Tag Archives: Budget

WIPP Works in Washington – September 2018

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Ann Sullivan, WIPP Chief Advocate

See You In September

Something happens to Washington in September. The lazy hazy days of summer disappear, and the most beautiful weather arrives. The stifling heat gives way to cool days and turning leaves. And the pace really picks up. The traffic becomes impossible and days are packed with meetings and events as Washington kicks back into high gear. Given that the end of the government’s fiscal year ends on September 30, federal contractors are on high alert as the government tries to spend the remainder of its fiscal year money.

Speaking of government funding, the Congress will be back in full swing, trying to pass its FY19 spending bills before October 1. To date, no appropriations bill for FY19 has been signed by the President, although the House has passed six spending bills and the Senate has passed nine. Now the job of reconciling the differences begins. Republicans would love to show voters in November that a perk of having the party control both the House and Senate is the ability to get the fiscal year funded in a timely manner.

Another big push in September is the Supreme Court nomination of Brett Kavanaugh. Nominated by President Trump, the Senate must approve the nomination by a majority vote. Given the two-seat majority in the Senate, Republicans cannot afford to lose any of their party’s votes to confirm Mr. Kavanaugh.

This year, the legislative schedule will be shortened by the upcoming elections in November. It is customary for the Congress to recess for most of October in order to spend their time in their home states/districts campaigning. Then traditionally, the Congress calls a “lame duck” session in November/December to complete any unfinished business.

This election season is shaping up to be an exciting one, with women running in unprecedented numbers. Arizona will have its first female Senator—both primary winners were women. To date, 26 women are still in the running for the U.S. Senate, 251 for House seats and 18 for Governor. While many women did not win their primaries, this election upended the notion that party bosses have to bless candidates who run for Congressional seats and incumbents are unbeatable. Women in 2018 challenged both of those political adages.

This September starts with remembering the life of Senator John McCain who will lie in state in the Capitol Rotunda—one of only 13 Senators to have received this honor. His life and patriotism will be remembered by all walks of life – no matter the political party. The Senator so wisely said, “Nothing in life is more liberating than to fight for a cause larger than yourself, something that encompasses you but is not defined by your existence alone.”

Want to know more about our fall focus? WIPP members are invited to join us for our monthly WIPP Policy Briefing on September 12 at 2 PM EDT. Not a member? Join today!

WIPP Works in Washington – July 2018

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A Little Less Conversation, A Little More Action, Please

 Ann Sullivan,                 WIPP Chief Advocate

Some days I feel talked to death. The 24-hour news cycle, Twitter, Congressional hearings, roundtables, forums – you name it – everyone’s talking. But to quote an Elvis Presley song, “a little less conversation, a little more action, please.”

Congressional inaction didn’t start yesterday. The budget process has been broken for some time. In fact, Congress passed all 12 appropriations bills by the October 1st deadline (the beginning of the fiscal year) just four times in the last 40 years. However, from 2011 to 2016, not a single appropriations bill passed by itself. For the last 7 out of 10 years, Congress has failed to pass a budget. Finally, the last time the Congress passed all 12 of its appropriations bills was 1994.

The same goes for legislation. Historically, this session of Congress is on pace to pass the least amount of legislation in the last 50 years. Congress has passed 194 pieces of legislation signed into law during the first 18 months of the 115th session of Congress. Of those 194, 23 bills were symbolic or ceremonial. Roughly 1.7% of bills introduced this session of Congress have become law, compared to 4.5% of bills in the 105th session (under President Clinton), and 3.3% of bills in the 110th session (under President George W. Bush.)

No one knows better than Congressional Members that the system is broken – especially its fundamental budget responsibility. A little-known effort is commencing on Capitol Hill – the Joint Select Committee on Budget and Appropriations Process Reform. This Committee, comprised of House and Senate Members of both parties, is tasked with recommendations to reset the way Congress budgets and appropriates the taxpayers’ money. Recently, the Committee asked Members of Congress to share recommendations and Speaker Paul Ryan testified that the Congress should do a biennial budget. Others suggested getting rid of the Budget Committee, indexing spending to a percentage of the gross national product and eliminating the debt ceiling vote by making it automatic. What struck me most listening to the hearing was the bipartisan interest in fixing the budget process.

