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SB 3086

AN ACT RELATING TO PUBLIC FINANCE -- RHODE ISLAND SECURE CHOICE RETIREMENT SAVINGS PROGRAM ACT

2026 Regular Session Introduced by Alana DiMario and 2 co-sponsors

Rhode Island expands automatic enrollment and phased employer participation for RISavers, a state-backed retirement program, with oversight, education, and managed investment optio

06/23/2026 Signed by Governor
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WeVote Research Nonpartisan
Bill Summary · SB 3086

Overview

SB 3086 (Rhode Island Secure Choice Retirement Savings Program Act) is a 2026 bill that makes technical amendments to the Rhode Island Secure Choice Retirement Savings Program Act. The changes are framed as adjustments to administration, governance, and inter-state/partnership considerations to support continued operation and compliance. The act takes effect upon passage.

Main purpose and intent

  • Ensure continued, smooth administration of the RISavers program and related retirement savings framework.
  • Update definitions, investment governance, and participation timelines to align with current operations and cross-state considerations.
  • Preserve the program as an instrumentality of the state, with clear provisions for investment oversight and participant education.

Key provisions and changes

  1. Definitions (35-23-2) – Clarifications and refinements:

    • Eligible Employee: 18+ years old, employed by an eligible or optional employer for at least 120 days; excludes certain workers (e.g., Railway Labor Act-covered employees, employees for Taft-Hartley pension funds).
    • Eligible/Optional Employers: Definitions specify size thresholds and program eligibility, excluding those already offering a tax-qualified retirement program.
    • Optional/Participating Employers, Payroll Deposit, RISavers program, and State Investment Commission definitions updated to align with administration needs.

  2. Investments and Administration (35-23-4):

    • Authorization for the General Treasurer to select one or more third-party administrators to provide investments, administration, and outreach.
    • Criteria for selecting providers include financial stability, cost, experience, education/advising capabilities, and disclosure of violations.
    • Program must provide participant education, counseling, and objective plan advice.
    • Investment options limited to a curated set reflecting different risk profiles; options may emphasize governance, environmental/resource efficiency, and social impact considerations.
    • Investment options approved by the State Investment Commission at least every three years.
    • RISavers program remains an instrumentality of the state; investment earnings on RISavers contributions are state income tax deferred until withdrawal.
    • A written investment policy and risk management/oversight program must be adopted by the third-party administrator(s) and reviewed publicly at least every three years.

  3. Employer Participation and Enrollment (35-23-9):

    • After enrollment opens, eligible employers must offer a payroll deposit retirement savings arrangement.
    • Timelines for employer participation based on employer size:
      • Within 12 months: employers with >100 eligible employees not already offering a plan.
      • Within 24 months: employers with >50 eligible employees not offering a plan.
      • Within 36 months: all other eligible employers not offering a plan.
    • Timeframe extensions may be granted by the Treasurer.
    • Automatic enrollment for eligible employees is the default; employees may opt out, with open enrollment periods designated annually.
    • Opt-out mechanics: employees can opt out via notation; employees who had opted out can re-enroll during annual open enrollment or at any time if enrolling via the employer’s payroll arrangement.
    • Exemption from RISavers participation for employers with their own qualified retirement plans (e.g., 401(k), 403(b), etc.) that meet favorable IRS tax treatment.
    • Employers always retain the option to offer their own tax-qualified retirement plan.

  4. Default Contributions:

    • Regulations may set a default contribution rate for participants who do not specify a rate; employees retain the ability to change their rate with 30 days’ notice.

  5. Severability (35-23-19):

    • Provisions are severable; unconstitutional or preempted provisions do not affect the remaining sections.

Who/what is affected

  • Eligible employees working for eligible or optional Rhode Island employers (subject to thresholds) will participate in RISavers if not opting out.
  • Eligible and optional employers, including those with more than 100, 50, or smaller employee bases, must establish payroll deduction arrangements within the specified timelines or extendable by the Treasurer.
  • Third-party administrators and the State Investment Commission play a central role in investment management, education, and oversight.
  • Participants (employees) receive education, counseling, and investment advice; investments are subject to policy oversight and periodic review.

Procedural and timeline aspects

  • Enrollment opens under the Treasurer’s administration; employers have staged timelines to implement payroll deduction arrangements:
    • >100 employees: 12 months
    • >50 employees: 24 months
    • All others: 36 months
  • Annual open enrollment periods required for eligible non-participants and optional employers’ employees to enroll or re-enroll if previously opted out.
  • Default contribution rate may be set by regulation; employees can adjust with 30 days’ notice.
  • Investments and investment policy reviewed publicly every three years.
  • The act takes effect upon passage.

Impact considerations

  • Clarifies eligibility and exemptions to align with existing retirement program landscapes.
  • Establishes a streamlined, state-controlled governance framework for RISavers investments and administrative services.
  • Emphasizes participant education and objective guidance to aid retirement planning.
  • Maintains flexibility for employers to offer their own qualified plans while expanding automatic enrollment for broader participation.

Note: This summary reflects the provisions as introduced and amended in SB 3086 (2026) and focuses on substantive changes and their probable effects on participants and employers.

Compiled from official sources — confirm details with the bill’s official record.

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