H.R. 1000 - Pension Security Act of 2003

COMMITTEE ACTION: REPORTED BY VOICE VOTE on Tuesday, May 13, 2003.
FLOOR ACTION:ADOPTED BY VOICE VOTE , AFTER AGREEING ON THE PREVIOUS QUESTION BY A RECORD VOTE OF 218-201 on Wednesday, May 14, 2003.
MANAGERS: LINDER/SLAUGHTER
108th Congress
1st Session

H.R. 1000 - Pension Security Act of 2003

1. Modified closed rule.

2. Provides one hour and 20 minutes of debate in the House, with 40 minutes equally divided and controlled by the chairman and ranking minority member of the Committee on Education and the Workforce, and 40 minutes equally divided and controlled by the chairman and ranking minority member of the Committee on Ways and Means.

3. Provides that the amendment recommended by the Committee on Education and the Workforce now printed in the bill shall be considered as adopted.

4. Waives all points of order against the bill, as amended.

5. Makes in order the amendment printed in the report of the Committee on Rules accompanying the resolution, if offered by Representative George Miller of California or his designee, which shall be considered as read, and shall be separately debatable for one hour equally divided and controlled by the proponent and an opponent.

6. Waives all points of order against the amendment printed in the report.

7. Provides one motion to recommit with or without instructions.

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RESOLUTION

Resolved, That upon the adoption of this resolution it shall be in order to consider in the House the bill (H.R. 1000) to amend title I of the Employee Retirement Income Security Act of 1974 and the Internal Revenue Code of 1986 to provide additional protections to participants and beneficiaries in individual account plans from excessive investment in employer securities and to promote the provision of retirement investment advice to workers managing their retirement income assets. The bill shall be considered as read for amendment. The amendment recommended by the Committee on Education and the Workforce now printed in the bill shall be considered as adopted. All points of order against the bill, as amended, are waived. The previous question shall be considered as ordered on the bill, as amended, and on any further amendment thereto to final passage without intervening motion except: (1) one hour and 20 minutes of debate on the bill, as amended, equally divided among and controlled by the chairmen and ranking minority members of the Committee on Education and the Workforce and the Committee on Ways and Means; (2) the further amendment printed in the report of the Committee on Rules accompanying this resolution, if offered by Representative George Miller of California or his designee, which shall be in order without intervention of any point of order, shall be considered as read, and shall be separately debatable for one hour equally divided and controlled by the proponent and an opponent; and (3) one motion to recommit with or without instructions.

--------- SUMMARY OF AMENDMENT MADE IN ORDER
(Summaries derived from information provided by amendment sponsor.)

1. Miller, George (CA) - Amendment in the Nature of a Substitute. Requires executive pensions to be subject to the same pension rules that apply to other workers. Changes provisions that allow special executive pension plans to escape taxation, to receive special protection against creditors, and to end-run pension laws that require wide employee participation at the company. Requires that executive plans be subject to the same uniform and fair vesting and contribution limits that apply to rank-and-file employees. Requires companies changing from traditional pension plans to cash balance plans to allow older workers the choice of remaining in the old plan or joining the new plan. Requires executive compensation packages including pensions to be approved by the board of directors, and requires companies to notify shareholders and employees of any new executive pensions (in plain language), and of any additional benefits to executives 100 days before their adoption. Requires employers negotiating with its employees over wages and benefits to disclose directly to employees any changes (or proposed changes) in top executive pensions, health, or life insurance, and other substantial job perks, with a penalty for failure to disclose. Gives employees greater protections when a company declares bankruptcy, and denies executives preferential protection against creditors. Imposes an excise tax on executive golden parachutes when they leave behind companies with plummeting shareholder value or are facing bankruptcy proceedings. Prevents firms from deducting more than $1 million in executive performance-based compensation if it is obtained through manipulation of the company?s pension funds. Imposes tax penalties on executives who sell stock they acquire from stock options if the sale would violate restrictions on the sale of corporate stock that rank-and-file employees face in their 401(k) plans.


TEXT OF AMENDMENT MADE IN ORDER (.pdf)

1. Miller