,,ii  #aaf? ,,congress  #a/ ,session    
,s4 #bjd  ,,9 ,,! ,,s5ate ,,( ,,!       
,,unit$ ,,/ates  ,janu>y #bd1 #bjai ,mr4
 ,ka9e 7= himself1 ,ms4 ,coll9s1 ,mr4   
,wyd51 ,mrs4 ,murray1 ,mr4 ,jones1 ,mr4 
,b5net1 ,ms4 ,cortez ,ma/o1 ,ms4 ,/ab5[1
 ,mr4 ,van ,holl51 ,mr4 ,blum5?al1 ,mr4 
,c>p]1 ,ms4 ,w>r51 ,ms4 ,duckwor?1 ,mr4 
,coons1 ,mr4 ,s&]s1 ,mr4 ,w>n]1 ,ms4    
,hassan1 ,mr4 ,m55dez1 ,mr4 ,br[n1 ,mrs4
 ,%ahe51 ,ms4 ,hirono1 ,mr4 ,book]1 ,mr4
 ,durb91 ,ms4 ,smi?1 ,mr4 ,he9ri*1 ,mr4 
,s*atz1 ,ms4 ,klobu*>1 ,mr4 ,portman1   
,mr4 ,udall1 ,mr4 ,man*91 & ,mrs4       
,fe9/e97 introduc$ ! foll[+ bill2 :i* 0 
read twice & ref]r$ to ! ,committee on  
,f9ance  ,a ,,bill  ,to am5d ! ,int]nal 
,rev5ue ,code ( #aihf to waive c]ta9    
p5alties = affect$ ,f$]al employees     
receiv+ a di/ribution f ! ,?rift ,sav+s 
,plan dur+ a lapse 9 appropriations1 & =
 o!r purposes4  #a4 ,%ort title ,?is    
,act may be cit$ z ! ,em]g5cy ,relief = 
,f$]al ,work]s ,act ( #bjai4  #b4 ,waiv]
 ( #aj-p]c5t additional tax on c]ta9    

f9ancial h>d%ip di/ributions f ,?rift   
,sav+s ,plan  7a7 ,9 g5]al ,p>agraph    
7#b7 ( section #gb7t7 ( ! ,int]nal      
,rev5ue ,code ( #aihf is am5d$ by add+  
at ! end ! foll[+ new subp>agraph3  7,h7
 ,di/ributions to ,f$]al employees      
affect$ by a qualifi$ lapse 9           
appropriations  7i7 ,9 g5]al            
,di/ributions made f ! ,?rift ,sav+s    
,plan "u sub*apt] ,,iii ( *apt] #hd (   
title #e1 ,unit$ ,/ates ,code1 ^u       
f9ancial h>d%ip ( an individual :o is a 
,f$]al employee & :o is on furl\gh or :o
 is work+ )\t pay due to a qualifi$     
lapse 9 appropriations1 if su*          
di/ributions are made dur+ ! p]iod ( su*
 qualifi$ lapse 9 appropriations        
7includ+ di/ributions :i* are 9 process 
z ( ! end ( su* lapse74  7ii7           
,limitation ,subclause 7i7 %all apply to
 any di/ributions only to ! ext5t !     
aggregate ( su* di/ributions does n     
exce$ #cj1jjj ) respect to any qualifi$ 
lapse 9 appropriations4  7iii7 ,qualifi$
 lapse 9 appropriations ,= purposes (   

?is subp>agraph1 ! t]m qualifi$ lapse 9 
appropriations means a p]iod ( cont9u\s 
lapse 9 ,f$]al appropriations 7includ+ a
 p>tial lapse7 ( at lea/ #b weeks4  7iv7
 ,o!r t]ms ,= purposes ( ?is            
subp>agraph1 ! t]ms furl\gh & pay h !   
respective mean+s giv5 su* t]ms by      
section #geaa ( title #e1 ,unit$ ,/ates 
,code4  4  7b7 ,effective date ,!       
am5dm5t made by ?is section %all apply  
to di/ributions made aft] ,decemb] #ba1 
#bjah4  #c4 ,?rift ,sav+s ,plan         
provisions  7a7 ,9-,s]vice )drawals     
,section #hdcc7;h7 ( title #e1 ,unit$   
,/ates ,code1 is am5d$ by add+ at ! end 
! foll[+3  7#f7 7,a7 ,9 ?is p>agraph--  
7i7 ! t]m applicable date1 ) respect to 
a cov]$ age-bas$ )drawal or cov]$ h>d%ip
 )drawal made dur+ a qualifi$ lapse 9   
appropriations1 means ! date t is #abj  
days aft] ! la/ day ( ! qualifi$ lapse 9
 appropriations2  7ii7 ! t]m cov]$      
age-bas$ )drawal means a )drawal "u     
p>agraph 7#a77;,a7 made dur+ ! p]iod ( a
 qualifi$ lapse 9 appropriations2  7iii7

