High Country Times

WASHINGTON – Health, Employment, Labor, and Pensions Subcommittee Chairman Bob Good (R-VA) delivered a statement at a hearing titled "Examining the Policies and Priorities of the Employee Benefits Security Administration" today.

"Thank you to my fellow Subcommittee members for coming together to examine the policies and priorities of the Employee Benefits Security Administration (EBSA) under the leadership of Assistant Secretary Lisa Gomez," Good began.

"EBSA is responsible for regulating employer-provided benefit plans subject to the Employee Retirement Income Security Act of 1974 (ERISA). This duty includes the oversight of millions of retirement and health benefit plans holding approximately $13.6 trillion in assets. It’s safe to say, Ms. Gomez, that with the financial security of around half of America in your hands, you are one of Washington’s most important bureaucrats."

Good expressed disappointment with EBSA's current direction under Gomez's leadership. "Since you assumed office in October 2022, EBSA has pursued senseless, costly regulations at the expense of American taxpayers and plan beneficiaries."

He cited concerns about recent regulatory actions: "Take, for instance, the fiduciary rule. The definition of 'fiduciary' is foundational to ERISA, and plan sponsors are heavily reliant on its consistent application. However, EBSA recently revived a failed, overbroad definition of fiduciary that was vacated years ago in a federal appellate court and that will decrease access to important retirement products for lower- and middle-income Americans."

In healthcare regulation, Good criticized EBSA's rollback of the previous administration's Association Health Plan rule: "The previous rule produced savings of up to 29 percent on average—progress that your agency has now erased."

He further argued that these regulations have resulted in higher costs and fewer benefits for American workers.

Good also addressed issues related to environmental, social, and governance (ESG) investment principles: "In December 2022, EBSA issued a regulation to allow retirement plans to consider ESG factors when investing and exercising proxy votes... Investing in suboptimal ways—that is based on environmental or social factors without a financial basis for those decisions—violates the sacred fiduciary duty that institutional investors have towards retirees and their hard-earned savings."

Good described ESG investment principles as "woke" and anti-American," suggesting they serve as an excuse for companies to virtue-signal rather than focus on risk and returns for beneficiaries.

He concluded by highlighting challenges faced by EBSA: "Execution of the No Surprises Act has been a challenge... We are no closer to expanded telehealth coverage... ERISA preemption is under siege."

Good emphasized safeguarding Americans' benefit plans: "All Americans deserve a future in which benefit options are abundant, affordable, and high quality."

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