5 U.S.C. § 8432b — Contributions of persons who perform

Page 1148 TITLE 5—GOVERNMENT ORGANIZATION AND EMPLOYEES § 8432a INAPPLICABILITY OF LIMITATION ON NUMBER OF ELECTIONS WITHIN A SIX-MONTH PERIOD Pub. L. 99–509, title VI, § 6001(c), Oct. 21, 1986, 100 Stat. 1931, provided that the requirement that contributions be made for a 6-month period after an election, as pro- vided in 5 U.S.C. 8432(a), did not apply to contributions made pursuant to an election made during the period provided in former 5 U.S.C. 8432(b)(4) or section 206(b) of Pub. L. 99–335, formerly set out as a note under section 8351 of this title; that the first election period pre- scribed under 5 U.S.C. 8432(b)(1) commence on July 1, 1987; and that each employee or Member who made such an election could make an election under 5 U.S.C. 8432(b)(1) during the election period that began on July 1, 1987. PLAN FOR DELAYED CONTRIBUTIONS TO THRIFT SAVINGS FUND Pub. L. 99–335, title III, § 312, June 6, 1986, 100 Stat. 608, directed Executive Director of Federal Retirement Thrift Investment Board to transmit to Congress, not later than Jan. 1, 1988, a plan to afford Federal employ- ees and Members of Congress who make less than max- imum amount of authorized contributions to Thrift Savings Fund in any period an opportunity to con- tribute to such Fund, in a later period, the excess of such amount over the amount contributed during such period, with plan to include such recommendations for legislation as Executive Director considered appro- priate. § 8432a. Payment of lost earnings (a)(1) The Executive Director shall prescribe regulations under which an employing agency shall be required to pay to the Thrift Savings Fund amounts representing lost earnings result- ing from errors (including errors of omission) made by such agency in carrying out this sub- chapter, subject to paragraph (2). (2) If the error involves an employing agency’s failure to deduct from basic pay contributions (in whole or in part) on behalf of an individual in accordance with section 8432(a), the regula- tions shall not provide for the payment of any lost earnings which would be attributable to— (A) the contributions that the agency failed to deduct from basic pay in accordance with section 8432(a); or (B) any related contributions under section 8432(c)(2) that the employing agency is not re- quired (by statute or otherwise) to make up. (b) The regulations— (1) shall include— (A) procedures for computing lost earn- ings; and (B) procedures under which amounts paid to the Thrift Savings Fund under this sec- tion shall be credited to appropriate ac- counts; (2) may provide for exceptions from the re- quirements of this section to the extent that correction of an error is not administratively feasible; (3) may require an employing agency to re- imburse the Thrift Savings Fund for costs in- curred by the Thrift Savings Fund in imple- menting corrections of employing agency er- rors under this section; and (4) may include such other provisions as the Executive Director determines appropriate to carry out this section. (c) Any amounts required to be paid by an em- ploying agency under this section shall be paid from the appropriation or fund available to the employing agency for payment of salaries of the participant’s office or establishment. If a partic- ipant in the legislative branch is paid by the Chief Administrative Officer of the House of Representatives, the Chief Administrative Offi- cer may pay from the applicable accounts of the House of Representatives the amount required to be paid to correct errors relating to the Thrift Savings Fund that otherwise would be paid from the appropriation or fund used to pay the participant. (Added Pub. L. 101–335, § 2(a)(1), July 17, 1990, 104 Stat. 319; amended Pub. L. 104–186, title II, § 215(17), Aug. 20, 1996, 110 Stat. 1746.) Editorial Notes AMENDMENTS 1996—Subsec. (c). Pub. L. 104–186 substituted ‘‘Chief Administrative Officer of the House of Representatives, the Chief Administrative Officer may pay from the ap- plicable accounts’’ for ‘‘Clerk of the House of Rep- resentatives, the Clerk may pay from the contingent fund’’. Statutory Notes and Related Subsidiaries EFFECTIVE DATE Pub. L. 101–335, § 2(b), July 17, 1990, 104 Stat. 320, pro- vided that: ‘‘The amendments made by this section [en- acting this section] shall apply with respect to lost earnings attributable to errors made before, on, or after the date of enactment of this Act [July 17, 1990].’’ § 8432b. Contributions of persons who perform military service (a) This section applies to any employee who— (1) separates or enters leave-without-pay status in order to perform military service; and (2) is subsequently restored to or reemployed in a position which is subject to this chapter, pursuant to chapter 43 of title 38. (b)(1) Each employee to whom this section ap- plies may contribute to the Thrift Savings Fund, in accordance with this subsection, an amount not to exceed the amount described in paragraph (2). (2) The maximum amount which an employee may contribute under this subsection is equal to— (A) the contributions under section 8432(a) which would have been made, over the period beginning on date of separation or commence- ment of leave-without-pay status (as applica- ble) and ending on the day before the date of restoration or reemployment (as applicable); reduced by (B) any contributions under section 8432(a) or 8440e actually made by such employee over the period described in subparagraph (A). (3) Contributions under this subsection— (A) shall be made at the same time and in the same manner as would any contributions under section 8432(a); (B) shall be made over the period of time specified by the employee under paragraph (4)(B); and (C) shall be in addition to any contributions then actually being made under section 8432(a). Page 1149 TITLE 5—GOVERNMENT ORGANIZATION AND EMPLOYEES § 8432b (4) The Executive Director shall prescribe the time, form, and manner in which an employee may specify— (A) the total amount such employee wishes to contribute under this subsection with re- spect to any particular period referred to in paragraph (2)(B); and (B) the period of time over which the em- ployee wishes to make contributions under this subsection. The employing agency may place a maximum limit on the period of time referred to in sub- paragraph (B), which cannot be shorter than two times the period referred to in paragraph (2)(B) and not longer than four times such period. (c)(1) If an employee makes contributions under subsection (b), the employing agency shall make contributions to the Thrift Savings Fund on such employee’s behalf— (A) in the same manner as would be required under section 8432(c)(2) if the employee con- tributions were being made under section 8432(a); and (B) disregarding any contributions then ac- tually being made under section 8432(a) and any agency contributions relating thereto. (2) An employee to whom this section applies is entitled to have contributed to the Thrift Savings Fund on such employee’s behalf an amount equal to— (A) the total contributions to which that in- dividual would have been entitled under sec- tion 8432(c)(2), based on the amounts contrib- uted by such individual under section 8440e (other than under subsection (d)(2) thereof) with respect to the period referred to in sub- section (b)(2)(B), if those amounts had been contributed by such individual under section 8432(a); reduced by (B) any contributions actually made on such employee’s behalf under section 8432(c)(2) with respect to the period referred to in subsection (b)(2)(B). (d) An employee to whom this section applies is entitled to have contributed to the Thrift Savings Fund on such employee’s behalf an amount equal to— (1) 1 percent of such employee’s basic pay (as determined under subsection (e)) for the period referred to in subsection (b)(2)(B); reduced by (2) any contributions actually made on such employee’s behalf under section 8432(c)(1) with respect to the period referred to in subsection (b)(2)(B). (e) For purposes of any computation under this section, an employee shall, with respect to the period referred to in subsection (b)(2)(B), be considered to have been paid at the rate which would have been payable over such period had such employee remained continuously employed in the position which such employee last held before separating or entering leave-without-pay status to perform military service. (f)(1) The employing agency may be required to pay lost earnings on contributions made pur- suant to subsections (c) and (d). Such earnings, if required, shall be calculated retroactively to the date the contribution would have been made had the employee not separated or entered leave without pay status to perform military service. (2) Procedures for calculating and crediting the earnings payable pursuant to paragraph (1) shall be prescribed by the Executive Director. (g) Amounts paid under subsection (c), (d), or (f) shall be paid— (1) by the agency to which the employee is restored or in which such employee is reem- ployed; (2) from the same source as would be the case under section 8432(e) with respect to sums required under section 8432(c); and (3) within the time prescribed by the Execu- tive Director. (h)(1) For purposes of section 8432(g), in the case of an employee to whom this section ap- plies— (A) a separation from civilian service in order to perform the military service on which the employee’s restoration or reemployment rights are based shall be disregarded; and (B) such employee shall be credited with a period of civilian service equal to the period referred to in subsection (b)(2)(B). (2)(A) An employee to whom this section ap- plies may elect, for purposes of subsection (d) or (f) of section 8433, as the case may be, to have such employee’s separation (described in sub- section (a)(1)) treated as if it had never oc- curred. (B) An election under this paragraph shall be made within such period of time after restora- tion or reemployment (as the case may be) and otherwise in such manner as the Executive Di- rector prescribes. (i) The Executive Director shall prescribe reg- ulations to carry out this section. (Added Pub. L. 103–353, § 4(a)(1), Oct. 13, 1994, 108 Stat. 3170; amended Pub. L. 106–65, div. A, title VI, § 661(a)(3)(A), (C), Oct. 5, 1999, 113 Stat. 671; Pub. L. 114–92, div. A, title VI, § 632(e)(2), Nov. 25, 2015, 129 Stat. 847; Pub. L. 115–84, § 2(e), Nov. 17, 2017, 131 Stat. 1273.) Editorial Notes AMENDMENTS 2017—Subsec. (h)(2)(A). Pub. L. 115–84 substituted ‘‘subsection (d) or (f) of section 8433’’ for ‘‘section 8433(d), or paragraph (1) or (2) of section 8433(h)’’. 2015—Subsec. (c)(2)(B). Pub. L. 114–92 struck out ‘‘(in- cluding pursuant to an agreement under section 211(d) of title 37)’’ before ‘‘with respect to the period’’. 1999—Subsec. (b)(2)(B). Pub. L. 106–65, § 661(a)(3)(A), inserted ‘‘or 8440e’’ after ‘‘section 8432(a)’’. Subsec. (c). Pub. L. 106–65, § 661(a)(3)(C), designated existing provisions as par. (1), redesignated former pars. (1) and (2) as subpars. (A) and (B), respectively, of par. (1), and added par. (2). Statutory Notes and Related Subsidiaries EFFECTIVE DATE OF 2017 AMENDMENT Pub. L. 115–84, § 2(g), Nov. 17, 2017, 131 Stat. 1273, pro- vided that: ‘‘The amendments made by this section [amending this section and section 8433 of this title] shall take effect on the date on which the regulations prescribed under subsection (f) [section 2(f) of Pub. L. 115–84, set out as a Regulations note under section 8433 of this title] take effect [Sept. 15, 2019; see 84 F.R. 46419].’’ EFFECTIVE DATE OF 2015 AMENDMENT; IMPLEMENTATION Amendment by Pub. L. 114–92 effective Jan. 1, 2018, with certain implementation requirements, see section Page 1150 TITLE 5—GOVERNMENT ORGANIZATION AND EMPLOYEES § 8432c 1 See References in Text note below. 635 of Pub. L. 114–92, set out as a note under section 8432 of this title. EFFECTIVE DATE OF 1999 AMENDMENT Amendment by Pub. L. 106–65 effective 180 days after Oct. 30, 2000, unless postponed, see section 663 of Pub. L. 106–65, as amended, set out as an Effective Date note under section 8440e of this title. EFFECTIVE DATE Pub. L. 103–353, § 4(e), (f), Oct. 13, 1994, 108 Stat. 3172, 3173, provided that: ‘‘(e) EFFECTIVE DATE; APPLICABILITY.—This section [enacting this section and amending sections 8351, 8432, and 8433 of this title] and the amendments made by this section— ‘‘(1) shall take effect on the date of enactment of this Act [Oct. 13, 1994]; and ‘‘(2) shall apply to any employee whose release from military service, discharge from hospitalization, or other similar event making the individual eligible to seek restoration or reemployment under chapter 43 of title 38, United States Code, occurs on or after Au- gust 2, 1990. ‘‘(f) RULES FOR APPLYING AMENDMENTS TO EMPLOYEES RESTORED OR REEMPLOYED BEFORE EFFECTIVE DATE.