02/09/2005
CONTACT: Michelle Dimarob, (202) 554-9000
WASHINGTON, D.C., Feb. 9, 2005 — The National Federation of Independent Business today unveiled its federal legislative agenda for the 109th Congress.
Tax relief, affordable health care, liability reform and regulatory relief top NFIB’s agenda. NFIB also plans to remain involved in postal reform, government competition and the motor vehicle right-to-repair act.
“While we have had success on many of these issues in the past, NFIB is committed to bringing those successes full circle,” said NFIB President and CEO Jack Faris. “During the 109th Congress, NFIB and its 600,000 members will work closely with small-business leaders in the House and Senate so small business can add a full repeal of the death tax, passage of Small-Business Health Plan (also called Association Health Plan or AHP) legislation and curbing frivolous lawsuits as future victories for Main Street.”
Highlights of NFIB’s agenda include:
Make Health Care More Accessible and AffordableAllow small businesses to participate in Small-Business Health Plans. Small-Business Health Plans would allow small-business owners to band together across state lines through their membership in bona-fide associations like NFIB to purchase health insurance for their families and employees. This would give small-business owners the same right to more affordable health care that labor unions and Fortune 500 companies already enjoy. By joining together, small employers will enjoy greater bargaining power, economies of scale and administrative efficiencies. NFIB will continue to champion passage in both the House and Senate.
Simplify the Code and Reduce Taxes
- Eliminate the death tax. NFIB will again lead the fight to make the death tax repeal permanent. Although the tax-relief bill approved in 2001 will lead to a repeal of the death tax in 2010, it will rise from the dead back to 2001 levels in 2011 unless Congress approves legislation making the repeal permanent. NFIB supports and will continue to advocate for a full repeal of the death tax.
- Make income-tax relief and increased expensing limits permanent. During his State of the Union address and in the FY 2006 budget proposal, President Bush called on Congress to make permanent the tax cuts passed in 2001 and 2003. This would lock in lower rates for every taxpayer and would be especially helpful to approximately 85 percent of small businesses that file tax returns as individuals. These increased savings will provide small-business owners with capital to reinvest and grow their businesses while creating stronger incentives for small-business job creation. NFIB will support actions that make these improvements permanent.
- Simplify the tax code for small business. With more than 200 different IRS requirements, an estimated 80-85 percent of small-business owners are forced to pay tax practitioners to prepare their tax returns. This is a costly practice that is especially burdensome for the smallest of small businesses. NFIB will continue to fight for a tax code that makes clarity, certainty and consistency the rule – not the exception.
Curb Frivolous Lawsuits
- Curb frivolous lawsuits. Frivolous lawsuits create a climate of fear for America’s small businesses. While some claims are legitimate, large percentages are completely without merit. NFIB members say that being sued is one of the most threatening experiences for a small-business owner, especially for the smallest of the small, which can be put out of business by one lawsuit. NFIB will continue to support reforms of the legal system, including sanctions against attorneys who bring frivolous lawsuits.
- Cap damages in medical liability suits. Our country is facing a medical liability crisis. Due to skyrocketing medical liability insurance rates, many small-business owners are finding it increasingly difficult to afford health insurance for themselves and their workers, and to locate specialty medical care from OB/GYNs, surgeons and emergency room doctors. NFIB supports legislation that would cap non-economic damages in medical liability suits at fair and reasonable rates and abolish joint liability so that liability is commensurate with responsibility. NFIB also supports capping attorney fees to ensure that patients harmed from negligent care are allowed to keep a higher percentage of the award.
Ease the Burden of Excessive Regulation and Intrusive Laws
- Make regulations less costly and complicated for small business. Regulations can be both expensive and intrusive for small business. Washington’s complex regulatory maze results in a per-employee regulatory cost to a small firm that is nearly 60 percent more than the cost to large firms. NFIB supports actions to review and analyze the impact of regulations to determine their impact on small business.
- Reduce the burden caused by federal paperwork. Businesses currently waste precious hours completing page after page of federal forms, some of which are duplicative and burdensome. The cost associated with paperwork is especially expensive for small business. IRS paperwork alone costs small businesses about $75 per hour. NFIB supports tougher oversight on federal agencies in how they are meeting previously mandated paperwork reduction goals.
The National Federation of Independent Business is the nation’s largest small-business advocacy group. A nonprofit, nonpartisan organization founded in 1943, NFIB represents the consensus views of its 600,000 members in Washington and all 50 state capitals.
