Backend Category: Advocacy

As part of its ongoing commitment to protecting your livelihood and setting the stage for a bright future, MCAA has secured the services of Longbow Public Policy Group to advise our MCAA Government Affairs Committee (GAC). GAC Chair, Jim Gaffney will be passing along information relative to our industry on a regular basis.

On Monday, December 23, 2024 MCAA Lobbying Firm, Longbow Public Policy Group provided the following information:

Trump Transition 

MCAA-Supported Labor Secretary-Designate Chavez-DeRemer Begins Hill Meetings 

Last week, President-elect Donald Trump’s MCAA-supported Labor Secretary-designate Rep. Lori Chavez-DeRemer (R-OR) began making the rounds on Capitol Hill to secure support for her nomination as the MCAA policy team continues reaching out to Senate offices in support of her nomination. As Chavez-DeRemer made the rounds on the Hill this week, Trump ally Steve Bannon sent out a warning to Republican Senators that if they do not “toe the line” and vote for Trump’s nominees “they will get a MAGA primary” in the next election. Bannon’s threat comes as incoming Senate Health, Education, Labor, and Pensions Committee Chair Bill Cassidy (R-LA) already faces a GOP primary challenge from Louisiana State Treasurer John Fleming, who launched his challenge after Cassidy publicly questioned Rep. Chavez-DeRemer’s nomination over concerns about her co-sponsorship of the Protecting the Right to Organize Act during the 118^th Congress. 

Biden Administration

Biden Designates NLRB Member Gwynne Wilcox as Chair of the New NLRB

Last Tuesday, President Joe Biden designated Gwynne Wilcox as Chair of the National Labor Relations Board (NLRB) following the Senate’s failure two weeks ago to confirm previous Chair Lauren McFerran to another five-year term. Chair Wilcox is the first Black woman to Chair the NLRB and the first Black woman to serve on the Board since its inception in 1935. She was confirmed by the Senate on September 6, 2023, for a second term ending on August 27, 2028. Prior to her appointment, Wilcox was a senior partner at Levy Ratner, P.C., a New York City labor and employment law firm, and served as Associate General Counsel of SEIU 1199 United Healthcare Workers East and as a labor representative to the NYC Office of Collective Bargaining.

EEOC Fact Sheet on Application of Federal Employment Discrimination Laws to “Wearables”

Last Thursday, the Equal Employment Opportunity Commission (EEOC) published a new fact sheet entitled “Wearables in the Workplace: The Use of Wearables and Other Monitoring Technology Under Federal Employment Discrimination Laws,” which discusses the application of federal employment discrimination laws to the use of wearable technologies (wearables) that can be used to track an employee’s location, heart rate, electrical brain activity, or fatigue. The fact sheet says that federal employment discrimination laws apply to an employer’s collection and use of information from wearables and addresses the need for employers to provide reasonable accommodations under the Americans with Disabilities Act (ADA) and the Pregnant Workers Fairness Act related to wearables. It also warns employers that using watches, rings, glasses, helmets, and other wearables to collect information about a worker’s health and biometric data may constitute a “medical examination” as defined under the ADA. Additionally, the fact sheet notes that if a wearable requires an employee to provide health information (including while setting up the device) an employer may be making “disability-related inquiries” for ADA purposes. Moreover, the EEOC explains that an employer’s improper use of information collected by wearables may raise concerns under other federal anti-discrimination laws—especially if employers use data from wearables to determine sex, age, genetic information, disability, or race to take an adverse action against an employee. The document provides examples of practices employers should avoid when directing use of wearables by their workers.

Congress

Senate Passes MCAA-Supported Water Resources Development Act, Sending Bill to Biden 

Last Wednesday, the MCAA realized a significant win as the Senate voted 97-1 to overwhelmingly pass the Water Resources Development Act (WRDA) that the MCAA and our partners in the United Association (UA) have been lobbying to enact since this summer. Sen. Mike Lee (R-UT) was the lone senator to oppose the bill, which now heads to President Joe Biden to be signed into law.

The legislation provides critical water resources infrastructure improvements, including: (1) $17 billion to the U.S. Army Corps of Engineers (USACE) for water-related infrastructure projects for flood management, ecosystem restoration, and navigation; (2) $2.1 billion for a coastal risk management system in the South Shore of Staten Island, including a levee and vertical flood wall; (3) $320 million to the USACE for design and construction of the North Feeder Stormwater Treatment Area in southern Florida; (4) $50 million to the USACE to implement studies and projects to control and reuse stormwater related to flood control efforts; (5) $200 million for water and wastewater infrastructure in San Diego County, California; and (6) $100 million for water and wastewater projects in New York. The bill also authorizes from 2025-2029: (1) $35 million in assistance to communities with decommissioned nuclear plants; (2) $50 million for workforce training grants; (3) $75 million for assistance to coal communities; and (4) $20 million for critical supply chain site development.

House Paid Leave Working Group Seeks Feedback on Bills to Expand Paid Family Leave

Last Tuesday, the bipartisan House Paid Family Leave Working Group released two discussion drafts of legislation to expand paid family leave and requested feedback on the drafts in the form of written comments that may be submitted to PaidLeave.Feedback@mail.house.gov by Friday, Janaury 10, 2025. The first bill, the Paid Family Leave Public-Private Partnerships Act, would establish a competitive grant program run by the U.S. Department of Labor as an incentive for states to establish their own paid family leave programs that utilize a public-private partnership model. Draft bill text is available here and a summary is available here. The second bill, the Interstate Paid Leave Action Network Act, is intended to coordinate and harmonize paid leave benefits across states to make it easier for people to access paid family leave and for states to connect with one another. Draft bill text is available here and a summary is available here.

House Lawmakers, As Well As Senate Democrats, Finalize Committee Leadership Rosters 

Last week, House Republicans and Democrats, as well as Senate Democrats, finalized their committee leadership assignments for the 119^th Congress, which will still need to be ratified by votes in the full House and Senate. The House Republican roster of incoming Committee Chairs is available here, the House Democratic roster of incoming Committee Ranking Members is available here, and the Senate Democratic list of Committee Ranking Members is available here. While Senate Republicans have not released their finally roster of Committee Chairs for the 119^th Congress, incoming Senate Majority Leader John Thune (R-SD) said last week that he hoped to finalize Committee assignments before the holidays, noting that “it always takes time to get those sorts of agreements.” 

Decarbonization 

As the MCAA policy team continues to engage the White House and Congress on issues surrounding decarbonization, there were several items that we wanted to make you aware of from last week:

DOE Requests Comments on Environmental Impact Statements for Three Hydrogen Hubs

Last Wednesday, the MCAA saw progress on scalable deployment of hydrogen stemming from the ongoing implementation of the Bipartisan Infrastructure Law with the Energy Department’s release of requests for comments on impact statements (EISs) for three hydrogen hubs across the country. The hydrogen hubs are: (1) the Appalachian Hydrogen Hub (in Ohio, Pennsylvania, and West Virginia); (2) the Pacific Northwest Hydrogen Hub (in Washington, Oregon, and Montana); and (3) the California Hydrogen Hub. Comments on these EISs are due by March 3, 2025 and can be submitted through the federal eRulemaking portal here using: (1) Docket No. DOE-HQ-2024-0082 for the Appalachian Hydrogen Hub; (2) Docket No. DOE-HQ-2024-0094 for the Pacific Northwest Hydrogen Hub; and (3) Docket No. DOE-HQ-2024-0087 for the California Hydrogen Hub. The requests for comment also note upcoming public meetings about each of these hydrogen hubs. 

For the Appalachian Hydrogen Hub, the Energy Department hold one virtual public scoping meeting on Thursday, January 16, 2025 from 6 p.m.–8 p.m. EST. The Department will also hold three in-person public scoping meetings on the Appalachian Hydrogen Hub. Dates, times, and locations are to be determined and will be shared no less than 15 days before the meetings along with details on how to participate in the virtual and in-person public scoping meetings on the DOE’s dedicated web page for this EIS: DOE/EIS-0569: Appalachian Hydrogen Hub | Department of Energy.

For the Pacific Northwest Hydrogen Hub, the Energy Department will hold one virtual public scoping meeting on Wednesday, January 22, 2024 at 6 p.m.–8 p.m. Pacific Time. The Department will also hold two in-person public scoping meetings. Dates, times, and locations for the in-person meetings are to be determined no less than 15 days before the meetings. Detailed information for registering and participating in the virtual and in-person public scoping meetings will be available on the DOE’s web page for this EIS: DOE/EIS-0571: Pacific Northwest Hydrogen Hub | Department of Energy.

For the California Hydrogen Hub, the Energy Department will hold one virtual public scoping meeting on Tuesday, January 28, 2025 from 4:30 p.m.–7:30 p.m. Pacific Time. The Department will also hold three in-person public scoping meetings. Dates, times, and locations and how to register and participate in the virtual and in-person meetings are to be determined and will be shared no less than 15 days before the meetings on the web page for this EIS:  DOE/EIS-0570: California Hydrogen Hub | Department of Energy. In addition, the Department will have an open virtual public meeting space available for the public. This public meeting space will open on Monday January 20, 2025, and stay open through the duration of the scoping period. 

Biden Administration Releases Its Long-Awaited Study on Liquefied Natural Gas Exports

MCAA did suffer a setback on the decarbonization front last Tuesday when the Biden Administration released its long-awaited study on liquefied natural gas (LNG) exports that was announced when the Administration paused the issuance of LNG export licenses in January 2024. The study will make it more difficult for the incoming Trump Administration to approve new export licenses and provides opponents of LNG with helpful data to contest new export permits. Specifically, the Biden Administration concluded that increases in LNG exports displace more renewable energy than coal globally and that unrestricted LNG exports would raise wholesale U.S. natural gas prices by 30%, increasing costs for the typical American household by well over $100 a year by 2050. In a media call, Biden Energy Secretary Jennifer Granholm summed up the report, saying that increasing LNG exports “would surely generate more wealth for the LNG industry, but American consumers and communities and the climate would pay the price.” The Biden Energy Department’s statement on the final analysis of authorizations for the export of LNG to non-free-trade-agreement countries is available here. While the report is final, the Department plans to publish it for a 60-day comment period “to inform decision-making going forward.”

Infrastructure Funding Continues to Flow from President Biden’s “Investing in America” Agenda

As the end of President Biden’s term draws near, MCAA has been pressing the Biden Administration to press forward with funding awards under MCAA-supported laws like the Bipartisan Infrastructure Law, the Inflation Reduction Act, and the CHIPS and Science Act. Last week the Biden Administration responded to these pleas with several significant new awards. These included a $15 billion low interest loan last Tuesday from the Energy Department’s Loan Program Office to California utility company Pacific Gas and Electric (PG&E) to support hundreds of projects that are part of the company’s Project Polaris, which includes refurbishing PG&E’s hydroelectric infrastructure and upgrading power lines to support renewable energy projects, data centers, and electric vehicle infrastructure.

Additionally, last Wednesday, the Energy Department’s Office of Clean Energy Demonstrations (OCED) announced the opening of applications for up to $1.3 billion in funding to design, construct, and operate large-scale point-source carbon capture projects and other carbon capture, utilization, and storage (CCUS) technologies. This funding is provided by OCED’s Carbon Capture Demonstration Projects Program and the Carbon Capture Large-Scale Pilot Projects Program. Specifically, OCED plans to fund up to 11 projects across three main topic areas: (1) up to $750 million for commercial-scale carbon capture demonstration projects integrated with carbon dioxide (CO2) transportation and storage infrastructure at up to one coal-fired power plant and up to two industrial facilities that advance technical maturity, reduce uncertainty in cost and performance, and increase the potential for the technology to be replicated and deployed at additional facilities; (2) up to $450 million for large-scale carbon capture pilot projects that demonstrate transformative technological advances in carbon capture, enabling increased capture efficiency, reduced cost, and improved environmental performance; and (3) up to $100 million for the planning and design of shared CO₂ transport and storage infrastructure that networks of nearby carbon capture projects can use. The full notice of funding opportunity (NOFO) is available here. OCED will host an informational webinar on the NOFO on January 15, 2025 and registration is required.

These awards issued despite an interim report from the Energy Department’s Office of the Inspector General urging the Department’s loan office to immediately halt issuing billions in loans to clean energy projects until it can ensure that contracting officers and their representatives are “complying with conflicts of interest regulations and enforcing conflict of interest contractual obligations.”

This is the last MCAA Government Affairs Update of 2024. The reports will resume January 10, 2025, after Congress reconvenes for the 119^th Congress.

As part of its ongoing commitment to protecting your livelihood and setting the stage for a bright future, MCAA has secured the services of Longbow Public Policy Group to advise our MCAA Government Affairs Committee (GAC). GAC Chair, Jim Gaffney will be passing along information relative to our industry on a regular basis.

On Monday, December 16, 2024 MCAA Lobbying Firm, Longbow Public Policy Group provided the following information:

Trump Transition

Senate Republicans Express Reservations About MCAA-Supported Nominee for Labor Secretary

The day after Thanksgiving, MCAA issued a statement of support for President-elect Trump’s pick for U.S. Secretary of Labor, outgoing Rep. Lori Chavez DeRemer (R-OR). In its statement, the MCAA explained that Rep. Chavez-DeRemer has worked with business and labor to support the U.S. workforce and noted that she’s been a strong advocate for the construction industry while serving as a member of the House Education and the Workforce and House Transportation and Infrastructure Committees, as well as through her membership in the Congressional Building Trades Caucus and the Congressional Apprenticeship Caucus. 

Several Senate Republicans on the Health, Education, Labor, and Pensions (HELP) Committee, however, have expressed reservations about Rep. Chavez-DeRemer’s nomination. Sen. Tommy Tuberville (R-AL) said DeRemer is “pro-union” and “checks all the boxes for the left.” Incoming HELP Committee Chair Sen. Bill Cassidy (R-LA) said, “I need to know more, because she’s pro-union and I’m from a right-to-work state” and fellow Committee member Sen. Rand Paul (R-KY) expressed similar concerns. Cassidy’s remarks came as Louisiana’s Republican State Treasurer, John Fleming, announced a primary challenge against him on December 4^th. It is unclear if this primary challenge will make Cassidy more hesitant to question the President’s nominee for Labor Secretary or cause him to double down on his concerns about her to burnish his conservative credentials. MCAA is reaching out to these and other offices to support Rep. Chavez-DeRemer.

Additional Cabinet, Independent Agency, and White House Staff Picks 

Over the last several weeks, President-elect Trump rounded out his Cabinet selections by nominating former Sen. Kelly Loeffler (R-GA) to be the next head of the Small Business Administration. Trump also announced additional sub-Cabinet-level nominees, including: (1) finance professor Michael Faulkender as Deputy Treasury Secretary; (2) former Missouri GOP Congressman and IRS critic Billy Long to lead the Internal Revenue Service; (3) former Border Patrol head Rodney Scott to lead U.S. Customs and Border Protection; (4) Caleb Vitello to run Immigration and Customs Enforcement; (5) outgoing Rep. Dan Bishop (R-NC) to be Deputy Director of the Office of Management and Budget (OMB). Trump also named additional picks to run some independent federal agencies, including the Federal Trade Commission (FTC), where he named current Commissioner Andrew Ferguson to be FTC Chair and announced plans to nominate Mark Meador, a former staffer for Sen. Mike Lee (R-UT), to become the third Republican on the FTC. The new Republican FTC majority will decide the fate of the FTC’s ruling banning non-compete clauses and whether it takes further action on “Right to Repair.”

Biden Administration

MCAA has been urging the Biden Administration to prioritize the release of funding for numerous projects under the Inflation Reduction Act. The Administration seems to be making this a priority. For example, on December 3^rd, the Interior Department announced $849 million from the Bipartisan Infrastructure Law to support 77 projects in Arizona, California, Colorado, Idaho, Montana, New Mexico, North Dakota, Oregon, South Dakota, Utah and Washington State to improve water conveyance and storage, increase safety, improve hydropower generation, and provide water treatment. A full list of projects awarded funding under this announcement is available here.

Congress

Razor Thin GOP House Majority in 119^th Congress

With all 2024 races called, the House of Representatives will have a Republican majority of 220 seats compared to 215 for Democrats in the 119^thCongress. When the next Congress begins, the House Republican majority will immediately shrink because Rep. Matt Gaetz (R-FL), who withdrew as Trump’s nominee for Attorney General, said he will not take his seat despite winning reelection in November. Moreover, President-elect Trump selected Rep. Michael Waltz (R-FL) to be his National Security Advisor—a job that does not require Senate confirmation—and he is expected to depart for the Administration when Trump is sworn in on January 20^th. This will leave Republicans with a majority of 218 to 215, but it will drop to 217 to 215 (a one seat majority) when Trump’s pick for United Nations (UN) Ambassador, Rep. Elise Stefanik (R-NY), is confirmed by the Senate. The special elections to fill the Florida congressional seats of Gaetz and Waltz (which are districts Republicans are strongly favored to retain) will not be held until April 1, 2025. And New York’s Democratic Governor cannot set a date for a special election to fill Rep. Stefanik’s seat until she is confirmed by the Senate and resigns from the House. The thin margin House Republicans will have throughout most of the first quarter of 2025 is creating growing concern in the GOP that President-elect Trump’s plans for major legislative victories in his first 100 days are in peril. And the public arguments of the last two weeks between Senate GOP leaders and their House counterparts about how best to advance Trump’s legislative priorities is exacerbating concerns about how productive the first 100 days will be beyond the expected flood of executive actions Trump plans launch as soon as he is sworn in as president.

Senate Democratic Leadership for the 119^th Congress

On December 3^rd, Senate Democrats held their leadership elections for the 119^th Congress and nominated Sen. Chuck Schumer (D-NY) to remain Senate Democratic Leader and Sen. Dick Durbin (D-IL) to remain Senate Democratic Whip. In addition to retaining their two top leaders, Democrats promoted Sen. Amy Klobuchar (D-MN) to Democratic Steering and Policy Committee Chair and Sen. Cory Booker (D-NJ) to be Strategic Communications Committee Chair. Sens. Elizabeth Warren (D-MA) and Mark Warner (D-VA) were retained as Vice Chairs of the Democratic Caucus. Rounding out the Senate Democratic leadership are: (1) Sen. Bernie Sanders (I-VT) as Outreach Chair; (2) Sen. Tammy Baldwin (D-WI) as Senate Democratic Conference Secretary; (3) Sen. Catherine Cortez Masto (D-NV) as Vice Chair of Outreach; (4) Sen. Brian Schatz (D-HI) as Deputy Democratic Conference Secretary; and (5) Sen. Chris Murphy (D-DE) as Deputy Democratic Conference Secretary.

Democrats expect that retaining seasoned veterans at the top of their leadership will give them an advantage in procedural maneuvering against a Republican caucus that has new top leaders in Sens. John Thune (R-SD) and John Barrasso (R-WY).

House Committee Leadership for the 119^th Congress

Last week, the House Republican and Democratic Steering Committees named their choices for Committee Chairs and Ranking Members for the 119^thCongress. Of interest to the MCAA, last Thursday, the House GOP Steering Committee selected Rep. Tim Walberg (R-MI) as the next Chair of the House Education and the Workforce Committee. Walberg defeated Rep. Burgess Owens (R-UT) and will succeed current Chair Rep. Virginia Foxx (R-NC).

In addition to nominating Rep. Walberg, the GOP Steering Committee named their choices for several other committee chairs that will be important to MCAA in the 119^th Congress, including: (1) Rep. Sam Graves (R-MO) to continue as Chair of the House Transportation and Infrastructure Committee; (2) Rep. Brett Guthrie (R-KY) as Chair of the House Energy and Commerce Committee; (3) Rep. Bruce Westerman (R-AR) to continue as Chair of the House Natural Resources Committee; (4) Rep. Jason Smith (R-MO) to continue as Chair of the House Ways and Means Committee; (5) Rep. Tom Cole (R-OK) as the next Chair of the House Appropriations Committee; (6) Rep. Mark Green (R-TN) to continue as Chair of the House Homeland Security Committee; and (7) Rep. James Comer (R-KY) to continue as Chair of the House Oversight and Accountability Committee.

Separately, the House Democratic Steering and Policy Committee began naming their choices for Committee Ranking Democratic Members in the 119^th Congress. Rep. Frank Pallone (D-NJ) will continue as Ranking Member of the House Energy and Commerce Committee. Rep. Rosa DeLauro (D-CT) will continue as Ranking Member of the House Appropriations Committee. Rep. Richard Neal (D-MA) will continue as Ranking Member of the House Ways and Means Committee. Rep. Jim McGovern (D-MA) will continue as Ranking Member of the House Rules Committee. The House Democratic Steering Committee will also need to decide the contested races to lead several other committees that matter to MCAA, including the races for: (1) Ranking Member of the House Natural Resources Committee between Rep. Melanie Stansbury (D-NM) and Rep. Jared Huffman (D-CA); and (2) Ranking Member of the House Oversight and Accountability Committee between Rep. Alexandria Ocasio-Cortez (D-NY) and Rep. Gerry Connolly (D-VA).

House Passes MCAA-Supported Water Resources Development Act (WRDA)

MCAA is pleased to report that last Wednesday, the House voted 399-18 to overwhelmingly pass the bipartisan, bicameral agreement to reauthorize the Water Resources Development Act (WRDA), which the MCAA, the UA have been lobbying to pass since earlier this summer. The legislation is now pending in the Senate and Majority Leader Schumer (D-NY) has pledged to pass it week before the end of the 118^th Congress on Friday. 

This legislation provides critical water resources infrastructure improvements, including: (1) $17 billion to the U.S. Army Corps of Engineers (USACE) for water-related infrastructure projects related to flood management, ecosystem restoration, and navigation; (2) $2.1 billion for a coastal risk management system in the South Shore of Staten Island, including a levee and vertical flood wall; (3) $320 million to the USACE for design and construction of the North Feeder Stormwater Treatment Area in southern Florida; (4) $50 million to the USACE to implement studies and projects to control and reuse stormwater related to flood control efforts; (5) $200 million for water and wastewater infrastructure in San Diego County, California; and (6) $100 million for water and wastewater projects in New York. The bill would also authorize from 2025-2029: (1) $35 million in assistance to communities with decommissioned nuclear plants; (2) $50 million for workforce training grants; (3) $75 million for assistance to coal communities; and (4) $20 million for critical supply chain site development. 

A House Transportation and Infrastructure Committee summary of the bill is available here. A more detailed section-by-section summary is available here, and the bill text is available here.

House and Senate Release 2025 Legislative Calendars

Next Congress, both the House and Senate plan to be in session many more days than they were during the 118^th Congress. On December 4^th, House Majority Leader Steve Scalise (R-LA) released the House legislative calendar for 2025, which envisions the House being in session for 33 weeks next year. On December 5^th, the Senate released its legislative calendar for 2025, featuring 36 weeks in which the chamber will be in session. According to the Senate calendar, Senators will be working five-day weeks, including Friday votes, straight through March 17^th. 

MCAA Issues and Interests 

Registered Apprenticeship

Biden DOL Withdraws Apprenticeship Rulemaking 

On November 27^th, the MCAA realized a significant lobbying victory when the Labor Department’s Employment and Training Administration (ETA) withdrew its final rule on “National Apprenticeship System Enhancements” from White House Office of Information and Regulatory Affairs review. The withdrawal means the rulemaking will not be finalized. MCAA has been lobbying against this rule since it was proposed and joined the UA in submitting joint comments opposing the key elements of the rule in March.

Safety and Health 

OSHA Issues Final Rule on PPE in Construction 

Last Thursday, the Occupational Safety and Health Administration (OSHA) published its final rule on Personal Protective Equipment (PPE) in Construction that the MCAA and the other union contractor associations that comprise the Construction Employers of America have been pushing the Biden Administration to finalize. The final rule revises OSHA’s PPE in construction regulations to “explicitly require” that PPE must fit properly on affected employees. The final rule sets a standard identical to the longstanding proper fit requirement applicable to general industry and maritime. It is effective on January 13, 2025. 

MCAA Developing Comments on OSHA Heat Injury and Illness Rule—Comment Deadline Extended 

MCAA continued working with the Construction Industry Safety Coalition (CISC) on comments expressing our concerns about OSHA’s proposed rule on heat injury and illness in indoor and outdoor work settings. On December 2^nd, OSHA announced that it has extended the comment deadline from December 30, 2024 to January 14, 2025. With the final comment deadline coming six days before the end of the Biden Administration on January 20, 2025, the fate of this rule will be left to the incoming Trump Administration. OSHA also announced that it would hold an informal hearing on the proposed rule well into the Trump Administration on June 16, 2025 at 9:30am ET. Additional information on how to access the informal hearing will be made available on the OSHA website here. Those interested in testifying or questioning other witnesses must submit a Notice of Intention to Appear here on or before May 2, 2025. 

Decarbonization

IRS Releases Final Rules on Section 48 Clean Energy Tax Credit

Last Thursday, the Internal Revenue Service (IRS) released its final rule for the Section 48 “Energy Credit”—also known as the Investment Tax Credit (ITC)—to provide clean energy project developers clarity and certainty to undertake major investments in clean power infrastructure. Among other things, this final rule: (1) clarifies that hydrogen energy storage property does not need to store hydrogen that is solely used for energy and not for other purposes; (2) clarifies which property is qualified biogas property; (3) clarifies that the owner of underground coils can claim the ITC if they own at least one heat pump used in conjunction with the coils; and (4) revises the definition of energy project to require ownership of the energy properties. The MCAA lobbying team provided a detailed memorandum on the final rule to the Government Affairs Committee.

EPA Final Rule Regarding the Phasedown of HFCs in the Variable Refrigerant Flow Air Conditioning Subsector 

As MCAA lays groundwork to get the incoming Trump Administration to reconsider some of the decarbonization rules issued by the Biden Administration, last Thursday, the Biden EPA published a final rule to amend the deadlines for compliance with the “Technology Transitions” regulations under the American Innovation and Manufacturing (AIM) Act in connection with the variable refrigerant flow air conditioning sector. Variable refrigerant flow (VRF) and variable refrigerant volume (VRV) systems are direct expansion multi-split systems that incorporate a split system air conditioner or heat pump incorporating a single refrigerant circuit that is a common piping network to two or more indoor evaporators, each capable of independent control, or compressor units. Under the final rule, the EPA is extending the installation compliance date for new VRF systems to January 1, 2027. The agency is also providing until January 1, 2028, for the installation of certain new VRF air conditioning and heat pump systems if a building permit that approves the use of a HFC or a HFC blend in such a system was issued prior to October 5, 2023, provided that the system uses components manufactured in the United States or imported into the United States prior to January 1, 2026. The EPA asserts that this action will “mitigate the potential for stranded inventory of variable refrigerant flow systems.” The final rule is effective beginning January 13, 2025. 

Biden Administration to Finalize Section 45Z Guidance Before the End of Biden’s Term

In the course of our work on decarbonization, the MCAA lobbying team was told that the Biden Treasury Department anticipates issuing guidance regarding the Section 45Z, Clean Fuel Production Credit before the end of President Biden’s term. The Section 45Z credit is designed to incentivize the domestic production of fuels with 50% lower lifecycle greenhouse gas emissions than petroleum. The tax credits are seen as potentially significant sources of revenue for biofuels producers and are intended to help spur the production of sustainable aviation fuel.

DOE Report Discusses How to Reduce Cost of Producing Clean Hydrogen through Electrolysis

Because the MCAA has been a consistent advocate of developing cost-effective hydrogen as an alternative source of energy, we got early notice that the Energy Department released a report on December 4^th highlighting ways to reduce the cost of producing clean hydrogen through electrolysis. The report, entitled “Hydrogen Shot: Water Electrolysis Technology Assessment,” presents an assessment of key electrolysis technologies, including the status of the technology and potential approaches for realizing the significant cost reductions needed to achieve the Administration’s Hydrogen Shot goal of reducing clean-hydrogen production costs to $1 per kilogram. The report is the second of three assessments of clean-hydrogen production pathways. The first report, “Hydrogen Shot Technology Assessment: Thermal Conversion Approaches,” examines hydrogen production processes that use heat to convert fossil and/or waste feedstocks with carbon capture and sequestration. The third and final report in this series will provide similar technology assessments of hydrogen production from advanced pathways, which include processes that use sunlight to directly split water without the use of electricity. The report comes as MCAA is lobbying to retain the hydrogen tax credit program and prevent it from being used to pay for tax cuts Congress will consider next year.

Broad Support for the Nuclear Tax Credits 

Our lobbying to preserve the nuclear tax credits has revealed bipartisan support for retaining them. In speaking with the Trump transition team, we sense that one area of continuity between the Biden and Trump Administrations may be support for nuclear power. We are not alone in this view. It is giving companies the confidence to announce major plans to develop nuclear power. For example, on December 2^nd, GE Vernova announced plans to deploy as many as 57 of its small modular BWRX-300 nuclear reactors across the United States, Canada, the United Kingdom, and Europe by 2035 to meet the surging electricity demand with these less expensive nuclear plants. On December 3^rd, Facebook parent company Meta issued a Request for Proposal (RFP) seeking developers that can bring nuclear reactors providing one to four gigawatts of power online starting in the early 2030s to support data centers and the communities around them. The plans for more nuclear power come as nuclear experts warn that as more data centers are built in the U.S. to accommodate the rise of artificial intelligence, more natural gas will be needed in the short term as power demand is “rising so fast” that gas will need to serve as a bridge form of energy until small, modular reactors and larger nuclear plants can be built and brought online. 

In related news, last Wednesday the Energy Department (DOE) announced that it updated the Federal Energy Management Program’s (FEMP) Best Practices Guide for Energy-Efficient Data Center Design, a data center design guide that focuses on the new or improved technologies that have emerged to make data centers as energy-efficient as possible, with priorities on reusing waste heat and maximizing the use of energy drawn from renewable systems on-site or within the grid region. The guide expands on sections focused on how to improve the efficiency of electrical systems, air- and liquid-cooling systems, and IT equipment. This comes as executives from Exxon and Chevron said they are evaluating ways to supply lower carbon power for data center operators. In particular, Chevron is looking to add carbon capture to natural gas-fired power plants supplying data centers.

Biden Energy Department Continues Support for Nuclear in its Final Days

The Biden Energy Department (DOE) is focused on doing all it can before the Administration ends to advance nuclear power. To this end, it announced selection of six companies to sign contracts to procure low enriched uranium (LEU) for the build-out of new uranium production capacity in the United States. The companies are: (1) American Centrifuge Operating, LLC in Bethesda, Maryland; (2) General Matter, Inc. in San Francisco, California; (3) Global Laser Enrichment, LLC in Wilmington, North Carolina; (4) Louisiana Energy Services, LLC in Eunice, New Mexico; (5) Laser Isotope Separation Technologies, Inc. in Oak Ridge, Tennessee; and (6) Orano Federal Services, LLC in Bethesda, Maryland. Through these contracts, DOE will acquire LEU generated by new domestic sources, either at entirely new facilities or from projects that expand existing capacity, and all contracts will last up to 10 years with awardees receiving a minimum contract of $2 million.

In another positive development last week, the Biden Energy Department’s Loans Program Office committed to disbursing the remaining $340 billion in Inflation Reduction Act financing under the control of the Office. The Office underwrites innovative clean energy projects that are considered too risky for private investors, including advanced nuclear reactor development, large-scale carbon capture and storage projects, next-generation solar technologies, and early-stage offshore wind farms. 

Federal Contracting 

DOGE to Target Federal Contractors as Part of Cost-Cutting Mission 

As the incoming Department of Government Efficiency (DOGE), led by Elon Musk and Vivek Ramaswamy, begins to lay out its priorities, the MCAA policy team is working to dissuade the DOGE from weakening federal prevailing wage standards in the name of reducing costs. Musk and Ramaswamy have indicated a desire to scrutinize federal contracts and have suggested conducting large-scale audits of federal contracts during which companies would be subject to a temporary suspension of payments. Ramaswamy has also pledged “massive cuts” among federal contractors who he accused of “overbilling the government.” However, it is not yet clear how DOGE will decide which contracts to scrutinize, how it will review the contracts, or how it will determine whether to recommend any for termination or modification.  

Other Interesting Things Since Our Last Report 

Thursday, December 12^th

• The Environmental Protection Agency (EPA) announced $1.6 billion in funding from the President’s Inflation Reduction Act for 105 organizations through the Community Change Grants Program to advance local projects that reduce pollution through the replacement of water systems, increase community climate resilience, and build community capacity through workforce training programs in construction. Funding recipients under this announcement include: (1) the Energy Coordinating Agency of Philadelphia, which will provide pre-apprenticeship programs for in-demand positions in clean energy sectors such as sustainable construction, HVAC installation, and solar installation, provide assessments and whole home repairs for 189 households to make energy efficiency and other improvements, and develop a Resilience Hub in South Philadelphia to serve as a workforce development center, disaster and emergency response center, and community education space; (2) the City of Springfield, Massachusetts, which will support a workforce development program for HVAC-R technicians, convert two city-owned buildings to non-grid clean energy sources and expand their use as community resilience hubs and emergency shelter locations, invest in a community solar project, retrofit 30 one- to four-unit homes to reduce energy use and improve indoor air quality, and complete home rehabilitation projects to remove lead and other pollution hazards; (3) Washington, DC, which will invest in local workforce development to expand the number of contractors with skills and experience in multifamily housing retrofits; (4) the City of Evansville, Indiana & Welborn Baptist Foundation, Inc., which will electrify and expand the on-demand micro transit program including adopting solar power at the bus transit facilities and invest in publicly accessible EV charging infrastructure, among other things; and (5) The Working Lands Trust, Inc. & Democracy Green, which will remove lead pipes from homes and communities in low-income areas.

• The Department of Labor (DOL) released comprehensive data collected by its Occupational Safety and Health Administration (OSHA) on the more than 890,000 workplace injuries and illnesses at over 91,000 workplaces in calendar year 2023, including incident level details on the conditions and circumstances of injury and illness events. In addition, OSHA has produced a video explaining the workplace injury and illness data collected by the Injury Tracking Application, which is used by certain employers to submit injury and illness reports. 

• President-elect Trump’s economic advisors are discussing doubling the State and Local Tax (SALT) deduction from $10,000 to $20,000. But they are opposed to making the SALT deduction unlimited as some members of the New York and New Jersey congressional delegation are advocating because it would amount to “the biggest tax cut for millionaires and billionaires ever.” They think doubling the SALT deduction limit to $20,000 “would solve the problem for middle-class families in blue states” like New York, New Jersey, and California. 

• House Republicans are looking into whether pharmacy benefit manager (PBM) CVS Caremark violated federal antitrust laws by threatening independent pharmacies to keep them from using money-saving tools outside the PBM’s network. In a letter to CVS obtained by The Hill, House Judiciary Committee Chair Jim Jordan (R-OH) asked the company for documents and communications about pharmaceutical hubs, a type of digital pharmacy service that can streamline the process of accessing and managing complex, high-cost specialty medications for patients. This investigation comes as Sens. Josh Hawley (R-MO) and Elizabeth Warren (D-MA) plan to introduce legislation to break up health insurance companies that own pharmacy-benefit managers by forcing the companies to divest their PBM businesses within three years. 

