ESOP Foundation Blog | Government Affairs

New H.R. 5207 Co-Sponsors in the House

H.R. 5207, the ESOP Promotion and Improvement Act of 2010, introduced May 5, 2010 by Congressman Charles W. Boustany (R-LA) and Congressman Earl Pomeroy (D-ND) has two new co-sponsors: Congressman Walter B. Jones, Jr. (R-NC) and Congressman Collin C. Peterson (D-MN).

The full list of co-sponsors as of September 7, 2010:

Congressman Rodney Alexander (R-LA)

Congressman Jim Gerlach (R-PA)

Congressman Brett Guthrie (R-KY)

Congressman Phil Hare (D-IL)

Congressman Wally Herger (R-CA)

Congressman Maurice D. Hinchey (D-NY)

Congressman Tim Holden (D-PA)

Congressman Walter B. Jones, Jr. (R-NC)

Congressman Charlie Melancon (D-LA)

Congressman Collin C. Peterson (D-MN)

Congressman Todd Russell Platts (R-PA)

H.R. 5207 is the House counterpart to S. 1612, the Senate version of the ESOP Promotion and Improvement Act which was introduced August 6, 2009 by Senator Blanche. L. Lincoln (D-AR).

For additional information about H.R. 5207 visit The ESOP Association’s website and click on the Government Affairs link on the top of the homepage.

To learn how to persuade your member of Congress to co-sponsor H.R. 5207, download a copy of the Advocacy Kit and the Congressional Company Visit Kit.

Senator Bernard Sanders Holds Vermont Hearing on Employee Ownership

ESOP Association Members Testify in Support of Legislation On August 26, 2010, Senator Bernard Sanders (I-VT) held a Congressional hearing in the Vermont Statehouse regarding legislation he introduced in 2009 that would increase employee ownership in America. The hearing highlighted the following legislation: S. 2909 which would provide state programs to encourage employee ownership and participation in business decision making throughout the United States. The second,...

White House Task Force Suggests Eliminating ESOP Tax Benefits

Labels ESOPs as Bad Retirement Plans Administration’s Reaction Not Known ESOP Community’s Plan? STAY ON COURSE! While not unexpected, given that tax and ERISA experts continue to attack ESOPs — take note that the last three White House/Treasury set of recommendations since 2005 have all recommended eliminating ESOP tax benefits in order to lower the corporate tax rate — it is irritating that the policy of expanding employee ownership through the ESOP...

Lobbying 401

Yes, 401. It might sound as if we’re skipping a lesson, or lessons, but we’re not. Trust us. Lobbying 401 is all about the finesse, the soft touch, the thank you if you will. As we all know, people liked to be thanked. When working with members of Congress, it’s an extremely important part of the work that we are all doing to increase knowledge about employee ownership. Although, sometimes it is more than just a small thank you note. To...

Congressman Dana Rohrabacher Receives Joint Committee on Taxation Analysis of H.R. 692

Congressman Dana Rohrabacher (R-CA-46) recently received a letter from the Joint Committee on Taxation estimating the revenue effect of H.R. 692 which he introduced on January 26, 2009. If it becomes law, H.R. 692 will amend the Internal Revenue Code of 1986 to exclude from gross income compensation received by employees consisting of qualified distributions of employer stock. The letter, which is very detailed, discusses several issues of the proposal which will provide special tax...

S. 1612 – New Co-Sponsor in the Senate

S. 1612, the ESOP Promotion and Improvement Act of 2010, introduced August 6, 2009 by Senator Blanche. L. Lincoln (D-AR) has a new co-sponsor that we wanted to highlight – Senator Olympia J. Snowe (R-ME). Senator Snowe serves as a senior member on the two Senate Committees with direct jurisdiction over the provisions of S. 1612: the Senate Committee on Finance, which is the Committee of original jurisdiction over all ESOP tax related causes, and as the Ranking Member of the Senate...

H.R. 5207 Finds Co-Sponsors in the House

H.R. 5207, the ESOP Promotion and Improvement Act of 2010, introduced May 5, 2010 by Congressman Charles W. Boustany, Jr. (R-LA-7) and Congressman Earl Pomeroy (D-ND-ATL) has added new co-sponsors. Co-sponsors of H.R. 5207 as of July 27, 2010 are: Congressman Rodney Alexander (R-LA-5); Congressman Jim Gerlach (R-PA-6); Congressman Brett Guthrie (R-KY-2); Congressman Phil Hare (D-IL-17); Congressman Wally Herger (R-CA-2); Congressman Maurice Hinchey (D-NY-22); Congressman Tim Holden (D-PA-17);...

