{{Short description|Financial US Congress act}} {{Use American English|date=June 2025}} {{notability|date=April 2021}} {{Use mdy dates|date=April 2025}}

The '''Butch Lewis Act''' is an act of the United States Congress that would allow the United States Treasury to provide financial assistance to failing multiemployer pension plans.<ref name=":0">{{Cite web|last=Gotsch|first=Ted|date=2021-02-12|title=Teamsters Applaud House Ways & Means Vote Approving Pension Reform Plan|url=https://teamster.org/2021/02/teamsters-applaud-house-ways-means-vote-approving-pension-reform-plan/|access-date=2021-02-27|website=International Brotherhood of Teamsters|language=en}}</ref> This assistance would come in the form of grants that would not need to be repaid to the Department of Treasury and would allow retirees to receive the entirety of their pension benefits.

== Purpose and content == Many multiemployer pension plans across the United States are on the verge of insolvency.<ref name=":1">{{Cite web|title=Overview of Multiemployer Pension System Issues {{!}} American Academy of Actuaries|url=https://www.actuary.org/content/overview-multiemployer-pension-system-issues|access-date=2021-02-27|website=www.actuary.org}}</ref> According to the Pension Benefit Guarantee Corporation, "A multiemployer plan is a collectively bargained plan maintained by more than one employer, usually within the same or related industries, and a labor union".<ref name=":7">{{Cite web|title=Introduction to Multiemployer Plans {{!}} Pension Benefit Guaranty Corporation|url=https://www.pbgc.gov/prac/multiemployer/introduction-to-multiemployer-plans|access-date=2021-03-06|website=www.pbgc.gov}}</ref> Industries included in multiemployer pension plans currently include trucking and transportation, retail, manufacturing, mining and entertainment.<ref name=":7" /> While working in a union, employees barter compensation and benefits with their employer, often trading in raises or higher pay for a retirement plan.<ref name=":7" /> These plans started to fail for multiple reasons, including but not limited to: industries going bankrupt and not following through with financial obligations,<ref name=":1" /> past surpluses causing fragile bursts of benefit withdraws,<ref name=":1" /> failed stock market investments,<ref name=":2">{{Cite web|title=After Years-Long Push, Brown Working to Secure Important Pension Win in Covid-19 Rescue Package {{!}} U.S. Senator Sherrod Brown of Ohio|url=https://www.brown.senate.gov/newsroom/press/release/brown-secure-pension-win-covid-19-package|access-date=2021-02-27|website=www.brown.senate.gov|language=en}}</ref> government deregulation,<ref name=":3">{{Cite web|title=Facing Retirement With Fear|url=https://www.usw.org/blog/2020/facing-retirement-with-fear|access-date=2021-02-27|website=United Steelworkers|language=en}}</ref> and the 2008 economic crisis.<ref name=":2" /> Underfunded multiemployer pensions currently threaten the retirement plans of 1-1.5 million workers across the United States.<ref name=":2" />

Multiemployer pension plans have their own arm of the federal government called the Pension Benefit Guaranty Corporation, which was created to insure pension benefits.<ref name=":7" /> However, these pension programs owe approximately $66 billion to retired workers and only have about $3 billion in revenue, giving the insurance fund until 2026 before it is drained completely.<ref>{{Cite web|title=U.S. Chamber of Commerce Endorses Brown's Pension Fix in COVID-19 Rescue Package {{!}} U.S. Senator Sherrod Brown of Ohio|url=https://www.brown.senate.gov/newsroom/press/release/chamber-commerce-endorses-browns-pension-fix|access-date=2021-03-06|website=www.brown.senate.gov|language=en}}</ref>

The current Butch Lewis Act provides a bailout to fund multi-employer pension plans for 30 years.<ref name=":2" /> The bill restores pensions to their full amount and increases the national pension insurance cap.<ref name=":2" /> Finally, it requires regular reports to Congress on the status of these pension plans as a preventative measure against future collapse.<ref name=":2" />

In 2017, U.S. Senator Sherrod Brown named this piece of legislation after late Ohioan Estil "Butch" Lewis.<ref name=":4">{{Cite web|title=Brown Announces Plan to Protect Ohio Pensions, Keep Promises to Ohio Workers {{!}} U.S. Senator Sherrod Brown of Ohio|url=https://www.brown.senate.gov/newsroom/press/release/brown-announces-plan-to-protect-ohio-pensions-keep-promises-to-ohio-workers|access-date=2021-02-27|website=www.brown.senate.gov|language=en}}</ref> Lewis was an Ohio native and Vietnam War veteran, who was the former president of the Teamsters Local 100 union in Cincinnati.<ref name=":5">{{Cite web|date=2016-01-05|title=In memory of Butch Lewis {{!}} Pension Rights Center|url=https://www.pensionrights.org/blog/memory-butch-lewis|access-date=2021-02-27|website=www.pensionrights.org|language=en}}</ref> Lewis became an activist after the Multiemployer Pension Reform Act of 2014 threatened massive cuts to pensions plans.<ref name=":5" /> He volunteered to organize and advocate on behalf of his fellow union workers and retirees, working with public officials and the Pension Rights Center to enact counter-legislation to the 2014 benefit cuts.<ref name=":5" /> Butch Lewis died of a stroke in 2015 as a result of the stress of the pension crisis.<ref name=":4" />

