2017 Small Firm Compliance, DOL Fiduciary Rule - Delay of Applicability
SMALL FIRM COMPLIANCE CORNER
This is for all DOL Fiduciary Interested Parties:
There is a proposed "Delay of Applicability" of the DOL Fiduciary Rule, and it is currently at OMB: https://www.reginfo.gov/public/do/eoDetails?rrid=127213
The specific details are not yet publicly available although the press is reporting that it includes a 180 day delay. The process at this point is that the proposal needs to be released from OMB and sent back to the DOL, from the DOL it can be published. It has been reported that it has been pre-cleared, so these steps can in theory happen quickly.
While both the effective date and potentially the content of the rule may change, I would suggest the appropriate manner in which to approach rule compliance is to continue your preparation for the implementation of the rule as it currently exists. Things are very fluid in Washington, DC right now and until a rule delay is published I think the better part of valor is to protect your firm.
In the spirit of that approach, the DOL has released Fiduciary Rule FAQs. Please take a look if this rule applies to your business model. Here are the Conflicts of Interest Rulemaking FAQs https://www.dol.gov/protectyoursavings/faqs.htm and https://www.dol.gov/featured/protectyoursavings/faqs
In case you missed it, here is Part I of the Conflict of Interest FAQs, issued last October, on "Exemptions" https://www.dol.gov/sites/default/files/ebsa/about-ebsa/our-activities/resource-center/faqs/coi-rules-and-exemptions-part-1.pdf
One of these days I will be the bearer of GOOD news, or at least I like to think that's the case. Until then, feel free to contact me if I may be of assistance and have a great weekend!
All the best,
PAIGE W. PIERCE