The Affiliated Chambers of Commerce of Greater Springfield, Inc. unveiled its legislative agenda today for the year 2009, as part of its annual Outlook program. The Board of Directors of the Affiliated Chambers of Commerce of Greater Springfield, Inc. has voted to adopt the following legislative issues as the focus of the Chamber’s legislative efforts for the 2009–2010 state legislative sessions. These issues are all in keeping with the Board’s continuing efforts to ensure that the cost of doing business in Massachusetts is reasonable and to ensure that Chamber member businesses are "economically competitive" in today’s marketplace.

It is the legislative policy of the Affiliated Chambers of Commerce of Greater Springfield not only to be reactive but proactive in the federal, state and local political arenas. The ACCGS and its affiliates support policies and legislation that advance economic development, strengthen business competitiveness, lower business costs, stimulate job growth and strengthen the overall economic health of the region.

Massachusetts State Budget

Everyone agrees that 2009 could be the most difficult year the state has faced in recent memory. Revenues that have grown historically by 6% to 7% are coming in at a rate well below this.  Already, the current FY 2009 budget has been cut by over $1.5 billion in November 2008 with another $1.1 billion in January 2009. The Chamber’s Budget Subcommittee will continue to monitor these revenues on a monthly basis.

Reforms: These very difficult and trying financial times in the Commonwealth do provide opportunities for reforms that otherwise might be difficult to accomplish. The Chamber will stress the need for true reforms in some programs and in how others are carried out. The pension system in Massachusetts must be looked at in its entirety, not just in the very visible abuses that surface every now and then, and should be looked at in a way that will not punish the state worker. Pension reforms are common place in the private sector and have to be looked at by the State. Overhauls at the Massachusetts Bay Transportation Authority (MBTA) must be made immediately as the organization has proven that it can not provide services in line with its revenues. As health care costs consume a very large percentage of the state budget, as it does with the private sector, reforms to this area must occur as well. A careful analysis will be made of one of the major reasons for the shortfall in revenues that has occurred, the drop off in Capital Gains Taxes. It may be time to dedicate these funds to more capital intensive projects rather than to the general fund, in order to better absorb the dramatic shifts that can occur with this revenue source.

Prioritize Spending

While decreasing revenues will mean cut backs in the state budget, the Chamber will continue to point out areas of the budget that are essential to economic development and job growth and try to protect them from a level of cuts that could be counter productive.  For the past few years, the Chamber has advocated for spending in those areas that will grow our economy; among them, higher education and its role in workforce training; health care, acknowledging it as one of the biggest sectors of our economy; infrastructure; and local aid. With talk of a stimulus package at least at the federal level, the Chamber will advocate for these areas of prioritization when decisions are made on projects to be funded.

Finally, as the reduction in the state budget is sure to have a dramatic negative effect on our cities and towns where most services are delivered, the committee will dedicate a great amount of its focus on the state’s assistance to cities and towns, what the state can be expected to do and what it can not, and what local municipalities will need to do themselves.

Fiscal Year 2010, beginning in July 1, 2009, will continue to be a challenge. While Massachusetts was aggressive in building up its Rainy Day Fund, it is expected that a good portion of that fund will be used to cushion FY 2009 and to help the state get through 2010. As the future is difficult to predict, some of that fund will need to be kept in place for future years.

Workplace Issues

This subcommittee will continue to work on cost of doing business issues. The cost of doing business poses a critical problem for Massachusetts’ businesses efforts to remain competitive.

Unemployment Insurance Tax: Massachusetts is in the top three states for a per employee cost for Unemployment Insurance. This is expected to worsen due to the higher rate of unemployment. Now is the time to enact some long overdue reforms to reduce this barrier to competitiveness.  Changes to the Solvency Assessment, that the Chamber called for last year will be looked at first.

CORI Changes: The Chamber will weigh in on expected changes to the CORI law. While the Chamber believes some changes are called for, it urges caution so that the impact on cost to business and competitiveness is fully taken into account.

Mandatory Paid Sick Time and New Identity Theft Requirements: As previously noted, caution must be exercised when looking at these changes and the Chamber will be sure to weigh in on these issues.

