Retire through Ownership Act

[Congressional Bills 119th Congress]
[From the U.S. Government Publishing Office]
[H.R. 5169 Introduced in House (IH)]

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119th CONGRESS
  1st Session
                                H. R. 5169

To amend the Employee Retirement Income Security Act of 1974 to provide 
 a clear definition of adequate consideration for certain closely held 
                     stock, and for other purposes.


_______________________________________________________________________


                    IN THE HOUSE OF REPRESENTATIVES

                           September 8, 2025

  Mr. Allen introduced the following bill; which was referred to the 
                  Committee on Education and Workforce

_______________________________________________________________________

                                 A BILL


 
To amend the Employee Retirement Income Security Act of 1974 to provide 
 a clear definition of adequate consideration for certain closely held 
                     stock, and for other purposes.

    Be it enacted by the Senate and House of Representatives of the 
United States of America in Congress assembled,

SECTION 1. SHORT TITLE.

    This Act may be cited as the ``Retire through Ownership Act''.

SEC. 2. AMENDING ADEQUATE CONSIDERATION DEFINITION.

    (a) In General.--Section 3(18) of the Employee Retirement Income 
Security Act of 1974 (29 U.S.C. 1002(18)) is amended--
            (1) by redesignating clauses (i) and (ii) as subclauses (I) 
        and (II), respectively;
            (2) by redesignating subparagraphs (A) and (B) as clauses 
        (i) and (ii), respectively;
            (3) by inserting ``(A)'' before ``The term''; and
            (4) by adding at the end the following:
    ``(B) For purposes of clause (ii) of subparagraph (A), a fiduciary 
of an employee stock ownership plan (as defined in section 407(d)(6)) 
may in good faith rely upon a valuation provided by an independent 
valuation or business appraiser if such expert or appraiser relied upon 
the principles and methodologies set forth in Internal Revenue Service 
Revenue Ruling 59-60 (as amplified, clarified, distinguished, or 
modified from time to time) in determining the fair market value of the 
asset.''.
    (b) Effective Date.--The amendments made by subsection (a) shall 
apply with respect to determinations described in section 3(18)(B) of 
the Employee Retirement Income Security Act of 1974 (29 U.S.C. 
1002(18)(B)) (as added by such subsection) that are made on or after 
the date of enactment of this Act.
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