,,ii  #aad? ,,congress  #b;d ,session   
,s4 #bhid  ,,9 ,,! ,,s5ate ,,( ,,!      
,,unit$ ,,/ates  ,april #bh1 #bjaf ,ms4 
,/ab5[ 7= h]self1 ,mr4 ,br[n1 ,mr4      
,pet]s1 ,mrs4 ,mc,caskill1 & ,ms4       
,klobu*>7 introduc$ ! foll[+ bill2 :i* 0
 read twice & ref]r$ to ! ,committee on 
,heal?1 ,education1 ,labor1 & ,p5sions  
,a ,,bill  ,to am5d ! ,int]nal ,rev5ue  
,code & ! ,employee ,retirem5t ,income  
,security ,act ( #aigd to provide =     
sal>y r$uctions = c]ta9 employees ( a   
p5sion plan 9 critical or decl9+ /atus t
 r$uces p>ticipant b5efits1 & = o!r     
purposes4  #a4 ,%ort title ,?is ,act may
 be cit$ z ! ,p5sion ,fund ,integrity   
,act ( #bjaf4  #b4 ,executive sal>ies   
7a7 ,am5dm5ts to ,int]nal ,rev5ue ,code 
( #aihf  7#a7 ,9 g5]al ,subp>agraph 7,c7
 ( section #dcb7;e77#i7 ( ! ,int]nal    
,rev5ue ,code ( #aihf is am5d$ by add+  
at ! end ! foll[+ new clause3  7iii7 ,9 
! case ( a sy/emically important plan 7z
 def9$ 9 subp>agraph 7,h77v77,,iii771   
effective on ! date ! b5efit susp5sion  

goes into effect1 ! annual comp5sation (
 ea* employee ( ! plan is r$uc$ to !    
less] (--  7,i7 ! annual comp5sation ( !
 employee = ! plan ye> 9 :i* ! b5efit   
susp5sion is approv$ "u subp>agraph 7,g7
 7det]m9$ z ( ! date ( su* approval71   
r$uc$ by ! r$uction p]c5tage ( s mu* (  
su* annual comp5sation z exce$s         
#ajj1jjj1 or  7,,ii7 ! av]age annual    
comp5sation ( ! employee = ! #c plan    
ye>s imm$iately prec$+ ! ye> 9 :i* !    
b5efit susp5sion is approv$ "u          
subp>agraph 7,g71 r$uc$ by ! r$uction   
p]c5tage ( s mu* ( su* av]age annual    
comp5sation z exce$s #ajj1jjj1  & w n be
 increas$ 7includ+ by means ( a bonus1  
p]=mance-bas$ comp5sation1 or o!rwise7 z
 long z ! b5efit susp5sion rema9s 9     
effect4 ,= purposes ( ! prec$+ s5t5ce1 !
 t]m r$uction p]c5tage means ! p]c5tage 
det]m9$ by ! ,secret>y & provid$ to !   
plan :i* is equal to ! av]age p]c5tage  
r$uction 9 b5efits applicable to ! #ej  
p>ticipants & b5efici>ies :o receive !  
greate/ r$uction 9 b5efits "u ! plan z a

 result ( ! susp5sion4  4  7#b7 ,tax on 
prohibit$ transactions  7,a7 ,9 g5]al   
,p>agraph 7#a7 ( section #dige7;c7 ( su*
 ,code is am5d$-- 7i7 by /rik+ or at !  
end ( subp>agraph 7,e71  7ii7 by /rik+ !
 p]iod at ! end ( subp>agraph 7,f7 &    
ins]t+ 2 or1 &  7iii7 by add+ at ! end !
 foll[+ new subp>agraph3  7,g7 not)/&+  
subsection 7d77#b71 paym5t by a         
sy/emically important plan 7z def9$ 9   
section #dcb7;e77#i77;,h77v77,,iii77 (--
  7i7 any comp5sation 7includ+ a bonus  
or p]=mance-bas$ comp5sation7 9 excess (
 ! am\nt det]m9$ "u section             
#dcb7;e77#i77;,c77iii7 to any employee (
 ! plan ) respect to :i* a b5efit       
susp5sion is 9 effect "u section        
#dcb7;e77#i71 or  7ii7 9 ! case ( any   
nonemployee :o 0 an employee ( ! plan   
dur+ any ( ! #c plan ye>s imm$iately    
prec$+ ! ye> 9 :i* ! b5efit susp5sion is
 approv$ "u section #dcb7;e77#i77;,g71  
any comp5sation to su* individual 7z an 
indep5d5t contractor or o!rwise &       
includ+ any bonus or p]=mance-bas$      

