KEY VOTE

January 18, 2011

U. S. House of Representatives
Washington, DC 20515

Dear Representative:

On behalf of Associated Builders and Contractors (ABC), a national association with 75 chapters
representing more than 23,000 merit shop construction and construction-related firms with nearly two
million employees, we write to express our strong support for H.R. 2, “Repealing the Job-Killing
Health Care Law Act,” and H. Res. 9, “Instructing certain committees to report legislation replacing
the job-killing health care law.” ABC strongly urges Representatives to vote in favor of these
measures, and may consider both of these votes as “KEY VOTES” for our 112th Congressional
Scorecard.

For years, ABC has been a strong advocate for policies that would truly reduce the cost of health care
for employers and their employees. Throughout the health care reform debate, ABC called on
Congress to advance common-sense proposals that would address the skyrocketing costs of
health insurance, especially for employer-sponsored plans, and the rapidly rising number of
uninsured Americans.

Unfortunately, the new massive and complex health care law, known as the “Patient Protection and
Affordable Care Act” or PPACA, does nothing to bend down the cost curve. Further, it imposes new
costly mandates and taxes on a struggling sector of our economy: small businesses.

ABC members are experiencing the worst construction economy in decades, with the current
unemployment rate for construction at 20.7%. It is unfathomable that our elected leaders imposed
new costly mandates and taxes on employers at a time of record high unemployment. Such actions
demonstrate a fundamental failure of the federal government to understand the needs of small
businesses. As a result, numerous provisions in the new health care law will have a direct negative
impact on our members, which includes stifling their ability to plan for the future, hire additional
employees or invest in equipment or facilities. Examples of job-killing provisions include:

An employer mandate that encourages job cuts

New taxes, fees and mandates specifically targeted at the small business community
New taxes on small business health insurance policies
Onerous 1099 paperwork information reporting mandates
Higher insurance costs due to new mandated benefits
Increases in Medicare payroll taxes
Prohibitions on HSAs, FSAs and HRAs that limit employer and employee flexibility

We believe that repealing PPACA is the first step, of many, on the road to affordable health care.
Providing quality health care benefits is a top priority for ABC and its member companies. ABC
urges Congress to move forward with legislative proposals that will provide employers and their
employees with health care solutions that are both practical and affordable. This should be an open
and transparent process, done under regular order, and not behind closed door negotiations.
ABC believes medical malpractice tort reform should be included in any true health care reform
package. By enacting tort reform we will see a dramatic decrease in the cost of health insurance for
the American public. ABC also strongly supports the inclusion of Small Business Health Plans
(SBHPs). In addition, we support expanding access to Health Savings Accounts (HSAs) and
increasing the contribution levels. Further, the unique nature of the construction demands that benefits
be portable in order to reflect the reality of the industry workforce.

ABC urges all members to vote in support of H.R. 2 and H. Res 9, and may consider these votes as
“KEY VOTES” for our 112th Congressional Scorecard

Sincerely,

Geoffrey Burr
Vice President, Federal Affairs