Wednesday, December 11^th

• In a 49-50 vote, the Senate voted down the confirmation of National Labor Relations Board Chair Lauren McFerran to serve another five year term. McFerran’s current term ends later this month. All Republicans were joined by independent Sens. Kyrsten Sinema (I-AZ) and Joe Manchin (I-WV) in opposing McFerran in a vote that ensures the NLRB majority will swing to Republicans under the incoming Trump Administration. Following the failure of the McFerran nomination, cloture on the nomination of Republican Joshua Ditelberg to be a member of the NLRB was withdrawn. The defeat of these Biden NLRB nominees came the same day a federal judge in the District of Columbia ruled that National Labor Relations Board administrative law judges’ protections against being fired by the President violate the U.S. Constitution. The ruling is the latest in a growing split among the federal courts regarding the power of the President to fire administrative judges at the NLRB. This legal issue is central to the degree of control a presidential administration can exert over the NLRB and its interpretation and enforcement of federal labor law.

• In a two-page memo to his Senate Republican colleagues, Senator-elect Jim Banks (R-IN) urged Republican lawmakers to be more pro-worker and pro-American industry and less pro-Wall Street. Banks’ “Working Families First” roadmap says Republicans “should focus on priorities like building out access to apprenticeships and technical training or expanding Pell Grant opportunities to prepare for the workforce.” Banks also says, “Republicans owe the American people a detailed strategy to incentivize domestic investment…and elevate the industrial base to the top tier of our national defense strategy.” The key pillars are of his plan are to: (1) Fight for Working Families; (2) Strengthen American Industry; (3) Refocus the Pentagon on the Warfighter; (4) Restore Traditional Values and Stop Wokeness; (5) Put an End to the Border Crisis; (6) Defend American Workers from China; (7) Unleash U.S. Building Power; and (8) Dismantle Needless Bureaucracy. Banks goes on to urge dispensing with “red tape” that impedes “our ability to build new roads, bridges, or other vital infrastructure” adding that “smart regulatory reforms should be aimed at allowing us to make full use of our abundant natural resources and reforming our expensive and needlessly drawn-out federal permitting processes.” Banks also wants the Senate GOP to “prioritize slashing regulations so we can lower housing costs, create jobs, spur private investment, and ensure American communities can thrive.

• House Democrats’ top Super PAC, the House Majority PAC, revealed its 2026 midterm target list showing the congressional seats it is focused on taking from Republicans to capture the majority in the 2026 midterm election.

• The CDC reported that drug overdose deaths dropped a record 19.3% in the 12-month period ending July 2024 from the previous 12-month period.  

Tuesday, December 10^th

• The Commerce Department confirmed a $6.1 billion grant to Micron Technology under the President’s CHIPS and Science Act for the construction of two chip factories in Clay, New York and Boise, Idaho, as well as an expansion of an existing facility in Manassas, Virginia. Vice President Kamala Harris issued a statement on the announcement, highlighting the impact of the CHIPS and Science Act and that Micron “is building these facilities by utilizing project labor agreements and registered apprenticeship programs, which will further strengthen local economies, support workers, and ensure the construction is completed on time and within budget.” Relatedly, the Biden Office of Management and Budget (OMB) issued a blog post on a new Request for Information (RFI) to “gauge the best ways to incentivize government contractors, especially of commercial IT products and services, to scale up their use of domestically manufactured chips.” OMB explained that responses to the RFI may inform follow-on actions in support of the government-wide effort to leverage existing manufacturing capacity as well as domestically manufactured chips and components in the future.

• The American Petroleum Institute released a “5 Point Roadmap” detailing policy proposals that will realize President-elect Donald Trump’s “Drill Baby Drill” vision. It includes swiftly authorizing liquefied natural gas exports, expanding drilling on federal lands, making pipeline permitting easier, repealing strict vehicle emissions and fuel economy standards, and keeping current corporate tax rates in place.

• The National Labor Relations Board (NLRB) issued its decision in Endurance Environmental Solutions, LLC restoring the “clear and unmistakable” waiver standard, which requires employers to demonstrate that a union clearly and unmistakably waived its right to bargain over the subject of a unilaterally implemented change in working conditions. In Endurance, the NLRB overruled its 2019 decision in MV Transportation Inc. in which the NLRB had adopted the “contract coverage” test, which required the Board to examine the plain language of the parties’ collective-bargaining agreement to determine whether a unionized employer’s change in a term or condition of employment was within the compass or scope of contractual language granting the employer the right to act unilaterally. The NLRB explained that the return to the “clear and unmistakable” waiver standard better accomplishes the central statutory policy goal of the National Labor Relations Act to promote industrial peace by “encouraging the practice and procedure of collective bargaining.”

• The U.S. Department of Agriculture (USDA) announced $6.3 billion for rural and Tribal communities in 44 states to expand access to a clean and reliable electric grid and provide safe drinking water. Of this funding, the USDA is providing $5.7 billion through the Electric Infrastructure Loan and Loan Guarantee Program to help utility providers and electric cooperatives build and improve electric infrastructure and smart-grid technologies in 23 states. Examples of projects receiving funding under this announcement include: (1) $293 million to Rappahannock Electric Cooperative in Virginia to build and improve 880 miles of line, connecting more than 11,000 consumers, with nearly $160 million of this funding to be used for smart grid technologies; and (2) $432 million to Carroll Electric Cooperative Corporation in Arkansas to build and improve nearly 900 miles of line and for smart grid technologies. Separately, USDA is also investing nearly $642 million to expand access to clean and reliable drinking water, sanitary waste disposal and storm water drainage for people in 41 states through the Water and Waste Disposal Loans and Grants Program and the Solid Waste Management Grants Program. This funding announcement includes $25 million to Rock Rapids Municipal Utilities in Iowa to make improvements to its wastewater treatment facility and alleviate an imminent sanitary hazard to meet water treatment quality standards.

Thursday, December 5^th

• The Occupational Safety and Health Administration (OSHA) announced it is seeking nominations for two-year membership terms on the Advisory Committee on Construction Safety and Health (ACCSH), which consists of 15 members that advise the Secretary of Labor and the Assistant Secretary of Labor for OSHA in the formulation of standards affecting the construction industry and on policy matters arising in the administration of the safety and health provisions of the Construction Safety Act and the OSH Act. The current ACCSH membership list can be found here. The categories of ACCSH membership for which OSHA is seeking nominations are: (1) five members who are qualified by experience and affiliation to present the viewpoint of employers in the construction industry; (2) five members who are qualified to present the viewpoint of employees in the construction industry; (3) two representatives of state safety and health agencies; and (4) two public members, qualified by knowledge and experience to make a useful contribution to the work of ACCSH, such as those who have professional or technical experience and competence with occupational safety and health in the construction industry. Nomination packages are due by January 2, 2025 and should be submitted through the federal eRulemaking portal using Docket ID OSHA-2024-0002, and must include: (1) the nominee’s contact information and current employment or position; (2) the nominee’s résumé or curriculum vitae, including prior membership on ACCSH and other relevant organizations and associations; (3) the category of membership (employer, employee, public, state safety and health agency) that the nominee is qualified to represent; (4) a summary of the background, experience, and qualifications that addresses the nominee’s suitability for each of the nominated membership categories; (5) articles or other documents the nominee has authored that indicate the nominee’s knowledge, experience, and expertise in occupational safety and health, particularly as it pertains to the construction industry; and (6) a statement that the nominee is aware of the nomination, is willing to regularly attend and participate in ACCSH meetings and has no conflicts of interest that would preclude membership on ACCSH.

Wednesday, December 4^th

• Conversions of office space into residential buildings are gaining traction as office vacancy rates rise and office property valuations plunge, making the economics of conversions more viable. Over 70 conversion projects with more than 10,000 apartments have been completed this year. An additional 94 projects are under way as many cities are offering subsidies and incentives to boost conversions, which are seen as a way to revitalize depressed business districts and provide much-needed housing. 

Around the Country 

Northeast 

• On December 10^th, Environmental Protection Agency, the Justice Department, and the Pennsylvania Department of Environmental Protection announced a proposed settlement with PennEnergy Resources, LLC (PennEnergy) resolving alleged Clean Air Act and Pennsylvania Air Pollution Control Act violations, specifically by failing to capture and control air emissions from five of its oil and gas production facilities in Butler County, Pennsylvania. If accepted by the court, the consent decree specifies that PennEnergy will undertake various projects to assess, modify and improve monitoring and maintenance of vapor control systems, which are estimated to cost $1.2 million. In addition, PennEnergy also agreed to pay a $2 million civil penalty. 

• On December 8^th, Sen. George Helmy (D-NJ) resigned from the U.S. Senate, clearing the way for Sen. Andy Kim (D-NJ) to be sworn into the Senate on December 9^th. Kim has assumed office and already been named a member of the powerful Senate Banking, Housing and Urban Affairs.

• On December 3^rd, the Energy Department announced that it has closed a $303.5 million loan guarantee to Eos Energy Enterprises, Inc. to finance the construction of two state-of-the-art facilities in Pennsylvania that will be able to produce enough stationary batteries per year to meet the electricity needs of approximately 130,000 homes. These facilities will produce next-generation utility- and industrial-scale zinc-bromine battery energy storage systems in Turtle Creek, Pennsylvania. Pending additional DOE approvals and completion of an Environmental Assessment, two additional facilities in Duquesne, Pennsylvania may also be included as part of the loan guarantee. The project is expected to create and maintain up to 1,000 jobs, including both salaried employees and a manufacturing workforce unionized by the United Steelworkers.

• On December 2^nd, Greystar Real Estate Partners, the country’s largest apartment owner, opened a six-building modular apartment complex in Coraopolis, Pennsylvania, complete with a gym, amphitheater, and bocce courts. The company is also planning to build six more modular apartment communities. The modular units are assembled in Greystar’s modular factory in Knox, Pennsylvania before being shipped to the location where an apartment complex is being built. Greystar said it chose to pursue modular construction to combat what it called “chronic delays” in traditional apartment development construction.

West

• On December 9^th, Gov. Gavin Newsom (D-CA) appointed Sen.-elect Adam Schiff (D-CA) to the U.S. Senate following the resignation of Sen. Laphonza Butler (D-CA) on December 8^th. This means Schiff will serve out the remainder of Butler’s term in the 118^th Congress before being sworn in to his own full six-year term. 

• On December 4^th, the Associated Press called California’s 13^th Congressional District for Democrat Adam Gray, who defeated incumbent Rep. John Duarte (R-CA).
  
• On November 27^th, the Associated Press called California’s 45^th Congressional District for Democrat Derek Tran, who defeated incumbent Rep. Michelle Steel (R-CA). 

Northwest 

• On December 11^th, the U.S. Coast Guard issued an updated to its Notice of Availability in the Federal Register for its Programmatic Environmental Impact Statement (PEIS) regarding the expansion and modernization of Base Seattle in Washington State, which will extend its availability for public review from December 15, 2024 until January 10, 2025. The PEIS considers multiple alternatives for expansion and modernization of the Base, including the acquisition of additional land, the demolition and construction of facilities, and utility upgrades among other improvements required to support Coast Guard personnel and assets. 

• On December 11^th, the Energy Department (DOE) announced that Austin, Texas-based Aalo Atomics plans to build a new experimental reactor facility at the Idaho National Laboratory (INL) in Idaho Falls, Idaho. Aalo Atomics is developing a 10-megawatt-electric sodium-cooled microreactor inspired by DOE’s MARVEL microreactor design currently under development at INL. The company is working to optimize the reactor for mass manufacturing and plans to use existing commercial supply chains to deliver clean, low-cost heat to power everything from data centers to industrial facilities.

Midwest 

• On December 4^th, Detroit Mayor Mike Duggan (D) said that he will leave the Democratic Party to run for Michigan governor as an independent. 

• On December 2^nd, the Farmington, Minnesota City Council approved a final plat and planned unit development for Denver-based company Tract to build a $5 billion data center development that will include up to 12 data centers across some 340 acres. 

• On December 2^nd, the Energy Department announced a conditional loan of $7.54 billion to Samsung SDI Co. Ltd. and Stellantis NV to construct battery manufacturing plants in Indiana. The loan would fund as many as two lithium-ion battery cell and module manufacturing plants in Kokomo, Indiana for use in electric vehicles manufactured by Stellantis.

• On November 27^th, the Associated Press called Iowa’s 1^st Congressional District for incumbent Rep. Mariannette Miller-Meeks, who defeated Democrat Christina Bohannon. 

Southeast

• On December 9^th, the National Aeronautic and Space Administration awarded an eight-year, $823 million contract to Nova Space Solutions to provide facility and other support services—including facility operations, maintenance, and engineering support—at the John C. Stennis Space Center in Mississippi and Marshall Space Flight Center’s Michoud Assembly Facility in Louisiana.  

• On December 9^th, Kentucky Gov. Andy Beshear (D) was elected Chair of the Democratic Governors Association for 2026. Beshear will serve as vice chair in 2025, when Kansas Gov. Laura Kelly will continue as the group’s chair. 

• On December 8^th, President-elect Trump’s daughter-in-law Lara Trump resigned as co-chair of the Republican National Committee amid speculation that she could be named to replace Florida Sen. Marco Rubio (R), who has been nominated to be Trump’s Secretary of State.

Southwest

• On December 11^th, President-elect Trump tapped former Arizona gubernatorial and U.S. Senate candidate Kari Lake to lead Voice of America, a congressionally funded broadcaster than provides independent news reporting around the world. 

• On December 10^th, an administrative law judge with the National Labor Relations Board ruled that Honeywell, Inc. subsidiary National Technology and Engineering Solutions of Sandia LLC (NTESS), which operates Sandia National Laboratories in Albuquerque, New Mexico, violated federal labor law by stopping union dues deductions and refusing to provide wage step increases to eligible employees. The case stems from stalled negotiations between NTESS and an affiliate of the Office & Professional Employees International Union, leading to the first time that a collective bargaining agreement had expired without either an agreement to extend or a new agreement in place. The company relied on a decision from the Trump-era NLRB that permitted employers, after a contract ended, to stop taking dues from workers’ paychecks and transferring them to unions.

Alaska and Hawaii

• On December 9^th, the Interior Department’s Bureau of Land Management issued a Notice of Sale to auction oil and gas drilling rights in 400,000 acres of the Arctic National Wildlife Refuge in northern Alaska—the smallest amount possible under federal law. The auction is one of two sales that Congress mandated in 2017 as an offset for the Tax Cuts and Jobs Act.

As part of its ongoing commitment to protecting your livelihood and setting the stage for a bright future, MCAA has secured the services of Longbow Public Policy Group to advise our MCAA Government Affairs Committee (GAC). GAC Chair, Jim Gaffney will be passing along information relative to our industry on a regular basis.

On Monday, November 25, 2024 MCAA Lobbying Firm, Longbow Public Policy Group provided the following information:

Trump Administration Appointments 

Cabinet, Independent Agency, and White House Staff Picks

Over the last two weeks, President-elect Trump announced nominees for his incoming Cabinet, for independent federal agencies, and for positions on his White House staff. For his Cabinet, Trump has selected: (1) Liberty Energy CEO Chris Wright as Energy Secretary; (2) former Rep. Lee Zeldin (R-NY) as EPA Administrator; (3) North Dakota Gov. Doug Burgum (R) as Interior Secretary and “Energy Czar”; (4) Fox News host and former Rep. Sean Duffy (R-WI) as Transportation Secretary; (5) Trump transition co-chair Howard Lutnick as Commerce Secretary; (6) Robert F. Kennedy, Jr. as Health and Human Services Secretary; (7) South Dakota Gov. Kristi Noem as Homeland Security Secretary; (8) Former Florida Attorney General Pam Bondi for U.S Attorney General following the withdrawal of former Rep. Matt Gaetz from consideration; (9) Fox News host Pete Hegseth as Defense Secretary; (10) former Rep. Tulsi Gabbard (D) as Director of National Intelligence; (11) Sen. Marco Rubio (R-FL) as Secretary of State; (12) Rep. Elise Stefanik as Ambassador to the United Nations; (13) former Trump Director of National Intelligence John Ratcliffe as CIA Director; (14) Trump transition co-chair Linda McMahon as Education Secretary; and (15) former Rep. Doug Collins (R-GA) as Veterans Affairs Secretary.

Teamsters President Sean O’Brien is also urging Trump to consider GOP Rep. Lori Chavez-DeRemer (who recently lost re-election to Oregon’s 5^th Congressional District) as his next Labor Secretary. It is confirmed that she will be interviewed for the job, but there are still several candidates for this position. 

For independent agencies, Trump has nominated: (1) Federal Communications Commission (FCC) member Brendan Carr to be the next FCC Chair; and (2) TV doctor and former Pennsylvania Republican U.S. Senate candidate Dr. Mehmet Oz to be the next Administrator of the Centers for Medicare and Medicaid Services. 

With regard to senior White House staff, Trump announced that: (1) his campaign manager, Susie Wiles, will serve as White House Chief of Staff; (2) campaign and former Trump White House aide Stephen Miller will serve as Deputy Chief of Staff for Policy; (3) former Acting Immigration and Customs Enforcement head Tom Homan will serve as “Border Czar”; (4) James Braid will serve as White House Director of Legislative Affairs; (5) William McGinley will serve as White House Counsel; (6) longtime Trump aide Dan Scavino will serve as Assistant to the President and Deputy Chief of Staff; (7) James Blair will serve as Deputy Chief of Staff for Legislative, Political, and Public Affairs; (8) Taylor Budowich will serve as Deputy Chief of Staff for Communications and Personnel; (9) Sergio Gor will serve as the head of the White House Personnel Office; (10) Trump campaign communications director Steven Cheung will serve as White House Communications Director; (11) Trump campaign spokesperson Karoline Leavitt will serve as White House Press Secretary; (12) Trump attorney Will Scharf will serve as White House Staff Secretary; (13) Rep. Mike Waltz (R-FL) will serve as National Security Advisor; and (14) tech entrepreneurs Elon Musk and Vivek Ramaswamy will serve as the co-heads of the newly-created Department of Government Efficiency. 

Congress

Senate Republican Leadership Elections for the 119^th Congress

On November 13^th, Senate Republicans held their leadership elections for the 119^th Congress and elected: (1) Senate Minority Whip John Thune (R-SD) as the next Senate Majority Leader; (2) Senate GOP Conference Chair John Barrasso (R-WY) as the next Senate Majority Whip; (3) Sen. Tom Cotton (R-AR) as the next Senate GOP Conference Chair; (4) Sen. Shelley Moore Capito (R-WV) as GOP Policy Committee Chair; (5) Sen. James Lankford (R-OK) as GOP Conference Vice Chair; and (6) Sen. Tim Scott (R-SC) as Chair of the National Republican Senatorial Committee. During a press conference following his election, incoming Senate Majority Leader Thune also said that the Senate filibuster will remain in place under the Republican Senate majority. 

Senate Committee Leadership for the 119^th Congress

As lawmakers look to the 119^th Congress, Sen. Bill Cassidy (R-LA) announced on November 14^th that he will serve as the next Chair of the Senate Health, Education, Labor, and Pensions (HELP) Committee next Congress after serving as the Ranking Member during the 118^th Congress. Cassidy’s announcement followed a statement earlier that day from Sen. Rand Paul (R-KY) that he would not pursue the chairmanship on the Senate HELP Committee and would instead become chair of the Senate Homeland Security and Governmental Affairs Committee. 

In other Senate committee news of interest to MCAA: (1) Sen. Ted Cruz (R-TX) will be the incoming chair of the Senate Commerce Committee after serving as the Ranking Member during the 118^th Congress; (2) Sen. Mike Lee (R-UT) will be the incoming chair of the Senate Energy and Natural Resources Committee; and (3) Sen. Susan Collins (R-ME) will be the incoming chair of the Senate Appropriations Committee after serving as the Ranking Member during the 118^th Congress. 

House Republican Leadership Elections for the 119^th Congress

On November 13^th, House Republicans held their leadership elections and nominated Speaker Mike Johnson (R-LA) for another term in the 119^th Congress. The House GOP Caucus filled out its leadership nominations with: (1) Rep. Steve Scalise (R-LA) as House Majority Leader; (2) Rep. Tom Emmer (R-MN) as House Majority Whip; (3) Rep. Lisa McClain (R-MI) as GOP Conference Chair; (4) Rep. Blake Moore (R-UT) as GOP Conference Vice Chair; and (5) Rep. Richard Hudson (R-NC) as Chair of the National Republican Congressional Committee. After the leadership elections, House Republicans announced a deal on rules for the 119th Congress that will raise the threshold for triggering a vote to remove the Speaker to nine members, up from the current one member threshold. In exchange, centrist Republicans agreed to drop their efforts to punish members who defied leaders and the will of the conference.

In addition to nominating leadership positions, last Wednesday, House Republicans named the members of the GOP Steering Committee, which holds power to set most House GOP committee assignments and to select committee chairs. Louisiana is going to be a powerful voting bloc, holding seven of the 37 Steering Committee votes with Speaker Mike Johnson (R-LA) wielding four votes, House Majority Leader Steve Scalise (R-LA) wielding two votes, and Rep. Julia Letlow (R-LA) having one vote. Among the committees with contested races for Chair that the Steering Committee will decide are the battle to lead the House Education and the Workforce Committee and the fight to chair the House Energy and Commerce Committee. Rep. Burgess Owens (R-UT) is currently viewed as having the edge over Rep. Tim Wahlberg (R-MI) to be the next chair of House Education and the Workforce, while Reps. Brett Guthrie (R-KY) and Bob Latta (R-OH) are the leading contenders to chair House Energy and Commerce. Additionally, because she is term-limited atop the Education and Workforce Committee, Rep. Virginia Foxx (R-NC) (who is vehemently anti-union) could seek to chair the House Rules Committee in the 119^th Congress. The Rules Committee Chair is selected by the House Speaker, and not the Steering Committee. Rep. Pete Sessions (R-TX), who chaired the House Rules Committee from 2013 to 2018, is also in the mix to potentially reclaim the Rules Committee gavel in the 119^th Congress. 

House Democrat Leadership Elections 

On November 19^th, House Democrats held their leadership elections and nominated: (1) Rep. Hakeem Jeffries (D-NY) as House Minority Leader; (2) Rep. Katherine Clark (D-MA) as Minority Whip; (3) Rep. Pete Aguilar (D-CA) as Democratic Caucus Chair; (4) Rep. Ted Lieu (D-CA) as Democratic Caucus Vice Chair; (5) Rep. Joe Neguse (D-CO) as Assistant Democratic Leader; and (6) Rep. Debbie Dingell (D-MI) as Democratic Policy and Communications Committee Chair. Additionally, while it has not yet been decided, Rep. Suzan DelBene (D-WA) is favored to continue as Chair of the Democratic Congressional Campaign Committee.

MCAA Issues and Interests 

Registered Apprenticeship

House Lawmakers Introduce Bill to Resurrect IRAPs Without a Construction Exemption

On November 15^th, Rep. Bob Good (R-VA) (who lost his primary for Virginia’s 10^th Congressional District election earlier this year) and Rep. Mary Miller (R-IL) (who won re-election to Illinois’ 15^th Congressional District this month) introduced the “Developing America’s Workforce Act,” (H.R. 10122), legislation that would reinstate the first Trump Administration’s Industry-Recognized Apprenticeship Programs (IRAPs) with one important change—it would eliminate the “construction exemption” that MCAA and its allies secured in the Trump-era final rule before having it rescinded during the Biden Administration. Notably, this legislation is similar to legislation introduced earlier this year by incoming Senate Majority Leader John Thune (R-SD) entitled, the “Training America’s Workforce Act,” (S. 1213), which would also reinstate IRAPs without the construction exemption. While these bills are unlikely to move during the lame duck session of Congress, they will certainly re-emerge during the 119^th Congress with the support of incoming Senate leader Thune and Rep. Miller (R-IL), who also serves as a member of the House Education and the Workforce Committee. 

Independent Contractors and Misclassification of Workers 

IRS Advisory Committee Meeting to Discuss Employee Misclassification Following MCAA-Supported Independent Contractor Rule 

Last Wednesday, the MCAA policy team attended a meeting of the Internal Revenue Service Advisory Council (the Council) at IRS headquarters to review the IRSAC’s 2024 report and recommendations to IRS leadership on measures to improve tax administration on a range of issues. Of interest to the MCAA, among other proposals, the Council’s Information Reporting Subcommittee made recommendations (beginning on page 105 of the report) regarding the misclassification of workers as independent contractors versus employees and challenges arising from discrepancies between the worker classification standards the IRS applies compared to the Department of Labor (DOL). 

The Council recommended that the IRS: (1) work with DOL to define employee versus independent contractor and produce a guide to explain the differences; (2) work within the definitions established by DOL to eliminate gaps and improve clarity to prevent misclassification; and (3) seek legislative changes that permit the IRS to require prospective reclassification of currently misclassified workers, issue generally applicable guidance on the proper classification of workers, require notice to independent contractors of the tax and other consequences of being a contractor versus an employee, and disclose information to the Department of Labor about workers who are reclassified.

Pension Reform

EBSA Seeks Information to Populate Retirement Savings Lost and Found Database

Last Tuesday, the Labor Department’s (DOL) Employee Benefits Security Administration (EBSA) issued an information collection request (ICR) and an associated fact sheet requesting information from retirement plan administrators that will allow EBSA to begin populating the Retirement Savings Lost and Found Database—an online search tool to help workers locate lost retirement savings they earned. The SECURE 2.0 Act directed EBSA to establish the Retirement Savings Lost and Found Database by December 29, 2024. To populate the database, DOL needs retirement plan administrators, recordkeepers and other service providers to collaborate to voluntarily provide plan information as a first step towards making the database available to the public. This information includes: (1) the name and plan number as reflected on the most recent Form 5500 Annual Return/Report of Employee Benefit Plan or Form 5500-SF Short Form Annual Return/Report of Employee Benefit Plan (individually and collectively, Form 5500); (2) the name, employer identification number (EIN), mailing address, and telephone number of the plan administrator as reflected on the most recent Form 5500; (3) the name, EIN, and telephone number of the plan sponsor as reflected on the most recent Form 5500; (4) the name and Social Security Number of any separated vested participant aged 65 or older who is owed a vested benefit, including deceased participants who would have been age 65 or older if they had survived and whose beneficiary is entitled to a benefit, separated vested participants aged 65 or older whose benefits were conditionally forfeited under Treasury Regulation section 1.411(a)-4(b)(6), and separated vested participants aged 65 or older who are in pay status; and (5) with respect to participants previously reported to the Retirement Savings Lost and Found Database who were owed a benefit that has since been paid, notification once their benefit has been paid and the date of the payment. Information may be submitted on the DOL Retirement Savings Lost and Found Database here.

Biden Withdraws Nominee to Lead PBGC 

On November 14^th, President Joe Biden withdrew the nomination of Deva Kyle to serve as the next Director of the Pension Benefit Guaranty Corporation. Kyle had originally been scheduled for a confirmation hearing in the Senate Finance Committee on November 14^th before her nomination was abruptly withdrawn. The White House did not provide an explanation for the withdrawal of the nomination, but it was clear Republicans were not going to cooperate in advancing her because they would prefer to have president-elect Trump appoint the next leader of the pension insurance agency.

PBGC Releases FY 2024 Annual Report

On November 18^th, the Pension Benefit Guaranty Corporation (PBGC) released its fiscal year (FY) 2024 Annual Report highlighting that the Multiemployer Program had assets of $4.5 billion and liabilities of $2.3 billion, as of September 30, 2024. The net financial position of the Multiemployer Program improved in FY 2024, to a positive net position of $2.1 billion, compared with the program’s positive net position of $1.5 billion in FY 2023. The report also explains that the Multiemployer Program is likely to remain solvent for more than 40 years, primarily due to the enactment of the Special Financial Assistance (SFA) Program as part of the American Rescue Plan Act. Finally, PBGC notes that it has provided $163 million in traditional financial assistance to 98 insolvent multiemployer plans covering 62,881 participants receiving guaranteed benefits.

Taxes and Reauthorization of the 2017 Tax Cuts and Jobs Act 

House Majority Leader Scalise Details GOP Priorities for Reconciliation Bill 

On November 19^th, House Majority Leader Steve Scalise (R-LA) laid out his party’s biggest legislative priorities for a reconciliation bill next Congress, including: (1) funding the U.S.-Mexico border wall; (2) cutting various Democratic policies and some spending programs enacted under President Biden, including the Inflation Reduction Act; and (3) locking in the tax cuts that were included in the 2017 Tax Cuts and Jobs Act. Additionally, Majority Whip Tom Emmer (R-MN) announced that Republican leaders would be doing listening sessions with members on reconciliation next month. This comes as President-elect Trump’s team and congressional Republicans are discussing ways to pay for tax cuts in the next Congress, including: (1) tariffs at rates of 10% and 20% on imported goods; (2) cuts to the Inflation Reduction Act; (3) changes to international business taxes, including the Global Intangible Low-Taxed Income and the Alternative Minimum Tax for corporations; and (4) cancelling the Employee Retention Tax Credit.

Buffalo Event with House Ways and Means Chair Smith (R-MO) and Rep. Tenney (R-NY)

On Sunday November 17^th, an MCAA representative joined House Ways & Means Chair Jason Smith (R-MO) and House Ways & Means Committee Member Claudia Tenney (R-NY) at the Buffalo Bill vs. Kansas City Chiefs game. It gave MCAA a chance to advocate its views on maintaining several provisions from the 2017 Tax Cut and Jobs Act that are set to expire next year, including maintaining the corporate tax rate, the 20% business pass through deduction, and favorable depreciation of new and used business equipment. MCAA also made its case for limiting efforts to pay for various tax proposals at the expense of the following tax credits and incentive programs enacted over the last four years: the 45U nuclear credit, the Section 45V hydrogen credit, the 45Q carbon oxide sequestration credit, and the Civil Nuclear Credit Program and the Inflation Reduction Act’s bonus credit for satisfying prevailing wage and apprenticeship requirements. This advocacy will continue throughout the lame duck session of Congress and into the next Congress when renewing the 2017 tax law will be a priority for the Trump Administration and the Republican Congress.

OSHA Proposed Rule on Heat Injury and Illness Prevention 

Meeting with CISC to Discuss Joint Comments on Proposed Heat Injury and Illness Rule

Last Thursday, MCAA participated in a call with the Small Business Administration (SBA) Office of Advocacy to continue pressing concerns about the adverse impacts of the Occupational Safety and Health Administration’s (OSHA’s) proposed rule on Prevention of Heat Injury and Illness in Outdoor and Indoor Work Settings. Following the election, MCAA believes there is an increased chance of having this pending rule reconsidered when the new Administration takes office. While we ramp up this advocacy, MCAA is continuing to work with the Construction Industry Safety Coalition (CISC) on detailed comments on behalf of the entire construction industry highlighting issues with the proposed rule.

Decarbonization

House Passes MCAA-Supported HEATS Act

During the week of November 11^th, the MCAA policy team’s lobbying paid off as the House passed the Harnessing Energy at Thermal Sources (HEATS) Act (H.R. 7409) by a vote of 225-181. This bill would exempt geothermal exploration and development projects on state- or privately-owned land from federal permitting and compliance requirements if the United States’ ownership interest of a property’s subsurface geothermal estate is less than 50%. The bill’s sponsor, Rep. Young Kim (R-CA), was very appreciative of the MCAA’s support. Given the short time remaining in the 118^th Congress and the small amount of support from House Democrats, however, it is unlikely that this bill will pass the Senate by unanimous consent and even more unlikely that the Senate will devote the precious remaining floor time to advancing the bill given the priority being given to confirming Biden appointees. We are, however, continuing to confer with Rep. Kim’s staff to see if there is a viable path to getting this bill to President Biden’s desk before the end of this Congress. And we are of course prepared to renew efforts on it next Congress.

Relatedly, last Wednesday, the House passed by a vote of 244-171 the MCAA-supported Committing Leases for Energy Access Now (CLEAN) Act legislation that would require the Department of the Interior (DOI) to increase the frequency of lease sales under the Geothermal Steam Act and establish deadlines for consideration of geothermal drilling permits. The bill also seeks to speed up the permit process for lease sales by setting a 30-day deadline for the DOI to notify an applicant if a permit has been approved.

DOE Announces $2.2 Billion for Two Hydrogen Hubs in the Midwest and Along the Gulf Coast

Last Wednesday, the Energy Department (DOE) announced $2.2 billion in award commitments for the Gulf Coast and Midwest Regional Clean Hydrogen Hubs (H2Hubs) to help accelerate the commercial-scale deployment of low-cost, clean hydrogen. The DOE’s H2Hubs program was created by the Bipartisan Infrastructure Law to kickstart a national network of clean hydrogen producers, consumers, and related infrastructure while supporting the production, storage, delivery, and end-use of clean hydrogen. DOE is committing up to $1.2 billion of federal cost share for the Gulf Coast Hydrogen Hub, led by HyVelocity, LLC, to produce clean hydrogen from both water through electrolysis and from natural gas while utilizing carbon capture and storage. The Gulf Coast Hydrogen Hub is expected to create approximately 45,000 direct jobs over the project’s lifetime. Separately, DOE is committing up to $1 billion of federal cost share for the Midwest Hydrogen Hub, led by the Midwest Alliance for Clean Hydrogen LLC, to leverage energy sources (e.g., renewable wind energy, natural gas, and nuclear energy) to support the decarbonization of industries including steel and glass production, manufacturing, power generation, refining, and heavy-duty transportation across Illinois, Indiana, Iowa, and Michigan. The Midwest Hydrogen Hub anticipates creating approximately 12,000 direct jobs over the project’s lifetime.

Democrats Urge Changes to Clean Hydrogen Production Credit

Last Tuesday, Democratic Reps. Suzan DelBene (WA), Frank Mrvan (IN), Rick Larsen (WA), Marilyn Strickland (WA), Raul Ruiz (CA), Kim Schrier (WA), Jimmy Panetta (CA), Marc Veasey (TX), Adam Smith (WA), Ami Bera (CA), and Mike Levin (CA), who all represent states that are part of federally-supported hydrogen hubs, sent a letter to Treasury Secretary Janet Yellen and Internal Revenue Service Commissioner Danny Werfel urging changes to the proposed Section 45V clean hydrogen production credit rules implementing the Inflation Reduction Act’s support for hydrogen infrastructure. Specifically, the members warned that “[i]f the guidance is too restrictive, it would severely hamper our ability to compete globally and could allow countries like China to surpass us in this critical technology.” The members specifically recommended that the 45V credit rules include more flexible “incrementality requirements,” including counting any curtailed capacity from hydropower and nuclear facilities. They also urged a more gradual implementation timeline in the final rule that takes into account regional variations in energy availability and grid capacity.

EPA Releases Methane Emissions Final Rule

On November 12^th, the Environmental Protection Agency (EPA) released a final rule to require oil and gas companies for the first time to pay a federal fee if they emit methane above certain levels. As outlined by the EPA, excess methane produced in 2024 could result in a fee of $900 per ton, with fees rising to $1,200 per ton in 2025 and $1,500 per ton by 2026. The EPA argues that the fee will encourage deployment of available technologies to reduce methane emissions and other harmful air pollutants. This comes as the American Petroleum Institute (API) urged the incoming Trump Administration to work with Congress to repeal these fees on methane emissions from drilling operations and to also do away with vehicle emissions standards meant to move the auto industry to produce more electric vehicles and lift a pause on export permits for liquefied natural gas facilities.

