January 31, 2008

Proposed Expansion of Unemployment Insurance Benefits

Members of Environment Committee Meet with DNR Director

Challenges for Iowa Contractors Continue

Bonus Depreciation Included?

Why I invest in IIPAC

Did you miss a past Legislative Update?

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

ABI ADVISORY COUNCIL

Resources & Links

Iowa Prosperity Project 
for
-Issue Alerts
-Write Your Legislator
-Legislator Voting Records
-Register to Vote

ABI Member Benefit -

For questions regarding the Iowa Prosperity Project (IP2) or your own FREE Prosperity Project Website send an email to:

IP2@iowaabi.org

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

Copyright © 2008 Association of Business and Industry. All rights reserved. Text, graphics, and HTML code are protected by U.S. and International Copyright Laws, and may not be copied, reprinted, published, translated, or otherwise distributed by any means without explicit permission.

To be removed click here

Proposed Expansion of Unemployment Insurance Benefits

A Senate Subcommittee met Tuesday to consider SSB 3044 proposed by Iowa Workforce Development that would expand unemployment benefits and provide job training resources.  The IWD proposals include expanded eligibility for personal reasons such as family medical leave and domestic issues.   It also expands eligibility to individuals less attached to the workforce by providing an alternative base period of the immediate past four work quarters.  ABI has fought to preserve the Unemployment Trust Fund’s solvency and limit unemployment taxes by opposing such proposals and will do so again this year.

The portion of the bill that intrigues Subcommittee Chairman Senator Bill Dotzler (D-Waterloo) is an extension of benefits for 26 weeks if the unemployed individual enrolls in an approved skills retraining program in a high-demand or high-technology occupation.  The extended benefits would not be charged to the employers’ unemployment account but still paid from the Unemployment Trust Fund at an estimated $7-8 million per year.  Senator Dotzler indicated he would like to have further discussions on the merit of this proposal.

Members of Environment Committee Meet with DNR Director

Members of ABI’s water environment subcommittee met with Director Rich Leopold on Wednesday to discuss the Association’s position on water issues—specifically proposed rulemakings on anti-degradation, storm water permit fees and the change in water use allocation.  Additionally the group expressed ABI members’ willingness to work with the Department on a comprehensive water plan for Iowa that is based on sound scientific evidence and the economic impact on all Iowans.  Members provided the Director with an update on the subcommittee’s activities.  Members’ comments were well received by the Director and Department staff.  All parties expressed the importance to keep the dialogue open and hold meetings with the Association on a regular basis.

Challenges for Iowa Contractors Continue

Immigration/Independent Contractors

Discussions continued this week on HF 2026 which is the combination Illegal Immigration and Independent Contractors Reclassification bill being considered by a House Labor Subcommittee comprised of Reps. Rick Olson (D-Des Moines); Eric Palmer (D-Oskaloosa); and Lance Horbach (R-Tama).  Contractors, employers, and civil rights groups have expressed much opposition to this bill and House Leaders are listening to alternatives and weighing options.  The legislation requires the Labor Commissioner to investigate all complaints of misclassification of independent contractors made by “any interested party.”  The legislation singles out the construction business, but could have negative implications on other industries because of the re-definitions of employees contained in the bill. 

For additional details about the legislation, including talking points and a letter to contact your state representative on this issue, click here.

Prevailing Wage

More discussion of Prevailing Wage surfaced this week as well.  During the 2007 Legislative Session, Representative Rick Olson (D-Des Moines) proposed HF 810, establishing a prevailing wage in the state of Iowa .  Prevailing wage would be a tax increase to the tune of 15-20% due to the increased cost of construction for public projects.  Changes to the existing legislative proposal are being discussed.  Two of the major changes would exclude small counties and prevailing wage would only apply to public projects over $3 million dollars.  ABI will continue to work in opposition to this proposed tax increase on Iowans.    

Bonus Depreciation Included?

As Congress and the President are working on proposals for a federal economic stimulus, Iowa state lawmakers have impactful choices to make as well.  One includes the annual coupling of Iowa ’s tax laws with the federal Internal Revenue Code.  As proposed SSB 3059 and HSB 571, would couple Iowa ’s tax laws with federal.  This provides Iowa employers with the same state credits as they do on their federal tax returns.  If Congress proceeds to offer businesses a “bonus depreciation” on company assets, it’s important that Iowa couple on this item as well.

Why I invest in IIPAC

“I contribute regularly to IIPAC because I know the funds are distributed based on thoughtful interviews and careful research of voting records.  This maximizes the probability that business-friendly legislators are elected.”

Bob Wersen, President, Interpower Corp.

Platinum IIPAC Contributor

Did you miss a past Legislative Update?

If you misplaced or didn’t receive prior legislative updates, click here for archived newsletters!

                                 Iowa Association of Business and Industry
                         904 Walnut Street, Suite #100
                           Des Moines, IA  50309
                          www.iowaabi.org
                           515-280-8000 / 800-383-4224