Last week, the House of Representatives passed H.R. 4, the Pension Protection Act of 2006. The bill is designed to mend flaws in the current funding structure of multiemployer defined benefit pension systems and to improve financial security for current and future retirees. As the pension reform legislation is expected to reach the Senate for a vote this week, it is crucial that you contact your Senator to urge them to pass this bill when it comes up for a vote this week. The bill is designed to address concerns about employers underfunding their pension plans. The bill imposes spending discipline on plans whose funding status is eroding and gives trustees flexibility to address funding shortages and balance their resources to preserve the solvency of multiemployer pension plans. It is essential that Congress acts to preserve the viability of defined benefit plans, the bedrock of many Americans' retirement security. The bill passed in the House last week will do that. Please contact your Senator to ensure that the Pension Protection Act passes in the Senate.

Dear [ Decision Maker ] ,

As a constituent and a member of the American Federation of Musicians, I am writing to ask you to support the multiemployer pension reform as contained in H.R. 4, the Pension Protection Act of 2006. My support for the bill is based on the features that are designed to: increase the funded position of all plans, impose additional spending discipline upon plans whose funded position is beginning to erode, and reinstate the flexibility that plan trustees and the bargaining parties had when ERISA was first enacted to modify certain ancillary benefits to bring the plans' liabilities and resources back into balance.

In particular, I recognize and fully support the requirement to include immediate, non-benefit bearing employer surcharges to begin to address a plan's under-funding, and the inclusion of a corresponding provision that restores the ability to modify certain ancillary benefits- the so-called "Red-Zone cuts." The simple fact of the matter is that these changes are essential to protect the normal retirement benefit at normal retirement age for all current and future retirees. Under this proposal, benefits for current retirees are not at risk.

It is my sincere desire to see this legislation enacted without delay in order to preserve the long-term viability of multiemployer defined benefit pension plans. Every day that passes without enacting comprehensive reform brings some plans closer to a funding deficiency under current law and the potentially widespread negative ripple effects of such an event on plan participants and sponsors.

I deeply appreciate your support and urge you to vote for passage of this important legislation.

Sincerely,

Campaign Launched:
July 31, 2006