Rep. Palmer (R-AL) Introduces CRA to Rescind AMPC Final Rule 

Last Tuesday, Rep. Gary Palmer (R-AL) introduced a Congressional Review Act resolution (H.J. Res. 222) to nullify the Internal Revenue Service’s October 28, 2024 final rule implementing the Inflation Reduction Act’s Section 45X Advanced Manufacturing Production Credit (AMPC). This credit is aimed at incentivizing the production of certain “eligible components” for energy systems in the U.S., including certain components for solar and wind energy, inverters, qualifying battery components, and critical minerals.

Biden Administration Releases Report on Sustainable Aviation Fuel 

On November 13^th, the Energy Department (DOE) announced the release of its “Pathways to Commercial Liftoff: Sustainable Aviation Fuel (SAF),” which analyzes the technical and commercial readiness of several SAF production pathways and highlights actionable steps that both the public and private sector can take to make the United States a global leader in SAF production by 2030. Among other things, the report finds that the biggest barrier is that SAF costs two to ten times more than fossil jet fuel, depending on the feedstock and conversion technology used to produce it, and that SAF liftoff by 2030 will require accelerated deployment of production technologies and feedstocks that are readily available today. The SAF Liftoff report complements two conditional commitments announced by DOE in October 2024 to scale domestic SAF production: (1) a $1.44 billion loan guarantee to Montana Renewables, LLC that, if finalized, will help finance the expansion of a renewable fuels facility in Great Falls, Montana, that will utilize vegetable oils, fats, and greases to produce SAF, renewable diesel, and renewable naphtha; and (2) a $1.46 billion loan guarantee to Gevo Net-Zero 1, LLC that will help finance the first of a kind large-scale corn starch-to-jet fuel facility in Lake Preston, South Dakota.

Biden Administration Releases Roadmap to Triple U.S. Nuclear Capacity by 2050

On November 12^th, the Biden Administration laid out a roadmap for plans to triple U.S. nuclear capacity by mid-century. The plan sets a goal of 200 gigawatts of new capacity by 2050, more than three times the 2020 capacity. The plan calls for the development of large and small modular nuclear plants, as well as upgrades to existing reactors and restarting retired ones. This includes adding 35 gigawatts of new capacity by 2035 and a goal of 15 gigawatts per year by 2040.

Federal Contracting 

OFCCP Publishes Latest Corporate Scheduling Announcement List 

Last Wednesday, the Labor Department’s Office of Federal Contract Compliance Programs (OFCCP) announced the publication of the latest Corporate Scheduling Announcement List (CSAL) for supply and service contractors (which can be accessed on the OFCCP’s webpage). The CSAL for supply and service contractors is a list of 2,000 federal contractors and subcontractors that have been selected for a compliance evaluation, which the OFCCP may begin scheduling immediately. OFCCP encourages contractors to take advantage of the agency’s compliance assistance offerings and to contact their local field and regional offices for technical assistance as they prepare for the evaluation. OFCCP has also published the methodology for developing this list as well as frequently asked questions (FAQs) where answers to other matters related to this topic are included.

Other Interesting Things Since Our Last Report 

Thursday, November 18^th

• President-elect Trump is looking to revive the Keystone XL pipeline on his first day back in the White House. Trump’s renewed interest in the pipeline, however, faces challenges. For example, TC Energy, the pipeline’s developer, said it would no longer pursue its construction. In addition, portions of the pipeline that were already put in the ground have been dug up and replacing that pipe would require any company that wants to rebuild it to again obtain local permits for the project.

• The Biden Labor Department (DOL) issued a press release highlighting DOL-commissioned research that found that a national paid family and medical leave program would reduce poverty across all communities and diminish the poverty gap among workers, especially Black and Hispanic workers who experience some of the highest poverty rates. The research also includes four state-specific reports estimating the costs and benefits of proposed paid family and medical leave policies in Maryland, Michigan, Pennsylvania and Washington State. Only 13 states and Washington, D.C. currently have paid family and medical leave programs. As of March 2023, only 27% of civilian workers had access to paid family leave through their employer and 41% of civilian workers had access to short-term disability insurance through their employer. The reports and more information on the studies are available here.

• Senate Judiciary Subcommittee Ranking Member Lee (R-UT) is reportedly urging the Trump Administration to use federal competition laws “where it’s warranted” but said he did not want to see the next Department of Justice use antitrust “as a Swiss army knife tool of sorts, to pursue all sorts of policy agenda items that have nothing to do with competition” (i.e., using competition law to advance labor and employment law matters like banning non-competition agreements). 

• House Education and the Workforce Committee Chair Virginia Foxx (R-NC) sent a letter to the Department of Labor (DOL) Inspector General following reports that DOL, under the guise of an Employee Benefits Security Administration (EBSA) investigation, secretly shared confidential information involving at least six employee benefit pension plans with a plaintiff’s attorney for use against plan fiduciaries. In the letter, Foxx said that DOL “appears to be working in concert with plaintiffs’ attorneys” to supply “confidential information to plaintiffs’ attorneys for use in private litigation against plan fiduciaries.”

Wednesday, November 17^th

• Senate Minority Leader Mitch McConnell (R-KY) declared that Republicans are planning to make vigorous use the Congressional Review Act to kill Biden Administration rules. McConnell did not detail any specific rulemakings that would be targeted but did generally reference as examples rules involving “job-killing energy policies.”

• Commerce Secretary Gina Raimondo is working to commit every unspent dollar in the CHIPS and Science Act’s $50 billion microchip-subsidy program before President-elect Donald Trump takes over in January to cement a Biden Administration priority before the Trump Administration can reverse course and pull back funding.

Tuesday, November 16^th

• The Labor Department (DOL) published a blog post highlighting results from a recent Gallup poll that found support for unions has reached 70%, just one point below the highest level recorded since 1965, while disapproval of unions has fallen to 23 percent, the lowest level in 57 years.

Monday, November 15^th

• President-elect Trump confirmed that he plans to declare a national emergency and use the military for mass deportations of immigrants in the U.S. illegally. Trump’s team is reportedly working to craft executive orders that can withstand legal challenges from immigration advocates to avoid court losses like the one he suffered over his 2017 Muslim ban. Trump also plans to quickly end the Biden Administration’s special visa-free parole process for immigrants from Cuba, Haiti, Nicaragua and Venezuela. On November 17^th, incoming Senate Homeland Security Committee Chair Rand Paul (R-KY) denounced the possibility of using the U.S. military for deportations, saying he would not support “an emergency to put the Army into our cities,” calling it “a huge mistake.”

• The White House formally requested Congress pass a $98.6 billion supplemental spending bill for disaster relief this year, with President Biden declaring that additional resources “are critical to continue to support” communities impacted by Hurricanes Helene and Milton and other disasters, including the Maui wildfires and the Francis Scott Key Bridge collapse in Baltimore.

Friday, November 15^th

• A federal judge for the U.S. District Court for the Eastern District of Texas struck down the Department of Labor’s (DOL) final rule on “Defining and Delimiting the Exemptions for Executive, Administrative, Professional, Outside Sales, and Computer Employees,” that would have made about 4 million more salaried U.S. workers eligible for overtime pay. U.S. District Judge Sean Jordan said that the rule improperly bases eligibility for overtime pay on workers’ wages rather than their job duties. The rule would have required employers to pay overtime premiums to salaried workers who earn less than $1,128 per week, or about $58,600 per year, when they work more than 40 hours in a week, beginning Jan. 1, 2025, and it had temporarily raised the threshold to about $44,000 per year on July 1. The previous threshold of about $35,500, which was set in 2019, will now be back in effect. DOL can seek review of the ruling in the New Orleans-based 5th U.S. Circuit Court of Appeals, which is widely regarded as the most conservative federal appeals court.

Thursday, November 14^th

• The White House Office of Information and Regulatory Affairs (OIRA) announced that it is reviewing the Occupational Safety and Health Administration’s (OSHA) final rule on “Personal Protective Equipment in Construction.” This rulemaking would specifically require that the PPE construction employers are required to provide properly fit workers. Under the rule, “proper fit” means the PPE is the appropriate size to provide an employee with the necessary protection from hazards and does not create additional safety and health hazards arising from being either too small or too large. OIRA review is typically the final step in the regulatory process before an item is published in the Federal Register.

• National Labor Relations Board (NLRB) member David Prouty suggested that NLRB Chair Lauren McFerran will likely leave the agency in December if the Senate fails to confirm her to a third term during the lame duck Congressional session. This would clear the way for a Republican Board majority early in the Trump administration.

Wednesday, November 13^th

• The National Labor Relations Board (NLRB) issued a decision in the Amazon.com Services, LLC ruling that employer-mandated “captive audience” meetings violate the National Labor Relations Act (NLRA). In its ruling, the NLRB overruled Babcock & Wilcox Co. and explained that such meetings violate Section 8(a)(1) of the NLRA because they have a reasonable tendency to interfere with and coerce employees in the exercise of their rights to join a union. However, the NLRB clarified that an employer may lawfully hold meetings with workers to express their views on unionization so long as workers are provided with reasonable advance notice of: (1) the subject of any such meeting; (2) that attendance is voluntary with no adverse consequences for failure to attend; and (3) that no attendance records of the meeting will be kept. The NLRB made clear that this new standard will be applied prospectively only, to appropriately accommodate the reasonable reliance employers may have previously placed on Babcock & Wilcox. NLRB Members Prouty and Wilcox joined Chairman McFerran in issuing the decision. Member Kaplan dissented. On Thursday, House Education and the Workforce Committee Chair Virginia Foxx (R-NC) responded to the NLRB’s ruling, saying the decision is “a blatant attempt to interfere with the lawful right of employers to communicate with their employees and tilt the playing field in the favor of Big Labor.”

• The Environmental Protection Administration (EPA) released its third annual progress report (available here) highlighting key EPA accomplishments under the national strategy to eliminate per- and polyfluoroalkyl substances or “forever chemicals” in communities across the country.

• More than 100 trade groups have signed a letter led by the ERISA Industry Committee, a trade group for large employer health plans, to push for legislation to increase the accountability of pharmacy benefit managers (PBMs). Among other priorities, the letter suggests banning spread pricing (i.e., charging a health plan sponsor more for a prescription drug than they charge to a pharmacy), requiring 100% pass-through to plan sponsors and patients of rebates, discounts, fees, and other payments from drug manufacturers, and de-linking PBM profits from list prices for drugs. 

Tuesday, November 12^th

• The Centers for Medicare & Medicaid Services (CMS) released the 2025 premiums, deductibles, and coinsurance amounts for the Medicare Part A and Part B programs, and the 2025 Medicare Part D income-related monthly adjustment amounts. Tables with Part B Immunosuppresive Drug Coverage and full Part B Coverage, Part A deductible and coinsurance amounts for calendar years 2024 and 2025, and Part D income-related monthly adjustment amounts are all available here. 

• The Pharmaceutical Research and Manufacturers of America (PhRMA) launched a major ad campaign pressing lawmakers to move forward on long-debated pharmacy benefit manager (PBM) reforms amid uncertainty over what will be included in a potential lame-duck health care package. PhRMA’s new national ad, launched Monday (Nov. 11), claims PBMs treat medicines as profit centers, pushing up costs for both patients and the health care system, and calls for PBMs to pass drug rebates and discounts directly to patients to help lower out-of-pocket costs.

Monday, November 11^th

• At an event in New York, Senate Majority Leader Chuck Schumer (D-NY) expressed confidence that the CHIPS and Science Act will survive under a Republican-led Congress. Schumer noted that the law passed with several Republican votes, including former Senate Minority Leader Mitch McConnell (R-KY) and 24 Republicans in the House. Moreover, Speaker Mike Johnson (R-LA) has walked back earlier remarks that the legislation may be targeted for repeal next Congress.

Around the Country 

Northeast 

• On November 21^st, Sen. Bob Casey (D-PA) conceded the Pennsylvania U.S. Senate to Republican Dave McCormick following a statewide recount.

• On November 21^st, the Department of Justice (DOJ), the Environmental Protection Agency (EPA), and the Commonwealth of Pennsylvania announced two separate settlement agreements with oil and gas operators XTO Energy and Hilcorp Energy Company to resolve claims the companies violated the Clean Air Act and Pennsylvania’s Air Pollution Control Act with their production operations in the state. XTO agreed to pay a $4 million civil penalty and undertake a project to eliminate methane emissions from orphaned wells and nearly 120 tons of volatile organic compound emissions annually. Hilcorp agreed to pay a $1.275 million penalty and will undertake a project to retrofit at least 164 pneumatic controllers that emit pollution with non-emitting process controllers at eight of the company’s facilities located in Lawrence and Mercer Counties, Pennsylvania.

• On November 20^th, the National Labor Relations Board (NLRB) announced that on November 4, 2024, Region 29-Brooklyn obtained a settlement agreement against Maxwell Plumb Mechanical Corp. (Maxwell), a plumbing and HVAC company located in Glendale, New York to resolve three unfair labor practice charges filed by Plumbers Local No. 1 of the United Association (UA) alleging that Maxwell required employees to sign an unlawful “stay-or-pay” contract or “training repayment agreement provision” (i.e., a requirement that employees reimburse the employer for training costs if the employees stop working for them), unlawfully terminated three employees, and unlawfully interfered with employees’ union and protected activities. Pursuant to the settlement agreement, Maxwell must reinstate three unlawfully terminated employees and provide $81,000 in compensation for backpay and financial damages that they suffered because of Maxwell’s conduct. In addition, the settlement requires Maxwell to post a Notice to Employees with information about their rights under the National Labor Relations Act.

• On November 18^th, Democratic Rep. Jared Golden (ME) defeated Maine state Rep. Austin Theriault (R) in the race for Maine’s 2^nd Congressional District.

• On November 15^th, the Department of Transportation (DOT) announced nearly $1.5 billion from the Bipartisan Infrastructure Law for 19 projects along the Northeast Rail Corridor (NEC) that will repair and replace infrastructure along the NEC. Selected projects receiving funding under this announcement include: (1) up to $397.2 million for the Mid-Atlantic OCS Replacement Program Phase 1 in Pennsylvania to replace and upgrade the catenary power system on an 18-mile segment of the Amtrak-owned Keystone Line between the Zoo substation in Philadelphia and the Paoli substation in Paoli, PA; (2) up to $24 million for the Washington Union Station Expansion Project in Washington, DC to construct a new bus facility, parking garage, and train hall, and improve bicycle and pedestrian infrastructure; (3) up to $13.4 million for the County-Newark Catenary Upgrades Project in New Jersey to replace and upgrade the catenary system along a 23-mile stretch of the Northeast Corridor between New Brunswick and Newark, NJ; and (4) up to $2.5 million for the Hartford Station Relocation Project in Connecticut for construction of a new Hartford train station and multimodal hub with associated realignment and double tracking of 2.1 miles of the New Haven-Hartford-Springfield corridor in Hartford, CT. The full list of projects is available here.

• On November 14^th, Sen. Susan Collins (R-ME) said she plans to run for a sixth term in the U.S. Senate, buoying Republicans’ hopes of retaining her seat in a 2026 cycle that features a tough map for Republicans. 

• On November 13^th, the White House announced three upcoming projects in Philadelphia, PA that will be covered by the Geographic and Economic Hiring Preferences Pilot Program, which establishes goals for hiring 50% of apprentices and 20% of journeypersons on public works projects from economically disadvantaged neighborhoods. The projects include: (1) two federally funded transportation projects identified by the City of Philadelphia’s Streets Department; and (2) an $87 million lead service line project from the Philadelphia Water Department.

• On November 13^th, Rep. Marc Molinaro (R-NY) announced he is entertaining the idea of returning to Congress by moving to New York’s 21^st Congressional District following Rep. Elise Stefanik’s (R-NY) nomination to be United Nations Ambassador. Molinaro lost recently lost re-election to New York’s 19^th Congressional District to Democrat Josh Riley. 

West

• On November 21^st, Rep. Robert Garcia (D-CA) announced the launch of the pro-housing “Yes In My Back Yard” (YIMBY) Caucus to promote the development of affordable housing units nationwide. The YIMBY Caucus will focus on encouraging new housing development, removing zoning rules and other barriers to the construction of new homes, and investing in the infrastructure needed to address the affordable housing crisis.

• On November 18^th, the Interior Department (DOI) announced $125 million in funding from the President’s Bipartisan Infrastructure Law to support projects in California and Utah through DOI’s new Large-Scale Water Recycling Program, which funds water infrastructure projects including water purification and reuse, water storage and conveyance, desalination, and dam safety. The projects include: (1) $60.4 million for the City of San Buenaventura’s Ventura Water Program, estimated to produce 3,600 acre-feet of recycled water annually; (2) $30 million for the Los Angeles Groundwater Replenishment Project, estimated to produce 26,000 acre-feet annually; (3) $26.2 million for the Metropolitan Water District of Southern California Pure Water Southern California, estimated to produce 118,590 acre-feet annually; and (4) $10.8 million for the Inland Empire Utilities Agency of California Advanced Treatment of Recycled Water to Enhance Chino Basin Resiliency Project, estimated to produce 15,000 acre-feet annually.

• On November 13^th, California State Rep. Dave Min (D) defeated Republican Scott Baugh in California’s 47^th Congressional District.   

• On November 13^th, California Rep. Mike Levin (D) defeated Republican Matt Gunderson in the race for California’s 49^th Congressional District.

• On November 12^th, California Rep. Ken Calvert (R) defeated Democrat Will Rollins in the race for California’s 41^st Congressional District.

Northwest 

• On November 19^th, the Oregon Capitol Chronicle reported that the Teamsters Council in Oregon, Idaho and Southwest Washington was one of about 20 unions to back Rep. Lori Chavez-DeRemer (R-OR) in her unsuccessful run for reelection, and that her father was a Teamster. The article goes on to detail that she is one of only three House Republicans to cosponsor the Richard L. Trumka Protecting the Right to Organize (PRO) Act, a Democratic priority which would weaken state “right-to-work” laws to allow unions to collect dues from all employees, increase penalties for employers who violate labor law and strengthen employees’ legal rights to join a union.

Midwest 

• On November 20^th, Rep. Marcy Kaptur (D-OH) defeated Republican Derrick Merrin in Ohio’s 9^thCongressional District.

• On November 18^th, Wisconsin Republican Eric Hovde conceded defeat to Democratic Sen. Tammy Baldwin (WI) in the Wisconsin U.S. Senate race.

• On November 5^th, Nebraska voters approved a ballot initiative that requires employers with fewer than 20 employees to provide up to 40 hours (five days) of sick leave annually, and larger employers with more than 20 employees to provide up to 56 hours (seven days) of sick leave annually. 

Southeast

• On November 18^th, Florida Gov. Ron DeSantis (R-FL) said that he will likely decide by January on who will replace Sen. Marco Rubio (R-FL), who was recently nominated to be President-elect Trump’s Secretary of State. This comes as Sen. Rick Scott (R-FL) said he has talked with RNC co-chair Lara Trump about her interest in filling Rubio’s Senate seat. Lara Trump reportedly made it clear that she would love to be appointed to Rubio’s seat.

• On November 13^th, Dominion Energy Inc.’s CEO Bob Blue said that the huge increase in power demand from data centers and artificial intelligence (AI) creates a conflict between maintaining a reliable grid and cutting carbon emissions. Virginia, where Dominion is based, is the global center of the rapidly expanding data-center industry and the company projects that its power demand will double by 2039. To help meet that increase, Dominion plans to build large amounts of solar, wind—including the biggest offshore wind farm in the US—and gas power, as well as battery storage. 

• On November 5^th, Missouri voters approved a ballot initiative that requires employers to provide one hour of paid sick time for every 30 hours worked, up to five days per year for small businesses (i.e., those with fewer than 15 employees) and seven days per year for larger businesses. 

Southwest

• On November 15^th, the Department of Commerce announced the award of up $6.6 billion in funding to TSMC Arizona Corporation (TSMC Arizona), a subsidiary of Taiwan Semiconductor Manufacturing Company Limited (TSMC), under the CHIPS Incentives Program’s Funding Opportunity for Commercial Fabrication Facilities. This award will support TSMC’s investment of more than $65 billion to construct three leading-edge semiconductor fabrication facilities in Phoenix, Arizona. The first fabrication facility is set to open and start production in the first half of 2025, the second fabrication facility is expected to open and start production in 2028, and the third fabrication facility is set to open and begin production by the end of the decade. The facilities are projected to create over 20,000 accumulated construction jobs and over 6,000 direct manufacturing jobs.

• On November 15^th, the Environmental Protection Agency (EPA) announced a Water Infrastructure Finance and Innovation Act (WIFIA) loan of $156 million to the City of Pflugerville, Texas to support drinking water infrastructure upgrades. This WIFIA loan will enable Pflugerville to plan, design, and construct three drinking water projects. The city will expand its water treatment plant and increase the capacity of the existing drinking water distribution system by upsizing pipes, constructing a new secondary Colorado River Raw Water Line, and upgrading pump stations. 

• On November 12^th, the Labor Department (DOL) announced that its Wage and Hour Division renewed a memorandum of understanding with the Travis County District Attorney’s Office in Austin, Texas for another five-year term to improve the protection of the county’s workforce and enforcement of wage laws, and to level the playing field for responsible employers.

• On November 12^th, Exxon Mobil Corp agreed to sell conventional oil drilling assets in the Permian Basin of Texas and New Mexico to privately-owned Hilcorp Energy for around $1 billion.

• On November 12^th, Rep. Ruben Gallego (D-AZ) defeated Republican Kari Lake in the Arizona U.S. Senate race.

Alaska and Hawaii 

• On November 21^st, Republican Nick Begich defeated Rep. Mary Peltola (D-AK) in the race for Alaska’s at-large Congressional District. 

• On November 5^th, Alaska voters approved a ballot initiative that requires employers to grant an hour of paid sick leave for every 30 hours workers, with a cap of 40 hours for small companies and 56 for larger companies.

As part of its ongoing commitment to protecting your livelihood and setting the stage for a bright future, MCAA has secured the services of Longbow Public Policy Group to advise our MCAA Government Affairs Committee (GAC). GAC Chair, Jim Gaffney will be passing along information relative to our industry on a regular basis.

On Monday, September 30, 2024 MCAA Lobbying Firm, Longbow Public Policy Group provided the following information:

MCAA Issues and Interests

Independent Contractors and Misclassification of Workers 

Foxx Subpoenas Acting DOL Secretary Su Regarding Biden Administration Efforts on Employee Misclassification 

While MCAA has been applauding the Biden Labor Department’s aggressive efforts to fight the misclassification of workers in our industry and the broader construction industry, last Monday Rep. Virginia Foxx (R-NC), the Chair of the House Education and Workforce Committee, expressed her displeasure with DOL’s efforts on this front by subpoenaing Acting Labor Secretary Julie Su for information about the Biden DOL’s “efforts to eliminate the independent contractor model and classify as many workers as possible as employees.” In the subpoena, Foxx seeks: (1) the total number of instances of misclassification that Labor Department inspectors have found; (2) the total number of misclassification enforcement investigations initiated, including the industry of those involved; and (3) the total number of misclassification enforcement investigations in which the Labor Department has collaborated with the National Labor Relations Board and the Federal Trade Commission. The subpoena requests responses by October 7, 2024.

Growing Speculation As To Who Will Run the Department of Labor

This week, speculation to who may be Secretary of Labor and hold other cabinet posts if Vice President Harris is elected President reached a new level. There is widespread speculation that California Senator Laphonza Butler, who chose not to run for a full term to replace Senator Diane Feinstein after being appointed to fill the remainder of her term, is being considered as a replacement for Julie Su at the Labor Department. In Republican circles, some of the names being discussed for Labor Secretary if President Trump wins include Patrick Pizzella, who was Deputy Secretary of Labor in Trump’s first term and Virginia Labor Secretary Brian Slater, who served at the Departments of Labor and Transportation during Trump’s first term.  

Pension Reform

PBGC Seeks Nominations for Employer Representatives to Agency’s Advisory Committee by October 28, 2024

Last Thursday, September 27^th, the Pension Benefit Guaranty Corporation (PBGC) requested nominations by October 28, 2024 to fill three seats on the agency’s Advisory Committee that are set to expire after the November elections in February 2025. Two of the seats represent employers—like MCAA members—who maintain PBGC-insured defined benefit pension plans and one seat representing the general public. The PBGC Advisory Committee is responsible for advising the PBGC on investment policy and other matters related to the PBGC’s mission to provide insurance to both multiemployer and single employer defined benefit pension plans. Overall, the Advisory Committee comprises seven members: two representing employee organizations, two representing employers who maintain pension plans, and three representing the public. If anyone within MCAA is interested in serving, nominations should: (1) state the person’s qualifications to serve on the Advisory Committee, including any specialized knowledge or experience, such as current or past service as a trustee of a defined benefit multiemployer pension plan relevant to the nominee’s proposed Advisory Committee position representing employers who maintain pension plans; (2) state that the candidate will accept appointment to the Advisory Committee if offered; (3) include the nominee’s full name, work affiliation, mailing address, phone number, and email address; (4) include the nominator’s full name, mailing address, phone number, and email address; and (5) include the nominator’s signature. Nominations are due by October 28, 2024 and can be submitted by email to OfficeOfTheDirector@pbgc.org. 

Non-Compete Agreements

FTC Appeals Ruling Temporarily Blocking Final Rule Banning Non-Compete Agreements 

MCAA has long voiced its concerns about the Federal Trade Commission’s (FTC) final rule banning most noncompete agreements.  The regulation is currently on hold after two district courts enjoined its enforcements. MCAA is closely monitoring the ongoing litigation over this final rule. Last Wednesday, September 26^th, the FTC filed a notice of appeal to the U.S. Eleventh Circuit Court of Appeals seeking to overturn a Florida District Court’s ruling temporarily blocking the FTC’s final rule banning most non-compete agreements. The appeal comes as the FTC faces a separate October 19^th deadline to appeal to the U.S. Fifth Circuit Court of Appeals the Texas Federal District Court injunction against this regulation. 

Decarbonization

There were several developments on the decarbonization front last week:

Harris Campaign Evasive on “Green New Deal”

While Vice President Harris has been clear that if she is elected President she will seek an exception to the Senate filibuster to enact legislation to protect reproductive rights, her campaign is being notably silent and evasive as to whether she would also seek an exception to the filibuster to enact “Green New Deal” legislation. She vowed to do when she was running for President in 2019. Reporters are trying to pin her campaign down on whether she still supports doing so. 

EPA Announces Final Rule to Minimize Releases of HFCs by Addressing Leaks from Refrigerant-Containing Equipment and Offering Related Webinars for Stakeholders

As mentioned above, on Monday September 23^rd, the Environmental Protection Agency (EPA) announced its final rule establishing the Emissions Reduction and Reclamation (ER&R) program under the American Innovation and Manufacturing (AIM) Act to minimize releases of hydrofluorocarbons (HFCs) from leaks in air conditioners and refrigeration systems and to maximize the reuse of existing HFCs. The final ER&R program includes requirements for repairing leaking equipment, the installation and use of automatic leak detection systems on large refrigeration systems, using reclaimed HFCs to service certain existing equipment, and removal of HFCs from disposable cylinders before they are discarded. The regulations also establish a standard that limits the amount of new HFCs that can be contained in reclaimed HFC refrigerants. Additionally, the EPA is establishing alternative standards under the Resource Conservation and Recovery Act for ignitable spent refrigerants when recycled for reuse. The EPA also released a fact sheet, a frequently asked questions page, a regulatory impact analysis addendum, and a pre-publication copy of the final rule. Additionally, the EPA will hold webinars on October 17, 2024 (register here) and October 22, 2024 (register here) on the final rule that will include a Q&A period to address questions about the new regulations and their impact on stakeholder operations, and cover the phasedown and key dates in the AIM Act timeline.

Treasury and DOE Announce Receipt of 50K Applications for Clean Energy Projects through the Section 48(e) Low-Income Communities Bonus Credit Program

Last Tuesday, September 24^th, the Energy (DOE) and Treasury Departments announced the receipt of more than 50,000 applications requesting over six gigawatts of capacity for clean energy projects across the U.S. in the 2024 program year of the Inflation Reduction Act’s Section 48(e) Low-Income Communities Bonus Credit Program. The agencies also announced that applications will continue to be accepted on a rolling basis until October 10, 2024. The closure of the application window for the 2023 program year follows Treasury’s publication earlier this month of proposed guidance for the Clean Electricity Low-Income Communities Bonus Credit Program, which builds upon and opens the Low-Income Communities Bonus Credit Program to additional clean energy technologies beyond wind and solar, such as hydropower and geothermal. 

CFTC Approves Final Guidance Regarding the Listing of Voluntary Carbon Credit Derivative Contracts 

Late on Friday September 20^th, the Commodity Futures Trading Commission (CFTC) approved final guidance regarding the listing for trading of voluntary carbon credit derivative contracts. The guidance applies to designated contract markets (DCMs), which are CFTC-regulated derivatives exchanges, and outlines factors for DCMs to consider when addressing certain requirements under the Commodity Exchange Act (CEA) and CFTC regulations that are relevant to the listing for trading of voluntary carbon credit derivative contracts. The guidance also outlines factors for consideration when addressing certain requirements under the CFTC’s Part 40 Regulations that relate to the submission of new derivative contracts and contract amendments to the CFTC. The final guidance is available here.

Other Interesting Things Since Our Last Report 

Thursday, September 26^th

• Political data website FiveThirtyEight debuted its polling averages for 2024 Senate races and, as discussed above, three of the five most competitive races are in Florida, Texas, and Nebraska, where Republican incumbents led by fewer than five points in each. These three races are polling more competitively than high-profile swing-state Senate races in Nevada, Michigan, and Pennsylvania, where Democrats are trying to retain Senate seats. 

Wednesday, September 25^th

• The Labor Department (DOL) announced $71 million in grants to support 27 organizations serving 14 states and the District of Columbia to improve job quality and expand access to good jobs in critical sectors, including: (1) nearly $38 million through the second round of the Building Pathways to Infrastructure Jobs Grant Program for 13 public-private partnerships between unions, employers, workforce development partners, and state apprenticeship agencies in California, Colorado, Georgia, Illinois, Maryland, Nevada, New York, Pennsylvania, and Texas to train workers for good-paying infrastructure, advanced manufacturing, professional, scientific, and technical services jobs that support the renewable energy, transportation, and broadband infrastructure sectors; and (2) nearly $20 million in Workforce Pathways for Youth demonstration grants to six national organizations that provide workforce development and training programs to youth aged 14 to 21 years. A full list of recipients receiving funding through this award is available here.
  
• The Environmental Protection Agency (EPA) announced $49 million in funding for technical assistance providers in rural, small, and Tribal communities to provide training on water infrastructure and management best practices, assess water quality challenges, help communities navigate the federal funding application process, and strategically invest in reliable infrastructure solutions. The EPA identified four priorities for this funding, including: (1) acquisition of financing and funding through the Bipartisan Infrastructure Law and other funding opportunities; (2) assistance to communities with households relying on septic systems and other decentralized systems; (3) improvement of technical, managerial, and financial capacity; and (4) training and technical assistance to Tribes across all areas of their Clean Water Infrastructure. The notice of funding opportunity (NOFO) is available here and a frequently asked questions (FAQ) page for the Water Technical Assistance Program NOFOs is available here.
  
• The Department of Justice released a revised version of its guidance entitled, “Evaluation of Corporate Compliance Programs” that federal prosecutors use to assess a company’s compliance program when it comes under investigation for bribery, fraud, or other criminal offenses. The revised guidance includes, among other things, new language on consideration of a company’s use of artificial intelligence, how companies should handle whistleblowers, and how they should incorporate data and lessons learned from prior misconduct within their business and at other companies. 

• House Minority Leader Hakeem Jeffries (D-NY) went after Trump for reversing course on the state and local tax (SALT) deduction, noting it was “Trump and extreme MAGA Republicans” who imposed the “draconian cap on the state and local tax deduction that has cost middle class Americans thousands of dollars in increased taxes.”

Tuesday, September 24^th

• The Labor Department announced the release of its Artificial Intelligence (AI) & Inclusive Hiring Framework, a new tool designed to help employers reduce the risks of creating unintentional forms of discrimination and barriers to accessibility as they implement AI hiring technology and to help workers and job seekers navigate the potential benefits and challenges they may face when encountering AI-enabled technologies. The framework (available here) has 10 focus areas, including practices, goals and sample activities that employers can adopt in their AI governance and disability-inclusive hiring initiatives. Each area has information on maximizing benefits and managing risks for workers and job seekers when an organization assesses, acquires, or deploys an AI hiring technology.
  
• The Interior Department (DOI) announced $92 million in funding from the President’s Bipartisan Infrastructure Law for 19 projects to restore and protect aquatic ecosystems in California, Idaho, Nevada, New Mexico, Oregon, and Washington State, including infrastructure projects related to water storage, dam safety, water purification and reuse, and desalination. A full list of projects funded through this announcement is available here. 
  
• Former President Trump said if he were elected, he would reward U.S.-based manufacturers with expanded research and development (R&D) tax credits, which would allow businesses to “write off 100% of the cost of heavy machinery and other equipment in the first year.” If implemented, this proposal would reverse a major component of Trump’s 2017 Tax Cuts and Jobs Act, which phased out such R&D tax credits.

• White House climate adviser Ali Zaidi said the Biden Administration is racing to push out the billions of dollars in clean energy investments included in the Inflation Reduction Act—a pledge that comes as Trump is vowing to dismantle the whole effort. 

• Senate Republicans privately told their biggest donors that the Montana Senate race is nearly in the bag and that Ohio is trending in Republicans’ direction, explaining that Trump holds a nine-point lead in the state and GOP Senate candidate Bernie Moreno is only trailing incumbent Sen. Brown (D-OH) by two points. 

• The Congressional Leadership Fund (CLF), the top House GOP super PAC, announced $18.5 million in ad reservations to aid: (1) Rep. Mariannette Miller-Meeks (R-IA) in Iowa’s 2st Congressional District; (2) Republican Scott Baugh in California’s 47^th Congressional District; (3) Rep. Mike Lawler (R-NY) in New York’s 17^th Congressional District; (4) Rep. Anthony D’Esposito (R-NY) in New York’s 4^th Congressional District; (5) Rep. Marc Molinaro (R-NY) in New York’s 19^th Congressional District; and (6) Republican Tom Barrett in Michigan’s 7^th Congressional District. CLF also added $2.6 million in California which could be used to help incumbent Reps. Mike Garcia (R-CA-27), Michelle Steel (R-CA-45), or Ken Calvert (R-CA-41).

Monday, September 23^rd

• The U.S. Climate Alliance, a coalition of 24 governors, announced a pledge to train one million new apprentices for climate and clean power industries over the next decade by working with labor unions and industry, among others. The program, dubbed the Governors’ Climate-Ready Workforce Initiative, aims to boost clean energy jobs by ensuring paths to career growth and good salaries and targeting underrepresented populations to take clean jobs, including as heat pump installers, solar panel manufacturers, and electric vehicle technicians. The news comes one year after the alliance pledged to install 20 million new heat pumps by 2030, a goal that Washington Gov. Jay Inslee (D) said is ahead of schedule.

