,,ii  #aac? ,,congress  #a/ ,session    
,s4 #ieb  ,,9 ,,! ,,s5ate ,,( ,,!       
,,unit$ ,,/ates  ,may #ad1 #bjac ,mr4   
,c>d9 7= himself & ,mr4 ,portman7       
introduc$ ! foll[+ bill2 :i* 0 read     
twice & ref]r$ to ! ,committee on       
,f9ance  ,a ,,bill  ,to am5d ! ,int]nal 
,rev5ue ,code ( #aihf to cl>ify !       
treatm5t ( *ur* p5sion plans1 & = o!r   
purposes4  #a4 ,%ort title ,?is ,act may
 be cit$ z ! ,*ur* ,plan ,cl>ification  
,act ( #bjac4  #b4 ,*ur* plan           
cl>ification  7a7 ,application (        
controll$ gr\p rules to *ur* plans  7#a7
 ,9 g5]al ,section #dad7;c7 ( ! ,int]nal
 ,rev5ue ,code ( #aihf is am5d$--  7,a7 
by /rik+ ,= purposes & ins]t+ ! foll[+3 
7#a7 ,9 g5]al ,= purposes  1 &  7,b7 by 
add+ at ! end ! foll[+ new p>agraph3    
7#b7 ,*ur* plans  7,a7 ,g5]al ,rule     
,except z provid$ 9 subp>agraphs 7,b7 & 
7,c71 = purposes ( ?is subsection &     
subsection 7m71 an organization t is    
o!rwise eligible to p>ticipate 9 a *ur* 
plan z def9$ 9 subsection 7e7 %all n be 

aggregat$ ) ano!r su* organization &    
treat$ z a s+le employ] ) su* o!r       
organization unless--  7i7 "o su*       
organization provides directly or       
indirectly at lea/ #hj p]c5t ( ! op]at+ 
funds = ! o!r organization dur+ ! prec$+
 tax ye> ( ! recipi5t organization1 &   
7ii7 !re is a degree ( common managem5t 
or sup]vision betwe5 ! organizations4   
,= purposes ( ?is subp>agraph1 a degree 
( common managem5t or sup]vision exi/s  
only if ! organization provid+ ! op]at+ 
funds is directly involv$ 9 ! day-to-day
 op]ations ( ! o!r organization4  7,b7  
,nonqualifi$ ,*ur*-,controll$           
,organizations ,not)/&+ ! provisions (  
subp>agraph 7,a71 = purposes ( ?is      
subsection & subsection 7m71 an         
organization t is a nonqualifi$         
*ur*-controll$ organization %all be     
aggregat$ ) "o or m o!r nonqualifi$     
*ur*-controll$ organizations1 or ) an   
organization t is n exempt f tax "u     
section #eja1 & treat$ z a s+le employ] 
) su* o!r organizations1 if at lea/ #hj 

p]c5t ( ! directors or tru/ees ( su*    
organizations are ei!r repres5tatives (1
 or directly or indirectly controll$ by1
 ! fir/ organization4 ,= purposes ( ?is 
subp>agraph1 a nonqualifi$ *ur*         
controll$ organization %all mean a      
*ur*-controll$ organization describ$ 9  
section #eja7;c77#c7 t is n a qualifi$  
*ur*-controll$ organization describ$ 9  
section #caba7w77#c77;,b74  7,c7        
,p]missive ,aggregation ,among          
,*ur*-,relat$ ,organizations            
,organizations describ$ 9 subp>agraph   
7,a7 may elect to be treat$ z "u common 
control = purposes ( ?is subsection4    
,su* election %all be made by ! *ur* or 
conv5tion or association ( *ur*es ) :i* 
su* organizations are associat$ )9 !    
mean+ ( subsection 7e77#c77;,d71 or by  
an organization det]m9$ by su* *ur* or  
conv5tion or association ( *ur*es to be 
! appropriate organization = mak+ su*   
election4  7,d7 ,p]missive              
,disaggregation ( ,*ur*-,relat$         
,organizations ,= purposes ( subp>agraph

