Government Affairs Update

November 15, 2021


Education and Labor Committee Adopts RISE Act Unanimously

During a mark up on November 10, the House Committee on Education and Labor unanimously adopted H.R. 5891, the Retirement Improvement and Savings Enhancement (RISE) Act. The bill seeks to enact several IRI 2021 Federal Retirement Security Blueprint and other objectives, including establishing an online retirement “lost and found,” enabling 403(b) multiple (MEPs) and pooled employer plans (PEPs).  The bill also includes measures which will offer savings opportunities for part-time workers, clarify rules for the recovery of inadvertent overpayments, authorize small financial incentives for participation in workplace retirement plans, and simplifies reporting and disclosure requirements. In his opening statement, Committee Chairman Bobby Scott (D-VA) said, “The Education and Labor Committee has important jurisdiction over employer-sponsored retirement plans. That is why we discussed the bipartisan SECURE Act 2.0 during our HELP subcommittee hearing in June. This legislation, which the Ways and Means Committee approved this spring, would help strengthen our nation’s retirement security, and it includes several provisions within this Committee’s jurisdiction.” Ranking Member Virginia Foxx (R-NC) said in her opening statement, “The RISE Act is a targeted, balanced, and bipartisan bill that will improve our retirement system and make the future of retirees more secure. […] H.R. 5891 is a continuation of the Committee’s effort to modernize retirement policy to the benefit of workers and job creators.”

IRI submitted a letter to the bill’s sponsors, Committee Chairman Bobby Scott (D-VA), Ranking Member Virginia Foxx (R-NC), Health, Employment, Labor and Pensions Subcommittee Chairman Mark DeSaulnier (D-CA), and Ranking Member Rick Allen (R-GA), calling for its enactment. IRI’s letter highlighted recent research detailing the anxiety felt by America’s workers and retirees toward their ability to accumulate sufficient retirement savings. The letter notes how the provisions contained in the RISE Act – including the provisions contained in IRI’s 2021 Federal Retirement Security Blueprint – will help in reducing that anxiety by providing access to workplace retirement plans and ensuring savers can access all of their retirement savings.

IRI continues to work with congressional leaders in advocating for the passage of the SECURE 2.0 legislative package. IRI will continue to provide updates as necessary.

Any questions should be referred to Paul Richman or John Jennings.

IRI Webinar: “Making Compliant Rollover Recommendations”

On November 17 at 1:00 pm ET, IRI is hosting a webinar entitled “Making Compliant Rollover Recommendations.” During the webinar, a panel of experts will discuss:

  • Regulatory challenges and opportunities presented by the increased regulatory focus on IRA Rollover recommendations.
  • How insurance carriers, broker-dealers, and investment advisors can make compliant rollover recommendations.
  • Tools, documentation, and disclosures needed to help financial professionals make informed rollover recommendations.

Register Here >>



House Financial Services to Mark Up Bill to Protect Against Financial Exploitation

The House Financial Services Committee is scheduled this week to hold a markup of several pieces of legislation, including the Empowering States to Protect Seniors from Bad Actors Act. The bill directs the Securities and Exchange Commission’s (SEC) Office of Investor Advocate to establish a program to provide grants on a competitive basis to state insurance and securities departments, agencies, or commissions. The grants are authorized to be used to fund activities that protect older investors from senior financial fraud and exploitation. IRI included a call for the bill’s passage in the 2021 Federal Retirement Security Blueprint. IRI will be submitting a letter supporting the bill prior to the markup and will provide an update in the next edition of Government Affairs Update.

Any questions should be referred to John Jennings.



State Adoption of the NAIC Best Interest Model Regulation Continues to Progress

Pennsylvania’s proposed best interest legislation continues to make progress within the state legislature, with the House unanimously passing the bill this week and Senate concurrence expected after Thanksgiving. The bill is expected to be enacted before the end of 2021.

Additionally, Kentucky’s proposed best interest regulations (806 KAR 12:120 and 806 KAR 9:025) were referred to the state committee of jurisdiction for final approval. After the committee meeting on November 9, the regulations are now considered to be final and will become effective on January 4, 2022. This brings the total to 17 states where the NAIC Model has been adopted or enacted.

As the end of the year nears, IRI continues its work to advance the NIAC Model through engagement with states that have active proposals and by leading industry coalition efforts to encourage adoption in the remaining states.  

Any questions should be referred to Sarah Wood.