ASPPA to Borzi: Provide a Window for all Annual Disclosures
In an Oct. 15 letter
to Department of Labor Assistant Secretary of Labor for the Employee Benefits Security Administration Phyllis Borzi, ASPPA has urged the DOL to issue regulations that provide a longer period for all disclosures.
ASPPA expressed support for the provision in Field Assistance Bulletin (FAB) 2013-02
, in which EBSA said it was considering providing a 30- or 45-day window regarding the due date for disclosing subsequent annual comparative charts. And ASPPA and the other signatories to the letter went one better, encouraging the DOL to provide a window of at least 45 days for all disclosures.
The reasons why ASPPA encourages such a window include:
- Plan administrators want to ensure that the disclosures are made near the annual deadline, but not so close to the deadline that they risk missing it.
- It is helpful for employers to have a flexible deadline in case they need to change the dates of their annual enrollment periods or other annual plan-related mailings.
- An annual disclosure window would provide the flexibility to provide the annual disclosures to participants without concern that they may miss the deadline.
ASPPA said that it believes a window of at least 45 days will provide plan sponsors with maximum flexibility in providing the required notices.
ASPPA also urged that the DOL issue regulations, either in interim final or direct final form, as soon as possible so such a window can be implemented immediately.
The American Benefits Council, American Council of Life Insurers, Financial Services Roundtable, Insured Retirement Institute, Investment Company Institute, Small Business Council of America, ERISA Industry Committee, SPARK Institute and U.S. Chamber of Commerce joined ASPPA in the letter.