“Para enmendar el inciso (l) del Artículo 1.7 y el inciso (c) del Artículo 3.3 de la Ley 106-2017, según enmendada, conocida como “Ley para Garantizar el Pago a Nuestros Pensionados y Establecer un Nuevo Plan de Aportaciones Definidas para los Servidores Públicos”; y añadir un inciso (8) al Artículo 4 de la Ley 9-2013, según enmendada, conocida como “Ley de la Asociación de Empleados del Estado Libre Asociado de Puerto Rico de 2013”, a los fines de incluir a la Asociación de Empleados del Estado Libre Asociado entre las Entidades Administradoras del Nuevo Plan de Aportaciones Definidas; como alternativa a los empleados activos bajo Reforma 2000 y el Plan 106 que opten transferir voluntariamente su plan de aportaciones definidas a dicha Asociación; establecer una nueva categoría de socios de la Asociación señalada, para incluir a los exempleados públicos del Sistema 2000, Plan 106 y otros; y para otros fines relacionados.”

2025-2028 Session

Bill allows Puerto Rico's State Employees Association to manage a new pension plan option for eligible public employees and former workers, though the legislative commission recommended against approval.

Comisión no recomienda aprobación de la medida

Legislative bill overview

Bill PS 283 would amend Puerto Rico's pension reform laws to allow the State Employees Association (ASEPRP) to administer a new defined-contribution pension plan as an alternative option for eligible public employees. It would also create a new membership category for former public employees from the 2000 System and Plan 106 who wish to transfer their pension accounts to the association.

Why is this important

Puerto Rico's public pension system has faced severe fiscal crisis, leading to the 2017 reform (Law 106) that restructured contributions and created new defined-contribution plans. This bill addresses implementation by expanding who can manage these plans and potentially increasing options for employees managing their retirement savings, though it comes as the commission has already recommended against approval.

Potential points of contention

Administrative capacity concerns: The commission's rejection suggests doubts about whether ASEPRP has the institutional capacity, regulatory oversight, or fiduciary expertise to safely manage pension funds compared to established professional administrators

Pension system fragmentation: Adding another administrator to an already-complex multi-plan system could create administrative inefficiencies, inconsistent investment strategies, and coordination challenges across pension accounts

Accountability and protection gaps: Member-led or association-managed plans may lack the same regulatory safeguards, audit requirements, and consumer protections as professional pension administrators, risking employee retirement security