Issues in the News

 Print  |  E-mail  | -- Font | ++ Font | rss.gif
NFIB/New York State Capitol Update – May 8, 2008
05/08/2008

NFIB calls on Speaker Silver to consider property tax cap
NFIB/New York State Director Mike Elmendorf responded to Assembly Speaker Sheldon Silver's comments in the media suggesting that any proposal to cap property tax growth was dead – before two state commissions studying the cost of local government and property taxes had completed their work – with a letter to the Speaker that was circulated to the full Legislature.

Elmendorf pointed out that there is strong support among New York's small business community for a property tax cap--and for good reason.  New Yorkers pay the highest property taxes in the nation. Local property taxes increased 42 percent from 2000 to 2005, more than three times the rate of inflation. Property taxes are by far the largest and fastest growing component of most New Yorkers' tax bills, and are the main reason why New Yorkers are saddled with the highest tax burden in the nation.

Property taxes are a particular problem for small business, already struggling with an adverse economic climate and New York's dubious distinction of having the second highest cost of doing business in the nation.  Some 40 percent of the property tax levy is paid by business, totaling more than $14 billion and making it the single largest tax on business in New York.  Not only do small business owners bear that burden at their business, but they are whacked by the tax man with sky-high property tax bills on their homes as well. Dramatic increases in state aid to education have done nothing to stem this out-of-control tax burden.

In our most recent NFIB Member Ballot, 83 percent of NFIB/New York members expressed support for a property tax cap.

We not only believe that a property tax cap is right for New York, but that the issue deserves at least a fair hearing in the legislature and an up or down vote. Our legislators should be on record on this important issue, and it certainly should not be dismissed out of hand as the Speaker seems to be doing – much to the delight of the teachers' union and public employee unions. We will continue to keep pressure on the Legislature to give a property tax cap the full consideration that it deserves.

Read the full text of Mike Elmendorf's letter to Speaker Silver

Sen. John McCain to keynote NFIB 2008 National Small-Business Summit
Sen. John McCain, the presumptive Republican Party nominee for president, will be a keynote speaker at the National Federation of Independent Business' 2008 National Small Business Summit. The Summit will be held Monday, June 9, and Tuesday, June 10, at the Grand Hyatt Washington, 1000 H St. N.W., in Washington, D.C. Sen. McCain is scheduled to address attendees at 9:30 a.m. on Tuesday.

Sens. Hillary Clinton and Barack Obama also have been invited to speak to the hundreds of small business owners from around the country who are expected to attend.

The 2008 National Small-Business Summit, "We Are Stronger Together," presented by NFIB and eBay, offers attendees the opportunity to meet their lawmakers face-to-face and share their experiences about how Washington, D.C., decisions affect small businesses. The Summit will focus on top small business legislative priorities, including healthcare reform efforts.

Other speakers include Todd A. Stottlemyer, NFIB president and CEO; Meg Whitman, former president and CEO; eBay, Tony Snow, CNN political commentator and former White House press secretary; Roger Staubach, founder, The Staubach Co. and NFL Hall of Fame member; Charles Cook, The Cook Political Report; and Stuart Rothenberg, The Rothenberg Political Report.

The deadline for attendees to receive a discounted hotel rate is May 9. More information about the Summit, including online registration, is available at http://www.NFIB.com/summit.

Gov. Paterson and Local Government Efficiency Commission propose cost-saving measures
The New York State Commission on Local Government Efficiency and Competitiveness issued its final report to Gov. Paterson last week, making a number of recommendations to increase the efficiency and reduce the cost of local government. The commission's recommendations included local government consolidation, sharing of services, and school district consolidation.

Gov. Paterson followed up on this report by proposing legislation geared to enact a number of cost-cutting measures, including elimination of compensation and benefits for commissioners of costly "special districts," making it easier for governments to share services and streamlining the process for citizens to petition for municipal consolidations or dissolution.

This commission's work and Gov. Paterson's legislation are an acknowledgement of something small business owners have long known: Not only does government in New York cost too much, but we have too many governments in New York. We hope the commission's report and the legislation Gov. Paterson has proposed will be a first step toward reducing the cost and scope of government in New York. 

We now await the report of the New York State Property Tax Commission, chaired by Nassau County Executive Tom Suozzi, which we anticipate will include a property tax cap proposal.

Small business and big business join forces against paid family leave mandate
NFIB and the Business Council partnered last week to lobby against legislation to impose a paid family leave mandate on all private employers in New York.

We strongly oppose this job-killing legislation, which would mandate up to 12 weeks of paid family leave, and led the successful fight to stop it last year.

We let legislators know that small business strongly opposes this costly proposal, with 92 percent of our membership coming out against it in our most recent Member Ballot.

New York already has the nation's second highest cost of doing business. The last thing small business needs is another costly mandate. Furthermore, small businesses cannot absorb the long-term absence of an employee, which is why the federal "Family Medical Leave Act" exempts employers with fewer than 50 employees. The legislation currently being considered in Albany does no such thing.

Defeating this legislation continues to be a top priority of NFIB/New York. In the coming weeks, we will likely be calling on you again to contact your legislators and the governor to make your opposition known. The strong response we received to last year's action alert on this issue made a critical difference, so we will be counting on you to make your voice heard again as we fight the paid family leave mandate.

NFIB pushes for relief from high fuel prices
State Director Mike Elmendorf joined the Senate Majority and Assembly Minority in supporting a plan to help ease the pain businesses and consumers alike are feeling at the pump in the wake of record high (and seemingly ever increasing) gas prices.

Legislators proposed legislation to provide a holiday from the New York State portion of motor fuel taxes from Memorial Day to Labor Day, a measure that supporters say would shave approximately 30 cents a gallon from the cost of gasoline and about 35 cents a gallon from diesel. The Senate this week passed legislation to do just that.

In backing this plan, Elmendorf said, "Energy costs in New York are among the highest in the country. The skyrocketing price of fuel is not only hurting consumers, but is taking a terrible toll on the bottom lines of small business all around New York. High fuel prices drive up the cost of doing business and transporting goods, and threaten to cripple small businesses already struggling with an adverse economic climate and the nation's second-highest cost of doing business. They also dramatically decrease the spending power of consumers, further impacting small business owners – New York's job creators."

While this proposal is certainly not a cure-all, it would provide some relief and leave consumers with a bit more to spend and small businesses with more to invest in their business.

We will continue to watch this issue closely in the closing weeks of session and advocate for legislation to lower the high cost of doing business in New York.

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