S 2403
Retire through Ownership Act
Summary
Retire through Ownership Act This bill allows the fiduciary of an Employee Stock Ownership Plan (ESOP) to rely on a valuation provided by an independent valuation expert or business appraiser in determining the fair market value of the plan's securities if the securities are not traded on a national securities exchange (i.e., not publicly traded) and the expert or appraiser follows specified methodologies. In general, ESOPs are defined contribution pension plans where employees accrue shares of their employers' stock in individual accounts as part of their compensation. After separating from employment or retiring, employees receive the cash value of their shares. Under the bill, an independent expert or appraiser must adhere to the methodology established under the Internal Revenue Service Ruling 59-60, which prescribes the factors a professional business appraiser should consider in forming a valuation of the stock for a closely held business.
Bill status
- Status
- Became law
- Sponsor
- Sen. Roger Marshall [R-KS]
- Cosponsors
- 1
- Policy area
- Labor and Employment
- Introduced
- 2025-07-23
- Latest action
- 2026-10-15: Became Public Law No: 119-124.
Committee referrals
Recent actions
- 2026-09-16: Motion to reconsider laid on the table Agreed to without objection.
- 2026-09-16: On motion to suspend the rules and pass the bill Agreed to by the Yeas and Nays: (2/3 required): 401 - 14 (Roll no. 314). (text: CR H5905)
- 2026-09-16: Passed/agreed to in House: On motion to suspend the rules and pass the bill Agreed to by the Yeas and Nays: (2/3 required): 401 - 14 (Roll no. 314).
- 2026-09-16: Considered as unfinished business. (consideration: CR H5960)
- 2026-09-16: At the conclusion of debate, the Yeas and Nays were demanded and ordered. Pursuant to the provisions of clause 8, rule XX, the Chair announced that further proceedings on the motion would be postponed.