Jan Teague, President/CEO of the Washington Retail Association, and Mark Johnson, WRA's Vice President Government Affairs, attended a Police Officers Memorial Fundraiser Dinner at the Governors Mansion Tuesday evening.
Governor Chris Gregoire was there to thank the fifty police dignitaries and officials who donated to the fund. Teague and Johnson were invited by Wal-Mart, which recognizes the contributions and risks of law enforcement and had donated to the fund.
Money raised goes to fallen police officers killed in the line of duty.
House fails at first attempt to raise taxes By Mark Johnson, Vice President Government Affairs
This week the House of Representatives had a very lengthy and emotional debate on House Bill 2029, which would impose a tax on phone use to fund the emergency response system or E-911. The measure failed to gain the necessary two-thirds needed to pass as required by Initiative 960. There is speculation that the bill will be sent to a vote of the people.
Several members gave very impassioned speeches on the importance of the E-911 program for saving lives in emergencies. Other members discussed the yearly costs to phone users. Some legislators made the point that if the E-911 program is a priority it should be funded through the budget, not with a tax increase.
What is significant about this "test" vote is that it demonstrates that it is unlikely the Legislature will approve any tax increases and that the citizens of Washington will likely have to decide if they are willing to pay new and higher taxes for services and programs they want to see funded.
At this time both the House and Senate are hearing testimony on their proposed budgets, which make drastic cuts in an attempt to balance the overwhelming revenue shortfall. Meanwhile, retailers, the state's sales tax collectors, are struggling to keep their doors open during these tough economic times.
Up to 8,000 would lose jobs in new state budget Education, human services hardest hit by spending cuts
Legislators and Gov. Christine Gregoire's office entered final negotiations this week to adopt a state budget for the 2009-2011 biennium.
House and Senate versions introduced this week called for thousands of layoffs and deep cuts to education as the state works to close a $9 billion revenue shortfall.
Up to 8,000 state employees would lose their jobs, there would be no raises for the remaining workers and all would pay more for their health care coverage, under both House and Senate proposals.
The Legislature expects to approve a compromise spending plans by its scheduled adjournment on April 26.
The House and Senate budget versions, worked on in collaboration, are similar in many ways. Both would result in an operating budget of about $33 billion, about $1 billion less than the current biennium. They would leave about $850 million in a state savings account and both use $3 billion in federal stimulus funds to balance the budget.
Other highlights, and differences:
*The Senate cuts $877 million from K-12 education, more than $625 million proposed in the House. *The House cuts $683 million from higher education, more than the $513 million proposed in the Senate. *The House would raise college tuition 10 percent as opposed by 7 percent by the Senate. *The Senate would close some state facilities, including McNeil Island prison. *Both plans cut upwards of 40 percent in spending for the Basic Health Plan. *The Senate would eliminate tax exemptions including the real estate excise tax exemption used by banks that sell foreclosed property and consumer who buy hybrid vehicles.
"You can't spend money you don't have," Sen. Margarita Prentice, D-Seattle, who chairs the Senate Ways & Means Committee, said regarding the spending cuts. "That (cutting spending) is simply something we have to do."
Regardless, those affected by the cuts reacted with disappointment and voiced their opposition quickly.
Some Republicans labeled the plans as "shortsighted: and faulted Democrats with using one-time federal stimulus funds and predicted this would lead to more budget challenges beyond the biennium.
Legislature enters home stretch
Thursday of this week marks Day 81 of this year's 105-day Washington Legislature session.
In addition to seeing House and Senate budget proposals this week, the Washington Retail Association continued to track bills of importance to retailers, including association members.
As the Legislature works to pass a budget by its April 26 adjournment date, here is an update of a few other key bills of interest to WRA:
*SB 5735 Climate change and cap and trade A substitute bill passed the Senate by a 29 to 19 vote and was in the House Ways and Means Committee at last check. The original bill has been slowed to waiting two years for a recommendation from the Department of Ecology whether to make carbon dioxide emissions reductions a requirement in the state.
*SB 6035 Retro A bill that would reduce workers compensation refunds has passed the Senate, 25 to 24, and was the subject of a House public hearing this week. It would create an expensive public reporting bureaucracy regarding the use of funds in association workers compensation programs. Legal counsel has determined that aspects of the bill are unconstitutional. A lawsuit to challenge it could result of the Legislature passes the bill.
*HB 1683, SB 5531 Increasing Consumer Protection Act penalties Mark Johnson has lobbied to reduce the original increase in court penalties from $75,000 to $25,000 for violations of the act. Details will follow on whether the bill becomes law.
*SB 5225: Felony theft limit increase The bill to increase the limit from $250 to $750 did not get enough support to come out of committee.
*HB 2321: Sales of liquor accessories by state liquor stores A bill that would have allowed the state to compete for sales with Washington Retail Association members for sales of liquor-related accessories will be in the state budget, a committee chair reports.
