[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 <a href="/cdn-cgi/l/email-protection#96f3bbd9c4dfd6f2f9fab8f1f9e0"><span class="__cf_email__" data-cfemail="b9dc94f6ebf0f9ddd6d597ded6cf">[email protected]</span></a>, 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 <a href="/cdn-cgi/l/email-protection#0c6921435e454c686360226b637a"><span class="__cf_email__" data-cfemail="cbaee68499828bafa4a7e5aca4bd">[email protected]</span></a> 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 <a href="/cdn-cgi/l/email-protection#8de8a0c2dfc4cde9e2e1a3eae2fb"><span class="__cf_email__" data-cfemail="46236b09140f0622292a68212930">[email protected]</span></a>, 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]
BILLING CODE 4510-29-P


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