MN HF2419

Commissioner of management and budget must report to legislature by January 15, 2015, on feasibility of a state-administered retirement savings plan for workers without access to employer-sponsored or multiemployer retirement plans.

Proposed plan would allow individuals to make contributions to personal accounts pooled and invested by the State Board of Investment, with state bearing no liability for investment returns or losses.

Report must include estimates of eligible workers and self-sustaining participation rates, analysis of federal tax and ERISA implications, administration and investment management costs, and comparison to private sector and federal retirement options.

Optional report components may address retirement savings gaps by demographics, barriers to existing plans, impacts on social safety net programs, and alternatives to state-administered plan.

$300,000 appropriated from general fund to commissioner of management and budget for fiscal year ending June 30, 2014, to prepare the report.