WASHINGTON _ Any member of Congress who has served at least five years is eligible for a pension, but a proposal to allow lawmakers to opt out of their congressional pension while keeping other benefits made it through committee Wednesday.
The Senate Committee on Homeland Security and Governmental Affairs cleared the bill by voice vote for floor consideration, but it's not clear it will get there. Heading into the committee markup, the bill _ sponsored by Indiana Republican Mike Braun _ didn't have any co-sponsors.
"That is probably not going to get a ton of support," Braun admitted to CQ Roll Call.
But he said the existing pensions system is rewarding lawmakers, "but not necessarily generating great results."
Braun's bill, dubbed the End Plush Retirements Act, would allow members of both the House and Senate to decline their pensions without having to give up their health care benefits or access to saving through the Thrift Savings Plan.
"Currently, the way it's written, you cannot get health care or participate in a 401(k) plan If you opt out of the pension," Braun said. "It's kind of like an all or nothing."
He hopes that creating flexibility for lawmakers to keep their retirement savings plan and healthcare benefits, while giving them the option to opt-out of the pension, will be seen as a reasonable option.
Braun would like to see the congressional pension eliminated completely, but this proposal attempts to strike a balance.
Earlier this year he teamed up with Florida Republican Rick Scott to introduce a bill to end congressional pensions for future lawmakers.
The proposal drew attention because the co-sponsors are wealthy, even by Senate standards. Scott reported his net worth at $232 million at the end of 2017. Combined with the estimated holdings of his wife, Anne, he could be worth more than $500 million. Braun is also a multimillionaire.
Pensions are the relic of a bygone era for many American workers, but former members of Congress are still eligible for them. The value of the pension varies depending on the years of service and the average of the highest three years of salary. That means lawmakers with long tenures in leadership will keep the pay bump those positions earn. A member's pension cannot exceed 80% of their final salary.
Former lawmakers are eligible for a pension at 62 if they served at least five years, 50 if they served 20 years, or any age if they served more than 25 years. There were 611 retired members of Congress receiving federal pensions based in part or fully on their congressional service at the start of fiscal year 2017.
Braun doesn't have any illusions about the hard road ahead for his pensions proposal. When asked what he expects now that the bill has cleared the committee stage, he didn't make any promises.
"That gets into the discussion of what's going to actually make it through in a politically charged environment like this," he told CQ Roll Call. "I don't think there's going to be a lot making it through."
