Monthly Newsletter - February 2004 Issue
Legislative News
Members Get the Latest on Environment, Labor and Budget Issues at NJBIA Briefings Read
New Federal Overtime Regulations Survive Legislative Challenge Read
Info-Sharing Bill Would Not Prevent Identity Theft Read
Using Hand-Held Cell Phones While Driving Made Illegal Read
NJ's Tax Policies Are Nation's Worst, CFOs Say in Survey Read
Quicker Permits for Biotechs Passes Assembly Read
Quote of the Month
NJBIA Senior Vice President Melanie Willoughby. Read
Calendar of Events
Tuesday, March 2-Family Leave Seminar Read
Friday, March 19-Environmental Compliance Seminar Read
Spring 2004-Briefing Breakfasts Read
Tuesday, May 11-NEW JOBS South Jersey Legislative Reception Read
Friday, May 14-Deadline for Awards for Excellence Nominations Read
Tuesday, June 8-New Good Neighbor Awards Luncheon Read
Members Get the Latest on Environment, Labor and Budget Issues at NJBIA Briefings
More than 400 business owners and managers received first-hand updates on key environmental regulations, labor issues and Governor James E. McGreevey's initiatives at three separate NJBIA briefing breakfasts.

The Meet the Decision Makers Briefing Breakfast series featured NJ Department of Environmental Protection (DEP) Commissioner Bradley Campbell on January 23; Department of Labor (DOL) Commissioner Al Kroll on February 3; and Jamie Fox, the Governor's Chief of Staff, and Eric Shuffler, the Counselor to the Governor, on February 6.

Fox and Shuffler touted McGreevey's accomplishments, announced a new funding plan for the Transportation Trust Fund, and urged businesses to speak out on the high cost of property taxes.

Fox said the Governor's economic development record was strong. New Jersey has added 50,000 new jobs over the last year and a half and has the lowest unemployment rate in the region. In fact, Philadelphia and New York City are upset about the number of jobs they are losing to New Jersey, he said.

While the budget continues to be a problem, Fox said the Administration has "stopped the bleeding." He said the administration has worked hard to cut spending, as many business people have urged, but Fox pointed out that some costs are beyond even the Governor's control, namely debt service and rising health insurance premiums.

Despite the lean budget, Fox said, McGreevey is committed to renewing the State's Transportation Trust Fund without increasing the gas tax. The new plan will finance new road construction with bonds that will be paid off with future federal funding.

Shuffler added that joint partnerships to attract new businesses to Camden and other areas were paying off in new jobs and new economic vitality. He also touted the Xanadu project in the Meadowlands, which will create many new construction jobs for the State.

Shuffler pointed out, however, that rising property taxes continue to be a drain on companies, and he urged the business community to speak out on this issue.

The Counselor said that while NJBIA and the Governor do not always agree, they have an excellent working relationship. The Governor has maintained an open door policy with the business community. Such cooperation has been helpful on important business issues, such as reforming the Business Employment Incentive Program.

At the Environmental Briefing Breakfast, Commissioner Campbell argued that the Department of Environmental Protection (DEP) could be both probusiness and pro-environment by making it easier for businesses to comply with environmental regulations.

Campbell pledged to eliminate the Department's backlog of permit approvals and pending decisions within the next two years by using time saving techniques like self-certification and allowing businesses to write their own permits.

The DEP has successfully expedited environmental permits for important economic development projects in Asbury Park and Bayonne. Now Campbell has created a new "Green Light Team" to provide 90-day permit turnaround times for projects in smart-growth areas.

Businesses should continue to expect environmental compliance sweeps and strict enforcement of environmental regulations, Campbell said. But he promised to work with businesses, not against them. A recent environmental sweep in Paterson was preceded by direct outreach to help bring businesses into compliance. Similarly, Campbell is promoting a self-disclosure rule, which rewards businesses that discover and promptly correct their own minor violations.

Labor Commissioner Kroll said his department will be reorganized to improve job-training programs and provide better services to business.

The State plans to consolidate a wide variety of job-training programs spread out over 24 separate government offices and place them in a newly formed Department of Labor and Workforce Development, he said.

The move would provide for better job training programs and more effective administration. NJBIA supports the consolidation and believes it will benefit employers. The plan must be approved by the Legislature.

