Committee plans Ice Miller and agency briefings on LEHI‑1 study; IRS approvals and DRS system replacement cited as implementation risks

Chair of the Select Committee on Pension Policy’s executive committee updated members that the LEHI‑1 policy letter request (PLR) has been sent to the Ice Miller law firm and that the committee is awaiting a formal response. "There were some questions about whether PLR has been sent to Ice Miller, it has been," the chair said.

Aaron, staff to the committee, told members the committee reached out to six entities in total — "5 state agencies plus Ice Miller" — and that any of those could be invited to present. Members discussed whether to invite additional entities, notably the Washington State Investment Board (WSIB), to describe investment-implementation timing and funding-policy impacts.

Department of Retirement Systems Director Leathers cautioned that implementation of merger or restatement bills can be delayed by requirements outside the committee’s control. "The significant delay or likely significant delay of which I'm aware is the need for an IRS approval letter. And that delay could be a year, 2 years. We don't know, right? We don't, we have no way of knowing," Leathers said, and noted DRS is replacing its legacy system with a replacement scheduled to go live in September 2027.

Members agreed to hold Ice Miller’s response and the AG memo as central inputs to the October meeting and to consider a panel that could include Ice Miller and WSIB. Staff said an updated draft report, including contribution history for the LEHI‑1 account, is in members’ packets and will be updated before the next meeting. The committee did not vote on a recommendation; members placed invitations and a panel discussion on the draft October agenda for committee consideration.