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Congress at Work: Extending/Expanding Tax Breaks and Protecting Americans in Peril

March 2015 - Posted in Congress at Work

Extending/Expanding Tax Breaks and Protecting Americans in PerilKeystone XL Pipeline Act (S. 1) – This bill passed both the House and the Senate on Feb. 11, but was vetoed by the President on Feb. 24. The bill is dead unless Congress can override it.

Clay Hunt SAV Act (H.R. 203) – Named for a Marine suffering from post-traumatic stress disorder who killed himself in 2011, this bill is designed to help military veterans transition from active duty. It sponsors a pilot program to repay education loans for psychiatrists who agree to serve the VA, improves veteran access to mental health services, and extends for one year combat veterans’ eligibility for VA hospital care and medical services under certain conditions.

To amend the Internal Revenue Code of 1986 to improve 529 plans (H.R. 529) – After President Obama dropped his proposal to tax withdrawals from 529 plans in January, the House Ways and Means committee acted to improve 529 plans by enabling those funds to cover computer expenses, eliminate distribution aggregation requirements, and allow account owners to contribute school refunds to a 529 within 60 days without incurring a tax. The bill, sponsored by Sen. Lamar Alexander (R-TN), is currently under consideration in the Senate.

America Gives More Act of 2015 (H.R. 644) – This bill would amend the IRS code to permanently extend the charitable deduction for contributions of food inventory by a trade or business. The food must be “wholesome,” as defined by the Bill Emerson Good Samaritan Food Donation Act. The tax deduction limit is increased from 10 percent to 15 percent of the taxpayer’s aggregate income, and allows a five-year carryover for excess contributions. The bill provides a rule to determine the fair market value of contributions that “will or cannot be sold.” Sponsored by Rep. Tom Reed II (R-NY), this bill passed in the House on Feb. 12 and is currently in the Senate for consideration.

America’s Small Business Tax Relief Act of 2015 (H.R. 636) – Passed in the house on Feb. 13, this bill would permanently extend the $500,000 depreciable allowance for section 179 property, as well as the $2 million threshold after which the allowance is reduced. Both components would be indexed for inflation for taxable years starting in 2016. The bill also would permanently extend the allowance for computer software and qualified real estate, which includes restaurant, retail, and leasehold improvement properties. Air conditioning and heating units would no longer be excluded from the definition of section 179 property. The reduced period (five years) for S corporation taxation on built-in gains would also be made permanent, among other provisions. Sponsored by Rep. Pat Tiberi (R-OH), this bill is currently in the Senate for consideration.

Gerardo Hernandez Airport Security Act of 2015 (H.R. 720) – A bill that enjoys bipartisan support, it would require the Department of Homeland Security to verify that all U.S. airports have appropriate plans to respond to security incidents. It would authorize technical support as needed and create a process by which airport best practices for security incident planning, management, and training are identified and shared nationwide. The bill is named for a Transportation Security Officer who was killed in the line of duty at Los Angeles International Airport in 2013. Initially co-sponsored by Reps. John Katko (R-NY) and Maxine Waters (D-CA), this bill passed in the House on Feb. 10 and is in the Senate for consideration.

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Congress at Work: Reviving Jettisoned Bills and Reversing Previous Legislation

February 2015 - Posted in Congress at Work
Reviving Jettisoned Bills and Reversing Previous Legislation
Reviving Jettisoned Bills and Reversing Previous Legislation

The new 114th Congress is dominated by Republicans in both houses. The Senate is comprised of 54 Republicans and 46 Democrats. In the House of Representatives, there are now 247 Republicans and 188 Democrats. The new Congress started up aggressively in January, re-introducing past bills that had been squashed and new legislation to reverse current laws.

Terrorism Risk Insurance Program Reauthorization Act of 2015 (H.R. 26) – This bill was enacted after being signed by the President on Jan. 12. The bill extends the Terrorism Risk Insurance Act (TRIA) program, which expired at the end of 2014, for another six years. It retroactively restores the federal reinsurance backstop for policyholders and the insurance market in the event of a catastrophic terrorist act. Furthermore, the bill re-establishes the National Association of Registered Agents and Brokers (NARAB II) as an independent nonprofit corporation. This is the first step to reversing current regulation that requires insurance agents and clients to live in the same state in order to do business together. The Act is designed to promote greater consistency across state licensing, thereby increasing competition and consumer choice.

