On March 19, 2021, the Colorado PERA Board of Trustees authorized staff to enter into contract negotiations with Empower to be the recordkeeper for PERA’s defined contribution plans. PERA issued an RFP for the recordkeeper in December 2020, to ensure its members receive excellent value and service for their defined contribution investments.
Empower was selected by the Board for its customer service, experience with large public plans like PERA, mobile-friendly technology tools, and modern approach to communicating with members. Empower will replace Voya, who has been the recordkeeper for PERA’s defined contribution plans since 2011. “PERA provides retirement security for more than 600,000 members, and we are proud to offer excellent defined contribution plan options to help them achieve their financial goals,” said PERA Executive Director, Ron Baker. “We strive to ensure we’re offering the best investment options, financial education, and customer service to our members, and look forward to partnering with Empower to improve the experience and outcomes for our members.” The terms and timing of the contract have not yet been finalized. Member investments remain secure during the transition to the new recordkeeper. PERA will provide additional information as it is available.
What this means for PERA employers:
- No immediate changes.
- In the future, all accounts with Voya will be transferred over to Empower. After that happens, participants will be able to access their accounts through Empower.
- When the transfer to Empower occurs, employers will no longer need to send their 401(k) and 457 files to the recordkeeper, they will be able to submit these files and contributions directly to PERA through the Employer Secure Transfer and Reporting System (STARS) portal.
Some of the advantages Empower provides include:
- Significant experience with large public plans like PERA.
- Expanded call center hours.
- Enhanced digital and mobile tools.
- Simplified account access.