June 8 , 2007
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
|
Archived Newsletters
|