Keystone XL Pipeline Act (S. 1) – Sponsored by Sen. John Hoeven (R-ND), this bill authorizes the construction, operation and maintenance of the pipeline and cross-border facilitation by the

TransCanada Corporation. This bill was set to be voted on in the Senate in mid-January. A similar bill, H.R. 3 (same name) sponsored by Sen. Kevin Cramer (R-ND), passed in the House on Jan. 9.

Promoting Job Creation and Reducing Small Business Burdens Act (H.R. 37) – This bill is supposed to reduce over-regulation of the small business industry by revising many provisions of the 2010 Dodd-Frank financial reform law. Its provisions include delaying the Volcker rule that limits high-risk trading by commercial banks and exempting some private equity firms from having to register as brokers. The bill passed in the House on Jan. 14 and went to the Senate for consideration. It is considered a reversal of many of the restraints placed on practices believed to have contributed to the financial crisis and economic recession in 2007.

To amend title 49, United States Code, to provide for limitations on the fees charged to passengers of air carriers. (H.R. 5462 [113th]) – This Act revises aviation passenger security fee requirements to limit per round trip fees to $11.20. It was signed into law by the President on Dec. 19.

Save American Workers Act of 2015 (H.R. 30) – This Act would alter the employer mandate imposed by the healthcare law to change the definition of a full-time employee to one who works 40 hours per week instead of 30. The bill passed in the House on Jan. 8 and went to the Senate for consideration.

Hire More Heroes Act of 2015 (H.R. 22) – Passed in the House on Jan. 6 and now in the Senate, this bill would exempt employees with health coverage under TRICARE or the Veterans Administration from being taken into account when calculating the number of employees to apply the employer health insurance mandate.

Protecting Volunteer Firefighters and Emergency Responders (H.R. 33) – This bill also exempts emergency services volunteers from being taken into account when calculating the number of employees to apply the employer health insurance mandate. It was passed in the House on Jan. 12 and is now in the Senate.

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Congress at Work: Fiscal Year Budget Passed, With Extras

January 2015 - Posted in Congress at Work
Fiscal Year Budget Passed, With Extras
Fiscal Year Budget Passed, With Extras

The 113th Congress, coming to a close, passed the second fewest laws of any Congress since 1947. Thanks to an outright sprint to the finish, the legislative body passed 96 bills in just the first half of December. The President had 10 days to sign each of those bills into law.

Consolidated and Further Continuing Appropriations Act of 2015 (H.R. 83) – Congress finally passed a budget for the fiscal year ending Sept. 30, 2015, but not without controversy. In addition to $1.014 trillion allocated to continuing federal government operations, the act included $585 billion for military operations (more than 10 percent earmarked for military operations in Afghanistan and Iraq and fighting the Islamic State in Syria and Iraq), increased funding for cyber security for several government agencies, an extension for another one-year ban on state and local sales taxes for Internet access, an increase to the cap on political campaign donations from $32,400 to $777,600 per person per year, and money allocated to the National Institute of Health specifically for response and preparedness for Ebola and other infectious diseases. Agencies that will suffer budget losses include the Environmental Protection Agency ($60 million), a 10 percent cut for the IRS, and a provision to allow trustees of severely underfunded pension plans to reduce retiree benefits. The act also included a provision to reverse the previous Dodd-Frank requirement that banks stop trading derivatives. And finally, the bill specifically bars funding for portraits to be painted of the President, Vice President or any member of Congress.

To repeal the provisions of the Consolidated and Further Continuing Appropriations Act, 2015 (H.R. 5887) – This bill, introduced by Rep. Derek Kilmer (D-WA), would amend the provision in the H.R. 83 budget bill that provides for increased individual donations for campaign funding. Specifically, the act calls for establishing separate limits for contributions made to national parties to support presidential nominating conventions, national party headquarters buildings and recounts.

