Washington, D.C. (March 25, 2014)—The National Council of Farmer Cooperatives (NCFC) today applauded House passage of H.R. 4275, the Cooperative and Small Employer Charity Pension Flexibility Act. The legislation is identical to S. 1302, which the Senate passed in January, and will now go to President Obama for his signature.
The legislation will impact 400 farmer co-ops across the country that provide retirement benefits through multiple employer pension plans. The legislation makes permanent provisions contained in the Pension Protection Act (PPA) of 2006 that temporarily excluded these plans from needing to comply with certain provisions of the PPA.
“This legislation recognizes that, by their very nature, multiple employer pension plans of co-ops pose virtually no risk of default to the Pension Benefit Guaranty Corporation. This legislation will have a major impact on many farmer co-ops and will free up significant capital that can be used to expand business operations and create jobs,” said Chuck Conner, president and CEO of NCFC. “We urge President Obama to sign this legislation as soon as possible.”