Many Industry Groups Applaud New Federal Funding Package
PRESS RELEASES
The following are statements issued by industry groups applauding passage of the massive new federal funding package, signed into law by President Trump on July 4. Below that is a June 28 letter sent by more than 70 groups urging both Houses of Congress to pass the legislation.
Washington DC, July 3, 2025 — The American Council of Engineering Companies (ACEC) issued the following statement from President and CEO Linda Bauer Darr, after passage of the “One Big Beautiful Bill” in the House of Representatives:
“ACEC applauds the passage of this critical legislation that will promote job creation and innovation across the U.S. economy. The extension of the 2017 Tax Law will deliver critical certainty for American businesses. These are pro-growth policies that directly support investment, innovation, and workforce expansion, especially in the engineering sector.
“Engineering firms play a foundational role in the economy. The ACEC Research Institute found that 82% of firms used their tax savings from the 2017 Tax Cuts and Jobs Act to hire new employees. Firms also invested in technology and expanded their services — investments that had a broader benefit to the nation’s economy. By locking in these provisions, Congress has ensured that firms can continue to create, compete, and grow in communities across America.
“In addition, this bill includes a long-sought provision by ACEC to permanently restore full deductibility of R&D expenses for engineering firms. Engineering firms are in the innovation business, designing the next generation of American infrastructure, and it was critical to restore the tax code’s traditional role in incentivizing research and development.
“As the bill heads to the president’s desk, we commend both chambers of Congress for delivering a package that gives America’s engineering industry the certainty it needs to improve our communities while developing the next generation of engineers. While more work remains, particularly around energy tax policy, this legislation is a strong step forward for America’s future.”
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On July 3, Associated Builders and Contractors also issued the following statement commending the U.S. House of Representatives for passing H.R. 1.
"ABC thanks lawmakers in both chambers for their leadership in advancing this important legislation, which provides much-needed tax certainty for the U.S. construction industry,” said Kristen Swearingen, ABC vice president of government affairs. Once signed into law, it "will provide immediate relief to Main Street businesses and ensure the construction industry can continue to drive economic growth and opportunity nationwide.”
ABC and its 67 chapters, representing more than 23,000 members and millions of construction workers nationwide, are proud to support this pro-growth, pro-worker legislation. ABC also joined a group of organizations representing millions of Main Street businesses in a letter expressing strong support of the package and applauded U.S. Senate passage of H.R. 1 on July 1. ABC has consistently advocated for policies that provide certainty and allow contractors to grow their businesses, create jobs and strengthen their workforce.
“Tax certainty and pro-growth policies are not abstract policy goals for construction businesses—they are the foundation that allows ABC members to invest, grow and keep America building,” said Swearingen on July 1.
The legislation includes a number of tax provisions that will directly benefit contractors, American workers and the broader economy, according to ABC. The new legislation includes the following reforms:
- Making the Small Business Deduction Permanent and Stronger: Solidifying the Section 199A deduction will provide tax certainty for pass-through businesses, allowing contractors to reinvest in their operations and workforce without fear of future tax hikes;
- Permanent Estate Tax Relief: This provision ensures that family-owned construction businesses can pass along ownership to the next generation without facing destructive estate tax burdens;
- Restoration of 100% Bonus Depreciation: Renewing immediate expensing of capital investments through 100% bonus depreciation will encourage construction firms to invest in new equipment and technologies—boosting productivity, innovation and economic growth;
- Revived Expensing of R&D Costs: The bill permanently restores the ability for businesses to immediately deduct domestic research and experimental expenditures, providing critical support for construction innovation. Whether it’s hands-on problem-solving that happens on jobsites or improving project delivery methods, this provision gives contractors the financial flexibility to invest in finding better, faster and safer ways to get the job done right—without waiting years to see a tax benefit;
- No Tax on Overtime for American Workers: Exempting overtime pay from federal income tax delivers direct, meaningful relief to the hardworking men and women of the construction trades—rewarding long hours on the jobsite;
- Expanded 529 Accounts for Skilled Trades Training: The legislation expands the use of 529 savings accounts to cover career and technical education in the skilled trades, helping the next generation of construction professionals enter the workforce without student debt.
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Prior to passage in the Senate, on June 28, more than six dozen industry associations signed the below letter, addressed to Senate and House Republican leadership...
