NECA Legislative Top Three 5/10/19: Cutting SALT
1. SALT Deduction Update: Oklahoma Latest State to Enact Fix
On April 29, 2019, Oklahoma became the third state to enact legislation restoring the deduction of state and local taxes paid on the business’ income. Connecticut and Wisconsin passed similar legislation last year, while a number of states are actively debating bills this year.
NECA’s Look Ahead: Here’s the current list of states who have enacted bills or are considering action:
- Arkansas H.B. 1714 (recommended for study by the Joint Interim Committee on Revenue and Taxation on March 26, 2019)
- Connecticut S.B. 11 (enacted May 31, 2018)
- Michigan S.B. 1170 (vetoed on Dec. 31, 2018)
- Michigan Governor’s Budget Proposal (presented March 5, 2019)
- Minnesota H.F.871/S.F. 304 (introduced on Feb. 2, 2019, and Jan. 22, 2019, respectively)
- New Jersey S. 3246 (passed the Senate on Dec. 17, 2018, second reading in the Assembly on March 18, 2019)
- Oklahoma H.B. 2665 (enacted April 29, 2019)
- Rhode Island H. 5576 (introduced Feb. 27, 2019)
- Wisconsin S.B. 883 (enacted Dec. 14, 2018)
2. Ways and Means Committee Holds Hearing on Family Medical Leave
On May 8, 2019, the House Ways and Means committee held a lengthy hearing centered on the proposed concept of a federal family medical leave program. The hearing, which drew relatively widespread support for the concept of a family medical leave proposal, saw members split on how the program would be funded and whether or not it should be administered by the federal government. The main proposal circling the Hill focuses on a national tax increase to fund the plan. While many Republicans see this as a detriment to small business and employee incomes, the Democrats believe their proposal will disproportionately benefit workers and low-income citizens.
NECA’s Look Ahead: NECA will continue to work for a paid leave solution that will allow our contractors to continue to grow and enable them to continue providing excellent health and welfare benefits to their employees.
3. Construction Employers of America Holds Annual Fly-In
As a member of the Construction Employers of America (CEA), NECA participated in the annual fly-in reception where seven of the main subcontracting contractor associations brought a dozen members of Congress to kick off a day of Hill meetings urging for the betterment of the construction industry. The CEA brought together a bipartisan group of members of Congress dedicated to better the businesses who employ millions of skilled tradesmen across the country.
NECA’s Look Ahead: NECA proudly supports the consensus issues which CEA works to address; issues such as infrastructure investment, prompt pay, repeal of the Cadillac tax, reforming the multiemployer pension system, and improving the administration of change orders.