comp5sation7 9 excess ( ! am\nt t w\ld  
be det]m9$ "u section                   
#dcb7;e77#i77;,c77iii7 if ! individual 7
 an employee at ! "t ( paym5t ( su*     
comp5sation4  4  7,b7 ,liability = tax  
,subsection 7a7 ( section #dige ( su*   
,code is am5d$ by ins]t+ be=e ! p]iod ! 
foll[+3 1 except t any tax impos$ by ?is
 subsection by reason ( subsection      
7c77#a77;,g7 %all be paid by ! plan     
sponsor4  7,c7 ,liability = additional  
taxes ,subsection 7b7 ( section #dige ( 
su* ,code is am5d$ by ins]t+ be=e !     
p]iod ! foll[+3 1 except t any tax      
impos$ by ?is subsection by reason (    
subsection 7c77#a77;,g7 %all be paid by 
! plan sponsor4  7,d7 ,cl]ical am5dm5ts 
,! head+s ( subsections 7a7 & 7b7 (     
section #dige ( su* ,code are ea* am5d$ 
by /rik+ on disqualifi$ p]son4  7b7     
,am5dm5ts to ,employee ,retirem5t       
,income ,security ,act ( #aigd  7#a7 ,9 
g5]al ,subp>agraph 7,c7 ( section       
#cje7;e77#i7 ( ! ,employee ,retirem5t   
,income ,security ,act ( #aigd 7#bi     

,u4,s4,c4 #ajhe7;e77#i77;,c77 is am5d$  
by add+ at ! end ! foll[+ new clause3   
7iii7 ,9 ! case ( a sy/emically         
important plan 7z def9$ 9 subp>agraph   
7,h77v77,,iii771 effective on ! date !  
b5efit susp5sion goes into effect1 !    
annual comp5sation ( ea* employee ( !   
plan is r$uc$ to ! less] (--  7,i7 !    
annual comp5sation ( ! employee = ! plan
 ye> 9 :i* ! b5efit susp5sion is approv$
 "u subp>agraph 7,g7 7det]m9$ z ( ! date
 ( su* approval71 r$uc$ by ! r$uction   
p]c5tage ( s mu* ( su* annual           
comp5sation z exce$s #ajj1jjj1 or       
7,,ii7 ! av]age annual comp5sation ( !  
employee = ! #c plan ye>s imm$iately    
prec$+ ! ye> 9 :i* ! b5efit susp5sion is
 approv$ "u subp>agraph 7,g71 r$uc$ by !
 r$uction p]c5tage ( s mu* ( su* av]age 
annual comp5sation z exce$s #ajj1jjj1  &
 w n be increas$ 7includ+ by means ( a  
bonus1 p]=mance-bas$ comp5sation1 or    
o!rwise7 z long z ! b5efit susp5sion    
rema9s 9 effect4 ,= purposes ( ! prec$+ 
s5t5ce1 ! t]m r$uction p]c5tage means ! 

p]c5tage det]m9$ by ! ,secret>y ( !     
,treasury & provid$ to ! plan :i* is    
equal to ! av]age p]c5tage r$uction 9   
b5efits applicable to ! #ej p>ticipants 
& b5efici>ies :o receive ! greate/      
r$uction 9 b5efits "u ! plan z a result 
( ! susp5sion4  4  7#b7 ,prohibit$      
transactions ,p>agraph 7#a7 ( section   
#djf7;a7 ( su* ,act 7#bi ,u4,s4,c4      
#aajf7;a77#a77 is am5d$-- 7,a7 by /rik+ 
or at ! end ( subp>agraph 7,d71  7,b7 by
 /rik+ ! p]iod at ! end ( subp>agraph   
7,e7 & ins]t+ 2 or1 &  7,c7 by add+ at !
 end ! foll[+ new subp>agraph3  7,f7    
not)/&+ section #djh7;b77#b71 paym5t by 
a sy/emically important plan 7z def9$ 9 
section #cje7;e77#i77;,h77v77,,iii77 (--
  7i7 any comp5sation 7includ+ a bonus  
or p]=mance-bas$ comp5sation7 9 excess (
 ! am\nt det]m9$ "u section             
#cje7;e77#i77;,c77iii7 to any employee (
 ! plan ) respect to :i* a b5efit       
susp5sion is 9 effect "u section        
#cje7;e77#i71 or  7ii7 9 ! case ( any   
nonemployee :o 0 an employee ( ! plan   