Pro-Employee Ownership Proposals Pending on Senate Floor

This information was sent out to all ESOP Association members earlier today but we wanted to share it with readers on the blog as well. Senators Bernard Sanders (I-VT), Patrick Leahy (D-VT), and Sherrod Brown (D-OH) have filed pro-employee amendments to H.R. 5297, the Small Business Lending Act. One amendment would establish an initiative to promote employee ownership at the Department of Labor; the other amendment would establish a loan guarantee program at the Department...

PA/DE Chapter Hosts Congressional Visit

On April 14, 2010, the PA/DE Chapter of The ESOP Association hosted a meeting with representatives from the offices of Congressman Jim Gerlach (R-PA-6) and Congresswoman Allyson Y. Schwartz (D-PA-13). Roseline Marston, president of A.D. Marble & Co., Inc., located in Conshohocken, PA, hosted the meeting for the Chapter event. From left to right: Jim Steiker, Chairman & CEO, SES Advisors, Inc., Philadelphia, PA; Alan Dorfman, CAS Specialist, A.D. Marble & Co., Inc., Conshohocken,...

30/100

The following post ran in the May 2010 issue of the ESOP Report as the Washington Report. What does 30/100 mean? While it is never possible to predict success in the legislative process, primarily because there is no final victory nor defeat, these two numbers represent what it would take to have all, or some of the provisions of pro-ESOP legislation pending in the House of Representatives become law. Thirty represents the number of men and women who serve...

Federalizing K Plans

A recent column in the ESOP Report talked about how ERISA policy germinated in our nation’s capital. (You can read the full President’s Page column in the May 2010 issue of the newsletter, page 2. The newsletter is located in the members only section of the Association’s website.) One point made by Association President Keeling in the column was that during the first half of 2009, there was rumblings from certain experts in retirement savings policy —...

H.R. 5207 Finds Co-Sponsors in the House

Within a few days of the May 5, 2010 introduction of H.R. 5207, four more members of the U.S. House of Representatives joined the bi-partisan pro-ESOP proposal introduced by Congressman Earl Pomeroy (D-ND-ATL) and Congressman Charles W. Boustany, Jr. (R-LA-7). They are: Congressman Jim Gerlach [R-PA-6] Congressman Brett Guthrie [R-KY-2] Congressman Wally Herger [R-CA-2] Congressman Maurice D. Hinchey [D-NY-22] These Congressmen joined as a direct result of grassroots...

Congressmen Boustany and Pomeroy Introduce H.R. 5207 --- The ESOP Promotion and Improvement Act of 2010

The following press release was sent out by The ESOP Association on May 12, 2010. We wanted to share the information on the blog as well. For Immediate Release: May 12, 2010 For More Information: Amy Gwiazdowski, 202/293-2971, amy@esopassociation.org Congressmen Boustany and Pomeroy Introduce H.R. 5207 --- The ESOP Promotion and Improvement Act of 2010 May 12, 2010 (Washington, DC) – On May 12, 2010, Congressman Charles W. Boustany, Jr. (R-LA-7th)...

Legislative Highlight --- H.R. 692

H.R. 692, which will amend the Internal Revenue Code of 1986 to exclude from gross income compensation received by employees consisting of qualified distributions of employer stock, was introduced in the House of Representatives on January 26, 2009 by Representative Dana Rohrabacher [R-CA-46] H.R. 692 is co-sponsored by the following Representatives: Representative Walter B. Jones, Jr. [R-NC-3] Representative Ron Paul [R-TX-14] H.R. 692 Summary: H.R. 692 would exempt from...

Legislative Highlight --- H.R. 3586

H.R. 3586, the S Corporation ESOP Promotion and Expansion Act of 2009, was introduced in the House of Representatives on September 16, 2009 by Representative Ron Kind [D-WI-3]. H.R. 3586 is co-sponsored by the following Representatives: Representative Earl Blumenauer [D-OR-3] Representative Steve Driehaus [D-OH-1] Representative Barney Frank [D-MA-4] Representative Bob Goodlatte [R-VA-6] Representative James L. Oberstar [D-MN-8] Representative Bill Pascrell, Jr. [D-NJ-8] Representative...

Legislative Highlight --- House Concurrent Resolution 204

H. Con. Res. 204, which expresses continued support for employee stock ownership plans, was introduced in the House of Representatives on October 22, 2009, by Representative Maurice Hinchey [D-NY]. H. Con. Res 204 is co-sponsored by the following Representatives: Representative Eric Cantor [R-VA-7] Representative Howard Coble [R-NC-6] Representative Joe Courtney [D-CT-2] Representative Walter B. Jones, Jr. [R-NC-3] Representative Earl Pomeroy [D-ND-at large] Representative Bill...

