[Congressional Bills 118th Congress]
[From the U.S. Government Publishing Office]
[H.R. 3063 Reported in House (RH)]

<DOC>





                                                 Union Calendar No. 251
118th CONGRESS
  1st Session
                                H. R. 3063

                          [Report No. 118-311]

 To amend the Federal securities laws to enhance 403(b) plans, and for 
                            other purposes.


_______________________________________________________________________


                    IN THE HOUSE OF REPRESENTATIVES

                              May 2, 2023

   Mr. Lucas (for himself, Mr. Gottheimer, Mr. Foster, and Mr. Barr) 
 introduced the following bill; which was referred to the Committee on 
                           Financial Services

                           December 12, 2023

  Additional sponsors: Mr. Nunn of Iowa, Mr. Panetta, Mr. Flood, Ms. 
 Sewell, Mr. Nickel, Mr. Lawler, Mr. Evans, Mr. Pappas, Mr. Trone, Mr. 
  Thompson of Pennsylvania, Mr. Meuser, Mr. Morelle, and Ms. Pettersen

                           December 12, 2023

  Reported with an amendment, committed to the Committee of the Whole 
       House on the State of the Union, and ordered to be printed
 [Strike out all after the enacting clause and insert the part printed 
                               in italic]
[For text of introduced bill, see copy of bill as introduced on May 2, 
                                 2023]


_______________________________________________________________________

                                 A BILL


 
 To amend the Federal securities laws to enhance 403(b) plans, and for 
                            other purposes.


 


    Be it enacted by the Senate and House of Representatives of the 
United States of America in Congress assembled,

SECTION 1. SHORT TITLE.

    This Act may be cited as the ``Retirement Fairness for Charities 
and Educational Institutions Act of 2023''.

SEC. 2. ENHANCEMENT OF 403(B) PLANS.

    (a) Amendments to the Investment Company Act of 1940.--Section 
3(c)(11) of the Investment Company Act of 1940 (15 U.S.C. 80a-3(c)(11)) 
is amended to read as follows:
            ``(11) Any--
                    ``(A) employee's stock bonus, pension, or profit-
                sharing trust which meets the requirements for 
                qualification under section 401 of the Internal Revenue 
                Code of 1986;
                    ``(B) custodial account meeting the requirements of 
                section 403(b)(7) of such Code;
                    ``(C) governmental plan described in section 
                3(a)(2)(C) of the Securities Act of 1933;
                    ``(D) collective trust fund maintained by a bank 
                consisting solely of assets of one or more--
                            ``(i) trusts described in subparagraph (A);
                            ``(ii) government plans described in 
                        subparagraph (C);
                            ``(iii) church plans, companies, or 
                        accounts that are excluded from the definition 
                        of an investment company under paragraph (14) 
                        of this subsection; or
                            ``(iv) plans which meet the requirements of 
                        section 403(b) of the Internal Revenue Code of 
                        1986--
                                    ``(I) if--
                                            ``(aa) such plan is subject 
                                        to title I of the Employee 
                                        Retirement Income Security Act 
                                        of 1974 (29 U.S.C. 1001 et 
                                        seq.);
                                            ``(bb) any employer making 
                                        such plan available agrees to 
                                        serve as a fiduciary for the 
                                        plan with respect to the 
                                        selection of the plan's 
                                        investments among which 
                                        participants can choose; or
                                            ``(cc) such plan is a 
                                        governmental plan (as defined 
                                        in section 414(d) of such 
                                        Code); and
                                    ``(II) if the employer, a fiduciary 
                                of the plan, or another person acting 
                                on behalf of the employer reviews and 
                                approves each investment described 
                                under subclause (I)(bb) prior to the 
                                investment being offered to 
                                participants in the plan; or
                    ``(E) separate account the assets of which are 
                derived solely from--
                            ``(i) contributions under pension or 
                        profit-sharing plans which meet the 
                        requirements of section 401 of the Internal 
                        Revenue Code of 1986 or the requirements for 
                        deduction of the employer's contribution under 
                        section 404(a)(2) of such Code;
                            ``(ii) contributions under governmental 
                        plans in connection with which interests, 
                        participations, or securities are exempted from 
                        the registration provisions of section 5 of the 
                        Securities Act of 1933 by section 3(a)(2)(C) of 
                        such Act;
                            ``(iii) advances made by an insurance 
                        company in connection with the operation of 
                        such separate account; and
                            ``(iv) contributions to a plan described in 
                        subparagraph (D)(iv).''.
    (b) Amendments to the Securities Act of 1933.--Section 3(a)(2) of 
the Securities Act of 1933 (15 U.S.C. 77c(a)(2)) is amended--
            (1) by striking ``or (D)'' and inserting ``(D) a plan which 
        meets the requirements of section 403(b) of such Code (i) if 
        (I) such plan is subject to title I of the Employee Retirement 
        Income Security Act of 1974 (29 U.S.C. 1001 et seq.), (II) any 
        employer making such plan available agrees to serve as a 
        fiduciary for the plan with respect to the selection of the 
        plan's investments among which participants can choose, or 
        (III) such plan is a governmental plan (as defined in section 
        414(d) of such Code), and (ii) if the employer, a fiduciary of 
        the plan, or another person acting on behalf of the employer 
        reviews and approves each investment described under clause 
        (i)(II) prior to the investment being offered to participants 
        in the plan, or (E)'';
            (2) by striking ``(C), or (D)'' and inserting ``(C), (D), 
        or (E)''; and
            (3) by striking ``(iii) which is a plan funded'' and 
        inserting ``(iii) in the case of a plan not described in 
        subparagraph (D), which is a plan funded''.
    (c) Amendments to the Securities Exchange Act of 1934.--Section 
3(a)(12)(C) of the Securities Exchange Act of 1934 (15 U.S.C. 
78c(a)(12)(C)) is amended--
            (1) by striking ``or (iv)'' and inserting ``(iv) a plan 
        which meets the requirements of section 403(b) of such Code (I) 
        if (aa) such plan is subject to title I of the Employee 
        Retirement Income Security Act of 1974 (29 U.S.C. 1001 et 
        seq.), (bb) any employer making such plan available agrees to 
        serve as a fiduciary for the plan with respect to the selection 
        of the plan's investments among which participants can choose, 
        or (cc) such plan is a governmental plan (as defined in section 
        414(d) of such Code), and (II) if the employer, a fiduciary of 
        the plan, or another person acting on behalf of the employer 
        reviews and approves each investment described under subclause 
        (I)(bb) prior to the investment being offered to participants 
        in the plan, or (v)'';
            (2) by striking ``(ii), or (iii)'' and inserting ``(ii), 
        (iii), or (iv)''; and
            (3) by striking ``(II) is a plan funded'' and inserting 
        ``(II) in the case of a plan not described in clause (iv), is a 
        plan funded''.
                                                 Union Calendar No. 251

118th CONGRESS

  1st Session

                               H. R. 3063

                          [Report No. 118-311]

_______________________________________________________________________

                                 A BILL

 To amend the Federal securities laws to enhance 403(b) plans, and for 
                            other purposes.

_______________________________________________________________________

                           December 12, 2023

  Reported with an amendment, committed to the Committee of the Whole 
       House on the State of the Union, and ordered to be printed