Friday, September 20^th

• The Department of Energy (DOE) announced the availability of $3 billion in funding from the Bipartisan Infrastructure Law for 25 projects across 14 states to extract, process, and recycle critical minerals and materials and manufacture key battery components, as well as support next-generation battery manufacturing. The selected projects span strategic segments across the supply chain by building and expanding commercial-scale facilities to both extract and recycle critical minerals including lithium, graphite, and manganese, as well as to manufacture components of batteries. The selected projects also cover traditional and next-generation lithium-ion chemistries, as well as non-lithium-ion technologies, to ensure that the U.S. has a diverse portfolio of domestic battery technologies that can strengthen our overall energy security. The projects, once fully contracted, are projected to support over 8,000 construction jobs and over 4,000 operating jobs. DOE notes that more than half of the awardees have committed to or already have signed a Project Labor Agreement commitment with union partners including, among others, the United Association (UA), North America’s Building Trades Unions (NABTU), the United Brotherhood of Carpenters (UBC), and the United Food and Commercial Workers International Union (UFCW). The full list of award recipients can be accessed here.

Around the Country 

Northeast 

• Last week, the New York Congressional delegation did not show much support for New York City Mayor Adams after federal prosecutors unveiled a 57-page indictment against him alleging that he engaged in widespread corruption, including by conspiring with the Turkish government to receive illegal foreign campaign contributions. The indictment also accuses Adams of seeking and accepting improper benefits since at least 2014, when he was Brooklyn Borough President. Senate Majority Leader Chuck Schumer (D-NY) was asked about Adams’ indictment but put his phone to his ear and told a reporter he couldn’t talk because he was on the phone with his doctor. House Democratic Leader Hakeem Jeffries (D-NY) issued a statement saying that, “Adams is entitled to the presumption of innocence” and that “a jury of the Mayor’s peers will now evaluate the charges in the indictment and ultimately render a determination.” Progressive Rep. Alexandria Ocasio-Cortex (D-NY) called on Adams to resign “for the good of the City.” At a press conference on Thursday in response to the indictment, Adams was drowned out by protestors from the Black Lives Matter Greater New York Chapter, whose members shouted, “You’re a disgrace to Black people in this City.” The indictment comes as former New York Gov. Andrew Cuomo (D) is signaling to allies that he is preparing a run for mayor of New York City. 

• On September 25^th, the Energy Department (DOE) announced $17 million in grants to 22 local governments and the state of New York through the Bipartisan Infrastructure Law’s Energy Efficiency and Conservation Block Grant (EECBG) Program. The funding will be used to, among other things, help low-income households complete energy assessments and efficiency upgrades and to help municipal facilities conduct electrification studies, purchase electric vehicle charging stations, and install solar arrays and battery storage systems. A full list of projects funded under this award and to date through the EECBG is available here.

• On September 24^th, the New York Times published an article accusing Rep. Anthony D’Esposito (R-NY) of giving his lover and his fiancée’s daughter part-time jobs in his district office on Long Island, a potential violation of House ethics rules. D’Esposito reportedly hired the pair shortly after taking office in 2023, together paying them nearly $30,000 in taxpayer funds. The report could be a drag on D’Esposito’s tight re-election effort in New York’s 4^th Congressional District—one of the most hotly contested House races in the country.

West

• On September 26^th, the Labor Department announced that it recovered $69,050 in back wages and an equal amount in liquidated damages for 27 plumbers employed by Bulletproof Plumbing and Heating Inc. of Colorado Springs, CO who were not paid overtime wages. 

• On September 25^th, nuclear startup Oklo announced that the Energy Department granted approval for the company to conduct site investigations for its plans to build a prototype of its small scale nuclear power plant at the Idaho National Laboratory. Oklo’s design is being viewed as a key to powering data centers and many tech leaders have invested in the company. The site investigations will focus on infrastructure planning, environmental surveys and geotechnical assessments. The project still requires approval from the Nuclear Regulatory Commission (NRC), but Oklo’s goal is to break ground at the Idaho site in 2026 and have the reactor up and running by 2027.

• On September 25^th, the Interior Department (DOI) announced $9.9 million in funding to address dangerous and polluting abandoned mine lands in Colorado. Projects receiving funding will support jobs in coal communities that close dangerous mine shafts, reclaim unstable slopes, improve water quality by treating acid mine drainage, and restore water supplies damaged by mining. Awards can also enable economic revitalization by reclaiming hazardous land for recreational facilities and other redevelopment, such as advanced manufacturing and renewable energy deployment.

Northwest 

• On September 23^rd, the Energy Department (DOE) announced up to $112.5 million in funding to accelerate the design, fabrication, and testing of multiple wave energy converters (WECs), which harness power from ocean waves. The funding will help identify and mature high-potential WEC technologies, reduce financial risks for developers and incentivize investors, progress technologies at smaller scales while developing toward utility scale, and increase learning for installation, operations, and maintenance. WECs with utility applications will be tested at PacWave South, a test facility for wave energy technology located off the coast of Newport, Oregon. The full funding opportunity is available here and an informational webinar will be held on October 9, 2024 to discuss the funding opportunity and areas of focus. (Registration is available here by clicking “informational webinar.”)

Midwest 

• On September 24^th, the Commerce Department announced a $123 million grant for Polar Semiconductor to expand its manufacturing facility in Bloomington, Minnesota, which will allow the company to nearly double its U.S. production capacity of power and sensor chips. President Biden hailed the announcement, which is the first Commercial Fabrication Facilities Award under the CHIPS and Science Act (CHIPS Act). The award is expected to create over 160 manufacturing and construction jobs in Minnesota. Consistent with language approved as part of the CHIPS Act, this grant requires that all laborers and mechanics employed on the project be paid Davis-Bacon prevailing wages.

• On September 23^rd, National Economic Advisor Lael Brainard travelled to Detroit, MI to convene the Michigan Workforce Hub and announced new actions to support automakers and auto workers, including: (1) the launch of a joint effort with the Michigan Department of Labor, IBEW, and AFL-CIO Workforce Development Institute for an accelerated Commercial Driver’s License to Registered Apprenticeship Program pilot; (2) a partnership between DOL’s Women’s Bureau and Accelerator for America in the city of Lansing to increase representation of women in construction and skilled trades through the Leveraging Infrastructure Networks for Equity Initiative; (3) a joint DOE-industry effort to provide $23.6 million in funding for the Battery Workforce Challenge to “invest in equipment, technical support, mentorship, internships, and job placements and train up to 14,000 workers across the country for careers across the EV value chain—including technicians, electricians, skilled trades, and engineers”; (4) $1 billion in financing for small- and medium-sized auto suppliers; and (5) a new DOL pilot program to train workers in Wayne County for jobs in the auto supply chain.

Southeast

• On September 26^th, the Environmental Protection Agency (EPA) announced that it will hold a joint meeting with the Justice Department (DOJ) on October 10—11, 2024 to receive community input on mid- and long-term solutions to improve Jackson, Mississippi’s drinking water system to assist the agency’s oversight of the system. On November 29, 2022, a District Court in Mississippi entered an Interim Stipulated Order agreed to by the EPA, DOJ, the Mississippi State Department of Health, and the City of Jackson to, among other things, create a Priority Projects List with steps needed to stabilize the City’s drinking water system, remedy problems that contributed to the water crisis and establish sustainable practices, and to delay further litigation while the parties worked on a longer-term solution. The meeting will be held at the Mississippi e-Center at Jackson State University located at 1230 Raymond Road, Jackson, MS 39204 in the e-Logistics Room on October 10, 2024 at 6pm CT and in the California Room on October 11, 2024 at 10am CT.

Southwest

• On September 26^th, a new poll found incumbent Sen. Ted Cruz (R-TX) leading Rep. Colin Allred (D-TX) by just four points (49%-45%) in the Texas U.S. Senate race. 

• On September 23^rd, former GOP Rep. Liz Cheney (WY) endorsed Democratic Rep. Colin Allred (D-TX) in his U.S. Senate race against incumbent Sen. Ted Cruz (R-TX).

As part of its ongoing commitment to protecting your livelihood and setting the stage for a bright future, MCAA has secured the services of Longbow Public Policy Group to advise our MCAA Government Affairs Committee (GAC). GAC Chair, Jim Gaffney will be passing along information relative to our industry on a regular basis.

On Monday, September 23, 2024 MCAA Lobbying Firm, Longbow Public Policy Group provided the following information:

MCAA Issues and Interests 

Registered Apprenticeship

House Advances USA Workforce Investment Act

On September 11^th, House Ways and Means passed out of Committee the “USA Workforce Investment Act” (H.R. 9461), that would allow a credit against tax for charitable donations to nonprofit organizations providing workforce training. The MCAA and our union partners opposed the bill because it was drafted to not allow a tax credit for contributions to registered apprenticeship plans created through a collectively bargained agreement. MCAA is also concerned that the bill lacks any meaningful quality standards for workforce training programs that may receive this credit.   

Despite our efforts, the bill advanced out of Committee on a party-line vote of 22-15. The MCAA was able to help persuade Rep. Brian Fitzpatrick (R-PA), Rep. Nicole Malliotakis (R-NY), and Rep. Mike Carey (R-OH)  to abstain from voting on the bill, and to get all Democrats on the Committee to oppose the bill. While we are disappointed that the bill advanced out of Committee, we believe our outreach demonstrated that this bill has problems since three Republicans left the markup to avoid voting on it and made their concerns about it clear to the Chairman. The government relations team is confident we can turn back the effort to move the bill before the November elections.

DOL National Apprenticeship Modernization Rule

In addition to our work on the “USA Workforce Investment Act,” over the last two weeks and throughout the August recess, the MCAA policy team continued our outreach to the Department of Labor regarding changes we requested to the Department’s rulemaking on “National Apprenticeship System Enhancements” in joint comments that we filed with the UA in March 2024. The final rule has been pending review by the White House Office of Information and Regulatory Affairs (OIRA) since June 14, 2024. We have been stressing the concerns highlighted in the joint comments the MCAA and the UA submitted on this rulemaking. We are also urging retention of some provisions of the proposed rule that we like. Given the long delay in the review at OIRA, we are confident some changes are being made and will continue pressing our concerns given that it is unclear whether some or all our concerns will be addressed. 

Project Labor Agreements and Davis-Bacon Prevailing Wage

Over the last two weeks, the MCAA continued its outreach from the August Congressional recess to oppose pending Congressional Review Act (CRA) resolutions to rescind MCAA-supported rulemakings on project labor agreements from the Federal Acquisition Regulatory Council and on Davis-Bacon prevailing wage from the Department of Labor. As lawmakers race to fund the federal government ahead of the September 30^th funding deadline, punt several must-pass bills like the National Defense Authorization Act to the lame duck session of Congress in November and December, and work to depart D.C. ahead of October to campaign, we are growing confident that we may be able to prevent these CRA resolutions from being considered. We are, however, continuing to closely monitor litigation against these rulemakings. 

Pension Reform

IRS Extends Deadlines for Retirement Plans to Update Plan Documents 

As we continue to engage Congress regarding the prospects for pension reform in the coming debate next Congress over reauthorizing provisions of the 2017 Tax Cuts and Jobs Act, we wanted to share that on September 12^th, the Internal Revenue Service (IRS) announced that it is extending deadlines for collectively bargained retirement plans and other retirement plans to update their documents to align with the revisions mandated by the SECURE Act; the SECURE 2.0 Act; the Coronavirus Aid, Relief, and Economic Security (CARES) Act; and the Taxpayer Certainty and Disaster Tax Relief Act. Collectively bargained plans now have until December 31, 2028, to amend their documents to be in compliance with these requirements.

Decarbonization

There were several developments on the decarbonization front over the last two weeks:

IRS Releases Proposed Rule on Alternative Fuel Vehicle Refueling Property Credit 

On September 19^th, the Internal Revenue Service (IRS) released a proposed rule regarding the “Section 30C Alternative Fuel Vehicle Refueling Property Credit.”  Comments on the proposed rule are due by November 18, 2024.

To qualify for the Section 30C credit detailed in the proposed rule, refueling property must be used to store or dispense “clean-burning fuel” or to recharge electric motor vehicles placed in service after December 31, 2022, and before January 1, 2033, within a low-income community or within a non-urban Census tract. “Clean-burning fuels” eligible for the Section 30C tax credit are: (1) electricity, (2) any fuel for which at least 85 percent of the volume consists of one or more of the following: ethanol, natural gas, compressed natural gas, liquified natural gas, liquefied petroleum gas, or hydrogen; (3) any mixture that consists of two or more of the following: biodiesel, diesel fuel, or kerosene and at least 20 percent of the volume of which consists of biodiesel determined without regard to any kerosene in such mixture; and (4) any transportation fuel as defined under section 45Z(d)(5) of the Internal Revenue Code.

The credit amount for property not subject to depreciation is 30% of the cost of the qualified property placed in service during the tax year. The credit amount for depreciable property is 6% of the cost of the qualified property placed in service during the tax year but may be increased to 30% of the cost of the qualified property if the prevailing wage and apprenticeship requirements are satisfied. The proposed rule provides guidance on how to calculate the credit, including what constitutes an “item” of qualified alternative fuel vehicle refueling property, the additional costs considered in determining the cost of the item, and how to treat dual-use property.

An eligible census tract that qualifies for the credit is any population census tract that is a low-income community or any population census tract that is not an urban area. The proposed rule provides guidance for determining whether a population census tract is an eligible census tract. In conjunction with the release of the proposed rule, the IRS also issued Notice 2024-64 that modifies Notice 2024-20 published on February 12, 2024 to provide guidance on eligible census tracts and referring taxpayers to Appendix A and Appendix B containing eligible census tracts designated by a unique identifier called an 11-digit census tract GEOID. Notice 2024-64 modifies Notice 2024-20 by updating the mapping tools that taxpayers can use to identify the 11-digit census tract GEOID for a location where a property is placed in service. Notice 2024-64 also extends the applicability period of Notice 2024-20, as amended. More information is available on the IRS’ Alternative Fuel Vehicle Refueling Property Credit Website.

Phasedown of HFCs

As we continue to engage with federal agencies on the hydrofluorocarbons (HFCs) phasedown pursuant to the American Innovation and Manufacturing (AIM) Act of 2020, we learned that on September 13^th, the White House Office of Information and Regulatory Affairs completed its review of the Environmental Protection Agency’s (EPA) final rule entitled, “Phasedown of Hydrofluorocarbons: Management of Certain Hydrofluorocarbons and Substitutes Under Subsection (h) of the American Innovation and Manufacturing Act of 2020.” EPA’s proposed rulemaking covers practices, processes, or activities regarding the servicing, repair, disposal, or installation of equipment, for the purposes of maximizing the reclamation and minimizing the release of certain HFCs from equipment and ensuring the safety of technicians and consumers. Among other provisions, EPA proposed emissions reduction requirements for certain equipment containing HFCs and their substitutes as well as requirements for the reclaiming of HFCs.

EPA Issues Enforcement Alert Regarding Compliance Issues Related to Importation of HFCs

Relatedly, on September 9^th, the EPA issued an Enforcement Alert providing information on common compliance issues the agency has observed related to the importation of bulk hydrofluorocarbons (HFCs). So far in fiscal year 2024, the EPA has completed nine civil settlements to resolve claims of unlawful imports of HFCs. The most recent settlements were against five companies—Clean Venture, Inc.; HVAC Services; Liferafts Incorporated of Puerto Rico; Little Leaf Farms, LLC; and Parker Engineering and Mechanical, Inc. Each of these companies imported HFCs without allowances in violation of the AIM Act. The enforcement actions are authorized by the AIM Act of 2020.

Other Interesting Things Since Our Last Report

Thursday, September 19^th

• Ten GOP governors from Louisiana, New Hampshire, Tennessee, Virginia, Arkansas, Indiana, South Dakota, Oklahoma, Georgia, and Wyoming announced the formation of the Governors Coalition for Energy Choice, a coalition aimed at opposing Biden Administration renewable energy mandates and reducing regulations around energy production. The organization’s mission statement says the coalition aims to “ensure continued energy choice, minimize permitting and other regulatory barriers, limit expensive energy mandates, focus on affordability and reliability of energy infrastructure, and coordinate to positively manage energy resources and the environment.”

• The Federal Energy Regulatory Commission (FERC) announced that it has proposed to require new or modified critical infrastructure (CIP) standards to address the growing risks posed by malicious actors seeking to compromise the reliable operation of the bulk-power system. The proposal would direct the North American Electric Reliability Corporation (NERC) to require entities to identify current supply chain risks to their grid-related cybersecurity systems at specified intervals, assess and take steps to validate the accuracy of the information received from vendors during the procurement process, and document, track, and respond to these risks to their systems. FERC also proposed to approve a CIP reliability standard that requires internal network security monitoring inside an entity’s electronic security perimeter. FERC’s move comes after Wednesday’s announcement that the Biden Justice Department disrupted a group of Chinese hackers who were working at the direction of the Chinese government to infiltrate critical infrastructure in the U.S.

• CNBC reported that Port of New York/New Jersey executives have begun preparations for a complete work stoppage by the International Longshoreman’s Association (ILA). A strike by the ILA when its contract expires at the end of this month would shut down five of the 10 busiest ports in North America, and a total of 36 ports along the East and Gulf Coasts of the U.S. Between 43% and 49% of all U.S. imports and billions of dollars in trade monthly are at stake as the October 1st deadline for a new contract approaches. The Biden Administration already said it will not invoke the Taft-Hartley Act to force ILA members to go back to work and is urging the parties to return to the bargaining table.  

Wednesday, September 18^th

• The International Brotherhood of Teamsters announced that they would not endorse any candidate in the November presidential election, but publicly released polling data of its members that showed the members supported former President Trump over Vice President Kamala Harris 59% to 34%. After the national leaders of the Teamsters decided against an endorsement, Teamsters Joint Councils 7 and 42 — which are made up of 39 local unions representing 300,000 Teamsters in California, Nevada, Hawaii and Guam endorsed Vice President Harris, saying she and running mate Tim Walz have “a history of supporting expanded labor protections for workers, like the proposed Protect the Right to Organize Act and a Minnesota law that will ban employers from forcing workers to attend anti-labor meetings.” The move represents a rift within the Teamsters’ membership in liberal states out West, where Trump remains unpopular, and the union’s membership base in the Midwest and South.

• House Speaker Mike Johnson (R-LA) outlined his economic agenda for the first 100 days under a second Trump administration during a speech at the America First Policy Institute. Among other priorities, Johnson said Republicans would: (1) extend the tax cuts included in the 2017 Tax Cuts and Jobs Act; (2) repeal “wasteful” tax credits included in the Inflation Reduction Act (IRA), as well as “anti-energy” regulations; (3) use the tax code to deter illegal immigration and eliminate immigration loopholes; and (4) support a robust Child Tax Credit and the “dignity of work.” Speaker Johnson’s remarks come as the IRA spurs clean energy investments in Republican-led congressional districts across the country, prompting many Republican lawmakers to voice support for keeping at least some of the IRA’s tax credits. House Speaker Johnson (R-LA) reflected this when he said, “you’ve got to use a scalpel and not a sledgehammer because there’s a few provisions in there that have helped overall.”
  
• The Biden Administration is working to award all the grants from the President’s Inflation Reduction Act (IRA) before a new president takes office amid Trump’s threats to cancel the law’s unspent funds. The Biden Administration has awarded $90 billion in grants to climate, clean energy, and other projects so far under the IRA, which amounts to 70% of the law’s roughly $120 billion in total funding and over 80% of what the law made available before 2025.

• As the Department of Labor’s sweeping heat injury and illness rule covering both outdoor and indoor workplaces remains open for public comments and the MCAA team works with the Construction Industry Safety Coalition to provide input on the rule, new technologies are already being deployed in workplaces to save workers from becoming overheated and dehydrated. Among them are mobile apps that detect heat stress and offer tips on how to cool down, wearable devices that nudge workers when they’re dehydrated, clothing made with cooling fabrics, and machines that distribute cool air indoors more effectively.
  
• Rep. Andy Harris (R-MD) was elected as the new chair of the conservative House Freedom Caucus, officially replacing Rep. Bob Good (R-VA), who lost a Republican primary for Virginia’s 5^th Congressional District earlier this year.

Tuesday, September 17^th

• Rep. Eric Burlison (R-MO) introduced H. J. Res. 203, a Congressional Review Act resolution to nullify the National Labor Relations Board’s (NLRB) final rule on “Representation-Case Procedures: Election Bars; Proof of Majority Support in the Construction Industry Collective-Bargaining Relationships.” The NLRB’s final rule restored three NLRB policies that facilitate union organizing, including the NLRB’s policy on voluntary recognition in the construction industry, the blocking charge policy, and the policy on construction industry bargaining relationships.
  
• The Labor Department (DOL) issued a blog post announcing a new online resource on Substance Use Disorder (SUD) in the Workplace, which clarifies that people with SUD may be protected under the Americans with Disabilities Act and the Rehabilitation Act and entitled to accommodations to help them continue recovery or stay productive while in treatment. The new resource contain a toolkit to help employers develop recovery-ready workplace policies, a guide for employers on supporting workers with SUD, and a companion guide for workers.

Monday, September 16^th

• The Energy Department (DOE) announced $90 million in funding for competitive awards to help states, cities, tribal nations, and their partners implement updated energy codes for residential and commercial buildings. Funded by the President’s Bipartisan Infrastructure Law, these awards will support 25 new projects across the country to help ensure buildings meet the latest standards for energy efficiency. The funding is part of the $225 million Resilient and Efficient Codes Implementation (RECI) initiative that supports workforce development and other code-implementation solutions in high-impact states with substantial construction activity. The projects will also expand stakeholder engagement opportunities through tailored rural and regional collaboratives. Selected projects include: (1) $2.2 million for the National Association of State Energy Officials to establish a new and replicable approach to evaluate the impact of building energy codes on resilience and pilot the strategy in Arizona and Florida; (2) $1.6 million to the New Buildings Institute, South-Central Partnership for Energy Efficiency as a Resource and Austin Energy to support the implementation of efficient and resilient energy codes in Texas and Oklahoma, including access to training on the latest codes; and (3) $1.6 million to the Rhode Island Office of Energy Resources and the Rhode Island Builders Association to provide energy code training and educational resources to building inspectors, design professionals, builders, and construction trades in Rhode Island to support implementation of the latest energy codes. A full list of projects supported under the RECI initiative is available here.

• The Centers for Medicare & Medicaid Services (CMS) released “Medicare Prescription Payment Plan” resources related to the Inflation Reduction Act’s new payment option to help anyone with a Medicare drug plan or Medicare health plan manage out-of-pocket costs for drugs covered under their plan by spreading payments across the calendar year. These resources are for Part D Medicare sponsors to share with enrollees to help them determine if the payment option might help them and include: (1) a webpage that explains the Medicare Prescription Payment Plan and provides a response tool to help Part D enrollees determine if the payment option might help them; (2) a fact sheet in English and Spanish (among other languages); and (3) a takeaway card in English and Spanish (among other languages). Additionally, CMS is developing a cost preview inside of the Medicare Plan Finder that is based on a consumer’s specific drug list, a set of consumer-selected Medicare Advantage or Part D plans, and consumer-selected pharmacies, including both retail locations and mail order options. This cost preview will be made available in time for open enrollment in the fall.
  
• CNBC reported that four years after the start of the COVID-19 pandemic, there are 900,000 fewer students enrolled in college than before the pandemic. Experts say this is due to growing worries over rising tuition costs and large student loan balances that are causing more high schoolers to make alternative plans. Roughly half (49%) believe a high school degree, trade program, two-year degree or other type of enrichment program is the highest level of education needed for their anticipated career path. Additionally, 56% say they believe that real world and on-the-job experience is more beneficial than obtaining a higher education degree.

• The Kaiser Family Foundation suggested that the outcome of the November presidential election could slow down the Biden Administration’s plans to replace lead water pipes nationwide, particularly if the Biden Environmental Protection Agency’s recent lead pipe replacement rule does not take effect by October and enforcement of the less-stringent Trump Administration rule takes its place.  

Friday, September 13^th

• Senate Health, Education, Labor, and Pensions (HELP) Ranking Member Bill Cassidy (R-LA) sent a letter to the Department of Labor (DOL) requesting responses from the Labor Department’s Office of Workers’ Compensation Programs (OWCP) following a May 2024 report from the DOL Office of Inspector General (OIG) that found that American energy workers are being prevented from and experiencing delays in receiving medical care under the Energy Employees Occupational Illness Compensation Program Act (EEOICPA). Per the OIG report, OWCP “has routinely overlooked or missed errors in benefits claims, including incomplete employment verification, insufficient evidence to link the claimant’s illness to their employment, or failure to follow the documented procedures for making a claim for benefits. Ranking Member Cassidy (R-LA) in his letter argued that “[t]hese errors can prevent qualified workers and their families from receiving EEOICPA health benefits, threatening the lives of these workers who need medical care.”

Thursday, September 12^th

• The Department of Energy (DOE) announced an additional $9 million in funding from the President’s Bipartisan Infrastructure Law through the Industrial Training and Assessment Centers (ITAC) Implementation Grants program to support 47 small- and medium-sized manufacturers (SMMs) across the country to implement a wide variety of energy and efficiency projects, including installing onsite solar and heat pumps, improving lighting and heating, and electrifying industrial equipment and fleets. More information about the ITAC program, including the types of projects selected under the grant program and a list of grant selectees is available here.
  
• Senior Biden Administration officials met with OpenAI CEO Sam Altman, Google Chief Investment Officer Ruth Porat, and Anthropic CEO Dario Amodei to discuss the development of data centers for artificial intelligence. The meeting reportedly focused meeting AI’s infrastructure, workforce, and permitting demands, as well as maintaining American leadership on AI and ensuring that the data centers that AI requires will be “built in the United States.”

• The House voted 217-192 to pass H.R. 7980, the “End Chinese Dominance of Electric Vehicles (EVs) in America Act,” to modify the Inflation Reduction Act’s EV tax credit to override Treasury regulations allowing EVs powered by batteries with minerals or technology from certain Chinese companies.  

• The Transportation Department’s (DOT) Federal Highway Administration (FHWA) announced a Request for Information (RFI) from stakeholders about electric vehicle (EV) charging technologies and infrastructure needs for medium- and heavy-duty vehicles. The RFI seeks input in four areas to support medium- and heavy-duty electric vehicles: (1) unique EV charger and station needs; (2) vehicle charging patterns; (3) charging technology and standardization; and (4) workforce, supply chain, and manufacturing to support charging of medium- and heavy-duty battery EVs in DOT vehicle classes four through eight, which include delivery vans, school buses, semi-tractor trucks, fire trucks, dump trucks, and tour buses.

• Roll Call released its updated list of the most endangered Senate incumbents, with Sens. Jon Tester (D-MT), Sherrod Brown (D-OH), and Bob Casey (D-PA) topping the list. This comes as the Cook Political Report shifted the Montana Senate race between Tester and Republican Tim Sheehy from “toss up” to “leans Republican.” Roll Call also released its updated list of the most endangered House incumbents and Reps. Brandon Williams (R-NY), John Duarte (R-CA), and Anthony D’Esposito (R-NY) were at the top of the list.

• The Koch-affiliated Libre Initiative Action endorsed: (1) Rep. John James (R-MI) in his re-election bid in Michigan’s 10^th Congressional District; and (2) Sen. George Logan (R-CT), who is challenging Rep. Jahana Hayes (D-CT) in Connecticut’s 5^th Congressional District.

Tuesday, September 10^th

• U.S. Department of Agriculture (USDA) Secretary Tom Vilsack said that he’d like to see guidance from the USDA on the 45Z tax credit (which would reward production of lower emitting transportation fuels) issued before the end of December, saying that, “It’s on the top of my list.” Vilsack also reiterated that the USDA is working on a rule to be used as part of the U.S. Treasury’s final guidance to the 45Z tax credit taking effect in 2025.

• House Oversight and Accountability Ranking Member Jamie Raskin (D-MD), Senate Budget Chair Sheldon Whitehouse (D-RI), and Senate Finance Chair Ron Wyden (D-OR) sent new letters to Chevron, ExxonMobil, Continental Resources, Chesapeake Energy, Occidental Petroleum, Venture Global LNG, Cheniere Energy, EQT Corporation, and the American Petroleum Institute demanding compliance with the Committees’ original requests for information regarding quid pro quo solicitations made by Trump. This comes after Trump reportedly offered to sign Executive Orders and take other official actions to benefit oil and gas companies in exchange for $1 billion in contributions to his presidential campaign.

Monday, September 9^th

• CNBC reported that there is a new urgency to build small modular nuclear reactors as demand for clean electricity is rising from artificial intelligence, manufacturing and electric vehicles while utilities across the country are retiring coal plants as part of the energy transition—raising worries about a looming electricity supply gap. 

• According to a new Gallup poll, 70% of Americans say they approve of labor unions, while 23% disapprove and 7% have no opinion. This is just one point shy of 71% reading in 2022, which marked the highest approval rating for unions since 1965.

Friday, September 6^th

• The Labor Department published a blog post related to the Bureau of Labor Statistics’ annual employment projections data, which predicted that over the next 10 years employment in the construction and extraction sectors will increase by 5.6%.

Around the Country

Northeast 

• On Friday, September 20^th, Constellation Energy issued a press release announcing a Microsoft and Constellation Energy power purchase deal that would enable the restart of a nuclear reactor at Pennsylvania’s Three Mile Island nuclear plant. The plan is to bring Three Mile Island’s dormant 835 megawatt Unit 1 that closed in 2019 back online by 2028 so it can be used to power a Microsoft data center. Microsoft has committed to a 20-year supply deal for power from this reactor unit. Constellation plans to invest $1.6 billion to revive the reactor. The deal is, however, contingent on approval by the U.S. Nuclear Regulatory Commission authorizing the restarting of the reactor.

• On September 18^th, Democratic Newark City Councilmember LaMonica McIver defeated Republican small businessman Carmen Bucco in a special election to fill the remainder of the late Rep. Donald Payne, Jr.’s (D-NJ) term in New Jersey’s 10^th Congressional District. McIver and Bucco will face a rematch in November for a full term.

• On September 17^th, a new poll found Maryland Democratic Senate candidate Angela Alsobrooks leading former Maryland GOP Governor Larry Hogan by 7 points (49%-42%) in the state’s U.S. Senate race. 

• On September 16^th, the Pennsylvania Supreme Court ruled that mail-in ballots with incorrect dates will not be counted in November. The court’s reversal is a win for Republicans and was attacked by the state’s American Civil Liberties Union Chapter, which labeled misdated ballots a “common trivial error on the external envelopes.”

• On September 10^th, Sen. Sarah McBride (D) won the Democratic primary for Delaware’s at-large House seat, putting her one step closer to becoming the first transgender member of Congress.
  
• On September 9^th, Sen. George Helmy (D-NJ), who previously served as chief of staff to NJ Gov. Phil Murphy (D), was sworn-in to fill the remainder of Sen. Bob Menendez’s (D-NJ) Senate term. Helmy will serve on the Senate Foreign Relations, Finance, and Banking Committees, the same assignments previously held by Menendez.

West

• On September 9^th, the Interior Department (DOI) announced that it is finalizing the following clean energy projects in Nevada: (1) the Greenlink West Transmission Project to create a system of new transmission lines and facilities crossing federal, state, Tribal and private lands from North Las Vegas to Reno through Clark, Esmeralda, Lyon, Mineral, Nye, Storey and Washoe Counties, and provide up to 4,000 megawatts of clean energy—enough to power at least 4.8 million homes; and (2) the Libra Solar Project, which includes a solar facility battery energy storage system expected to generate and store up to 700 megawatts of energy on approximately 5,778 acres of public lands in Mineral County. Additionally, DOI announced that it has opened a 90-day comment period for Draft Resource Management Plan Amendments and Environmental Impact Statements for the following proposed projects in Nevada: (1) the Greenlink North Transmission Project, which would designate a 210-mile-long by 3,500-foot-wide utility corridor and unlock up to 4,000 megawatts of clean energy; and (2) the Bonanza Solar Project, a proposed 300-megawatt solar facility that would include battery storage and a 5.4-mile gen-tie line on approximately 5,133-acres of public lands in Clark and Nye Counties, near Las Vegas. 

Northwest 

• On September 19^th, Oregon Gov. Tina Kotek (D) announced plans to use a new land use law to propose Hillsboro, Oregon, a suburb of Portland, for a semiconductor facility. Specifically, Kotek is proposing to expand Hillsboro’s city boundaries to incorporate half a square mile of new land to provide space for a new semiconductor research center.

Midwest 

• On September 19^th, the Environmental Protection Agency (EPA) announced partnerships with the cities of Monmouth, Elgin, and Maywood, Illinois to help identify drinking water lead pipes and accelerate their replacement through the Bipartisan Infrastructure Law’s Get the Lead Out Initiative, to achieve 100% replacement of lead service lines.

• On September 12^th, the Environmental Protection Agency (EPA) announced a collaboration with the city of Fostoria, Ohio to help identify lead in pipes used for drinking water, develop lead service line replacement plans, increase community outreach and education efforts, and apply for funding through the Get the Lead Out Initiative, funded entirely by the Bipartisan Infrastructure Law, to move the nation toward 100% lead service line replacement.
  
• On September 9^th, a new poll found that incumbent GOP Sen. Deb Fischer (NE) holds a one-point lead (39%-38%) against Independent Dan Osborn, a union steamfitter, with 23% of voters undecided. The poll also found incumbent GOP Rep. Don Bacon (NE) trailing his Democratic opponent Tony Vargas by six points (46%-40%) in the race for Nebraska’s 2^nd Congressional District.

Southeast

• On September 16^th, the Labor Department (DOL) announced $164,540 in proposed penalties against South Marine Systems of Westlake, which is based in Pascagoula, Mississippi. Federal safety inspectors found a welding crew working aboard a commercial iron ore vessel moored at the Port of Ashtabula in Ohio narrowly avoided disaster after a large fire erupted as they welded off paint in a cargo hold, an incident their employer could have avoided by following DOL safety regulations. Specifically, the Occupational Safety and Health Administration (OSHA) found the employer did not designate a competent person able to identify hazards and failed to have a marine chemist present to test for hazardous atmospheres before welding started, among other things. OSHA also determined South Marine Systems did not stop work when small fires began to assess hazardous conditions and risks. The United States Coast Guard (USCG) and National Transportation Safety Board have opened separate investigations of the incident.

• On September 12^th, the Labor Department (DOL) announced that it has recovered $44,816 in back wages for 12 employees of Walker White Inc., a subcontractor performing plumbing and HVAC work under a contract with the U.S. Army Corps of Engineers at Fort Jackson in South Carolina, after a DOL Wage and Hour Division investigation determined the company wrongly classified apprentices as laborers and did not pay the required prevailing wage rates, including the basic hourly rate and fringe benefits, in violation of the Davis-Bacon Act. Investigators also found the employer failed to pay overtime rates of time-and-one-half an employee’s basic rate of pay for hours over 40 in a workweek, a violation of the Contract Work Hours and Safety Standards Act.

