TOP STORIES
Governor signs I-960 suspension into law
Gov. Chris Gregoire opened the door to new taxes last week by signing SB 6130 into law. The bill, sponsored by Sen. Margarita Prentice, D-Renton, suspends Initiative 960, the voter-approved restraint on the Legislature that required a two-thirds supermajority to raise taxes. Instead of living within its means and making tough cuts, state government is looking at raising taxes when employers and the families they support can scarcely afford it. For more information, contact AWB’s Amber Carter.


Senate, House budgets: What’s on the table for taxes?
State House Democrats announced a $760 million tax plan Monday that comes closer to Gov. Gregoire’s proposed plan than the one favored by Senate Democrats. The plan calls for the elimination of $385 in tax exemptions; $163 million in sales taxes on bottled water, custom software, candy, gum, elective plastic surgery and janitorial services; and $99 million in additional funds raised through “tax fairness” – such as a .05 percent increase in the B&O tax rate for lawyers, accountants, consultants and investment earnings. The tax proposal comes on the heels of Saturday’s Senate vote narrowly approving an operating budget that includes $920 million in unspecified tax increases. The Senate budget relies on a proposed 0.3 percent general sales tax increase lasting until 2013 plus a cigarette tax increase of $1 per package. What is unfortunate, in AWB’s view, is that further spending cuts were not made first before lawmakers resorted to tax increases when there was still plenty of fat to cut from state government. For more information, contact AWB’s Amber Carter.


Legislature considering repealing tax exemptions
Sweeping changes may be coming to Washington’s tax code, and AWB is concerned about their potential impact on business. HB 3176, sponsored by Rep. Ross Hunter, D-Medina, would overhaul the tax code in ways that would make it less predictable, removing tax exemptions and causing uncertainty for businesses. AWB is instead urging the Legislature to launch a study on the tax code when the session concludes, so the issue can be thoroughly examined instead of enacting major changes during the rush at the legislative session’s end. For more information, contact AWB’s Amber Carter.


Manning: No sweet spot for Washington's budget woes
Jay Manning, chief of staff for Gov. Gregoire, offered his take on the struggle to close Washington's $2.8 billion budget shortfall Thursday during AWB's weekly Lobby Lunch meeting. The effort is more difficult than usual this year, Manning said, because there does not appear to be any middle ground that appeases all sides in the debate that ranges from an all-cuts approach to an all-tax approach. "There is no sweet spot," said Manning, who predicted the Legislature will not finish its work by March 11 and will go into overtime.


Business responds to devastating Chile quake
The U.S. Chamber of Commerce has activated the National Disaster Help Desk for Business in response to the 8.8 magnitude earthquake that struck Chile on Saturday. The earthquake, one of the strongest in recorded history, affected more than 2 million people and has killed at least 723. The help desk, part of the Chamber’s Business Civic Leadership Center, is now taking calls and e-mails about how to assist in the recovery of both Chile and Haiti, which is struggling to recover from last month’s earthquake. For more information, call 1.888.MY.BIZ.HELP or e-mail Gerald McSwiggan, BCLC disaster program manager.


Gregoire leads coalition calling for Boeing to land Air Force tanker deal
Gov. Gregoire, chairwoman of the U.S. Tanker 2010 Coalition, said there has been enough delay in the military's effort to build the new tanker, and she called on the Pentagon last week to award the $35 billion deal to Boeing. "It's important that we keep Americans at work," Gregoire said during the launch of the bipartisan coalition. "Awarding Boeing the contract to supply our next fleet of tankers will ensure work for 40,000 to 50,000 people across the country." The effort’s supporters include the Washington Aerospace Partnership, a coalition of more than 100 businesses and organizations, including AWB.


Senate budget robs UI trust fund to pay for community colleges
AWB understands the importance of the state’s community college system and supports it. We do not, however, support raiding the state’s unemployment insurance trust fund to accomplish this otherwise worthy goal. Unfortunately, the Senate’s budget does exactly that. Employers have seen their UI taxes increase in excess of 200-300 percent this year alone due to the sustained rate of high unemployment. Asking these employers to now foot the bill for community colleges is this last thing this struggling economy needs — all dollars diverted from the UI trust fund must be repaid through even higher employer UI taxes. Contact your legislators and urge them to oppose any diversion of UI funds. For more information, contact AWB’s Donna Steward.


