Senate hearing on retirement security

Last Thursday the Senate held the first hearing on retirement security since 2013 and, to give you a sense of the atmosphere, when a union lawyer was asked about the recent bailout of multiemployer pension plans:

Other clips of note:

SECURE Act 2.0 Passes Committee

The House Ways and Means Committee unanimously approved the Securing a Strong Retirement Act of 2021 which means likely enactment when the next covid relief bill comes along.

Some detail on provisions of interest to me and my clients:

SECURE Act 2.0

Per NTSA, the U.S. House Ways & Means Committee will be focusing on a markup of legislation tomorrow that includes a number of changes impacting private sector pension plans. Here is their list with my emphasis on aspects of most importance to my clients.

American Rescue Plan Act of 2021 (7) 9707

The Save the Community Newspaper Act, first proposed in 2018, is part of the Covid bailout bill as section 9707 which provides Community Newspaper Single Employer plans with another tool to reduce contributions.

American Rescue Plan Act of 2021 (6) 9706

Going through the text of the stimulus bill, section 9706 provides Single Employer plans with another tool to reduce contributions.

American Rescue Plan Act of 2021 (5) 9705

Going through the text of the stimulus bill, section 9705 turns to funding relief for Single Employer plans by returning to the 15 year amortization schedule for minimum funding purposes for 2022 (with optional election for 2019, 2020, and 2021) as if draconian PBGC premiums were not enough in themselves to discourage underfunding.

EPPRA Introduced

Today Congressman Bobby Scott, Chairman of the Education and Labor Committee, introduced the Emergency Pension Plan Relief Act (EPPRA) of 2021, H.R.___, which would impact both Mulitemployer and Single Employer plans (basically allowing them to further under-fund benefits) as summarized here:

SSRA-2020

The second day of a pension conference (nothing to report on that) and a new pension law is introduced. Here are some bullet points on the Securing a Strong Retirement Act of 2020 which may appear on the syllabus for the next conference:

ASPPA2020 – Washington Update

The final general session today at the ASPPA virtual conference indicated what the American Retirement Association (ARA) will be lobbying the Biden administration for in 2021:

5500 – Central States – 2019

In the midst of another 5500 filing season (86 to go) but the plan most likely to bring the PBGC (and the entire private pension system) down got their form in early this year.