Relative to the 401(k) CORE program
This legislation may have significant implications for the state's management of retirement savings plans. By enabling the state treasurer or their designee to actively seek private donations or grants without previous restrictions, the program could enhance its financial viability and operational efficiency. This could lead to improved outcomes for individuals utilizing the 401(k) CORE program, as it provides more avenues for funding.
House Bill 3031, known as an Act relative to the 401(k) CORE program, seeks to amend existing regulations surrounding Massachusetts' deferred compensation program. The bill, presented by Representative Ann-Margaret Ferrante, is aimed at expanding administrative flexibility for the plan. A key change proposed is the removal of a limitation stating that the plan may only employ 'not more than 20 persons', thus potentially allowing for greater operational capacity and service enhancement.
While the motivations behind HB 3031 focus on operational improvements and cost reductions, there might be discussions regarding the sources of private funds and how they influence program management. Concerns may arise over the reliance on external fundraising, which could affect the integrity and objectives of the retirement program. Opposition may focus on ensuring that the program remains secure and beneficial for the employees participating.