Do either of the pieces of pension legislation allow members of a Deferred Compensation (457) plan to rollover plan assets to an IRA. I know both plans allow rollovers from 403b to 457 ...many of my employees would not have a 403b plan as an available optiion.

Yep! See SEC. 1231, ROLLOVERS ALLOWED AMONG VARIOUS TYPES OF PLANS, of the Taxpayer Refund and Relief Act of 1999, H.R. 2488 (formerly known as the Financial Freedom Act of 1999).
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Employee benefits legal resource site

[This message has been edited by CVCalhoun (edited 08-11-1999).]

Under current law only early/premature distributions under sections 403(B)(7)(A)(ii) and 403(b)11 are "eligible rollover distributions" within the meaning of sections 403(B)8 and 402©4. Does HR 2488 make "eligible rollover distributions" from TSAs NO LONGER subject to the early distribution triggering events of code sections 403(B)(7)(A)(ii) and 403(b)11?

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The bill (a summary of which you can see by clicking here) actually contains two provisions concerning the rollover of amounts between plans. extends current law provisions allowing for rollovers upon a terminable event to allow the rollovers to be to a different kind of plan. The second permits in-service transfers among plans, but only for the purpose of purchasing service credit under a governmental defined benefit plan using funds from a defined contribution plan.
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Employee benefits legal resource site

[This message has been edited by CVCalhoun (edited 08-16-1999).]

It is important to note that the legislation limits rollovers from 457 plans to only those maintained by governmental employers. Tax-exempt employers with 457 plans will be out of luck if the legislation passes as is.

Thanks for the clarification, Dave. Because this board is specifically oriented toward governmental plans, my prior response did not discuss the situation for plans of private employers. You're right that because 457 plans of private employers are necessarily top hat plans, they would not eligible for rollover to 401(a) or 403(B) plans.
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Employee benefits legal resource site