3 minute read
From the President
FROM THE PRESIDENT
RYAN BUTZKE, CIC, CISR President, PIA of Wisconsin
PIA ADVOCACY DAY 2022
In typical years, PIA agents from around the country travel to Washington D.C. in spring to attend PIA’s annual congressional fly-in, now known as PIA Advocacy Day. Unfortunately, due to COVID and security restrictions in and around Washington D.C., PIA of Wisconsin decided to hold our meetings virtually June 21st-22nd with the understanding that we will be back inperson in Washington D.C. for 2023. During this years’ meetings, PIAW was fortunate enough to be able to meet with the offices of U.S. Representative Glenn Grothman, U.S. Representative Scott Fitzgerald, U.S. Representative Tom Tiffany, U.S. Senator Ron Johnson, and U.S. Senator Tammy Baldwin. We advocated on behalf of independent agents on various topics important to PIA members that are highlighted below for your review.
Reauthorizing the National Flood Insurance Program
PIA supports the long-term reauthorization of the National Flood Insurance Program (NFIP). In the last Congress, PIA endorsed a legislative package that unanimously passed the House Financial Services Committee but stalled afterward and ultimately did not receive consideration by the full House or Senate. This year, PIA is encouraging that the House Financial Services Committee use that package as the starting point for this Congress’s efforts to provide the NFIP with a long-term reauthorization. The NFIP faces another prospective lapse on September 30, 2022 if Congress does not act soon. PIAW advocated for Congressional Action to prevent a lapse, but we also urged for Congress to pass a longterm reauthorization of NFIP that includes key reforms and recognizes the essential role independent agents play in delivering the program to consumers.
Defending the State Insurance Regulatory System
PIA supports legislation to repeal the Federal Insurance Office (FIO). The FIO was created by the 2010 Dodd-Frank Wall Street Reform and Consumer Protection Act and is ongoing threat to the successful state insurance regulatory system. The mandate of the FIO has already been expanded by the Biden administration’s Executive Order (EO) on ClimateRelated Financial Risk, which directed the Treasury Secretary to task the FIO with assessing “climate-related issues or gaps in the supervision and regulation of insurers.” More recently, apparently in response to the EO, the Treasury Secretary issued a Request for Information on the Insurance Sector and Climate-Related Financial Risks, and PIA registered its objections to this increase in the scope of the FIO’s mandate. Last year, Rep. Tom Tiffany signed on as an original co-sponsor on legislation to fully repeal the FIO after PIAW’s Advocacy Day efforts. PIAW continued to advocate for the passage of this legislation.
Making Permanent Tax Relief for Passthrough Entities (S Corps)
PIA supports the Main Street Tax Certainty Act, which would make permanent the 20 percent tax deduction available to some S corporations, also known as passthrough corporations. Following the passage of the 2017 tax reform law, which established a deduction of up to 20 percent for “agents,” PIA advocated for insurance agents to be identified in regulation as eligible for the deduction. Since then, eligible independent agencies used this deduction to strengthen their businesses and provide for their families, despite an unprecedented economic downturn brought on by the pandemic. Unfortunately, in contrast to the tax benefits provided to C corporations by the 2017 law, the passthrough deduction is temporary. PIAW advocated that our representatives provide certainty and consistency to eligible independent agencies by making permanent this important tax relief provision. In addition to Advocacy Day, PIA National and PIA Wisconsin advocate for you year-round to ensure lawmakers and regulators understand and protect the independent agency system and small businesses. Through grassroots efforts, PIA Advocacy Day, and year-round advocacy in Washington D.C. and Madison, all independent agents have a powerful voice in government. Remember…WE ARE BETTER TOGETHER!
