Tell Your Legislators to Vote “NO” on Unemployment Bill—Sets Up 27 Percent Rate Increase
This is not a “compromise” bill. Call your legislators TODAY, and tell them to vote no on SB 6885! As written, SB 6885 makes permanent portions of last session’s HB 2255, undoing significant parts of the 2003 reforms, even though HB 2255 does not sunset until 2007. It requires that the act be liberally construed in favor of the claimant, benefits be calculated based on a claimant’s two highest quarters of earnings, studies the impact of the voluntary quit changes in 2003, lowers the taxable wage base, and spends down the trust fund too fast, jeopardizing overall solvency.  Contact AWB’s Mellani McAleenan at (360) 943-1600 or MellaniM@awb.org.

Important Wage & Hour Bill Passes House 98-0
On Saturday morning, the House of Representatives passed HB 3185, which allows L&I to penalize wage and hour violators while providing important safeguards and protections for honest employers. AWB led the multi-year negotiations leading to HB 3185 and is pleased to see the bill moving in a form that is fair and balanced. Contact AWB’s Kris Tefft at (360) 943-1600 or KrisT@awb.org.

Unions Have “Big Push” for Maryland Style Health Care Bill – Urge Your Legislators to Oppose!
Both Speaker of the House Frank Chopp, D-Seattle, and Senate Majority Leader Lisa Brown, D-Spokane, have indicated a lack of interest in HB 2517/SB 6536, the so-called “Fair Share” bill, which requires large employers to spend nine percent of their payroll on health care or pay a state tax. Nevertheless, this issue will not disappear. Next year’s “pay or play” legislation may apply to you! HB 2517 and SB 6536 are part of a 33 state effort by labor unions, and they are pushing hard in Washington. Don’t let the labor unions get their way on a payroll tax that does nothing to ease health care costs. Go to www.awb.org, and contact Speaker Chopp, Senator Brown and your legislators. Tell them to kill HB 2517/SB 6536. Contact Mellani McAleenan at (360) 943-1600 or MellaniM@awb.org.

Labor Unions Spend Big Bucks in Maryland to Get “Pay or Play” Heath Care
According to last Friday’s Washington Post, two labor unions pushing for Maryland’s anti-Wal-Mart pay or play health care legislation made political campaign contributions to 48 members of Maryland’s General Assembly a month before the vote to override Gov. Robert L. Ehrlich’s veto. It was overridden. No, it wasn’t the AFL-CIO, which is taking credit for launching the legislative assault in 33 states. It was the SEIU (Service Employees International Union) and UFCW (United Food and Commercial Workers). The Post reports the unions made $36,000 in contributions in the month leading up to the veto override.

Biofuels Mandate Bill Passes House, 70-28
ESHB 2378 passed out of the House on Friday by a vote of 70-28. This bill, unlike its Senate counterpart, SSB 6508, was amended in committee to provide for a “volume metric” biofuel blend mandate. Under this approach, the seller/distributor bears the burden of proving to the state that at the end of the year, of all diesel and gasoline sold, 2 percent of the total volume of each must contain biodiesel/ethanol, respectively. SSB 6508 provides for a general mandate on the consumer whereby 2 percent of all diesel or gasoline offered for sale must contain a minimum blend of 2 percent biodiesel/ethanol. The Senate will likely debate SSB 6508 today or tomorrow. AWB maintains its strong support for the biofuels industry and the many positive attributes associated with development of biodiesel and ethanol, but will continue to work for an incentives-based approach rather than a mandates approach as provided in both of these bills. Contact AWB’s Chris McCabe at (360) 943-1600 or ChrisM@awb.org,

Retailers File ERISA Suit Against Maryland “Pay or Play” Bill
The Retail Industry Leaders Association (RILA) filed suit in U.S. District Court, claiming new pay or play laws in Maryland and Suffolk County, New York, violate ERISA (Employee Retirement Income Security Act). ERISA was passed in 1974 by Congress.  The purpose was to insure that employers offer uniform coverage to employees free from conflicting state regulations and mandates. The Maryland legislation calls for employers with more than 10,000 workers to spend 8 percent of payroll on employee health care benefits. In New Hampshire, the threshold is 1,500 and requires 10.5 of payroll, while in Washington the legislation requires companies with 5,000 or more to spend 9 percent of payroll on employee health care excluding costs for wellness programs. 

