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Teachers pension fund loan and governmental status
Summary A requester asked about a teachers pension fund loan to a city. DOL expressed a then tentative view that the fund was a governmental plan excluded from ERISA and, if so, its investments fell outside DOL jurisdiction. It said forthcoming regulations might warrant a later review, so the letter did not definitively decide the loan’s legality.
Document
Federal opinion letter
Agency
U.S. Department of Labor, Employee Benefits Security Administration (EBSA)
Document number
P/OPINION 75-136
Date issued
December 31, 1975
Status
Unknown
EBSA's index does not mark withdrawn or superseded opinions; still posted on dol.gov as of 2026-10-26.
Status last verified October 26, 2026
Topics
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About this page: The full text below is the official document from U.S. Department of Labor, Employee Benefits Security Administration (EBSA). Ezel adds the plain-English summary and tracks the document's status. The official source linked on this page is authoritative for any reliance.
P/OPINION 75-136
3(32)✓
4(b)(3)
December 31, 1975
Dear :
This is in reply to your letter dated November 13, 1975,
on behalf of who is concerned about a loan made
by the Teachers' Pension Fund (Fund) to
City. He would like to know the status of such a loan
under the Employee Retirement Income Security Act of
1974 (ERISA). Mr. has also written to the
Department of Labor (DOL).
As you may know, government plans are excluded from coverage
under ERISA pursuant to section 4(b)(3) of the Act. Although
regulations amplifying the definition of "governmental plan"
contained in section 3(32) have not been issued, it is my
present opinion that the Teacher's Pension Fund
is an exempt governmental plan. If this is so, the DOL
would have no jurisdiction over its investments.
The DOL expects to issue regulations with respect to
governmental plans early in the new year. After these
are issued, if there is any remaining doubt, we will be
glad to review the matter again.
I hope this information will assist you in replying to
Mr. . As requested, your correspondence is returned
herewith.
Sincerely,
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