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Iowa
Association of Legislative News
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March 27, 2008
Right
to Work Challenge and Employee Random Choice of Medical Care Fail to
Advance
Senate
Passes Expanded Unemployment Benefit Package
Environmental
Proposals Clear the House Hurdle-Advance to Senate
IIPAC
Auction: Billy Joel - Live in Concert
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
For questions regarding ABI Membership please contact:
Leisa
Fox
Vice
President, Membership
515/235-0575
ABI ADVISORY COUNCIL
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Upcoming ABI Events - Mark Your Calendar! For a full calendar of ABI events or to register click here.
April:
April 29th 7:30 a.m. - 3:30 p.m.
Workers' Compensation Seminar
Des Moines, IA: EMC Insurance Companies
June:
June 10th - 12th
2008 ABI Convention
Coralville, Iowa: Marriott Hotel & Conference Center
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Right to Work Challenge and Employee Random Choice of Medical Care Fail to Advance
Friday, March 28 marks the second and final legislative funnel of the 2008 legislative session. (The Legislature adjourned early Thursday for the week.) For policy bills to stay alive they must be approved by one chamber and a committee in the opposite chamber.
Two top priorities for ABI in 2008 have been to protect and defend Iowa’s Right to Work law and preserve Iowa’s workers’ compensation system of employer directed medical care. Both of these bills SF 413 and HF 2608, respectively, failed to advance to the required stage of the legislative process to remain viable for 2008. Nevertheless, ABI will stand guard against last minute efforts to work these devastating policies into other bills as amendments.
Senate
Passes Expanded Unemployment Benefit Package
Thursday, the Senate approved SF 2377 which will greatly expand eligibility for unemployment compensation benefits by providing for an alternative base period for individuals with insufficient wage credits under existing law. The bill also extends benefits to persons who quit their job for the following reasons: to follow a spouse who moves to another city or state, fear of domestic violence and individuals who choose to quit their job to care for an ailing family member. The bill also contains a component to extended benefits if an individual is enrolled in an approved job re-training program.
While ABI sponsored amendments to increase attachment to the workforce criteria were rejected by the Senate, ABI was successful in negotiating an agreement to make the two most costly components (alternative base period - $12 million; trailing spouse benefits - $1 million) contingent on pending federal legislation that may require such components in order to trigger federal Reed Act Fund distributions.
Independent
Contractor/ Wage Payment Collection Bill in Senate
SSB 3286 was introduced in the Senate by Ways and Means Chair Bolkcom. The legislation has some similarities to HF 2610. ABI is opposed to this legislation due to the negative impacts on all employers in Division I and the separate classification for contractors in Division II.
Division I- Detrimental to all employers. The proposal uses the Fair Labor Standards Act as a determining factor whether an individual is classified as an employee or independent contractor. In addition, the proposal has several enforcement mechanisms including a transportation prohibition for employers who are in violation of the act. The ten largest shareholders of a privately held corporation are held liable for debts, wages or salaries due to any employees. Civil action may be brought against a shareholder liable for wages, instead of and/or in addition to the employer.
Division II- Mirrors Division II of HF 2610. Division II addresses any type of construction, including landscaping. The legislation gives a broad definition of “interested party” and provides an avenue for private cause of action lawsuits. Division II would be enforced by Iowa Workforce Development, the same agency that conducts OSHA safety consultations on job sites. Division II, like Division I, has steep monetary and debarment penalties for employers who are accused of misclassifying independent contractors.
Environmental
Proposals Clear the House Hurdle-Advance to Senate
HF 2570-Bill provides incentives to environmental management systems and establishes a taskforce responsible to study a statewide comprehensive recycling program. Passed House 96-0.
HF 2580-Bill that establishes a sustainable natural resources funding advisory council. The charge for the council is to look at sustainable sources for funding of natural resources and outdoor recreation. Passed House 98-0.
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Iowa
Association of Business and Industry
904 Walnut Street, Suite #100
Des Moines, IA 50309
www.iowaabi.org
515-280-8000 / 800-383-4224