Study on Feasibility of State-Run Retirement Plan

A panel developing a state-run retirement savings plan for private sector workers has just issued a request for proposal from vendors to conduct a market analysis and financial feasibility study of the issue.

“The goal of this analysis is to explore a public retirement solution for private sector employees and to fully consider the impact of each possible solution on retirement insecurity in Connecticut,” said state Comptroller Kevin Lembo, co-chair of the Connecticut Retirement Security Board.

While the board says its eventual plan “cannot have a fiscal impact on the state and would not require any businesses to contribute to such a plan,” the board actually discussed the latter option in its most recent meeting.

That said, the study is to “examine any potential administrative burdens on small employers and will use a focus group to listen to small employers’ concerns and identify ways in which the program can be designed to alleviate or minimize any potential burdens.”

What’s more, the study will explore how many employers may be interested in a state option, or would rather use a private option, if required.

Details about the RFP can be accessed here.

For more information, contact CBIA’s Eric Gjede at 860.244.1931 | eric.gjede@cbia.com | @egjede