[Congressional Record Volume 147, Number 42 (Tuesday, March 27, 2001)]
[Senate]
[Page S2999]
From the Congressional Record Online through the Government Publishing Office [www.gpo.gov]

      By Mr. VOINOVICH:
  S. 631. A bill to provide for pension reform, and for other purposes; 
to the Committee on Finance.
  Mr. VOINOVICH. Mr. President, I rise today to introduce legislation 
that I believe will provide for the financial future of millions of 
Americans, help boost this nation's savings rate, and bolster long-term 
economic growth. My bill, the Comprehensive Retirement Security and 
Pension Reform Act, mirrors H.R. 10, legislation introduced earlier 
this year by my friend and fellow Ohioan, Representative Rob Portman.
  It is estimated that right now, an astounding 75 million American 
workers have no pension plan. In other words, roughly half of America's 
workers lack a key mechanism they will need in order to achieve a 
comfortable retirement. This situation is intolerable and must change.
  In my view, we must do more to encourage more citizens to ensure 
their financial independence in their golden years. That's why I 
strongly believe we need to enact the Comprehensive Retirement Security 
and Pension Reform Act. The increased personal savings and investment 
that would result from expanding pensions would reinvigorate our 
savings ethic, which has been eroding over recent years. Something 
needs to be done quickly to encourage more Americans to save and plan 
for their retirement and I believe the legislation I am introducing 
today is an important step in the right direction.
  Among the important things the bill I am introducing today does is 
raise the maximum annual contribution to an Individual Retirement 
Accounts, IRAs, from $2,000 per individual to $5,000. The contribution 
limits for, IRAs, has remained unchanged since 1981. Since sixty-nine 
percent of all IRA participants contribute the maximum, the $2,000 
limit has been a barrier to encouraging Americans to save for their own 
retirement. If the original IRA contribution limit in 1975, of $1,500, 
been indexed for inflation, it would have reached $5,353 in the year 
2000. Clearly, today's working men and women want to, and are ready to, 
invest more for their retirement if Congress would only let them. The 
time has come to raise the contribution limit.
  In addition, the Comprehensive Retirement Security and Pension Reform 
Act includes provisions to encourage employers to offer pensions, 
increase participation by eligible employees, raise limits on benefits 
and contributions, improve asset portability, strengthen legal 
protections for plan participants, and reduce regulatory burdens on 
plan sponsors.
  When the baby boomers start to retire in a few short years, this 
country will begin to experience a retirement tsunami unlike anything 
it has ever experienced. This 20-year event will put great strain on 
the economy and the federal budget, especially on government programs 
that provide services to senior citizens. One of the best ways to help 
prepare for this is to encourage private saving. The Comprehensive 
Retirement Security and Pension Reform Act is an important step in this 
direction and I urge my colleagues to join in co-sponsoring this 
legislation.
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