National Organizations Urge Treasury/IRS to Recognize Unique Legal Constructs of Governmental Plans When Issuing SECURE 2.0 Guidance
National organizations representing state and local governments, elected officials, finance officers, employee organizations and retirement systems jointly submitted comments to the U.S. Treasury Department regarding pending regulatory guidance on "SECURE 2.0" retirement provisions. The organizations urged Treasury and IRS to recognize the state and local statutory and regulatory governance structures in place for public retirement plans when promulgating regulations surrounding the new law.
Notably, governmental plans may need additional time to amend state and local statutes to come into operational compliance with some of the recently-enacted provisions. Further, they are exempt from ERISA and should be afforded reasonable, good-faith compliance with applicable state and local statutes, regulations and definitions. The organizations also asked to meet with federal officials to discuss further. Read the letter.
In addition to NCPERS, NASRA, and NCTR, signatory organizations included the National Conference of State Legislatures (NCSL), National Association of Counties (NACo), United States Conference of Mayors (USCM), National League of Cities (NLC), International City/County Management Association (ICMA), National Association of State Treasurers (NAST), Government Finance Officers Association (GFOA), National Association of State Auditors Comptrollers and Treasurers (NASACT), International Association of Fire Fighters (IAFF), National Association of Police Organizations (NAPO), and National Association of Government Defined Contribution Administrators (NAGDCA).