House committee passes the Education and Workforce Freedom Act
On July 9, the House Ways and Means Committee approved H.R. 8915, the Education and Workforce Freedom Act, by a vote of 23-13. This legislation included a slightly revised version of the Freedom to Invest in Tomorrow’s Workforce Act (H.R. 1477/S. 722), which would permit beneficiaries of 529 savings accounts to use the funds in those accounts to cover costs associated with obtaining and maintaining postsecondary credentials, including professional certifications and occupational licenses. This legislation was a top NRCA priority, and we are pleased to see this bipartisan provision included in this larger package.
H.R. 8915 also contains provisions that would expand 529 savings plans to cover costs related to private school education without any cap and newly cover homeschooling expenses. This complicates matters because Democrats expressed opposition to this section, which led to the bill receiving a party-line vote in committee. We hope these differences can be resolved so the package can move through Congress with bipartisan support but, unfortunately, remain pessimistic regarding its chances this year.
Main Street Employers Coalition submits comments to Main Street Tax Team
On July 11, the Main Street Employers Coalition submitted comments to the House Ways and Means Committee’s Main Street Tax Team, making the case for a permanent Section 199A pass-through deduction. NRCA is an active member of the coalition’s steering committee.
The letter is addressed to the Main Street Tax Team—one of 10 teams organized by Ways and Means Committee Chairman Jason Smith to identify solutions to the upcoming 2025 spending debate—and it covers the various key aspects of the 199A debate, including why the provision is important, how Congress should define parity and why family businesses cannot just convert. As the letter notes:
“The Main Street Employers Coalition (MSEC) is comprised of dozens of trade associations representing businesses operating in virtually every industry and community across the country. The vast majority of these businesses are structured as pass-throughs—S corporations, partnerships, and sole proprietorships—and they rely on the Section 199A pass-through deduction to help them grow, create jobs, and remain competitive.”
The committee is soliciting feedback from all stakeholders as we head into a tax reform discussion for 2025 under a new Congress. Learn more.
NRCA submits comments regarding Senate workforce development proposal
NRCA submitted comments to the Senate Committee on Health, Education, Labor and Pensions in response to a “discussion draft” of legislation to reauthorize and reform the Workforce Innovation and Opportunity Act, which provides funding for workforce training programs operated at the state and local levels. The bipartisan discussion draft contains reforms and innovations that have great potential to make workforce programs more responsive to the needs of roofing industry employers. NRCA’s comments indicated support for provisions in the draft aimed at making workforce programs more effective and efficient; recommended additional reforms designed to improve workforce training; and noted strong opposition to provisions that would be problematic for employers. NRCA has made reform of the Workforce Innovation and Opportunity Act a priority in advocacy efforts during Roofing Day in D.C. during the past few years and more recently sent a letter to key senators outlining its priorities. NRCA will continue working with senators on a bipartisan basis to advance reform legislation that addresses our industry’s workforce needs.
