ARA to address NAICS codes concerns and government support for event rental industry

American Rental Association (ARA) members have expressed frustration in how Congress is using the North American Industry Classification System (NAICS) codes to direct coronavirus (COVID-19) aid to businesses.

Many are questioning how to change their NAICS code designation or what action can be taken to adjust the codes to better represent the event rental industry at the U.S Census agency. John McClelland, ARA’s vice president for government affairs and chief economist, explained some of the challenges and action ARA is taking to support the event rental industry. 

“This is an issue ARA is going to focus on and we will continue to work to make changes with the NAICS codes. Historically requesting changes to these codes has been a slow process and we have not received a positive response. The U.S. Census is a very bureaucratic agency, and they have very rigid rules,” McClelland says. Click here to learn more about NAICS codes. 

As the ARA is ramping up efforts to address the NAICS codes, a process that can take multiple years for change, McClelland stresses that ARA member involvement is more crucial now to support the event rental industry. 

“In the near term, a more productive course of action is to focus on getting more financial assistance to the event rental industry. ARA has proposed establishing a long-term, low-interest capital loan program for hard-hit small businesses like event rental companies. However, we will need the grassroots energy of ARA members to call and write their members of Congress. The immediate focus must be on communicating with elected officials in an effort to convince Congress to provide the event rental industry with additional financial assistance,” he says.

James Auerbach, vice president for the event segment at ARA, echoes McClelland’s call to action. “This is a crucial moment in time to bring attention to the financial support needed for the event rental industry that has seen almost a year of drastically reduced revenue due to the COVID-19 pandemic and associated gathering restrictions. It is time for all event rental members to help ARA fight for them by joining ARAPAC, ARA’s political action committee, so our voices are heard,” Auerbach says.

ARA’s government affairs department advocates for the industry in Washington, D.C., and at the state level. ARA members can be more involved by joining ARAPAC.  

“ARA is putting a plan in place to move forward with this advocacy initiative to support the event rental industry. However, we will not achieve the level of influence we want to achieve without increased member participation,” McClelland said.

ARA is allowed to seek political donations, but only from those who are ARAPAC members. Currently, McClelland says very few of ARA’s event rental members participate in ARAPAC, which is free to join and there is no monetary obligation. Click here to fill out the form to join ARAPAC. 

ARAPAC members also receive targeted communications related to government affairs and can be a part of the exclusive ARAPAC Facebook Discussion Group to get an inside look at what ARAPAC does, how ARA team members are working for the industry and what goals are being accomplished in Washington, D.C.

“ARAPAC is very small in comparison to other political action committees but having ARAPAC gives us an opportunity to support pro-business candidates and members of Congress regardless of party affiliation. This is how we can make sure the rental industry’s voice is heard,” McClelland says.

“So few event members are members of ARAPAC, but this is how you get your voice heard as a group and how you help ARA have a larger voice in Washington, D.C. The pandemic has shown us there can be unique advocacy needs for different segments of rental, but we need the participation and input of members in all segments to be more effective in our efforts,” Auerbach says.