The House Education and the Workforce Committee on April 21 passed a resolution introduced just two days earlier that is intended to block the fiduciary rule the Department of Labor (DOL) issued in final form on April 6.
By a 22-14 vote, the committee approved H.J. Res. 88, the measure introduced by Rep. Phil Roe (R-Tenn.) on April 19. “We don’t need to choose between supporting affordable retirement advice and ensuring financial advisors act in good faith,” said Roe, who chairs the committee’s Health, Employment, Labor, and Pensions Subcommittee, in a committee press release.
The Senate is considering its own version, S.J. Res. 33, which Sen. Johnny Isakson (R-Ga.) introduced on April 18.
The Office of Management and Budget has determined that the conflict-of-interest restrictions (RIN 1210-AB32) qualify as a “major rule” because they are likely to have an annual impact on the economy of $100 million or more.
The resolutions were submitted in accordance with the Congressional Review Act (CRA), which automatically delays major rules for 60 days, and extends the timeout period another 30 legislative days if the president vetoes a disapproval resolution.
What’s Next?
The CRA provides that the House and Senate vote on a joint resolution of disapproval to stop a federal agency from implementing a rule or regulation or issuing a substantially similar regulation without congressional authorization; it has the full force of law. Only a simple majority is needed to pass a resolution of disapproval, and it cannot be filibustered or amended, if Congress takes the action within the 60-day window. The president must sign the resolution of disapproval, or Congress can overturn a veto with a two-thirds vote in both the Senate and the House.
H.J. Res. 88 is still pending before the House Ways and Means Committee. S.J. Res. 88 is before the Senate Health, Education, Labor and Pensions Committee. But even if the measures pass in those committees and then in the full chambers, with the president firmly behind the DOL on the fiduciary regulation, the resolution wouldn’t seem to have much chance.
By a 22-14 vote, the committee approved H.J. Res. 88, the measure introduced by Rep. Phil Roe (R-Tenn.) on April 19. “We don’t need to choose between supporting affordable retirement advice and ensuring financial advisors act in good faith,” said Roe, who chairs the committee’s Health, Employment, Labor, and Pensions Subcommittee, in a committee press release.
The Senate is considering its own version, S.J. Res. 33, which Sen. Johnny Isakson (R-Ga.) introduced on April 18.
The Office of Management and Budget has determined that the conflict-of-interest restrictions (RIN 1210-AB32) qualify as a “major rule” because they are likely to have an annual impact on the economy of $100 million or more.
The resolutions were submitted in accordance with the Congressional Review Act (CRA), which automatically delays major rules for 60 days, and extends the timeout period another 30 legislative days if the president vetoes a disapproval resolution.
What’s Next?
The CRA provides that the House and Senate vote on a joint resolution of disapproval to stop a federal agency from implementing a rule or regulation or issuing a substantially similar regulation without congressional authorization; it has the full force of law. Only a simple majority is needed to pass a resolution of disapproval, and it cannot be filibustered or amended, if Congress takes the action within the 60-day window. The president must sign the resolution of disapproval, or Congress can overturn a veto with a two-thirds vote in both the Senate and the House.
H.J. Res. 88 is still pending before the House Ways and Means Committee. S.J. Res. 88 is before the Senate Health, Education, Labor and Pensions Committee. But even if the measures pass in those committees and then in the full chambers, with the president firmly behind the DOL on the fiduciary regulation, the resolution wouldn’t seem to have much chance.
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