SENATE CONCURRENT RESOLUTION NO. 6

(By Senator Foster)
Requesting the Joint Committee on Government and Finance study the benefits, costs and feasibility of establishing a West Virginia Universal Voluntary Accounts Program to assist private employers in offering employees an optional retirement plan.

Whereas, Approximately 60 percent of West Virginia workers are not covered by retirement plans at work; and
Whereas, A substantial number of West Virginia workers reach retirement age without retirement funds or personal savings in an amount, when added to Social Security income, sufficient to maintain a healthy, comfortable and secure retirement; and
Whereas, Pension benefits to augment Social Security payments are critical for the long-term well-being of West Virginia's senior citizens and to protect the state from the burden of caring for seniors with inadequate incomes; and
Whereas, Administrative and cost hurdles discourage many small businesses from offering pension benefits to employees; and
Whereas, The provision of a low-cost, convenient and portable pension plan offering easy participation by small business owners provides workers a convenient way to invest in their own retirement security; and
Whereas, A system of defined contribution accounts administered by the state, but funded entirely by voluntary employee and employer contributions, will encourage employees to save for their retirement and encourage employers to offer the benefit; and
Whereas, Other states are studying state-administered universal voluntary accounts as a means of providing low-cost plans that offer portability between jobs and immediate and convenient access with no vesting period; therefore, be it
Resolved by the Legislature of West Virginia:
That the Joint Committee on Government and Finance is hereby requested to study the benefits, costs and feasibility of establishing a West Virginia Universal Voluntary Accounts Program to assist private employers in offering employees an optional retirement plan; and, be it
Further Resolved, That the Joint Committee on Government and Finance report to the regular session of the Legislature, 2009, on its findings, conclusions and recommendations, together with drafts of any legislation necessary to effectuate its recommendations; and, be it
Further Resolved, That the expenses necessary to conduct this study, to prepare a report and to draft necessary legislation be paid from legislative appropriations to the Joint Committee on Government and Finance.