State Family Medical Leave Act Bill Passes Senate 37-12
Last Wednesday, the state Senate passed a state version of the federal Family and Medical Leave Act, which requires 12 weeks of unpaid leave every year for eligible employees to care for sickness or certain sick family members. AWB helped defeat versions of the bill which would have greatly expanded the scope of the federal law in the state. Right now, the bill simply codifies into state law what covered employers are already doing under federal law. Because it was pared back to conform to federal law, AWB was neutral on final passage of the bill. Contact Kris Tefft at (360) 943-1600 or KrisT@awb.org.

State Taxpayers Paid for a Sex Change? 
According to last Friday’s Seattle Post-Intelligencer, Washington taxpayers footed the bill for a sex-change operation, penile implants, breast augmentation and ear piercings.  State Auditor Brian Sonntag found thousands of questionable expenditures in his state Medicaid audit in the 2004 fiscal year.  For example, Sonntag, a Democrat, found Medicaid paid $9,549.92 to surgically transform a woman into a man. State Medicaid Director Doug Porter told the PI that the state takes issues with Sonntag’s conclusion that the procedures were unallowable expenses. Porter said: “The debate would be whether or not they were medically necessary…and medical necessity is a term that is, as we speak, is undergoing revision.”

Gov. Gregoire Defends WASL, Reiterates Support for Open-Door Policy With Business
At AWB’s 2006 Legislative Luncheon, last week in Olympia, Gov. Christine Gregoire gave a strong defense of staying the course on the Washington Assessment of Student Learning (WASL) test. She also reiterated her support for an open-door policy with business.

Learn the Legal Aspects of Interviewing, Hiring, Managing and Discharging Employees
AWB will hold an Employment Law Seminar at SeaTac’s Hilton Hotel, Wednesday, Mar. 22. This seminar will help employers manage the employment relationship from beginning to end. Contact AWB’s Alisha Boggs at (360) 943-1600 or AlishaB@awb.org.

Transportation Secretary MacDonald Wants Viaduct Decision Soon, Sees Extensive Tolling in 20 Years
Secretary of Transportation Doug MacDonald state, last week at AWB’s Board meeting, that it is essential that a decision be made on whether Seattle’s Alaskan Way Viaduct is rebuilt as a tunnel or an elevated structure before 2007. MacDonald also came out strongly in favor of value pricing through extensive use of electronic tolls as a means to better manage traffic on Washington’s highways. MacDonald believes this type of system will come into place in increments over the next 20 years.

House Approves Insurance Subsidies for Small Businesses, But Still No Low Cost Health Care Option 
House Democrats have agreed to provide subsidies to businesses with between two and 50 employees that adopt health insurance programs similar to the state's Basic Health Plan, but they would not agree to an amendment that would have allowed employers to choose lower cost plans. Employees with incomes below 200 percent of the federal poverty level would be eligible for the subsidy. Businesses that opt in would split 80 percent of the cost with the state, with workers paying the remaining 20 percent. The Democrat majority also refused to adopt an amendment to allow B&O tax relief to small businesses for the cost of their health care plans. ESSB 2572 now heads to the Senate. Contact AWB’s Mellani McAleenan at (360) 943-1600 or MellaniM@awb.org.

American Petroleum Institute’s John Felmy Calls for Rational Energy Policy, Supports ANWR
At last week’s AWB Board meeting, John Felmy, of the American Petroleum Institute, made a strong case for ANWR oil exploration, although he does not expect any congressional action on the issue this year. ANWR is a “religious issue” for many of the opponents of oil exploration, according to Felmy, who insists that the U.S. needs a rational consensus on energy. Felmy believes ANWR probably has 10 million barrels of oil – enough for 30 years, which would help our balance of trade and increase our energy independence.

