II
118THCONGRESS
2
DSESSION S. 4917
To amend the Federal securities laws to enhance 403(b) plans, and for
other purposes.
IN THE SENATE OF THE UNITED STATES
JULY31, 2024
Mrs. B
RITT(for herself, Mr. PETERS, Mr. CASSIDY, and Mr. WARNOCK) in-
troduced the following bill; which was read twice and referred to the Com-
mittee on Banking, Housing, and Urban Affairs
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 Representa-1
tives of the United States of America in Congress assembled, 2
SECTION 1. SHORT TITLE. 3
This Act may be cited as the ‘‘Retirement Fairness 4
for Charities and Educational Institutions Act of 2024’’. 5
SEC. 2. ENHANCEMENT OF 403(B) PLANS. 6
(a) A
MENDMENTS TO THE INVESTMENTCOMPANY 7
A
CT OF1940.—Section 3(c)(11) of the Investment Com-8
pany Act of 1940 (15 U.S.C. 80a–3(c)(11)) is amended 9
to read as follows: 10
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•S 4917 IS
‘‘(11) Any— 1
‘‘(A) employee’s stock bonus, pension, or 2
profit-sharing trust which meets the require-3
ments for qualification under section 401 of the 4
Internal Revenue Code of 1986; 5
‘‘(B) custodial account meeting the re-6
quirements of section 403(b)(7) of such Code; 7
‘‘(C) governmental plan described in sec-8
tion 3(a)(2)(C) of the Securities Act of 1933 9
(15 U.S.C. 77c(a)(2)(C)); 10
‘‘(D) collective trust fund maintained by a 11
bank consisting solely of assets of one or 12
more— 13
‘‘(i) trusts described in subparagraph 14
(A); 15
‘‘(ii) government plans described in 16
subparagraph (C); 17
‘‘(iii) church plans, companies, or ac-18
counts that are excluded from the defini-19
tion of an investment company under para-20
graph (14) of this subsection; or 21
‘‘(iv) plans that meet the require-22
ments of section 403(b) of the Internal 23
Revenue Code of 1986— 24
‘‘(I) if— 25
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‘‘(aa) such plan is subject to 1
title I of the Employee Retire-2
ment Income Security Act of 3
1974 (29 U.S.C. 1001 et seq.); 4
‘‘(bb) any employer making 5
such plan available agrees to 6
serve as a fiduciary for the plan 7
with respect to the selection of 8
the plan’s investments among 9
which participants can choose; or 10
‘‘(cc) such plan is a govern-11
mental plan (as defined in sec-12
tion 414(d) of such Code); and 13
‘‘(II) if the employer, a fiduciary 14
of the plan, or another person acting 15
on behalf of the employer reviews and 16
approves each investment described 17
under subclause (I)(bb) prior to the 18
investment being offered to partici-19
pants in the plan; or 20
‘‘(E) separate account the assets of which 21
are derived solely from— 22
‘‘(i) contributions under pension or 23
profit-sharing plans which meet the re-24
quirements of section 401 of the Internal 25
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Revenue Code of 1986 or the requirements 1
for deduction of the employer’s contribu-2
tion under section 404(a)(2) of such Code; 3
‘‘(ii) contributions under govern-4
mental plans in connection with which in-5
terests, participations, or securities are ex-6
empted from the registration provisions of 7
section 5 of the Securities Act of 1933 (15 8
U.S.C. 77e) by section 3(a)(2)(C) of such 9
Act (15 U.S.C. 77c(a)(2)(C)); 10
‘‘(iii) advances made by an insurance 11
company in connection with the operation 12
of such separate account; and 13
‘‘(iv) contributions to a plan described 14
in subparagraph (D)(iv).’’. 15
(b) A
MENDMENTS TO THE SECURITIESACT OF 16
1933.—Section 3(a)(2) of the Securities Act of 1933 (15 17
U.S.C. 77c(a)(2)) is amended— 18
(1) by striking ‘‘or (D) a’’ and inserting ‘‘(D) 19
a plan which meets the requirements of section 20
403(b) of such Code (i) if (I) such plan is subject 21
to title I of the Employee Retirement Income Secu-22
rity Act of 1974 (29 U.S.C. 1001 et seq.), (II) any 23
employer making such plan available agrees to serve 24
as a fiduciary for the plan with respect to the selec-25
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tion of the plan’s investments among which partici-1
pants can choose, or (III) such plan is a govern-2
mental plan (as defined in section 414(d) of such 3
Code), and (ii) if the employer, a fiduciary of the 4
plan, or another person acting on behalf of the em-5
ployer reviews and approves each investment de-6
scribed under clause (i)(II) prior to the investment 7
being offered to participants in the plan, or (E) a’’; 8
(2) by striking ‘‘(C), or (D)’’ and inserting 9
‘‘(C), (D), or (E)’’; and 10
(3) by striking ‘‘(iii) which is a plan funded’’ 11
and inserting ‘‘(iii) in the case of a plan not de-12
scribed in subparagraph (D), which is a plan fund-13
ed’’. 14
(c) A
MENDMENTS TO THE SECURITIESEXCHANGE 15
A
CT OF1934.—Section 3(a)(12)(C) of the Securities Ex-16
change Act of 1934 (15 U.S.C. 78c(a)(12)(C)) is amend-17
ed— 18
(1) by striking ‘‘or (iv)’’ and inserting ‘‘(iv) a 19
plan which meets the requirements of section 403(b) 20
of such Code (I) if (aa) such plan is subject to title 21
I of the Employee Retirement Income Security Act 22
of 1974 (29 U.S.C. 1001 et seq.), (bb) any employer 23
making such plan available agrees to serve as a fidu-24
ciary for the plan with respect to the selection of the 25
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plan’s investments among which participants can 1
choose, or (cc) such plan is a governmental plan (as 2
defined in section 414(d) of such Code), and (II) if 3
the employer, a fiduciary of the plan, or another per-4
son acting on behalf of the employer reviews and ap-5
proves each investment described under subclause 6
(I)(bb) prior to the investment being offered to par-7
ticipants in the plan, or (v)’’; 8
(2) by striking ‘‘(ii), or (iii)’’ and inserting 9
‘‘(ii), (iii), or (iv)’’; and 10
(3) by striking ‘‘(II) is a plan funded’’ and in-11
serting ‘‘(II) in the case of a plan not described in 12
clause (iv), is a plan funded’’. 13
Æ
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