PLANSPONSOR - January - February 2024 - 12
EBSA's Budget Lags Behind Expenses
UPFRONT
the House Committee on Education and
the Workforce, who, along with fellow
committee
member
Representative
Frederica S. Wilson, D-Florida, requested
the report.
For example, the costs supported by
EBSA's working capital fund, which is built
from fees the agency collects, increased by
over $8.8 million between 2015 and 2017.
This required a reduction in full-time
employees. Specifically, EBSA officials
noted, the agency lost over 180 " full-time
equivalents " in 2021; peak staffing was
roughly 980 full-timers in 2013.
As of September 2022, EBSA
oversaw roughly 747,000 employer-sponsored
retirement plans and about 2.5
million group health plans. The retirement
plans held, EBSA reports, an estimated
$12 trillion in assets as of fiscal
year 2022.
According to the EBSA officials,
the agency increasingly relies on supplemental
funding because its expenses
have continued to increase while the
base budget has not.
This reality poses a challenge as
the agency has received new responsibilities
under laws including the Patient
Protection and Affordable Care Act, the
Families First Coronavirus Response Act,
the Coronavirus Aid, Relief and Economic
Security Act and the No Surprises Act of
2021, plus SECURE 2.0, among others.
Further, EBSA has identified areas
WHILE the Department of Labor
Employee Benefits Security Administration's
budget has largely been unchanged
over the past 10 years, the agency's responsibilities
have grown, especially with
passage of the SECURE [Setting Every
Community Up for Retirement Enhancement]
2.0 Act of 2022, says a fall 2023
report from the Government Accountability
Office.
The GAO studied EBSA's resources
and planning with respect to its duties in
12 PLANSPONSOR.COM January - February 2024
overseeing health and retirement benefits.
Despite issues with funding and declining
resources, the office found that EBSA
has taken several steps to manage what
resources it has available, such as focusing
on enforcement cases with high monetary
recoveries and moving trainings online.
Because EBSA's budget stayed flat
and 2021,
between 2013
the department
experienced a substantial decline
in staffing, stated Representative Bobby
Scott, D-Virginia, the top Democrat on
Art by Joe Anderson
in which it would like to expand, such as
dedicating a full division to its missing
participants program and modernizing its
efforts to respond to " hard-to-value " assets
such as alternative investments and private
equity. Officials also said they would like to
increase, and be more proactive in, EBSA's
enforcement of multiple employer welfare
arrangements-aka MEWAs-which have
been a chronic problem for the agency, the
GAO wrote.
In soliciting opinions about EBSA's
duties and enforcement priorities,
the
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PLANSPONSOR - January - February 2024
Table of Contents for the Digital Edition of PLANSPONSOR - January - February 2024
INSIGHTS
PARTICIPANT ANALYSIS
RULES & REGULATIONS
UPFRONT
What’s Around the Corner?
A Focus on Guaranteed Income
Navigating ESG
Are You on Track?
Demographic Shifts
Advice on Advice
Fiduciary Best Practices
2 Distinct Roles for When Sponsors Act
The DOL’s Not-So-New Fiduciary Rule
Continuous Good Service
PLANSPONSOR - January - February 2024 - Cover1
PLANSPONSOR - January - February 2024 - INSIGHTS
PLANSPONSOR - January - February 2024 - 1
PLANSPONSOR - January - February 2024 - 2
PLANSPONSOR - January - February 2024 - 3
PLANSPONSOR - January - February 2024 - PARTICIPANT ANALYSIS
PLANSPONSOR - January - February 2024 - 5
PLANSPONSOR - January - February 2024 - RULES & REGULATIONS
PLANSPONSOR - January - February 2024 - 7
PLANSPONSOR - January - February 2024 - 8
PLANSPONSOR - January - February 2024 - 9
PLANSPONSOR - January - February 2024 - UPFRONT
PLANSPONSOR - January - February 2024 - 11
PLANSPONSOR - January - February 2024 - 12
PLANSPONSOR - January - February 2024 - 13
PLANSPONSOR - January - February 2024 - 14
PLANSPONSOR - January - February 2024 - 15
PLANSPONSOR - January - February 2024 - What’s Around the Corner?
PLANSPONSOR - January - February 2024 - 17
PLANSPONSOR - January - February 2024 - 18
PLANSPONSOR - January - February 2024 - 19
PLANSPONSOR - January - February 2024 - 20
PLANSPONSOR - January - February 2024 - 21
PLANSPONSOR - January - February 2024 - A Focus on Guaranteed Income
PLANSPONSOR - January - February 2024 - 23
PLANSPONSOR - January - February 2024 - 24
PLANSPONSOR - January - February 2024 - 25
PLANSPONSOR - January - February 2024 - 26
PLANSPONSOR - January - February 2024 - 27
PLANSPONSOR - January - February 2024 - Navigating ESG
PLANSPONSOR - January - February 2024 - 29
PLANSPONSOR - January - February 2024 - Are You on Track?
PLANSPONSOR - January - February 2024 - 31
PLANSPONSOR - January - February 2024 - Demographic Shifts
PLANSPONSOR - January - February 2024 - Advice on Advice
PLANSPONSOR - January - February 2024 - 34
PLANSPONSOR - January - February 2024 - 35
PLANSPONSOR - January - February 2024 - Fiduciary Best Practices
PLANSPONSOR - January - February 2024 - 37
PLANSPONSOR - January - February 2024 - 2 Distinct Roles for When Sponsors Act
PLANSPONSOR - January - February 2024 - The DOL’s Not-So-New Fiduciary Rule
PLANSPONSOR - January - February 2024 - Continuous Good Service
PLANSPONSOR - January - February 2024 - Cover3
PLANSPONSOR - January - February 2024 - Cover4
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