The U.S. House of Representatives on Dec. 11 approved a larger bill that includes bipartisan legislation led by U.S. Reps. Frank Lucas (R-OK) and Andy Barr (R-KY) to ensure that nonprofit employees and educators have access to the same low-cost retirement investment options as their private-sector counterparts.
“For too long, retirement options have unfairly disadvantaged public servants. Teachers, firefighters, and charity workers in Oklahoma do not enjoy the same access to quality retirement plans as everyone else. That is wrong,” Rep. Lucas said. “This bipartisan bill provides the proper consistency across retirement plans and delivers a much needed solution to allow hardworking Americans’ retirement savings to thrive.”
The House voted 302-123 to pass the bipartisan Incentivizing New Ventures and Economic Strength Through Capital Formation Act of 2025, or the INVEST Act, H.R. 3383, which includes Rep. Lucas’ Retirement Fairness for Charities and Educational Institutions Act of 2025, H.R. 1013. The larger bill advanced to the U.S. Senate for consideration.
Rep. Lucas on Feb. 5 sponsored H.R. 1013 alongside three original cosponsors, including U.S. Rep. Josh Gottheimer (D-NJ), to allow 403(b) retirement plans — such as retirement plans designed for certain employees of public schools, charities, and churches — to invest in collective investment trusts, which are a group of pooled investment assets held by a bank or trust company, and in insurance company separate accounts.
For instance, H.R. 1013 would allow 403(b) plans the ability to invest in collective investment trusts or [collective investment trusts] CITs and insurance companies separate accounts, according to a bill summary provided by the lawmakers.
“It is crucial that we provide employees of nonprofits and educational institutions with the same opportunities for retirement security as those in the private sector,” said Rep. Barr. “By allowing 403(b) plan participants access to [CITs], we can enhance their investment options and promote financial stability for those who dedicate their careers to serving others.”