Government Affairs Council
Update
June
8,
2007
GAC Meeting Cancelled
Staff Contact: Ken Pokalsky
The Government Affairs Council
meeting tentatively scheduled
for Tuesday, June 12
will not be held. We apologize
for any inconvenience.
The following provides
an
update on our end of session
legislative efforts. Please
contact us if we can provide
any further details, or
if you would like to discuss
any other pending legislation.
End of Session Update
Staff Contact: Ken Pokalsky
The Business Council continues
to push its end of session
priorities with Governor
Spitzer and legislative
leaders. Here is an update:
- Power for Jobs
- The legislature has agreed
to a one year extender
of the
Power for Jobs program and a continuation of benefits
for businesses
participating in other state power programs, such
as Economic Development
Power. The Business Council had been pushing for
a permanent replacement
program, based on recommendations made by last
year’s “Temporary
Commission.” The Senate has already passed
a one-year extender (S.5826-
A/Wright). The legislature is still working on
the technical details of a two-
house bill.
- Power Plant Siting
- The Business Council continues
to support legislation that
creates a streamlined siting process for electric
power generation facilities.
with broad project eligibility and reasonable procedural
requirements. We
believe a new siting law is essential to meet the
state’s growing demand for
electric power, to promote reduced power costs and
assured system reliability.
We have opposed efforts to use the siting process
to superimpose additional,
stringent air emission and other environmental standards
on proposed
facilities. This issue is being addressed by a two-house
conference committee,
however the Senate and Assembly have yet to reach
agreement on any
component of a compromise bill. Both houses have
passed separate siting
bills (S.5908/Wright and A.8697/Tonko); the Assembly
has also introduced
Governor Spitzer’s siting proposal (A.9001/Tonko).
- Upstate Economy
- The Business Council applauded
the Senate Majority’s
“Upstate Now” package (S.5953/Bruno), which
passed the Senate on May 29.
As part of end of session discussions, The Business
Council has urged the
Governor and legislature to consider several components
of the Upstate Now
package, including business tax reforms, reductions
in health coverage
mandates for small business, and new venture capital
and economic
development funding programs.
- Wicks Law – We
continue to urge for a significant
increase in the thresholds
for
application of the Wicks
law, which now requires multiple
construction
contracts on public construction projects of over
$50,000. This is an
antiquated mandate that drives up both the cost of
local projects, and local
property taxes. The Senate has proposed legislation
(S.5716) that would
increase thresholds to $250,000 for upstate New York
entities and to $1 Million
Dollars for New York City, and would allow “project
labor agreements” and
extend apprenticeship requirements to additional
projects. Governor Spitzer
has proposed higher project thresholds – $500,000
for “upstate,” $1.5 million
for downstate suburban counties, and $3 million for
New York City. The
Business Council is supporting a higher “upstate” threshold.
On the “defensive” agenda,
the Business Council continues
to oppose a paid family
leave mandate (see separate
story below), Internet infrastructure
regulation,
marketing restrictions for
pharmaceuticals, an expanded
bottle deposit law and
various insurance mandates,
among others.
The legislature is scheduled
to recess on Thursday, June
21.
Paid Family Leave Testimony
Staff Contact: Tom Minnick
The Business Council testified
before this week’s
Senate hearing on paid family
leave legislation, urging
the legislature to not impose
this new burden on the state’s
private sector. Tom Minnick,
Business Council Vice President
for Human Resources,
and Laurie DeLong, Manager
of Human Resources from Ball
Corporation and chair of
The Business Council’s
Human Resources Committee,
told the Senate panel that
legislation requiring employers
to offer paid family leave
would increase New York’s
already high job-creation
costs, and impact the state’’s
competitive position. We
also emphasized that our
members have objected to
paid family leave legislation
since it promotes employee
absence, with resulting business
disruption and costs --
such as overtime rates --
necessary to fill in for
vacant positions. The Senate
is
currently considering three
paid leave bills , S.4738,
S.5820, and Governor Spitzer
's program bill, S.5821.