Southwest

• The Interior Department (DOI) announced $16.73 million in Bipartisan Infrastructure Law funding to assist five Tribal Nations in cleaning up orphaned oil and gas wells on their homelands. This funding may be utilized to plug, remediate or reclaim orphaned wells on Tribal lands, restore soil and habitat in areas degraded due to orphaned wells, decommission or remove associated infrastructure, identify and characterize additional undocumented wells on Tribal land, and set up well-plugging capacity where not already established. This effort advances the Biden Administration’s Justice40 Initiative that sets a goal to deliver 40% of the overall benefits of certain federal investments to historically disadvantaged communities that have been marginalized by underinvestment and overburdened by pollution. The funding is going to the Chickasaw Nation in Oklahoma, Chippewa Cree Tribe of the Rocky Boy Reservation in Montana, The Comanche Reservation in Oklahoma, The Jicarilla Apache Nation in New Mexico, and the Osage Nation in Oklahoma.

• On September 16^th, Democrats said they are seeing signs they could make inroads in the traditionally deep-red state of Texas this year as Sen. Ted Cruz (R-TX) has struggled to cross the 50-percent mark in polling in his U.S. Senate race against Democratic challenger Rep. Colin Allred.

As part of its ongoing commitment to protecting your livelihood and setting the stage for a bright future, MCAA has secured the services of Longbow Public Policy Group to advise our MCAA Government Affairs Committee (GAC). GAC Chair, Jim Gaffney will be passing along information relative to our industry on a regular basis.

On Monday, September 16, 2024 MCAA Lobbying Firm, Longbow Public Policy Group provided the following information in a special Congressional Recess Report:

MCAA Issues and Interests

Project Labor Agreements, Prevailing Wage, and Registered Apprenticeship

President Biden Signs “Good Jobs” Executive Order 

On Friday, September 6^th, President Biden signed Executive Order (EO) 14126, “Investing in America and Investing in American Workers” also known as the “Good Jobs EO.” EO 14126 is intended to promote strong labor standards such as family-sustaining wages, workplace safety, and the free and fair opportunity to a join a union and encourages the Departments of Labor, Interior, Agriculture, Commerce, Labor, Housing and Urban Development, Transportation, Energy, Education, and Homeland Security, as well as the Environmental Protection Agency (implementing agencies) to implement these standards for any projects for which “federal financial assistance is received” through the Biden Administration’s Investing in America programs. This includes the American Rescue Plan Act, the Bipartisan Infrastructure Law, the CHIPS and Science Act, and the Inflation Reduction Act. “Federal financial assistance” is defined as funds obtained from the federal government or borrowed on the credit of the federal government pursuant to grants (whether formula or discretionary), loans, or rebates, or projects undertaken pursuant to any federal program involving such grants, loans, or rebates. 

Among other things, EO 14126 calls on implementing agencies to adopt labor standards that: 

• Provide tools to promote high-wage jobs, including incentivizing specific high-wage standards for federal grants by mechanisms such as payment of wages tied to a particular metric (i.e., wages not less than prevailing wages, the upper quartile of industry pay, or union pattern wage scales) including for workers in the care workforce (i.e.,individuals working in the fields of child care and long-term care); policies to promote equal pay and eliminate discriminatory pay practices, such as pay transparency measures; and other policies aligned with the Good Jobs Principles established by the Department of Commerce and the Department of Labor on June 21, 2022; 

• Promote worker voice, including through project labor agreements, voluntary union recognition, neutrality with respect to union organizing, and collective bargaining agreements; 

• Promote worker economic security by directing federal agencies to consider prioritizing projects that supply the benefits that workers need—including child and dependent care, health insurance, paid leave, and retirement benefits; 

• Support workforce development through the use of joint labor-management partnerships that invest in union affiliated training programs, registered apprenticeships, and pre-apprenticeship programs that matriculate to registered apprenticeships; partnerships with organizations that deliver training such as community colleges, career and technical education programs, disability service organizations, the public workforce system, and the American Climate Corps; and the provision of supportive services necessary to complete training such as child care and transportation assistance; 

• Level the playing field by encouraging federal grantees to develop equitable workforce plans and offering projects that support fair hiring and management practices as the projects develop; and 

• Support workplace safety by encouraging structures that help ensure compliance with all workplace health and safety laws.

Implementing agencies shall carry out their responsibilities under this order consistent with their responsibilities under the Justice40 Initiative set forth in Executive Order 14008 of January 27, 2021.

EO 14126 also outlines strategies for agencies to enact these standards across their grant programs, including: (1) developing staff expertise to ensure every agency has in-house knowledge of strong labor standards and how their investments can promote and support good jobs; (2) conducting pre-award negotiations for key programs and projects as appropriate, and include ensuing commitments in grant agreements; (3) collecting data on job quality to further encourage best practices and increase accountability, including the collection of certified payrolls when applicable; (4) issuing guidance or best practices to promote and implement priorities; and (5) incentivizing these strong labor standards to the greatest extent possible by including application evaluation criteria related to strong labor standards and by referring alleged violations of law to other executive departments and agencies for a determination of whether circumstances warrant the issuance of financial penalties or collection of relief for workers harmed, withholding further federal financial assistance pending correction of a deficiency, recovery of some or all federal funds, or debarment. 

Finally, EO 14126 establishes the “Investing in Good Jobs Task Force,” which is responsible for coordinating policy development that supports efficient project delivery while also driving the creation of high-quality jobs and otherwise supporting the effective implementation of the Good Jobs EO. The Task Force will be co-chaired by the Secretary of Labor, the Assistant to the President for Economic Policy, and the Director of the National Economic Council and will develop best practices related to promoting adoption of the EO by federal agencies and will also provide technical assistance to the implementing agencies. The Task Force also includes members from the implementing agencies as well as the Assistant to the President and National Climate Advisor, the Senior Advisor to the President for International Climate Policy, the Chair of the Council on Environmental Quality, the Chair of the Council of Economic Advisers, the Assistant to the President and Director of the Domestic Policy Council, and the Assistant to the President and Director of the Gender Policy Council.

U.S. Department of Labor Appeals Ruling Blocking Part of MCAA-Supported Davis-Bacon Modernization Rule to the Fifth Circuit 

As we continue our work with DOL to ensure proper implantation of the Wage and Hour Division’s Davis-Bacon Modernization Rule, we wanted to be sure you saw that on August 23^rd, the U.S. Department of Labor appealed to the U.S. Court of Appeals for the Fifth Circuit a June 2024 Texas Court ruling that blocked parts of the agency’s MCAA-supported Davis-Bacon prevailing wage rule from applying to suppliers and truck drivers. In the June ruling, District Judge Sam Cummings found DOL’s Davis-Bacon rule’s application to “prefabrication companies, material suppliers, and truck drivers” were “blatantly unlawful.” Cummings also ruled that a provision in the rulemaking that applies prevailing wages to contracts that are silent on such requirements was unlawful. 

Independent Contractors and Misclassification of Workers 

Ed/Workforce Chair Foxx (R-NC) Threatens to Subpoena DOL for Failure to Answer Questions Regarding Attempts to “Eliminate Independent Contractor Model” 

On the misclassification front at the beginning of the August recess, House Education and the Workforce Committee Chair Virginia Foxx (R-NC) on August 9^th threatened to subpoena Acting Labor Secretary Julie Su for “failure to provide responses and data regarding worker misclassification.” In the letter, Foxx says, “the Committee on Education and the Workforce is continuing to seek information about the Biden-Harris administration’s efforts to eliminate the independent contractor model and classify as many workers as employees as possible in order to increase government control over workers.” Foxx goes on to say that “DOL’s responses to previous questions and requests for data leave the Committee without needed insights regarding DOL’s implementation of the Fair Labor Standards Act.” Foxx is seeking answers to several questions including: (1) how many instances of misclassification Wage and Hour Division (WHD) inspectors have found, including the total number of instances across each occupation that has been subject to investigation; (2) how many misclassification enforcement investigations WHD has initiated for each specific industry sector since January 20, 2021; and (3) whether DOL has initiated any investigations related to misclassification based on its coordination with the National Labor Relations Board and the Federal Trade Commission. Foxx concluded her letter saying that DOL’s “failure to provide complete responses to oversight on this matter could lead the Committee to take compulsory action.”

BLS to Release Survey Data This Year on Workers in the Gig Economy

On August 27^th, the Labor Department’s Bureau of Labor Statistics announced it is aiming to release new survey datalater this year that seeks to capture workers in the gig economy better than previous efforts that have produced an “inaccurate and dubious” picture of gig workers. This effort comes as a newly formed Work Arrangements Committee comprised of multiple federal agencies collaborates to improve the survey to answer the question of just how many workers are participating in the gig economy (public estimates have ranged from less than 5% to over 30% of the total workforce). Economists say that without better data on the gig economy, policymakers will be relying on inconsistent information when making decisions regarding federal benefit programs or evaluating labor policies, such as those seeking to clarify gig workers’ employment status. 

Pension Reform

Ed/Workforce Chair Foxx (R-NC) Sends Letter to DOJ Alleging 60 Pension Plans Received Payments for Deceased Beneficiaries in Special Financial Assistance Program 

As we continue to engage Congress on multiemployer pension reform, we wanted to be sure that you saw that on August 8^th, House Education and the Workforce Committee Chair Virginia Foxx (R-NC) sent a letter to the Justice Department (DOJ) to request information regarding DOJ efforts to hold the Pension Benefit Guaranty Corporation accountable for recovering funds for improper payments from the MCAA-supported Special Financial Assistance (SFA) to more than 60 union pension plans. In her letter to Attorney General Merrick Garland, Foxx said that “PBGC identified deceased participants on rolls of more than 60…multiemployer plans that received improper payments based on those rolls” and that “none of these other plans are reported to have restored the improper payments.” As a result, the Committee requested that DOJ provide: (1) all documents and communications related to DOJ’s decision to investigate Central States and the Graphic Communications National Pension Fund for payments to deceased beneficiaries; (2) all documents and communications related to any steps DOJ is taking to ensure that all other multiemployer pension plans that received improper SFA payments will repay those amounts; and (3) all documents and communications related to any multiemployer pension plans for which PBGC identified deceased participants on the plans’ application rolls but which DOJ has chosen not to investigate. Foxx also asked if DOJ is investigating or planning to investigate any of the more than 60 other multiemployer pension plans for which PBGC identified deceased participants on the plans’ applications for SFA payments and if so, to provide the names of those multiemployer pension plans that DOJ is investigating or plans to investigate to the Committee.

President Biden Names Three New Members to PBGC Advisory Committee 

We also wanted to highlight that on September 3^rd, President Biden appointed three new members to serve on the Pension Benefit Guaranty Corporation’s (PBGC) Advisory Committee, which includes representatives from labor, employers, and the general public that advise the PBGC on investment policy and other matters related to the agency’s mission. The three new members include: (1) Ilana Boivie, the assistant director of strategic resources for the International Association of Machinists and Aerospace Workers; (2) Lamont Everett (Monte) Tarbox, who served as president of the AFL-CIO Investment Trust until his retirement in 2024 and has over 30 years of experience as a chief investment officer and advisor serving large multiemployer pension funds; and (3) Kathryn J. Kennedy, a law professor and director of the Center for Tax Law and Employee Benefits at the University of Illinois Chicago School of Law. 

Decarbonization

There were also several developments on the decarbonization front over the August recess:

EPA Issues Enforcement Alert Regarding Its Efforts to Phasedown HFCs

On September 6^th, the Environmental Protection Agency (EPA) issued an Enforcement Alert regarding its work under the American Innovation and Manufacturing Act (AIM Act) to phase down production and consumption of hydrofluorocarbons (HFCs). The agency’s new alert, “EPA Targeting Illegal Imports of HFC Super-Pollutants to Combat Climate Change” provides information on common compliance issues observed with the importation of bulk HFCs and highlights recent civil and criminal enforcement actions. It also highlights EPA’s recent pursuit of entities that sought to unlawfully import HFCs without the required allowances, submitted false or misleading information, or failed to report required information under the AIM Act. The alert is intended to help address climate change and ensure that companies comply with the law and take the necessary steps to avoid potential EPA enforcement actions.

DOE Announces $31M for Projects to Advance Geothermal Energy 

Additionally, on August 26^th, the Department of Energy (DOE) announced the award of $66 million in funding from the Bipartisan Infrastructure Law to 17 states and territories from the Energy Efficiency Revolving Loan Fund (RLF) Capitalization Grant Program. The RLF Capitalization Grant Program provides funding to states and territories to establish or increase revolving funds enabling them to issue loans and grants for energy efficiency audits, upgrades, and retrofits to increase energy efficiency and improve the comfort of buildings. DOE explains that the RLF Capitalization Grant Program will help these states and territories to make capital available to fund energy efficiency projects in public buildings and will encourage financial institutions to enable families and small businesses to save money and reduce their energy costs. States receiving funding under this announcement include: (1) Texas, which will receive $22.4 million to establish a new revolving loan fund that operationally matches their existing Texas LoanSTAR revolving loan program; (2) Iowa, which will receive $7 million to create a new revolving loan fund for commercial and residential entities; (3) Georgia, which will receive $2.5 million to establish a new revolving loan fund for the residential sector, with a primary focus on providing benefits to low-income residents; and (4) Arizona, which will receive $1.7 million to provide grants and loans to fund energy efficiency projects, including audits and retrofits in the commercial sector. 

EPA Distributes $27 Billion in Grants under the Greenhouse Gas Reduction Fund

On August 16^th, the Environmental Protection Agency (EPA) announced that it has distributed $27 billion in grant funding from the Inflation Reduction Act under three competitions to Greenhouse Gas Reduction Fund recipients. The three programs will distribute funds as follows: (1) $14 billion for the National Clean Investment Fund (NCIF), which will establish national clean financing institutions that deliver accessible, affordable financing for clean technology projects nationwide; (2) $6 billion for the Clean Communities Investment Accelerator (CCIA), which will establish hubs that provide funding and technical assistance to community lenders working in low-income and disadvantaged communities, providing an immediate pathway to deploy projects in those communities while also building capacity of hundreds of community lenders to finance projects for years; and (3) $7 billion for the Solar for All program, which will create new or expand existing low-income solar programs, enabling over 900,000 households in low-income and disadvantaged communities to benefit from distributed solar energy. All entities with eligible projects that are interested in applying for funds from or working with an NCIF, CCIA, or Solar for All recipient should contact their relevant recipient directly to learn more about potential opportunities and their program timelines. More information about each of the three programs, and the funding recipients under each program, can be found here. 

EPA Announces Label Program to Encourage Manufacturing of Cleaner Construction Materials 

On August 7^th, the Environmental Protection Agency (EPA) announced plans to implement a new labeling program to boost clean American manufacturing by helping federal purchasers and other buyers find and buy cleaner, more climate-friendly construction materials and products. The label program will define what constitutes “clean” construction materials in support of the federal “Buy Clean Initiative,” which aims to grow the market for American-made, lower carbon construction materials. EPA’s label program will prioritize steel, glass, asphalt, and concrete because they represent most of the construction materials and products that government agencies purchase with federal funds. 

EPA will implement the program using a phased approach that all material categories will be able to follow at a cadence that aligns with the material’s market maturity and data availability. These phases are: (1) Data Quality Improvement to standardize and improve the quality of data underlying and provided by Environmental Product Declarations (EPDs); (2) Threshold Setting using robust EPDs, data, and other credible and representative industry benchmarks to determine thresholds for specific material categories and types; and (3) Labeling Materials and Products that meet EPA’s criteria. 

EPA also issued several supporting documents to help implement the label program, including Product Category Rule (PCR) Criteria – guidelines for developing EPDs, the disclosures that communicate climate and other environmental impacts of products. Other documents published outline key remaining data gaps, provide a methodology for assessing life cycle data quality, and describe other federal data quality improvement activities.

Other Interesting Things During the August Recess 

Friday, September 6^th

• Amazon filed a federal lawsuit in the U.S. District Court for the Western District of Texas challenging the constitutionality of the National Labor Relations Board (NLRB). In the lawsuit, the company argued that the NLRB “violates bedrock constitutional principles of separation of powers” by serving as both prosecutor and judge. It also contends that NLRB members are unconstitutionally protected from being fired by the president, and that the quasi-judicial structure of the agency undermines employers’ right to a jury trial under the Seventh Amendment. In response to the lawsuit, NLRB General Counsel Jennifer Abruzzo said that “it is nothing new for big companies to challenge the authority of the National Labor Relations Board to enforce workers’ rights so as not to be held accountable for their violations of the National Labor Relations Act.” The case is Amazon.comServices LLC v. NLRB. 

• The Department of the Interior (DOI) announced the availability of up to $43.5 million from the Bipartisan Infrastructure Law’s “Small Storage Program” for small water storage projects to create new sources of water for communities in the western United States. The Small Storage Program funds projects with a water storage capacity between 200 acre-feet and 30,000 acre-feet. Two application periods will be opened under this announcement for eligible projects, the first one of which will end on December 12, 2024 and the second which will end on July 15, 2025. The funding opportunity announcement is available on Grants.gov by searching for opportunity number R25AS00392. Eligible projects have completed and submitted a feasibility study to Reclamation for review for the first application period. Project sponsors may submit feasibility studies until April 30, 2025, to obtain eligibility to apply for funding under the second application period. 

• The Environmental Protection Agency (EPA) announced the availability of $7.5 billion of Water Infrastructure and Innovation Act (WIFIA) funding. The WIFIA program offers long-term loans to help communities implement critical water infrastructure projects. Examples of eligible projects (or combinations of projects) under this funding announcement include: (1) a wide range of wastewater, stormwater, and nonpoint source projects that are eligible under the Clean Water State Revolving Fund; (2) a wide range of drinking water infrastructure projects – including treatment, transmission and distribution, source, storage, consolidation/partnerships, and the creation of new systems – that are eligible under the Drinking Water State Revolving Fund; (3) repair, rehabilitation, or replacement of drinking water, wastewater, or stormwater infrastructure; (4) energy efficiency enhancements for a public water system or publicly owned treatment works; (5) desalination, aquifer storage and recovery, water recycling, or other projects to provide an alternative water supply and reduce aquifer depletion; (6) drought prevention, reduction, or mitigation projects; (7) acquisition of real property or an interest in real property; (8) a combination of drinking water and wastewater projects submitted by a state infrastructure financing authority; and (9) a combination of eligible projects, secured by a common security pledge, for which a single entity, or a combination of eligible entities, submits a single application. A complete list of eligible projects can be found on the EPA’s website. Letters of Intent are due by October 1, 2024 and should be submitted on the EPA’s SharePoint website. Applicants can gain access to the EPA’s SharePoint website by emailing wifia@epa.gov.

Thursday, September 5^th

• President Biden announced $7.3 billion in funding from the Inflation Reduction Act’s “Empowering Rural America (New ERA) Program,” which helps rural electric cooperatives transition to clean, affordable, and reliable energy and distribute power to communities, businesses, farms, and families in rural America. The 16 cooperatives receiving funding serve farmers, small businesses, and rural communities in Alaska, Arizona, California, Colorado, Florida, Illinois, Indiana, Iowa, Kentucky, Michigan, Minnesota, Montana, Nebraska, New Jersey, New Mexico, Nevada, North Dakota, Ohio, Pennsylvania, South Dakota, Texas, Wisconsin, and Wyoming. The New ERA program will allow co-ops to build or purchase over 10 gigawatts of clean energy and make enabling investments in areas including transmission, substation upgrades, and distributed energy resource management software that will lower energy costs and enhance grid performance, resiliency, and reliability. These investments will support more than 4,500 permanent jobs and over 16,000 construction jobs. 

Tuesday, September 3^rd

• The Department of Energy (DOE) announced nearly $62 million in funding for 20 projects across 15 states to accelerate the research, development, demonstration, and deployment of next-generation clean hydrogen technologies. DOE explains that this funding will be used for projects to advance critical elements of hydrogen fueling infrastructure, develop and demonstrate hydrogen-powered container-handling equipment for use at ports, and improve processes essential to the efficient, timely, and equitable deployment of hydrogen technologies. Projects receiving funding under this announcement span the following topic areas: (1) Components for Hydrogen Fueling of Medium- and Heavy-Duty (MD/HD) Vehicles, which will develop advanced components to enable gaseous and liquid hydrogen fueling for medium- and heavy-duty hydrogen-powered vehicles; (2) Standardized Hydrogen Refueling Station of the Future, which will develop and demonstrate a low-cost, standardized, and replicable advanced “hydrogen fueling station of the future”; (3) Hydrogen Fuel Cell-Powered Port Equipment, which will design, develop, and demonstrate a hydrogen fuel cell “top loader” (for handling containers) and a mobile refueler at the Port of Oakland; (4) Enabling Permitting and Safety for Hydrogen Deployment, which will identify the primary challenges to siting, permitting, and installation across the value chain from hydrogen production through end-use, and explore opportunities to address them; and (5) Equitable Hydrogen Technology Community Engagement, which will improve the capacity of DOE and DOE-funded projects to conduct effective community-engagement activities.

Thursday, August 29^th

• The Internal Revenue Service (IRS) and Department of Energy (DOE) announced that they received over 800 project proposals seeking a total of nearly $40 billion in tax credits for Round 2 of the Qualifying Advanced Energy Project Tax Credit (48C) program. The IRS and DOE notified applicants on the 48C portal that applications are now open and after initial reviews were encouraged to apply for the next stage of evaluation to determine which projects will receive a tax credit. Specifically, the IRS encouraged more than 450 projects across 46 states and Washington, D.C. that span large, medium, and small businesses and non-profits, all of which must meet prevailing wage and apprenticeship requirements to receive a 30% investment tax credit. The IRS notes that there is up to $6 billion in tax credit allocations for the second round of the 48C program, including approximately $2.5 billion for projects located in 48C designated energy communities. Applicants who submitted a project proposal, whether they received an encourage or discourage letter, may now submit a full application on the 48C portal. Applications are due by October 18, 2024 and applicants are encouraged to use the application templates available in the 48C portal. The IRS also plans to hold a webinar for applicants on September 16, 2024, with registration information to be made available on the Section 48C webpage here.

Wednesday, August 28^th

• The Department of Energy (DOE) announced that it is awarding $12.62 million to 32 local governments, two states and one Tribe through the Energy Efficiency and Conservation Block Grant (EECBG) Program, which provides funding from the Bipartisan Infrastructure Law through formula grants to assist states, local governments, and tribes in implementing strategies to reduce energy use and fossil fuel emissions, and to improve energy efficiency. The selected projects include: (1) $2,068,370 to Arizona to sub-grant funds to local governments to deploy updated energy management systems to increase energy efficiency in 100 government buildings, support clean energy projects such as energy assessments and weatherization upgrades in municipal buildings, and create a centralized digital resource (in partnership with utilities and community based organizations) for Arizonans to find rebates, technical assistance, and other resources to complete energy efficiency projects; (2) $2,101,450 to Maryland to provide sub-grants to small and rural local governments to create or update energy efficiency plans and decarbonization strategies; (3) $777,930 to Charlotte, North Carolina to launch a Solarize Campaign that funds direct solar installation for 25 low-and-moderate income-households, provides technical assistance during the solar purchase and installation process for participating households, and educates the community about the benefits of solar; (4) $764,010 to Montgomery, Maryland to conduct retrofits in at least 12 low-income owner-occupied homes, including installing new HVAC systems, water heaters, appliances and performing electrical repairs, and pilot a program to procure safe cold storage equipment for edible food recovery to distribute to residents living with food insecurity; and (5) $512,750 to Albuquerque, New Mexico to connect smart metering in facilities to an online data analytics portal and add features to measure and visualize energy use and greenhouse gas emissions, and upgrade 200 incandescent bulbs to LED lights in 15 city facilities. The full list of projects is available here. 

Tuesday, August 27^th

• The Department of Energy (DOE) announced 19 state and local governments will receive over $240 million in funding from the Inflation Reduction Act to adopt and implement the latest energy efficient or innovative building codes. These improvements are intended to help save residents and commercial building operators money on their utility bills. The funding is part of the support that DOE is providing to states, localities, territories, and Tribes to advance both traditional and innovative building energy codes resulting in more resilient, efficient, and better buildings. Selected projects include, among others: (1) $19.8 million to Philadelphia, PA to design, develop, adopt, implement, and enforce a building performance standard to maximize emissions reductions from large buildings, while providing robust support programs that will ensure equitable outcomes with high compliance rates; (2) $20 million to Colorado to create a statewide program to provide technical assistance and resources to respond to the needs identified by disadvantaged communities when complying with Colorado’s building performance standard; (3) $19.9 million to Massachusetts to support implementation of their respective building performance standards through direct technical support and capacity building among existing building trades programs; (4) $19.9 million to New York City to support the successful implementation of the City’s building performance standard by increasing compliance support for multifamily buildings across the City, particularly those in disadvantaged communities, and by increasing in-house capacity to monitor, support, and enforce requirements; and (5) $18.1 million to Hawaii to develop and adopt a building performance standard with an objective of simultaneously reducing costs and making resources, jobs, and training available in disadvantaged communities over the course of its implementation. The full list of projects is available here.  

Friday, August 23^rd

• The Department of Energy (DOE) announced the award of $66 million in funding from the Bipartisan Infrastructure Law to 17 states and territories from the Energy Efficiency Revolving Loan Fund (RLF) Capitalization Grant Program. The RLF Capitalization Grant Program provides funding to states and territories to establish or increase revolving funds enabling them to issue loans and grants for energy efficiency audits, upgrades, and retrofits to increase energy efficiency and improve the comfort of buildings. DOE explains that the RLF Capitalization Grant Program will help these states and territories to make capital available to fund energy efficiency projects in public buildings and will encourage financial institutions to enable families and small businesses to save money and reduce their energy costs. States receiving funding under this announcement include: (1) Texas, which will receive $22,365,890 to establish a new revolving loan fund that operationally matches their existing Texas LoanSTAR revolving loan program; (2) Iowa, which will receive $7,068,920 to create a new revolving loan fund for commercial and residential entities; (3) Georgia, which will receive $2,453,810 to stablish a new revolving loan fund for the residential sector, with a primary focus on providing benefits to low-income residents; and (4) Arizona, which will receive $1,690,280 to provide grants and loans to fund energy efficiency projects, including audits and retrofits in the commercial sector. 

Thursday, August 22^nd

• The Environmental Protection Agency (EPA) announced $26 million in funding to address lead in drinking water at schools and childcare facilities. The funding will be used by all 50 states, U.S. territories, and Washington, D.C. to reduce lead exposure. The funding was authorized by the Water Infrastructure Improvements for the Nation Act and is provided to states, the District of Columbia, and participating territories as grants for lead testing and remediation in schools and childcare facilities. The grant program also requires recipients to follow the EPA’s “3Ts” of Training, Testing and Taking Action to build a voluntary implementation program to reduce lead levels in drinking water. 

Wednesday, August 21^st

• The Department of Energy (DOE) announced that it has selected 14 state and territorial weatherization offices to receive $53.6 million in Sustainable Energy Resources for Customers (SERC) grants, which provide low-income households with energy saving measures and materials not traditionally included in DOE’s Weatherization Assistance Program. In addition to standard weatherization measures, such as improving insulation and sealing cracks and gaps, SERC grantees will conduct expanded retrofits of low-income residential buildings and utilize a wide range of technologies, such as solar photovoltaic panels, cold climate air source heat pumps, and triple-pane windows. Among the selected grantees are: (1) New York, which received $25,136,550 for its project “New York State—Housing and Community Renewal SERC Subgrantee Applications”; (2) Georgia, which received $7,500,000 for its project, “Optimized Climate Control in Humid Regions”; (3) Ohio, which received $4,301,375 for its project, “Solar for Ohio’s Appalachian Region (SOAR) and Toledo Green and Healthy Homes Program”; (4) Kentucky, which received $3,222,300 for its project, “Kentucky SERC Project 2024”; and (5) New Mexico, which received $2,000,000 for its project, “SERC Measures for Northern New Mexico.”

Tuesday, August 20^th

• The Environmental Protection Agency (EPA) announced 16 recipients to receive $25.5 million in grants through the Drinking Water System Infrastructure Resilience and Sustainability Program to support drinking water systems in underserved, small, and disadvantaged communities while reducing impacts of climate change. The awards include, among others: (1) $5,255,974 to Newtok Village in Alaska to support construction and infrastructure relocation efforts to protect drinking water system infrastructure from erosion and flooding; (2) $4,651,170 to St. Paul Island City, Alaska to install emergency generators and update infrastructure, including computerized Supervisory Control and Data Acquisition capabilities, to protect drinking water system infrastructure from earthquakes, blizzards, cyclones, and flooding; (3) $3,868,000 to the Clarksburg Water Board in West Virginia to protect the drinking water system from effects of rising temperatures in summer months, when precursor organic compounds lead to increased trihalomethanes production, by installing mixing and aeration equipment in water storage tanks; (4) $3,700,214 to the City of Fresno, California to replace failing water pipes to protect drinking water system infrastructure from drought; and (5) $2,790,000 to Indian Wells Valley in California for water supply enhancement efforts to protect drinking water system infrastructure from drought, earthquakes, and climate change. The full list of awards is available here.

Friday, August 16^th

• The Federal Aviation Administration (FAA) announced $291 million from the Inflation Reduction Act’s “Fueling Aviation’s Sustainable Transition (FAST)” grant program for sustainable aviation fuels and technologies. The FAST grants include: (1) $244.5 million for 22 projects that produce, transport, blend, or store sustainable aviation fuel (SAF) and for scoping studies related to SAF infrastructure needs; and (2) $46.5 million for 14 projects that develop, demonstrate, or apply low-emission aviation technologies. Example grants awards include: (1) $16.8 million to Gevo, Inc. to convert an existing fuel facility in Luverne, Minnesota to a full integrated alcohol-to-jet facility for SAF production; (2) $8 million to JetZero, Inc. to develop key enabling technologies for a highly fuel efficient blended-wing-body airplane, with work to occur in Long Beach California, Wichita, Kansas, and Starkville, Mississippi; (3) $2.7 million to the University of Illinois Urbana-Champaign to build a fast test facility to mature high-power electrified airplane technologies; and (4) $240,000 to the City of Atlanta to conduct a study of regional supply chains, infrastructure, and distribution needs to enable SAF deployment at Hartsfield-Jackson Atlanta International Airport. The full list of grant awards is available here through an interactive map. 

Thursday, August 15^th

• The Department of Health and Human Services (HHS) announced that it reached agreements with all participating manufacturers on new negotiated, lower drug prices for the first 10 drugs selected for the Medicare drug price negotiation program that was included in the Inflation Reduction Act. The new prices will go into effect for people with Medicare Part D prescription drug coverage in 2026. The ten drugs selected for negotiation include: (1) Eliquis, which is used for the prevention and treatment of blood clots, was reduced from $521 for a 30-day supply to $231 (a 56% reduction); (2) Jardiance, which is used to treat diabetes, heart failure, and chronic kidney disease, was reduced from $573 for a 30-day supply to $197 (a 66% decrease); (3) Xarelto, which is used to prevent and treat blood clots and reduce the risk for patients with coronary and peripheral artery disease, was reduced from $517 for a 30-day supply to $197 (a 62% reduction; (4) Januvia, which is used to treat diabetes, was reduced from $527 for a 30-day supply to $113 (a 79% reduction); (5) Farxiga, which is used to treat diabetes, heart failure, and chronic kidney disease, was reduced from $556 for a 30-day supply, to $178.50 (a 68% reduction); (6) Entresto, which is used to treat heart failure, was reduced from $628 for a 30-day supply to $295 (a 53% reduction; (7) Enbrel, which is used to treat rheumatoid arthritis, psoriasis, and psoriatic arthritis, was reduced from $7,106 to $2,355 (a 67% reduction); (8) Imbruvica, which is used to treat blood cancers, was reduced from $14,924 for a 30-day supply to $9,319 (a 38% reduction; (9) Stelara, which is used to treat psoriasis, psoriatic arthritis, Crohn’s disease, and ulcerative colitis, was reduced from $13,836 for a 30-day supply to $4,695 (a 66% reduction); and (10) Fiasp, which is used to treat diabetes, was reduced from $495 for a 30-day supply to $119 (a 76% reduction). HHS notes that these 10 drugs are among those with the highest total spending in Medicare Part D. When the negotiated prices go into effect in 2026, HHS estimated that people enrolled in Medicare Part D are estimated to save $1.5 billion in out-of-pocket costs. 

• The Internal Revenue Service (IRS) issued a notice urging businesses that have received Employee Retention Credit (ERC) payments to recheck eligibility requirements and consider the second ERC Voluntary Disclosure Program (VDP) to resolve incorrect claims without penalties and interest. The second ERC VDP will run through November 22, 2024, and will allow businesses to correct improper payments and avoid future audits, penalties, and interest. Applicants that the IRS accepts into the program will need to repay only 85% of the credits they received. This second round is open for tax periods in 2021—employers can’t use the second VDP to disclose and repay ERC money from tax periods in 2020. If the IRS paid interest on the employer’s ERC refund claim, the employer does not need to repay that interest. Employers who are unable to repay the required 85% of the credit may be considered for an Installment Agreement on a case-by-case basis. The IRS will not charge program participants interest or penalties on any credits they timely repay. However, if an employer can’t repay the required 85% of the credit at the time they sign their closing agreement, they’ll be required to pay penalties and interest in connection with an alternative payment arrangement such as an installment agreement. The IRS has provided a set of Frequently Asked Questions about the second ERC Voluntary Disclosure Program to help employers understand the terms of the program. To apply, employers must file Form 15434, Application for Employee Retention Credit Voluntary Disclosure Program, and submit it through the IRS Document Upload Tool.

Wednesday, August 14^th

• The Interior Department (DOI) announced the availability of $775 million in funding from the Bipartisan Infrastructure Law for 21 states to clean up legacy pollution from oil and gas wells and well sites. Under the funding availability, 21 states have been invited to apply for portions of the $775 million in funding that will be distributed as formula grants. These formula grants may be used for, among other things, the following: (1) plugging, remediating, and reclaiming orphaned wells; (2) identifying orphaned wells; and (3) measuring and tracking emissions from orphaned wells. Moreover, the guidance released alongside the funding announcement encourages states to use project labor agreements and a unionized project workforce for the plugging, remediation and reclamation of wells, and requires states to: (1) measure methane emissions from orphaned wells plugged with formula grants; (2) screen for groundwater and surface water impacts caused by orphaned wells; and (3) include their prioritization methods for finding polluted wells that create burdens for nearby disadvantaged communities. The 21 states eligible to apply for the funding have until December 13, 2024 to submit applications. The full list of 21 states can be found here. 

Friday, August 9^th

• Sen. Ed Markey (D-MA) and Rep. Raul Grijalva (D-AZ) sent a letter to the Department of Transportation’s Maritime Administration (MARAD) calling for the approval criteria for deepwater terminals to be expanded to factor in criteria like public health, environmental justice, and impacts on climate change. In the interim, the lawmakers urged MARAD to pause licensing decisions for new and pending deepwater oil export projects—including Blue Marlin, Bluewater, and Gulflink offshore Texas—and reopen the record of decision for the recently approved Sea Port Oil Terminal (SPOT). 

Thursday, August 8^th

• The Financial Crimes Enforcement Network (FinCEN) announced the launch of a public service announcement (PSA) campaign as part of its ongoing efforts to educate the small business community about new beneficial ownership reporting requirements. To directly reach business owners, educate stakeholders about these reporting requirements, and encourage compliance, television and radio PSAs are now running nationwide in tandem with digital and print ads.

