As reported last week, the Senate was working towards finalizing an AGC-supported reauthorization of the Federal Aviation Administration (FAA) programs for fiscal years 2016 and 2017. This week they passed the bill with an overwhelmingly bipartisan vote of 95-3.

The Federal Highway Administration (FHWA) issued a notice of proposed rulemaking this week detailing performance measurements for congestion, freight, and on-road mobile source emissions for the National Highway System which it was required to do in the 2013 “Moving Ahead for Progress in the 21st Century” (MAP-21) reauthorization law. Under the proposal, states would be required to monitor, report, and set targets for improving performance by measuring travel reliability, peak-hour congestion, freight movements, and on-road emissions of pollutants like ozone. The performance measures would then be used to manage investment of federal-aid highway funds to achieve these state performance goals, which ultimately would help make progress towards meeting national goals. Generally, the measurements are considered an improvement in managing the program and in demonstrating to the public the benefits achieved from federal investments in highways. One of the national commissions set up in earlier SAFETEA-LU legislation called for the establishment of performance measures.

The Senate Transportation Appropriations Committee unanimously approved the fiscal year 2017 budget for the U.S. Department of Transportation (US DOT), which included a key provision AGC requested that would set certain conditions on a US DOT pilot program that enables the state or local grant recipients to utilize local or geographical, economic-based, and veterans hiring preferences on federal-aid highway and federal transit projects. The language is identical to a provision that AGC was successful in getting included in last year’s omnibus appropriations bill. The provision requires a grant recipient to certify that a local hire requirement will not force the layoff of a company’s employees, will not significantly increase the cost of the project and that they will not impose local hire requirements unless they can certify that there is an available, trained workforce in the local area.

The House Transportation and Infrastructure Committee approved legislation to reauthorize the Pipeline and Hazardous Materials Safety Administration (PHMSA) and advance the cause of pipeline safety. H.R. 4937, the Protecting our Infrastructure of Pipelines and Enhancing Safety (PIPES) Act of 2016, is a four-year reauthorization that improves pipeline safety by closing gaps in federal standards. It is also designed to enhance the quality and timeliness of agency rulemakings, promote better usage of data and technology to improve pipeline safety, and provide regulatory certainty for citizens, the safety community, and the industry. The legislation was reported unanimously out of Committee for future consideration by the full House.

<p>Court officials announced late last week that an AGC of America-backed lawsuit to block the Obama Administration’s misguided new silica rule will be heard in the D.C. Circuit Court.  AGC, via the Louisiana AGC, filed suit in the 5th Circuit earlier this month to block the measure, arguing that the Administration established a new standard that is beyond the technological limits of current dust removal equipment. As a number of other groups filed similar motions in other circuit courts, judicial officials were forced to select a venue via random lottery.  While the DC Circuit is considered less favorable than the 5th Circuit, some of the circuit’s prior case law does appear favorable.</p>

This week AGC joined with hundreds of national and regional employer groups in support of the Protecting Workplace Advancement and Opportunity Act. This legislation would require the Department of Labor to perform a detailed impact analysis prior to implementing their proposed changes to overtime pay requirements increasing the minimum salary threshold from $23,660 per year to $50,440 per year. Employers with exempt employees who earn an annual salary less than $50,440 will be impacted.

This week Senator Jeff Flake (R-AZ) introduced legislation, Willing Workers and Willing Employers Act, which would create a pilot guest worker program designed to address the gap that currently exists between temporary visa programs for seasonal workers and the H-1B visa program for highly-skilled immigrants. Under current laws, there are no legal options for lesser skilled immigrants to meet current or projected future workforce needs. Immigration reform, including a guest worker program, is a component of AGC’s Workforce Development Plan aimed at alleviating the construction industry’s workforce shortage.

The Senate is moving towards a final bill reauthorizing Federal Aviation Administration (FAA) programs. AGC supports the bill and sent a letter to the Senate highlighting the bill’s increased funding levels for the Airport Infrastructure Program (AIP), provisions related to drones and the creation of one size standard for businesses participating in the FAA’s Disadvantaged Business Enterprise (DBE) program. Unfortunately, the bill does not include an AGC priority – increasing the Passenger Facility Charge – which would result in more airport infrastructure funding. The current FAA authorization is operating under an extension until July 15. As the legislative process plays out, AGC will work to ensure the final FAA bill addresses the construction industry’s priorities.

<p>This week <a href="http://newsmanager.commpartners.com/agcleg/downloads/FINAL%20HRA%20Letter%20-%20Markup.pdf"><u>AGC joined</u> </a>over 60 national and multi-state organizations in requesting the House Ways & Means Committee to consider the Small Business Healthcare Relief Act.  The bill would allow small businesses with fewer than 50 employees to offer Health Reimbursements Arrangements (HRAs) to employees for the payment of premiums or qualified medical expenses associated with insurance coverage without facing an outrageous fine.                                                          </p>

President Obama pushed for tax reform today, urging Congress to close corporate loopholes that allow firms to legally avoid paying taxes. The president’s plan, however, would not lower the individual tax rate, which a majority of AGC members use to file their taxes as pass-through entities. AGC continues to meet with key congressional decision-makers and staff to advocate for comprehensive changes to the tax code that lowers the rates for all business types, reduces the effective tax rate on construction companies, simplifies the tax code and uses reform as an opportunity to shore up infrastructure trust funds and expand infrastructure incentives.