; (2) by striking arrangement .—For purposes of and inserting the following: “ arrangement .— (A) In general For purposes of ; and (3) by adding at the end the following new subparagraph: (B) Periodic automatic deferral permitted An arrangement shall not fail to be treated as an eligible automatic contribution arrangement under this subsection solely by reason of the fact that, under the arrangement— (i) an election by an employee under subparagraph (A)(ii) not to have contributions made terminates after not more than 3 years (but not less than 1 year), and (ii) such employee is treated as having made an election under subparagraph (A)(ii) to make contributions at the uniform percentage level described in such subparagraph after such termination unless such employee makes a new election not to so make such contributions. A termination described in clause (i) may be made at one time for a plan year for all employees who have made an election described in such clause. . (c) Conforming amendment Section 514(e)(2) of the Employee Retirement Income Security Act of 1974 ( 29 U.S.C. 1144(e)(2) ) is amended— (1) by redesignating subparagraphs (A) through (C) as clauses (i) through (iii), respectively; (2) by striking (2) For purposes of and inserting (2)(A) For purposes of