,i  #aaeth ,,congress  #b;d ,session    
,h4 ,r4 #fbij  ,,in ,,the ,,house ,,of  
,,representatives  ,june #bh1 #bjah,mr4 
,nunes 7for himself1 ,mr4 ,calvert1 ,mr4
 ,stewart1 and ,mr4 ,mc,clintock7       
introduced the following bill2 which was
 referred to the ,committee on ,ways and
 ,means  ,a ,,bill  ,to amend the       
,internal ,revenue ,code of #aihf to    
provide for reporting and disclosure by 
,state and local public employee        
retirement pension plans4  #a4 ,short   
title ,this ,act may be cited as the    
,public ,employee ,pension ,transparency
 ,act4  #b4 ,reporting requirement for  
certain ,state or local government      
retirement plans as condition for ,state
 and local bonds tax exemption  7a7 ,in 
general ,subpart ,b of part ,,iv of     
subchapter ,b of chapter #a of the      
,internal ,revenue ,code of #aihf is    
amended by adding at the end the        
following new section3  #adi;,a4        
,reporting with respect to certain      
,state or local government retirement   

plans  7a7 ,in general ,in the case of a
 failure to satisfy the report          
requirements of subsection 7c7 with     
respect to any plan maintained with     
respect to an employee of a ,state1 a   
political subdivision of a ,state1 or   
any agency or instrumentality of a      
,state or political subdivision of a    
,state1 section #ajc shall not apply to 
the interest on any bond issued during  
the noncompliance period by any such    
,state or political subdivision4  7b7   
,noncompliance period ,for purposes of  
this section1 the term noncompliance    
period means1 with respect to any ,state
 or political subdivision1 the period   
beginning on the date that the          
,secretary notifies such ,state or      
political subdivision of a failure to   
satisfy the requirements of subsection  
7c7 with respect to a plan and ending on
 the date that such failure is corrected
 7as determined by the ,secretary74  7c7
 ,annual report requirements  7#a7 ,in  
general ,the requirements of this       

subsection shall not be treated as met  
unless1 not later than #baj days after  
the end of each plan year beginning on  
or after ,january #a1 #bjai1 the plan   
sponsor of a ,state or local government 
applicable retirement plan files with   
the ,secretary 7in such form and manner 
as shall be prescribed by the           
,secretary7 a report setting forth the  
following information with respect to   
the plan1 as determined by the plan     
sponsor as of the last day of such plan 
year3  7,a7 ,a statement 7determined    
according to the plan's funding method7 
of the plan liability1 the value of plan
 assets1 the amount by which 7if any7   
the plan liability exceeds the value of 
plan assets1 and the funding percentage 
of the plan4  7,b7 ,a schedule of all   
contributions by the plan sponsor for   
the plan year that indicates which      
contributions are taken into account    
under subparagraph 7,a74  7,c7          
,projections for each of the #fj        
subsequent plan years of the cash flows 

associated with the plan liability4     
7,d7 ,a statement of the actuarial      
assumptions used for the plan year1     
including the rate of return on         
investment of plan assets and           
assumptions as to such other matters as 
the ,secretary may prescribe by         
regulation4  7,e7 ,the number of each of
 the following types of participant3 7i7
 ,separated from service and receiving  
benefits4  7ii7 ,not described in clause
 7i71 separated from service1 and       
entitled to future benefits4  7iii7     
,accruing and receiving benefits4  7iv7 
,not described in clause 7iii7 and      
accruing benefits4  7,f7 ,a statement of
 the plan's investment returns          
7including the rate of return7 for the  
plan year and the #e preceding plan     
years4  7,g7 ,pursuant to such          
regulations as the ,secretary shall     
prescribe1 an explanation of the plan's 
funding policy1 and a statement of the  
degree to which1 and manner in which1   
the plan sponsor expects to eliminate   

any unfunded plan liability for the plan
 year and the extent to which the plan  
sponsor has followed the plan's funding 
policy for each of the preceding #e plan
 years4  7,h7 ,a statement of the amount
 of any pension obligation bonds        
outstanding4  7,i7 ,a statement of the  
current cost of the plan for the plan   
year determined according to the plan's 
funding method4  7,j7 ,a statement of   
the plan's administrative and investment
 expenses4  7#b7 ,supplement to report  
with prescribed valuation and interest  
rates  7,a7 ,in general ,in the case of 
an annual report under which--  7i7 plan
 assets are not valued at fair market   
value1  7ii7 any interest rate used to  
determine the value of plan liabilities 
under subparagraph 7,a7 or 7,i7 of      
paragraph 7#a7 is not an interest rate  
described in subparagraph 7,b71 or      
7iii7 the present value of an accrued   
benefit is not determined as described  
in subparagraph 7,c71  the requirements 
of this subsection shall not be treated 

as met unless the plan sponsor also     
includes in such annual report the      
information described in subparagraphs  
7,a7 and 7,i7 of paragraph 7#a71        
determined as of the last day of such   
plan year by valuing plan assets at fair
 market value1 by using the interest    
rates described in subparagraph 7,b7 to 
value liabilities1 and by determining   
the present value of accrued benefits as
 described in subparagraph 7,c74  7,b7  
,interest rates based on ,treasury spot 
rate yield curve  7i7 ,in general ,the  
interest rates described in this        
subparagraph are1 with respect to any   
day1 the rates of interest which shall  
be determined by the ,secretary for such
 day on the basis of the ,treasury spot 
rate yield curve for such day4  7ii7    
,treasury spot rate yield curve ,for    
purposes of this subparagraph1 the term 
,treasury spot rate yield curve means1  
with respect to any day1 the spot rate  
for such day on interest-bearing        
obligations of the ,united ,states4     

