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Federal

Yesterday, a Texas federal judge issued a temporary injunction to the Department of Labor’s (DOL) overtime rule. In granting the preliminary injunction, the federal judge said the DOL’s overtime rule exceeds the authority the agency was granted by Congress.

As you may recall, the DOL’s overtime rule was announced in May, and it has been opposed by many businesses and nonprofits. The rule was to take effect on December 1 of this year. Now with yesterday’s ruling, it is likely that President-elect Trump’s administration, which opposed the rule, will have time to review it and make changes and/or roll back various provisions contained in the current rule.

The DOL could appeal the Tuesday ruling, but with the Obama administration only having approximately two months in office, an appeal is unlikely. With many RCPA members already implementing and announcing changes to comply with the DOL’s overtime rule, it might be difficult for those members to roll back these changes, because it may impact employee morale. As further information is released, RCPA will provide additional guidance to members. Please contact Jack Phillips, RCPA Director of Government Affairs with any questions.

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*RCPA MEMBER EXCLUSIVE*

RCPA will be hosting a webinar exclusively for members, entitled: Changes to the FLSA’s Overtime Rules on Friday, June 3, 2016, at 10:00 am. This webinar will specifically cover the Department of Labor (DOL) Proposed Rule regarding changes to overtime exemption and salary thresholds.

Recently Senate Bill 1604, Transition to Independence, was introduced in Washington by Senator Grassley (R-IA), and co-sponsored by Senator Casey (D-PA). While it immediately raised red flags for vocational providers, after a careful read and review with ACCSES (one of our national partner associations), we do believe this legislation can be helpful – provided some modifications are made. The RCPA summary and response to the bill, which we were able to present recently to Senator Casey’s lead staff in DC, is available online. Review the actual bill here.

Last week, Senator Chuck Grassley (R-IA), together with Senator Ron Wyden (D-OR) and Senator Bob Casey (D-PA), introduced S. 1604, Transition to Independence Medicaid Buy-In Option, bipartisan legislation which would, as stated in Senator Grassley’s press release, “create a demonstration project to encourage states to improve opportunities for individuals with disabilities to obtain employment in the community, gaining self-determination, independence, productivity, and integration and inclusion.”  Ten states, over a period of five years, would receive bonus payments for meeting benchmarks which are outlined in the bill’s technical summary. We will continue to monitor and set up applicable meetings. Contact Jack Phillips, RCPA Director of Government Affairs with questions.