July 16, 2004   SENATE APPROVES COLLINS’ BILL TO GIVE FEDERAL EMPLOYEES MORE FLEXIBILITY TO CONTRIBUTE TO RETIREMENT FUNDS Thrift Savings Plan Open Elections Act Would Make “Open Seasons” Year-Round for Employees   WASHINGTON, DC -- The U.S. Senate today unanimously approved Senate Governmental Affairs Committee Chairman Susan Collins’ (R-ME) legislation (S. 2479) to provide federal employees with maximum flexibility to tailor their investment decisions by eliminating the current restrictions on when employee contributions to the Thrift Savings Plan (TSP) can begin or be modified. “Allowing employees to join the Thrift Savings Plan or to make other changes when they choose -- not just during two yearly “open enrollment” periods -- will give employees more control over their investment decisions,” said Senator Collins. Since its inception in 1987, the TSP has provided federal employees with the opportunity to participate in a retirement savings plan similar to the 401(k) plans offered by many private companies. Under current law, newly hired employees can sign up to contribute to the TSP during an initial 60-day eligibility period. If an employee chooses not to make an election during that time, he or she must wait until an “open season,” or biannually designated period, to do so. If an employee stops contributing to the TSP outside of an open season, he or she must wait until the second open season after contributions stop before contributions can resume. Open seasons were practical when TSP was first created because the program lacked the administrative capability to quickly enroll participants and to implement investment elections on a real-time basis. With introduction of the automatic record-keeping system, however, the program has outgrown its existing framework. Senator Collins’ legislation, the Thrift Savings Plan Open Elections Act of 2004, has the support of the Federal Retirement Thrift Investment Board, the Employee Thrift Advisory Council, the American Federation of Government Employees, the National Treasury Employees Union, the National Association of Retired Federal Employees, the Federal Managers Association, and the Senior Executives Association.   ###   Printable Version   « previous Press Release next Press Release »   1998 - 1999 - 2000 - 2001 - 2002 - 2003 - 2004 - 2005 - 2006 - 2007 July 2004 Press Releases   July 30 - Sen. Collins Chairs First Congressional Hearing on 9/11 Commission Report, 9/11 Commission Chairmen Thomas Kean & Lee Hamilton Testify   July 23 - Senate Approves Collins-Lieberman Bill to Ensure Future of Emergency Food and Shelter Assistance Program   July 21 - Senate Committee Oks Collins, Akaka Bill Giving Federal Workers Access to Comprehensive Dental and Vision Insurance   July 21 - Senators Seek Funds for Interoperability Legislation   July 21 - Senate Governmental Affairs Committee Approves Bills Affecting Federal Workforce, Homeland Security, Whistleblower Protections   July 21 - Senate Governmental Affairs Committee Approves Collins-Wyden Civil Rights Legislation   July 16 current Press Release   July 15 - Senators Collins and Akaka’s Bill Gives Federal Workers Access to Comprehensive Dental and Vision Insurance   July 12 - Federal Agencies Cannot Account for Millions of Dollars in Aircraft and Car Costs, Say GAO Reports Released by Sens. Collins and Feingold   July 7 - Sens. Collins and Lieberman Say Failed Computer Program Contract Wasted $36 Million in Federal Retirement Funds   July 7 - Senator Collins Chairs Hearing on Warehousing Mentally Ill Children in Juvenile Detention Centers   July 6 - Senate Governmental Affairs Committee Approves Nomination for Assistant Secretary of Homeland Security
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