US HB3317

Establishes a $100,000 death gratuity payment for federal employees killed in the line of duty due to job-related injuries, criminal acts, terrorism, or natural disasters, with annual cost-of-living adjustments based on the Consumer Price Index

Increases the federal employee funeral expense allowance from $800 to $8,800, with annual inflation adjustments

Extends death gratuity eligibility to FAA employees, TSA personnel, and Veterans Health Administration staff, as well as uncompensated individuals serving U.S. diplomatic missions abroad

Exempts all death gratuity and funeral expense payments from federal income tax and establishes a payment hierarchy prioritizing designated beneficiaries, then surviving spouse, children, parents, and estate

Authorizes emergency supplemental appropriations when natural disasters, terrorism, or other incidents would cause death gratuity costs to exceed agency budgets, with a sense of Congress urging action within 30 days of funding requests