Rep. Kelly Responds to Obama Administration’s Final Fiduciary Rule
Previously introduced bill to protect Americans’ retirement options from rule’s unfair consequences
WASHINGTON — U.S. Representative Mike Kelly (R-PA) – a member of the House Ways and Means Subcommittee on Social Security – issued the following statement today in response to the final release of the Department of Labor’s (DOL) long-anticipated rule on fiduciary standards. Rep. Kelly is the Republican chairman of the House Retirement Security Caucus.
“Washington bureaucrats seem to think they know what’s best for American families when it comes to planning for retirement. This administration’s misguided attempt to regulate Main Street financial advisers will backfire, leaving more hardworking families without access to quality, affordable retirement advice. With increased compliance costs and regulations, these smaller advisers will be unable to provide workers and seniors with a full range of options to help save for a secure retirement. As I have done in the past, I look forward to working with my colleagues to avert unnecessary hardship for Americans caused by this unfair rule.”
BACKGROUND: As founder and co-chairman of the House Retirement Security Caucus, Rep. Kelly has long warned of the negative consequences of the DOL’s fiduciary rule.
On October 6, 2015, Rep. Kelly co-authored a joint letter with Ways and Means Social Security Subcommittee Chairman Sam Johnson (R-TX) to DOL Secretary Thomas Perez to express concerns that the fiduciary rule would “severely disrupt the availability of affordable financial education and investment advice while also restricting product choice and retirement security for many American families” and to urge the secretary to implement “substantial changes” to fix the rule’s shortcomings. The letter was co-signed by 103 members of the U.S. House of Representatives.
On November 4, 2015, Rep. Kelly introduced H.R. 3922, the Retirement Choice Protection Act of 2015, with Chairman Johnson. The legislation will provide a workable “best interest” standard to DOL’s rule.
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