(a) Establishment. -- There is established on the books of the Treasury the Federal Supplemental District of Columbia Pension Fund, which shall be administered by the Secretary and shall consist of the following assets:
(1) Amounts deposited into such Fund under the provisions of this chapter.
(2) Any amount otherwise appropriated to such Fund.
(3) Any income earned on the investment of the assets of such Fund pursuant to subsection (b) of this section.
(b) Investment of assets. -- The Secretary shall invest such portion of the Federal Supplemental Fund as is not in the judgment of the Secretary required to meet current withdrawals. Such investments shall be in public debt securities with maturities suitable to the needs of the Federal Supplemental Fund, as determined by the Secretary, and bearing interest at rates determined by the Secretary, taking into consideration current market yields on outstanding marketable obligations of the United States of comparable maturities.
(c) Recordkeeping for actuarial status. -- The Secretary shall provide for the keeping of such records as are necessary for determining the actuarial status of the Federal Supplemental Fund.
(Aug. 5, 1997, 111 Stat. 725, Pub. L. 105-33, § 11051.)
HISTORICAL AND STATUTORY NOTES
Prior Codifications
1981 Ed., § 1-766.1.
Amounts in the Federal Supplemental Fund shall be used for the accumulation of funds in order to finance obligations of the Federal Government for benefits and necessary administrative expenses under the provisions of this chapter, in accordance with the methodology selected by the Secretary under § 1- 811.04(b), except that payments from the Fund for administrative expenses may be made only to the extent and in such amounts as are provided in advance in appropriations acts.
(Aug. 5, 1997, 111 Stat. 726, Pub. L. 105-33, § 11052; Oct. 21, 1998, 112 Stat. 2681-532, Pub. L. 105-277, § 801(g)(3).)
HISTORICAL AND STATUTORY NOTES
Prior Codifications
1981 Ed., § 1-766.2.
(a) Annual amortization amount. -- At the end of each applicable fiscal year the Secretary shall promptly pay into the Federal Supplemental Fund from the General Fund of the Treasury an amount equal to the annual amortization amount for the year (which may not be less than zero).
(b) Administrative expenses. -- During each applicable fiscal year, the Secretary shall pay into the Federal Supplemental Fund from the General Fund of the Treasury amounts not to exceed the covered administrative expenses for the year.
(c) Determination of amounts. -- For purposes of this section:
(1) The "original unfunded liability" is the amount that is the present value as of October 21, 1998 of future benefits payable from the Federal Supplemental Fund.
(2) The "annual amortization amount" is the amount determined by the enrolled actuary to be necessary to amortize in equal annual installments (until fully amortized):
(A) The original unfunded liability over a 30-year period;
(B) A net experience gain or loss over a 10-year period; and
(C) Any other changes in actuarial liability over a 20-year period.
(3) The "covered administrative expenses" are the expenses determined by the Secretary (on an annual basis) to be necessary to administer the Federal Supplemental Fund.
(d) Timing. -- The first applicable fiscal year under subsection (a) of this section is the first fiscal year that ends more than six months after the replacement plan adoption date.
(Aug. 5, 1997, 111 Stat. 726, Pub. L. 105-33, § 11053; Oct. 21, 1998, 112 Stat. 2681-532, Pub. L. 105-277, § 801(f).)
HISTORICAL AND STATUTORY NOTES
Prior Codifications
1981 Ed., § 1-766.3.
(a) Notice to President and Congress. -- Not later than 18 months before the time that assets remaining in the Trust Fund are projected to be insufficient for making Federal benefit payments and covering necessary administrative expenses when due, the Secretary shall so advise the President and the Congress.
(b) Selection of methodology. -- Before all available assets of the Trust Fund have been depleted, the Secretary shall determine whether Federal benefit payments and necessary administrative expenses under this chapter shall be made by one of the following methods:
(1) Continuation of the Trust Fund using payments from the Federal Supplemental Fund.
(2) Discontinuation of the Trust Fund, with payments made:
(A) By direct payment by the Secretary from the Federal Supplemental Fund; or
(B) From the Federal Supplemental Fund through another department or agency of the United States.
(c) Arrangements by Secretary. -- The Secretary shall make appropriate arrangements to implement the determinations made in this section.
(Aug. 5, 1997, 111 Stat. 727, Pub. L. 105-33, § 11054; Apr. 20, 1999, D.C. Law 12-264, § 6(a), 46 DCR 2118.)
HISTORICAL AND STATUTORY NOTES
Prior Codifications
1981 Ed., § 1-766.4.
Legislative History of Laws
Law 12-264, the "Technical Amendments Act of 1998," was introduced in Council and assigned Bill No. 12-804, which was referred to the Committee of the Whole. The Bill was adopted on first and second readings on November 10, 1998, and December 1, 1998, respectively. Signed by the Mayor on January 7, 1999, it was assigned Act No. 12-626 and transmitted to both Houses of Congress for its review. D.C. Law 12-264 became effective on April 20, 1999.
(a) Successor to Trustee. -- If the Secretary determines that the Trust Fund shall be discontinued after it has been depleted of assets, the Secretary shall appoint a successor to the Trustee to administer the requirements of this chapter, with the same powers and subject to the same conditions as were applicable to the Trustee.
(b) Continuing application of terms and conditions. -- The methodology selected by the Secretary under § 1-811.04(b), and the payment of benefits pursuant to such methodology, shall be subject to the same arrangements, terms, and conditions as were applicable under this chapter to the Trust Fund and the benefits paid under the Trust Fund (including provisions relating to the treatment of the Trust Fund under certain laws).
(Aug. 5, 1997, 111 Stat. 727, Pub. L. 105-33, § 11055.)
HISTORICAL AND STATUTORY NOTES
Prior Codifications
1981 Ed., § 1-766.5.
Effective upon the transfer of the assets of the Federal Supplemental Fund to the D.C. Federal Pension Fund under § 1-817.03:
(1) The Federal Supplemental Fund shall terminate; and
(2) Any duty imposed on any person with respect to the Federal Supplemental fund shall terminate.
(Aug. 5, 1997, 111 Stat. 724, Pub. L. 105-33, § 11056, as added Dec. 23, 2004, 118 Stat. 3969, Pub. L. 108-489, § 2(b)(2).)