—In the case of any employee (described in subsection (e)(2)) who is reemployed or restored (in the circumstances described in section 8432b(a) of title 5, United States Code, as amended by this section) before the date of en- actment of this Act [Oct. 13, 1994], the amendments made by this section [enacting this section and amend- ing sections 8351, 8432, and 8433 of this title] shall apply to such employee, in accordance with their terms, sub- ject to the following: ‘‘(1) The employee shall be deemed not to have been reemployed or restored until— ‘‘(A) the date of enactment of this Act, or ‘‘(B) the first day following such employee’s re- employment or restoration on which such employee is or was eligible to make an election relating to contributions to the Thrift Savings Fund, whichever occurs or occurred first. ‘‘(2) If the employee changed agencies during the period between the date of actual reemployment or restoration and the date of enactment of this Act, the employing agency as of such date of enactment shall be considered the reemploying or restoring agency. ‘‘(3)(A) For purposes of any computation under sec- tion 8432b of such title, pay shall be determined in ac- cordance with subsection (e) of such section, except that, with respect to the period described in subpara- graph (B), actual pay attributable to such period shall be used. ‘‘(B) The period described in this subparagraph is the period beginning on the first day of the first ap- plicable pay period beginning on or after the date of the employee’s actual reemployment or restoration and ending on the day before the date determined under paragraph (1). ‘‘(4) Deem section 8432b(b)(2)(A) of such title to be amended by striking ‘ending on the day before the date of restoration or reemployment (as applicable)’ and inserting ‘ending on the date determined under section 4(f)(1) of the Uniformed Services Employment and Reemployment Rights Act of 1994’.’’ § 8432c. Contributions of certain persons reem- ployed after service with international orga- nizations (a) In this section, the term ‘‘covered person’’ means any person who— (1) transfers from a position of employment covered by chapter 83 or 84 or subchapter I or II of chapter 8 1 of the Foreign Service Act of 1980 to a position of employment with an international organization pursuant to section 3582; (2) pursuant to section 3582 elects to retain coverage, rights, and benefits under any sys- tem established by law for the retirement of persons during the period of employment with the international organization and currently deposits the necessary deductions in payment for such coverage, rights, and benefits in the system’s fund; and (3) is reemployed pursuant to section 3582(b) to a position covered by chapter 83 or 84 or subchapter I or II of chapter 8 1 of the Foreign Service Act of 1980 after separation from the international organization. (b)(1) Each covered person may contribute to the Thrift Savings Fund, in accordance with this subsection, an amount not to exceed the amount described in paragraph (2). (2) The maximum amount which a covered per- son may contribute under paragraph (1) is equal to— (A) the total amount of all contributions under section 8351(b)(2) or 8432(a), as applica- ble, which the person would have made over the period beginning on the date of transfer of the person (as described in subsection (a)(1)) and ending on the day before the date of reem- ployment of the person (as described in sub- section (a)(3)), minus (B) the total amount of all contributions, if any, under section 8351(b)(2) or 8432(a), as ap- plicable, actually made by the person over the period described in subparagraph (A). (3) Contributions under paragraph (1)— (A) shall be made at the same time and in the same manner as would any contributions under section 8351(b)(2) or 8432(a), as applica- ble; (B) shall be made over the period of time specified by the person under paragraph (4)(B); and (C) shall be in addition to any contributions actually being made by the person during that period under section 8351(b)(2) or 8432(a), as ap- plicable. (4) The Executive Director shall prescribe the time, form, and manner in which a covered per- son may specify— (A) the total amount the person wishes to contribute with respect to any period de- scribed in paragraph (2)(A); and (B) the period of time over which the cov- ered person wishes to make contributions under this subsection. (c) If a covered person who makes contribu- tions under section 8432(a) makes contributions under subsection (b), the agency employing the person shall make those contributions to the Thrift Savings Fund on the person’s behalf in the same manner as contributions are made for an employee described in section 8432b(a) under sections 8432b(c), 8432b(d), and 8432b(f). Amounts paid under this subsection shall be paid in the same manner as amounts are paid under section 8432b(g). (d) For purposes of any computation under this section, a covered person shall, with respect to the period described in subsection (b)(2)(A), be