10-R364
2010 -- H 8235
Enacted 06/30/10
J
O I N T R E S O L U T I O N
CREATING
A SPECIAL LEGISLATIVE COMMISSION TO STUDY THE
ESTABLISHMENT
OF UNIVERSAL VOLUNTARY RETIREMENT ACCOUNTS
Introduced By:
Representative Arthur Handy
Date Introduced:
June 03, 2010
WHEREAS, People are
living longer and spending more years retired from the work
force; and
WHEREAS, Rhode Islanders
and all Americans have been consistently under-saving for
retirement; and
WHEREAS, Approximately half of
retirement benefits to their full-time employees; and
WHEREAS, Of those employers that do offer retirement benefits to
their employees,
only twenty percent (20%) offer such plans to their
part-time workers; and
WHEREAS, Fewer than
forty-seven percent (47%) of Rhode Islanders aged 65 or older
receive retirement income in addition to Social Security; and
WHEREAS, Retirement
income is even less for low income retired women; and
WHEREAS, Social Security
benefits alone are insufficient for retirement, thereby placing
the burden of caring for many of the subsequently
impoverished elderly onto the state; and
WHEREAS, Universal
Voluntary Retirement Accounts (UVRAs) can help
individuals by
providing a way to save for their retirement; now, therefore be
it
RESOLVED,
That a special legislature commission be and the same
hereby is created
consisting of eight (8) members: two (2) of whom shall be
members of the House of
Representatives, not more
than one from the same political party, to be appointed by the Speaker
of the House; two (2) of whom shall be members of the
Senate, not more than one from the same
political party, to be appointed by the President of the
Senate, one of whom shall be the Rhode
Island General Treasurer,
or designee; one of whom shall be a member of AARP, to be appointed
by the commission co-chairs; one of whom shall be a
member of the local business community,
to be appointed by the commission co-chairs; and one of
whom shall be a member of the public
employees union, to be appointed by the commission co-chairs.
In
lieu of any appointment of a member of the legislature to a permanent advisory
commission, a legislative study commission, or any commission created
by a General Assembly
resolution, the appointing authority may appoint a member of the
general public to serve in lieu
of a legislator, provided that the majority leader or
the minority leader of the political party which
is entitled to the appointment consents to the member of
the general public.
The
purpose of said commission shall be to study and plan Universal Voluntary
Retirement Accounts (UVRAs), with features and recommendations that include, but
are not
limited to:
A
defined contribution plan with a pre-selected menu of investment options;
Administration by the
Employee Retirement System of
Investment
oversight by the state investment commission;
Tax-deferred payroll deductions;
Retirement account portability between jobs;
A two-tier system with workplace-based individual retirement
accounts open to all
workers; and
A
deferred compensation 401(k)-type program or SIMPLE IRS-type program, open to
all
employers that choose to participate for their employees.
As
part of the process the Commission shall:
Evaluate
the most efficient methods for providing this service and ways to avoid
competition with existing private sector vehicles; and
Undertake
the legal and development work to determine how to implement a UVRA
program, managed through the ERSRI, directly or by contract.
The
commission shall consult with the Department of Business Regulation, the State
Investment Commission,
private sector retirement plan administrators and providers, and other
relevant sectors of the financial services industry,
organizations promoting increased economic
opportunities for individuals, employers, and any other individuals
or entities that the
Commission determines
relevant to the development of an effective and efficient method for
implementing and operating the program.
Forthwith
upon passage of this resolution, the members of the commission shall meet at
the call of the Speaker of the House and the President of
the Senate who shall each appoint a
commission co-chair.
Vacancies
in said commission shall be filled in like manner as the original appointment.
The
membership of said commission shall receive no compensation for their services.
All
departments and agencies of the state shall furnish such advice and
information,
documentary and otherwise, to said commission and its agents as
is deemed necessary or
desirable by the commission to facilitate the purposes of this
resolution.
The
Joint Committee on Legislative Services is hereby authorized and directed to
provide
suitable quarters for said commission; and be it further
RESOLVED,
That the commission shall report its findings and
recommendations to the
General Assembly no later
than January 18, 2011, and said commission shall expire on March 18,
2011.
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LC02813
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