How economic incentives support roofing industry growth

By Dani Sheehan. 

With new incentives and fewer barriers, now is the time to invest in efficiency and innovation. 

Roofing contractors continue to navigate an uncertain economic landscape with labor challenges and rising material costs, but recent legislative efforts are creating new incentives to invest in growth and innovation. We recently sat down with Will Lorenz, president of General Coatings Manufacturing Corp and Government Relations Committee member for the National Roofing Contractors Association (NRCA), to discuss the One Big Beautiful Bill Act (H.R. 1) and the wins coming to the roofing industry. 

“The goal of the big bill is to see economic growth as a way to offset debt that we’ve incurred – trying to grow our way out of it,” Will explained. “They’re trying to make investments in companies and in individuals that can net a return.” 

According to Will, these incentives align well with the construction industry’s shift toward smarter systems. For companies, this could look like support for new equipment, technologies and building methods that will improve efficiency without increasing headcount.  

Advocating for roofing: NRCA’s push for small business support 

Industry advocacy has played an important role in shaping these wins. At Roofing Day in D.C. 2025, the NRCA urged lawmakers to protect small business tax treatment and preserve key provisions in the tax code that benefit contractors. 

One of NRCA’s priorities was supporting the Main Street Tax Certainty Act (H.R. 703/S. 213), which would make permanent the 20% Qualified Business Income deduction (Section 199A) for pass-through entities like sole proprietorships and partnerships. This deduction – no longer set to expire at the end of 2025 – helps small businesses maintain tax parity with corporations. 

“If you treat small and mid-sized businesses fairly with the tax policies, then they’re able to compete, offer improvements and innovate quicker than large companies,” Will shared. “Previously, these businesses were kind of tapped out. Now it’s more about taking off the limits.” 

NRCA also backed the American Innovation and R&D Competitiveness Act, which seeks to restore full and immediate deductibility of research and development expenses – something U.S. businesses had relied on for nearly 70 years until recent tax law changes began requiring amortization over five years. These efforts reinforce the industry’s need to stay agile, invest in technology and keep pushing for smarter, more efficient practices. 

Capital over labor: A shift in how we build 

Labor remains one of the biggest challenges for roofing contractors, especially as skilled workers become harder to find. The reconciliation bill, and the tax policies supported by the NRCA, encourage capital investment over labor-intensive processes. According to Will, this shift presents an opportunity for contractors to adopt more efficient, scalable systems. 

“We’re still in the environment of efficiency – trying to control labor, trying to look at the fact that we have potentially fewer opportunities for skilled workforce,” he said. “So maybe we’re going to have to look at investments in things like AI or automation. Instead of five people on a roof, maybe we have two or three.” 

Spray foam’s unique value add 

Lightweight, durable and efficient to install, spray polyurethane foam (SPF) roofing systems align well with these capital-focused goals. Spray foam is a very low-labor product; it’s FM approved and flexible enough for different climates and building types. 

Beyond ease of installation, SPF systems offer long-term performance that meets today’s evolving standards. With strong adhesion, wind uplift resistance and high fire and hail ratings, spray foam roofing provides a durable solution for contractors who want to do more with less. 

While debate around the reconciliation bill and future tax policy will no doubt continue, one thing is clear: advocacy efforts from NRCA and roofing leaders have helped secure provisions that support small businesses and reward innovation. Contractors willing to invest in smarter systems are better positioned to grow, compete and stay ahead in a rapidly changing economy. 

“People are going to get more choice,” Will emphasized. “They’re going to get the opportunity to choose what they want to do in their business – and that freedom is going to drive innovation.” 

To learn more about how these changes could affect your business, read NRCA’s summary of the major provisions.