Kroll said his department is undertaking new initiatives to expand literacy training and will provide online applications for customized training grants. The grants enable companies to retrain their workforces in new technologies and production systems through county colleges and other providers.


New Federal Overtime Regulations Survive Legislative Challenge
The first substantive update of federal overtime rules since 1949 has survived the latest legislative challenge, clearing the way for the final rule to be issued in March. The US Department of Labor (DOL) is rewriting the rules governing the criteria many employees must meet to be exempt from being paid overtime for working more than 40 hours a week.

The rule change has been vehemently opposed by organized labor, which claims that too many workers would be denied overtime under the proposal. In September, the US Senate voted to amend the Labor Department appropriations bill to prohibit DOL from implementing the new regulations on exempt employees.

As recently as last month, Democratic leaders were insisting that a similar provision be included in an omnibus spending measure before they would allow it to come up for a vote. The Senate, however, was able to overcome the opposition and pass the spending measure, clearing the way for the regulations to take effect as planned.

For more information, contact Sara Bluhm at ext. 204 or sbluhm@njbia.org.

Info-Sharing Bill Would Not Prevent Identity Theft
Legislation to prevent financial institutions from sharing customer information with each other would actually expose consumers to more identity-theft risks, make it harder to get financing, and do little to prevent identity theft.

The State Senate Commerce Committee on February 5 took testimony on S-362 (Turner) and S-493 (Buono), which would require financial institutions to obtain prior written consent from customers before they can share their financial information with other financial institutions, whether or not they have an affiliation with them.

A bank, for instance, would be prohibited from confirming a business's account balance to a potential lender without first getting written permission from the business. Under current law, customers must make a written request to prevent financial institutions from sharing such information.

Information sharing actually helps financial institutions spot unusual activities that might indicate fraud, identity theft, and other crimes. Additionally, a May 2000 study in California found that only about 2 percent of identity-theft incidents could be linked to information sharing.

Information sharing is already heavily regulated by the federal laws like the Graham-Leech-Blilely Act of 1999 and the new Fair and Accurate Credit Transaction Act. For more information, contact Art Maurice at ext. 247 or amaurice@njbia.org.

Using Hand-Held Cell Phones While Driving Made Illegal
Starting in July, New Jersey drivers caught using hand-held cell phones while on the road could face fines of $100 to $250. Governor James E. McGreevey on January 20 signed, S-338 (Bark, Lance, Bennett, Buono)/ACS-2355 (Fisher, Burzichelli, Bodine, Chatzidakis), which will supersede several local ordinances and give motorists a uniform statewide standard.

Under the law, wireless telephones equipped for hands-free operation in moving vehicles will be allowed, provided the placement of those phones does not interfere with the operation of air bags and other federally required equipment on the vehicles.

Police will not be authorized to stop drivers solely for violating the law, but will be able to issue a summons if they stop a driver for another reason.

NJ's Tax Policies Are Nation's Worst, CFOs Say in Survey
The nation's chief financial officers have labeled New Jersey the least fair and the least desirable state when it comes to taxation.

The 2004 State Tax Survey, published in the January issue of CFO Magazine, concluded "the tax law changes in 2002-particularly the introduction of an alternative minimum assessment (AMA) tax on a corporation's gross receipts-earned (New Jersey) the label of the state with the most unfair and unpredictable tax environment."

The survey also found that the State's new tax policies were hurting its ability to attract new companies and new jobs. When asked how the State's revenue department policies and systems influence companies' decisions ".respondents said New Jersey's tax policies were the most likely to dissuade companies from relocating to or expanding in the state."

In making the worst grade, New Jersey jumped ahead of such traditionally high-tax states as California, Massachusetts and New York. In 2000, the last time the survey was conducted, New Jersey did not make the list of the worst five states in any category.

Now, the magazine says, the State has lost its "long-held reputation for fair tax administration.." To see the entire survey, go to www.CFO.com.

Quicker Permits for Biotechs Passes Assembly
The Assembly on February 5 approved legislation to accelerate environmental-permit approvals for biotech companies in an effort to promote the commercialization of biotechnology-related products.

A-437 (Impreveduto) would create a Biotechnology Permit Acceleration Task Force within the NJ Department of Environmental Protection. The task force would consult with the NJ Commission on Science and Technology and the NJ Commerce and Economic Growth Commission to develop new rules and regulations.

