Pennsylvania HB 1263: An Act establishing the Keystone Saves Program, the Keystone Saves Program Fund, the Keystone Saves Administrative Fund and the Keystone Saves Program Advisory Board; and providing for powers and duties of the Treasury Department, for investment and fiduciary responsibilities and for program implementation.

Bill Text

PRIOR PRINTER'S NO. 1406 PRINTER'S NO. 1623
THE GENERAL ASSEMBLY OF PENNSYLVANIA
HOUSE BILL
No. 1263
Session of
2025
INTRODUCED BY MULLINS, GALLAGHER, WEBSTER, GIRAL, VENKAT,
MADDEN, PIELLI, HILL-EVANS, SCHLOSSBERG, NEILSON, SOLOMON,
HANBIDGE, SANCHEZ, HADDOCK, BOROWSKI, STEELE, BRENNAN,
DONAHUE, HOHENSTEIN, WAXMAN, PROKOPIAK, CERRATO, WARREN,
O'MARA, DOUGHERTY, BOYD AND CEPEDA-FREYTIZ, APRIL 17, 2025
AS REPORTED FROM COMMITTEE ON COMMERCE, HOUSE OF
REPRESENTATIVES, AS AMENDED, MAY 6, 2025
AN ACT
Establishing the Keystone Saves Program, the Keystone Saves
Program Fund, the Keystone Saves Administrative Fund and the
Keystone Saves Program Advisory Board; and providing for
powers and duties of the Treasury Department, for investment
and fiduciary responsibilities and for program
implementation.
TABLE OF CONTENTS
Chapter 1. Preliminary Provisions
Section 101. Short title.
Section 102. Definitions.
Chapter 3. Keystone Saves Program
Section 301. Establishment of program.
Section 302. Keystone Saves Program Fund.
Section 303. Keystone Saves Administrative Fund.
Section 304. Administration and funding.
Chapter 5. Keystone Saves Program Advisory Board
Section 501. Establishment of board.
Section 502. Composition of board.
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Section 503. Terms of board members.
Section 504. Meetings of board.
Section 505. Duties of board.
Section 506. Limitations on board members.
Chapter 7. Department Powers and Duties
Section 701. Powers and duties of department.
Chapter 9. Investment and Fiduciary Responsibilities
Section 901. Fiduciary duties.
Section 902. Investment policies.
Section 903. Additional investment options.
Section 904. Investment managers.
Chapter 11. Program Implementation
Section 1101. Commencement of program activities.
Section 1102. Registration and certification of qualified
payroll deposit retirement savings arrangements.
Section 1103. Participating employer plans.
Section 1104. Roth IRAs and traditional IRAs.
Section 1105. Implementation of qualified arrangements.
Section 1106. Registration and certification.
Section 1107. Payroll deductions.
Section 1108. Withdrawals, rollovers and transfers.
Section 1109. Distribution of funds from program.
Section 1110. Outreach and information.
Section 1111. Contributions, interest and investment earnings.
Section 1112. Duties and liability of Commonwealth.
Section 1113. Protection from liability for employers.
Section 1114. Risk management.
Section 1115. Audit and reports.
Section 1116. Confidentiality of information.
Section 1117. Temporary regulations.
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Chapter 13. Miscellaneous Provisions
Section 1301. Regulations.
Section 1302. Provision of information.
Section 1303. Notice of program implementation.
Section 1304. Effective date.
The General Assembly of the Commonwealth of Pennsylvania
hereby enacts as follows:
CHAPTER 1
PRELIMINARY PROVISIONS
Section 101. Short title.
This act shall be known and may be cited as the Keystone
Saves Program Act.
Section 102. Definitions.
The following words and phrases when used in this act shall
have the meanings given to them in this section unless the
context clearly indicates otherwise:
"Administrative fund." The Keystone Saves Administrative
Fund established under section 303.
"Board." The Keystone Saves Program Advisory Board
established under section 501.
"Covered employee." As follows:
(1) An individual who:
(i) is employed by a covered employer;
(ii) has gross wages or other compensation that are
allocable to the Commonwealth in a calendar year; and
(iii) is at least 18 years of age.
(2) The term does not include any of the following:
(i) An employee covered under the Railway Labor Act
(Public Law 69-257, 45 U.S.C. § 151 et seq.).
(ii) An employee on whose behalf an employer makes
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contributions to a multi-employer pension trust fund.
(iii) An employee of the Federal Government.
(iv) An employee of this Commonwealth or any other
state.
(v) An employee of a political subdivision,
municipal corporation or school district in this
Commonwealth or any other state.
"Covered employer." As follows:
(1) A person engaged in a business, industry,
profession, trade or other enterprise in this Commonwealth
that employs individuals, whether for profit or not for
profit.
(2) The term does not include any of the following:
(i) An employer that has four or fewer employees:
(A) as of July 1 or later of a current calendar
year, for at least six months of that calendar year;
and
(B) for at least six consecutive months of the
preceding calendar year.
(ii) An employer that has been in business at all
times for less than 15 consecutive months.
(iii) An employer that maintains or contributes to a
specified tax-favored retirement plan for the employer's
employees or has done so effective in form and o