 7,a71 9 ! case ( a *ur* plan 7z def9$ 9
 subsection 7e771 any employ] may       
p]missively disaggregate ^? entities t  
are n *ur*es 7z def9$ 9 section         
#djc7;b77#ab77;,b77 sep>ately f ^?      
entities t are *ur*es1 ev5 if su*       
entities ma9ta9 sep>ate *ur* plans4     
7,e7 ,anti-,abuse ,rule ,= purposes (   
subp>agraphs 7,a7 & 7,b71 ! anti-abuse  
rule 9 ,treasury ,regulation section    
#a4dad7;c7-#e7;f7 %all apply4  4  7#b7  
,effective date ,! am5dm5ts made by ?is 
subsection %all apply to taxable ye>s   
beg9n+ be=e1 on1 or aft] ! date ( !     
enactm5t ( ?is ,act4  7b7 ,application (
 contribution & fund+ limitations to    
#djc7;b7 gr&fa!r$ def9$ b5efit plans    
7#a7 ,9 g5]al ,section #bea7;e77#e7 ( ! 
,tax ,equity & ,fiscal ,responsibility  
,act ( #aihb 7,public ,law #ig-bdh71 is 
am5d$--  7,a7 by /rik+ #djc7;b77#b7 &   
ins]t+ #djc7;b71 &  7,b7 by ins]t+ be=e 
! p]iod at ! end ! foll[+3 1 & %all be  
subject to ! applicable limitations (   
section #dae7;b7 ( su* ,code z if x 7 a 

def9$ b5efit plan "u section #dja7;a7 ( 
su* ,code & n ! limitations ( section   
#dae7;c7 ( su* ,code 7relat+ to         
limitation = def9$ contribution plans744
  7#b7 ,effective date ,! am5dm5ts made 
by ?is subsection %all apply z if       
includ$ 9 ! enactm5t ( ! ,tax ,equity & 
,fiscal ,responsibility ,act ( #aihb4   
7c7 ,automatic enrollm5t by *ur* plans  
7#a7 ,9 g5]al ,?is subsection %all      
sup]s$e any law ( a ,/ate t relates to  
wage1 sal>y1 or payroll paym5t1         
collection1 d$uction1 g>ni%m5t1         
assignm5t1 or )hold+ :i* w\ld directly  
or indirectly prohibit or re/rict !     
inclusion 9 any *ur* plan 7z def9$ 9 ?is
 subsection7 ( an automatic contribution
 arrangem5t4  7#b7 ,def9ition (         
automatic contribution arrangem5t ,=    
purposes ( ?is subsection1 ! t]m        
automatic contribution arrangem5t means 
an arrangem5t--  7,a7 "u :i* a          
p>ticipant may elect to h ! plan sponsor
 make paym5ts z contributions "u ! plan 
on behalf ( ! p>ticipant1 or to !       

p>ticipant directly 9 ca%1 &  7,b7 "u   
:i* a p>ticipant is treat$ z hav+ elect$
 to h ! plan sponsor make su*           
contributions 9 an am\nt equal to a     
uni=m p]c5tage ( comp5sation provid$ "u 
! plan until ! p>ticipant specifically  
elects n to h su* contributions made 7or
 specifically elects to h su*           
contributions made at a diff]5t         
p]c5tage74  7#c7 ,notice requirem5ts    
7,a7 ,9 g5]al ,! plan adm9i/rator ( an  
automatic contribution arrangem5t %all1 
)9 a reasonable p]iod be=e su* plan ye>1
 provide to ea* p>ticipant to :om !     
arrangem5t applies = su* plan ye> notice
 ( ! p>ticipant's rights & obligations  
"u ! arrangem5t :i*--  7i7 is           
suffici5tly accurate & compreh5sive to  
apprise ! p>ticipant ( su* rights &     
obligations1 &  7ii7 is writt5 9 a mann]
 calculat$ to be und]/ood by ! av]age   
p>ticipant to :om ! arrangem5t applies4 
7,b7 ,election requirem5ts ,a notice    
%all n be treat$ z meet+ ! requirem5ts (
 subp>agraph 7,a7 ) respect to a        

p>ticipant unless--  7i7 ! notice       
includes an explanation ( ! p>ticipant's
 "r "u ! arrangem5t n to h elective     
contributions made on ! p>ticipant's    
behalf 7or to elect to h su*            
contributions made at a diff]5t         
p]c5tage71  7ii7 ! p>ticipant has a     
reasonable p]iod ( "t1 aft] receipt ( ! 
notice describ$ 9 clause 7i7 & be=e !   
fir/ elective contribution is made1 to  
make su* election1 &  7iii7 ! notice    
expla9s h[ contributions made "u !      
arrangem5t w be inve/$ 9 ! abs5ce ( any 
inve/m5t election by ! p>ticipant4  7#d7
 ,effective date ,?is subsection %all   
take effect on ! date ( ! enactm5t ( ?is
 ,act4  7d7 ,all[ c]ta9 plan transf]s & 
m]g]s  7#a7 ,9 g5]al ,section #dad ( !  
,int]nal ,rev5ue ,code ( #aihf is am5d$ 
by add+ at ! end ! foll[+ new           
subsection3  7y7 ,c]ta9 plan transf]s & 
m]g]s  7#a7 ,9 g5]al ,"u rules prescrib$
 by ! ,secret>y1 except z provid$ 9     
p>agraph 7#b71 no am\nt %all be         
includible 9 gross income by reason (-- 

