While much of the attention by regulators has been focused on the coronavirus (COVID-19) response and CARES Act/FFCRA guidance, they have not forgotten about the SECURE Act’s introduction of pooled employer plans (PEPs) (centrally administered defined contribution plans that can be joined by multiple unrelated employers).
On May 1, a US Department of Labor (DOL) request for information (RFI) quietly appeared on the Office of Management and Budget’s (OMB) website. Ordinarily, this means that OMB will review the request within 90 days and then, once OMB’s review is completed and assuming no issues with the request, the DOL will proceed to publish the RFI in the Federal Register.
For aspiring pooled plan providers and industry groups representing financial services companies or potential adopting employers, this RFI may provide a valuable opportunity to help shape future DOL guidance on fiduciary and potential prohibited transaction issues confronting PEPs.
Those interested in PEPs can now add this RFI to the relatively long list of anticipated guidance on PEPs–including, most pressingly, anticipated guidance on the registration process for pooled plan providers. Stay tuned for additional publications and information that will be available on our resource page SECURE Act: Updates and Developments.
If you are considering submitting information in response to this request for information or have any questions about PEPs or multiple employer plans generally, please feel free to contact the authors or your Morgan Lewis contacts.