Congressional Listing Available for Members of The ESOP Association

Did you know that you can get a Congressional contact list from The ESOP Association? By request, the Association will send by email a PDF listing of all members of the 111th Congress. If you are an Association member and would like to request a copy, please send an email to media@esopassociation.org. If you are going to visit your member of Congress during this year’s Annual Conference in Washington, DC, May 12 & 13, 2010, be sure to ask for a copy. Copies will...

Legislative Highlight --- S. 2909

S. 2909, the WORK Act, was introduced in the Senate on December 18, 2009 by Senator Bernard Sanders [I-VT]. S. 2909 is co-sponsored by the following Senators: Senator Sherrod Brown (D-OH) Senator Patrick J. Leahy (D-VT) Senator Blanche L. Lincoln (D-AR) Senator Robert Menendez (D-NJ) S. 2909 Summary: S. 2909 would provide State programs to encourage employee ownership and participation in business decisionmaking throughout the United States. The program would encourage...

Legislative Highlight --- S. 2914

S. 2914, the United States Employee Ownership Bank Act, was introduced in the Senate on December 18, 2009 by Senator Bernard Sanders [I-VT]. S. 2914 is co-sponsored by the following Senators: Senator Sherrod Brown (D-OH) Senator Patrick J. Leahy (D-VT) Senator Robert Menendez (D-NJ) S. 2914 Summary: S. 2914 would establish the United States Employee Ownership Bank, to foster increased employee ownership of United States companies and greater employee participation in company...

Legislative Highlight --- S. 1612

S. 1612, the Employee Stock Ownership Plan Promotion and Improvement Act of 2009, was introduced in the Senate on August 6, 2009 by Senator Blanche Lincoln [D-AR]. S. 1612 is co-sponsored by the following Senators: Senator Maria Cantwell (D-WA) Senator Saxby Chambliss (R-GA) Senator Mike Crapo (R-ID) Senator Johnny Isakson (R-GA) Senator Mary L. Landrieu (D-LA) Senator Patrick J. Leahy (D-VT) Senator Bernard Sanders (I-VT) Senator Sheldon Whitehouse (D-RI) S. 1612 Summary: One,...

Get Your Legislative Fix Here

With the 33rd Annual Conference approaching (May 12 & 13, 2010 – you can find more info here), we thought it would be a good time for a legislative re-cap/refresher, whatever you want to call. Over the next two weeks, we’ll be highlighting pro-ESOP legislation in the House and Senate along with some other tidbits that we think you might find helpful if you’re planning to visit your member of Congress while in Washington, DC for the Association’s Annual Conference. We’re...

Do you know the ESOP Advocates?

Do you know if your member of Congress supports ESOPs and employee ownership? Take a look at the list below. These members of Congress were ESOP champions in recent Congresses as sponsors and co-sponsors of pro-employee ownership legislation, and who will serve in the 111th Congress. We know that many ESOP Association members who will be attending the 33rd Annual Conference in Washington, DC on May 12 & 13, 2010, will be scheduling visits with their members of Congress....

Best Practices in Advocacy

The following post ran in the March 2010 issue of the ESOP Report as the Washington Report. With the approach of The ESOP Association’s Annual Conference in Washington, DC, we know many attendees will be visiting members of Congress and thought it would be a good reminder and refresher. Often people assume that advocacy for a cause, or an issue, such as ESOP law and employee ownership, with elected officials has some mysterious, or even nefarious, secrets. There is no...

Center for American Progress Against ESOPs?!

Yes, it appears to be the case. While sorting news clips, we came across an article on the Center for American Progress’s website by Sima J. Gandhi titled “Cracking the Code: A Closer Look at Tax Expenditures Reveals Wasteful Subsidies.” You can read the full article on the Center for American Progress’s website here. The Center for American Progress is a think tank oriented to developing policy for leaders of the Democratic Party. What’s...

The Congressional-Company Visit Kit: Practical Steps For Unparalleled Results

What you need to know Part 7 – The Final Installment - The Follow-Up The ESOP Association has been running every Tuesday for the last seven weeks, tips for putting together a Congressional Company Visit. All of the information featured in these excerpts is available on the Association’s website – http://www.esopassociation.org. The full Kit is available on the homepage under News. The Follow-Up As powerful as a Congressional visit...

Read More "The Congressional-Company Visit Kit: Practical Steps For Unparalleled Results"

The Congressional-Company Visit Kit: Practical Steps For Unparalleled Results

What you need to know Part 6 The ESOP Association will be running every Tuesday for the next seven weeks, tips for putting together a Congressional Company Visit. All of the information that will be featured in these excerpts is available on the Association’s website – http://www.esopassociation.org. The full Kit is available on the homepage under News. What Are You Selling, and How Do You Make the Sell? It does not serve the ESOP cause well if the...

