1. National Council of Higher Education Loan Resources
Tax Reform and Higher Education
National Council of Higher Education Loan Resources
Wednesday, February 7, 2018
Steven M. Bloom
American Council on Education

2. Overview
I: ACE and Advocacy II: Tax Reform – The Coming Storm III: Battening the Hatches IV: A Tale of Two Bills V: Outcome and Takeaways VI: Q & A

3. ACE and Advocacy
ACE Membership: Represents nearly 1,800 college and university presidents and related associations.
ACE Advocacy Mission: Convene, organize and lead the higher education community on federal public policy issues.

4. Tax Reform – The Coming Storm
WM Chairman Camp – Tax Reform Act of 2014
Array of changes to:
Student and Family tax benefits
Charitable Giving
Endowment Excise Tax (departure from mandatory payout)
Tax Exempt Entities (Bonds, Exec. Comp., UBIT etc)
Template for Tax Reform 2017
House GOP Leadership Blueprint – Summer 2016
Various WH and Congressional Summaries

5. Battening the Hatches Association collaboration and preparation
Advocacy materials, webpage, grassroots
Partners and coalitions
Charitable Giving
Grad students and others re: 117(d)
Lobbying – before release of bill

6. A Tale of Two Bills House and Senate Elements in common:
Charitable Giving
State and Local
Endowment Tax
Exec. Compensation

7. A Tale of Two Bills House and Senate Major Differences:
Student and Family Benefits
Higher Ed tax credits
Employer benefits and grad student tuition waiver
SLID
Bonds
PABs
Advance Refunding
UBIT

8. Outcome - Final Tax Bill
Major Provisions
Charitable
State and Local
Tax Exempt Bonds
Endowments
Student Benefits

9. Takeaways Goal and speed of process – some unforced errors
Endowments
Changing threshold and carve out (Hillsdale)
Berea College
What and who does excise tax hit?
Tax Exempt Compensation
Missed opportunities
Was higher education singled out?
Advocacy effective?
Where are we headed?

10. Q&A