"Strengthening Troop Retention for Our National Guard (STRONG) Act"; enact.

2025 Regular Session Introduced by Jeff Tate

SB 3128 caps annual National Guard/Reserve compensation treated for tax purposes at $5k (2005), $15k (2006–2024), then $25k (2025+).

Died In Committee

#appropriationsa #finance

Purpose / Intent

SB 3128 (STRONG Act) seeks to address compensation treatment for members of the National Guard and Reserve forces. The adopted Amendment No. 1 inserts a provision that sets an annual aggregate cap on "National Guard or Reserve Forces of the United States compensation" for purposes tied to taxable years. The broader bill text is not provided here; the amendment appears aimed at defining or limiting the annual amount of such compensation that is treated in a particular tax/benefit context.

Key provision (Adopted Amendment No. 1)

The amendment amends the bill by adding subsection (m) with the following caps on compensation per taxable year:
- Up to $5,000 for any taxable year through the 2005 taxable year;
- Up to $15,000 for taxable years 2006 through 2024;
- Up to $25,000 for any taxable year thereafter (i.e., 2025 onward).

The amendment was adopted by voice vote.

Note: The snippet quoted uses the phrase "for any taxable year" and sets dollar ceilings by year ranges. The bill excerpt does not explicitly state whether these amounts are exclusion limits, deduction limits, maximum authorized payments, or another specific tax/benefit treatment. The language strongly suggests the provision governs tax-year treatment (for example, an exclusion or limit tied to state tax law), but the broader bill text would be needed to confirm exact application.

Who would be affected

Members of the National Guard and Reserve Forces of the United States who receive the compensation referenced.

Taxpayers and tax preparers in the jurisdiction applying these taxable-year limits (likely state income tax administration).

State revenue/treasury officials, if the provision changes taxable income or deductions and thus affects state revenue.

Potential fiscal and administrative impact

Raising the cap to $25,000 for taxable years beginning 2025 could reduce taxable income for affected service members (if the provision is an exclusion) and thereby decrease state tax revenue to the extent previously taxed amounts exceed the new cap.

Conversely, the provision could clarify prior ambiguities and simplify administration by setting explicit dollar thresholds by period.

Exact fiscal impact cannot be determined from the amendment alone; it depends on the provision’s operation within the full bill and on the number and income levels of qualifying service members.

Legislative history / procedural timeline

Feb 24, 2025: Introduced; referred to Finance.

Feb 26, 2025: Amended; Title Sufficient Do Pass; Passed As Amended (Senate).

Feb 28, 2025: Transmitted to House; referred to Appropriations A (March 3).

Amendment No. 1 (by Sen. Harkins) adopted (voice vote) — replaced existing lines 183–190 with the subsection described above.

Mar 18, 2025: Bill died in committee (no further action).

If you want, I can draft a short plain-language explanation for affected service members, or search for the bill’s full text to confirm whether these caps are exclusions, deductions, or another form of limitation.

Bill