GOVERNMENT AFFAIRS COUNCIL Fresno Chamber of Commerce 2331 Fresno Street Fresno, CA 93716-1469 MEETING MINUTES Presiding: Ruth Evans, Chair Sieg Fischer, Vice Chair Committee: Chairperson: Vice-Chair: Meeting Date/Time: Meeting Place: Committee attendees: Committee absences: Staff: Government Affairs Council Ruth Evans Sieg Fischer August 8, 2012 Fresno Chamber of Commerce Victoria Salisch, Lorraine Salazar, Austin Ewell, Bill Avakian, Lydia Zabrycki, Cam Maloy, Al Smith, Walt Plachta, Sieg Fischer. Larry Fortune and Ryan Jacobsen Brian Forrest, Debbie Hunsaker, Jack Hall, and Ruth Evans Brian Domingos CALL TO ORDER Vice Chair Sieg Fischer called the meeting to order at 12:05. All present introduced themselves and legislative reports were given. 1. Approval of Minutes Mr. Austin Ewell moved to approve the July 11, 2012 minutes. The motion was seconded by Mr. Ryan Jacobsen. Motion passed unanimously. 2. CEQA Working Group Cassie Gilson gave a report gave a report on regulatory reform proposals that the group in working on and asked the Chamber to join the coalition. The reform proposal are: 1. Integrate Environmental and Planning Laws 2. Eliminate CEQA duplication 3. Lawsuit Public Disclosure and Accountability 4. Expediting CEQA Litigation. The GAC had no questions and will take up the issue of joining the coalition at a future meeting. 3. Special Interst Money Initaition (Proposition 32) Elizabeth Hansell, a representative of the Yes on Prop 32 Initiative gave a presentation in favor of the initiative. Her presentation stated that prop 32 reforms focus on the most corrupting influence in politics, the direct flow of money between special interest and politicians. The proposal; 1). Bans direct corporate and union contributions to candidates; 2) prevents corporations from spreading their money across the entire state Legislature and maintaining control regardless of who is elected; 3) bans contributions from government contractors to elected officials who control contracts awarded to them; 4) bans payroll deductions by corporations, unions, and government employers of money to be used for politics; 5) assures that all political contributions are voluntary; 6) implements reforms evenhandedly, applying each provision to both corporations and unions. Kirk Wanless, President of the Fresno City Firefighters spoke in opposition of the initiative. His presentation stated that the initiative would significantly reduce the union’s ability to be involved in the political process, especially for those that depend on collective funds to represent their interest. Prop 32 is not going to solve Sacramento’s problems, because it was intentionally written to exempt many companies like Wall Street investment firms, hedge funds, real estate developers, and others from the ban on contributions, and it specifically exempts insurance companies from the ban on payroll deductions. In addition, these groups can still create separate front groups and make unlimited expenditures supporting candidates . It’s not a balanced approach. Only some companies, those that are organized as “corporations” as narrowly defined by the initiative, are restricted by Prop 32. Limited liability companies (LLC), limited liability partnerships (LLP), limited partnerships (LP), business trusts, real estate investment trusts (REIT) and sole proprietorships are all intentionally exempted under the Prop 32 . Ms. Lorraine Salazar moved to support Proposition 32. The motion was seconded by Mr. Larry Fortune. The motion passed unanimously. 4. Timber Harvest Plan Reform The Governor’s revised budget includes a Timber Harvest Plan Reform. According to the fact sheet, the goals of the package are to increase the supply of domestically produced lumber and jobs in California; revisions will maintain and improve California’s existing high standards of forest management; revised policy would make the existing forest regulation process substantially more efficient and fund forest regulation in California based on consumption of lumber. Policy Changes— Improve existing regulatory efficiency: Increase coordination among agencies by Cal Fire, simplify permitting from water boards via WDRs and implement a robust audit process to be conducted by the LAO in conjunction with annual budgeting for forest regulation. Address Wild Land Fire Liability: limit on damages Lengthen the life of Timber Harvesting Plans: from three to five years; and allow up to two extensions of one year each Fund forest regulation in California based on consumption of lumber: implement a lumber assessment on solid wood products, panels and certain wood substitutes at no more than 1% of retail sales. Any excess revenue to be used for forest restoration investments administered by DFG. The GAC discussed the amount of organizations that support the reform package. Mr. Ryan Jacobsen asked if the issues was still being considered. Staff did not know the exact status of the proposal so the GAC decided to postpone action until more information was provided. 