February 28, 2008

House Subcommittees Consider Bad for Business Bills

Independent Contractor Bill Back - Disguised as Identity Theft Protection

New Bills of Interest:

ABI Day on the Hill

Why I invest in IIPAC

Mike Ralston
President
515/235-0562

Public Policy Team:

John R. Gilliland
Senior Vice President, 
Government Relations
515/235-0566

Nicole Molt
Director, 
Government Relations
515/235-0567

Jackie Paul
Administrative Assistant
515/235-0561

For questions regarding ABI Membership please contact:  

Leisa Fox
Vice President, Membership
515/235-0575

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Upcoming ABI Events - Mark Your Calendar!  For a full calendar of ABI events or to register click here.

March:

Tuesday, March 11^th

 “ABI Day on the Hill”

9 - 4:30:  ABI Policy Committee Meetings & Capitol Visits

June:

June 10^th- 12^th

2008 ABI Convention

Coralville, Iowa:  Marriott Hotel & Conference Center

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House Subcommittees Consider Bad for Business Bills

As the first legislative funnel nears, several pieces of legislation that will negatively affect Iowa ’s business climate continue to bubble to the surface.  This week ABI’s public policy team voiced opposition to several pieces of legislation that would affect the cost of doing business in Iowa .  Here’s a list of bills ABI fought on your behalf:

HF 743 - legislation would eliminate “scheduled members” in many work comp cases and allow claimants an option to seek industrial disability awards outside the scheduled injuries system.  An injured worker may retain an attorney to try and seek additional compensation beyond the scheduled member injuries.  Not only will this add significant costs to the system, it will add to litigation, add to the backlog of cases, and cost workers additional money in attorney fees for simply a “chance” at extra benefits.  

This bill is very bad for business and will carry significant costs.  A pre-drafted letter to your legislators can be found HERE.

HSB 658 - would allow the Work Comp Commission the ability to assess up to 50% penalty against employer or insurance carrier for late payment of medical expenses payable to the claimant.

HSB 672 - would allow work comp claimants ability to collect benefits based on overtime and shift differential wages.

HSB 653 - would allow review and reopening of work comp settlements for factors that were know at time of settlement but were not “adequately” compensated for in the settlement.  Bill also includes provisions from legislation passed by the Senate in 2007 to address injuries occurring out-of-state.

HSB 673 - would mandate an annual cost of living adjustment to workers’ comp permanent disability benefits.

Stay tuned to see which of these bills are approved by the full House Labor Committee next week to survive the first funnel deadline of March 7 for bills to advance in 2008.

Independent Contractor Bill Back - Disguised as Identity Theft Protection

HF 2026 has been filed away for the session and replaced with HSB 717.  The proposed legislation still has two divisions.  Division I requires all employees to have a valid Iowa driver’s license or Iowa non-operator identification card.  In addition, the employer must obtain a copy of the identification.  An amendment has been proposed to allow bordering states’ driver’s licenses be an acceptable form of identification.  The Department of Inspections and Appeals will be responsible for enforcing Division I.  Division II is the independent contractor section of the legislation.  The legislation is substantially similar to the language proposed in HF 2026.  However, the penalties have changed from criminal to civil.  In addition, the previous proposal had two levels of violations, whereas HSB 717 has three levels.  Any type of construction, including landscaping, included in Division II—transporting goods to and from the job site/trucking companies are not included in the legislation.  The legislation provides an avenue for private cause of action lawsuits.  Division II would be enforced by Iowa Workforce Development.  The legislation was expected to pass the House Labor Committee this afternoon, but House Labor Democrats caucused and then adjourned for the week.  The bill is expected to be brought up next week before the funnel. 

New Bills of Interest:

HSB 715/SSB 3236 - The Governor’s Combined Corporate Income Tax Reporting bills were introduced this week in both chambers.  The legislation would require combined corporate tax returns for unitary businesses.  In many cases, this legislation is detrimental to economic growth in Iowa and harms Iowa employees working for companies with facilities in the state but headquartered out of state.  In House and Senate Ways and Means Committees.

SSB 3243 - This legislation authorizes a city to impose a local income surcharge, and requires a portion of the revenue to be used for property tax credits and limits the percentage of actual value for residential property.  In Senate Ways and Means Committee.

HF 2128 - Proposal that would establish a state health insurance mandate commission.  All legislative mandate proposals would have to be vetted through a commission made up of stakeholders including insurance carriers, consumers and the Insurance Commissioner.  The subcommittee has held two meetings to gather input from interested parties.  Another meeting is scheduled for early next week.  In House Commerce Committee.

ABI Day on the Hill

Make plans to attend ABI Day on the Hill on Tuesday, March 11, 2008.  The day will start at the State Historical Building located at 600 E. Locust Street in Des Moines with free shuttle service to and from the Capitol.  This is a great opportunity to get caught up on committee details, hear what’s been taking place on the hill since session began and a chance to speak with legislators about issues important to Business and Industry.

Morning Session: Committee Meetings & Capitol Visit

                  Economic Growth & Employment and Workforce

  9:00 - 10:00 Committee Meetings (3rd floor classrooms A & B).

10:00 - 10:15 Shuttle to Capitol.

10:15 - 12:00 Committee Members to meet with Legislators.

10:30 - 11:30 ABI Executive Committee Meeting

11:30 -   1:30 ABI Board Meeting

Afternoon Session: Committee Meetings & Capitol Visit

                              Tax & Workplace and Product Safety

1:30 - 2:30 Committee Meetings (3rd floor classrooms A & B).

2:30 - 2:45 Shuttle to Capitol.

2:45 - 4:30 Committee Members to meet with Legislators.

Registration Deadline:  Friday, March 7, 2008 by 3 p.m. 

Click here to register today.

Why I Invest in IIPAC

“I'm the owner of a small Iowa business and a democrat.  The legislature makes decisions every year that can potentially have a huge impact on my business.  I support ABI's IIPAC marketing efforts because it is crucial to have pro-business legislators in the Iowa house and senate”.

- Robert W. Longman

  President/CEO, Central Surveys, Inc.

  IIPAC Contributor

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