,i  #aafth ,,congress  #ast ,session    
,h4 ,r4 #ahgd  ,,in ,,the ,,house ,,of  
,,representatives  ,march #bf1          
#bjai,mrs4 ,murphy introduced the       
following bill2 which was referred to   
the ,committee on ,ways and ,means  ,a  
,,bill  ,to amend the ,internal ,revenue
 ,code of #aihf to require that         
qualified cash or deferred arrangements 
allow certain long-term employees to    
participate4  #a4 ,qualified cash or    
deferred arrangements must allow        
long-term employees working more than   
#ejj but less than #a1jjj hours per year
 to participate  7a7 ,participation     
requirement  7#a7 ,in general ,section  
#dja7k77#b77;,d7 of the ,internal       
,revenue ,code of #aihf is amended to   
read as follows3  7,d7 which does not   
require1 as a condition of participation
 in the arrangement1 that an employee   
complete a period of service with the   
employer 7or employers7 maintaining the 
plan extending beyond the close of the  
earlier of--  7i7 the period permitted  

under section #daj7;a77#a7 7determined  
without regard to subparagraph 7,b77i7  
thereof71 or  7ii7 subject to the       
provisions of paragraph 7#ae71 the first
 period of #c consecutive #ab-month     
periods during each of which the        
employee has at least #ejj hours of     
service4  4  7#b7 ,special rules        
,section #dja7k7 of such ,code is       
amended by adding at the end the        
following new paragraph3  7#ae7 ,special
 rules for participation requirement for
 long-term1 part-time workers ,for      
purposes of paragraph 7#b77;,d77ii7--   
7,a7 ,age requirement must be met       
,paragraph 7#b77;,d77ii7 shall not apply
 to an employee unless the employee has 
met the requirement of section          
#daj7;a77#a77;,a77i7 by the close of the
 last of the #ab-month periods described
 in such paragraph4  7,b7               
,nondiscrimination and top-heavy rules  
not to apply  7i7 ,nondiscrimination    
rules ,in the case of employees who are 
eligible to participate in the          

arrangement solely by reason of         
paragraph 7#b77;,d77ii7--  7,i7         
notwithstanding subsection 7a77#d71 an  
employer shall not be required to make  
nonelective or matching contributions on
 behalf of such employees even if such  
contributions are made on behalf of     
other employees eligible to participate 
in the arrangement1 and  7,,ii7 an      
employer may elect to exclude such      
employees from the application of       
subsection 7a77#d71 paragraph 7#c71     
subsection 7m77#b71 and section         
#daj7;b74  7ii7 ,top-heavy rules ,an    
employer may elect to exclude all       
employees who are eligible to           
participate in a plan maintained by the 
employer solely by reason of paragraph  
7#b77;,d77ii7 from the application of   
the vesting and benefit requirements    
under subsections 7b7 and 7c7 of section
 #daf4  7iii7 ,vesting ,for purposes of 
determining whether an employee         
described in clause 7i7 has a           
nonforfeitable right to employer        

contributions 7other than contributions 
described in paragraph 7#c77;,d77i77    
under the arrangement1 each #ab-month   
period for which the employee has at    
least #ejj hours of service shall be    
treated as a year of service4  7iv7     
,employees who become full-time         
employees ,this subparagraph shall cease
 to apply to any employee as of the     
first plan year beginning after the plan
 year in which the employee meets the   
requirements of section                 
#daj7;a77#a77;,a77ii7 without regard to 
paragraph 7#b77;,d77ii74  7,c7          
,exception for employees under          
collectively bargained plans1 etc       
,paragraph 7#b77;,d77ii7 shall not apply
 to employees described in section      
#daj7;b77#c74  7,d7 ,special rules  7i7 
,time of participation ,the rules of    
section #daj7;a77#d7 shall apply to an  
employee eligible to participate in an  
arrangement solely by reason of         
paragraph 7#b77;,d77ii74  7ii7 #ab-month
 periods #ab-month periods shall be     

determined in the same manner as under  
the last sentence of section            
#daj7;a77#c77;,a74  4  7b7 ,effective   
date ,the amendments made by this       
section shall apply to plan years       
beginning after ,december #ca1 #bjbj1   
except that1 for purposes of section    
#dja7k77#b77;,d77ii7 of the ,internal   
,revenue ,code of #aihf 7as added by    
such amendments71 #ab-month periods     
beginning before ,january #a1 #bjba1    
shall not be taken into account4