| Test Your Human Resources Knowledge | ||
|
| Labor Law Journal Submissions | ||
|
| Labor Arbitrators' Awards and Biographies | ||
5500 Preparer's Manual for 2012 Plan Years
The premier resource in the field of Form 5500 preparation, 5500 Preparer's Manual will help you handle the required annual Form 5500 filings for both pension benefits and welfare benefit plans.
The Labor Department has unveiled its "Preliminary Plan for Retrospective Analysis of Existing Rules," which intends to identify rules that warrant repeal, modification, strengthening, or modernization. The plan was published in response to an Executive Order issued by the President on January 18, 2011 on improving regulations and regulatory review (see CCH Pension Plan Guide Newsletter, Report No. 1873, January 31, 2011). As part of this plan, the Employee Benefits Security Administration (EBSA) has identified two regulations currently under consideration for retrospective analysis: abandoned plan regulations and prohibited transaction exemption procedures.
On March 21, 2011, the DOL published a Request for Information (RFI) in the Federal Register seeking public input to inform development of its Preliminary Plan and providing an opportunity for the public to identify potential regulations to be reviewed. On April 1, 2011, the Department extended the comment period for the RFI to allow additional time for public comment.
Public input was primarily aimed at identifying Department regulations, guidance, or interpretations that should be considered for review, expansion or modification. Among the popular topics involving EBSA were electronic disclosure of materials required by ERISA and revising/streamlining notice requirements. Many of the industry commenters suggested that EBSA consider revising its current electronic disclosure standards to facilitate electronic disclosure as a primary mode of communication with plan participants and beneficiaries. Commenters also expressed an interest in having ERISA statutory and regulatory notice requirements streamlined to allow for more consolidated dissemination of various required notices.
Rules currently under consideration for retrospective analysis
Among the regulations currently under consideration for retrospective analysis are EBSA regulations dealing with abandoned plans and prohibited transaction rules.
Amendment of abandoned plan program. EBSA regulations in 2006 facilitate the termination and winding up of 401(k)-type retirement plans that have been abandoned by their plan sponsors. The regulation establishes a streamlined program under which plans are terminated with very limited involvement of EBSA enforcement offices. EBSA plans to propose revisions to reflect recent changes in the U.S. Bankruptcy Code that would expand the program to include plans of businesses in liquidation proceedings. The DOL believes that this expansion has the potential to substantially reduce burdens on these plans and bankruptcy trustees. Expanding the program to cover plans in liquidation would allow the responsible bankruptcy trustees to use the streamlined termination process to better discharge its obligations under the law, according to the DOL.
PT exemption procedures. EBSA has issued proposed regulations governing the filing and processing of applications for administrative exemptions from the prohibited transaction provisions of ERISA. The proposed regulations will update the procedures to reflect changes in the Department's exemption practices since the current procedure was implemented in 1990.
Source: The Labor Department's "Preliminary Plan for Retrospective Analysis of Existing Rules" is posted at http://www.whitehouse.gov/regulatoryreform.
For more information, visit http://www.wolterskluwerlb.com/rbcs.
For more information on this and related topics, consult the CCH Pension Plan Guide, CCH Employee Benefits Management, and Spencer's Benefits Reports.
Visit our News Library to read more news stories.
©2005-2024 CCH Incorporated or its affiliates