Senator Paul Simon Water for the World Act of 2014 (H.R. 2901) – This bill was passed by both houses of Congress on Dec. 15 and was sent to the President for signing. It is intended to strengthen provisions of the previous Senator Paul Simon Water for the Poor Act of 2005 by improving the ability of government to implement, leverage, monitor and evaluate programs to improve access to safe drinking water, sanitation and hygiene to the world’s poorest populations on a sustainable basis.

United States Anti-Doping Agency Reauthorization Act (S. 2338) – This act authorizes appropriations for the U.S. Anti-Doping Agency for fiscal years 2014 through 2020. It also changes the Agency’s role from preventing the use of performance-enhancing genetic modifications (accomplished through gene doping) by U.S. amateur athletes to the role of preventing the use of prohibited performance-enhancing methods adopted by the Agency. The bill, originally sponsored in May 2014 by Sen. Jay Rockefeller IV (D-WV), passed both houses in mid-December and was sent to the President for signing.

No Social Security for Nazis Act (H.R. 5739) – Passed unanimously in both houses, this bill terminates OASDI benefits to individuals whose citizenship has been revoked based on their participation in Nazi persecution, having admitted to such conduct and renounced status as a U.S. national. This bill came on the heels of an Associated Press investigative news story revealing that the Justice Department allowed the payment of Social Security benefits to Nazi war criminals who voluntarily agreed to leave the United States starting back in the 1980s. As of this writing, the bill was awaiting the President’s signature.

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Congress at Work: Executive Orders and Pending Actions

December 2014 - Posted in Congress at Work
Executive Orders and Pending Actions
Executive Orders and Pending Actions

There’s been much debate lately regarding the legality of a president issuing executive orders. While the Constitution doesn’t exactly state any provision for an executive order, every president has issued some combination of proclamations and executive orders since 1789. To give you a frame of reference for how common the practice is, Ronald Reagan issued 381 orders during his terms, George Bush issued 166, Bill Clinton issued 364, George W. Bush issued 291, and as of October 10, President Obama had issued 191. It’s worth noting that subsequent presidents may revoke, modify or supersede a previous president’s orders, and Congress may amend or repeal the legislation associated with a president’s executive order.

Government Reports Elimination Act of 2014 (H.R. 4194) – This bill enables the elimination or modification of reporting and notification requirements of certain federal agencies and departments. It was initially passed by the House in April, passed by the Senate with changes in September, and the House agreed to the changes on Nov. 12. As of this writing, the bill is awaiting the president’s signature.

To approve the Keystone XL Pipeline (H.R. 5682) – This is the Keystone Pipeline bill that was shot down in the Senate post mid-term elections after it had already been passed in the House. The bill would have enabled TransCanada Keystone Pipeline, L.P. to construct the pipeline and cross-border facilities based on plans submitted back in May 2012. The GOP vows to resurrect a similar bill when the new Congress resumes in January 2015.

National Park Access Act (S. 2104) – This bill, introduced in March 2014, would require the director of the National Park Service to refund all state funds that were used to reopen and temporarily operate a unit of the National Park System during the October 2013 shutdown. It was recommended by committee in November but will need to pass by year’s end or be discarded.

Sunscreen Innovation Act (S. 2141) –This bill would establish a process to allow any person to request that the Secretary of Health and Human Services determine whether an OTC sunscreen active ingredient or combination of ingredients is safe and effective. It has already passed in both the House and the Senate and, as of this writing, is on the president’s desk to sign into law.

Traumatic Brain Injury Reauthorization Act of 2014 (S. 2539) – This bill has passed both the House and the Senate and is waiting to be enacted by the president. It directs the secretary of HHS to develop a plan for the improved coordination of federal activities for traumatic brain injury prevention and surveillance. It also calls for the Centers for Disease Control and Prevention to review the scientific evidence related to brain injury management in children and identify opportunities for research.

Promoting New Manufacturing Act (H.R. 4795) – Sponsored by Steve Scalise (R-LA), this bill passed in the House on Nov. 20 and has been sent to the Senate. It is designed to promote new manufacturing in the United States by providing greater transparency and timeliness in obtaining necessary permits. Among other provisions, this bill would also require the Environmental Protection Agency to submit an annual report on actions to expedite the process for review of preconstruction permits.

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