116 STAT. 1378 PUBLIC LAW 107-228—SEPT. 30, 2002 (2) by striking "Foreign Service star" each place it appears and inserting "Thomas Jefferson Star for Foreign Service". SEC. 312. PRESIDENTIAL RANK AWARDS. (a) COMPARABLE PAYMENTS.— Section 405(b)(3) of the Foreign Service Act of 1980 (22 U.S.C. 3965(b)(3)) is amended by striking the second sentence and inserting "Payments under this paragraph to a member of the Senior Foreign Service may not exceed, in any fiscal year, the percentage of basic pay established under section 4507(e)(1) of title 5, United States Code, for a Meritorious Executive, except that payments of the percentage of the basic pay established under section 4507(e)(2) of such title for Distinguished Executives may be made in any fiscal year to up to 1 percent of the members of the Senior Foreign Service.". 22 USC 3965 (b) EFFECTIVE DATE. —The amendment made by subsection (a) note. shall take effect October 1, 2002. SEC. 313. FOREIGN SERVICE NATIONAL SAVINGS FUND. Section 408(a)(1) of the Foreign Service Act of 1980 (22 U.S.C. 3968(a)(1)) is amended in the third sentence by striking "(C)" and all that follows through "covered employees." and inserting "(C) payments by the Government and employees to (i) a trust or other fund in a financial institution in order to finance future benefits for employees, including provision for retention in the fund of accumulated interest and dividends for the benefit of covered employees; or (ii) a Foreign Service National Savings Fund established in the Treasury of the United States, which (I) shall be administered by the Secretary, at whose direction the Secretary of the Treasury shall invest amounts not required for the current needs of the Fund; and (II) shall be public monies, which are authorized to be appropriated and remain available without fiscal year limitation to pay benefits, to be invested in public debt obligations bearing interest at rates determined by the Secretary of the Treasury taking into consideration current average market yields on outstanding marketable obligations of the United States of comparable maturity, and to pay administrative expenses.". SEC. 314. CLARIFICATION OF SEPARATION FOR CAUSE. (a) IN GENERAL.— Section 610(a) of the Foreign Service Act of 1980 (22 U.S.C. 4010(a)) is amended— (1) in paragraph (1), by inserting "decide to" after "may"; (2) by strifcng paragraphs (2), (3), (4), (5), and (6); and (3) by inserting after paragraph (1) the following: "(2)(A) Except as provided in subparagraph (B), whenever the Secretary decides under paragraph (1) to separate, on the basis of misconduct, any member of the Service (other than a United States citizen employed under section 311 of the Foreign Service Act of 1980 who is not a family member) who either— "(i) is serving under a career appointment, or "(ii) is serving under a limited appointment, the member may not be separated from the Service until the member receives a hearing before the Foreign Service Grievance Board and the Board decides that cause for separation has been established, unless the member waives, in writing, the right to such a hearing, or the member's appointment has expired, whichever is sooner. "(B) The right to a hearing in subparagraph (A) does not apply in the case of an individual who has been convicted of a
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