Feds Decline To Expand Katrina Sponsor Relief

For employers in the devastated area, “relief was granted in recognition of the administrative problems faced by employers and their service providers…due to lost records, and personnel and communications problems, resulting from the devastation caused by Hurricane Katrina,” the department says. “Such relief is not normally granted in other situations. While targeted relief is appropriate in these extraordinary circumstances, we remain equally committed to the necessary discipline of the funding requirements to protect the interests of workers and retirees, responsible plan sponsors, and ultimately taxpayers by targeting that relief to those directly affected by Katrina.”