Read More "The Congressional-Company Visit Kit: Practical Steps For Unparalleled Results"

The Congressional-Company Visit Kit: Practical Steps For Unparalleled Results

What you need to know Part 5 The ESOP Association will be running every Tuesday for the next seven weeks, tips for putting together a Congressional Company Visit. All of the information that will be featured in these excerpts is available on the Association’s website – http://www.esopassociation.org. The full Kit is available on the homepage under News. Helpful Tips for a Company Visit · The visit...

Read More "The Congressional-Company Visit Kit: Practical Steps For Unparalleled Results"

The Congressional-Company Visit Kit: Practical Steps For Unparalleled Results

What you need to know Part 4 The ESOP Association will be running every Tuesday for the next seven weeks, tips for putting together a Congressional Company Visit. All of the information that will be featured in these excerpts is available on the Association’s website – http://www.esopassociation.org. The full Kit is available on the homepage under News. The Member of Congress Is Here—Now What? The member of Congress more often than not arrives...

Read More "The Congressional-Company Visit Kit: Practical Steps For Unparalleled Results"

The Congressional-Company Visit Kit: Practical Steps For Unparalleled Results

What you need to know Part 3 The ESOP Association will be running every Tuesday for the next seven weeks, tips for putting together a Congressional Company Visit. All of the information that will be featured in these excerpts is available on the Association’s website – http://www.esopassociation.org. The full Kit is available on the homepage under News. This week --- Best Time for a Visit While it might be a truism to say, “anytime,” or...

Read More "The Congressional-Company Visit Kit: Practical Steps For Unparalleled Results"

The Congressional-Company Visit Kit: Practical Steps For Unparalleled Results

What you need to know Part 2 The ESOP Association will be running every Tuesday for the next seven weeks, tips for putting together a Congressional Company Visit. All of the information that will be featured in these excerpts is available on the Association’s website – http://www.esopassociation.org. The full Kit is available on the homepage under News. First Steps The ESOP advocate...

Read More "The Congressional-Company Visit Kit: Practical Steps For Unparalleled Results"

The Congressional-Company Visit Kit: Practical Steps for Unparalleled Results

What You Need to Know Part 1 The ESOP Association will be running every Tuesday for the next seven weeks, tips for putting together a Congressional Company Visit. All of the information that will be featured in these excerpts is available on the Association’s website – http://www.esopassociation.org. The full Kit is available on the homepage under News. Today we are featuring – What You Need to Know, Part 1. Foreword ...

Good Developments in Worrisome Times

The following post ran in the January 2010 issue of the ESOP Report as the Washington Report. We are re-printing the article on the blog. Setting aside the horrible developments in Haiti, concerns over Islamist extremists not giving up the goal of killing as many Americans as possible, which triggers young American men and women being in far away places getting killed and maimed, and instead looking at what is the core reason for The ESOP Association’s banding together...

Budget Calls for Tax Increases of $1.1 Trillion over Next 10 Years

It’s a big deal in D.C. when the President, no matter whether Democrat or Republican, publishes his budget recommendations for the upcoming fiscal year, which begins on October 1. [In other words, the budget proposal released on February 1 is for the Federal Fiscal Year 2011, which begins on October 1, 2010.] Everyone reads it over carefully, particularly proposals to alter tax laws. The ESOP Association has been consistent over the past two years noting that the ballooning...

Legislative Highlight --- S. 1612

S. 1612, the Employee Stock Ownership Plan Promotion and Improvement Act of 2009, was introduced in the Senate on August 6, 2009 by Senator Blanche Lincoln [D-AR]. S. 1612 was co-sponsored by the following Senators: Senator Maria Cantwell [D-WA] Senator Saxby Chambliss [R-GA] Senator Mike Crapo [R-ID] Senator Johnny Isakson [R-GA] Senator Patrick J. Leahy [D-VT] Senator Mary L. Landrieu [D-LA] Senator Sheldon Whitehouse [D-RI] S. 1612 Summary: One, S. 1612 would repeal...

Senator Sanders and Colleagues Propose New, and Effective, Ideas to Save American Jobs

We wanted to share with everyone the following press release which was sent out by The ESOP Association this morning about new pro-ESOP legislation introduced by Senator Bernard Sanders [I-VT] on December 18, 2009. Senator Sanders and Colleagues Propose New, and Effective, Ideas to Save American Jobs December 21, 2009 (Washington, DC) – The ESOP Association praised legislation introduced Friday, December 18, by Senator Bernard Sanders [I-VT], and co-sponsored by three...

