01/22/2008
2008 session underway
Budget
The 2008 General Assembly Session started Jan. 9, and the economic outlook wasn't sunny. Delegates and senators are faced with a growing budget deficit, now forecast to be $641 million. To make things more complicated, the governor is faced with a one-time opportunity, as a one-term governor, to leave his mark on Virginia with the introduction of the FY 2009/2010 state budget. The governor and progressive members of the Senate would like to tap into the rainy-day fund to make up for the deficit while conservative House Republicans propose targeted budget cuts to fill in the gap. Because things could become very heated, it is possible that the budget talks will keep session from adjourning as planned on March 8. Stay tuned for more information.
Health care
We've been hard at work discussing potential health care solutions for small business. We're encouraged lawmakers are eager to address the small-business health care crisis in the Commonwealth.
"Virginia Share" Health Insurance Program seeks to expand access to health insurance coverage for small-business owners and their employees who currently do not offer insurance. The limited program is targeted at working, low-income employees, earning 200 percent of the federal poverty level or less. The program will model private insurance coverage, with the employer, the employee, and the state each covering one-third of the premium costs for participating individuals, up to $75 per month. Initially, more than 5,000 Virginians are expected to gain health insurance through the program. At this stage the program is a pilot program, with a sunset date of 2011. Our goal is to increase employers' access to affordable health insurance options so as to cover more Virginians, thereby saving the Commonwealth money. Stay tuned for more details.
Insurance mandates. The six different mandates proposed in this session would continue to raise the cost of health insurance, making it less affordable. According to the Council Affordable Health Insurance, Virginia ranks third in the nation in the number of mandated benefits, providers and covered persons. Even well-intended mandates add costs.
Immigration
We're an active participant in this year's debate surrounding employers and immigration. We support a business climate that facilitates the employment of legal immigrant workers. Our continued success relies upon an adequate, stable and legal workforce for Virginia employers. To that end, we're working towards a sensible solution that cracks down on those who knowingly break the law but protects employers from penalties when acting in good faith to comply with federal immigration law.
Honorable mentions
The week would not be complete without mentioning a few of the many bills that deserve an early demise.
The "Restroom Access Act" (HB 733) tops the list. It would require public access to employee-only restrooms under certain conditions, regardless of the employers' rules and regulations.
Bills to allow public employees to "meet and confer" (HB 152) or collectively bargain (HB 852) are coming back. Both run counter to business initiatives and are seen as the camel's nose under the tent for future union-driven initiatives.
Several more ask that the business community assume the responsibilities of the IRS by requiring businesses to notify its employees that they may be eligible for the earned income tax credit. Failure to do so would result in a fine. A House subcommittee buried the House suggestion (HB 284). The Senate bill (SB 14) was passed by committee and will be heard on the floor.
Finally, there is one mandatory school leave bill this year. It (HB 792) would require leave for employees to attend their child's school events. There are penalties for noncompliance associated with this bill.