WARNING CONTINUES: Check with AWB Before You Provide Information to the State
“We’re waiting!”  Waiting to hear from Attorney General Rob McKenna and the Governor’s office to learn where the breach in confidential information occurred, who will be punished for leaking the information to the media, and whether or not the $5,000 fine for violating confidentiality will be levied.  Meanwhile, be careful what information you give to the state!  We were able to get a copy of the letter from Employment Security Department (ESD), which went to selected state legislators and legislative staff with regard to confidential employer information regarding their employees on the Basic Health Plan and Medicaid programs. What started this? Well, read the first paragraph of the ESD letter, which states: “In vetoing SHB 1486 during the 2005 session, Governor Gregoire directed the Health Care Authority and Dept. of Social and Health Services to work with the Employment Security Department to generate a list of employers with the greatest number of workers enrolled in the state’s Basic Health Plan and Medicaid programs. In doing so, the governor directed that distribution of that information be done in accordance with state and federal confidentiality laws.”

Schweitzer Engineering Labs and 14 Other Companies Honored With Better Workplace Awards
AWB was proud to honor 15 companies with our Better Workplace Awards, which were given out at last week’s Legislative Luncheon. The Better Workplace Awards are given to honor companies that provide exceptionally good working environments for their employees. Pullman’s Schweitzer Engineering Laboratories was the overall winner, while Columbia Vista Corp., Fluor Hanford, Pacific Northwest National Laboratory, and Providence St. Peter Hospital won in the Workplace Safety category. Bayview Limousine Service, Inc.; Dri-Eaz Products, Inc.; Damar Machine Co.; Sprague Pest Solutions; Providence St. Peter Hospital; and the Fairmont Olympic Hotel were honored in the Job Training category. Finally, Rogers & Norman, Inc., Buck & Gordon, LLP; Wilbert Precast, Inc.; Columbia Beverage Co.; and Dri-Eaz Products, Inc. won in the Innovative Benefit & Compensation Programs category.

Heat Stress Regulations to Be Discussed on Next Washington Business Weekly
AWB’s Grant Nelson and Clif Finch, of the Washington Association of Food Processors, will discuss state heat stress injury regulations on Washington Business Weekly, 11 a.m.-12 noon, Thursday, on Tacoma’s KLAY 1180 AM and at www.awb.org.

Best Practices for the Human Resources File Cabinet Seminar – Feb. 28, Red Lion Hotel, SeaTac 
Learn how to avoid fines, penalties, and litigation through adopting "best practices" and maintaining proper employment records. For more information, see www.awb.org/events/seminars/hrfilecabinet.asp. Contact Alisha Boggs at (360) 943-1600 or AlishaB@awb.org.

Growing Trade Deficits Show Need for Energy Independence
America’s appetite for foreign oil and other imports caused the U.S. trade deficit to another all-time record. The deficit rose 17.5 percent from 2004 - the fourth straight record year.  According to the Commerce Dept., the chief culprit was foreign oil exacerbated by Hurricane Katrina and Rita.  The U.S. foreign oil bill soared to a record $251.6 billion, up 39.4 percent from 2004.

Blackberry Users Get a Reprieve
Blackberry users can breathe a little easier...for now. On Thursday, the maker of the Blackberry handheld device - Research In Motion Ltd. (RIM) - announced it developed a software workaround to enable users to continue using the device if an injunction is declared against the company. RIM has been involved in patent dispute over its technology, threatening millions of Blackberry users in the U.S.

Need Answers to Your Employment & Environmental Issues? Check Out AWB’s Guides
AWB has partnered with law firms to provide employers with easy reference guides covering state employment/environmental laws and regulations. Learn more at: www.awb.org/services/bookstore.asp. Contact Alisha Boggs at (360) 943-1600 or AlishaB@awb.org.

"Pay or Play" Legislation: Unions Play, Workers and Taxpayers Pay - See This Week’s President’s Perspective at www.awb.org.

If you would like to unsubscribe to Fast Facts, please contact Members@awb.org.