Disappointing and Out of Date Frame of Reference

Well, the White House held its much ballyhooed Jobs Summit yesterday. It made the news, both TV and print, but it did not make much of a splash. There are several reasons why, in my view, but one is it was the same-o, same-o, and in some respects a step backwards. President Obama and his team put together the usual suspects to “analyze” and “brainstorm” on the American economy. The Administration feels that CEOs of big multi-national corporations,...

Not All Gloom and Doom

Following is an abbreviated version of remarks delivered by The ESOP Association’s President and Chief Staff Officer, J. Michael Keeling, to attendees of the 18th Annual Las Vegas Conference and Trade Show held at Caesar’s Palace in Las Vegas, NV, November 12 and 13, 2009. The speech originally ran in the November 2009 issue of the ESOP Report. “Today’s remarks are in two parts. As I travel around the country speaking primarily to our Chapter...

President of US Steelworkers Criticizes ESOPs

One of the major criticisms of ESOPs we have run into over the years is that ESOPs do not make employees “real” owners, or that ESOPs are not “real ownership.” Generally, those making this criticism would be labeled as more “liberal.” [Certain views in conservative circles use different points to criticize ESOPs.] The President of United Steelworkers International, a very influential labor union in our national politics, Mr. Leo W. Gerard,...

House Concurrent Resolution Expressing Continued Support for ESOPs Introduced

The following Legislative Bulletin was sent to all ESOP Association members this morning. ESOP Legislative Bulletin Congressman Hinchey Introduces House Concurrent Resolution Expressing Continued Support for ESOPs On October 22, 2009, Congressman Maurice Hinchey (D-NY-22) introduced House Concurrent Resolution 204 which expresses continued support for employee stock ownership plans. H. Con. Res. 204 cites the Congressional history of ESOPs, references the 35...

Influential Tax Journal Features Respected ERISA Expert Saying “Kill ESOPs”

Andrew Stumpff, an employee benefits law professor at the University of Michigan Law School and the University of Alabama Law School, along with Norman Stein, a Douglas Arant Professor of Law at the University of Alabama Law School, have recently written a piece for Tax Notes’s Shelf Project entitled – “Repeal Tax Incentives for ESOPs.” The article appears in the October 19, 2009 issue of Tax Notes. Professor Stein is a sought after advisor to the Congress on...

U.S. Congressman Erik Paulsen and Toll Company Re-Visit Employee Ownership and ESOPs

Toll Company, located in Plymouth, MN, met with U.S. Congressman Erik Paulsen in a dialogue on employee ownership and ESOPs on Aug. 5, 2009, at the company’s headquarters. “We were delighted to discuss with Congressman Paulsen our ESOP story and the incredible impact it has had on our company, particularly its benefits during a weak economy,” said Jim Quicksell, president of Toll Company. “Without the ESOP, we would not exist, and would not be able to share...

Number of MN/Dakotas Chapter Hill Visits Impressive

We’ve received numerous reports from ESOP Association members who have met with their member of Congress and we’ll be featuring more of these stories here in the next few weeks. If you host a meeting with your member of Congress, please send us an email and let us know – media@esopassociation.org. Pro athletes are constantly judged by percentages. In baseball, hitting the ball 30% of the time is looked upon as a success. In football, winning half of your...

Two House Ways and Means Democrats Introduce Pro-S ESOP Bill

The following Legislative Bulletin was sent out this morning by The ESOP Association. ESOP Legislative Bulletin Two House Ways and Means Democrats Introduce Pro-S ESOP Bill On September 16, 2009 Congressman Ron Kind (D-WI) introduced H.R. 3586, The S Corporation ESOP Promotion and Expansion Act of 2009, to improve and promote S ESOP laws. In general, the bill would: permit owners of S stock to sell their stock to an ESOP under the same treatment C stock of a private...

Illinois ESOP Association Members Meet with Congressman Danny Davis

We’ve received several reports from ESOP Association members who have met with their member of Congress and we’ll be featuring more of these stories here in the next few weeks. If you host a meeting with your member of Congress, please send us an email and let us know – media@esopassociation.org. On June 15, 2009, 32 members of the Illinois ESOP community had the opportunity to discuss the value of employee ownership, and specifically ESOPs, with Congressman Danny...

ComSonics Goes to Washington

Since legislation has been a recent topic here, we thought we would share a few stories from ESOP Association members who have visited with members of Congress. The following article ran in the July/August 2009 issue of the ESOP Report. ComSonics, Inc. of Harrisonburg, VA sent their usual large delegation this spring to the Annual Conference in Washington, DC. However, they did not simply remain in the confines of the Conference hotel. Instead, they fought the battle of...

Advocating Employee Ownership Through ESOPs - GET ON THE BANDWAGON!

