Retire through Ownership Act

[Congressional Bills 119th Congress]
[From the U.S. Government Publishing Office]
[S. 2403 Introduced in Senate (IS)]

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119th CONGRESS
  1st Session
                                S. 2403

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.


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                   IN THE SENATE OF THE UNITED STATES

                             July 23, 2025

Mr. Marshall (for himself and Mr. Kaine) introduced the following bill; 
     which was read twice and referred to the Committee on Health, 
                     Education, Labor, and Pensions

_______________________________________________________________________

                                 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), a fiduciary of an 
        employee stock ownership plan as defined in section 407(d)(6) 
        may make a good faith reliance on the principles and 
        methodologies set forth in Internal Revenue Service Revenue 
        Ruling 59-60 (as in effect on the date of enactment of the 
        ERISA Adequate Consideration Act of 2025) in determining the 
        fair market value of an asset described in such clause.''.
    (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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