Political Quotes

“Thank you, Chairman. Again, thank you, Ranking Member Cummings. Mr. Speaker, we are the board of directors for the Government of the United States. Our committee oversees the equivalent of an IRA or a 401(k) in the private sector, known as the TSP. It sounds like a lot of initials, perhaps, to people who are hearing this, or it is even, in some cases, confusing to the Federal workforce, but it is really quite simple. We have through oversight discovered with the Thrift Investment Board that, in fact, we have done a disservice to the Federal workers by putting them into an absolutely, positively safe investment that does not keep up with inflation. Effectively, the dollars they contribute, and matching dollars from the government as an employer, are shrinking every year in constant dollars. Their investments are, in fact, smaller if they stay in that fund. Now, near the end of people's careers--in those last couple of years--they may want to lock in with absolute certainty the size of their retirement funds to use in some way after they leave government, but in the first days, it is clear that, in the long run, the only way for an investment to grow greater than inflation is to make the kinds of investments that are possible in the other offerings under TSP, which, again, is the equivalent of a 401(k) in the private sector. This recognition was well thought out by the Board, was well researched, and brought to our committee.…”