Want to know what you can do to help ESOPs? Download a copy of the Advocacy Kit from the website along with a copy of the Congressional Company Visit Kit and start reading. The Advocacy Kit provides specific information on issues of interest to The ESOP Association and its members as well as step by step instructions for contacting a member of Congress and what to say. The Congressional Company Visit Kit walks through the reasons for hosting a company visit and how to...

Health Care Debate Muddies Water

This article originally ran in the July/August issue of the ESOP Report as the Washington Report. We wanted to share the column with blog readers as we thought it was very timely. We also wanted to remind members that now is the time to speak with members of Congress about S. 1612, the ESOP Promotion and Improvement Act of 2009 introduced last week by Senator Blanche L. Lincoln (D-AR). Two things: First, seldom does one’s issue literally push everything...

New Pro-ESOP Promotion Proposal Introduced in Senate

We wanted to share with everyone the following email which was sent out by The ESOP Association this morning about new pro-ESOP legislation introduced by Senator Blanche L. Lincoln (D-AR) on August 6, 2009. Additional information will be available on the Association’s website. ESOP Legislative Bulletin New Pro-ESOP Promotion Proposal Introduced in Senate On August 6, 2009, Senator Blanche L. Lincoln (D-AR) introduced S. 1612, the ESOP Promotion and Improvement...

The ESOP Association’s Advisory Committee on Legislative and Regulatory Issues Submits Comments to Internal Revenue Services Employee Plan Division

The ESOP Association’s Advisory Committee on Legislative and Regulatory Issues submitted comments on June 30, 2009 to the Internal Revenue Services Employee Plan Division. The comments addressed very technical issues related to the appropriate actions by an ESOP sponsor to comply with all laws and regulations under the enforcement jurisdiction of the Department of Treasury and IRS with regard to tax qualified, deferred compensation plans. If you would like a copy of the comments...

August Recess is Approaching - Time to Setup a Meeting with Your Member of Congress

August means one thing in Washington, DC – summer recess for members of Congress. In August, every member decamps for home and this is a great time to setup meetings and invite your member of Congress to visit your company. There’s no greater way to show a member the power of an ESOP than to have he or she visit your company and see firsthand. If you would like information on how to setup a meeting, visit The ESOP Association’s website and download a...

ESOP Association Board of Directors Endorse H.R. 692

At its most recent Board meeting, the Board of Directors of The ESOP Association endorsed H.R. 692 which would amend the Internal Revenue Code of 1986 to exclude from gross income compensation received by employees consisting of qualified distributions of employer stock. Congressman Dana Rohrabacher (R-CA) introduced H.R. 692 on January 26, 2009. Essentially, the bill would exempt from tax the value of company stock paid directly to an employee if the employee holds the stock for...

ESOP Association Members Make Trip to Capital Hill During Annual Conference in May

During this year’s 32nd Annual Conference in Washington, DC, ESOP Association members took time out of their schedules to visit Capital Hill and meet with Senators and Representatives to discuss ESOPs and employee ownership. With the start of the 111th Congress, these visits play a vital role in helping to spread the employee ownership message and to remind Senators and Representatives of the concerns and hopes of our community. Building a foundation of support among...

View of Employee Ownership from the Hill

The employee ownership community is very excited about new projects and advancements such as: the Rutgers University Employee Ownership fellowships program, the establishment of an Employee Ownership Chair at Rutgers University, and the work of the Aspen Institute’s Center for Business Education Caseplace.org project. In addition, there were no negative ESOP proposals in the Obama Administration’s budget and of late, there have been no hints at Congressional action against ESOPs. BUT,...

New 111th Congress: Uncertainty for ESOPs.

Prescription for Action—the Tried and True The 111th Congress, First Session, of the United States of America, begins today, January 6th. [Despite common understanding, the word “congress” applies to both the Senate and House of Representatives, even though the public calls their Representative in the House a Congressman, Congresswoman, or even Congressperson, and their Senator, “Senator”.] Under our Constitution, each Congress lasts two years,...

Uncertainty Describes 2008 Election Results Impact on ESOPs -“The Election of 2008 and Its Impact on ESOPs”

[Note: Below are remarks delivered by ESOP Association President, J. Michael Keeling, at The ESOP Association’s 2008 Las Vegas Conference and Trade Show on November 14, 2008, on the impact of the Presidential Election. All rights reserved by The ESOP Association.] I gave similar remarks as I give today in 1992, 1994, 1996, 1998, 2000, 2002, 2004, and 2006; never have I faced such a conflicting set of thoughts in crafting my remarks, such hesitancy, and even worry...

