Our extremely active and highly engaged contractor and chapter executive lobbying team has hosted and co-hosted more SMAC PAC events and SMACNA efforts targeting our priorities in 2023 than at any time. Further, SMACNA has submitted more regulatory comments than any two-year period in SMACNA history — by far.
This year we plan to keep our impactful comments flowing to a variety of agencies on our high priority reforms — many hard fought over years of effort. Most of these comments have been reflected in the final rules, such as Davis-Bacon and Project Labor Agreements published to date, but some big regulatory reforms will be final any day, including rules reforming Independent Contractor and the registered apprenticeship programs.
All of this activity on the tax, funding and regulatory fronts have occurred in just the last 24 months, and I know it was done largely due to the support and the engagement by those in the SMACNA Board, Chapter Executive, executive level staff and constant PAC member engagement.
SMACNA PRIORITIES: WHERE ARE WE NOW?
SMACNA achieved the following legislative goals, and regulations are final or will soon be final.
- CHIPS 1.0 and Science Act (P.L. 117-167) now law – Advocacy in coalition and alone to pass the CHIPS legislation providing $55 billion in tax incentives/support for chip plant construction with prevailing wage coverage and $4 billion for National Labs.
- CHIPS 2.0 being drafted and second round of tax eligible commitments for CHIPS 1.0 announced for release soon.
- Infrastructure Building Provisions now law – Educating membership on the buildings program, funds and benefits coming from the infrastructure law and recent appropriation package.
- Building Efficiency Tax Incentives Regulations – Continue advocacy of the residential, industrial, commercial and public building energy efficiency tax incentives remaining from infrastructure and reconciliation package P.L.117-169.
- Project labor agreements (PLAs) – We’re building support for new executive order regulation and issue in general to outflank attacks. Draft Final Rule Issued August 19 / Comments Filed October 2022, rules issued in final form December 18, 2023.
- 179d Reform (P.L. 117-169) – Maintain active coalition and SMACNA lobby efforts to pass alone or in extenders tax package, including prevailing wage-apprenticeship language.
- Davis-Bacon Act expanded to private projects is now law.
- Legislative Goals on track for final action or progress in 2024:
- Endorse extension of R&D tax credit and Section 179 Bonus Equipment Depreciation provisions (S. 866/H.R. 2673) coalition and independent action.
- Independent Contractor Regulatory Reform – Draft regulatory comment filed and support construction reforms in current draft process at DOL. Release expected soon of reformed IC rules beneficial to union contractors.
- Promote the Change Order Reform/Small Business Payment for Performance Act – Leading to endorse change order reform (H.R. 2726) bill again to provide payment on approval for half of change order amount, expedited resolution of the remainder once certified by contracting officer. We’re doubling our lobby effort in the coming months.
- Support Nuclear Energy Financing, Licensing and Advanced Technology Act –
- S. 1111, Accelerating Deployment of Versatile, Advanced Nuclear for Clean Energy (ADVANCE) Act of 2023. It also directs the Nuclear Regulatory Commission to create a pathway for conventional energy source sites to be repurposed in the future. The bill would expedite the development and deployment of advanced nuclear energy for the next generation of nuclear reactors. Passed Senate in 2023 and House Committee with SMACNA boost. Odds growing for final action by Congress in first quarter of 2024.
- Advocate for The SAFE Banking Act – House and Senate bills (H.R. 2891/S. 1323) would provide access to the federal banking system for cannabis related industry payments. Recent Senate Banking Passage with SMACNA noted, Senate vote Oct.
- Defend PLAs/Davis-Bacon Act – Oppose (H.J. Res. 103/H.R. 1290/H.R. 720/S. 537) repeal bills.
- Defend the IRA and CHIPS and Science Act 1.0 (Support 2.0) tax incentives for private construction incentives/public projects.
- Defend Continued Funding of School Construction/IAQ - Programs included in the American Rescue Plan intended for 4 years of retrofits as well as new programs in the infrastructure and reconciliation package. **179d use is optional.
- Boost Registered Apprenticeship - Support (H.R. 2851/S. 249/H.R. 2900) funds for general workforce development programs for construction industry in DOL Appropriations, Infrastructure Act, Rescue Plan and reconciliation package/Apprenticeship Act/Apprenticeship Hubs Act. Bipartisan support for action soon.
- Promote Pension Reforms - monitoring opportunities to advance our policy position as part of generic pension legislation.
- Substance Abuse Program Funding and Research - (S. 1359/S. 644) would increase access to care for people, often in the workforce, experiencing opioid use disorder (OUD) by reforming outdated regulations governing the prescription/dispensing medications.
- Advocate for Pro Codes Act - (S. 832/H.R. 1631) endorsed and supporting pending bill to boost the copyright protects of codes and standards issuing groups/coalition and SMACNA efforts.
