PLANSPONSOR - February/March 2021 - 10

UPFRONT
Senator Portman Eyes Final Reforms
IN LATE JANUARY, news broke that
U.S. Senator Rob Portman, R-Ohio, will
not seek re-election after his term ends
in 2022, generating surprise and some
consternation for the retirement planning
industry.
This is because Portman is viewed
by many retirement planning professionals
as one of their top, long-time advocates
in Congress. Portman has not only
held a leading position on the powerful
Senate Finance Committee for many
years-including having been chairman
of the Subcommittee on Social Security,
Pensions and Family Policy-he has been
TIDBITS
Dust Off the DB Plan ...
Besides providing a secure source of income for retirees, pension benefit
payments sustain consumer demand, supporting millions of jobs across the
nation, says an annual report. It especially cites pensions' value to small
or rural communities, as reliable pension income can help stabilize their
economies during economic downturns. Lawmakers should thus encourage
the continued offering of defined benefit (DB) plans, it says.
- $578.7 billion
in pension
benefits were
paid to
23.8 million
retired
Americans
in 2018
- $308.7 billion to some
11 million retirees
from state and local
government jobs or
their beneficiaries
(typically surviving
spouses)
Expenditures made
with those payments
collectively supported:
6.9 million American
jobs that paid nearly
$394.2 billion in labor
income
- $164.1 billion to some
10.1 million privatesector
retirees or their
beneficiaries
- $105.9 billion to some
2.6 million federal
government retirees or
their beneficiaries
$1.3 trillion in total
economic output nationwide
$703.9 billion in valueadded
gross domestic
product
$191.9 billion in federal,
state and local tax
Source: National Institute on Retirement Security, " Pensionomics 2021: Measuring the Economic
Impact of Defined Benefit Pension Expenditures "
a chief advocate of several popular pieces
of retirement reform legislation supported
by industry trade groups.
" I feel fortunate to have been
entrusted by the people of Ohio to represent
them in the U.S. Senate, " Portman
said in a statement. " Today, I am
announcing that I have made a decision
not to run again in 2022. This doesn't
mean I'm leaving now-I still have two
more years in my term, and I intend to
use that time to get a lot done. "
Naturally, retirement industry
practitioners will be watching what the
Senate does during the newly installed
Congress, which will now be Portman's
last. Even though Senate Democrats'
legislative priorities differ from those
of recent years, insiders are hopeful that
retirement-focused legislation-as has
often been the case in the past-will
retain significant bipartisan backing
under the direction of Senate Majority
Leader Chuck Schumer, D-New York.
" Over the next two years, I look
forward to being able to focus all of my
energy on legislation and the challenges
our country faces, rather than on fundraising
and campaigning, " Portman
said. " During my service in the Senate,
I am proud of what we've been able to
accomplish for Ohio and the country. I
have consistently been named one of the
most bipartisan senators. I am proud of
that, and I'll continue to reach out .. to
find common ground. "
As summarized in Portman's statement,
the senator saw 82 of his bills passed
under President Donald Trump and 68
under President Barack Obama.
" I'm hopeful that President Joe Biden
will follow through on his inaugural pledge
to reach across the aisle, and I'm prepared
to work with him and his administration if
he does, " Portman said.
According to sources, Portman
strongly supports a proposal referred to
as the Portman-Cardin bill and, related
to it, many components of the " SECURE
Act 2.0, " which builds on provisions of
the Setting Every Community Up for
Retirement Enhancement (SECURE) Act.
While some of " 2.0 " 's provisions are less
popular than others, the retirement planning
industry supports it as well.
Portman's statement does not outline
his final priorities; still, it stands to reason
that he will continue to focus on such
bills. There is also hope that he could
help deliver a bipartisan solution to the
union-sponsored multiemployer pension
funding crisis, yet another topic on which
he has been vocal. -John Manganaro
10 PLANSPONSOR.COM February - March 2021

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