7,a7 a transf] ( all or a portion ( !   
acc\nt balance ( a p>ticipant or        
b5efici>y1 :e!r or n ve/$1 f a plan     
describ$ 9 section #dja7;a7 or an       
annuity contract describ$ 9 section     
#djc7;b71 :i* is a *ur* plan describ$ 9 
subsection 7e7 to an annuity contract   
describ$ 9 section #djc7;b71 if su* plan
 & annuity contract are bo? ma9ta9$ by !
 same *ur* or conv5tion or association (
 *ur*es1  7,b7 a transf] ( all or a     
portion ( ! acc\nt balance ( a          
p>ticipant or b5efici>y1 :e!r or n ve/$1
 f an annuity contract describ$ 9       
section #djc7;b7 to a plan describ$ 9   
section #dja7;a7 or an annuity contract 
describ$ 9 section #djc7;b71 :i* is a   
*ur* plan describ$ 9 subsection 7e71 if 
su* plan & annuity contract are bo?     
ma9ta9$ by ! same *ur* or conv5tion or  
association ( *ur*es1 or  7,c7 a m]g] ( 
a plan describ$ 9 section #dja7;a71 or  
an annuity contract describ$ 9 section  
#djc7;b71 :i* is a *ur* plan describ$ 9 
subsection 7e7 ) an annuity contract    

describ$ 9 section #djc7;b71 if su* plan
 & annuity contract are bo? ma9ta9$ by !
 same *ur* or conv5tion or association (
 *ur*es4  7#b7 ,limitation ,p>agraph    
7#a7 %all n apply to a transf] or m]g]  
unless ! p>ticipant's or b5efici>y's    
b5efit imm$iately aft] ! transf] or m]g]
 is equal to or great] ?an !            
p>ticipant's or b5efici>y's b5efit      
imm$iately be=e ! transf] or m]g]4  7#c7
 ,qualification ,a plan or annuity      
contract %all n fail to be consid]$ to  
be describ$ 9 sections #dja7;a7 or      
#djc7;b7 m]ely because su* plan or      
acc\nt engages 9 a transf] or m]g]      
describ$ 9 ?is subsection4  7#d7        
,def9itions ,= purposes ( ?is           
subsection3  7,a7 ,*ur* ,! t]m *ur*     
includes an organization describ$ 9     
subp>agraph 7,a7 or 7,b77ii7 (          
subsection 7e77#c74  7,b7 ,annuity      
contract ,! t]m annuity contract        
includes a cu/odial acc\nt describ$ 9   
section #djc7;b77#g7 & a retirem5t      
income acc\nt describ$ 9 section        

#djc7;b77#i74  4  7#b7 ,effective date  
,! am5dm5t made by ?is subsection %all  
apply to transf]s or m]g]s occurr+ aft] 
! date ( ! enactm5t ( ?is ,act4  7e7    
,inve/m5ts by *ur* plans 9 collective   
tru/s  7#a7 ,9 g5]al ,9 ! case (--  7,a7
 a *ur* plan 7z def9$ 9 section #dad7;e7
 ( ! ,int]nal ,rev5ue ,code ( #aihf71   
includ+ a plan describ$ 9 section       
#dja7;a7 ( su* ,code & a retirem5t      
income acc\nt describ$ 9 section        
#djc7;b77#i7 ( su* ,code1 &  7,b7 an    
organization describ$ 9 section         
#dad7;e77#c77;,a7 ( su* ,code ! pr9cipal
 purpose or function ( :i* is !         
adm9i/ration ( su* a plan or acc\nt1  ! 
assets ( su* plan1 acc\nt1 or           
organization 7includ+ any assets o!rwise
 p]mitt$ to be comm+l$ = inve/m5t       
purposes ) ! assets ( su* a plan1       
acc\nt1 or organization7 may be inve/$ 9
 a gr\p tru/ o!rwise describ$ 9 ,int]nal
 ,rev5ue ,s]vice ,rev5ue ,rul+ #ha-ajj  
7z modifi$ by ,int]nal ,rev5ue ,s]vice  
,rev5ue ,rul+s #bjjd-fg & #bjaa-a71 or  

any subsequ5t rev5ue rul+ t sup]s$es or 
modifies su* rev5ue rul+1 )\t adv]sely  
affect+ ! tax /atus ( ! gr\p tru/1 su*  
plan1 acc\nt1 or organization1 or any   
o!r plan or tru/ t inve/s 9 ! gr\p tru/4
  7#b7 ,effective date ,?is subsection  
%all apply to inve/m5ts made aft] ! date
 ( ! enactm5t ( ?is ,act4