Senators Warner, Kaine Demand Answers on Tax Reform Change Harming Feds

Washington, D.C. – The Senior Executives Association (SEA) issued the below statement following today’s release of a bipartisan letter sent to GSA Administrator Emily Murphy and Treasury Secretary Steven Mnuchin by Senators Mark Warner (D-VA) and Tim Kaine (D-VA). The letter is in response to the recent revelation that, “as a result of changes in the tax code” made pursuant to the recent tax reform legislation, many federal employees have faced unexpected and potentially ruinous tax bills.

Specifically, the tax reform bill “eliminated the deduction for job-related moving costs, as well as the exclusion for reimbursements or in-kind contributions made by employers to defray the cost of moving,” the letter from Warner and Kaine notes.

“We appreciate the leadership of Senators Warner and Kaine in ensuring this error -- which has the potential to cause considerable personal damage to thousands of federal employees – is swiftly remedied,” said Senior Executives President Bill Valdez.

“It is sadly ironic that those federal employees most impacted by this mistake include members of the federal law enforcement community and others who have already sacrificially uprooted their entire lives and relocated in the name of public service,” Valdez continued. “SEA will continue to track the progress of this situation and work with the appropriate parties, both within the administration and on Capitol Hill, to ensure the necessary policy adjustments are in place to make right damage already caused and to mitigate future damage caused by this ill-conceived policy.”

Earlier this month, SEA led a coalition letter to Murphy and Mnuchin, noting that the matter had come to the organization’s attention and that it was actively seeking fixes. Also joining the letter were the Federal Law Enforcement Officers Association, the FAA Managers Association, Federal Managers Association, the National Active and Retired Federal Employees Association, the National Association of Federal Veterinarians, the National Federation of Federal Employees, the National Council of Social Security Management Associations, and the Professional Managers Association.

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