5. Legislative Report a. AB 1779 (Galgiani) Intercity Passenger Rail Act of 2012 Dan Leavitt of the San Joaquin Regional Rail Commission spoke to the GAC about this bill and the benefits it would create. Specifically, the ability to get local control over the Valley’s rail service. In sum, this bill enables the transfer of administrative responsibility of the San Joaquin intercity passenger rail service from Caltrans to a new joint powers authority, following the model of the Capitol Corridor Joint Powers Authority. It is hoped that the JPA will bring a greater local perspective to the operation of the service. This bill is permissive legislation, which would enable regional governance and management of the existing San Joaquin intercity passenger rail service between Bakersfield-Fresno-Stockton-Sacramento-Oakland. Mr. Austin Ewell moved to support AB 1779. The motion was seconded by Mr. Walt Plachta. Motion passed unanimously. b. SB 703 (Hernandez) Health Care Coverage; basic health program This bill implements the Basic Health Program (BHP) state option contained in the federal health care reform law, to provide health care coverage to individuals under 200% of poverty who do not qualify for Medi-Cal. Ms. Lorraine Salazar moved to oppose SB 703. The motion was seconded by Mr. Walt Plachta. Motion passed unanimously. c. SB 568 (Lowenthal) Recycling; polystyrene food containers This bill would prohibit a food vendor, on and after January 1, 2016, from dispensing prepared food to a customer in a polystyrene foam food container and would define related terms. The bill would provide that a food vendor that is a school district is not required to comply with the bill’s requirements until July 1, 2017, and would allow a food vendor that is a school district to dispense prepared food to a customer in a polystyrene foam food container after that date if the governing board of the school district elects to adopt a policy to implement a verifiable recycling program for polystyrene foam food containers, which would be renewable, as specified. The bill would also allow a food vendor to dispense prepared food to a customer in a polystyrene foam food container after January 1, 2016, in a city or county if the city or county elects to adopt an ordinance establishing a specified recycling program for polystyrene foam food containers, which would be operative, as specified. This was an informational item only. The bill is expected to come out of the expense file and be voted on. The GAC continues to be opposed to this bill. d. AB 2676 (Calderon) Agricultural Employee Safety The purpose of this bill is to make it a misdemeanor to not provide adequate water or shade to an agricultural employee. Mr. Ryan Jacobsen moved to oppose AB 2676. The motion was seconded by Ms. Victoria Salisch. The motion passed unanimously. 6. Staff Report a. A list of the ballot initiatives was provided along with Chamber positions to date. Proposition 30 (Governor Brown Tax Measure) (Chamber Opposed) Proposition 31 (CA Forward Measure) Proposition 32 (Payroll Protection Measure) Proposition 33 (Automobile Insurance Discount Act) Proposition 34- (Death Penalty Repeal. Initiative Statute) Proposition 35 (C.A.S.E- California Against Sexual Exploitation)Proposition 36- (Three Strikes Law. Sentencing for Repeat Felony Offenders) Proposition 37 (GMO Labeling Law) - Genetically Engineered Foods. Mandatory Labeling (Chamber Opposed) Proposition 38 ("Molly Munger measure")- Tax for Education and Early Childhood Programs Proposition 39 ("Tom Steyer Mandatory Single Sales Factor measure") - Tax Treatment for Multistate Businesses. Clean Energy and Energy Efficiency Funding Proposition 40- ("Redistricting Commission Repeal measure") Redistricting. State Senate Districts 7. Chair’s Report a. Next Eggs and Issues are scheduled for September 13 with Assembly member Valadao and October 19 with Congressman Nunes. Meeting was adjourned at 1:18 p.m.