== Legislative history == The Butch Lewis Act was originally introduced in 2017 in the 115th Congress as {{USBill|115|S|2147}} where it died in committee.<ref>{{Cite web|last=Brown|first=Sherrod|date=2018-01-30|title=S.2147 - 115th Congress (2017-2018): Butch Lewis Act of 2017|url=https://www.congress.gov/bill/115th-congress/senate-bill/2147|access-date=2021-03-27|website=congress.gov}}</ref> It was then introduced in 2019 in the 116th Congress as {{USBill|116|S|2254}} where it died, again, in committee.<ref>{{Cite web|last=Brown|first=Sherrod|date=2019-07-24|title=S.2254 - 116th Congress (2019-2020): Butch Lewis Act of 2019|url=https://www.congress.gov/bill/116th-congress/senate-bill/2254|access-date=2021-03-27|website=congress.gov}}</ref> Both versions of this bill would have created a new division of the United States Treasury to solely deal with the multiemployer pension crisis.<ref name=":9">{{Cite web|title=Brown Announces Plan to Protect Ohio Pensions, Keep Promises to Ohio Workers {{!}} U.S. Senator Sherrod Brown of Ohio|url=https://www.brown.senate.gov/newsroom/press/release/brown-announces-plan-to-protect-ohio-pensions-keep-promises-to-ohio-workers|access-date=2021-03-27|website=www.brown.senate.gov|language=en}}</ref> This new office, the Pension Rehabilitation Administration, would have given low interest loans funded by taxes to multiemployer pensions in order to remain solvent.<ref name=":9" />

The bill was then introduced again in 2021 during the 117th Congress in its current form. It was renamed the Butch Lewis Emergency Pension Plan Relief Act of 2021 ({{USBill|117|S|547}}).<ref>{{Cite web|last=Bauer|first=Elizabeth|title=The Covid Spend-O-Rama's Multiemployer Pension Bailouts: Some Disappointed First Impressions|url=https://www.forbes.com/sites/ebauer/2021/02/09/the-covid-spend-o-ramas-multiemployer-pension-bailouts--some-first-impressions/|access-date=2021-03-27|website=Forbes|language=en}}</ref> This version of the bill was included as a part of the American Rescue Plan, Congress' 1.9 trillion dollar economic relief package in response to the COVID-19 pandemic.<ref>{{Cite web|title=Brown Votes to Pass American Rescue Plan to Get All Americans Vaccinated and Support Workers, Communities & Small Businesses {{!}} U.S. Senator Sherrod Brown of Ohio|url=https://www.brown.senate.gov/newsroom/press/release/brown-votes-to-pass-american-rescue-plan-to-get-all-americans-vaccinated-and-support-workers-communities-and-small-businesses|access-date=2021-03-27|website=www.brown.senate.gov|language=en}}</ref> The American Rescue Plan, including the Butch Lewis Emergency Pension Plan Relief Act, passed the House on February 27, 2021, the Senate on March 6, 2021, and was signed into law by President Joe Biden on March 11, 2021.<ref>{{Cite web|last=Yarmuth|first=John A.|date=2021-03-11|title=H.R.1319 - 117th Congress (2021-2022): American Rescue Plan Act of 2021|url=https://www.congress.gov/bill/117th-congress/house-bill/1319|access-date=2021-03-27|website=congress.gov}}</ref>

== Public response ==

=== Support === Many union chapters, such as the International Brotherhood of Teamsters,<ref name=":0" /> United Steelworkers,<ref name=":3" /> and International Brotherhood of Electrical Workers<ref>{{Cite web|title=IBEW Effort Helps Move 'Butch Lewis' Closer to Passage|url=http://www.ibew.org/media-center/Articles/19Daily/1908/190809_IBEWEffort|access-date=2021-02-27|website=ibew.org}}</ref> across the nation support the Butch Lewis Act. In 2021, the U.S. Chamber of Commerce endorsed the Butch Lewis Act.<ref name=":8">{{Cite web|date=2021-03-02|title=Employers' Letter of Support for the Multiemployer Pension Relief Provisions|url=https://www.uschamber.com/letters-congress/employers-letter-of-support-the-multiemployer-pension-relief-provisions|access-date=2021-03-06|website=U.S. Chamber of Commerce|language=en}}</ref> The bill has the support of non profits like the Pension Rights Center and AARP, along with the support of public officials like Senator Sherrod Brown (D-OH), Rep. Tim Ryan (D-OH), and Rep. Marcy Kaptur (D-OH).<ref name=":6">{{Cite web|last=Eaton|first=Sabrina|date=2019-07-25|title=House of Representatives votes to shore up failing multi-employer pensions|url=https://www.cleveland.com/open/2019/07/house-of-representatives-votes-to-shore-up-failing-multi-employer-pensions.html|access-date=2021-02-27|website=The Plain Dealer|language=en}}</ref> Those in favor believe it is the government's duty to fund these pensions.<ref name=":8" /> They also remind the public that retirees are not looking for a handout with this bill, but rather the benefits that were negotiated and promised to them throughout their careers.<ref name=":3" />

=== Opposition === Organizations like Citizens Against Government Waste and the National Taxpayers Union Foundation have opposed the bill in the past.<ref name=":6" /> The bill was also opposed by public officials such as Rep. Anthony Gonzalez (R-OH), Senator Rob Portman (R-OH),<ref name=":6" /> Senator Chuck Grassley (R-IA) and Senator Lamar Alexander (R-TN).<ref name=":3" /> A common criticism of the Butch Lewis Act is that the bailout bill does not address the structural issues that are causing the pensions to fail.<ref name=":6" /> Alternative solutions provided by the opposition include increasing retirement plan premiums and taxes.<ref name=":3" />

==References== {{Reflist}}

Category:Proposed legislation of the 115th United States Congress Category:Proposed legislation of the 116th United States Congress Category:Acts of the 117th United States Congress Category:Legislative branch of the United States government Category:Sherrod Brown