Issues in the News

 Print  |  E-mail  | -- Font | ++ Font | rss.gif
NFIB/Virginia Legislative Update – March 13, 2006
03/13/2006

NFIB hosting issues update with Thelma Drake
NFIB/Virginia's Hampton Roads Area Action Council is hosting a Small-Business Federal Issues Luncheon with Congresswoman Thelma Drake on Thursday, March 23, in Virginia Beach. The luncheon is sponsored by Optima Health. Seating is limited so sign up today.  

Session nears end
The final week of regular session is filled with scowls, cold stares and tension – much like a shoot-out at the OK Corral. The political showdown is typically not between Republicans and Democrats, but between senators and delegates who are working out compromises. The legislative committees have finished their work and the conference committees are working out the details of legislation.

The House and Senate adjourned on Saturday without agreeing on a state budget. This budget is over $70 billion in state spending for the next two years. The Legislature will return to Richmond March 27 in a special session to discuss money matters. 

Death tax repeal dies for now
The House of Delegates supported full repeal of Virginia's death tax. The Senate supported repeal only for estates with a value of less than $10 million dollars. The two bills have been discussed in conference committee for more than a week, with no movement expected until a breakthrough on transportation is achieved. We expect the legislators to deal with the death tax again when they convene in two weeks to discuss the state budget. The committee may or may not ever meet, but the specific conference committee members will discuss options and try to come up with a compromise. If no compromise can be reached, both bills will die.

The two bodies have elected three conferees from each side. House members are Delegates Bob Tata (Virginia Beach), Lee Ware (Powhatan) and Joe Johnson (Abingdon). Senate members are Senators Tommy Norment (Williamsburg), John Chichester (Fredericksburg) and Janet Howell (Reston).

Eminent domain reform dies for the year
Eminent domain has been in the media for some time. The House has put together a tighter version of eminent domain, which would all but halt local governments from condemning property, even to remove blighted areas. The Senate version is broader and would allow local governments, in certain circumstances, the authority to continue to condemn property to remove blight.

In the end, neither the House nor the Senate could agree to a compromise. It is hoped they can continue to talk this summer and work on an agreement to truly protect property rights for small business.

Eighty-eight percent of NFIB members said government's power of eminent domain should be restricted to prevent private property from being seized for private commercial enterprises for the purposes of economic development.

State bill for health insurance pools passes
Del. Phil Hamilton (Newport News) has received approval of a bill that would authorize the establishment of pooling agreements under which a designated attorney-in-fact contracts on behalf of small-business owners for group health insurance coverage for their employees. This will allow small-business owners and their employees to band together to get discounted group rates like large corporations. Membership in the health group would be limited to employers with no more than 50 eligible employees.

The Senate Commerce and Labor Committee approved the bill Monday evening, and the Senate passed the bill later that week. 

Small business certification streamlining process approved for state contracts
SWAMS – small, women and minority-owned businesses – will have a slightly better chance at getting state contracts, as a result of new changes. They also should have an easier time becoming certified as a SWAM in Virginia, thanks to the legislation introduced by Del. Bob Marshall (Manassas) and Senator Yvonne Miller (Norfolk). 

The bill includes SWAMs in the certification process administered by the Department of Minority Business Enterprise (DMBE). Earlier this year, Gov. Tim Kaine moved this department under the direct supervision of the Secretary of Administration. Businesses already certified by the DMBE will not have to go through a recertification process or pay new fees, and local governments cannot require additional paperwork to participate in any program designed to include SWAMs.

Federal health insurance bill moving forward
On the federal level, Small-Business Health Plan legislation, which has passed the U.S. House of Representatives eight times, is at a critical point in the U.S. Senate. A Senate committee is considering this long-awaited legislation that would allow your small business to pool together when purchasing health insurance. NOW is the time to remind Senators John Warner and George Allen to vote YES on Small-Business Health Plan legislation, the top priority of NFIB members. Contact your senators.

Sincerely,
Gordon Dixon
NFIB/Virginia State Director

 Print  |  E-mail  | -- Font | ++ Font | rss.gif