Wednesday, August 7^th

• The Department of Energy (DOE) announced nearly $85 million across four heat pump manufacturers—A.O. Smith, BITZER Scroll, Inc., Daikin Comfort Technologies North America, Inc., and Modine Manufacturing Company—to accelerate the manufacturing of electric heat pumps, heat pump hot water heaters, and heat pump components at five factories in New York, Tennessee, Texas, and Rhode Island. Together these investments will allow for U.S. manufacturing of an additional 155,000 residential heat pumps, 440,000 residential heat pump water heaters, 2,000 school heat pumps, and 20,000 large heat pump compressors each year. The projects, administered by DOE’s Office of Manufacturing and Energy Supply Chains, would collectively create over 500 good-paying jobs, including 220 jobs in disadvantaged communities. More information about the projects selected for award negotiations is available here.

Monday, August 5^th

• The Energy Department (DOE) announced selections for the 2024 Renew America’s Schools Prize and Grant, a three-phase, $190 million investment funded by the Bipartisan Infrastructure Law to help K-12 public schools make energy upgrades that will decrease energy use and costs and improve air quality. Projects include: (1) new heating, ventilation, and air conditioning systems; (2) building envelop and lighting upgrades; (3) alternative fuel (such as electric) vehicles and infrastructure; and (4) renewable energy technologies. The schools and school districts that received funding under the Renew America’s Schools Prize and Grant are available here.

• The Interior Department announced a nearly $105 million investment from the Bipartisan Infrastructure Law for 67 water conservation and efficiency projects in Arizona, California, Colorado, Idaho, Kansas, Montana, Nebraska, Nevada, Texas, Utah, and Wyoming that will enhance drought resilience. The eligible water infrastructure projects include water storage, rural water, water conservation and conveyance, dam safety, water purification and reuse, desalination, and nature-based solutions. The complete list of projects can be found on the Bureau of Reclamation’s website here. 

Around the Country 

Northeast

• On September 3^rd, the Department of the Interior (DOI) announced $76.4 million from the Bipartisan Infrastructure Law for Pennsylvania to plug approximately 550 orphaned oil and gas wells over the next five years. DOI said that this funding will help create good-paying union jobs, catalyze economic growth and revitalization, and reduce environmental and public health impacts from methane leaks. This announcement is part of an overall $660 million in Phase 1 formula grant funding being released on a rolling basis. As part of the award, Pennsylvania will detect and measure methane emissions from orphaned oil and gas wells, screen for groundwater and surface water impacts, and prioritize cleaning up wells near overburdened and disadvantaged communities.  

West

• On September 3^rd, the Department of the Interior (DOI) announced the availability of $55 million in funding from the Inflation Reduction Act to support a variety of projects designed to bolster water management flexibility and reliability in the western United States. Projects that will receive funding under this announcement include those aimed at developing new infrastructure, upgrading existing infrastructure, recharging aquifers, advancing water recycling and treatment, strengthening innovative technologies to address water scarcity challenges for water users, and constructing domestic water supply projects that benefit Tribes and disadvantaged communities. The window to submit applications for this funding will be open until October 7, 2024.

Midwest 

• On August 6^th, the Environmental Protection Agency (EPA) announced a $1 million Innovative Water Workforce Development Grant to Grand Rapids Community College in Grand Rapids, Michigan. The grants program supports career opportunities in the drinking water and wastewater utility sectors and expands public awareness about drinking water and wastewater utilities. Activities funded under the grant program include: (1) targeted apprenticeship, pre-apprenticeship, internship, and post-secondary bridge programs; (2) regional industry and workforce development collaborations to address water utility employment needs and coordinate candidate development; (3) occupational training, mentoring, or cross-training programs that ensure incumbent drinking water and wastewater utility workers are prepared for higher-level supervisory or management-level positions; and (4) integrated learning laboratories in secondary educational institutions. 

Southeast

• On August 7^th, the Environmental Protection Agency (EPA) announced a $171 million Water Infrastructure Finance and Innovation Act (WIFIA) loan to the Birmingham Water Works Board in Alabama. The loan is intended to support improvements to the drinking water supply in the city of Birmingham, including allowing the city to complete a major upgrade of its distribution system to prevent water loss and safely store treated drinking water for distribution to its customers. The EPA estimates that the project’s construction and operation will create about 1,200 jobs. 

Southwest

• On August 29^th, the Department of Energy (DOE) announced that Arizona has launched the first phase of the Inflation Reduction Act funded Home Energy Rebates Program to support low- and middle-income households with the costs of energy efficiency improvements and to help lower monthly energy bills. Arizona’s Home Energy & Appliance Rebates (HEAR) Program, the first phase of the federal program, will provide point-of-sale rebates between $4,000 and $8,000 for eligible homeowners of single-family homes to purchase and install ENERGY STAR-certified electric heat pumps for space heating and cooling. The second phase of the program, to be launched later, will provide up to $14,000 in rebates for lower- and middle-income homeowners and renters to upgrade equipment and appliances, including up to: (1) $4,000 for an electrical panel; (2) $2,500 for electrical wiring; (3) $1,750 for an ENERGY STAR-certified electric heat pump water heater; (4) $1,600 for insulation, air sealing, and mechanical ventilation products; and (5) $840 for an ENERGY STAR-certified electric heat pump clothes dryer and/or an electric stove, cooktop, range, or oven. Arizona is the second state to launch the HEAR portion of the rebate program after New York did so in May 2024.

As part of its ongoing commitment to protecting your livelihood and setting the stage for a bright future, MCAA has secured the services of Longbow Public Policy Group to advise our MCAA Government Affairs Committee (GAC). GAC Chair, Jim Gaffney will be passing along information relative to our industry on a regular basis.

On Monday, August 5, 2024 MCAA Lobbying Firm, Longbow Public Policy Group provided the following information:

MCAA Issues and Interests 

Registered Apprenticeship

MCAA Helps to Ensure Legislation Barring Educational Requirements in Federal Contract Solicitations Do Not Impact Apprenticeship Utilization Requirements 

Last week, the MCAA policy team was busy working with our allies in the Construction Employers of America to address concerns with the Senate Homeland Security and Governmental Affairs Committee regarding provisions in the Allowing Contractors to Choose Employees for Select Skills (ACCESS) Act (S. 4631) that was marked up in the Committee on Wednesday. The ACCESS Act would prohibit federal agency contract solicitations from requiring minimum educational requirements for federal contractor personnel—including on federal construction projects. The MCAA successfully advocated with its allies to secure changes in a manager’s amendment clarifying that language in the bill prohibiting the inclusion of minimum experience or educational requirements did not impact registered apprenticeship utilization requirements, such as those MCAA supported in the Inflation Reduction Act. Following unanimous adoption of the manager’s amendment, the Committee voted 10-1 to advance the bill to the full Senate for consideration. During the August recess, we will be advocating for the House of Representatives to adopt the Senate-passed version of this bill instead of trying to move the original text that MCAA and its allies opposed. 

Project Labor Agreements and Davis-Bacon Prevailing Wage

Last week, the MCAA policy team also continued our outreach to oppose Congressional Review Act resolutions to rescind the MCAA-supported rulemakings on project labor agreements from the Federal Acquisition Regulatory (FAR) Council and Davis-Bacon prevailing wage from the Labor Department. We plan to use the opportunity on Capitol Hill with lawmakers out of town for the August recess to continue this outreach with Congressional staff. As the days left on the legislative calendar continue to dwindle and the November elections loom, we remain confident that we may be able to prevent a legislative reversal of these rulemakings but are continuing our outreach efforts to leave no stone unturned. On Thursday, a recount confirmed that one of our leading opponents on these issues in the House of Representatives, House Freedom Caucus Chair Bob Good (R-VA) lost his Republican primary for Virginia’s 5^th Congressional District to state Sen. John McGuire by 374 votes. Good is expected to resign as Chair of the conservative House Freedom Caucus following the recount, but he is expected to keep working to undermine PLAs and Davis-Bacon for the remainder of this Congress from his post as Chair of the House Education and Workforce Committee’s Subcommittee on Health, Employment, Labor and Pensions. 

Pension Reform

Senate Fails to Invoke Cloture on Smith-Wyden Tax Bill 

MCAA’s effort to add two-pool withdrawal liability authorization suffered a setback as Senate Democratic leadership elected not to include this language in a proposed revision  to H.R. 7024, the House-passed “Tax Relief for American Families and Workers Act,” also known as the “Smith-Wyden tax deal.” On Thursday, the Senate voted 48-44 against invoking cloture on the modified version of this $79 billion tax package. As discussions around this vote developed over the course of last week, it was clear that this was not a substantive legislative effort, but rather a messaging vote ahead of the August recess by Senate Majority Leader Chuck Schumer (D-NY) to reinforce the message that Republicans are “anti-family” and against the middle class because they voted against a tax cut bill that would have expanded the Child Tax Credit. Given this dynamic, not even our best allies on pension issues felt it was worth the effort to press for inclusion of our two-pool withdrawal liability. There may be a run at actually passing some tax legislation to address expiring provisions when Congress returns in September and MCAA plans to use the August recess to assess the prospects for attaching two-pool withdrawal liability to any discrete tax measures that may move before Congress breaks for the elections at the end of September. 

Foxx Expands Investigation into Pensions Leveraging Funds to Support Organized Labor

Following up on an item discussed in our May 24^th Government Affairs report, on July 29^th, House Education and the Workforce Committee Chair Virginia Foxx (R-NC) announced the expansion of her investigation into the Biden Administration’s attempts to leverage pension assets to support organized labor by sending a letter to Internal Revenue Service (IRS) Commissioner Daniel Werfel and California Public Employees’ Retirement System (CalPERS) President and Vice Chair of Investment Theresa Taylor demanding answers regarding CalPERS’s commitments to divert pension holdings for the benefit of organized labor. Foxx previously sent similar letters back in May to Acting Labor Secretary Julie Su, North America’s Building Trades Unions (NABTU), the National Electrical Benefit Fund, the AFL-CIO, the International Association of Fire Fighters, and the National Education Association seeking information about an April 2024 White House meeting launching an initiative encouraging pension funds to leverage their investments to advance fair pay, apprenticeship utilization, and basic labor standards. 

In the July 29^th letter Chair Foxx sent to the IRS this week, she said the Agency “has an obligation to enforce the provisions of the [Internal Revenue] Code to ensure that taxpayers are not improperly subsidizing a retirement plan that does not comply with the Code’s exclusive benefit requirement. To the extent that CalPERS is using plan assets for the benefit of social or political causes, the plan’s tax status is no longer valid.” The letter to IRS Commissioner Werfel is available here and the letter to CalPERS President Taylor is available here. MCAA is closely monitoring Chair Foxx’s ongoing fishing expedition and conducting education intended to minimize the prospect of MCAA-affiliated plans being caught up in this investigation.

Decarbonization

EPA Sends Final Rule Regarding Phasedown of HFCs to White House for Review

As we continue engaging on decarbonization issues for MCAA, we wanted to be sure MCAA members were aware that last Wednesday, the White House Office of Information and Regulatory Affairs (OIRA) concluded its review of the Environmental Protection Agency’s (EPA) final rule entitled, “Phasedown of Hydrofluorocarbons: Correction to Address Vacated Provisions.” This final rule is intended to comply with a 2023 ruling from the U.S. Court of Appeals for the D.C. Circuit which concluded that the American Innovation and Manufacturing (AIM) Act did not give the EPA the authority to ban disposable HFC cylinders. Consistent with the court’s decision, this impending final rule removes regulatory provisions at 40 CFR part 84 prohibiting the use of disposable cylinders, implements a cylinder tracking system, and creates auditing obligations related to the cylinder tracking system. The conclusion of OIRA review is typically the final step before an item is published in the Federal Register, so we expect this final rule to issue soon, correcting the EPA’s overreach. 

FBI Warns Malicious Actors May Seek to Disrupt the Renewable Energy Industry

This week a new challenge related to decarbonization and promotion of “clean energy” surfaced as public notice increased of a Federal Bureau of Investigation (FBI) warning to energy companies and alternative energy developers that “malicious cyber actors may seek to disrupt power generating operations, steal intellectual property, or ransom information critical for normal functionality to advance geopolitical motives or financial gain within the U.S. renewable energy industry.” The FBI added that “with federal and local legislatures advocating for renewable energies, the industry will expand to keep pace, providing opportunities and targets for malicious cyber actors.”  While the examples of such malicious activity provided in the Notice mainly pertain to solar power, the Notice broadly urges “current and former employees of companies within the renewable industry to report cyber intrusions targeting either themselves or their organization, as well suspected elicitation attempts by foreign nationals outside of the organization.” The FBI also says that “[p]rivate industry partners can contact their local FBI office to report security concerns and request threat briefings.”  

Other Interesting Things Since Our Last Report 

Thursday, August 1^st

• House Education and the Workforce Committee Chair Virginia Foxx (R-NC) called on Department of Health and Human Services Secretary Xavier Becerra, Acting Labor Secretary Julie Su, and Treasury Secretary Janet Yellen to reconsider the Biden Administration’s pending proposed rules on mental health parity about which the multiemployer plan community has expressed significant concerns, along with the larger health insurance community. In her letter, Chair Foxx said that following the Supreme Court’s reversal of Chevron deference in “Loper Bright, the [departments] do not have the authority to create new tests for Non-Quantitative Treatment Limitations that Congress did not intend” and that “the proposed rule’s requirement that plans measure outcomes and vary reimbursement rates are without basis in law.” Foxx urged the department heads to work with Congress to ensure any mental health parity rules are workable, improve patient care, and do not result in employers ceasing to offer mental health benefits. 

• The General Services Administration’s (GSA) Green Proving Ground (GPG) program released a request for information (RFI) seeking “innovative, emerging, and sustainable technologies that enable energy efficiency and decarbonization in commercial buildings and contribute to a more efficient electric infrastructure.” The RFI is focused on the following issues related to decarbonization of commercial buildings: (1) Deep Energy Retrofits (renovations to reduce site energy use by at least 40%); (2) All-Electric Buildings and All-Electric Vehicle Fleets; (3) Healthy and Resilient Buildings; (4) Low-Embodied Carbon Building Materials; (5) Net-Zero Operations; and (6) Packages of Emerging and Sustainable Technology Solutions. Technologies selected for the GPG program will be piloted in one or more federal buildings and/or private sector facilities and evaluated by Biden Energy Department National Labs. The comment period on the RFI is open until September 13, 2024.  The agency will also host an informational webinar at 1pm ET on August 22, 2024 through Zoom, for which participants must register here.

• The House Financial Services Committee Republicans’ Environmental, Social, and Governance (ESG) Working Group—led by Oversight and Investigations Subcommittee Chairman Bill Huizenga—released its final staff report entitled “The Failure of ESG: An Examination of Environmental, Social, and Governance Factors in the American Boardroom and Needed Reforms.” The report focuses on GOP concerns about the use of the shareholder proposal process by a small group of activists—especially climate activists—to advance political and social objectives at the expense of other investors. It explores how these actors allegedly use undue influence on shareholder voting exerted by proxy advisory firms and federal policies and regulations that facilitate their efforts. The Working Group specifically raised concerns about the SEC exceeding its statutory authority by mandating non-material climate-related regulations and making harmful changes to the proxy process that facilitate exploitation by climate activists. Key priorities identified in the staff report to address House Republicans’ concerns include: (1) reforming the proxy voting system to safeguard the interests of retail investors; (2) promoting transparency, accountability, and accuracy in the proxy advisory system; (3) enhancing accountability in shareholder voting by aligning voting decisions with the economic interests of shareholders; (4) increasing transparency and oversight of large asset managers to ensure their practices reflect the pecuniary interest of retail investors; (5) improving ESG rating agency accountability and transparency to safeguard retail shareholders; (6) strengthening oversight and conduct thorough investigations into federal regulatory efforts that would contort our financial system into a vehicle to implement climate policy; (7) demanding transparency, responsibility, and adherence to statutory limits from financial and consumer regulatory agencies; and (8) protecting U.S. companies from burdensome European Union regulations and safeguarding American interests in global markets. 

Wednesday, July 31^st

• The Senate Energy and Natural Resources Committee voted 15-4 to advance the “compromise” bipartisan energy permitting legislation from Committee Chair Joe Manchin (I-WV) and Ranking Member John Barrasso (R-WY) that would, among other things, require the Interior Department to hold at least one offshore wind lease sale and one offshore oil and gas lease sale annually from 2025 through 2029, override the Biden Administration’s pause on liquefied natural gas exports, and open up electricity transmission development. 

• During a Senate Banking Committee hearing entitled, “Long-Term Economic Benefits and Impacts from Federal Infrastructure and Public Transportation investments,” Committee Chair Sherrod Brown (D-OH) hailed passage of the Bipartisan Infrastructure Law and CHIPS and Science Act, noting that “every state is benefiting” from “more than 60,000 infrastructure projects already underway across the country” that have “added 670,000 construction jobs to the U.S. economy.” Brown also said that the CHIPS and Science Act is “allowing [the U.S.] to build a new generation of chip facilities…around the country.”

• The Energy Department (DOE) announced $41 million for 14 projects that develop Renewables-to-Liquids (RtL) systems that operate at a renewable energy production site and use its electricity, carbon dioxide, and water to create liquids that can be used as renewable fuels or drop-in replacements for conventional fuels. Currently, low-carbon fuels are expensive at around $10 per gallon, so producers who use cheaper electricity sources like wind and solar independent from the grid to create these fuels can achieve lower overall costs. DOE’s Advanced Research Projects Agency-Energy (ARPA-E), will manage these projects through its Grid-free Renewable Energy Enabling New Ways to Economical Liquids and Long-term Storage (GREENWELLS) program, which aims to economically store at least 50% of incoming intermittent electrical energy in carbon-containing liquids. Projects funded under the announcement include: (1) $2 million to the Georgia Institute of Technology in Atlanta to work on an electrochemical reactor that responds quickly to dynamic changes in renewable energy to work with direct air capture systems that produce syngas for hydrocarbon production; (2) a $2.3 million grant to Emvolon in Woburn, Massachusetts to repurpose automotive engines as chemical reactors to convert renewable power and greenhouse gas emissions to liquid clean fuels; and (3) a $4 million award to Washington State University in Pullman, WA to develop a carbon dioxide hydrogenation process that converts carbon dioxide and hydrogen into liquid hydrocarbons using renewable energy sources. A full list of the grant awards is available here.
  
• President Joe Biden issued a National Security Memorandum to the heads of the Departments of the Treasury, Homeland Security, Justice, and other federal agencies directing a coordinated, whole-of-government approach for disrupting the supply chain for fentanyl and synthetic opioids that will be overseen by the National Security Council. Specifically, the memo directs federal agencies to “engage collectively and collaboratively, employing all available tools, in support of the shared goal of materially and sustainably disrupting the illicit fentanyl supply chain.” The Biden Administration also called on Congress to pass legislation to permanently schedule fentanyl-related substances as Schedule I drugs and give law enforcement at the border “the tools they need to more effectively track and target the millions of small-dollar shipments that cross our borders every day.”

Tuesday, July 30^th

• A new poll from Data for Progress found that 90% of respondents said they either strongly or somewhat support the Biden Labor Department’s proposed rule addressing heat injury and illness in indoor and outdoor work settings. Democrats were more likely than independents or Republicans to “strongly” support the rule, with 78% of self-identified Democrats supporting it, compared to 63% of independents and 56% of Republicans. However, when those who “strongly” or “somewhat” supported the rule were combined, more than 80% of all three groups supported it, including 96% of Democrats and 86% each of independents and Republicans.

• The Energy Department (DOE) announced that applications are open for $36 million in Enhancement & Innovation (E&I) competitive grants, which aim to expedite the shift to clean energy through demonstration projects for residential homes. Complementary to the Weatherization Assistance Program (WAP), which offers formula funding to state entities, the E&I program offers competitive funding and flexibility to allow a broader range of innovative weatherization activities, including the installation of renewable energy technologies, electrification, comprehensive workforce development, and more expansive health and safety measures. For example, a proposal could offer on-the-job weatherization training where trainees learn how to replace old wiring or repair a leaky roof. Additionally, the program encourages weatherization providers to hire, train, and retain employees within their local communities. An optional information webinar for potential applicants will take place on August 6, 2024 at 2pm ET and registration is required. Applications are due by September 27, 2024. DOE intends to announce E&I selections in late February 2025.

• The Federal Energy Regulatory Commission (FERC) released guidance providing updates to its permitting process for electric transmission facilities, which focuses on some of the basic concerns of landowners, tribal communities, environmental justice communities and other stakeholders as outlined in FERC’s Order No. 1977, which was issued in May 2024 to update the Commission’s regulations on applications for permits to site electric transmission facilities. The guidance is available here.

Monday, July 29^th

• House Education and the Workforce Committee Ranking Member Bobby Scott (D-VA) introduced the Labor Enforcement to Securely (LET’S) Protect Workers Act, legislation to: (1) increase civil monetary penalties for violations of minimum wage and overtime, worker health and safety, child labor and farmworker protection standards; (2) create new penalties for violations of the National Labor Relations Act, consistent with the Protecting the Right to Organize (PRO) Act; (3) set new penalties for retaliation against workers who exercise their family and medical leave rights; (4) close loopholes that allow employers to escape penalties for failing to keep records of workplace injuries if the Occupational Safety and Health Administration does not detect the violation within six months; (5) strengthen enforcement of mental health parity requirements for employer-sponsored health plans; and (6) improve mine safety and reliable funding of black lung benefits through new and increased civil monetary penalties and the option to shut down scofflaw operators. The bill text is available here, a fact sheet is available here, and the section-by-section is available here.

• The Energy Department (DOE) announced $24 million in funding from the President’s Bipartisan Infrastructure Law for 21 projects in Washington State, Idaho, California, Nevada, Utah, Arizona, Nebraska, Kansas, Oklahoma, Arkansas, Iowa, Wisconsin, Illinois, Alabama, Mississippi, Georgia, Florida, Ohio, West Virginia, North Carolina, South Carolina, Maryland, New York, New Jersey, Connecticut, Massachusetts, and Rhode Island to bolster development of clean energy workforce training programs—with a focus on jobs that do not require four-year college degrees—within union training programs, community colleges, and trade schools. Over 40% of the announced funding will directly support union job training. The selected projects will expand the DOE’s existing Industrial Training and Assessment Centers (ITAC), a network that trains energy-efficiency workers to help small- and medium-sized manufacturers reduce their carbon emissions and energy costs. A full list of the ITAC expansion selectees is available here.

• The Transportation Department’s (DOT) Office of the Inspector General announced that it is initiating an audit of the Federal Highway Administration’s Advanced Transportation Technologies and Innovative Mobility Deployment program, which is authorized to receive $60 million per year from fiscal year 2022 through 2026 to deploy, install, and operate advanced transportation technologies. Grant funds through the program may be used for workforce development, planning, construction, equipment and materials for funding activities, which include installing advanced transportation and congestion management technologies for public transportation systems, integrating corridor management systems, and technology for tolling and congestion pricing.

• The Environmental Protection Agency (EPA) announced a joint project with the U.S. Army to conduct sampling and testing of private drinking water wells located near Army installations for the presence of per-and polyfluoroalkyl substances (PFAS). The joint EPA-Army sampling and testing project, which is being implemented nationally, has identified a priority list of nine installations in Alabama, California, Georgia, Kentucky, Tennessee, North Carolina and Oklahoma. As initial work is completed, the EPA and the Army will evaluate additional installations for expansion of the pilot at the rest of the 235 locations. 

• The White House posted a fact sheet on new private sector investments in American maritime industries, including plans to support U.S. jobs in the shipbuilding sector and U.S. shipbuilding competitiveness. This includes Bollinger Shipyards’ plan to build three new polar icebreakers for the U.S. Coast Guard, a “major investment” in a U.S. shipyard by David Shipbuilding to expand capacity and plans by Konecranes to establish a consortium of U.S. partners to build ship-to-shore cranes in the U.S. for North American ports.

• Speaker of the House Mike Johnson (R-LA) and Minority Leader Hakeem Jeffries (D-NY) announced the 13 members of the Bipartisan House Task Force to investigate the attempted assassination of former President Donald Trump. The seven Republicans on the Committee are: Chairman Mike Kelly (PA-16); Rep. Mark Green (TN-7); Rep. David Joyce (OH-14); Rep. Laurel Lee (FL-15); Rep. Michael Waltz (FL-6); Rep. Clay Higgins (LA-3); and Rep. Pat Fallon (TX-4). The Democrats are: Ranking Member Rep. Jason Crow (CO-6); Rep. Lou Correa (CA-46); Rep. Madeleine Dean (PA-4); Rep. Chrissy Houlahan (PA-6); Rep. Glenn Ivey (MD-4); and Rep. Jared Moskowitz (FL-23).

• The Securities and Exchange Commission’s Division of Enforcement has an “active and ongoing” investigation of NuScale Power, the first company to have its small modular reactors certified by the Nuclear Regulatory Commission. NuScale’s stock was down as much as 15% Monday following the news.

Friday, July 26^th

• The Transportation Department (DOT) announced more than $374 million in funding through the third round of grants from the Airport Improvement Program (AIP), which funds a variety of projects including the construction of new and improved air facilities, repairs to runways and taxiways, maintenance of airfield lighting and signage, and purchasing equipment needed to operate and maintain airports. Grant funding from this announcement includes: (1) $6.9 million to Birmingham-Shuttlesworth International Airport in Alabama for rehabilitation and reconstruction of several taxiways; (2) $12.8 million to Huntsville International-Carl T. Jones Field in Alabama to shift a taxiway 200 feet and rehabilitate pavement and lighting on a runway; (3) $4.6 million to Miami International Airport in Florida to reconstruct the existing Central Terminal building to increase capacity; and (4) $7.2 million to Stillwater Regional Airport in Oklahoma for construction of a new terminal building to accommodate additional passengers. A full list of the grants through today’s announcement is available here, and an interactive map of AIP grant funding is available here.

Around the Country 

Northeast 

• On August 1^st, the Labor Department (DOL) announced the award of $24,030,695 to expand apprenticeship programs in Maryland through DOL’s Apprenticeship Building America grant program. The money is intended to provide more high-quality workforce training and a direct pipeline to in-demand jobs in Maryland’s growth sectors, including transportation, health care, and technology. Awards went to the following recipients across the state of Maryland: (1) $8,000,000 for the Amalgamated Transit Union to develop a national public transit registered apprenticeship ecosystem that connects frontline workers with 6,680 trainees enrolled in registered apprenticeships and pre-apprenticeships for occupations in public transit; (2) $3,990,486, for the Asian American Center of Frederick, MD to expand their training program to increase and diversify the healthcare workforce through pre-apprenticeships and apprenticeships for immigrants and other under-resourced populations; (3) $3,882,946 for the Baltimore Alliance for Careers in Healthcare, Inc. to establish a Registered Apprenticeship Hub to expand access to high-quality apprenticeship programs in the healthcare industry, with a focus on promoting diversity, equity, inclusion, and accessibility; (4) $3,947,276 to the University of Maryland Global Campus in Adelphi, MD to develop and implement a replicable national model for increasing employment in high-demand information technology fields that consists of pre-apprenticeship, apprenticeship, higher education and job placement programs; (5) $3,117,812 to Joe’s Movement Emporium, Mount Rainier, MD to grow sustainable, living wage jobs in media and creative technologies across multiple sectors, building opportunities for both small business owners and trainees; and (6) $1,092,175 to the Maryland Governor’s Workforce Investment Board, Baltimore, MD to increase staffing for the “Apprenticeship 2030: Maryland’s Workforce Future” program.

• On July 30^th, Rep. Bill Pascrell’s (D-NJ) office said that while Pascrell remains hospitalized, he is no longer receiving breathing assistance and that “his doctors are very encouraged by his progress, have begun to discuss discharge plans, and continue to anticipate a full recovery.” Pascrell has been hospitalized since July 14^th after going to the hospital with a fever. 

• On July 30^th, a new poll found that Vice President Harris leads Trump in Pennsylvania 47% to 43%. The poll also found Sen. Bob Casey (D-PA) leading his Republican challenger Dave McCormick 47% to 42%. 

• On July 29^th, the Interior Department’s (DOI) Bureau of Ocean Energy Management (BOEM) announced the availability of its final Environmental Impact Statement (EIS) for U.S. Wind’s proposed wind project offshore Maryland and Delaware. The project proposes to install up to 114 turbines, up to four offshore substation platforms, one meteorological tower, and up to four corridors for offshore export cables. BOEM estimates that the development and construction phases of the project, if approved, could support 2,679 jobs annually over seven years.

West

• On August 1^st, the Agriculture Department (USDA) announced a $400 million investment in at least 18 irrigation districts to help farmers across the West deploy innovative water saving technologies and farming practices. The funding is expected to help conserve up to 50,000 acre-feet in water use across 250,000 acres of irrigated land in production, while expanding and creating new, sustainable market opportunities. The preliminary selected districts (list available here) may receive up to $15 million each in the awards and will enter into sub-agreements with the producers participating within the district. USDA is working to finalize agreements with the preliminarily selected districts, which will include the details of each individual district’s water-saving strategies, commodities to be produced, and specific budgets. Following the finalization of those awards, producers within the participating districts will work directly through their irrigation districts to participate.

• On August 1^st, northern California’s Panattoni Development launched a new team that will build and operate data centers across North America with the goal of developing a gigawatt of data-center capacity over the next five years—the equivalent of what it takes to power about 876,000 homes. 

• On July 29^th, National Labor Relations Board (NLRB) General Counsel Jennifer Abruzzo announced the appointment of Christy Kwon as the Regional Director of the Region 32-Oakland, CA office. Kwon began her career as an NRLB Field Attorney in Los Angeles (Region 31) and was appointed Regional Attorney of the NLRB’s Oakland office in 2019. 

Northwest 

• On August 1^st, ProPublica released a new report detailing how Washington State and other U.S. states are trying to address both facilitating the growth of data centers in their states and the power and water demands they create that threaten efforts to eliminate carbon emissions from electricity generation.

Midwest

• On August 1^st, a new poll found incumbent Sen. Sherrod Brown (D-OH) leading his Republican Senate opponent Bernie Moreno by four points (46%-42%).

• On July 29^th, Democrats’ House Majority PAC announced $24 million in additional spending to target the House seats occupied by Reps. Derrick Van Orden (R-WI), Bryan Steil (R-WI), and Mariannette Miller-Meeks (R-IA).

Southeast

• On August 1^st, the Environmental Protection Agency (EPA) announced the selection of West Virginia University Research Corporation (WVU) to receive $2,486,224 to support efforts to report and reduce climate pollution from the manufacturing of construction materials. WVU is one of 38 selectees across the country that were announced on July 16, 2024, as part of a $160 million grant rollout. WVU will provide technical assistance to construction material manufacturers in the region to develop environmental product declarations (EPDs). Their project will support businesses to create comprehensive life cycle assessments that show environmental impacts and enhance their competitiveness in supplying products for federal and institutional construction projects.

• On August 1^st, a recount in Virginia’s 5^th Congressional District confirmed that House Freedom Caucus Chair Bob Good (R-VA) lost his GOP primary to Trump-backed Virginia state senator John McGuire (R) by 374 votes. Rep. Good is rabidly anti-union and has been the lead sponsor of H.R. 720 the “Davis-Bacon Repeal Act.

• On August 1^st, Tennessee state Rep. Gloria Johnson won Tennessee’s Democratic U.S. Senate primary and will face incumbent Sen. Marsha Blackburn (R-TN) in November. 

• On August 1^st, Rep. Andy Ogles (R-TN) defeated Nashville Metro Councilmember Courtney Johnston in the Republican primary for Nashville’s 5^th Congressional District. 

• On July 29^th, a new poll found progressive Rep. Cori Bush (D-MO) trailing her Democratic primary challenger Wesley Bell 48%-42% in the race for Missouri’s 1^st Congressional District.

Southwest

• On July 30^th, Kari Lake won the Arizona GOP Senate primary and will face Democratic Rep. Ruben Gallego (AZ) in the November general election. 

• On July 30^th, Rep. Eli Crane (R-AZ) won the Republican primary in Arizona’s 2^nd Congressional District against Yavapai County Board of Supervisors member Jack Smith, who had the support of former Speaker Kevin McCarthy (R-CA).

As part of its ongoing commitment to protecting your livelihood and setting the stage for a bright future, MCAA has secured the services of Longbow Public Policy Group to advise our MCAA Government Affairs Committee (GAC). GAC Chair, Jim Gaffney will be passing along information relative to our industry on a regular basis.

On Friday, July 26, 2024 MCAA Lobbying Firm, Longbow Public Policy Group provided the following information:

MCAA Issues and Interests 

Registered Apprenticeship

Raising Concerns with Congress Regarding the ACCESS Act 

The MCAA policy team was busy this week working with the Construction Employers of America (CEA) and North America’s Building Trades Unions to quickly educate members of Congress about H.R. 7887, the “Allowing Contractors to Choose Employees for Select Skills (ACCESS) Act” introduced by Reps. Nancy Mace (R-SC) and Raja Krishnamoorthi (D-IL). While this legislation is intended to prevent the federal government from imposing college degree requirements on employees of federal contractors, it was written much more broadly and could be read to preclude apprenticeship utilization requirements in federal contracts. 

The bill was scheduled for a vote on Monday through suspension of the rules (which requires a 2/3 majority vote for passage), but MCAA and its allies convinced lawmakers to delay the vote to give us time to continue discussions about problematic portions of this bill. Pushing the bill to Tuesday ultimately led to us defeating the bill on the House floor by a vote of 178-234. We are pleased that our contribution to the outreach on this bill convinced enough members to vote “no” to send a clear message about our concerns with the legislation.

The Senate companion bill was also scheduled for a markup in the Senate Homeland Security and Government Affairs Committee on Wednesday, but the bill was pushed to next week. The delay has given our coalition time to conduct outreach to senators regarding the problematic provisions in the bill in advance of the mark up and these efforts will continue through the weekend.

DOL Apprenticeship Rule

MCAA continues advocating for the changes requested to the U.S. Department of Labor’s proposed apprenticeship rule in joint comments we filed with the UA this spring. The battle over the ACCESS Act described above served as a helpful illustration of the importance of ensuring tight and clear language around anything having to do with registered apprenticeship. We are sensing that there will be some significant changes to the proposed rule when it is finalized, but feel far from secure that all our concerns will be addressed. So we are continuing to press our case.

Project Labor Agreements and Davis-Bacon Prevailing Wage

This week, the MCAA policy team continued our outreach to oppose Congressional Review Act resolutions to rescind the MCAA-supported rulemakings on project labor agreements from the Federal Acquisition Regulatory Council and Davis-Bacon Prevailing Wage from the Labor Department. These rules are subject to litigation and our lobbying has taken on increased importance in light of the Supreme Court’s reversal of the Chevron doctrine last month in Loper Bright Enterprises. With the upcoming August and October recesses shortening the legislative calendar, we are growing confident that we may be able to prevent a legislative reversal of these rules, but we are continuing to monitor the progress of litigation as we are less certain the rules can survive judicial challenges in a post-Chevron world. 

