Bill Cassidy - Ranking Member of the Senate HELP Committee | Official U.S. Senate headshot
Bill Cassidy - Ranking Member of the Senate HELP Committee | Official U.S. Senate headshot
U.S. Senators Bill Cassidy, M.D. (R-LA), ranking member of the Senate Health, Education, Labor, and Pensions (HELP) Committee, Ted Budd (R-NC), Joe Manchin (D-WV), and Roger Marshall, M.D. (R-KS) introduced a Congressional Review Act (CRA) resolution on May 15th to overturn the Biden administration's new rule that expands the Department of Labor’s (DOL) regulatory power over financial advisors. The policy is said to increase the cost of compliance for financial advisors and restrict access to retirement investment savings for many low-income Americans. U.S. Representative Rick Allen (R-GA) introduced the companion resolution in the U.S. House of Representatives.
The DOL’s new fiduciary rule redefines who qualifies as an “investment advice fiduciary” under the Employee Retirement Income Security Act of 1974 (ERISA). It threatens to affect a wide range of financial tools offered by many large financial planning and wealth management firms including basic financial education and investment planning courses, life insurance, annuity plans, and other financial instruments.
“The Biden administration is imposing burdensome regulations that restrict investing opportunities, especially for lower-and middle-income Americans,” said Dr. Cassidy. “This CRA stops the Biden administration from making it harder for Americans to invest in their future.”
Senator Budd added: “The Biden administration’s latest executive overreach would make it harder for working families to invest and prepare for their financial future... That’s why I am proud to lead the Senate’s bipartisan CRA to overturn this dangerous new regulation."
Senator Manchin expressed concern over federal overreach: “Hardworking West Virginians and Americans need protection, not uncertainty when it comes to their long-term financial security."
“Saving for retirement is crucial for American families," stated Representative Allen. "By muddying the waters with burdensome overregulation, the Biden DOL’s finalized fiduciary rule does more harm than good to the very people it is claiming to protect – retirees and savers."
The lawmakers are joined by a host of U.S. Senators in their efforts. Last year, Cassidy rebuked the proposed regulation and urged DOL to cease any further action to amend the definition of an investment advice fiduciary.
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