The “Butch Lewis Act of 2017” and its House companion bill “The Rehabilitation of Multiemployer Pensions Act," introduced by Senator Sherrod Brown, provide an innovative way to avoid retiree benefit reductions by providing relief to financially-troubled plans.
These bills set up a new office in the Treasury Department called the Pension Rehabilitation Administration (PRA), which would receive proceeds from the issuance of Treasury bonds. This money would then be lent to financially-troubled plans as long as they meet certain criteria. The Pension Rights Center is particularly pleased that the loans would be used to fully pay the benefits of retirees and that the bill would require plans, which have already been approved to cut benefits under MPRA, to apply for these new loans and if approved, use that money to restore previously suspended benefits.
Senator Sherrod Brown’s office has sent MPS the summary, FAQ and the full legislation related to The Butch Lewis Act of 2017. To view, click the links below.
The Butch Lewis Act of 2017 summary.
The Butch Lewis Act of 2017 FAQ.
The Butch Lewis Act of 2017 full legislation.
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