions
  to ensure that--
  `(1) whenever a determination under section 8414(b)(1)(B) is made giving
  rise to any election rights under this section, written notice shall be
  given to all employees who may be eligible to make an election under this
  section, informing them of--
  `(A) the election rights available under this section based on such
  determination; and
  `(B) the eligibility requirements, procedures, and deadlines for making
  an election (including the deadline under paragraph (3)(B)), as well as
  the effect of such an election;
  `(2) upon the giving of notice under paragraph (1), a period of 30 calendar
  days (beginning on a date determined under the regulations, but not before
  notice under paragraph (1) is given) shall be afforded, during which time
  any eligible employee may make an election under this section; and
  `(3) whenever an election under this section is made within the time and
  otherwise in accordance with applicable requirements--
  `(A) written confirmation of the election shall be given to the employee
  involved; and
  `(B) the election shall be effective, unless the employee fails to separate
  from service before the 90th calendar day after the written confirmation
  under subparagraph (A) is given.'
  (2) The table of sections for chapter 84 of title 5, United States Code,
  is amended by adding after the item relating to section 8425 the following:
`8426. Additional provisions relating to early retirement.'
  (c) REPORT- (1) The Director of the Office of Personnel Management shall
  submit periodic written reports to Congress describing the effect of the
  amendments made by this section. Each report shall include, for the period
  to which it relates, pertinent data and information (on a Governmentwide
  and on an agency-by-agency basis) relating to--
  (A) the number of employees who made an election under section 8352 or
  8426 of title 5, United States Code (as amended by this section);
  (B) what percentage the number under subparagraph (A) represents, relative
  to the total number of employees who could have made such an election
  within the agency involved; and
  (C) any costs or savings to the Government which are anticipated as a
  result of those elections.
  (2) Interim reports under this subsection shall be due before the end of
  the 12th and 24th months, respectively, following the date of the enactment
  of this Act.
  (3) A final report under this subsection shall be due before the end of the
  30th month following the date of the enactment of this Act. In addition
  to the matter described in paragraph (1), such report shall also include
  recommendations as to whether or not the amendments made by this Act should
  be continued.
  (d) TERMINATION- (1) The amendments made by this section shall cease to
  be effective 3 years after the date of the enactment of this Act.
  (2) Nothing in paragraph (1) shall be considered--
  (A) to terminate any right to make an election under section 8352 or 8426
  of title 5, United States Code (as last in effect) during any 30-day period
  described in subsection (e)(2) of either such section commencing before
  the termination date under paragraph (1); or
  (B) to affect any annuity rights deriving from an election made under
  either such section.
SEC. 3. CRITERIA FOR AUTHORIZING EARLY RETIREMENT GENERALLY.
  (a) CSRS- Section 8336(d) of title 5, United States Code, is amended--
  (1) by redesignating subparagraphs (A) and (B) as clauses (i) and (ii),
  respectively;
  (2) by redesignating paragraphs (1) and (2) as subparagraphs (A) and
  (B), respectively;
  (3) by striking `(d)' and inserting `(d)(1)';
  (4) by striking `paragraph (1) of this subsection' each place it appears
  and inserting `subparagraph (A)';
  (5) by striking `the first sentence of this subsection,' and inserting
  `the first sentence of this paragraph,'; and
  (6) by adding at the end the following:
  `(2)(A) The requirements of paragraph (1)(B) shall be considered to have
  been met with respect to a reorganization, reduction in force, of transfer
  of function if--
  `(i) 5 percent or more of the employees within the agency (or component
  thereof) and geographic area involved will be separated; or
  `(ii) 20 percent or more of the employees within the agency (or component
  thereof) and geographic area involved will be subject to an immediate
  reduction in the rate of basic pay (without regard to subchapter VI of
  chapter 53 or comparable provisions).
  `(B) Notwithstanding any provision of subparagraph (A)--
  `(i) the 5-percent minimum under subparagraph (A)(i) may be waived if the
  Office determines that other significant factors are present, such as--
  `(I) a severe impact on the local economy;
  `(II) poor placement opportunities for employees; or
  `(III) serious disruption to agency operations; and
  `(ii) the 20-percent minimum under subparagraph (A)(ii) may be waived
  if the Office determines that the pay reductions would seriously disrupt
  agency operations.
  `(C) This paragraph shall cease to be effective 3 years after the date of
  the enactment of the Federal Employees Retirement Incentive Act.'
  (b) FERS- Section 8414(b) of title 5, United States Code, is amended--
  (1) in paragraph (1)(B), by redesignating clauses (i) and (ii) as subclauses
  (I) and (II), respectively;
  (2) in paragraph (1), by redesignating subparagraphs (A) and (B) as clauses
  (i) and (ii), respectively;
  (3) by striking `(b)(1)' and inserting `(b)(1)(A)';
  (4) by redesignating paragraphs (2) and (3) as subparagraphs (B) and
  (C), respectively;
  (5) in paragraph (1)(A) (as so redesignated by paragraph (3)), by striking
  `paragraphs (2) and (3),' and inserting `subparagraphs (B) and (C),';
  (6) in paragraph (1)(B) (as so redesignated by paragraph (4))--
  (A) by striking `paragraph (1)' and inserting `subparagraph (A)'; and
  (B) by striking `subparagraph (A) of such paragraph' and inserting `clause
  (i) of such subparagraph';
  (7) in paragraph (1)(C) (as so redesignated by paragraph (4)), by striking
  `Paragraph (1)' and inserting `Subparagraph (A)'; and
  (8) by adding at the end the following:
  `(2)(A) The requirements of paragraph (1)(A)(ii) shall be considered to
  have been met with respect to a reorganization, reduction in force, of
  transfer of function if--
  `(i) 5 percent or more of the employees within the agency (or component
  thereof) and geographic area involved will be separated; or
  `(ii) 20 percent or more of the employees within the agency (or component
  thereof) and geographic area involved will be subject to an immediate
  reduction in the rate of basic pay (without regard to subchapter VI of
  chapter 53 or comparable provisions).
  `(B) Notwithstanding any provision of subparagraph (A)--
  `(i) the 5-percent minimum under subparagraph (A)(i) may be waived if the
  Office determines that other significant factors are present, such as--
  `(I) a severe impact on the local economy;
  `(II) poor placement opportunities for employees; or
  `(III) serious disruption to agency operations; and
  `(ii) the 20-percent minimum under subparagraph (A)(ii) may be waived
  if the Office determines that the pay reductions would seriously disrupt
  agency operations.
  `(C) This paragraph shall cease to be effective when the amendments made
  by section 2 of the Federal Employees Retirement Incentive Act terminate.'

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