Dear Leader Thune, Speaker Johnson, Chairman Crapo, and Chairman Smith:
The undersigned organizations, representing millions of Main Street businesses in every industry and community across the country, write in strong support of the budget reconciliation tax package recently released by the Senate Finance Committee.
This legislation builds on the foundation laid by the Tax Cuts and Jobs Act and advances a forward looking, pro-growth tax agenda that supports tens of millions of Main Street enterprises. Critically, it would provide long-overdue certainty to the more than 95 percent of American businesses organized as S corporations, partnerships, and sole proprietorships — businesses that employ a large majority of the private sector workforce and serve as the economic engine of communities nationwide.
Among the most significant provisions for these businesses are the permanent extension of the Section 199A deduction and the retention of the 37-percent top individual rate. These measures reflect the need for a competitive and equitable tax structure that recognizes the importance of rate parity between pass-through businesses and C corporations, and helps ensure that these employers can continue to invest, hire,
and grow.
We also applaud lawmakers for their commitment to ensuring parity when it comes to the deductibility of state and local taxes (SALT) incurred by pass-through businesses. This recently-released draft rightly preserves their longstanding ability to deduct SALT expenses as an ordinary and necessary cost of doing business. This policy reflects a clear understanding that pass-through businesses should not be treated less
favorably than their C corporation counterparts and reinforces the principle of equal treatment under the tax code.
Finally, we are pleased to see the inclusion of other critical incentives that will help drive investment and innovation -- provisions such as restoring full expensing, enhancing deductions for production property, easing the interest expense limitation, and reinstating immediate expensing for research and experimentation costs.
These reforms represent meaningful progress toward a modern, growth-oriented tax code. Taken together, these provisions represent a resounding victory for the Main Street business community.
We support the package and urge its swift passage into law.
Sincerely,
AICC, The Independent Packaging Association
Air Conditioning Contractors of America
American Council of Engineering Companies
American Council of Independent Laboratories
American Farm Bureau Federation
American Foundry Society
American Hotel and Lodging Association
American Institute of Certified Public Accountants
American Mold Builders Association
American Pipeline Contractors Association
American Resort Development Association
American Staffing Association
American Subcontractors Association
American Supply Association
AmericanHort
Associated Builders and Contractors
Associated Equipment Distributors
Associated General Contractors of America
Automotive Service Association
Building Owners and Managers Association (BOMA) International
Energy Marketers of America
FCA International
Foodservice Equipment Distributors Association
Forest Resources Association
Forging Industry Association
ICSC
Independent Insurance and Brokers Association (Big “I”)
Industrial Fasteners Institute
International Foodservice Distributors Association
International Franchise Association
International Sign Association
Kansas Livestock Association
Main Street Employers Coalition
Metals Service Center Institute
Mortgage Bankers Association
National Apartment Association
National Asphalt Pavement Association
National Association of Convenience Stores
National Association of Electrical Distributors (NAED)
National Association of Home Builders
National Association of Insurance and Financial Advisors (NAIFA)
National Association of Wholesaler-Distributors
National Beer Wholesalers Association
National Cotton Council
National Electrical Contractors Association (NECA)
National Electrical Manufacturers Representatives Association (NEMRA)
National Grocers Association
National Lumber & Building Material Dealers Association
National Lumber and Building Material Dealers Association
National Ready Mixed Concrete Association
National Roofing Contractors Association
National Small Business Association
National Tooling and Machining Association
National Utility Contractors Association
National Wooden Pallet & Container Association
NATSO, Representing America's Travel Centers and Truck Stops
Nebraska Auto Body Association
North American Association of Food Equipment Manufacturers (NAFEM)
North American Die Casting Association
North American Equipment Dealers Association
Plumbing-Heating-Cooling Contractors - National Association
Power and Communication Contractors Association
Precision Machined Products Association
Precision Metalforming Association
PRINTING United Alliance
Private Investor Coalition
Recycled Materials Association
Renewable Fuels Association
S Corporation Association
Service Station Dealers of America and Allied Trades
SIGMA: America's Leading Fuel Marketers
Small Business & Entrepreneurship Council
Small Business Legislative Council (SBLC)
Textile Care Allied Trades Association
The Hardwood Federation
Tire Industry Association
Truck Renting and Leasing Association
Water and Sewer Distributors of America
Wine and Spirits Wholesalers of America
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