House Passes Bill for Nonprofit Pension Plan

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BOSTON — State Rep. Gailanne M. Cariddi has announced legislation passed last week in the House of Representatives that would allow the state treasurer's office to offer a tax-deferred retirement savings plan to employees of nonprofit organizations. 

The House passed the bill 145-7.

"Many nonprofits work hard to provide health care and human services, and many other valuable services, but don't have the resources to offer a retirement plan for their hard-working staff, who likely not make significant pay," said the North Adams Democrat. "This is will be rewarding for nonprofit employees, as it should be, and it will likely mean greater worker retention in those areas. I'm hoping the Senate will favor the bill as well."

Some 14 percent of workers, nearly a half-million, are employed by nonprofits in the state.

The retirement savings plan that the Treasury is aspiring to create would be similar to a 401(k) or a 403(b). The plan that will be established for NPOs will deduct pre-tax dollars from an employee's paycheck and invest them in a tax deferred market portfolio. The treasurer's office would administer the participant-funded plan at no cost to taxpayers.


House Speaker Robert A. DeLeo said, "these NPOs provide critical services for a wide-ranging demographic. The passage of this bill sends the message that our government cares about these groups and the people they help."

Pending final passage of this bill, the Treasury plans to work with the Internal Revenue Service to establish a retirement savings program that would be made available to all of the non-profit organizations in the state.

The bill, H. 3754, is now on its way to the Senate and then Gov. Deval Patrick for further approval. 

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Creative Pause: Venerable WTF Taking Time to Innovate, Strategize

By John TownesSpecial to iBerkshires
The pace and pressures of change have intensified in all sectors of society. The creative economy is no exception.
 
Non-profit arts organizations have always had to adapt to changing times. Some of these issues are common and perennial, including the need to raise funds, attract audiences, and remain relevant and sustainable.
 
In addition, while the COVID-19 pandemic was several years ago, it has taken time
to recover from the universal shutdowns of 2020 and their aftermath.
 
These issues were highlighted in the Berkshires recently with the announcement that two prominent cultural institutions in Northern Berkshire County — the Williams Theatre Festival and the FreshGrass music festival at Massachusetts Museum of Contemporary Art were cancelling their 2026 summer seasons.
 
Both organizations, which are separate, will use the time to regroup, with plans to return in 2027.
 
While the announcements raised concerns about the impacts on the cultural tourism economy this summer, the overall slate of cultural attractions and activities in the Berkshires appear to be on track. The cultural sector is not monolithic, and other individual organizations are either proceeding as normal or expanding their offerings.
 
The season cancellation at WTF was because of a combination of factors, said Raphael Picciarelli, WTF's managing director for strategy and transformation. He shares administrative oversight responsibilities with Kit Ingui, managing director of operations and advancement.
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