 ! t]m cov]$ h>d%ip )drawal means a     
)drawal describ$ 9 subp>agraph 7,b72 &  
7iv7 ! t]m qualifi$ lapse 9             
appropriations has ! mean+ giv5 ! t]m 9 
section #gb7t77#b77;,h77iii7 ( !        
,int]nal ,rev5ue ,code ( #aihf4  7,b7 ,!
 ,bo>d %all p]mit an employee ^: pay has
 be5 susp5d$ due to a qualifi$ lapse 9  
appropriations to make a )drawal bas$ ^u
 f9ancial h>d%ip "u p>agraph 7#a77;,b7  
if--  7i7 ! )drawal is made dur+ ! p]iod
 ( su* qualifi$ lapse 9 appropriations  
7includ+ )drawals :i* are 9 process z ( 
! end ( su* lapse72 &  7ii7 ! aggregate 
am\nt ( any su* )drawals dur+ ! p]iod   
describ$ 9 clause 7i7 does n exce$      
#cj1jjj4  7,c7 ,! ,bo>d may n limit !   
numb] ( cov]$ h>d%ip )drawals t an      
employee may make dur+ ! p]iod ( a      
qualifi$ lapse 9 appropriations1 subject
 to ! doll> limitation "u subp>agraph   
7,b77ii74  7,d7 ,a cov]$ h>d%ip )drawal 
made by an employee %all n affect !     
ability ( ! employee to contribute to ! 
,?rift ,sav+s ,fund on & aft] ! date on 

:i* ! applicable qualifi$ lapse 9       
appropriations ends4  7,e7 7i7 ,an      
individual :o makes #a or m cov]$       
age-bas$ )drawals dur+ ! p]iod ( a      
qualifi$ lapse 9 appropriations may1    
be=e ! applicable date1 contribute to ! 
,?rift ,sav+s ,fund an am\nt n to exce$ 
! l[] (--  7,i7 ! aggregate am\nt ( !   
)drawals2 or  7,,ii7 #cj1jjj4  7ii7 ,an 
individual :o makes #a or m cov]$ h>d%ip
 )drawals dur+ ! p]iod ( a qualifi$     
lapse 9 appropriations may1 be=e !      
applicable date1 contribute to ! ,?rift 
,sav+s ,fund an am\nt n to exce$ !      
aggregate am\nt ( ! )drawals4  7iii7 ,! 
doll> limitations o!rwise applicable to 
employee contributions "u ?is title or !
 ,int]nal ,rev5ue ,code ( #aihf %all n  
apply to any contribution made "u ?is   
subp>agraph4 ,any su* contribution %all 
be disreg>d$ = purposes ( section       
#hdcb7;d7 ( ?is title & section         
#dae7;c77#b7 ( su* ,code4  4  7b7 ,loans
 ,section #hdcc7;g7 ( title #e1 ,unit$  
,/ates ,code1 is am5d$ by add+ at ! end 

! foll[+3  7#e7 ,! ,bo>d %all prescribe 
rules provid+ = ! secure di/ribution ( !
 proce$s ( a loan "u ?is subsection     
?r\gh an electronic funds transf]1 if   
su* a transf] is reque/$ by ! employee  
or ,memb] receiv+ ! loan4  7#f7 ,! ,bo>d
 %all prescribe rules all[+ loans to be 
made "u ?is subsection to employees dur+
 a lapse 9 appropriations1 )\t reg>d to 
! p]iod ( ! lapse 9 appropriations4     
7#g7 7,a7 ,9 ?is p>agraph-- 7i7 ! t]m   
paym5t miss$ because ( a %utd[n means a 
paym5t--  7,i7 on a loan "u ?is         
subsection made to an employee ^: pay   
has be5 susp5d$ due to a qualifi$ lapse 
9 appropriations2  7,,ii7 t is due dur+ 
! qualifi$ lapse 9 appropriations2 &    
7,,iii7 t 0 n paid by ! employee2 &     
7ii7 ! t]m qualifi$ lapse 9             
appropriations has ! mean+ giv5 ! t]m 9 
section #gb7t77#b77;,h77iii7 ( !        
,int]nal ,rev5ue ,code ( #aihf4  7,b7 ,!
 ,bo>d %all prescribe rules provid+ t ! 
full am\nt due = any paym5ts miss$      
because ( a %utd[n by an employee %all  

be d$uct$ & )held f ! pay provid$ to !  
employee = ! p]iod ( ! qualifi$ lapse 9 
appropriations4  4  #d4 ,miss$ loan     
paym5ts n to be treat$ z taxable        
di/ribution dur+ a qualifi$ lapse 9     
appropriations  7a7 ,9 g5]al ,p>agraph  
7#b7 ( section #gb7p7 ( ! ,int]nal      
,rev5ue ,code ( #aihf is am5d$ by add+  
at ! end ! foll[+ new subp>agraph3  7,e7
 ,special rule = miss$ loan repaym5t    
dur+ a qualifi$ lapse 9 appropriations  
,subp>agraph 7,a7 %all n fail to apply  
to any loan f ! ,?rift ,sav+s ,plan "u  
sub*apt] ,,iii ( *apt] #hd ( title #e1  
,unit$ ,/ates ,code1 solely because !re 
is a paym5t miss$ because ( a %utd[n 7z 
def9$ 9 section #hdcc7;g77#g77;,a7 (    
title #e1 ,unit$ ,/ates ,code7 ) respect
 to su* loan1 & su* loan 7or any portion
 ( su* loan7 %all n be treat$ z a       
taxable di/ribution solely because ( su*
 miss$ paym5t4  4  7b7 ,effective date  
,! am5dm5t made by ?is section %all     
apply to miss$ loan paym5ts ! due date =
 :i* is aft] ,decemb] #ba1 #bjah4