August 17,2006

Grassley Praises President’s Signing of Pension Reforms, Savings Incentives, Charitable Package


To: Reporters and Editors
Re: Signing of the Pension Protection Act of 2006
Da: Thursday, Aug. 17, 2006

Sen. Chuck Grassley, chairman of the Committee on Finance, with jurisdiction over taxes,
played a large role in drafting the Pension Protection Act of 2006, working closely with Sen. Mike
Enzi, chairman of the Health, Education, Labor and Pensions Committee. President Bush is signing
the bill into law today. Grassley made the following comment on the legislation. This comment is
available by phone or online. Please see below for instructions. Details of specific provisions

“This is one of the most important pieces of legislation to pass Congress this year. It’s the
first major overhaul of pension guarantee legislation that passed the Congress in 1974. We found
that the system is broken. This bill will fix it. It’s going to help guarantee that Enron-type scandals,
where you lose your entire retirement savings, don’t happen to employees again. It will guarantee
that corporations pay up and make sure their pensions are well-funded. It’s going to do away with
the game-playing by which corporations state that their pensions are in better shape than they really
are. It’s going to make sure that United Airlines-type situations, where the pension gets dumped on
the government and dramatically cut, doesn’t happen again. Basically it’s going to say to the
workers of America, what you’ve been promised for retirement will be delivered. And it’s going to
make sure that corporations deliver on what they’ve promised to their workers.

“It also has some other things in it that are very beneficial and go beyond pensions, also
related to retirement, like guaranteeing that people will be able to put more money in 401(k) plans
and IRAs. It reforms key laws governing non-profit organizations to make sure that money that’s
deducted for charitable purpose goes to charitable purpose and isn’t used as a gimmick to avoid the
payment of taxes. It’s also going to encourage savings for college. It makes permanent the tax
treatment of 529 plans that otherwise was going to end in 2010. People will be able to save well into
the future for their kids’ college.”

To access audio of this comment:

PHONE - Call 1-800-545-1267. Dial 3-1-1 when prompted for Senator Grassley's mailbox. Then
press 1 to access the first comment. # - skip to the next audio segment 6 - advance audio 10 seconds
4 - back-up audio 10 seconds 3- advance audio 1 minute 1- back-up audio 1 minute.

ONLINE - Go to Click on news and then select radio actualities.
Following are statements on: the charitable package in the bill, tax breaks for taxidermy, college
savings tax breaks, and generous new savings incentives.

See the printer-friendly version of this release for statements on: the charitable package in the bill, tax breaks for taxidermy, college
savings tax breaks, and generous new savings incentives.