BILL ANALYSIS Ó
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UNFINISHED BUSINESS
Bill No: SB 923
Author: De León (D)
Amended: 8/31/12
Vote: 21
PRIOR VOTES NOT RELEVANT
SUBJECT : Retirement savings plans
SOURCE : Author
DIGEST : This bill enacts provisions of law related to
the proposed the California Secure Choice Retirement
Savings Program (Program) to operate as a
state-administered retirement savings plan for private
sector workers who do not participate in any other type of
employer-sponsored retirement savings plan.
Assembly Amendments delete prior version of the bill and
insert the above language.
ANALYSIS : Existing federal law provides for
tax-qualified retirement plans and individual retirement
accounts or individual retirement annuities by which
private citizens may save money for retirement.
This bill enacts provisions of law related to the proposed
the Program to operate as a state-administered retirement
savings plan for private sector workers who do not
participate in any other type of employer-sponsored
CONTINUED
SB 923
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retirement savings plan. The main bill establishing the
Program is SB 1234 (De Léon). Specifically, this bill:
1. Adds two additional members (for a total of nine) to the
proposed California Secure Choice Retirement Savings
Investment Board (Board), to be appointed by the
Governor.
2. Provides that the Board shall not open the Program for
enrollment until a subsequent authorizing statute is
enacted that expresses the approval of the Legislature
for the Program to be fully implemented.
3. Makes this bill contingent on the enactment of SB 1234
(De Léon).
Comments
SB 1234 (De Léon), currently pending before the
Legislature, proposes to establish a supplemental
retirement savings program for California's private sector
workers that do not have access to retirement plans through
their jobs. This program would be known as the California
Secure Choice Retirement Savings Program. The author's
office states that the Program created by SB 1234 provides
a reliable, affordable and completely portable retirement
savings plan for the millions of Californians without
access to a workplace retirement plan.
This bill seeks to make two additional changes to the
Program proposed under SB 1234. First, this bill adds two
additional members to the proposed the Board, to be
appointed by the Governor. Second, this bill provides that
the Board shall not open the Program for enrollment until a
subsequent authorizing statute is enacted that expresses
the approval of the Legislature for the Program to be fully
implemented.
FISCAL EFFECT : Appropriation: No Fiscal Com.: Yes
Local: No
PQ:k 8/31/12 Senate Floor Analyses
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SUPPORT/OPPOSITION: NONE RECEIVED
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