New Optimism on Tax and Budget Deal

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To the ACEC Community,

We start the week with encouraging news on a couple of fronts.  First, an agreement was announced this morning by House Ways and Means Committee Chairman Jason Smith (R-MO) and Senate Finance Committee Chairman Ron Wyden (D-OR) on the framework of their business and family tax package.  Notably for ACEC members, the package includes language that would restore the full deductibility of R&D expenses until January 1, 2026.  We’ve been lobbying hard on this issue for the last two years, and even launched a media campaign last fall with TV and radio commercials and op-eds in major newspapers highlighting the impact of R&D amortization on America’s engineering industry and the urgent need for a fix.

We understand that the House Ways and Means Committee could vote on this package as early as this week, in preparation for potential floor consideration.  Final passage could happen as part of a larger budget deal or as part of another legislative vehicle.  We’re staying focused on getting this done!

We’ve also heard encouraging news related to negotiations on the larger federal budget.  House Speaker Mike Johnson (R-LA) and Senate Majority Leader Chuck Schumer (D-NY) announced a budget deal that will avert a government shutdown, and one that is largely consistent with the debt ceiling agreement between Congress and the White House from last spring.  There is still much work to be done, and the Speaker is already facing a backlash among House conservatives, but news of negotiation and compromise – in an institution lacking in these attributes in recent months – is a welcome step forward.

Staying on the good news theme — ACEC/PAC had another record-breaking year, with 46 states hitting their fundraising goals. California led the way for the second straight year, with Texas just behind and Florida and New York neck and neck for third. I am also pleased to report that four states raised over $80,000 for the first time ever. Indiana was the first state to goal in 2023, while Connecticut took top honors in percentage over goal, at 253.21 percent.

This was a tremendous fundraising year, and my sharing these numbers alongside news of other developments on the policy side is intentional. Your contributions give us the resources we need to effect change on behalf of our firms and our industry.  The stakes are always very high, and for that reason we thank you for your support, and for your interest and engagement with ACEC’s advocacy program.

Have a great week,

Linda Bauer Darr

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