Bill Carrying TSP Proposals Could Move

A Senate version is expected to be introduced soon of a tobacco policy bill that has passed the House (HR-1256) that contains several changes to the TSP. Those provisions include a requirement to create a Roth investment option, an idea the TSP governing board has endorsed, and to let the program allow participants to invest in outside funds through a "window," an idea still in the deliberation stages. In addition, the House bill would require personal investments by newly hired employees unless they opted out. It’s uncertain whether the Senate bill will also carry the TSP language, since those provisions haven’t had hearings yet in the federal workforce subcommittee there; however, the Senate sometimes accepts provisions in such situations if there is no objection. The House also passed a separate bill with the same provisions.