We are also closely tracking congressional legislative responses to the reversal of Chevron as both parties signal what they may do on this issue if they secure unified control of the federal government in the November elections. The GOP’s vision for a congressional response to the end of Chevron deference in embodied in Senate Health, Education, Labor, and Pensions (HELP) Committee Ranking Member Cassidy’s (R-LA) recently introduced bill, the Upholding Standards of Accountability (USA) Act. This bill would: (1) require the head of a federal agency signing a major rule to testify about the rule before the committee of jurisdiction within 30 days of the rule being published; (2) require each person nominated to a Senate-confirmed position to testify before the committee of jurisdiction prior to Senate confirmation; (3) require federal agencies to conduct retrospective reviews of cost-benefit analyses for major rulemakings within five years of each rule’s effective date; (4) clarify that federal agencies are permitted to communicate with Congress at all times regarding proposed rules; and (5) require timely, substantive responses to congressional oversight from federal agencies. By contrast, the Democratic response is illustrated in a bill introduced this week by Sen. Warren (D-MA) and several Democrats called the “Stop Corporate Capture Act,” which would codify the Chevron doctrine. The bill would also revise the federal regulatory process through measures such as streamlining White House review of agency regulations, authorizing agencies to reinstate rules rescinded under the Congressional Review Act, and requiring all rulemaking participants to disclose industry-funded research or other related conflicts of interest.

Independent Contractors and Misclassification of Workers 

NLRB Withdraws Appeal of Joint Employer Rule Injunction 

MCAA strongly supported the National Labor Relations Board (NLRB)’s joint employer rule dating to when it was proposed in September 2022. The rule reversed a 2020 regulation that curtailed the circumstances in which a higher level contractor could be deemed a joint employer of a subcontractor, such that it was jointly liable for labor law violations, such as unfair labor practices under the National Labor Relations Act. The 2022 proposal finalized in 2023 returned to a longstanding set of rules that removed some of the legal insulation higher level contractors gained by their subcontractors misclassifying their workers as independent contractors. Unfortunately, after the 2023 rule took effect, it was challenged in court and enjoined by a federal judge in Texas.

Last Friday, July 19^th, the NLRB voluntarily dismissed its appeal of the Texas federal judge’s decision enjoining this final rule, telling the Fifth Circuit that it would “like the opportunity to further consider the issues identified in the district court’s opinion” and that dismissal would “allow it to consider options for addressing the outstanding joint employer matters before it.” The NLRB also said that it “remains of the opinion” that the joint employer rule is lawful. As a result of the dismissal, the final joint employer rule remains effectively blocked. The Board’s action leaves open the question of the extent to which the NLRB can pursue a similar definition of joint employment through case adjudication.

California Supreme Court Ruling Encourages Proponents of the Independent Contractor Business Model

This week, opponents of the MCAA-supported Department of Labor final rule on the classification of workers as independent contractors made a renewed push to kill the Labor Department Rule that makes it harder to treat workers as contractors under federal wage and hour law. The renewed push came from the victory gig companies got this week from the California Supreme Court upholding the independent contractor status of Uber and Lyft drivers under California’s Prop 22. While the case only involved independent contractor classification under California state law, it is being used in Washington, D.C. as a rallying cry for the legitimacy of the independent business contractor model more generally. MCAA is countering this renewed push to kill the Labor Department Rule, hoping to run out the clock on pending Congressional Review Act resolutions to reverse it.

This week, we were also able to highlight our concerns about misclassification in our industry by sharing with legislators the news that the U.S. Department of Labor (DOL) recovered over $1.5 million in back wages and damages for 430 technicians employed by C&G HVAC after a Wage and Hour Division investigation determined that this heating, ventilation and air conditioning company operating in Dallas, Texas misclassified its workers as independent contractors.

Pension Reform

PBGC Releases Fiscal Year 2023 Projections Report 

As we continue to engage with the prospects for pension reform in the coming 2025 tax debate related to the impending expiration of the Tax Cut and Jobs Act of 2017, we wanted to be sure that you saw that on July 19^th, the Pension Benefit Guaranty Corporation (PBGC) released its Fiscal Year 2023 Projections Report showing an improved financial outlook for the Multiemployer Defined Benefit Pension insurance program. The new projections indicate that the Multiemployer Insurance Program, which covers about 11 million participants in about 1,360 plans, is now likely to remain financially sound for more than 40 years thanks to the MCAA-supported Special Financial Assistance Program. The PBGC notes that projected outcomes in this year’s report slightly improved compared to last year because of strong 2023 investment performance.

Decarbonization

Palmer Introduces CRAs on DOE Clean Energy Loan Rule and Energy Conservation Standards 

On Friday July 19^th, Rep. Gary Palmer (R-AL) introduced two separate Congressional Review Act (CRA) resolutions to rescind Energy Department (DOE) decarbonization rulemakings. The first CRA, H.J. Res. 191, seeks to overturn DOE’s final rule entitled, “Loan Guarantees for Clean Energy Projects.” The second CRA, H. J. Res. 189, seeks to overturn DOE’s final rule entitled, “Energy Conservation Program: Energy Conservation Standards for Air-Cooled Commercial Package Air Conditioners and Heat Pumps.” Neither CRA currently has any cosponsors. But similar efforts to repeal decarbonization rulemakings from the Energy Department and the EPA also found their way into the text of several pending House Appropriations bills. While these bills remain stalled, they are indicators of policy priorities that could move if Republicans gain unified control of Congress in November. 

Fiscal Hawks Question Decarbonization Incentives

As we engage Congress on concerns about the unintended consequences of certain decarbonization efforts, we are hearing growing concern among fiscal hawks in Congress about the EPA’s frantic race to meet a September 30, 2024 deadline for distributing the $27 billion in Inflation Reduction Act funds for climate friendly grants through the Greenhouse Gas Reduction Fund. There have been several EPA Inspector General reports about inadequate management of the massive program and the fact that the 35-person team overseeing this unprecedented grantmaking and awards process is just too small to ensure program integrity and avoid a repeat of fraud akin to what happened with certain government programs during COVID.

McKinsey Survey Finds Early Adopting EV Owners Want to Switch Back to Gas-Powered Cars

Something else that made a splash in Washington, D.C. on the decarbonization front was a July 25^th survey from McKinsey and Company finding that 46% of electric vehicle owners claimed they were likely to switch back to internal combustion engines. The McKinsey survey reinforced a recent Gallup poll finding that fewer owners of traditional internal combustion engine vehicles in the U.S. are considering an electric vehicle purchase. These datapoints are causing even many moderates in Congress to begin questioning decarbonization through electrification incentives. We are trying to parlay these concerns into deeper reflection about mandating electric water heaters and similar energy efficiency efforts that raise issues for our industry.

NLRB Issues Final Rule on 9(a) Recognition and Other Union Election Issues 

Today, The National Labor Relations Board (NLRB) issued its final rule on “Fair Choice—Employee Voice,” which restores three NLRB policies facilitating union organizing—including the NLRB’s policy on voluntary recognition in the construction industry. First, the final rule revives the NLRB’s prior approach to voluntary recognition in the construction industry, as reflected in case law. This would include restoring a six-month limitations period for election petitions challenging a construction employer’s voluntary recognition of a union under Section 9(a) of the National Labor Relations Act (NLRA), as established in Casale Industries. It would also include the principle established in Staunton Fuel that sufficiently detailed language in a collective bargaining agreement can serve as sufficient evidence that voluntary recognition was based on Section 9(a) of the Act.

Second, the final rule reinstates the Board’s long-established “blocking charge” policy as most recently reflected in a 2014 rule. Under this approach, when unfair labor practice charges are filed while an election petition is pending, a Regional Director may delay the election if the conduct alleged threatens to interfere with employee free choice.

Finally, this new rule eliminates the required notice-and-election procedure triggered by an employer’s voluntary recognition of a union based on a showing of majority support among employees. The final rule is effective on September 30, 2024 and will only be applied to cases filed after the effective date.

Other Interesting Things Since Our Last Report 

Thursday, July 25^th

• The Commerce Department reported that U.S. economic activity was considerably stronger than expected during the second quarter, boosted by a strong consumer and government spending. Real Gross Domestic Product (GDP) increased at a 2.8% annualized pace adjusted for seasonality and inflation. This blew past economists’ expectations for growth of 2.1% following a 1.4% rise in the first quarter. 

• There was detailed reporting this week about expectations that former President Trump is expected to draw heavily from the Senate GOP conference to fill his Cabinet if he wins a second term, including: (1) Sen. Bill Hagerty (R-TN) as a potential Treasury Secretary; (2) Sen. Marco Rubio (R-FL) as either CIA Director, Director of National Intelligence, or Secretary of State; (3) Sen. Tom Cotton (R-AR) as Defense Secretary; (4) Sen. Tommy Tuberville (R-AL) as Education Secretary; (5) Sen. Tim Scott (R-SC) as Health and Human Services Secretary or Housing and Urban Development Secretary; and (6) Sen. Eric Schmitt (R-MO) as Attorney General. Notably, all these Senators hail from states that currently have Republican governors, which presumably reduces concerns that their departures could affect the post-election partisan balance of power in the Senate. But the departure of these members would still scramble the politics for senior posts on important Senate Committees and require quick adjustments and relationship development. 

• The Environmental Protection Agency (EPA) announced over $325 million in funding from the President’s Inflation Reduction Act through the Community Change Grants Program (CCPG) for 21 projects that reduce pollution, increase community climate resilience, and build community capacity. These projects are the first selected applications under the CCPG program’s rolling application process, which is still accepting applications through November 21, 2024. Grants in this announcement include funds for water infrastructure, installation of electric vehicle chargers and solar systems, retrofitting public buildings with HVAC and solar systems, and other such projects including: (1) $20 million to the Coalition for Responsible Community Development and Los Angeles Trade-Technical College to build environmental justice workforce development trainings for lead abatement, welding, hybrid and electric vehicle maintenance, home weatherization, and residential energy audits; (2) over $14 million to Texas A&M University and the Black Belt Unincorporated Wastewater Program to install onsite wastewater treatment systems throughout 17 Black Belt counties in Alabama; (3) roughly $14 million to the Pittsburgh Conservation Corps and PowerCorpsPHL to expand workforce programs around urban forestry and wood waste reduction; and (4) nearly $20 million to the Midwest Tribal Energy Resources Association (MTERA) and Grid Alternatives to install home weatherization and energy efficiency upgrades across 35 tribes in Michigan, Minnesota, and Wisconsin.

Wednesday, July 24^th

• The Energy Department (DOE) awarded $371 million for 20 projects across 16 states through the President’s Inflation Reduction Act’s Transmission Siting and Economic Development (TSED) grant program. The TSED grant program provides funding to advance transmission projects by accelerating siting and permitting while supporting economic development efforts in communities impacted by transmission construction and operation. The program includes two distinct grants: (1) grants for siting and permitting activities; and (2) grants for economic development activities. The awards include: (1) $35 million to the Michigan Department of Labor and Economic Opportunity for specialized education and training through electric utility apprenticeship and pre-apprenticeship programs, as well as training for electric vehicle infrastructure construction and installation; (2) $50 million to the New Jersey Economic Development Authority for renewable transmission infrastructure, pre-apprenticeship, and apprenticeship training opportunities for electrical careers in partnership with the International Brotherhood of Electrical Workers (IBEW) Local Union 400, and to build new bike trails along transmission rights-of-way; (3) $50 million to Guymon Public Schools to construct a workforce development center that will provide general workforce trainings and classes for adults, and a new junior high school that will include an outdoor environmental science classroom and a specialized STEM lab; (4) $42.3 million to the Massachusetts Department of Energy to install a renewable energy-powered microgrid at the Barnstable High School and Intermediate School Complex that will support electric vehicle charging; (5) $15 million to the Northeast Oregon Economic Development District to fund economic development projects focused on workforce, infrastructure, housing, and business development; and (6) $8.38 million to the Virginia Department of Energy, through the Hampton Roads Energy Workforce Development Initiative, to provide training opportunities and job prospects to 350 people in the clean energy sector to serve the Hampton Roads area.

• The Internal Revenue Service (IRS) issued Notice 2024-60 providing initial guidance on the credit for the sequestration of carbon oxide as amended by the Inflation Reduction Act of 2022 (IRA). The notice describes information that must be included in a written report known as the lifecycle analysis (LCA) report and provides the procedures a taxpayer must follow to submit the report along with required supporting information to the IRS and the Biden Energy Department for review. Before the IRS allows a carbon sequestration credit, it must approve the analysis of greenhouse gas emissions documented in the LCA with respect to carbon capture property placed in service on or after February 18, 2018.  

• The Interior Department (DOI) announced more than $20.4 million from President Biden’s Investing in America agenda to support jobs in coal communities with abandoned mine lands by investing in projects that close dangerous mine shafts, reclaim unstable slopes, improve water quality by treating acid mine drainage, and restore water supplies damaged by mining. Awards can also enable economic revitalization by reclaiming hazardous land for recreational facilities and other redevelopment, such as advanced manufacturing and renewable energy deployment.
  
• The CEO of NextEra Energy said that renewable energy demand will triple over the next seven years as data center growth accelerates to facilitate the proliferation of artificial intelligence. NextEra has added 3,000 megawatts of renewable and storage projects to its order backlog in the second quarter. Of those, 860 megawatts (28%) come from agreements with Google to power data centers.

Tuesday, July 23^rd

• During a House Oversight and Accountability Committee hearing on pharmacy benefit managers (PBMs), Chair James Comer (R-KY) explained that an investigation by his Committee found that PBMs have devised formulas of preferred medicines that encouraged use of higher-priced drugs over lower-priced alternatives. Comer also said Committee investigators found that PBMs made patients pay more to use their local pharmacy rather than a mail-order pharmacy affiliated with the PBM. Chairman Comer said bluntly: “There’s a credibility issue with the PBMs. There’s a transparency issue with the PBMs. You have anticompetitive policies.” Among other things, the 51-page House Oversight Committee report released ahead of Tuesday’s hearing confirmed that PBMs often favor brand-name medicines, with higher prices and likely heftier rebates that can benefit the PBM, over lower-cost alternatives, costing patients, PBM clients and taxpayers money. The report is the product of a months-long investigation work by Republican Oversight Committee staff. Notably, the report cites favorably to the Biden-appointed Federal Trade Commission’s (FTC) report on PBMs that prompted the FTC to sue the largest PBMs for anticompetitive practices in drug pricing. 
  
• A Biden-appointed federal judge in Philadelphia, Kelley Hodge, refused to enjoin the Federal Trade Commission’s (FTC) final rule banning noncompetition agreements. Judge Hodge disagreed with a decision earlier this month by a federal judge in Texas enjoining the FTC from enforcing the rule against a coalition of business groups including the U.S. Chamber of Commerce, the country’s largest business lobby, and tax service firm Ryan while they pursue legal challenges. Judge Hodge reasoned that the FTC has the power to ban practices that it deems anticompetitive, including the use of so-called noncompete agreements that curb competition for labor. Not long after Judge Hodge’s ruling, The Senate Banking Subcommittee on Economic Policy noticed a hearing next Tuesday, July 30^th at 2:30PM, on “Banning Noncompete Agreements: Benefits for Workers, Businesses, and the Economy,” with witnesses: (1) Dr. Heidi Shierholz, PhD, President, Economic Policy Institute; and (2) R. James Toussaint, MD FAAOS, an orthopedic surgeon.
  
• The Equal Employment Opportunity Commission (EEOC) announced a virtual workshop on August 7, 2024 entitled, “Legal Updates and Pregnant Workers Fairness Act FAQs with EEOC Legal Counsel Carol Miaskoff.” During the workshop, Miaskoff will break down recent significant court rulings, pivotal EEOC litigation, and recent filings. The workshop will also address questions about the Pregnant Workers Fairness Act (PWFA) and the newly issued regulations that went into effect on June 18, 2024. Some of the top FAQs that will be discussed at the workshop include: (1) documentation that is necessary under the PWFA; (2) which post-pregnancy conditions are covered; and (3) how the PWFA and the Family and Medical Leave Act regulations relate to each other. The workshop will be held on August 7, 2024 from 1pm to 3pm ET and there is a $275/person fee to attend. Those interested in participating in the workshop should register here in advance. 

• President Biden announced the nomination of Matthew Marzano to serve as a member of the Nuclear Regulatory Commission. Marzano is currently an Idaho National Laboratory detailee on the Senate Environment and Public Works Committee where he advises the Committee on matters related to clean air, climate, and energy.

• Twenty-five Republican-led states sent a petition to the Supreme Court arguing that the Biden Administration’s final rule to limit greenhouse gas emissions from fossil fuel-fired power plants should be stayed following the D.C. Circuit Court’s decision to allow the rule to remain in force as legal challenges continue.

Monday, July 22^nd

• The Environmental Protection Agency (EPA) awarded $4.3 billion to 25 applicants that will fund projects in 30 states to cut pollution in various sectors, such as buildings, industry, electric power, transportation, agriculture lands, and waste and materials management. The funds are provided through the Climate Pollution Reduction Grants (CPRG) Program, which is part of the $27 billion Greenhouse Gas Reduction Fund established by the President’s Inflation Reduction Act. The awards include: (1) $1.06 billion for Green Buildings, including incentives for energy efficiency measures in nearly 700,000 residences, such as deploying an estimated 580,000 electric heat pumps, as well as energy efficiency measures and improvements in 50 million square feet of commercial buildings and in 250 public buildings; (2) $372 million for Clean Electric Power Projects, including incentives to start deployment of up to 19,000 megawatts of solar and wind generation by 2030 and re-development of brownfields and landfills to support renewable energy; (3) $1.18 billion for transportation projects, including charging infrastructure for zero-emission freight trucks along the nation’s busiest freight traffic corridors, as well as incentives to deploy light-duty electric vehicles, electric trucks, electric chargers, electric locomotives, and bikeshares and electric bikes; (4) $636 million to address industrial pollution, including $500 million for state-level grants to fund projects that reduce greenhouse gas emissions from industrial facilities and measures to reduce methane emissions from coal mines and oil and gas production; and (5) $121 million to address waste and materials management, including as many as 100 projects to capture methane from landfills and reduce emissions equivalent to approximately 4 million metric tons of CO₂ through 2030. The full list of recipients is available here. 

• The House passed H.R. 8812, the MCAA-supported Water Resources Development Act of 2024 (WRDA), by a strong, bipartisan vote of 359-13. The bill provides approximately $10 billion for 12 projects along coasts throughout the U.S. for flood control, navigation, hurricane and storm damage risk reduction, and ecosystem restoration. It also directs the Army Corps of Engineers to conduct 161 feasibility studies of potential water resources projects with an emphasis on drought resilience and water conservation efforts. The House-passed bill will now have to be reconciled with the Senate version (S. 4367) advanced in May by the Environment and Public Works (EPW) Committee. EPW Chair Tom Carper (D-DE) and Ranking Member Shelley Moore Capito (R-WV) filed their bill as an amendment to the 2025 National Defense Authorization Act (S. 4368), which is pending floor action in the Senate, but given the bipartisan support for WRDA, the Senate bill could also come to the floor as a stand-alone measure.

• Senate Energy and Natural Resources Chair Joe Manchin (I-WV) and Ranking Member John Barrasso (R-WY) reached an agreement on a permitting reform bill entitled, The Energy Permitting Reform Act, which is intended to speed up the buildout of both renewable and fossil fuel energy sources. Among other provisions, the bill sets a deadline for the Biden Energy Department to make decisions about whether to approve or reject a gas export project—effectively ending President Biden’s pause on gas export approvals. It also seeks to make it easier to extract oil and gas from public lands and to build renewable projects there. The bill would also require the federal government to give companies at least one opportunity each year to bid on changes to drill offshore and to bid on changes to build offshore wind farms between the years 2025 and 2029. This provision would expand offshore drilling beyond the Biden Administration’s current plans to offer up to three chances to bid on offshore drilling rights during that period. 

• In a bet on growing global demand for liquefied natural gas (LNG), Australia’s largest oil and gas company, Woodside Energy Group, Ltd., agreed to buy troubled U.S. liquefied natural gas export project developer Tellurian Inc. for $900 million, including the proposed U.S. Gulf Coast Driftwood LNG project.

Friday, July 19^th

• The Federal Trade Commission (FTC) and the Department of Justice (DOJ) announced that they have extended the comment period – from July 22, 2024 to September 20, 2024 – for a May 23, 2024 joint Request for Information (RFI) to gather public feedback on serial acquisitions and roll-up strategies (i.e., corporate consolidation by buying smaller firms in the same or similar sectors or industries) in all sectors and industries, including but not limited to housing, construction, agriculture, professional service markets, and distribution business. This RFI complements a parallel government inquiry that seeks to understand how certain health care market transactions by private equity firms and other corporations may increase consolidation and generate profits while threatening patients’ health, workers’ safety, quality of care, and affordable health care for patients and taxpayers. Text of the RFI is available here.

• In its 2025 Mid-Session Review, the White House Office of Management and Budget (OMB) predicted that the cumulative deficit will be about $1.2 trillion higher over the next decade than it estimated in its FY 2025 budget request in March, due in part to higher Medicaid spending, greater use of premium tax credits and cost-sharing reductions in the Affordable Care Act, and higher spending on veterans compensation and pensions.

Thursday, July 18^th

• The Labor Department announced the availability of $99 million in funding through the YouthBuild Program to support the delivery of pre-apprenticeships in high-demand industries including construction, infrastructure, clean energy, and healthcare. The YouthBuild Program grants provide occupational skills training, employment services, and academic support to individuals aged 16-24 in communities where they face persistent barriers to career skills and academic development. Administered through DOL’s Employment and Training Administration, the YouthBuild Program will fund individual grants for approximately 75 projects, with each grant ranging from $700,000 to $1.5 million.

Wednesday, July 17^th 

• Sen. Josh Hawley (R-MO) published an op-ed in “Compact Magazine” entitled, “The Promise of Pro-Labor Conservatism,” that applauded Teamster President Sean O’Brien’s speech at the RNC on Monday and accuses the “C-Suite” of selling out the United States, “shuttering factories in the homeland and gutting American jobs, while using the profits to push diversity, equity, and inclusion and the religion of the trans flag.” Hawley goes on to argue that “thanks to Donald Trump, there is much that Republicans and labor can already agree on” including that “China is ripping us off and strong tariffs must be maintained and expanded.” Hawley also advocated for Republicans to get to work on bipartisan labor reform saying that “thousands of Americans have voted to unionize in elections but can never get a contract done, often due to corporate tricks.” Hawley ended by saying he will “make sure that Republicans in Congress get to work in 2025” so maybe in a few years, a Teamsters president speaking at the RNC won’t be such a surprise.

Tuesday, July 16^th

• National Labor Relations Board (NLRB) General Counsel Jennifer Abruzzo sent a memo to all NLRB field offices reaffirming her commitment to seeking Section 10(j) injunctions after the Supreme Court’s recent decision in Starbucks Corp. v. McKinney, which set a uniform four-part test applicable to all Section 10(j) injunction petitions. General Counsel Abruzzo explained that, while the Supreme Court’s decision in Starbucks Corp. provides a uniform standard to be applied in all Section 10(j) injunctions nationwide, adoption of this standard will not have a significant impact on the NLRB’s Section 10(j) program as the agency has ample experience litigating injunctions under that standard and has a high rate of success in obtaining injunctions under the four-part test—a success rate equivalent to or higher than the success rate in circuit courts that applied the two-part test. 

• The Environmental Protection Agency (EPA) announced the award of nearly $160 million to 38 grant recipients to support efforts to report and reduce climate pollution from the manufacturing of construction materials and products. The grants will support the Federal Buy Clean Initiative, which leverages the federal government’s purchasing power to catalyze demand for clean construction materials used in federal buildings, highways, and infrastructure projects. The grant selections include a diverse range of projects to help measure and reduce greenhouse gas emissions. For example: (1) several projects will support workforce development to grow the number of sustainable construction professionals available to support the use of clean construction materials; (2) a project in Maine will help a company that manufactures insulation made from wood fiber track the quantity of energy and raw materials used in each of their processes; (3) a project in Illinois will help a nonprofit organization that sells reused architectural materials measure how much the salvaged materials reduce carbon emissions; (4) a large insulation manufacturer based in Indiana will use grant funding to measure and report greenhouse gas emissions for their full product portfolio; (5) a major university will use grant funds to research and document carbon emissions savings from reusing structural steel; and (6) a company in Georgia will receive funding to report the emissions savings gained by switching from higher-carbon components in cement and concrete to recycled and innovative materials. Summaries of the proposed grantee projects are available here. 

Monday, July 15^th

• The Department of Labor announced a final rule updating eligibility requirements for current and former nuclear weapons workers seeking to file claims related to beryllium sensitivity and making benefits available to people once deemed ineligible. Specifically, the final rule revises regulations governing the Energy Employees Occupational Illness Compensation Act (EEOICPA), which provides lump sum compensation and medical benefits to current and former nuclear weapons workers whose illness is the result of working in the nuclear weapons industry. In December 2023, the National Defense Authorization Act changed the eligibility requirements for those filing claims for beryllium sensitivity to allow previously ineligible claimants to obtain benefits under EEOICPA. Before the update, a claimant could only establish beryllium sensitivity by presenting one abnormal (i.e., the cells show a clear, significant reaction to beryllium) beryllium lymphocyte proliferation test performed on blood or lung lavage cells. Under the final rule, beryllium sensitivity can now also be established by submitting three borderline (i.e., the cells show a reaction to beryllium, but a less significant reaction than the abnormal test) beryllium lymphocyte proliferation tests of blood cells in the three-year period.

Around the Country 

Northeast 

• On July 24^th, the Transportation Department’s Federal Highway Administration (FHWA) announced final agency actions with respect to a project to rebuild the I-695 (Baltimore Beltway) Francis Scott Key Bridge over the Patapsco River in Baltimore, MD. As you are aware, the Francis Scott Key Bridge collapsed on March 26, 2024 following a collision with the container ship Dali. Specifically, the FHWA has issued a Categorical Exclusion (CE) classification and NEPA approval for the I-695 Francis Scott Key Bridge Rebuild Project, noting that because the replacement Key Bridge will be within the former bridge’s right-of-way and have the same capacity of four travel lanes, it is not anticipated to significantly impact community, natural, or cultural resources beyond what previously existed. Relatedly, the Maryland Department of Transportation announced that it has released a Request for Proposals inviting consultant teams to submit proposals for the $75 million General Engineering Consultant contract as part of the Francis Scott Key Bridge Rebuild. Interested bidders can access the Request for Proposals on the eMaryland Marketplace Advantage website. The General Engineering Consultant proposals are due by August 19, 2024. The Maryland Department of Transportation expects to award the contract in February 2025, which will have a Disadvantaged Business Enterprise goal of 31.5%.

• On July 16^th, Sen. Bob Menendez (D-NJ) was found guilty of bribery, acting as a foreign agent, and a slew of other charges in his federal corruption case. His sentencing in the case has been scheduled for October 29, 2024. On July 23^rd, Menendez announced he would resign from the Senate, effective August 20^th. Gov. Phil Murphy (D-NJ) must appoint a replacement to fill the remainder of Menendez’s term, which ends January 3, 2025. Murphy has said he would appoint a caretaker to the seat and possible candidates include: Lt. Governor Tahesha Way, former NJ Secretary of State Nina Mitchell Wells, and U.S. District Court Judge Esther Salas.

West

• On July 22^nd, the Interior Department (DOI) announced a request for applications (RFA) for $450 million in funding under the President’s Inflation Reduction Act for ecosystem and habitat restoration projects in the Upper Colorado River Basin that address impacts from drought. The RFA is available here. Monday’s announcement addresses the “Bucket 2 Environmental Drought Mitigation” (B2E Component) of this funding opportunity, which provides funding to public entities and tribes for projects that provide general environmental benefits or ecosystem/habitat restoration benefits that address issues directly caused by drought. The other component of this funding opportunity, “Bucket 2 Water Conservation” (B2W Component) aims to identify and fund projects that achieve verifiable, multi-year reductions in use of or demand for water supplies. The B2W component is still in development and a funding opportunity is expected to be announced later this year. 

• On July 17^th, the Bureau of Land Management (BLM) opened a public comment period regarding the sale of 20 acres of public land to Clark County, Nevada for below market value at just $100 an acre, which the county estimates will enable the development of nearly 150 affordable homes for households making less than 80% of area median income. Comments will be accepted until September 3, 2024 and can be submitted by mail to BLM Las Vegas Field Office, Assistant Field Manager, Division of Lands, 4701 North Torrey Pines Drive, Las Vegas, NV 89130. BLM is also considering an additional 562.5 acres of public land that have been identified by local governments in Southern Nevada that are appropriate for affordable housing in the Las Vegas Valley. The 562.5 acres could support the building of up to 15,000 or more additional affordable rental and homeownership units in Nevada. 

Midwest 

• On July 25^th, the Environmental Protection Agency (EPA) announced a partnership with the City of North Chicago to accelerate the replacement of local lead water pipes through the Get the Lead Out Initiative, a program funded entirely by the Bipartisan Infrastructure Law to help move the nation towards achieving 100% lead service line replacement.

• On July 22^nd, to increase America’s nuclear submarine force, the White House announced the Michigan Maritime Manufacturing (M3) initiative, a joint effort between the U.S. Navy and the state of Michigan to “build skilled workforce pipelines and programs to help meet our nation’s demand for over a hundred thousand new workers in the submarine and maritime industries over the next decade”. The initiative includes $16 million to implement an accelerated welding and computer numerical controlled (CNC) machining training program, up to $10.75 million over five years to increase the national hub-and-spoke network of advanced machining training centers, and $2 million in educational outreach to inspire interest in manufacturing jobs and maritime careers.

Southwest

• On July 23^rd, Rep. Austin Pfluger (R-TX) jumped into the race to lead the Republican Study Committee—the largest ideological caucus in Congress of either party—and will face Rep. Ben Cline (R-VA), a House Freedom Caucus member. 

• On July 19^th, Rep. Sheila Jackson Lee’s (D-TX) family announced that she passed away following a pancreatic cancer diagnosis two months ago.

As part of its ongoing commitment to protecting your livelihood and setting the stage for a bright future, MCAA has secured the services of Longbow Public Policy Group to advise our MCAA Government Affairs Committee (GAC). GAC Chair, Jim Gaffney will be passing along information relative to our industry on a regular basis.

On Friday, July 12, 2024 MCAA Lobbying Firm, Longbow Public Policy Group provided the following information:

MCAA Issues and Interests 

Project Labor Agreements

MCAA Joins CEA in Letter Defending Project Labor Agreements

On June 26^th, ahead of a House Oversight Subcommittee hearing the next day entitled, “Cutting Competition in Contracting: The Administration’s Pricey Project Labor Agreement Mandate,” MCAA helped the Construction Employers of America (CEA) prepare and submit a detailed statement defending Project Labor Agreements (PLAs) generally, as well as the Federal Acquisition Regulatory (FAR) Council’s final rule on using PLAs for large-scale federal construction projects estimated at $35 million or more. In the letter, CEA explained opponents of PLAs were just using the hearing to “rehash tired arguments about PLAs that have been thoroughly discredited by presidential administrations of both parties, federal regulators, and credible scholars.” The letter detailed how the arguments against PLAs have been thoroughly debunked as recently as the Treasury Department’s final rule regarding “Increased Amounts of Credit or Deduction for Satisfying Certain Prevailing Wage and Registered Apprenticeship Requirements.” In that final rule, Treasury rejected the false assertions that PLAs increase costs and reduce the hiring of local contractors, minorities, women, and veterans on federal construction, as well as assertions that PLAs compel workers to become union members. The letter also notes exhaustive studies discrediting the assertion that PLAs increase the cost of federal construction projects. The letter was entered into the hearing record by Subcommittee Chair Gerry Connolly (D-VA). 

The hearing went as expected. Associated Builders and Contractors (ABC) Vice President of Regulatory, Labor, and State Affairs Ben Brubeck and Aric Dreher of Cianbro, a member of the Associated General Contractors of America (AGC), asserted that PLAs undermine recent federal investments in infrastructure and clean energy, result in project delays, increase project costs by 12-20%, and exacerbate the construction labor shortages since only 11% of workers are union members. House Republicans used the hearing to call for passage of the “Fair and Open Competition Act” and Rep. Clay Higgins’ (R-LA) Congressional Review Act resolution overturning the FAR Council’s final PLA rule—both of which MCAA is actively lobbying against. The CEA letter MCAA helped to prepare proved useful in clarifying the record because only two members supporting PLAs attended the hearing—Subcommittee Ranking Member Connolly (D-VA) and Rep. Ayanna Pressley (D-MA)—and after submitting our letter into the record, Connolly had to leave early due to an apparent COVID exposure. MCAA also contributed to the defense of PLAs at the hearing because the one minority witness defending PLAs at the hearing, Jacob Snyder of Enerfab, quoted extensively from MCAA’s Independent Project Analysis (IPA) Study confirming that union mechanical contractors were 15% more productive than non-union contractors, with a more than 40% reduction in risks of cost and schedule overruns, and a 4% reduction in total costs versus non-union projects. MCAA’s efforts before and after the hearing prevented it from being the catalyst opponents of PLAs hoped it would be.

Davis-Bacon Prevailing Wage

District Court Partially Enjoins Davis-Bacon Modernization Rule

As the MCAA policy team continues fighting off appropriations riders to curtail Davis-Bacon, legislative efforts to reverse the Labor Department’s final MCAA-supported Davis-Bacon Rule, we experienced a legal setback on Davis-Bacon. On June 24^th, U.S. District Court Judge Sam Cummings of the Northern District of Texas sided with the AGC and issued a preliminary injunction precluding enforcement of portions of the Davis-Bacon rule. Specifically, he found that the Labor Department likely went beyond its authority by expanding coverage to truck drivers and material suppliers, reasoning that the Davis-Bacon Act only applies to “mechanics and laborers employed directly on the site of the work.” Cummings also found that the Labor Department did not have the power to apply prevailing wage requirements to contracts that are silent on such requirements. Judge Cummings must still issue a decision on the merits of the challenge to the entire rule. And he will do so subject to the Loper Bright ruling directing him not to defer to the Labor Department’s interpretation of whether the rule is a lawful exercise of its authority under the Depression-era Davis-Bacon Act.  

Registered Apprenticeship

Key Committee Chair and Ranking Member Press Labor Secretary Su to Detail How Reversal of Chevron Deference Doctrine Will Impact the Pending Apprenticeship Rule and Other Regulatory Efforts

Since the Supreme Court’s decision in Loper Bright Enterprises overturning the Chevron deference doctrine, the Chair of the House Education and Workforce Committee, Virginia Foxx (R-NC) and Senate Health, Education, Labor, and Pensions (HELP) Committee Ranking Member Bill Cassidy (R-LA) sent a letter to Labor Department Acting Secretary Julie Su asking how the decision impacts the Department’s regulatory efforts, including the pending rulemaking on “National Apprenticeship System Enhancements,” about which MCAA filed joint comments with the UA expressing a range of concerns. In particular, Senator Cassidy said the pending apprenticeship rule turns a “two-page law into 135 pages of new regulatory requirements” and “drastically expand[s] regulatory burdens on states and apprenticeship sponsors, discourage[s] voluntary participation in the national apprenticeship system, and inject[s] political ideology into the national apprenticeship system through new diversity, equity, and inclusion policies.” Both letters press Secretary Su to detail how DOL will change its current regulatory practices in response to this critical change in federal administrative law.

