- Please take a moment to review the Portman-Cardin pension
- follows. This legislation will be beneficial to our
- Please contact your Congress member using one of the methods
listed at the
- end of this memo.
- Thanks for your help,
- Don Hill
- PAOC Chair 2001
- 1676 Donelwal Drive
- Lexington KY 40511-9021
- H 859 259 0740
- W 859 257 8487
- C 859 489 IEEE
- F 859 323 3287
- SPECIAL ALERT: IEEE-USA Is Asking Members to Write Their
- Representatives in Support of the Portman-Cardin Retirement
- Pension Reform Act (H.R. 10)
- Representatives Rob Portman (R-OH) and Ben Cardin (D-MD)
- Comprehensive Retirement Security and Pension Reform Act (H.R.
10) in the
- US House of Representatives on March 14, 2001. This bill,
- broad bipartisan support in the last Congress, passed the
House, not once
- but twice (401 to 25 on July 19th and 401 to 20 on September
- pension reform provisions were also included in an omnibus
- relief package that was debated (but not enacted) in the
closing days of
- the 106th Congress.
- The new Portman-Cardin bill would:
- > Increase the current law $2,000 contribution limit
(established in 1981)
- for deductible and non-deductible IRAs to $5,000 in $1,000
- > Increase 401(k), 403(b), Section 457 and salary
- contribution limits from $10,500 to $15,000 and SIMPLE
- from $6,000 to $10,000,
- > Allow older workers to make "catch-up" contributions of
up to $5,000 a
- year to 401(k) type plans and up to $1,500 to IRAs,
- > Reduce vesting requirements for employer matching
- defined contribution plans from 5 to 3 years and improve
- portability by facilitating transfers of earned benefits among
- DC plans and IRAs,
- > Promote expanded pension coverage by simplifying complex
- distribution, non- discrimination and top-heavy rules,
- > Mandate expanded disclosures about plan amendments that
- benefit accrual rates in conversions from defined benefit
plans to cash
- balance plans.
- The bill does not currently address issues related to
- retirement benefits during cash balance pension plan
- it is expected that related provisions will be added in the
- The new Portman-Cardin proposal will probably be moved as a
- bill and added later to President George W. Bush's tax relief
- parts of which have already been passed by the House. A
companion bill is
- also expected to be introduced shortly in the Senate by Sens.
- Grassley (R-IA) and Max Baucus (D-MT).
- You can read the full Action Alert on-line at
- a letter to your Representative through IEEE-USA's Legislative
- Center at http://congress.nw.dc.us/ieeeusa
- PACE PowerPoint
- This web address contains an excellent Powerpoint program for
- PACE meeting.
- Please visit the site and schedule your meeting.
- Top of