2008 Election and ESOPs

Well, we didn’t want to neglect mentioning the important and historic election which took place yesterday, but we also didn’t want to give away too much by talking about the results of the election in this space. There are many things we can say, many things we can speculate about, but we are not going to. Why? Next week at The ESOP Association’s Las Vegas Conference & Trade Show, Association President J. Michael Keeling, will be talking in detail about...

Government Relations Activities

Yes, we know you know, but are you DOING? It’s an election year, and we realize you might well be sick and tired of us talking about this, but we are going to say it one more time – get out there and talk to your members of Congress! We need an army of employee owners to interact continuously with elected officials to prove that pro-active positions for employee ownership and ESOP laws will improve America’s economy in a way that is fair to all wage earners. Many...

Republican Presidential Candidate Senator John McCain Releases Statement on ESOPs

The following press release was sent out today by The ESOP Association regarding a statement by Senator John McCain. The ESOP Association News Release 1726 M Street, NW Washington, DC 20036 (202) 293-2971 (202) 293-7568 (f) www.esopassociation.org esop@esopassociation.org For Immediate Release: September 23, 2008 Republican Presidential Candidate Senator John McCain Releases Statement on ESOPs September 23, 2008 (Washington,...

Do You Really Know Who Supports Employee Stock Ownership?

The now famous Texas Congressman Ron Paul [R-TX] has consistently put his name on the line for employee stock ownership since he came to Congress in 1989. Most recently, he signed on to H.R. 6419 by Congressman Dana Rohrabacher [R-CA] that essentially would make broad based stock compensation plans tax free. Among insiders who keep track of those that support ESOPs and employee stock ownership, there is no doubt where Congressman Paul stands. But there is a great deal of confusion...

August Recess is Approaching - Time to Setup a Meeting with Your Member of Congress

August means one thing in Washington, DC – summer recess for members of Congress. In August, every member decamps for home and this is a great time to setup meetings and invite your member of Congress to visit your company. There’s no greater way to show a member the power of an ESOP than to have he or she visit your company and see firsthand. If you would like information on how to setup a meeting, visit The ESOP Association’s website and download a...

Presidential Candidates and ESOPs

As the Presidential Campaign unfolds, many ESOP advocates have asked about the nominees’ position on ESOPs. We do not have a written statement or any other evidence from Senator John McCain on his view of employee ownership through ESOPs, but we do have a 2005 letter from Senator Barack Obama which we have posted below. The letter was written to several of The ESOP Association’s members in Illinois, when they wrote to him asking that he co-sponsor Senator Blanche Lincoln’s...

House Resolution Supporting Employee Ownership Through ESOPs Introduced

The ESOP Association Applauds Introduction of Resolution Supporting Employee Ownership through ESOPs by Congressmen Maurice Hinchey and Dana Rohrabacher Congressmen Maurice Hinchey (D-NY) and Dana Rohrabacher (R-CA) introduced on April 24, 2008 House Concurrent Resolution 333, which expresses continued support for employee stock ownership plans (ESOPs) in the U.S. J. Michael Keeling, President of The ESOP Association, had this to say about the Resolution: “I welcome the...

S. 1322 - The ESOP Promotion & Improvement Act of 2007

Now is the time to act! The ESOP Promotion and Improvement Act of 2007 was introduced earlier this year by Senator Blanche Lincoln (D) of Arkansas. Now is the time to contact your Senators and talk to them about this legislation. In light of the legislation introduced by Representative Charles Rangel, now is the time to reach out to your member of Congress. Contact their office and ask to arrange a visit to your company. If you can’t arrange a visit...

Progress, But No Victory, No Let Up

This article originally ran as the Washington Report column in the March 2008 issue of the ESOP Report. We thought it was worth a reprint on the Employee Ownership Blog. It has been edited for space but the message is the same. For several months after the publication of the tax reform legislation introduced by the Chair of the House Ways and Means Committee Charles Rangel [D-NY] it seemed many ESOP company leaders felt its small provision on S ESOPs was not of any concern. There...

Ownership Society Back in the News

It’s election time again, in fact, that’s all the media are talking about at the moment. Thanks to the upcoming election, the term “Ownership Society” has made its way back into the national lexicon. Yes, candidates once again wooing you for your vote are tossing about the term as a cure all for our nation’s healthcare system, retirement savings, and home ownership mortgage crisis. But does it mean anything to the employee ownership community this...

Should S ESOPs Care About Proposed S ESOP Law Change?

A message from ESOP Association President, J. Michael Keeling. Ever since the Chair of the House Ways and Means Committee Congressman Charles Rangel (D-NY) introduced H.R. 3970, the “Tax Reduction and Reform Act of 2007”, containing Section 3701, which would create a new Internal Revenue Code Section 409B, the ESOP community seems to be yawning, saying “So what”. ...

