Random header image from 8 images... Refresh for more!

Lobbyist for Big Builders Says Tax Carry-Back Not Dead

BuilderOnline.com
by Lisa Marquis Jackson

Despite the fact that an extension of the net operating loss (NOL) carry-back provision has been dropped from the latest version of the housing stimulus package currently making its way through Congress, recent reports indicate there may still be a glimmer of hope for the provision once considered to be a “critical component” of recovery for home building and the economy at large.

According to Tom Crawford, CEO of c2 group, an independent lobbyist hired by 16 large public and private home builders to help gain support for NOL, members of both the House and Senate have expressed a continued interest in looking at the tax benefit as a viable tool necessary to provide a stabilizing effect on not just housing, but on many distressed industries struggling in today’s economy.

According to Crawford, support among the Democrats comes from Sen. Max Baucus (D-Mont.), Sen. Kent Conrad (D-N.D.), Sen. Debbie Stabenow (D-Mich.), Sen. Ken Salazar (D-Colo.), and Sen. Patty Murray (D-Wash.). On the Republican side, Sen. Gordon Smith (R-Ore.), Sen. John Ensign (R-Nev.) and Sen. Mel Martinez (R-Fla.) all remain supportive of the tax policy extension.

“Given that level of bipartisanship, no one can say that this issue is dead,” said Crawford. “Congress has made a great start to address the housing crisis by focusing on the tax credit. Once that is resolved, we have to continue to look for relief at every opportunity.”

This is in spite of the fact the official support for the provision was denounced last month in a letter from the home building industry’s official lobbying arm, the National Association of Home Builders (NAHB). NOL was included in earlier versions of the stimulus bill before Congress, but the NAHB dropped its support several weeks ago.

Though NOL was effective and uncontroversial after both 9/11 and the S&L crisis, the issue raised the ire of many earlier this year. Despite its benefits to other strained industries like banking, automotive, airline, and building product manufacturers, it was pegged in the mainstream press as a bailout for public home builders. “Any company that has shareholders and is established as a C-corp could potentially benefit [from NOL],” said Albert Pisanelli, corporate tax director of Orleans Homes.

Though the timing and likelihood of its resurrection remains unclear, builders continue to maintain hope that NOL might not be dead.

“Tax policy exists to help the economy when it needs it the most,” said Pisanelli. “This is not a government program that uses government funds. It uses the time value of money. NOL is in the law now, and this is about getting money to people in a time when some say we are in a recessionary period. When better to get that money and impact the economy?”

“In the context of the current housing bill, it’s unlikely though not impossible,” said Crawford. “But the reality is that there are other vehicles coming after this, and members will be looking for relief. NOL is a viable option, and other industries need the relief as well, so they will continue to pursue it.”

Hovnanian Enterprises CEO Ara Hovnanian agrees. “It doesn’t mean it’s dead forever. We’ll work on getting [the tax credit] passed and then go back and pursue the NOL going forward.”

“It’ll depend on what happens as the stimulus moves through, what effect it will have and what the fallout may be,” said Pisanelli. “In politics, you never know when the next opportunity is going to be. There may be another opportunity, so hopefully we’ll get another bite of the apple.”

Lisa Marquis Jackson is a senior editor at Big Builder magazine.

To view original story
http://www.builderonline.com/legislation/lobbyist-says-tax-carry-back-provision-not-dead.aspx

Return to Top

C2 Group Joins FTI Consulting
FTI Consulting - Mar 19, 2013

FTI Acquires C2 Group
PR Week - Mar 19, 2013

K Street Files: FTI Consulting Snaps Up C2 Group
Roll Call - Mar 19, 2013

Boutique Lobby Shop C2 Group Acquired by FTI Consulting
The Washington Post - Mar 19, 2013

Blue Dogs try fresh approach
Politico - Mar 22, 2012

Forest Service releases wish list for new firefighting planes
Denver Post - Feb 15, 2012

On the Move
CQ Weekly - Jan 16, 2012

Los Angeles Leads Full-Throttle Dash for U.S. Transit Cash
The New York Times - Jun 06, 2011

Highway Money Fight Shifts to States
Roll Call - May 24, 2011

Former Seneca exec is D.C. consultant
Buffalo Law Journal - Mar 03, 2011

Ex-Seneca Gaming exec adds D.C. work
Buffalo Business First - Mar 01, 2011

Barry Brandon and Galen Reser Join the Partners of C2 GROUP
Press Release - Feb 21, 2011

Transportation groups fear plans for infrastructure might dead-end
The Hill - Feb 16, 2011

Light rail expansion on the line
Houston Chronicle - Jan 31, 2011

Blue Dogs on K Street Say Their Clout Stays
Roll Call - Nov 09, 2010

K Streeters Launch Blue Dog Nonprofit
Roll Call Staff - Apr 13, 2010

Lobbyists Ice Members in Hockey Fundraiser
Roll Call Staff - Mar 11, 2010

Higgins:  Hill Tougher Than Hockey (VIDEO)
Politico Click - Mar 10, 2010

K Street Files: Ice Ice Baby
Roll Call Staff - Mar 03, 2010

C2 GROUP Makes Top 50 Lobbying Firms 2009
Influence 50 - Jan 29, 2010

Porsche, other car companies lobby to ease new fuel efficiency standards
The Hill - Dec 18, 2009

Big Builders Erect New Trade Association
Roll Call Staff - Dec 07, 2009

New Leadership at NFIB Makes a Return to Roots
Roll Call Staff - Nov 30, 2009

Firms Offer Tasty Morsels to Blue Dogs’ Top Aides
Roll Call Staff - Sep 16, 2009

Flexible Spending Account Providers Fighting to Protect Benefits
Roll Call Staff - Aug 03, 2009

K Street Files: Checking In
Roll Call Staff - Jul 28, 2009

Rockefeller’s Robertson Joins c2group, LLC
Press Release - Mar 27, 2009

K Street Discovers a New Star
Roll Call Staff - Mar 25, 2009

NRA Hits the Legislative Trail With Guns Blazing
Roll Call Staff - Mar 20, 2009

K Street Files: Powering Up
Roll Call Staff - Mar 18, 2009

Inaugural Parties, Lobbyists’ Havens
Roll Call Staff - Jan 07, 2009

Lobbyist for Big Builders Says Tax Carry-Back Not Dead
BuilderOnline.com - Jul 08, 2008

NAHB sees relief in tax credit
Politico - May 01, 2008

K Street Remains an Easy Street in Hard Times
CQ WEEKLY - Apr 21, 2008

Lobbying firm C2 Group acquires Bates Capitol Group
bizjournals.com - Jul 31, 2007

THE C2 GROUP LAUNCHES INTO THE TOP 20 OF INDEPENDENT LOBBYING FIRMS THROUGH MERGER WITH BATES GROUP,
Press Release - Jul 30, 2007

C2 Gets a ‘B’
Roll Call Staff - Jul 30, 2007

Blue Dog Lobbyists: Now With Bite
Roll Call Staff - Jan 22, 2007

Corporate Road Warriors on the Move
Washington Post - Jun 19, 2006