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“Any changes to the tax system should be undertaken primarily with the health of the economy in mind. Care should be given to considering what aspects of the tax system are actually ‘broken,’ before prescribing remedies,” said Kyla Christoffersen, CalChamber policy advocate on taxation and legal issues.
Gov. Schwarzenegger's October 2008 Executive Order S-12-08 created the bipartisan Commission on the 21st Century Economy to “re-examine and modernize California's out-of-date revenue laws that contribute to feast-or-famine state budget cycles.”
Applying the principles outlined in Schwarzenegger's Executive Order S-12-08, the commission was directed to “suggest changes to state and local revenues that will result in a revenue stream that is more stable and reflective of the California economy.”
The order does not mention whether the recommendations should be revenue neutral, although CalChamber believes the commission should err on the side of revenue neutrality, given the requirement that the changes promote economic prosperity and competitiveness.
Protecting California jobs and competitiveness
CalChamber believes that sound fiscal policy will result in material improvements to California’s economy and encourage a swift and strong rebound from the current slowdown. On the other hand, the wrong policies will only make matters worse. Ultimately, the solution to California’s budget crisis will only come from robust economic growth and job creation.
As the commission considers changes to the state’s tax structure, the CalChamber believes the top priority must be a long-term plan for restoring and growing the state’s economy, said Christoffersen.
“The state’s fiscal health cannot be restored without a strong economy,” she said. “Any change to the tax structure should balance the need to maintain necessary government programs and the need to stimulate economic growth.
“Fostering economic health for California relies upon a tax structure that does not target specific industries, services, or income and investment with higher taxes. If taxes are raised in these three areas, it will kill jobs and future investment in high quality jobs for Californians. If taxes must be raised, they should be broad-based, temporary and nondiscriminatory, and above all minimize adverse impacts on economic competitiveness and equity,” said Christoffersen.
The commission will report its findings to the Governor and legislature on or before April 15, 2009.
The California Chamber of Commerce (CalChamber) is the largest broad-based business advocate to government in California. Membership represents one-quarter of the private sector jobs in California and includes firms of all sizes and companies from every industry within the state. Visit the chamber online at www.calchamber.com.
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Normally held in late January, the chamber has moved the retreat to the last week in February due to the schedules of some of its board members, said chamber Chief Executive Officer Melissa Fulton.
The 2008 retreat was held at the Tallman Hotel in Upper Lake. This day-and-a-half-long retreat gives the chamber the opportunity for very long, detailed discussions on the issues facing the organization as they work to support our business members.
A program of work will be developed for 2009 and beyond based upon the work done at the meetings.
Contrary to the normal perception of retreats, member of the volunteer board of directors pay their own expenses for chamber retreats. Past presidents are invited to attend to take advantage of their experience and ideas for building a stronger business environment.
Although the lodge is in Lake County, they still encourage as many as possible to take advantage of the lodging accommodations which creates a win-win for everyone.
Two surveys are being conducted prior to the retreat, one for those participating in the meetings and one for the members of the chamber.
Fulton states that insights from these surveys will provide tools for the work to be accomplished.
“The economy is impacting everyone and we need the members' input on how they see the chamber working to assist them to survive,” Fulton added.
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Thompson's testimony as prepared for delivery before the House Transportation and Infrastructure’s Subcommittee on Aviation follows.
“Chairman Costello, Ranking Member Petri and Members of the Aviation subcommittee, thank you for the opportunity to provide testimony at your hearing today on the FAA Reauthorization Act of 2009.
“I come before you again regarding airline passenger rights, almost two years after my first appearance at this subcommittee on this topic, and more than ten years since Congress first examined the problem of extended tarmac delays after hundreds of passengers were stuck in planes on snowy Detroit taxiways in January 1999. It is time for Congress to act to protect the flying public.
“Americans should not be forced to sacrifice their basic rights to food, water and other necessities when they set foot on an airplane. Since 1999 and despite countless industry promises, little or no progress has been made toward ensuring that airline passengers have some basic rights during excessive ground delays.
“It took nearly a year for then-Secretary of Transportation Mary Peters’ 'Tarmac Delay Task Force' to issue a report this past November on how airlines, if so inclined and only “when practical,” might improve onboard conditions for stranded passengers.
“None of the improvements recommended in the report were mandated, and yet again relied entirely upon voluntary action by the airlines. Secretary Peters’ report did nothing to help solve the problems of excessive delays. As the New York Times editorial staff opined after its release, this report was tantamount to telling passengers to 'suck it up and sit there on America’s unfriendly tarmacs for as long as it takes.'
“The lack of voluntary action by airlines for the past ten years only underscores the absolute necessity of including the same passenger rights provisions passed as part of the FAA Reauthorization during the 110th Congress in the version you consider today.
“These provisions would finally require air carriers and airports to submit an emergency contingency plan in the event of excessive delays to the Secretary of Transportation for approval. These plans must detail of how the air carrier will provide food, drinkable water, working restroom facilities, adequate cabin ventilation, and access to medical treatment.
“I recently introduced legislation, H.R. 624, the Passenger Bill of Rights for 2009, which includes the same passenger rights provisions you consider here today as part of the FAA Reauthorization of 2009 but with one critical difference: instead of requiring deplanement after 'excessive delays,' my bill calls for deplanement after three hours.
“By not defining what 'excessive delays' actually means in the current draft, Congress is yet again leaving it to the airlines to self-regulate, an approach that has failed miserably over the past ten years. I urge the committee during the mark-up of this legislation to adopt the language included in my bill, H.R. 624, which sets forth the three hour standard along with important exceptions to be used at the discretion of the pilots.
“Mr. Chairman, after 10 years, it has finally come time to pass these basic passenger protections. Thank you for your past assistance on this issue and continued support by including these provisions in the FAA Reauthorization Act of 2009. Furthermore, if history repeats itself and this bill is passed by the House but becomes ‘excessively delayed’ on the Senate ‘tarmac,’ I respectfully request that you support my efforts to take these passenger rights provisions as a stand-alone bill to the House floor for immediate consideration.”
Thompson represents Lake County in the US House of Representatives.
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All levels of experience are welcome to help in the chamber office at 4700 Golf Ave.
Summer hours are 10 a.m. to 5 p.m., Monday through Saturday. They're looking to fill all shifts.
For more information call Lori Peters at 994-3600.
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