Legislative Language of ESOP Proposal Revealed

The following is a Legislative Alert that was sent to members of The ESOP Association today. Section 3701 of HR 3970, by Congressman Charles Rangel, is the ESOP S Corp provision about which we wrote to you yesterday. You can read this provision and the entire bill by going on the Ways and Means website, and clicking on the left hand side, under Hot Topics, the live connection to the language of HR 3970, which is labeled as "HR 3970, The Tax Reduction and Reform Act of...

House Ways and Means Committee Proposes Cutback in Benefits of Stock Options in S ESOP Companies

The following is a Legislative Alert that was sent to members of The ESOP Association today. While precise legislative language is not available at this time, a summary of legislation introduced today by Chair of the House Ways and Means Committee, Charles Rangel [D-NY], has as a so-called loophole closer, a provision that impacts an S ESOP corporation’s granting stock options to employees. Note, the proposal does not impact the underlying tax treatment of the S corporation’s...

Tuesday, September 07, 2010

New H.R. 5207 Co-Sponsors in the House

Thursday, September 02, 2010

Senator Bernard Sanders Holds Vermont Hearing on Employee Ownership

Monday, August 30, 2010

White House Task Force Suggests Eliminating ESOP Tax Benefits

Tuesday, August 10, 2010

Lobbying 401

Tuesday, August 03, 2010

Congressman Dana Rohrabacher Receives Joint Committee on Taxation Analysis of H.R. 692

Thursday, July 29, 2010

S. 1612 – New Co-Sponsor in the Senate

Tuesday, July 27, 2010

H.R. 5207 Finds Co-Sponsors in the House

Thursday, July 01, 2010

Pro-Employee Ownership Proposals Pending on Senate Floor

Tuesday, June 22, 2010

PA/DE Chapter Hosts Congressional Visit

Tuesday, June 08, 2010

30/100

Friday, June 04, 2010

Federalizing K Plans

Monday, May 17, 2010

H.R. 5207 Finds Co-Sponsors in the House

Wednesday, May 12, 2010

Congressmen Boustany and Pomeroy Introduce H.R. 5207 --- The ESOP Promotion and Improvement Act of 2010

Thursday, May 06, 2010

Legislative Highlight --- H.R. 692

Wednesday, May 05, 2010

Legislative Highlight --- H.R. 3586

Tuesday, May 04, 2010

Legislative Highlight --- House Concurrent Resolution 204

Monday, May 03, 2010

Congressional Listing Available for Members of The ESOP Association

Thursday, April 29, 2010

Legislative Highlight --- S. 2909

Wednesday, April 28, 2010

Legislative Highlight --- S. 2914

Tuesday, April 27, 2010

Legislative Highlight --- S. 1612

Monday, April 26, 2010

Get Your Legislative Fix Here

Thursday, April 22, 2010

Do you know the ESOP Advocates?

Tuesday, April 20, 2010

Best Practices in Advocacy

Thursday, April 08, 2010

Center for American Progress Against ESOPs?!

Tuesday, March 30, 2010

The Congressional-Company Visit Kit: Practical Steps For Unparalleled Results

Wednesday, March 24, 2010

The Congressional-Company Visit Kit: Practical Steps For Unparalleled Results

Tuesday, March 16, 2010

The Congressional-Company Visit Kit: Practical Steps For Unparalleled Results

Tuesday, March 09, 2010

The Congressional-Company Visit Kit: Practical Steps For Unparalleled Results

Tuesday, March 02, 2010

The Congressional-Company Visit Kit: Practical Steps For Unparalleled Results

Tuesday, February 23, 2010

The Congressional-Company Visit Kit: Practical Steps For Unparalleled Results

Tuesday, February 16, 2010

The Congressional-Company Visit Kit: Practical Steps for Unparalleled Results

Thursday, February 11, 2010

Good Developments in Worrisome Times

Tuesday, February 02, 2010

Budget Calls for Tax Increases of $1.1 Trillion over Next 10 Years

Thursday, January 28, 2010

Legislative Highlight --- S. 1612

Monday, December 21, 2009

Senator Sanders and Colleagues Propose New, and Effective, Ideas to Save American Jobs

Friday, December 04, 2009

Disappointing and Out of Date Frame of Reference

Monday, November 30, 2009

Not All Gloom and Doom

Monday, November 02, 2009

President of US Steelworkers Criticizes ESOPs

Monday, October 26, 2009

House Concurrent Resolution Expressing Continued Support for ESOPs Introduced

Wednesday, October 21, 2009

Influential Tax Journal Features Respected ERISA Expert Saying “Kill ESOPs”