For more information, contact Art Maurice at ext. 247 or amaurice@njbia.org.

Quote of the Month

"New Jersey must compete for jobs with states like Pennsylvania, Delaware, and New York, states that do not have this kind of costly workplace mandate."

NJBIA Senior Vice President Melanie Willoughby, commenting on New Jersey's proposed paid family leave mandate in an Asbury Park Press opinion column.

Mark your Calendar

TUESDAY, MARCH 2
Making Sense of Disability and Family Leave
This half-day program will help you sort through bewildering levels of leave regulations and avoid costly mistakes regarding length of leave, job protection, benefits and discrimination issues. Top employment law specialists will explain how to avoid the many legal pitfalls involved. There will be an extended open-mike session between the audience and the speakers. The seminar will be held at Forsgate Country Club in Monroe Twp. from 8:30 a.m. to 12:15 p.m. The cost is $105 per person for NJBIA members and $139 for nonmembers. To register, call Stacy Wichner, 609-393-7707, ext. 213.

FRIDAY, MARCH 19
How to Comply with State Environmental Regulations
This seminar will provide an easy to understand overview of the essential elements of environmental compliance in New Jersey. Most environmental laws and regulations are perceived as confusing, inconsistent and difficult to understand. This seminar will cut through the bureaucratic language and clarify how to comply with the State's environmental laws and regulations. The seminar is perfect for small businesses that do not have environmental professionals on staff but need help with compliance issues. It will be held at Forsgate Country Club in Monroe Twp. from 8:00 a.m. to 12:45 p.m. The cost is $105 per person for NJBIA members and $139 for nonmembers. To register, call Katie Wittkamp, 609-393-7707, ext. 239.

SPRING 2004 BRIEFING BREAKFASTS
NJBIA will join with the Employer Legislative Committees (ELCs) to host a series of five Legislative Briefing Breakfasts. These breakfasts will give you a chance to meet with legislators in your district and learn about pending and proposed legislation affecting your business. Each breakfast will begin at 7:30 a.m. with registration and end promptly at 9:30 a.m. so you can get back to work. Don't miss this excellent opportunity to network with colleagues and legislators in an informal setting. The cost is $45 per person. Call Stacy Wichner at 609-393-7707, ext. 213, for more information. Call Sherry Esteves at ext. 219 about sponsorship opportunities. Following are the dates and locations for the five Briefing Breakfasts:

  • Wednesday, April 7

  • Regency Palace, Mt. Laurel
  • Tuesday, April 13

  • Forsgate Country Club, Monroe Twp.
  • Friday, April 16

  • Holiday Inn, Tinton Falls
  • Tuesday, April 20

  • Sheraton Meadowlands Hotel, East Rutherford
  • Wednesday, April 28

  • Hanover Marriott, Whippany

TUESDAY, MAY 11
NEW JOBS South Jersey Legislative Reception
Sponsored by NEW JOBS, the State's largest political action committee for the business community, this event is South Jersey's regional fund-raiser for probusiness candidates for the State Legislature. Support candidates who advocate economic growth! This reception will be held at The Mansion on Main Street in Voorhees from 6:00 p.m. until 8:00 p.m. The price is $185 per person. To register, call Sherry Esteves at 609-393-7707, ext. 219. For information about NEW JOBS, call Executive Director Art Maurice at ext. 247 or amaurice@njbia.org.

FRIDAY, MAY 14 Deadline!
Awards for Excellence-Call for Nominations!
Are you proud of your track record in rewarding your employees, protecting the environment, serving your community or creating jobs? Then nominate yourself or another NJBIA member company for an NJBIA Award for Excellence. This year's nominations must be returned to NJBIA by May 14. To get your nomination form, contact Katie Wittkamp at 609-393-7707, ext. 239, or kwittkamp@njbia.org.

TUESDAY, JUNE 8
New Good Neighbor Awards Luncheon
NJBIA's 44th Annual New Good Neighbor Awards Luncheon will be held at the Sheraton at Woodbridge Place in Iselin. Awards will be presented to New Jersey businesses that have worked to bring about an improved business climate in New Jersey by building or renovating a commercial facility. A reception will be held at 11:45 a.m., followed by lunch from 12:30 p.m. to 2:00 p.m. For more information, contact Stacy Wichner at 609-393-7707, ext. 213.

 

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102 West State Street
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609-393-7707

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