Delayed Connecticut Retirement Security Authority (CRSA) Says it Hopes to Launch Delayed Program Before Year End

The Connecticut Retirement Security Authority (CRSA) has selected Sumday, a subsidiary of BNY Mellon, to act as the program’s administrator.

The CRSA is responsible for implementing a program to provide private-sector employees with retirement savings accounts if they currently lack access to one through their employer. Private sector employers, whether for-profit or not-for-profit, with five or more employees, that do not provide a workplace-based retirement plan will need to offer automatic or elective payroll reduction contributions from their employees’ regular payroll and remit the funds to the program.

Comptroller Kevin Lembo was recently named the chair of the Authority by Governor Ned Lamont after the CRSA ran out of funds and needed to lay off its executive director.

Although the plan was intended to be run without taxpayer money, Governor Lamont has provided funds to the Office of the State Comptroller to hire personnel to run the program. Approved by the legislature in 2016 with an anticipated 2018 launch date, the program has experienced several issues with staffing, funding, and legal problems.

The CRSA says it anticipates the program will launch before the end of the year.