,i  #aafth ,,congress  #b;d ,session    
,h4 ,r4 #gfff  ,,in ,,the ,,house ,,of  
,,representatives  ,july #af1 #bjbj,mr4 
,wenstrup 7for himself1 ,mrs4 ,axne1 and
 ,mr4 ,kelly of ,pennsylvania7          
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    
provide flexibility for families with   
health flexible spending arrangements   
and dependent care flexible spending    
arrangements1 and for other purposes4   
#a4 ,short title ,this ,act may be cited
 as the ,family ,savings ,flexibility   
,act4  #b4 ,increase in carryover for   
health flexible spending arrangements   
7a7 ,in general ,a plan or other        
arrangement that otherwise satisfies all
 of the applicable requirements of      
sections #ajf and #abe of the ,internal 
,revenue ,code of #aihf 7including any  
rules or regulations thereunder7 shall  
not fail to be treated as a cafeteria   
plan or health flexible spending        

arrangement merely because such plan or 
arrangement permits participants to     
carry over an amount not in excess of   
#b1gej of unused benefits or            
contributions remaining in a health     
flexible spending arrangement from the  
plan year ending in #bjbj to the plan   
year ending in #bjba4  7b7 ,definitions 
,any term used in this section which is 
also used in section #ajf or #abe of the
 ,internal ,revenue ,code of #aihf or   
the rules or regulations there under    
shall have the same meaning as when used
 in such section or rules or            
regulations4  #c4 ,carryover for        
dependent care flexible spending        
arrangements  7a7 ,in general ,a plan or
 other arrangement that otherwise       
satisfies all applicable requirements of
 sections #ajf1 #abe1 and #abi of the   
,internal ,revenue ,code of #aihf       
7including any rules or regulations     
thereunder7 shall not fail to be treated
 as a cafeteria plan or dependent care  
flexible spending arrangement merely    

because such plan or arrangement permits
 participants to carry over 7under rules
 similar to the rules applicable to     
health flexible spending arrangements7  
an amount1 not in excess of the amount  
in effect under section                 
#abi7;a77#b77;,a7 of such ,code1 of     
unused benefits or contributions        
remaining in a dependent care flexible  
spending arrangement from the plan year 
ending in #bjbj to the plan year ending 
in #bjba4  7b7 ,definitions ,any term   
used in this section which is also used 
in section #ajf1 #abe1 or #abi of the   
,internal ,revenue ,code of #aihf or the
 rules or regulations thereunder shall  
have the same meaning as when used in   
such section or rules or regulations4   
#d4 ,maximum contribution limit to      
health savings account increased to     
amount of deductible and out-of-pocket  
limitation  7a7 ,self-,only coverage    
,section #bbc7;b77#b77;,a7 of the       
,internal ,revenue ,code of #aihf is    
amended by striking #b1bej and inserting

 the amount in effect under subsection  
7c77#b77;,a77ii77,i74  7b7 ,family      
coverage ,section #bbc7;b77#b77;,b7 of  
such ,code is amended by striking #d1ejj
 and inserting the amount in effect     
under subsection 7c77#b77;,a77ii77,,ii74
  7c7 ,conforming amendment ,section    
#bbc7;g77#a7 of such ,code is amended by
 striking subsections 7b77#b7 and both  
places it appears and inserting         
subsection4  7d7 ,effective date ,the   
amendments made by this section shall   
apply to taxable years beginning after  
,december #ca1 #bjai4  #e4 ,increase in 
exclusion for employer-provided         
dependent care assistance  7a7 ,in      
general ,section #abi7;a77#b7 of the    
,internal ,revenue ,code of #aihf is    
amended by striking #e1jjj 7#b1ejj and  
inserting #aj1jjj 7#e1jjj4  7b7         
,effective date ,the amendment made by  
this section shall apply to taxable     
years beginning after ,december #ca1    
#bjai4  7c7 ,retroactive plan amendments
 ,a plan or other arrangement that      

otherwise satisfies all applicable      
requirements of sections #ajf1 #abe1 and
 #abi of the ,internal ,revenue ,code of
 #aihf 7including any rules or          
regulations thereunder7 shall not fail  
to be treated as a cafeteria plan or    
dependent care flexible spending        
arrangement merely because such plan or 
arrangement is amended pursuant to a    
provision under this section and such   
amendment is retroactive1 if-- 7#a7 such
 amendment is adopted no later than the 
last day of the plan year in which the  
amendment is effective1 and  7#b7 the   
plan or arrangement is operated         
consistent with the terms of such       
amendment during the period beginning on
 the effective date of the amendment and
 ending on the date the amendment is    
adopted4