HVAC Breaking News

April 2, 2007: MCAA Urges Congress to Repeal 3 Percent Withholding Provision

April 2, 2007
/ Print / Reprints /
ShareMore
/ Text Size+

WASHINGTON - Lonnie Coleman, the Mechanical Contractors Association of America’s (MCAA’s) treasurer and Government Affairs Committee chairman, testified before the House of Representatives Small Business Committee, urging repeal of a new public contract payment withholding provision of 3 percent, slated to take effect in 2011.

Representing MCAA and the five other union-signatory construction employer associations in the Campaign for Quality Construction (which includes the Sheet Metal and Air Conditioning Contractors’ National Association), Coleman stressed the immediate need for repeal of the added withholding provision as proposed in the Meek-Herger repeal bill, H.R. 1023. The subject of the hearing has attracted the widespread opposition of business groups and public purchasing agencies who oppose the increased administrative and contract financing costs.

Coleman also discussed a wide array of possible procurement and fiscal reforms that could be used to close the tax gap without burdening tax compliant construction contractors with further contract payment withholding. He suggested ways to improve the screening of responsible bidders and offerors with tax compliance certification requirements. He also emphasized the need to reform misclassification of employees as independent contractors as a way to close a big part of the tax gap, and the ongoing need to eliminate retainage and require prompt payment by government agencies at all levels.

MCAA noted that co-sponsorship of the Meek-Herger withholding repeal bill picked up considerably following Coleman's testimony. Five lawmakers signed onto the bill in response to Coleman's request at the hearing.

Publication date: 04/02/2007

Did you enjoy this article? Click here to subscribe to The NEWS Magazine

You must login or register in order to post a comment.

Multimedia

Videos

Image Galleries

2014 Energy Efficiency Forum

Highlights from the 25th annual Energy Efficiency Forum in Washington, D.C.

Podcasts

NEWSMakers: Mark Satterfield

Mark Satterfield, founder and CEO of Gentle Rain Marketing Inc. and author of “The One Week Marketing Plan” talks about his book and the importance of HVAC blogging. Posted on Sept. 19.

More Podcasts

ACHRNEWS

NEWS 09-15-14 cover

2014 September 15

Check out the weekly edition of The NEWS today!

Table Of Contents Subscribe

Venting R-22

The NEWS reported that a man received prison time for venting R-22. Should EPA step up enforcement?
View Results Poll Archive

HVACR INDUSTRY STORE

plumbing-hvac.gif
2014 National Plumbing & HVAC Estimator

Every plumbing and HVAC estimator can use the cost estimates in this practical manual!

More Products

Clear Seas Research

 

Clear Seas ResearchWith access to over one million professionals and more than 60 industry-specific publications, Clear Seas Research offers relevant insights from those who know your industry best. Let us customize a market research solution that exceeds your marketing goals.

DON'T MISS A THING

Magazine image
 
Register today for complete access to ACHRNews.com. Get full access to the latest features, Extra Edition, and more.

STAY CONNECTED

facebook icontwitter iconyoutube iconLinkedIn i con