NASBP on Capitol Hill

NASBP Board of Directors Approves 2015 Government Relations Agenda

As customary, the NASBP Government Relations Agenda was presented to the NASBP Board of Directors at the Mid-Year Board Meeting for their approval for the upcoming legislative calendar year. NASBP staff placed the 2015 Government Relations Agenda into three categories:
1) Engaging in direct advocacy, which includes direct lobbying efforts on legislative matters such as H.R. 776, 2) Working with coalition partners, such as the Construction Procurement Coalition, for the passage of an omnibus contracting reform package, and 3) Utilizing advocacy tools like SuretyPAC to advance the NASBP legislative agenda. The 2015 Government Relations Agenda is a concise plan that sets next year’s government relations priorities.

NASBP Members Converse with Key U.S. Senate Offices

Recently NASBP members, John Bustard of King & Neel, Inc. in Honolulu, HI and Stuart O’Farrell of Arthur J. Gallagher in Seattle, WA, had the opportunity to discuss the merits of H.R. 776 with Senator Maize Hirono’s (D-HI) Counsel and Senator Mark Begich (D-AK), respectively. While traveling to the east coast, Bustard met with Senator Hirono’s Counsel to raise the importance of including H.R. 776 in the Senate version of the 2015 National Defense Authorization Act (NDAA). Although H.R. 776 already is included in the House NDAA, Bustard asked if Senator Hirono would consider offering an amendment to the Senate NDAA that would help ensure the provision remains in the final bill. NASBP has visited Senator Hirono’s office on several occasions, making similar requests, as she serves on the Senate Armed Services Committee. Messages from a constituent who has taken time to meet with Senators are particularly effective. O’Farrell made a similar request to Senator Mark Begich during a phone conversation. The Senator had originally planned to meet with O’Farrell at the Gallagher office, but, due to travel delays, those plans changed. Although Senator Begich does not serve on the Senate Armed Services Committee, he does serve on the Homeland Security and Governmental Affairs Committee, which has jurisdiction over the individual surety issue. Furthermore, as a former mayor of Anchorage, Senator Begich understands the importance of valid bonds backed with legitimate, verifiable assets. When Congress returns to work after the November Mid-term elections, NASBP will continue its efforts to ensure that the Senate NDAA includes H.R. 776.

FAR Change to Irrevocable Letters of Credit

The Department of Defense, General Services Administration, and the National Aeronautics and Space Administration issued a final rule amending the Federal Acquisition Regulation (FAR) to remove all references to Office of Federal Procurement Policy (OFPP) Pamphlet No. 7, “Use of Irrevocable Letters of Credit” (ILC) and to verify the credit worthiness of a financial entity issuing or confirming an ILC. Amended were FAR Part 28, 28.204-3 sections (a), (g), and (h) and Part 52, 52.228-14. According to Section 28.204-3(g) with some exceptions, only federally insured financial institutions rated invest grade shall issue or confirm the ILC. The FAR change applies to all contracts for services, supplies or construction, as required by 40 U.S.C. 3131 (the Federal Miller Act). According to the announcement, the FAR change should have no significant impact on the government and contractors including small businesses. The new rule goes into effect November 13, 2014. To review the FAR change, click here.

SuretyPAC Contributors Recommend Disbursements for Mid-Term Elections

In September, NASBP surveyed its SuretyPAC contributors, asking them to identify those candidates seeking Congressional office who they believe merit a SuretyPAC contribution. To qualify, those candidates need to be familiar with and support the surety and construction industries and/or serve on a federal committee with jurisdiction over issues of concern to NASBP. All recommendations were subject to the approval of the NASBP SuretyPAC Officers. SuretyPAC is the only federal PAC focused solely on the surety industry, and NASBP uses it as a critical tool to advance its federal legislative agenda. SuretyPAC contributions were made to the following candidates:

U.S. House of Representative Michelle Lujan Grisham (D-NM-1st) who is seeking her second term and serves on the House Oversight and Government Reform, Budget, and Agriculture Committees and supported NASBP efforts on two fronts: 1) as a co-sponsor to H.R. 776 and 2) authoring a letter to the General Service Administration (GSA) at the request of NASBP to address an issue with GSA Standard Forms. Pictured below, Congresswoman Lujan Grisham is pictured center with, from left, NASBP member Mike Byrd and NASBP President Thomas Padilla;
U.S. House of Representative Duncan Hunter (R-CA-50th), an incumbent seeking re-election to his fourth term who serves on the Armed Services, Education & the Workforce, and Transportation & Infrastructure Committees, key committee assignments which NASBP highly values. Pictured below from left is Congressman Duncan and NASBP Past President Lawrence McMahon;
U.S. House of Representative Chris Gibson (R-NY-19th) an incumbent running for his third term who serves on the Armed Services and Agriculture Committees, who is a recipient of previous SuretyPAC contributions for his commitment to the industry. Below Congressman Gibson is pictured center with his wife along with NASBP Members Kevin Garrity, far left, and Chris Leach, far right;
U.S. House of Representative Mike Coffman (R-CO-6th), running for his fourth term, who serves on the House Small Business and Veterans’ Affairs Committees, who is a recipient of previous SuretyPAC contributions for his commitment to the industry;
U.S. House of Representative Chris Van Hollen (D-MD-8th) a pro-business Democrat who serves as Ranking Member on the House Budget Committee, which NASBP enjoys a close working relationship with his staff;
U.S. Senate Candidate Mike Rounds (R-SD), a popular former Governor, and former owner of an insurance and real estate agency. Pictured below, from left, is NASBP Member Jason Gusso and Rounds;
Illinois House Candidate Bob Dold, a Republican, is seeking to unseat incumbent Brad Schneider (D-IL-10). Pictured below is NASBP Past President Carl Dohn with Dold.