Small-Business Issue Agenda

Founded in 1943, NFIB was created to give small and independent business a voice in government. Today, the organization remains true to its character of advancing the concerns of the small-business community. The cornerstone of our advocacy effort lies in the fact that our members are charged with determining the organization’s public policy positions.

Members vote on policy positions through a unique ballot process, and the majority sets the official NFIB position. These principled stances represent the consensus view of the small-business community. And decision makers in Washington, D.C. and the state capitals are listening.

Therefore, we always come out fighting every time lawmakers and regulators try to take another bite out of your business or your pocketbook. There is too much at stake to sit on the sidelines during important political and policy debates…the cost of doing business in America is too high. It threatens your small business and future generations of entrepreneurs.

Here is a list of key issues impacting the small-business community today:

Make Health Care More Accessible and Affordable

Health-care costs have been the No. 1 issue facing small-business owners since 1986, and those concerns are growing, according to our members. As health-care costs go through the roof, small-business owners have very few choices when selecting insurance coverage for their employees. The tipping point is here, and small businesses are begging for solutions to rising health-care costs and lack of access.

Double-digit insurance premium increases has made providing and maintaining coverage more and more difficult. In many states, small-business owners have only one or two insurance companies from which to choose—a monopolistic atmosphere producing out-of-sight prices. Insurance premiums for small groups or single coverage have increased by more than 82 percent since 2000. This is completely unsustainable over the long term.

NFIB knows that no one solution will cover the 44.8 million Americans without health-care, but a multi-faceted approach can help lower costs and increase accessibility. This approach should include health-insurance purchasing pools for small businesses, tax-based incentives to assist with the purchase of health insurance and implementing cost-containment measures:

?Institute small-business market pooling that will give employers more purchasing clout and lower administrative costs.
?Expand saving accounts for health-care spending that would allow individuals to save for future medical expenses.
?Limit health-care mandates for small businesses so they can provide affordable benefit packages that can be tailored to their workforce needs.
?Pass legislation that allows individuals to purchase health insurance coverage across state lines.
?Deductibility of health-care costs so individuals can fully deduct the purchase of health insurance.

Simplify the Code and Reduce Taxes

Taxes that are too high, and a system that is ridiculously complex, stand in the way of small-business growth. We are fighting for tax relief on several fronts at the state and federal levels because we know that a complex tax code and burdensome taxes are among the top concerns of small-business owners. Over the last four years, we achieved some significant victories for small business, including the reduction of federal income-tax rates and an increase in the expensing limit for small businesses.

We're committed to making these changes permanent so small businesses can have the consistency they need to achieve optimum growth for their own businesses and for the economy as a whole.

We're currently working on a number of tax solutions that will allow small businesses to keep more of their profits, reinvest in their business, grow, and remain competitive:

?Repeal of the Alternative Minimum Tax so that middle class business owners don’t get socked with this unfair tax.
?Secure permanent tax relief that ensures recent tax cuts are extended and small-business owners can have peace of mind during tax season.
?Repeal of the Death Tax so that family businesses can stay in the family.

Ease the Burden of Excessive Regulation and Intrusive Laws

We're fighting to reduce the disproportionate burden placed on small business by federal regulations. 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.

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.

We want Congress to simplify the employment process for small business, eliminate burdensome mandates and prevent the expansion of cumbersome regulations that punish the small businesses that create the majority of America's jobs.

Institute Common-Sense Labor Laws

Small-business owners know that their employees are their most valuable resource, and they work hard to train and retain employees by creating a comfortable workplace and rewarding them for a job well done.

Government rules and regulations created by laws such as the Americans with Disabilities Act, the Davis-Bacon Act and the Family Medical Leave Act have made labor issues more complicated than ever. It's important to remember that small businesses must operate differently from large businesses; they do not have human-resources departments to track the changing standards and mandates that affect their workforce and workplace.

We are currently working on the following fair and practical labor issues:

?Stopping any variation of "Card Check" agreement legislation that would make it easier for big labor unions to organize small businesses by mandating card check agreements instead of private-ballot elections.
?Ensuring that the Family Medical Leave Act is fair towards small business by limiting the number of mandates in the bill and allowing employers and employees to negotiate a benefits package that meets their mutual needs.
?Revising the Davis-Bacon Act that discourages small and minority-owned businesses from bidding public projects due to the bill’s complex and archaic rules.

Support Common-Sense Legal Reforms

As the nation's legal system continues to spiral out of control and billion-dollar lawsuits become the norm, we are working hard for legal reform in all 50 states. Along with pushing for legislation that abolishes joint-and-several liability and caps excessive punitive damages, we will fight for legal reform that levels the courtroom playing field for small business.

We are working to reduce the number of frivolous lawsuits that have created a climate of fear for America’s small businesses. While some claims are legitimate, large percentages are completely without merit. Our 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. We will continue to support reforms of the legal system, including sanctions against attorneys who bring frivolous lawsuits.

We support 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. We also support capping attorney fees to ensure that patients harmed from negligent care are allowed to keep a higher percentage of the award.