Inflation Reduction Act introduced in the Senate
During the week of July 25, Senate Majority Leader Chuck Schumer (D-N.Y.) and Sen. Joe Manchin (D-W.Va.) released legislative text for a scaled-down Build Back Better Act—the Inflation Reduction Act.
The bill focuses on increased taxes and enforcement and a series of climate and energy provisions of interest to the roofing industry. Specific provisions include:
- A 15% Corporate Minimum Tax
- Increased IRS tax enforcement
- Extension of:
- Investment Tax Credit
- Nonbusiness energy property tax credit
- Residential clean energy credit
- The energy-efficient homes tax credit
- Expansion of the 179D energy-efficient commercial building deduction
There also are several labor provisions that limit the availability of certain credits. The Senate parliamentarian is working to rule on which provisions follow the strict reconciliation rules, enabling it to pass with a simple majority in the Senate, and which provisions will need to be removed. Generally, only tax and spending provisions are allowed; policy changes that do not have a significant revenue effect are not. The Joint Committee on Taxation also released data regarding how this bill is expected to affect the average tax rates of taxpayers by income levels; view the data.
The outcome for the bill hinges on agreement from Sen. Kyrsten Sinema (D-Ariz.), the attendance of senators and how quickly things can move before the scheduled August recess begins Aug. 5. We could see votes as early as today or this weekend, racing to beat the expiration of Affordable Care Act subsidies that also are included in the bill and expire during the next couple of weeks.
Congress passes bipartisan CHIPS and Science Act
On July 28, Congress took a final vote to send the long-awaited CHIPS and Science Act to President Biden’s desk for signature. This bill is another bipartisan example that with some hard work, Congress can get things done. The bill boosts U.S. semiconductor production to increase American competitiveness against China and includes provisions that increase scientific research at the National Science Foundation, the Department of Commerce and the National Institute of Standards and Technology.
House committee passes Asuncion Valdivia Heat Illness and Fatality Prevention Act
On July 27, the House Education and Labor Committee passed the partisan Asuncion Valdivia Heat Illness and Fatality Prevention Act (H.R. 2193), legislation that would require the Occupational Safety and Health Administration to promulgate a new heat exposure standard. Among other concerns, NRCA believes this legislation is unnecessary because OSHA already has begun to develop such a standard.
The Construction Industry Safety Coalition, of which NRCA is a member, sent a letter to highlight several concerns with the bill as amended, including changing the judicial review process for workplace safety disputes by limiting the ability of aggrieved parties to have their day in court and creating a new legal standard for agency deference with respect to the regulatory activities of the Occupational Safety and Health Review Commission.
Results of contentious primaries and ballot measures held this week
On Aug. 2, primary candidates in many of the U.S.’ most contested races were elected for their November matchups. Candidates endorsed by former President Trump had a good night with Blake Masters winning the Arizona Senate Republican primary and Kari Lake winning her gubernatorial primary. In Michigan, incumbent Rep. Peter Meijer lost his primary challenge after voting to impeach Trump and Democrats spending money propping up his Trump-endorsed opponent. This congressional seat could be one of the few predicted to flip to Democrat hands in November. Trump-backed candidate Tudor Dixon also won the gubernatorial primary battle on the GOP side. Rep. Haley Stevens beat out Rep. Andy Levin in a Democratic primary that forced two incumbents against one another because of redistricting.
In Washington, it appears Republican Reps. Jaime Herrera Beutler and Dan Newhouse, who are ROOFPAC-supported candidates, will win their primary battles despite voting to impeach Trump after the events of Jan. 6, 2021.
In Missouri, Trump lost and won with his endorsement of “ERIC” in the Senate Republican primary, being vague regarding which Eric he meant and creating a media frenzy of people trying to decipher it—likely the result he was seeking. Attorney General Eric Schmitt fended off all 21 others, including former scandal-ridden Gov. Eric Greitens, which most experts believe makes this Senate seat more likely to remain in Republican hands.
The other big story from Aug. 2 was in Kansas, where for the first time since the Supreme Court’s decision to leave it to the states to determine abortion access, the issue appeared on a state ballot. A proposed amendment to the state constitution that would eliminate the constitutional right to an abortion was handily defeated.
Upcoming Primary Elections
Aug. 4: Tennessee (notable Thursday primary)
Aug. 9: Connecticut, Minnesota, Vermont, Wisconsin
Aug. 13: Hawaii
Aug. 16: Alaska, Wyoming
Aug. 23: Florida, New York
