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NECA Legislative Top Three 7/31/20: NECA Working as Congress Considers Senate Phase IV COVID-19 Package

Jul 31, 2020

1. HEALS Act Released by Senate; Negotiations with House Begin

On Monday, July 27, the Senate Majority Leader Mitch McConnell released his Phase IV COVID-19 package the HEALS Act (Health; Economic Assistance; Liability Protection; and Schools Act).

NECA’s Look Ahead: The HEALS Act is the starting point draft legislation to begin negotiations between the Senate Republicans and the House, which passed the HEROES Act on party lines in June. Leadership from both sides are expected to negotiate a compromise legislation in the coming weeks. NECA will continue to advocate for our priorities in the final package.

2. IRS Issues Final Regulations on CARES Act Deductions

The Internal Revenue Service issued final regulations regarding limits on the deduction of business interest expense under the CARES Act.

NECA’s Look Ahead: NECA is continuing to work with both the IRS and the Department of the Treasury on final rules related to our priorities, including the 2020-32 related to PPP Loan deducibility. We are expecting final language to be clarified in the Phase IV package, if not through the regulation notice.

3. NLRB Member Marvin Kaplan Confirmed to Maintain Republican Majority

On Wednesday, July 29, the Senate voted along party lines to confirm Republican National Labor Relations Board (NLRB) member Marvin Kaplan to another five-year term. This confirmation now secures the five-seat board under a Republican majority through 2021. While there has been substantial controversy over various rulings from the NLRB, this confirmation and the anticipated re-nomination of the panel’s sole Democrat likely means that the nature of the NLRB will not change course.

NECA’s Look Ahead: NECA recognizes the valuable and volatile nature of the NLRB and is pleased to see the continued quorum of members that this confirmation makes. NECA Government Affairs will continue to monitor the rules issued by the NLRB and will provide information to our member companies and contractors when necessary.