AWB helps stop raid on workers' comp trust fund
While starting a new farm worker intern program is not a bad idea, using money from the state's workers' compensation trust fund to pay for its administration is. That is why AWB testified last Thursday against SSB 6349, sponsored by Sen. Kevin Ranker, D-San Juan Island. Approximately $50 million per year in non-workers' comp-related spending is now diverted from the fund each year as a result of previous raids during the past decade. Fortunately, legislators listened to AWB, stopped this bill, and put the brake on raiding the workers’ comp fund. For more information, contact AWB’s Kris Tefft.


Sonntag to speak at this week’s Lobby Lunch
State Auditor Brian Sonntag will speak on Thursday at AWB’s Lobby Lunch meeting. If you have not already RSVP’d and are interested in attending, please do so by 5 p.m. tomorrow. Lunch begins at noon and is $14 per person. For more information or to register, contact AWB’s Connie Grande.


Arun Raha will speak at AWB’s Spring Dinner and Board Meeting in Spokane
Just confirmed: Arun Raha, director of the state’s Economic and Revenue Forecast Council, will speak at AWB’s Spring Dinner and Board Meeting in Spokane, May 11-12. Dr. Raha is an engaging speaker and one of the best authorities on Washington’s economy. Click here to register online or contact AWB’s Jennifer Costello.


Reminder: We need your nominations for AWB Board
AWB is seeking nominations for its Board of Directors. Please send the name and contact information of your nominees to Dick Walter, AWB vice president of operations, by Friday, April 30.


JobMakers.com, your online source for tracking job-creation legislation
Want to track what legislators are doing to create jobs in Washington state? Be sure to check JobMakers.com, a real-time tracking site that includes bills from the 2010 legislative session. Use JobMakers to track current news and information about bills that will help create economic growth in our state.


Weekly Twitter chat on legislative issues each Thursday
Remember to tune in at 4 p.m. this Thursday on Twitter for what could be the next-to-last Web chat regarding the 2010 Legislative Session. To join in the AWB-led discussion, log on to Twitter, follow AWB, and set up a search for the hashtag #walegchat. Or, follow legislative news by tracking the hashtag #waleg. For more information about the chat or how to use Twitter, contact AWB’s Jason Hagey.


Catch up on the week in Olympia with Friday’s WashACE phone briefing
Looking for a concise wrap-up of the week’s legislative action? Join us this Friday for the weekly WashACE phone briefing on legislative issues with policy experts. The call begins at 7:30 a.m. and ends promptly at 8 a.m. Register for Friday’s call online or contact WashACE’s Richard Davis to suggest a topic for the briefing.


KEY HEARINGS, MEETINGS
Zarelli at Education and Training Committee meeting tomorrow
One of the Legislature’s foremost budgetary experts, Sen. Joseph Zarelli, R-Ridgefield, will meet with the Education and Training Committee tomorrow from 8 – 10 a.m. at AWB. Zarelli will discuss his new school finance proposal. Caroline King from the Partnership for Learning will discuss Race to the Top and progress made this session toward meeting its requirements. For more information, contact AWB’s Donna Steward.


PRIORITY LEGISLATION
Wrongful death liability bill moving in the House – Tell your representatives to oppose
AWB is actively opposing SB 6508, sponsored by Sen. Darlene Fairley, D-Shoreline. The bill, which is an expansion of wrongful death liability, was passed by the House Judiciary Committee on Tuesday and is now in the House Ways and Means Committee. AWB is working hard to stop this bill and asks you to urge your representatives to oppose this high-cost measure. For more information, contact AWB’s Kris Tefft.


Educational leave bill nearing Senate floor vote
AWB opposes HB 2444, sponsored by Rep. Brendan Williams, D-Olympia. This bill expands the state Family Leave Act to apply to all employers for the purposes of leave from work for a child’s educational events. AWB testified against this measure Tuesday in the Senate Labor, Commerce and Consumer Protection Committee. Unfortunately, the committee passed the bill, and it now awaits a Senate floor vote. Urge your senators to oppose this needlessly burdensome bill. For more information, contact AWB’s Kris Tefft.


Copper brake pad legislation nears final agreement, passage by the House
SB 6557, sponsored by Sen. Kevin Ranker, D-San Juan Island, will limit the use of copper and other materials in vehicle brake pads. Although copper was once the preferred material to take the place of asbestos — and used to dissipate heat caused by friction during the braking process — scientific data suggests dust from copper brake pads deposited into the state’s waters through stormwater may cause harm to aquatic species. Agreement on a final bill has nearly been reached through a collaborative process involving AWB, vehicle manufacturers, dealers, retailers and brake pad industry representatives. The bill is expected to receive a House floor vote this week; SB 6557 will then return to the Senate for concurrence. For more information, contact Grant Nelson.


