Yesterday the House Rules Committee released the final conference report on the National Defense Authorization Act (NDAA) of 2016, the funding bill for the U.S. Department of Defense. Included in the final conference report were two provisions of importance to the surety industry-one addressing individual sureties and the second that increases the guarantee to sureties who participate in the SBA Surety Bond Guarantee Program from 70% to 90%.
The House is expected to vote on the conference report tomorrow. The Senate may follow sometime next week. After advocating for these provisions for the past three Congresses in H.R. 3534 (Hanna), 776 (Hanna) and 838 (Hanna), the surety industry is excited about the possibility of final passage. However, there remains a possibility of a Presidential Veto over funding for domestic related issues (nothing to do with surety).
Thank you for those NASBP members who have spent the last several years advocating for these important reforms at the NASBP Fly-in and in your home state. NASBP is also grateful to the Construction Procurement Coalition for all of their support as well. We will continue to keep you apprised of these efforts moving forward.