7,c7 ,determining present value of      
accrued benefits ,the present value of  
an accrued benefit is determined as     
described in this subparagraph if-- 7i7 
it is determined by discounting its     
future cash flows in accordance with    
subparagraph 7,b71 and  7ii7 the present
 value of all benefits accrued for each 
participant is calculated as of the last
 day of such plan year using the unit   
credit funding method4  7d7 ,definitions
 and special rules ,for purposes of this
 section-- 7#a7 ,state or local         
government applicable retirement plan   
,the term ,state or local government    
applicable retirement plan means any    
plan described in clause 7i71 7ii71     
7iii71 or 7iv7 of section               
#bai7;g77#e77;,a7 7other than a defined 
contribution plan 7within the meaning of
 section #dad7;i7771 which is maintained
 by a ,state1 a political subdivision of
 a ,state1 or any agency or             
instrumentality of a ,state or political
 subdivision of a ,state4  7#b7 ,funding

 percentage ,the term funding percentage
 for a plan year means the ratio        
7expressed as a percentage7 which-- 7,a7
 the value of plan assets as of the end 
of the plan year1 bears to  7,b7 the    
plan liability of the plan for the plan 
year4  7#c7 ,plan liability ,the term   
plan liability of a plan for a plan year
 means the present value of all benefits
 accrued or earned under the plan as of 
the last day of the plan year4  7#d7    
,current cost ,the term current cost of 
a plan for a plan year means the present
 value as of the end of the plan year of
 all benefits accrued or earned under   
the plan during the plan year4  7#e7    
,plan sponsor ,the term plan sponsor    
means1 in connection with a ,state or   
local government applicable retirement  
plan1 the ,state1 political subdivision 
of a ,state1 or agency or               
instrumentality of a ,state or a        
political subdivision of a ,state which 
establishes or maintains the plan4 ,for 
purposes of report filing requirements  

under this section1 such term shall     
include the administrator of the plan on
 behalf of the plan sponsor in the case 
of a plan which is not administered by  
the plan sponsor4  7#f7 ,participant    
7,a7 ,in general ,the term participant  
means1 in connection with a ,state or   
local government applicable retirement  
plan1 an individual-- 7i7 who is an     
employee or former employee of a ,state1
 political subdivision of a ,state1 or  
agency or instrumentality of a ,state or
 a political subdivision of a ,state    
which is the plan sponsor of such plan1 
and  7ii7 who is or may become eligible 
to receive a benefit of any type from   
such plan or whose beneficiaries may be 
eligible to receive any such benefit4   
7,b7 ,beneficiary ,the term beneficiary 
means a person designated by a          
participant1 or by the terms of the     
plan1 who is or may become entitled to a
 benefit thereunder4  7#g7 ,plan year   
,the term plan year means1 in connection
 with a plan1 the calendar or fiscal    

year on which the records of the plan   
are kept4  7#h7 ,state ,the term ,state 
includes any ,state of the ,united      
,states1 the ,district of ,columbia1 the
 ,commonwealth of ,puerto ,rico1 the    
,united ,states ,virgin ,islands1       
,american ,samoa1 ,guam1 and the        
,commonwealth of the ,northern ,mariana 
,islands4  7#i7 ,fair market value ,the 
term fair market value has the meaning  
of such term under section              
#dcj7;g77#c77;,a7 7without regard to    
section #dcj7;g77#c77;,b774  7e7 ,model 
reporting statement ,the ,secretary     
shall develop model reporting that plan 
sponsors of ,state or local government  
employee pension plans may elect to use 
for purposes of complying with          
requirements of such subsections 7c74   
7f7 ,transparency of information filed  
,reports filed under this section shall 
be public records open to the inspection
 of the public1 and the ,secretary shall
 create and maintain a searchable public
 website on which the ,secretary shall  

post such reports not later than #fj    
days after receipt4  4  7b7 ,clerical   
amendment ,the table of sections for    
subpart ,b of part ,,iv of subchapter ,b
 of chapter #a of such ,code is amended 
by adding at the end the following new  
item3  ,sec4 #adi;,a4 ,reporting with   
respect to certain ,state or local      
government retirement plans4  4  #c4    
,general provisions and rules of        
construction  7a7 ,limitations on       
,federal responsibilities relating to   
plan obligations and liabilities ,the   
,united ,states shall not be liable for 
any obligation related to any current or
 future shortfall in any ,state or local
 government applicable retirement plan4 
,nothing in this ,act 7or any amendment 
made by this ,act7 or any other         
provision of law shall be construed to  
provide ,federal ,government funds to   
diminish or meet any current or future  
shortfall in1 or obligation of1 any     
,state or local government applicable   
retirement plan4 ,the preceding sentence

 shall also apply to the ,federal       
,reserve4  7b7 ,no ,federal funding     
standards ,nothing in this ,act 7or any 
amendment made by this ,act7 shall be   
construed to alter existing funding     
standards for ,state or local government
 applicable retirement plans or to      
require ,federal funding standards for  
such plans4  7c7 ,definitions ,terms    
used in this section which are also used
 in section #adi;,a of the ,internal    
,revenue ,code of #aihf shall have the  
same meaning as when used in such       
section4