[Federal Register Volume 76, Number 8 (Wednesday, January 12, 2011)]
[Notices]
[Pages 2142-2143]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 2011-483]
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DEPARTMENT OF LABOR
Employee Benefits Security Administration
Hearing on Definition of ``Fiduciary''
AGENCY: Employee Benefits Security Administration, Labor.
ACTION: Notice of hearing and extension of comment period.
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SUMMARY: Notice is hereby given that the Employee Benefits Security
Administration will hold a hearing to consider issues attendant to
adopting a regulation defining when a person is considered to be a
``fiduciary'' by reason of giving investment advice to an employee
benefit plan or to a plan's participants and beneficiaries.
DATES: The hearing will be held on March 1, 2011 and, if necessary,
March 2, 2011, beginning at 9 a.m., EST.
ADDRESSES: The hearing will be held at the U.S. Department of Labor,
200 Constitution Avenue, NW., Washington, DC 20210.
FOR FURTHER INFORMATION CONTACT: Fred Wong or Luisa Grillo-Chope,
Office of Regulations and Interpretations, Employee Benefits Security
Administration, U.S. Department of Labor, at (202) 693-8500. This is
not a toll-free number.
SUPPLEMENTARY INFORMATION: The Employee Benefits Security
Administration (EBSA) published in the Federal Register on October 22,
2010, (75 FR 65263), a proposed rule under the Employee Retirement
Income Security Act (ERISA) that, upon adoption, more broadly defines
the circumstances under which a person is considered a ``fiduciary'' by
reason of giving investment advice to an employee benefit plan or to a
plan's participants.\1\ The proposal amends a thirty-five year old rule
that may inappropriately limit the types of investment advice
relationships that give rise to fiduciary duties on the part of the
investment advisor. The current regulation significantly narrows the
plain language of section 3(21)(A)(ii) of the Employee Retirement
Income Security Act (ERISA) by creating a 5-part test that must be
satisfied in order for a person to be considered a fiduciary by reason
of giving investment advice. The changes set forth in the proposed
regulation are intended to more closely conform such determinations to
the statutory definition, as well as take into account the significant
changes in both
[[Page 2143]]
the financial services industry and the expectations of plan officials
and participants who receive investment advice. For a full discussion
of the changes, see the October 22, 2010 Federal Register at page
65263, et seq. or visit EBSA's Web site at http://www.dol.gov/ebsa/,
see Proposed Rules.
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\1\ The rule would also apply for purposes of the prohibited
transaction provisions contained in section 4975 of the Internal
Revenue Code.
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Since publication in the Federal Register, there has been
considerable interest expressed in the proposed rule and its impact on
various segments of the employee benefits and financial communities, as
well as individuals and organizations involved with appraisals of
employer stock and other assets. In order to ensure that all issues are
fully considered and interested persons have sufficient time to share
their views on this important regulation, EBSA has announced that it is
extending the period for submitting comments on the proposal until
February 3, 2011, two weeks after the close of the January 20, 2011
comment period provided in the proposed regulation, and it is holding a
public hearing, the subject of this notice.
The hearing will be held on March 1, 2011 and, if necessary, March
2, 2011, beginning at 9 a.m. EST, in the plaza auditorium of the U.S.
Department of Labor, Frances Perkins Building, at 200 Constitution
Avenue, NW., Washington, DC 20210.
Persons interested in presenting testimony and answering questions
at this public hearing must submit, by 3:30 p.m. EST, February 9, 2011,
a written request to testify and an outline of the issues they would
like to address at the hearing. It should be noted that, while
reasonable efforts will be made to accommodate requests to testify on
the specified issues, it may be necessary to limit the number of those
testifying in order to provide an opportunity for the presentation of
the broadest array of points of view during the period allotted for the
hearing. Any persons not afforded an opportunity to testify will still
have an opportunity to submit a written statement on the specified
issues for the record. The hearing will be open to the general public.
To facilitate the receipt and processing of requests to testify,
EBSA encourages interested persons to submit their requests and
outlines by e-mail to [email protected], subject line: Fiduciary Definition
Hearing. Persons submitting requests and outlines electronically should
not submit paper copies. Persons submitting requests and outlines on
paper should send or deliver their requests and outlines to the Office
of Regulations and Interpretations, Employee Benefits Security
Administration, Attn: Fiduciary Definition Hearing, Room N-5655, U.S.
Department of Labor, 200 Constitution Avenue, NW., Washington, DC
20210. All requests and outlines submitted will be available to the
public, without charge, online at http://www.dol.gov/ebsa and at the
Public Disclosure Room, N-1513, Employee Benefits Security
Administration, U.S. Department of Labor, 200 Constitution Avenue, NW.,
Washington, DC 20210.
EBSA will prepare an agenda indicating the order of presentation of
oral comments and testimony. In the absence of special circumstances,
each presenter will be allotted ten (10) minutes in which to complete
his or her presentation. Those individuals who make oral comments and
present testimony at the hearing should be prepared to answer questions
regarding their information and/or comments. Those requesting to
testify also should be prepared to participate as part of a panel, to
the extent possible, organized by issue.
Any individuals with disabilities who may need special
accommodations should notify the Agency when contacted concerning the
scheduling of their testimony.
Information about the agenda will be posted on http://www.dol.gov/ebsa no later than February 17, 2011. Individuals planning to attend
the hearing should provide contact information by e-mail to [email protected] and arrive at least 15 minutes prior to the start of the
hearing to expedite entrance into the building.
Notice of Public Hearing
Notice is hereby given that a public hearing will be held on March
1, 2011 and, if necessary, March 2, 2011, concerning issues related to
the proposed rule defining when a person will be considered a
``fiduciary'' by reason of giving investment advice to a plan or to the
plan's participants. The hearing will be held beginning at 9 a.m. EST
in the plaza auditorium of the U.S. Department of Labor, Frances
Perkins Building, 200 Constitution Avenue, NW., Washington, DC 20210.
Notice of Extension of Comment Period
Notice is hereby given that the period for submitting comments on
the proposed Definition of the Term ``Fiduciary,'' published in the
Federal Register on October 22, 2010 (75 FR 65263), is being extended
until February 3, 2011.
To facilitate the receipt and processing of comment letters, the
EBSA encourages interested persons to submit their comments
electronically by e-mail to [email protected], subject line: Definition of
Fiduciary Proposed Rule or by using the Federal eRulemaking portal at
http://www.regulations.gov. Persons submitting comments electronically
are encouraged not to submit paper copies. Persons interested in
submitting paper copies should send or deliver their comments to the
Office of Regulations and Interpretations, Employee Benefits Security
Administration, Attn: Definition of Fiduciary Proposed Rule, Room N-
5655, U.S. Department of Labor, 200 Constitution Avenue, NW.,
Washington, DC 20210. All comments will be available to the public,
without charge, online at http://www.regulations.gov and http://www.dol.gov/ebsa and at the Public Disclosure Room, N-1513, Employee
Benefits Security Administration, U.S. Department of Labor, 200
Constitution Avenue, NW., Washington, DC 20210. Warning: Do not include
any personally identifiable information (such as name, address, or
other contact information) or confidential business information that
you do not want publicly disclosed. All comments may be posted on the
Internet and can be retrieved by most Internet search engines. Comments
may be submitted anonymously.
Signed at Washington, DC, this 6th day of January, 2011.
Phyllis C. Borzi,
Assistant Secretary, Employee Benefits Security Administration,
Department of Labor.
[FR Doc. 2011-483 Filed 1-11-11; 8:45 am]
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