Retail Association of Nevada Nevada News March 2004 This Issue Front Page *Initiative & Referendum Petitions Seen & Noted – 2 *TMCC Online Business Courses *Nevada Holiday Sales *Flu Season Over *Business Books Government Affairs – 3 to 5 *Interim Committees *Pharmacy Board Meets *New Business Fees, Washoe County *Health Insurance, Obesity Featured Member – 6 *Baum Healing Arts Center Seminars – 7 Tech News – 8 *Spammers Ignore Can-Spam Act *Cyber Sweep Catching Internet Scammers News Briefs – 9 *Out-of-State BAT *Scams & Medicare Discount Cards *Water Study Slated for Southern Nevada Self Insured Groups Page – 10 Larsen Column – 11 *The Fine Point of Cohesion Washington Watch – 12 *The COOL Report Page 1 • March 2004 Serving the Retail Community Since 1969 Nevada’s Initiative and Referendum Petitions Reported by Paul Enos O nMarch2,2004,theNevada StateEducationAssociation (NSEA)filedaninitiativepetition (acopyofwhichisincludedinthis newsletteronpage3)toraisethe perpupilspendinginNevadafrom $5,760tothenationalaverage,which is$6,911.Ifpassed,thismeasure wouldrequireapproximately$1 billionofadditionalfundstobespent oneducation.Thesefundswouldhave tocomefromeitherspendingcutsin otherstatedepartmentsorincreased taxes. Thisinitiativeisonlyoneofa numberofinitiativesandreferendums beingcirculatedaroundthestate. Theissuesthatareaddressedinthese measureswouldhavemajorimpacts andlong-termramificationsonthe businessenvironmentinNevada; therefore,itisimportantnotonlyto understandtheissues,buttheprocess ofhowinitiativesandreferendums affectthelaw. Process Aninitiativechangesstatestatuteor amendstheNevadaConstitution. Foraninitiativetoqualifyforthe 2004ballot,itrequiresthat51,251 signaturesbecollectedbyJune15, 2004,in3⁄4ofNevada’s17counties. Areferendumdiffersfroman initiativebyaskingvotersifthey approveordisapproveofaparticular laworstatute.Circulatorsofa referendumhaveuntilMay18,2004, togather51,251signatures,which canbegatheredanywhereinthestate. Onceontheballot,ifthestatuteisnot approved,thenthelawwillbevoid.If thestatuteisapproved,theLegislature wouldbeunabletochangeanyofthe languageinthestatute,andthatlaw couldonlybechangedthroughthe referendumprocess. TaxRepealReferendums Therewerethreereferendums circulatingtorepealthetaxincreases thatwerepassedinS.B.8ofthe 20thSpecialSession.GeorgeHarris isworkingwithagroupnamed NevadansforSoundGovernment thatiscirculatingareferendumthat wouldrepealallofthetaxincreases passedinS.B.8.DanBurdish,who headsagroupcalledNevadansfor TaxRestraint,wascirculatingtwo referendums.Thefirstwouldhave repealedthe0.7%payrolltaxon businesses,andthesecondwould haverepealedthe2%payrolltaxon financialinstitutions.Burdishisno longercirculatingthesepetitions.If theHarrisreferendumgetstheneeded signatures,thenthestatuteswill appearonthe2004ballotforapproval ordisapproval. Nevada Petitions continued on page 3 Seen & Noted Seen & Noted Holiday Sales for Nevada Posted Good Business Reads N Lookingforagoodread?Accordingto Strategy7Business,thebestbusiness booksof2003are: evadaretailerspostedgoodnumbersforholidaysalesin2003.Nevada merchantssold$3.56billioningoodsinDecember,a9.7percentincrease overthesameholidayseasonin2002.Thirteenofthestate’s17countiesposted gainsinDecember.Eureka,Humboldt,LanderandLyoncountieshaddeclining salesfiguresforthesameperiod. Areportfromthestategamingregulatorsshowedcasinoswinning$767.3 millioninDecember,a1percentdecreasefromDecember2002.Statewide, barsandrestaurantshadan8.5percentgain;autoandfuelsaleswereup21 percent;buildingmaterialsaleswereup22.4percent;clothingstoresaleswere up16.2percent;foodstoresaleswereup10.4percent;generalmerchandise storesaleswereup6.2percentandwholesaletrade-durablegoodssaleswere up15.5percent. Flu Season Officially Over I fyouhaven’tyethadanattackofthisyear’svarietyof flu,you’reprobablysafeuntilnextseason.Dr.Keiji Fukuda,aninfluenzaexpertattheCentersforDisease ControlandPrevention(CDC),says,”Theinfluenza seasonhaswounddownverydramatically,decliningto levelslowerthanweoftenexpectatthistimeofyear.” AccordingtoCDC,thiswasamoderatetomoderately severeseasonforflu.Inanaverageseason,about 36,000Americansdieofinfluenza.Althoughfinal figureswon’tbeoutfortwoyears,Dr.FukudasaystheCDCcanmakean educatedguessfromdatareceivedfromits122-citiessurveillancesystemand determinethatthisseasonwillbeanaverageyear. TMCC Offers Online Business Courses T ruckeeMeadowsCommunityCollege(TMCC)nowoffersover3000 businesscoursesonline.Thesecoursesallowmanagersandtheirstaffto scheduletrainingrequirementssuchassupervisoryskillsovertheInternet. Courseofferingsincludeeverythingfromworkskillssuchaslistening, researchandteamworktoEnglishasasecondlanguageandmanagementand leadership. TMCCalsoofferscomputerizedtestingandassessmentprogramsinbusiness andindustrydisciplines. Page 2 • March 2004 TheInnovator’sSolution:Creating