Treble Damages: The law passed in 2009, awarding treble damages for all payroll violations, regardless of hwo they occurred, was perhaps one of the most troubling bills enacted in the session.  The Chamber will look into ways of repealing it, or at least make changes to it as was suggested byt eh Governor last year.  On the federal level, we will scrutinize proposed statutory and regulatory changes ont eh news administration's agenda and on teh congressional agenda.  Some of those being:

The Employee Free CHoice Act or "Card Check" Legislation promises to play a prominent role in this agenda.  The Chamber opposes this legislation becuase it would radically overhaul our federal labor laws.  Replacing secret ballot elections with signed authorization cards, mandating arbitration for first contracts rather than collective bargaining, and increasing penalties on employers, will, in the Chamber's view, send more businesses overseas and stifle new business creation here.

In addition, other federal legislation, like the Healthy Families Act, which would mandate seven days of sick leave in addition to what businesses offer now and The Paycheck Fairness Act will also be examined as they would dramatically change the way businesses can now decide what is best for them and their employees.  The Health Families Act will probably also be proposed at the state level.  The Paycheck Fairness Act would effectively eliminate the statute of limitations for pay discrimination cases and could allow claims for alleged actions decades ago.

Health Care

The Health Care Subcommittee focus for 2009 will be working with our legislators on decreasing the cost of health care.  THe Chamber vocally endorsed the changes to health care enacted two years ago opening up access to health care to everyone.  The evidence shows that more citizens of Massachusetts have been added to the rolls of the insured through employer provided health care.  It is clear to the Chamber members, as it should be to the state, that providing health care can only be done if the cost is reasonable.  Costly mandates should not be made a part of required coverage.  The Chamber believes the legislature should proceed very cautiously with new mandates and should review current mandates that might benefit some but could be costly to all.  Efforts at transparancy should continue and education of individuals should be increased to allow for better choices in the purchase of health care and also in the lifestyles we lead.

The Chamber continues to believe changes must be made to the minimal creditable coverage section of the law, allowing for mroe exemptions in cases where employees either have coverage through some other source than their employer, or where employees forgo offered coverage.

An eye will continue to be on any efforts to resurrect a bill that the Chamber opposed over the last few years: the Nurse to Patient Ratio Bill.  The evidence the Chamber has compiled over the years shows this to be an ill conceived idea and we will be ready to oppose it again should it resurface.  Legislators should be congratulated for their efforts in seeing that the originally proposed bill was not passed and for their efforts in finding legislation that might address two of the more accurate shortfalls such as the availability of nurses and the recruitment of new nurses.

Local Issues

This committee was recently formed to look into local issues with the realization that what happens in one town or city often has an effect on the region.  With that in mind, some of the issues looked at were changes to a height restriction bylaw in Agawam that mostly affected Six Flags Amusement Park.  The Committee recognized the great amount of regional economic spinoff that is generated by a healthy Six Flags and was pleased to work with them on this issue.  There are currently some infrastructure projects that link some communities and the committee will be looking into supporting those.

The purest local issue taken on annually is the sting on property tax rates.  This has always been an issue especially in those communities that tax business property at a higher rate than residential; often times nearly twice the rate of residential.  The burden of property taxation being shifted onto the business community works against all efforts to ensure businesses in those cities can be competitive.  The Chamber will continue its efforts to see this burden, and the dependence on property taxes reduced.

Other Issues

Energy: This area, including the cost of energy, the need for upgraded transmission of energy from new sources, and the investment into "green energy systems" will be a priority in 2009.  The Commonwealth passed a far reaching bill in 2008, the Green Communities Act, and the Chamber will be looking into working within that piece of legislation as well into other areas in the energy field.

Springfield's Transition: Clearly, this is one of those "local issues" mentioned in the section above, which has a very large impact on the region.  The Chamber has been an active partner with local and state officials in legislation that will allow Springfield to transition back to local control and away from the Financial Control Board.  This is set to happen on July 1, 2009 and the Chamber will continue to be engaged in the transition and the future beyond.

Programs/Outreach

Finally, the Chamber can only be effective in its legislative advocacy if each and every member gets involved by understanding these issues and contacting their elected officials to ask for their support of the Chamber and its positions.  The Outreach/Program Committee is prepared to speak to Chamber groups, service clubs, or informal gatherings.  Simply let us know and we will arrange for a presentation.  Additionally, this committee works hard to host four major programs every year that help build our agenda and advocate for our positions.  Your attendance at these events is important.  The first event is our Outlook program held in January/February, followed by our Beacon Hill Summit in April that takes place in the State House and has been hosted in the past few years by Senator Stephen Buoniconti.  Every two years, Congressman Richard Neal hosts us for two days in Washington,  D.C. with his Issues Symposium, where we hear from some of our nation's top leaders.  Finally in November, we wrap up the year with our Government Reception, a mostly social gathering with our elected officials.