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Repeals section 151106 of title 36, United States Code.
Amends the analysis for title 36 by repealing the item relating to section 151106.
Modifies the introductory matter before paragraph (1) and adds a new subsection (b) that imposes multiple compliance requirements on the corporation and its State and local affiliates, including prohibitions on political activity, nondiscrimination and no-race/sex quotas, U.S. citizenship for officers, maintenance of tax-exempt status, representative governance, corporate liability for officers/agents, service-of-process compliance in the District of Columbia and each State where incorporated or active, recordkeeping and inspection rights, annual reporting to Congress, enforcement authority for the Attorney General via civil action in the U.S. District Court for the District of Columbia, rules for disposition of assets on dissolution (deposit to the Treasury or division among employed members), restrictions on compensation derived from State or local government payments, prohibitions on requiring adherence to certain beliefs (including specified prohibited concepts and prohibiting advocacy to require such beliefs in schools), prohibitions on calling or participating in strikes affecting State or local governments, and deeming the corporation and affiliates to be a labor organization under the Labor-Management Reporting and Disclosure Act of 1959 with applicable obligations.
Replaces 36 U.S.C. 151103 to define membership rules: (1) membership eligibility and classes governed by the bylaws; (2) the corporation and its State and local affiliates may accept membership dues or fees from a State or local government employee only directly from the employee or indirectly via per capita taxes or fees paid by an affiliate if the employee (A) has been notified of their First Amendment right to refrain, (B) has clearly and affirmatively consented to membership and payment, and (C) has authorized transmittal of dues or fees without payroll deduction; and (3) requires cancellation requests to be processed and honored as soon as practicable after receipt.
Imposes new federal rules and oversight on the National Education Association (NEA) and its state/local affiliates, changing who may be members, how dues are collected, and what political activities and internal practices are allowed. It requires affirmative, documented consent before accepting dues from state or local government employees, bans payroll deduction for those dues, mandates prompt processing of membership and dues cancellations, and adds detailed governance, recordkeeping, reporting, and enforcement requirements. Also classifies the corporation as a labor organization for federal law purposes, authorizes the Attorney General to seek equitable relief for noncompliance, and repeals a District of Columbia property tax exemption previously granted under federal law. The bill does not appropriate funds but creates compliance, reporting, and potential litigation obligations for the NEA, its affiliates, and public employers that administer payroll deductions.
The NEA was chartered in 1906 by an Act of Congress and is the only labor union with a Federal charter; the charter’s purpose includes elevating the teaching profession and promoting education in the United States.
By continuing to hold its Federal charter, the NEA’s actions and advocacy effectively receive Congress’ seal of approval.
The NEA has drifted from its core mission and, according to the findings, has become a large political operation focused on electing Democrats and promoting a radical progressive agenda in U.S. schools.
In July 2019, NEA members held an assembly and voted against adding a business item that would have rededicated the NEA to prioritizing student learning and quality education.
At that same July 2019 assembly, NEA members voted in support of the right to an abortion, supporting illegal immigration, and expanding professional development for educators to help create student Gender Sexuality Alliance clubs.
Primary entities affected
The federally chartered organization and its state and local affiliates: Subject to new membership rules, prohibitions on activities, expanded recordkeeping, annual reporting to Congress, and potential enforcement actions by the Attorney General. These changes create administrative and compliance costs and limit certain organizational behaviors.
State and local government employees who are members: Must give affirmative, documented consent before dues can be accepted; they gain procedural protections for cancellations and potential greater control over membership status. Changes to payroll deduction rules may make dues payments administratively different for members.
State and local governments and public employers: Employers that previously transmitted dues via payroll deduction will need to alter payroll and remittance practices to comply with the ban on using payroll deduction for initial transmittal and to handle consent/notice processes. This could impose operational burdens and coordination costs.
Other labor organizations and unions: The law treats the corporation as a labor organization under federal law and sets new precedents for statutory conditions attached to federally chartered corporations; other unions may watch for similar proposals though the statute targets this specific chartered entity.
Practical effects and risks
Administrative costs: The NEA and affiliates will likely need to invest in systems and personnel to document consent, stop payroll remittances as required, process cancellations quickly, preserve records, and prepare the annual report.
Legal and constitutional exposure: Restrictions on political activities and compelled beliefs could prompt legal challenges on First Amendment and labor-law grounds (freedom of association, speech, and related protections). The Attorney General’s enforcement authority creates litigation risk.
Impact on public-sector payroll operations: Some state and local payroll offices may need to revise practices and update employee-facing materials; this is an operational change with potential short-term costs.
Financial effects: The statute does not itself tax or appropriate funds, but loss of the D.C. property tax exemption could increase the organization’s local tax liability; reduced dues remittances or altered payment methods could affect the organization’s cash flow and revenue collection.
Political and sector-wide consequences: By restricting political activity and imposing reporting and governance rules, the law may change the organization’s political engagement and internal governance; it could also trigger policy debates about federal oversight of chartered nonprofits and unions.
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Read twice and referred to the Committee on Finance.
Introduced July 24, 2025 by Cynthia M. Lummis · Last progress July 24, 2025
STUDENT Act
Read twice and referred to the Committee on Finance.
Introduced in Senate