Card check bill loses support
The federal card check bill, or Worker Free Choice Act, is losing steam in Washington, D.C.
In recent days, former supporters Sen. Dianne Feinstein (D-Calif.) and Sen. Arlen Specter (R-Pa.) dropped their support. Feinstein said companies could not afford to assume the higher costs of unionized payrolls in the current recession.
The Washington Retail Association has joined numerous business groups in opposition to the bill. It would remove the employees' right to a secret ballot and replace it with a system whereby a majority of employees signing a card saying they wanted a union would trigger contract negotiations. Binding arbitration would enter in if employees and a company could not agree on contract terms.
Congressional Republicans, though outnumbered by Democrats, have been solidly against the bill. Specter's announcement that he had dropped his support means all 41 Senate Republicans oppose the bill.
Two similar union-backed bills also have lost steam in Olympia after union lobbing tactics were brought into question. Governor Christine Gregoire, Senate Majority Leader Lisa Brown and Speaker of the House Frank Chopp dropped consideration of two bills when a union e-mail linked their support of the proposals to campaign contributions. The three said the e-mail raised serious ethical questions.
The Washington Retail Association opposed the state bills on several grounds. They would have done harm to financially-struggling businesses and robbed employers of their free speech rights, the association maintained.
The Washington bills would have banned employers from holding staff meetings to discuss religious or political issues, including union organizing campaigns. Neither bill had won support in the full House or Senate when Gregoire, Brown and Chopp withdrew consideration.
The final fate of the state bills will be known when the Legislature adjourns on April 26.
Sources include the Los Angeles Times, Food Marketing Institute
Strained relations among state Democrats, labor leaders
A "pro labor/pro business" split among Democrats is emerging in the state House of Representatives, according to a Seattle Times article last week.
In the article, Jennifer Sullivan of the Times reported that the apparent death of a worker rights bill was a major source of Democrat divide. Party leaders and Gov. Christine Gregoire withdrew support for a bill that would have made it easier to organize unions by barring employers from holding meetings to discuss union organizing campaigns.
A supporter of the bill, Rep. Brendan Williams, D-Olympia, told The Times that pro-business Democrats were "tilting" party politics to the right. To read The Times' story, click here.
In a related story, the Washington State Labor Council issued a statement last week addressing its frustrations with the death of the worker rights bill. To read the statement by labor, click here.
Sources: Seattle Times, Washington State Labor Council
Gregoire appoints new DSHS Secretary
Governor Christine Gregoire this week appointed Susan N. Dreyfus to become Secretary of the Department of Social and Health Services, the state's largest agency with more than 19,000 employees.
Dreyfus succeeds Robin Arnold-Williams, who left in January to become director of the Governor's Policy Office. DSHS has been under the direction of an interim secretary since January, when Stan Marshburn, in Chief Financial Officer, was appointed Secretary.
To read Gregoire's announcement and Dreyfus' comments, click here.
Two business roundtables scheduled
Several state agencies will cooperate in sponsoring two small business seminars in Tacoma and Spokane this year.
The Tacoma event is scheduled April 23 at the Greater Tacoma Convention and Trade Center. A location has not yet been announced for a Spokane seminar scheduled on June 4.
The seminars are meant to share information on contracting with the state, meeting government regulatory requirements, surviving the recession and learning about state services through the Website, Business.wa.gov.
Planning is underway for the free Washington Small Business Fair, at Renton Technical College, on September 12 this year.
Seminars at the annual fair range from taxes to business planning, and from marketing to starting a Website. The college has hosted the annual fair since 1997.
No pre registration is required for the fair, which is aimed at new and existing owners of small businesses. Besides dispensing helpful information in the current challenging economy, the fair is a good opportunity for new and existing business owners to network and share information.
Exhibitors are government agencies and non-profit organizations, such as trade or business associations including the Washington Retail Association. No private businesses or vendors are allowed to exhibit, sell or pass out information.
More than 400 attended last year's fair but organizers expect a larger turnout this year as the recession has motivated more people to start a business. For more information, visit the fair's Website at www.bizfair.org.
Transit, sales taxes increase this week
Transit and sales and use taxes will be increased in a variety of communities statewide effective on Wednesday of this week.
For example, in King, Pierce and Snohomish counties, the Regional Transit Authority Tax increased five-tenths of one percent this week.
In other communities around the state, sales and use taxes increased to pay for transportation or chemical dependency and mental health treatment.
To view which counties are affected and the corresponding tax increases, click here.
Source: Department of Revenue
The Washington Retail Association, WRA, is a 501 C 6 trade association formed to advocate for Washington State’s retailers at the local, state and national level. Since 1987, the WRA has protected Washington's retailers from unreasonable taxes, fees, regulations and legislation. The efforts of the WRA benefit all Washington state retailers and help fuel statewide economic growth.
