Pension Reform in the 108th Congress:
House Initiatives
Rep. Sam Johnson (R-TX), Member, House Committee on Ways and Means
and Committee on Education and the Workforce

Public employees must continuously tell Congress that many problems occurring in private sector pension plans don’t exist with public sector plans, and the solutions proposed may be inappropriate or harmful. That was the message from Rep. Sam Johnson, a member of two of the House of Representatives’ more influential committees.

Johnson discussed his commitment to preventing extensive and unnecessary government relations. “More regulation is not usually the answer,” he said. He also stressed his belief that legislators and regulators in state capitals nationwide “are fully capable of overseeing what’s best for the plans in their states. I don’t think you need more bureaucrats in Washington telling you how to manage your plans.”

He said last year’s debate on the Pension Security Act showed how NCPERS members need to educate Congress on the difference between public and private sector pension plans. Despite the fact that the bill was written in response to Enron’s collapse, many on Capitol Hill wanted to subject all pension plans to the same notice and disclosure requirements.

Johnson noted that one major provision would permit employees to diversity out of their own company’s stock. He asked the audience, “Maybe you can tell me what kind of ‘company stock’ is issued to state and local employees that they need to diversity!”

He said that the Ways and Means Committee would likely consider Social Security reform this year. Moving a bill during the first session of the 108^th Congress was imperative, he said, because attention on the next presidential election in 2004 would make passage during the second session impossible.

Johnson was elected to Congress in 1991 after serving in the Texas state legislature. A decorated veteran, Johnson was awarded two Silver Stars, two Legions of Merit, the Distinguished Flying Cross, a Bronze Star with Valor, two Purple Hearts, four Air Medals, and three Outstanding Unit Awards. He flew combat missions in both the Korean and Vietnam Wars, and was a prisoner of war in Hanoi for nearly seven years.