Today, the United States Senate approved House Resolution 66 by Rep. Tim Walberg of Michigan that overturns a disastrous rule from the Department of Labor during the Obama Administration. Congress listened to the people, unpleased by the previous Administration’s rule by fiat. With the understanding that President Donald Trump will sign the bill, this is likely to nullify California’s Secure Choice program passed last year in the state legislature over my objections.
As I have said repeatedly, the Secure Choice Act is a noble effort, but it is neither “secure” nor a “choice.” Requiring employers to withhold contributions from their workers’ paychecks and send the funds to Sacramento to be invested on their behalf is highly inadvisable. In money management, there is rarely a scheme that has minimal costs and limited risk. The lack of proper oversight for the Secure Choice program, as well as considering the massive costs potentially passed along to taxpayers, is concerning.
The last thing that California – a state with the highest unrestricted net deficit in the nation – needs to take on is another government program. I'm glad that the United States Senate has seen the folly in straying from the core businesses that a state should be providing. Their vote should be applauded and their wisdom should be adhered.