AN ACT to create and enact a new section to chapter 54-52.2 of the North Dakota Century Code, relating to payment of administrative expenses for the public employees retirement system deferred compensation plan; and to provide a continuing appropriation.
House Bill No. 1113 proposes the enactment of a new section to chapter 54-52.2 of the North Dakota Century Code, which addresses the payment of administrative expenses for the public employees retirement system's deferred compensation plan. The bill stipulates that participating members will be responsible for covering these administrative expenses as determined by the board overseeing the plan. It allows for reasonable charges to be deducted from members' accounts and permits the board to utilize vendor fines and fees for these expenses. Additionally, it establishes a continuing appropriation for funds related to administrative costs, ensuring that the board has ongoing access to necessary financial resources for consulting and administration.
The passage of HB1113 will modify the financial management of the public employees retirement system by allowing the board to charge members for administrative expenses directly. This change will affect how funds are allocated within the retirement system and may influence the overall financial health of the deferred compensation plan. By allowing the use of fines and fees collected from vendors, the bill introduces a mechanism for funding administrative costs that could potentially reduce the burden on participating members.
The sentiment surrounding HB1113 appears to be largely positive, as evidenced by the overwhelming support in both the House and Senate votes, with the House voting 91 in favor and only 2 against, and the Senate voting unanimously in favor. This suggests that the bill was well-received among legislators, indicating a consensus on the need for improved financial management within the retirement system.
While there is no significant contention noted in the voting records or committee discussions, some members may have raised concerns regarding the direct impact on participating members' accounts due to the deduction of administrative expenses. However, the lack of opposition in the votes suggests that these concerns did not significantly hinder the bill's progress.