Two former Senate Leaders, Tom Daschle (D) and Trent Lott (R), currently lead the Commission on Political Reform as part of their work at the Bipartisan Policy Center. They have shared three recommendations to address the gridlock:

  1. Move to a two-year budget cycle, allowing more time for Members to understand programs under their jurisdiction in-depth;
  2. Get rid of the Senate filibuster but make the majority 60 votes, not 51 votes;
  3. Have a minimum number of amendments that can be offered to legislation, thus encouraging Members to get involved in legislating.

Being an eternal optimist, I believe the Congress can fix the process. One small ray of hope is the Senate Appropriations Committee, which is moving its bills at a much faster clip than we have seen in many years. I anticipate the Joint Select Committee on Budget Reform will produce serious recommendations.

Changing the rules will lead to action. Members of Congress will get back to legislating and time will be spent considering serious issues that need resolution. Getting back to an action-oriented Congress would be the first step toward more action and less talk.

Keep It Simple, Silly

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By John Stanford, WIPP Government Relations

 

hc - wippIt’s a favorite phrase of my boss – and WIPP’s Chief Advocate – Ann Sullivan. The idea is nothing new: a simple solution is usually the best. That is why, for years, women business owners used the simplest possible idea for providing health benefits – you (employee) go out and get your own insurance and I (employer) will reimburse you. Simple, right?

They are called Healthcare Reimbursement Arrangements, or HRAs, and bringing them back (for the second time) is one of WIPP’s top healthcare priorities. We are making great progress. The House Ways and Means Committee approved legislation that would allow HRAs to be used for firms with fewer than 50 employees. The House as a whole is expected to vote on the bill next week.

The bill would allow employers to reimburse employees for qualified medical expenses like premiums and out-of-pocket costs. Importantly, employers must offer it to all eligible employees and cannot offer a separate group plan. The reimbursement is capped at around $5,000 for an individual and $10,000 for families and does not count as employee income (meaning no taxes!).

Again, the idea is simple. Employers select an amount to reimburse employees, instead of locking in an insurance plan that may not fit their employees or their budget. But why did we lose HRAs in the first place? That is not so simple.

The Affordable Care Act eliminated caps on health insurance plans—an undoubtedly good thing for when disaster or disease strikes. But, in the opinion of the IRS, these HRAs, by definition, had a cap (however much the employer contributed). So they were outlawed in 2013 or 2014.

2013 or 2014 is a strange way to describe when the IRS banned a certain healthcare plan. But that is what it was – the IRS notices on the issue were so confusing they had to issue additional regulations three times. Policy wonks, insurers, and healthcare consultants were unsure – let alone business owners – about whether they were allowed. And making a mistake on this carries severe penalties; offering a non-conforming plan can trigger a penalty of $100 per day per employee –more than $350,000 a year for a company with 10 employees.

Because of this confusion, WIPP stepped in asking Secretary Burwell to intervene on behalf of women business owners. She did and HRAs were allowed through June 2015. Legislation is needed to bring them back permanently and WIPP is optimistic Democrats and Republicans can work together, as they already have, to get this done. After all, ten million women business owners and their nearly nine million employees are pretty active voters.

It’s pretty simple.

More on how WIPP is working with Congress and the Administration to bring competitively-priced and accessible health options to women business owners is in our blog, Making the Affordable Care Act Work.

 

 

 

 

 

ChallengeHER Recognized in Budget Proposal

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CH-LogoBudgets are usually just about the numbers, but, every so often, they take respite from tables, spreadsheets, and account balances to acknowledge successful partnerships. Anyone taking a look at the President’s budget, released on February 9, found out who is working on behalf of women business owners when the Small Business Administration (SBA) highlighted the success of WIPP’s ChallengeHER initiative at bringing women-owned businesses into the federal marketplace. Having SBA acknowledge WIPP’s efforts demonstrates just how strong WIPP advocates have been.

Securing a contract with the federal government can double the revenue for a women-owned business and the ChallengeHER program has been providing education to women business owners on how to do just that. In 2013, WIPP partnered with American Express OPEN and SBA to offer events, workshops with access to an online curriculum, and mentoring opportunities that provide women entrepreneurs with knowledge and connections to help them successfully compete for federal contracts.

This year, WIPP is planning 18 ChallengeHER events across the country. For more information and to find the ChallengeHER event closest to you, please visit WIPP’s ChallengeHER site.