115 Gold Avenue SW, Suite 201

Albuquerque NM 87102

http://www.abqchamber.com

Phone: (505) 764-3700

Fax: 764-3714

July 10, 2015

The Honorable Thomas E. Perez

Secretary of Labor

Department of Labor

200 Constitution Ave. NW

Washington, D.C. 20210

Dear Secretary Perez:

On behalf of the Greater Albuquerque Chamber of Commerce and our 2,100 members, I am writing 

today because of our concern with the Department of Labor’s (DOL) recent proposal to change the 

definition of fiduciary investment advice under the Employee Retirement Income Security Act of 1974 

(ERISA), and to encourage the DOL to make the changes necessary to both protect American savers and 

their ability to have choice and access to the financial products and services they want and need. We 

believe there is a balanced approach where a rule can protect investors as well as continue to provide 

them access and choice in their retirement products and financial services providers. 

As with the DOL’s original proposal in 2010, this rule would greatly expand the types of interactions with 

retirement savers that would be treated as investment advice. Given the extremely broad definition of 

investment advice and the potential impact the rule could have on financial advisers operating under 

certain compensation models, DOL proposed a new type of “principles-based” prohibited transaction 

exemption that grants relief to a financial services provider that agrees to act in the best interest of its 

customer. 

Unfortunately, the proposal’s new exemption does not apply to small businesses with participantdirected plans. Essentially, this means that small plan sponsors cannot look either to advisers or recordkeepers for assistance in structuring fund line-ups. We are concerned that the current proposed rule 

will limit our small business members from receiving the help they need to establish and maintain a 

retirement plan. Without the ability to offer employees a competitive retirement savings package, small 

businesses will face an uphill battle against larger employers in attracting qualified employees. 

In addition, we are concerned that the rule will ultimately limit individual investors’ ability to seek access 

to affordable financial planning services and resources-even if those services and resources are in the 

saver’s best interest. Consequently, we request that, prior to the publication of a final rule, the DOL 

work with representatives of the business and financial services communities to produce a workable 

rule that protects savers yet does not prevent our local businesses from continuing with their longestablished service models that help our citizens to plan and save for retirement. 

We appreciate the challenge of finding balance between protecting consumers from unscrupulous 

actors and making sure they receive the necessary assistance in making important investment choices. 

The current DOL proposal, however, does not strike that balance and would do significant harm to
115 Gold Avenue SW, Suite 201

Albuquerque NM 87102

http://www.abqchamber.com

Phone: (505) 764-3700

Fax: 764-3714

individuals saving for retirement-particularly lower and middle income individuals who will find that 

they can no longer afford the investment help they have come to rely on. 

We thank you for your consideration of our concerns and look forward to working with you on this very 

important issue. If you have any questions regarding this letter, please see contact information below.

Sincerely, 

Elizabeth Shipley

Chairman of the Board

Greater Albuquerque Chamber of Commerce

Terri L. Cole

President and CEO 

Greater Albuquerque Chamber of Commerce

Sherman McCorkle 

Vice Chair, Business Advocacy

Greater Albuquerque Chamber of Commerce

CC: 

NM Senator Tom Udall

NM Senator Martin Heinrich

NM Representative Steve Pearce

NM Representative Ben Ray Lujan

NM Representative Michelle Lujan Grisham