OTHER NEWS
Annual manufacturing and wholesale survey starts tomorrow
The AWB Institute, in partnership with RSM McGladrey, will be hosting an annual manufacturing and wholesale distribution survey. The survey will focus on key areas within the industry dealing with condition of business, growth strategies, global economy, supply chain, operational effectiveness, margin improvement, innovation, health care, tax strategies, information technology, risk management and workforce. The survey will be open Tuesday, March 2 – Friday, April 2, and accessible on the institute’s Web site. For more information, contact AWB Institute’s Grant Gilmore.


AWB president to meet with Walla Walla-area members
AWB members from the Walla Walla area are invited to meet Thursday with AWB President Don Brunell for an informal meeting at the Marcus Whitman Hotel. “We need your input to help make our state more attractive for employers, workers and families,” said Brunell. “I hope you or any of your company associates will attend.” The meeting begins at 8:30 a.m. Please RSVP to AWB’s Bonnie Millikan.


Register now for Partners in Emergency Preparedness Conference, April 6-7
Don’t miss this opportunity to join with emergency management planning professionals from the private and public sectors and share lessons in emerging topics in preparedness. The Partners in Emergency Preparedness Conference takes place April 6 – 7, at the Greater Tacoma Convention and Trade Center. Call 866.986.8083 or 253.238.8000 for lodging registration at the Hotel Murano. For more information, contact Dana (Schlenker) Colwell at 253.445.4575.

Alaska Airlines will provide Wi-Fi on longer flights
Alaska Airlines recently announced it will offer Aircell’s Gogo Inflight Internet service on all of its aircraft. Thanks to Gogo, passengers will be able to browse the Web, access online music, games, podcasts and webcasts, send and receive e-mail, and connect to virtual private networks while flying. The easy-to-use service will provide passengers with full Internet access on any Wi-Fi-equipped laptop or personal electronic device at speeds similar to wireless mobile broadband services on the ground. If you have a good news story about your company that you’d like to see in Member Spotlight, contact AWB’s Paul Schlienz.


AWB EVENTS & RESOURCES
Get recognition for your company’s achievements with AWB’s Community Service Awards
AWB’s Community Service Awards recognize members’ volunteerism and contributions that make our communities better places to live and work. Entries may be submitted for projects that support education, youth organizations, community beautification projects, community organizations that help people in need or programs recognizing volunteerism. There’s also a special general category for projects that mobilize communities into action. Awards will be presented at the Davenport Hotel in Spokane, in conjunction with AWB’s spring meeting May 11-12. If you would like us to fax or mail a nomination form to you, contact AWB’s Jennifer Costello.


AWB Environmental Excellence Awards – Now accepting nominations
AWB’s Environmental Excellence Awards recognize companies demonstrating initiative, innovation and outstanding achievements in environmental compliance, protection and conservation. Award categories include resource conservation and pollution prevention, sustainable communities and green building, leading environmental practices, and green enterprise and technology. Click here for more details.


Legislative wrap-up Webinar — Tuesday, March 23
Important new employment and human resource bills were introduced and considered in 2010 session of the Washington State Legislature, including changes to the state’s unemployment insurance system, workers’ compensation system, paid family leave and workplace relations. Join us for a free 60-minute webinar to find out what laws passed, how they will affect your operations and what bills are still alive for next year. We will also talk about how to prepare for possible future changes to our state’s employment laws. Register online or contact AWB’s Jennifer Costello.


New credit card payment processing program offers immediate savings over traditional options!
AWB is pleased to announce an exclusive partnership with Fast Transact, Inc. and an exciting new program for merchant services and credit card processing. As a preferred merchant, you can benefit from savings and customizable options that fit your business needs. Click here to visit us online, or call 800.687.8505, ext. 156, for your free analysis. Be sure to mention that you are an AWB member.


Employment law issues in 2010: What should be on your radar?
If 2010 is anything like 2009, it will prove to be an interesting year for employers and employees alike —especially with the U.S. economy continuing to struggle. So, what should be on your radar for 2010? Click here to learn more and to receive a complimentary 2010 Legal Update online course!


THEY SAID IT
“Senate Democrats offered more than $2 billion in new taxes today. I do not support these tax increases. The Legislature should instead focus on reforming state government. Increasing taxes will result in more hard-working Washingtonians losing their jobs.” – Rep. Doug Ericksen, R-Ferndale


This Week's President's Perspective: It’s good to make a buck