All three bills are sponsored
by Senator Thomas P.
Morahan. The Business Council’’s
testimony is available at
www.bcnys.org/inside/labor/2007/familyleavetestimony060507.pdf
Healthcare Community Reinvestment
Fund
Staff Contact: Mark Amodeo
The Business Council is opposing
new legislation that would
create the so-called
“healthcare community
reinvestment fund. This proposal
(S.6056/Hannon and
A.8704/Bradley) would establish
a fund to provide financial
support to hospitals and
physicians, and fund health
information technology (HIT)
and other healthcare
initiatives including quality,
workforce, access and infrastructure.
These programs would be funded
by increased assessments
on health care
insurance, specifically by
increasing the medical loss
ratios for the individual
and
small group markets, and
establishing a loss ratio
for large groups.
This bill amounts to a redistribution
of health plan premiums to
healthcare providers
by imposing another tax on
health insurance, and will
increase the cost of coverage
for New York’s employers
and drive healthcare spending
higher.
In addition to more than
$2 billion in Health Care
Reform Act taxes on private
health coverage that already
fund a host of community
healthcare priorities, billions
of dollars in state and federal
funds are already committed
to healthcare technology
and to restructuring New
York’s healthcare system.
This bill seeks to create
yet
another pool of healthcare
dollars and generate funds
that are simply not needed.
Compounded by a $75 million
increase in the covered lives
assessment enacted in
this year’s budget,
the bill creates another
tax and a new burden on employers
that
would drive premiums and
healthcare spending even
higher.
Morelle to Chair Insurance
Committee
Staff Contact: Ken Pokalsky
This week, Speaker Sheldon
Silver named Assemblyman
Joseph Morelle as new
chair of the Assembly Insurance
Committee, replacing now
DEC Commissioner Pete
Grannis in that position.
Other Assembly Committee
appointments announced
this
week include:
- Jeffrey Dinowitz, Aging
Committee
- Felix Ortiz, Alcoholism & Drug
Abuse Committee
- Joan Millman, Oversight,
Analysis and Investigation
Committee
- Steve Englebright, Tourism
Committee
- Adriano Espaillat, Veterans
Affairs Committee
- Carmen Arroyo, Puerto
Rican/Hispanic Task Force
Council to host Annual Conference
on State taxation June 25-27
Staff Contact: Sara McDonnell
There is still time to register
for The Business Council’’s
annual Conference on State
Taxation June 25-27 at the
Gideon Putnam Resort and
Spa in Saratoga Springs.
Barbara G. Billet, acting
commissioner of the state
Department of Taxation and
Finance, will speak during
dinner on Tuesday, June 25.
For a detailed agenda of
the
three-day event, visit: www.bcnys.org/whatsnew/events/taxinfo.htm
Events
2007 Conference
on State Taxation
June 25 - 27, 2007
Gideon Putnam Resort & Spa
Saratoga Springs
The Gideon Putnam is accepting
room Reservations call 800-732-1560
or 518-
584-3000. www.gideonputnam.com/
2007 Annual Meeting
September 19 - 21, 2007
The Sagamore
Bolton Landing
Mark your calendar and join
us in celebrating 20 years
at The
Sagamore!!!
The Annual Meeting is The
Business Council’s
premier event of the year.
Business Council leaders
report on activities of the
past year and the Board of
Directors meet to elect new
officers for the coming year.
Attendance list is a
“Who’s Who” of
New York State business. CEO’s
and senior management from
many Fortune 500 companies,
as well as small to mid-size
businesses attend.
You will have the chance
to network with close to
500 New York State business
leaders and top government
officials, and take advantage
of exhibit and
sponsorship opportunities.
Watch your mail
for 2007 Annual Meeting
agenda, registration
and hotel information.