dur+ any ( ! #c plan ye>s imm$iately    
prec$+ ! ye> 9 :i* ! b5efit susp5sion is
 approv$ "u section #cje7;e77#i77;,g71  
any comp5sation to su* individual 7z an 
indep5d5t contractor or o!rwise &       
includ+ any bonus or p]=mance-bas$      
comp5sation7 9 excess ( ! am\nt t w\ld  
be det]m9$ "u section                   
#cje7;e77#i77;,c77iii7 if ! individual 7
 an employee at ! "t ( paym5t ( su*     
comp5sation4  4  7c7 ,effective dates   
7#a7 ,9 g5]al ,! am5dm5ts made by       
subsections 7a77#a7 & 7b77#a7 %all apply
 to susp5sions ( b5efits "u section     
#dcb7;e77#i77;,g7 ( ! ,int]nal ,rev5ue  
,code ( #aihf & section                 
#cje7;e77#i77;,g7 ( ! ,employee         
,retirem5t ,income ,security ,act (     
#aigd 7#bi ,u4,s4,c4 #ajhe7;e77#i77;,g77
 :i* take effect aft] ! date ( !        
enactm5t ( ?is ,act4  7#b7 ,prohibit$   
transactions ,! am5dm5ts made by        
subsections 7a77#b71 7b77#b71 & 7b77#c7 
%all apply to any transaction made aft] 
! date ( ! enactm5t ( ?is ,act4  #c4    

,prohibition ( lobby+ exp5ses  7a7      
,am5dm5ts to ,int]nal ,rev5ue ,code (   
#aihf  7#a7 ,9 g5]al ,p>agraph 7#a7 (   
section #dige7;c7 ( ! ,int]nal ,rev5ue  
,code ( #aihf1 z am5d$ by section       
#a7;a71 is am5d$--  7,a7 by /rik+ or at 
! end ( subp>agraph 7,f71  7,b7 by /rik+
 ! p]iod at ! end ( subp>agraph 7,g7 &  
ins]t+ 2 or1 &  7,c7 by add+ at ! end ! 
foll[+ new subp>agraph3  7,h7 paym5t by 
! plan ( any am\nt = ! engagem5t ( any  
p]son o!r ?an an employee ( ! plan 9    
connection ) any activity describ$ 9    
section #afb7;e77#a7 dur+ any p]iod 9   
:i* ! plan is 9 endang]$ /atus "u       
section #dcb7;b77#a71 9 critical /atus  
"u section #dcb7;b77#b71 or 9 critical &
 decl9+ /atus "u section #dcb7;b77#f74  
4  7#b7 ,liability ( plan sponsor       
,subsections 7a7 & 7b7 ( section #dige (
 su* ,code1 z am5d$ by section #a7;a71  
are ea* am5d$ by /rik+ subsection       
7c77#a77;,g7 & ins]t+ subp>agraph 7,g7  
or 7,h7 ( subsection 7c77#a74  7b7      
,am5dm5ts to ,employee ,retirem5t       

,income ,security ,act ( #aigd  7#a7 ,9 
g5]al ,p>agraph 7#a7 ( section #djf7;a7 
( ! ,employee ,retirem5t ,income        
,security ,act ( #aigd 7#bi ,u4,s4,c4   
#aajf7;a77#a771 z am5d$ by section      
#a7;b71 is am5d$--  7,a7 by /rik+ or at 
! end ( subp>agraph 7,e71  7,b7 by /rik+
 ! p]iod at ! end ( subp>agraph 7,f7 &  
ins]t+ 2 or1 &  7,c7 by add+ at ! end ! 
foll[+ new subp>agraph3  7,g7 paym5t by 
! plan ( any am\nt = ! engagem5t ( any  
p]son o!r ?an an employee ( ! plan 9    
connection ) any activity describ$ 9    
section #afb7;e77#a7 ( ! ,int]nal       
,rev5ue ,code ( #aihf dur+ any p]iod 9  
:i* ! plan is 9 endang]$ /atus "u       
section #cje7;b77#a71 9 critical /atus  
"u section #cje7;b77#b71 or 9 critical &
 decl9+ /atus "u section #cje7;b77#f74  
4  7#b7 ,liability ( plan sponsor       
,subsection 7c7 ( section #dji ( su*    
,act 7#bi ,u4,s4,c4 #aaji7;c771 z add$  
by section #a7;b71 is am5d$ by /rik+    
#dige7;c77#a77;,g7 & ins]t+ subp>agraph 
7,g7 or 7,h7 ( section #dige7;c77#a74   

7c7 ,effective date ,! am5dm5ts made by 
?is section %all apply to transactions  
made aft] ! date ( ! enactm5t ( ?is     
,act4