DOL Announces New Grant Awards to Expand Registered Apprenticeship into Clean Energy 

As we continue to engage the U.S. Department of Labor (DOL) on the proposed rule on National Apprenticeship System Enhancements, the Department continues providing federal funding to expand apprenticeship programs. On July 11^th,  DOL announced $244 million in awards through two grant programs to help modernize, diversify, and expand the Registered Apprenticeship system into growing U.S. industries, including, among others, clean energy, advanced manufacturing, and supply chains. Nearly $195 million will be provided though the second round of grant funding under the Apprenticeship Building America Initiative, while $49 million will come through the second round of the competitive portion of the State Apprenticeship Expansion Formula grants program, which helps states and territories advance Registered Apprenticeship as a talent development strategy and create post-secondary education career pathways. This followed a separate DOL announcement awarding over $39 million in State Apprenticeship Expansion Formula grants to 46 states and territories to increase the capacity of Registered Apprenticeship programs across key industries, including clean energy and transportation.

Independent Contractors and Misclassification of Workers

MCAA continues fighting in Congress to prevent the reversal of the Labor Department’s MCAA-supported final rule clarifying the classification of workers under federal wage and hour law making it harder to classify workers in our industry as independent contractors instead of employees. Like our other regulatory victories, this rule is also facing litigation and is subject to new risks in the courts following the Supreme Court’s reversal of the Chevron deference doctrine. With each passing day of this session of Congress, our confidence grows that we can prevent a legislative reversal of this rule, but we are far less certain it will withstand the many court challenges pending against it following the Loper Bright decision.

Pension Reform

Biden Nominates Deva Kyle to Be Next PBGC Director 

On the pension reform front, the most significant development is that President Biden nominated attorney Deva Kyle to be the next Pension Benefit Guaranty Corporation (PBGC) Director to replace former Director Gordon Hartogensis, who stepped down at the end of April. Kyle is at New York union-side law firm Cohen, Weiss, and Simon, LLP, where she specializes in employee benefits. Kyle began her career as an attorney at the PBGC, where she became assistant chief counsel for large-exposure litigation and Chapter 11 bankruptcy cases. She then served as staff director in the PBGC’s Office of Policy and External Affairs and as acting Deputy Chief of Negotiations and Restructuring where she helped lead PBGC’s single and multiemployer insurance programs. In 2015, Kyle was detailed to the Treasury Department where she helped craft the Department’s Multiemployer Pension Reform Act program regulations and processes. Once the program was established, Kyle worked with the special master to oversee the first team of analysts, actuaries, and attorneys. Kyle also understands the legislative dynamics around pension reform because in 2017, the PBGC detailed her to serve as tax counsel for the House Ways and Means Committee, advising its members and members of the now-defunct Joint Select Committee on Solvency of Multiemployer Pension Plans on retirement policy and law. As her confirmation proceeds, we are hopeful that we will soon have a new PBGC Director who understands that need for further pension reform and possesses the legal and political experience to advance it.

House Ed/Workforce Subcommittee Hearing on EBSA with Administrator Gomez

At the end of June, the MCAA team was busy preparing for and responding to a June 27^th House Education and the Workforce Subcommittee on Health, Employment, Labor, and Pensions hearing with Employee Benefits Security Administration (EBSA) Assistant Secretary Lisa Gomez. During the hearing, Subcommittee Chair Bob Good (R-VA) criticized Gomez’s leadership and accused the Biden Administration of using EBSA to “promote their woke agenda.” In particular, Good singled out several rulemakings, including the EBSA’s 2022 MCAA-supported final rule on Prudence and Loyalty in Selecting Plan Investments and Exercising Shareholder Rights. MCAA aided in the defense of this rulemaking.  

Heat Injury and Illness Rulemaking 

White House Concludes Review of Heat Injury and Illness Proposed Rule

As the MCAA policy team continues to engage on the Occupational Safety and Health Administration’s (OSHA) proposed rulemaking on “Heat Injury and Illness in Indoor and Outdoor Work Settings” we wanted to be sure that you saw that on July 2^nd, the White House announced it completed its review of the proposed rule ahead of its publication in the Federal Register and released unofficial text of the various components of this massive rulemaking: (1) the regulatory text of the rule; (2) the proposed rule’s background, health effects, risk assessment, and explanation of proposed requirements; and (3) the proposed rule’s preliminary economic analysis. In addition to these materials, OSHA also released a fact sheet on the proposed rule in both English and Spanish. While the Biden Administration’s Spring 2024 Regulatory Agenda for the Labor Department indicates that this rule will be published next month, the fact the DOL has already released the aforementioned documents indicates that they may formally publish the proposed rule in the Federal Register earlier than next month. This will kick off a 120 day comment process. MCAA is already collaborating with the Construction Industry Safety Coalition (CISC) to prepare thorough and thoughtful comments about this sweeping regulatory effort. CISC represents a wide array of the largest associations in both the union and non-union construction and maintenance industries and serves as a forum for advancing shared concerns about health and safety issues across these associations.

Decarbonization

President Biden Signs ADVANCE Act into Law

On the decarbonization front, we wanted to be sure that you saw that on July 9^th, President Biden signed the MCAA-supported “Accelerating Deployment of Versatile, Advanced Nuclear for Clean Energy (ADVANCE) Act” into law. This legislation boosts U.S. domestic nuclear energy production by: (1) directing the Nuclear Regulatory Commission (NRC) to develop processes for expedited review and licensing of nuclear reactors and fuels; (2) supporting the deployment of advanced nuclear reactors; and (3) streamlining the regulatory requirements for micro-reactors. In addition, the bill directs the NRC to report to Congress within six months on manufacturing and construction for nuclear energy projects detailing existing licensing issues and requirements, examining the requirements for nuclear-grade components in manufacturing and construction for nuclear energy projects, and identifying safety aspects of advanced manufacturing processes and advanced construction techniques that are not addressed by existing codes and standards.

House Passes Bills to Block DOE Energy Conservation Standards on Dishwashers and Refrigerators

Also on the decarbonization front, on Tuesday the House passed: (1) H.R. 7700, the “Stop Unaffordable Dishwasher Standards Act,” legislation to block efficiency standards for dishwashers, by a vote of 214-192; and (2) H.R. 7637, the “Refrigerator Freedom Act,” legislation to block efficiency standards for refrigerators, by a vote of 212-192. Additionally, Rep. Gary Palmer (R-AL) introduced two separate Congressional Review Act resolutions to overturn Energy Department (DOE) energy conservation for circulator pumps and consumer water heaters. 

Other Interesting Things Since Our Last Report 

Week of July 8 – July 12, 2024

Thursday, July 11^th

• The Energy Department (DOE) announced $1.7 billion in funding through the President’s Inflation Reduction Act Domestic Auto Manufacturing Conversion Grants program to support the conversion of 11 shuttered or at-risk auto manufacturing and assembly facilities in Michigan, Ohio, Pennsylvania, Georgia, Illinois, Indiana, Maryland, and Virginia to manufacture electric vehicles and EV components. DOE notes that award selections are subject to negotiations to ensure that commitments to workers and communities are met. If awarded, the selected projects would collectively create over 2,900 new high-quality jobs and help ensure over 15,000 highly skilled union workers are retained across all eleven facilities. Project descriptions and a full list of selections can be found on the DOE website here.

• The Environmental Protection Agency (EPA) announced $20 million to 13 workforce development organizations in California, Colorado, Washington, D.C., Georgia, Hawaii, Kansas, Maryland, Michigan, Nevada, New Mexico, Oklahoma, and Pennsylvania through the Innovative Water Infrastructure Workforce Development Grant Program, which supports expanding the development of apprenticeship programs, labor standards, workforce development collaborations, occupational and cross-training programs, and other resources for workforce development in the drinking water and wastewater utility sector. Activities funded under this competition include: (1) targeted apprenticeship, pre-apprenticeship, and post-secondary bridge programs; (2) education programs designed for elementary, secondary, and higher education students; (3) regional industry and workforce development collaborations to address water utility employment needs and coordinate candidate development; (4) integrated learning laboratories in secondary educational institutions; and (5) leadership development, occupational training, mentoring, or cross-training programs that ensure incumbent drinking water and wastewater utility workers are prepared for higher-level supervisory or management-level positions. 

Wednesday, July 10^th

• The Biden Administration announced it is imposing a 25% tariff on Mexican imports containing steel from China and a 10% duty on products made with aluminum from China to prevent Chinese metals from entering the U.S. duty free. President Biden and Mexican President Andrés Manuel López Obrador issued a joint statement on “Actions to Protect North American Steel and Aluminum Markets” making clear that both countries will “implement policies to jointly prevent tariff evasion on steel and aluminum and strengthen North American steel and aluminum supply chains (Mexico, United States, and Canada).” President Biden issued proclamations on “Adjusting Imports of Steel into the United States” and “Adjusting Imports of Aluminum into the United States” that implement melt and pour and smelt and cast requirements, respectively, setting clear standards when aluminum and steel from Mexico can enter the United States tariff-free under Section 232 of the Trade Expansion Act of 1962.  

• The House Appropriations Committee voted 31-25 along party lines to advance the fiscal year 2025 Labor-Health and Human Services appropriations bill to the full House for a vote. The legislation proposes to cut the Biden Labor Department’s budget by 23% from its current levels. The proposed cuts include 12% reductions in the budgets for both the Wage and Hour Division—which enforces federal prevailing wage law and independent contractor classification standards under the Fair Labor Standards Act—and the Occupational Safety and Health Administration. The bill would also cut the National Labor Relations Board’s funding by $200 million and includes policy riders that would block enforcement of the Biden Administration’s final independent contractor rule, as well as completion of the pending proposed rule on National Apprenticeship System Enhancements. 

• The House Appropriations Committee advanced the fiscal year 2025 Energy-Water spending bill in a 30-26 vote. The bill provides $59.2 billion in discretionary funds and decreases Biden Energy Department (DOE) funding by $312 million, but also provides a $9 billion increase for advanced nuclear reactor demonstration projects. The Committee also approved an amendment from Energy-Water Subcommittee Chairman Chuck Fleischmann (R-TN) that would restrict funding for implementing DOE conservation standards for manufactured housing, air conditioners, consumer conventional cooking products, and electrical distribution transformers.

• The Federal Trade Commission (FTC) is preparing to sue the three largest pharmacy benefit managers (PBMs) over their tactics for negotiating prices for drugs like insulin following a two-year investigation into whether the companies steer patients away from less-expensive medicines. The FTC lawsuits will target PBMs’ business practices related to rebates brokered with drug manufacturers. News of the pending lawsuits follows the Biden FTC’s July 9^th release of a long-awaited report on pharmacy benefit managers blaming these companies’ outsized market power for increased drug costs for patients and the demise of independent pharmacies. 

• The Internal Revenue Service (IRS) issued Fact Sheet 2024-25 to provide frequently asked questions related to which entities must apply for registration for the Clean Fuel Production Credit under the Inflation Reduction Act that is available beginning on January 1, 2025. The IRS issued a notice on May 31^st providing guidance on the registration procedures for the Credit, including how to apply for registration and what information a clean fuel producer must submit with its application.

• The Transportation Department’s Maritime Administration announced $8.75 million in Small Shipyard Grant Program awards to 15 small shipyards in Alabama, Florida, Hawaii, Kentucky, Louisiana, Maryland, Mississippi, Oregon, Pennsylvania, Rhode Island, Texas, and Washington. The funds will help shipyards modernize, increase productivity, and expand local job opportunities. Grant recipient funding will support, among other priorities: (1) a project to increase lift capacity and serviceability in Tampa, Florida; (2) worker apprentice and training programs in Philadelphia, Pennsylvania; and (3) the purchase of construction equipment including cranes, welding systems and paint spray booths at shipyards in several states.

• The Labor Department (DOL) announced over $39 million in State Apprenticeship Expansion Formula grants to 46 states and territories to increase the capacity of Registered Apprenticeship programs across key industries, including clean energy and transportation. The full list of grants that were awarded under this announcement are available here.

• According to a new Decision Desk HQ forecast, Republicans have a two-thirds chance of retaining their House majority in November, a warning sign for Democrats as President Biden struggles to tamp down concerns over the impact of his candidacy down-ballot. 

Tuesday, July 9^th

• During a House Education and the Workforce Subcommittee on Health, Employment, Labor, and Pensions hearing entitled “Confronting Union Antisemitism: Protecting Workers from Big Labor Abuses,” Chair Bob Good (R-VA) accused labor unions of being “beholden to the radical Left instead of the workers they represent” and cited union support for anti-Israel efforts following the October 7^th Hamas attack on Israel. He noted that union member objections to unions’ conduct Good described as antisemitic led to a lawsuit by United Auto Workers members. Good claimed that, “as Jewish workers have recently experienced, current federal labor law and Supreme Court precedent fail to adequately protect individual employees’ right to refrain from union activity.” Good also stressed that unions sent $27.5 million in direct donations to President Biden, compared to less than $360,000 for Trump.

• The Homeland Security Department (DHS) issued a fact sheet highlighting actions to prevent forced labor in supply chains through the Uyghur Forced Labor Prevention Act (UFLPA) and initiatives to enforce the UFLPA’s provisions. Updates announced by DHS include designating new high priority sectors for enforcement of the UFLPA, which include two items of interest to some MCAA members—aluminum and polyvinyl chloride (PVC), used to make pipe and other construction materials and manufacturing components.

Week of July 1 – July 5, 2024

Friday, July 5^th

• The Biden Administration released the Spring 2024 Regulatory Agendas that summarize major regulatory plans across federal agencies, including the Labor Department, the National Labor Relations Board, the Treasury Department, Homeland Security Department, the Transportation Department, the Environmental Protection Agency, the Federal Trade Commission, the Nuclear Regulatory Commission, and the Federal Energy Regulatory Commission, among others. White House Office of Information and Regulatory Affairs (OIRA) Associate Administrator Sam Berger issued a blog post in response to the release of the Regulatory Agendas, noting that in the Spring 2024 edition, agencies have provided more details about “key advancements in public outreach and notable instances of public participation.”  Examples include the entries on the Biden Labor Department’s proposed apprenticeship rule and the Bureau of Land Management’s rulemaking on rights-of-way for solar and wind energy development leasing. 

Wednesday, July 3^rd

• A federal judge partially delayed the Federal Trade Commission’s noncompete rule—which is set to take effect on September 4, 2024—for a handful of employers. Wednesday’s order limits the preliminary injunction to plaintiffs in the case—Ryan, LLC, a tax services and software provider in Texas, as well as the U.S. Chamber of Commerce, the Business Roundtable, the Texas Association of Business, and the Longview Chamber of Commerce—but does not extend to the member companies of those groups. The judge is expected to issue a ruling by August 30^th regarding whether to issue a full, nationwide injunction against the rule and will have to consider the legality of the FTC’s rulemaking in light of the Supreme Court’s reversal of the Chevron deference doctrine.

Tuesday, July 2^nd

• The White House announced $504 million in funding for 12 Regional Technology and Innovation Hubs (Tech Hubs) to accelerate the growth of innovative industries. The Tech Hubs program—authorized by the CHIPS and Science Act—is focused on fostering innovation, creating new jobs, and supporting economic development in previously underinvested areas. The White House notes that the funding awarded to these 12 Tech Hubs will position American workers, businesses, and communities to lead the industries of the future, such as clean energy, semiconductors, biotechnology, artificial intelligence, quantum computing, and more. Examples of Tech Hubs receiving new funding under the Tech Hubs Program include: (1) the SC Nexus for Advanced Resilient Energy Tech Hub, which aims to help the U.S. be a global leader in advanced energy, with a focus on cyber-secure grid resilience technologies (GRT) and improving the clean energy supply chain by expanding opportunities for developing, testing, and deploying exportable electricity technologies with approximately $45 million in Tech Hubs awards serving South Carolina and Georgia; (2) the NY SMART I-Corridor Tech Hub, which aims to enhance regional semiconductor manufacturing capabilities while ensuring economic opportunity for underserved communities with approximately $40 million in Tech Hubs awards serving New York; (3) the Nevada Tech Hub, which aims to build a self-sustaining and globally competitive full lithium lifecycle cluster at the University of Nevada, Reno, spanning extraction, processing, manufacturing, and recycling with approximately $21 million in Tech Hubs awards serving Nevada; (4) the Tulsa Hub for Equitable & Trustworthy Autonomy Tech Hub, which aims to help the U.S. become a global leader in developing and commercializing autonomous systems for use cases ranging from agriculture and pipeline inspections to regional transportation with approximately $51 million in Tech Hubs awards serving Oklahoma; and (5) the Elevate Quantum Tech Hub, which seeks to solidify Colorado’s global leadership in quantum information technology (QIT) to enable progress in areas such as artificial intelligence, climate technology, and healthcare with approximately $41 million in Tech Hubs awards serving Colorado and New Mexico.

• U.S. District Judge for the Western District of Louisiana James Cain preliminarily enjoined the Department of Energy’s pause on natural gas exports. Judge Cain ruled that DOE failed to justify why it needed to pause approvals to review the process by which it permits projects and agreed with a challenge from 16 Republican-leaning states that DOE failed to consider their concerns about the “impact on national security, state revenues, employment opportunities, funding for schools and charities, and pollution allegedly caused by increased reliance on foreign energy sources.” The Biden Administration has not yet indicated if it would appeal the ruling. 

• The Federal Aviation Administration (FAA) announced a seventh round of the Bipartisan Infrastructure Law’s Airport Infrastructure Grants (AIG) totaling $289 million to 129 airports across 40 states. Funding under the AIG program is used for airport improvements such as terminal expansions, baggage system upgrades, runway safety enhancements, and air traffic infrastructure improvements. The full list of awards is available here.

• New analysis revealed that construction workers are four times more likely to commit suicide than the average American—and more than any other occupation. Construction workers are also six times as likely to die from suicide than on-the-job injuries and in just 2022 alone, according to data from the Centers for Disease Control and Prevention, more than 6,000 construction workers died of suicide across the U.S. Data also showed that nearly 50 per 100,000 male construction workers committed suicide, as did roughly 25 per 100,000 female construction workers—the tops of any occupational group. 

Week of June 24 – June 28, 2024

Friday, June 28^th

• President Biden sent a letter to Congress requesting roughly $4 billion in emergency funding to address the collapse of Baltimore’s Francis Scott Key Bridge, as well as recent tornadoes in the Midwest, wildfires in Hawaii, and hurricane recovery needs across the country. Of the nearly $4 billion request, President Biden sought $3.1 billion for the Transportation Department’s Emergency Relief Fund to cover the cost of repairing and rebuilding highways and roads that were damaged in recent disasters, as well as the cost of rebuilding the Francis Scott Key Bridge. Notably, the President called on Congress to cover 100% of the federal cost share for rebuilding the Key Bridge, “consistent with the response to past bridge collapses.” The President also requested: (1) $700 million for Housing and Urban Development grants; (2) $79.5 million for the Coast Guard; (3) $33 million for the Army Corps of Engineers; and (4) $25 million for the Department of Labor. 

• The Federal Aviation Administration (FAA) announced more than $123 million in funding from the Bipartisan Infrastructure Law for improvement projects at 235 airports in 35 states and the District of Columbia. This second round of Airport Improvement Program (AIP) grants fund a variety of projects such as construction of new and improved airport facilities, repairs to runways and taxiways, maintenance of airfield lighting and signage, and purchasing equipment needed to operate and maintain airports. An interactive map containing all the grant awards is available here.

Thursday, June 27^th

• The House Appropriations Committee Republicans released draft text for the fiscal year (FY) 2025 Energy-Water spending bill that the subcommittee will mark up today. The bill—which funds the Energy Department, Corps of Engineers, Bureau of Reclamation, and other related agencies—provides an overall increase of $999 million over FY 2024 funding levels. Republicans highlighted the draft bill’s $1.8 billion increase for nuclear energy, which they said includes support for small modular reactor demonstration projects. The bill also increases support for mining production technologies necessary to increase domestic production of critical minerals. A summary of the legislation is available here.

• The House Appropriations Committee Republicans released draft text for the fiscal year (FY) 2025 Interior-Environment spending bill that the subcommittee will mark-up today. The draft bill provides a total of $38.5 billion in non-defense funding for the Biden Environmental Protection Agency (EPA), Forest Service, and most portions of the Interior Department. Total funding under the bill is $72 million below FY 2024 enacted levels and $4.4 billion below President Biden’s budget request. In addition to a 23% cut for environmental programs and management, the bill would prohibit the EPA from imposing a fee on methane emissions from oil and gas producers. The bill also requires the Interior Department to resume quarterly offshore oil and gas leases and prohibits any funding from being used to cancel such leases in the Arctic National Wildlife Refuge or the National Petroleum Reserve in Alaska. A summary of the legislation is available here.

• The Energy Department (DOE) issued a request for proposals (RFP) for $2.7 billion to increase domestic sources for low-enriched uranium (LEU) to ensure an adequate fuel supply to maintain the current fleet of U.S. reactors and build a strong base to supply future deployments of new nuclear technologies. RFP applicants may propose projects that expand the capacity of existing enrichment facilities or fund development of new facilities. DOE intends to sell the LEU to utilities operating U.S. reactors to support clean energy generation and eliminate reliance on Russian imports. DOE plans to award two or more contracts under the RFP, which will last for up to 10 years. Proposals are due by 5:00 p.m. EDT on August 26, 2024. The RFP is available here and more information regarding DOE’s efforts to develop nuclear fuel supply chains for existing and future reactors is available here.
  
• House Education and the Workforce Chair Virginia Foxx (R-NC) announced that Rep. Michael Rulli (R-OH), who recently won a special election in Ohio’s 6^th Congressional District, has joined the committee and will serve on the Subcommittee on Higher Education and Workforce Development

Wednesday, June 26^th

• The Labor Department’s Occupational Safety and Health Administration (OSHA) announced the availability of $12.787 million in fiscal year (FY) 2024 funding for Susan Harwood Training Grants to develop and provide training and education programs for employers and workers on the recognition, avoidance, and prevention of safety and health hazards in the workplace and to inform workers of their rights and employers of their responsibilities under the Occupational Safety and Health Act. Applications for grant awards are due by July 26, 2024. The pre-announcement notices of funding opportunity are divided into three categories: (1) “Targeted Topic Training”; (2) “Training and Educational Materials”; and (3) “Capacity Building.” The complete Susan Harwood Training Grant Program solicitation for grant applications and all information needed to apply for these funding opportunities is available at http://www.grants.gov using the following Funding Opportunity Numbers: (1) SHTG-FY-24-01 (Targeted Topic Training grants); (2) SHTG-FY-24-02 (Training and Educational Materials Development grants); and (3) SHTG-FY-24-03 (Capacity Building grants). Additional information on the Susan Harwood Training Grant Program, including information regarding past grantees and recordings of free webinars from April 2024 on preparing competitive Susan Harwood Grant applications, can be found on the OSHA website.
  
• The Interior Department (DOI) announced that it has awarded $126.7 million through President Biden’s Investing in America agenda to Alaska, Arizona, Indiana, New York and Ohio to address legacy pollution from orphaned oil and gas wells. With this funding, the five states will collectively plug nearly 600 wells and inventory additional undocumented orphaned wells in preparation for future plugging activities.
  
• The Labor Department’s (DOL) Employment and Training Administration announced the selection of new Employment Navigator and Partnership Program (ENPP) partners in California, Colorado, Florida, Idaho, Maine, New York, and Washington, D.C. that will be onsite at military bases to aid service members who are transitioning from active duty to the civilian workforce, as well as their spouses, with personalized employment assistance. The program also connects participants with partner organizations to provide additional employment services before and after their military separation. The list of organizations receiving funding is available here.

Tuesday, June 25^th

• The Energy Department announced $63.5 million in awards through the Seeding Critical Advances for Leading Energy technologies with Untapped Potential (SCALEUP) program that will be divided among four projects: (1) AeroShield Materials in Waltham, Massachusetts effort to develop a manufacturing facility for the production of insulated glass units that make residential and commercial buildings more energy efficient; (2) Queens Carbon of Pine Brook, New Jersey to develop a facility to produce carbon-neutral supplemental cementitious materials; (3) Ion Storage Systems of Beltsville, Maryland to support domestic manufacturing of lithium-metal batteries for electric vehicles; and (4) Antora Energy of Sunnyvale, California to scale up production of its thermal battery technology.
  
• The Interior Department (DOI) announced that it has awarded $126.7 million to Alaska, Arizona, Indiana, New York and Ohio to address legacy pollution from orphaned oil and gas wells. With this funding, the five states will collectively plug nearly 600 wells and inventory additional undocumented orphaned wells in preparation for future plugging activities.

Monday, June 24^th

• The Treasury Department announced new financing initiatives to support affordable housing development. Specifically, the initiatives include: (1) a new Treasury program administered by the Community Development Financial Institutions fund to provide an additional $100 million over 3 years to support the financing of affordable housing; (2) an effort to provide greater interest rate predictability to state and local housing finance agencies; and (3) a call to action for the Federal Home Loan Banks to increase their spending on housing programs.  The announcement corresponded with a new Treasury blog post on “Rent, House Prices, and Demographics” discussing the fact that housing costs have risen faster than income over the last 2 decades, housing demand has outpaced housing supply since 2000, and that substantial fixes will require federal legislative and state and local actions.

• Reuters reported that a shortage of skilled labor and nagging inflation from strong wage growth on the U.S. Gulf Coast are pressuring liquefied natural gas developers and delaying some projects from reaching a financial go-ahead. With labor costs jumping as much as 20% since 2021, the fate of some projects has become less certain. The Reuters report cited Golden Pass LNG, one of the largest U.S. projects, which has been largely halted after its main contractor ran $2.4 billion over the original budget and filed for bankruptcy. Reuters also noted that Sempra LNG has revisited selecting Bechtel Corporation to build the Cameron LNG expansion projects to reduce costs, and it has also reduced its stake in a Texas project, Port Arthur LNG, citing higher construction costs. 

Around the Country 

Northeast 

• On July 11^th, House Freedom Caucus Chair Rep. Bob Good (R-VA) filed a petition for a recount in Virginia’s 5^th Congressional District after state election officials said he narrowly lost the GOP primary to Trump-backed State Sen. John McGuire (R-VA).

• On July 10^th, The Hill discussed a series of political earthquakes that have shaken New Jersey’s Democratic machine over the last year, including: (1) the indictments of Sen. Bob Menendez (D-NJ) and Democratic power broker George Norcross; (2) the failure of New Jersey First Lady Tammy Murphy’s U.S. Senate bid; and (3) a federal judge throwing out a ballot design, colloquially called “the line,” that upheld the power of the state’s political machine. The changes have been rooted, at least in part, in a generation of younger Democrats—like Democratic U.S. Senate candidate Rep. Andy Kim (D-NJ)—who have sought to challenge the party’s old guard. 

• On July 9^th, the Transportation Department (DOT) announced $11 billion in grants and financing through the President’s Bipartisan Infrastructure Law to construct the new Hudson Tunnel rail project and rehabilitate the North River Tunnel between New York and New Jersey. Of the $11 billion announced on Monday, $6.9 billion is funded through the Federal Transit Administration’s (FTA) Capital Investment Grants program (the largest grant ever signed by the FTA) and $4.1 billion is funded through three Railroad Rehabilitation and Improvement Financing loans financed with below-market interest rates through DOT’s Build America Bureau. The Hudson Tunnel Project Profile is available here.

• On June 28^th, the Bureau of Ocean Energy Management (BOEM) announced the final schedule for the sale of commercial wind energy leases on the Outer Continental Shelf (OCS) in the Central Atlantic Ocean in Lease Area OCS-A 0557 and Lease Area OCS-A 0558 offshore of Delaware, Maryland, and Virginia. Lease Area OCS-A 0557 consists of 101,443 acres and is approximately 26.4 nautical miles from the mouth of the Delaware Bay, while Lease Area OCS-A 0558 consists of 176,505 acres and is approximately 35 nautical miles from the mouth of the Chesapeake Bay. The lease sale auction will be held online and will begin at 9am ET on August 14, 2024.

• On June 27^th, the Senate Leadership Fund, a group tied to Senate Republican Leader Mitch McConnell (R-KY), announced a $24 million ad buy in Pennsylvania to aid Republican Dave McCormick in his bid to unseat incumbent Sen. Bob Casey (D-PA).

• On June 26^th, More Jobs, Less Government, a super PAC with ties to Sen. Daines (R-MT), announced plans for a month-long, $4 million TV and digital ad buy to support Montana Republican Tim Sheehy’s bid to unseat incumbent Sen. Jon Tester (D-MT). 

• On June 25^th, Westchester County, New York Executive George Latimer (D) defeated incumbent Rep. Jamaal Bowman (D-NY) in the Democratic primary for New York’s 16^th Congressional District and will face Scarsdale, New York Mayor Miriam Flisser (R) in the November general election.

• On June 25^th, Rep. Claudia Tenney (R-NY), a member of the House Ways and Means Committee, defeated conservative businessman Mario Fratto in the Republican primary for New York’s 24^th Congressional District and will face Democrat David Wagenhauser in November.

• On June 24^th, a new poll found Democrat Angela Alsobrooks (D-MD) leading Republican Larry Hogan 45%-34% in the race for retiring Sen. Ben Cardin’s (D-MD) U.S. Senate seat. 

West

• On July 10^th, incumbent Rep. Celeste Maloy (R-UT) appeared headed for a recount in the Republican primary race in Utah’s 2^nd Congressional District.

• On July 8^th, Rep. Greg Lopez (R-CO) was sworn into the House, filling the seat vacated by Rep. Ken Buck (R-CO). Lopez is the former mayor of Parker, CO and won the special election two weeks ago to represent Colorado’s 4^th Congressional District for the remainder of Rep. Buck’s term, which ends in January 2025. 

• On June 25^th, moderate Rep. John Curtis (R-UT) won the Republican U.S. Senate primary in Utah against a Trump-backed opponent and will face Democrat Caroline Gleich in November.

• On June 25^th, Republican Jeff Crank defeated Trump-backed Republican candidate Dave Williams in the Republican primary for Colorado’s 5^th Congressional District and will face Democrat River Gassen in November.

• On June 25^th, Rep. Lauren Boebert (R-NY) won the Republican primary for Colorado’s 4^th Congressional District despite the fact that she currently represents Colorado’s 3^rd Congressional District, and will face Democrat Trisha Calvarese in November.

Northwest 

• On June 26^th, the Environmental Protection Agency and the Biden Justice Department, as well as the Washington Department of Ecology, announced that they reached an agreement in principle with King County, Washington and the City of Seattle that commits the local governments to significant expansion of the work they agreed to perform in 2013 to reduce discharges of untreated combined sewage and stormwater into Lake Washington, Lake Union, the Duwamish River, and Puget Sound. The modifications include: (1) significant improvements to address overflows and the option to include outfalls at the King County’s Mouth of the Duwamish Wet Weather Treatment Facility; (2) increasing water storage by one million gallons at the West Duwamish/Terminal 115 CSO Control Project; (3) the provision of almost $300 million in loans under the Water Infrastructure Finance and Innovation (WIFIA) Act for the Ship Canal Water Quality Project; and (4) enhancing storage facility projects to increase stored volumes of wastewater at Montlake and University.

Midwest 

• On July 11^th, Sen. Sherrod Brown (D-OH) reported raising $12.8 million in the second quarter of 2024 for his U.S. Senate bid against Republican Bernie Moreno.

• On July 8^th, the Labor Department announced it will host an information session in Lisle, Illinois on July 18, 2024 from 9am to 4pm CT, focused on the benefits available under the Energy Employees Occupational Illness Compensation Program Act for current and former nuclear weapons workers employed at covered facilities. The meeting is open to the public and registration is not required.

• On June 27^th, a new poll found that incumbent Sen. Tammy Baldwin (D-WI) leads her Republican challenger Eric Hovde by five points (52%-47%) in the Wisconsin U.S. Senate race.

Southeast

• On July 8^th, the Labor Department’s Wage and Hour Division announced that it will join the Equal Employment Opportunity Commission for a series of online webinars that will take place on Tuesdays and Thursdays in August 2024 focused on workplace rights for expectant and new mothers to mark Breastfeeding Awareness Month. The webinar series will begin with an initial review of federal maternal health laws on August 1, 2024 and will be followed by webinars focused on state-specific resources and local laws in North Carolina, Alabama, South Carolina, Florida, Georgia, Tennessee, Kentucky, and Mississippi. The webinars will introduce panelists that will vary by state and include representatives from state Women, Infant, and Children offices, milk banks, support groups, lactation consultants, and more. Registration information for the webinar sessions is available here. 

• On June 27^th, the Federal Energy Regulatory Commission (FERC) authorized the construction of Venture Global’s CP2 liquefied natural gas export project in Calcasieu Parish, Louisiana. The CP2 terminal, however, is not yet fully authorized. Though FERC’s approval clears a major hurdle for the project, it still needs permission from the Biden Energy Department to ship natural gas abroad to countries that don’t have a free trade agreement with the U.S.

• On June 26^th, a new poll found Democrat Wesley Bell leading Rep. Cori Bush (D-MO)43%-42% ahead of the August 6^th Democratic primary in Missouri’s 1^st Congressional District.

Southwest

• On July 8^th, the Labor Department announced $810,703 in proposed penalties against Quala Services LLC, a tank cleaning company based in La Porte, Texas, after an Occupational Safety and Health Administration (OSHA) investigation prompted by an employee’s fatal injury in December 2023. OSHA cited Quala Services, whose employees clean tankers used to transport hazardous waste, with seven serious violations and failing to ensure that atmospheric testing was done inside the tank where the employee died.

• On July 9^th, Arizona Democratic Senate candidate Rep. Ruben Gallego (D-AZ) announced he raised $10.4 million for his U.S. Senate bid in the second quarter, bringing his total raised to $31 million.

• On June 27th, a new poll found that incumbent Sen. Ted Cruz (R-TX) leads his Democratic challenger Rep. Colin Allred (D-TX) by four points (43%-39%) in the Texas U.S. Senate race.

• On June 25^th, Rep. Greg Casar (D-TX) led 22 members of Congress in requesting the Biden Energy Department add Texas to the areas serviced by proposed federal corridors for electrical transmission. In May, the Biden Energy Department announced ten proposed National Interest Electric Transmission Corridors that, if implemented, could make federal funds available to expand grid capability in those areas. However, Texas, which relies on the self-contained Electric Reliability Council of Texas, was not among the proposed sites.

• On June 25^th, Trump-backed Republican candidate Mark Burns lost to nurse practitioner Sheri Biggs in the Republican primary for South Carolina’s 3^rd Congressional District. Biggs will face Democrat Byron Best in November.

• On June 25^th, the House Ethics Committee said it was reviewing separate accusations against Texas Republican Reps. Ronny Jackson and Wesley Hunt alleging they violated ethics rules by using campaign funds to pay membership dues at private social clubs. The committee released findings that Rep. Jackson’s campaign committee paid over $6,800 in membership dues to the Amarillo Club, a fine dining club and gym in downtown Amarillo, and separate findings that Rep. Hunt’s campaign paid over $5,400 in dues to the Oak Room, a private social club in Houston.