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Code · BILL · 113th Congress · H.R. 5875 (Introduced in House) — To amend the Internal Revenue Code of 1986 to encourage retirement savings by modifying requirements with respect to... · Sec. 17

Sec. 17. Modification of ERISA rules relating to multiple employer defined contribution plans

428 words·~2 min read·/bill/113/hr/5875/ih/section-17

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Section 3(2) of the Employee Retirement Income Security Act of 1974 is amended by adding at the end the following: A qualified multiple employer plan shall not fail to be treated as an employee pension benefit plan or pension plan solely because the employers maintaining the plan share no common interest. For purposes of this subparagraph, the term qualified multiple employer plan means a plan described in section 413(c) of the Internal Revenue Code of 1986 which— is an individual account plan with respect to which the requirements of clauses (iii), (iv), and
(v)are met, and includes in its annual report required to be filed under section 104(a) the name and identifying information of each employer maintaining the plan. The requirements of this clause are met if, under the plan, each employer maintaining the plan retains fiduciary responsibility for— the selection and monitoring of the named fiduciary, and the investment and management of the portion of the plan's assets attributable to employees of the employer to the extent not otherwise delegated to another fiduciary. The requirements of this clause are met if, under the plan, an employer maintaining the plan is not subject to unreasonable restrictions, fees, or penalties by reason of ceasing to maintain, or otherwise transferring assets from, the plan. The requirements of this clause are met if each employer maintaining the plan is an eligible employer as defined in section 408(p)(2)(C)(i) of the Internal Revenue Code of 1986, applied— by substituting 500 for 100 in subclause
(I)thereof, by substituting 5 for 2 each place it appears in subclause
(II)thereof, and without regard to the last sentence of subclause
(II)thereof. . Section 104(a) of such Act ( 29 U.S.C. 1024(a) ) is amended by adding at the end the following: In the case of any eligible small multiple employer plan, the Secretary may by regulation waive the requirement under section 103(a)(3) to engage an independent qualified public accountant in cases where the Secretary determines it appropriate. For purposes of this paragraph, the term eligible small multiple employer plan means, with respect to any plan year— a qualified multiple employer plan, as defined in section 3(2)(C)(ii), or any other plan described in section 413(c) of the Internal Revenue Code of 1986 that satisfies the requirements of clause
(v)of section 3(2)(C). . Section 3(2)(A) of such Act is amended by striking Except as provided in subparagraph
(B)and inserting Except as provided in subparagraphs
(B)and
(C). The amendments made by this section shall apply to years beginning after December 31, 2015.
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Sec. 17
Modification of ERISA rules relating to multiple employer defined contribution plans
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