Fighting for Business at the Capital
Sweeping changes to the workers' compensation system, income tax reporting changes, waste disposal regulations, light bulb mandates, and an increase in the time allowed for filing product liability claims are all on the table. The 2007 Long Session of the North Carolina General Assembly is well underway and your North Carolina Chamber is ramping up our advocacy efforts on behalf of our customers in the capital city. As of March 28th, over 2,700 bills have been introduced in the state legislature. Before bill filing deadlines have passed, the number of bills filed is expected to reach close to 4,000.
While our state Chamber is anticipating a large number of bills to still be introduced that will either directly or indirectly impact North Carolina businesses, there are several that have already been introduced that are potentially harmful to our state’s competitive position because they could significantly increase the cost of doing business here. For example, several workers' compensation bills have been introduced which, if passed, will result in sweeping changes to the system that will increase business costs.
Our Chamber is monitoring several additional bills that could result in increased costs for North Carolina businesses. One such bill would impact how businesses report their taxes, putting North Carolina out of step with most states -- particularly neighboring states -- by requiring an affiliated group of corporations to file consolidated income tax returns.
A solid waste bill would create more stringent waste disposal requirements and could increase costs for both North Carolina residents and businesses up to 30 percent. A bill that would ban incandescent light bulbs would likely cost jobs at manufacturing companies in our state that produce these light bulbs.
Another bill particularly important to North Carolina manufacturers would increase the amount of a time a plaintiff has to bring a claim against a business from 6 years to 15 years – more than doubling the time frame for product liability claims. At a time when manufacturers in our state have been struggling to transform themselves to survive in a new global economy, bills such as this one threaten their progress and jobs.
An additional category of union-backed bills is being carefully watched by our Chamber. Increased union activity in our state illustrates a national trend, and may be part of a broader strategy aimed at eradicating North Carolina’s right-to-work laws. Some of these bills could drive up the cost of government, swell union membership rolls -- especially through public sector unionization -- and ultimately have a negative impact on the ability of North Carolina businesses to compete nationally and globally.
The North Carolina Chamber will continue its advocacy work to fulfill our mission to make certain that North Carolina is – and remains – the best state in America in which to do business and the most competitive for jobs. While we are vigilant in our efforts to prevent bills harmful for business from becoming laws, our Chamber is simultaneously initiating legislation to improve North Carolina’s business climate and lower the cost of doing business in our state.
While the deadline has already passed for filing local and public bills in the Senate, bills can still be filed in the House. The deadline for public bills in the House is April 18th, and the deadline for Finance and Appropriation bills is May 9th. The crossover deadline for all bills is May 17th, which means that all bills have to pass their originating chamber by that date to remain under consideration this legislative session.
