This bill, the Retire through Ownership Act, changes one definition in the Employee Retirement Income Security Act (ERISA). It amends section 3(18) to add a new clause that says a fiduciary of an employee stock ownership plan (ESOP) may make a good-faith reliance on the principles and methods in Internal Revenue Service Revenue Ruling 59-60 (as of the date of enactment) when determining the fair market value of certain closely held stock for purposes of "adequate consideration." The amendment also includes technical redesignations of clauses and inserts labeling such as (A) and (B). The change applies to value determinations made on or after the law's enactment.
No publicly available information on costs or budgetary effects is included in the bill text or accompanying metadata.
The bill's text states its purpose is to provide a clear definition of adequate consideration for certain closely held stock and to allow ESOP fiduciaries to rely on Revenue Ruling 59-60 in good faith when determining fair market value. Sponsors listed in the metadata are Senator Roger Marshall and Senator Timothy Kaine. No publicly available statements from proponents beyond the bill text are included in the provided materials.
No publicly available information about opposition or objections is included in the bill text or the provided metadata.