ACCOUNTS FOR SURVIVING SPOUSES.

SEC. 109. ACCOUNTS FOR SURVIVING SPOUSES. Section 8433(e) of title 5, United States Code, is amended—(1) by inserting “(1)” after “(e)”; and(2) by adding at the end the following:“(2) Notwithstanding section 8424(d), if an employee, Member, former employee, or former Member dies and has designated as 123 STAT. 1857 sole or partial beneficiary his or her spouse at the time of death, or, if an employee, Member, former employee, or former Member, dies with no designated beneficiary and is survived by a spouse, the spouse may maintain the portion of the employee’s or Member’s account to which the spouse is entitled in accordance with the following terms:“(A) Subject to the limitations of subparagraph (B), the spouse shall have the same withdrawal options under subsection (b) as the employee or Member were the employee or Member living.“(B) The spouse may not make withdrawals under subsection (g) or (h).“(C) The spouse may not make contributions or transfers to the account.“(D) The account shall be disbursed upon the death of the surviving spouse. A beneficiary or surviving spouse of a deceased spouse who has inherited an account is ineligible to maintain the inherited spousal account.“(3) The Executive Director shall prescribe regulations to carry out this subsection.”.