andSustainingSuccessfulGrowth, byClaytonM.Christensenand MichaelE.Raynor OpenInnovation:TheNew ImperativeforCreatingandProfiting fromTechnology, byHenryChesbrough OneWorld:TheEthicsof Globalization,byPeterSinger TheSupportEconomy:Why CorporationsareFailingIndividuals andtheNextEpisodeofCapitalism, byShoshanaZuboffand JamesMaxmin WheelsfortheWorld:HenryFord, HisCompany,andaCenturyof Progress,1903–2003, byDouglasBrinkley BeyondBudgeting:HowManagers CanBreakFreefromtheAnnual PerformanceTrap, byJeremyHopeandRobinFraser TheSmartestGuysintheRoom:The AmazingRiseandScandalousFallof Enron, byBethanyMcLeanandPeterElkind WhoSaysElephantsCan’tDance? InsideIBM’sHistoricTurnaround, byLouisV.Gerstner,Jr. Moneyball:TheArtofWinningan UnfairGame,byMichaelLewis Source:“QuickBites,”bySamGeist.800567-1861.http://www.samgeist.com. Government Affairs InitiativePetition StateofNevada IMPROVENEVADAPUBLICSCHOOLFUNDINGTO THENATIONALAVERAGE Explanation:Matterinboldfaceitalicsisnewmatterbetweenbrackets [deductedmaterial]ismaterialtobedeleted. THEPEOPLEOFTHESTATEOFNEVADADOENACTASFOLLOWS: SectionI.Section2ofArticle11 oftheConstitutionoftheStateof Nevadaisherebyamendedtoread asfollows: [Section2]Sec.2.1.The legislatureshallprovidefora uniformsystemofcommon schools,bywhichaschoolshallbe establishedandmaintainedineach schooldistrictatleastsixmonthsin everyyear,andanyschooldistrict whichshallallowinstructionofa sectariancharacterthereinmaybe deprivedofitsproportionofthe interestofthepublicschoolfund duringsuchneglectorinfraction, andthelegislaturemaypasssuch lawsaswillrenttosecureageneral attendanceofthechildrenineach schooldistrictuponsaidpublic schools. 2.Thelegislatureshallsupport andmaintainasystemofpublic educationwhichhelpsensurethat everychildbecomesaproductive andresponsibleadult.Inperforming thisobligation,thelegislatureshall providesufficientlyforthefinancial supportandmaintenanceofthe publicelementaryandsecondary schools.Commencingwiththe fiscalyearbeginningonJuly1, 2012,andappropriationsmade bythelegislatureforthispurpose, whencombinedwiththeprojected revenuefromallotherfederal, stateandlocalsources,mustbe insuchamountsasthelegislature determinesaresufficienttoensure ineachfiscalyearthattheannual per-pupilexpenditureofNevada equalsorexceedsthenational Page 3 • March 2004 average. 3.Incomplyingwiththe requirementsofsubsection2, thelegislatureshall,asnearlyas practicableinviewofavailable informationaboutprojected revenueandenrollment,calculate perpupilexpenditureofNevadain thesamemannerastheNational CenterforEducationStatistics calculatescurrentexpendituresper pupilinfallenrollmentforeach state. 4.Nothinginthissection shallbedeemedtorequirethe legislaturetomakeasupplemental appropriationintheinterim betweensessions. 5.Asusedinthissection. (a.)“Annualper-pupil expenditureofNevadameansfor anyfiscalyear,currentexpenditures perpupilinfallenrollmentfor publicelementaryandsecondary schoolsinNevada,calculatedinthe mannerprovidedinsubsection3. (b.)“Nationalaverage” meanscurrentexpendituresper pupilinfallenrollmentforpublic elementaryandsecondaryschools intheUnitedStates,asmost recentlydeterminedbytheNational CenterforEducationStatisticsand adjustedforinflation,inthemanner prescribedbythelegislature,tothe yearoftheappropriation. (c.)“NationalCenterfor EducationStatistics”meansthe NationalCenterforEducation StatisticsoftheUnitedStates DepartmentofEducationorits successoragency. Nevada Petitions continued from page 1 EducationFirst Asaresponsetothedecisionbythe NevadaSupremeCourttonullify theconstitutional2/3voteofthe Legislaturetopassataxincrease, CongressmanJimGibbonshasstarted circulatinganinitiativethatwould reaffirmthe2/3rdsruleandrequire thattheLegislaturefundeducation beforeanythingelse.Theinitiative hasdrawnwidespreadsupportfrom thebusinesscommunityandhaseven garneredthesupportofDemocratic U.S.SenatorHarryReid. ThetextoftheNSEApetitionis includedonthispage.Ifyouhaveany question,pleasecalltheRANofficeat 775-882-1700. LegislativeInterimCommittees W hiletheregularsessionsofthe NevadaLegislatureonlyoccur forfourmonthseverytwoyears,the Legislatureremainsactiveduring theinterim.Belowisalistofthe InterimCommitteesthatRANfollows. Meetingtimeschangefrequently,so formoreinformationeithercallour officeat775-882-1700orlogonto www.leg.state.nv.us/72nd/Interim/. • LegislativeCommitteeforLocal GovernmentTaxesandFinance • LegislativeCommitteeonEducation • LegislativeCommitteeonHealth Care • LegislativeCommitteeonHealth CareSubcommitteetoStudyHealth InsuranceExpansionOptions • LegislativeCommitteeonHealth CareSubcommitteetoStudy MedicalandSocietalCostsand ImpactsofObesity • LegislativeCommitteeonTaxation, PublicRevenueandTaxPolicy • TaskForcefortheFundfora HealthyNevada • InterimStudyonNevada’sIndustrial InsuranceProgram Government Affairs Pharmacy Board Changes ID Regulation Reported by Liz MacMenamin T heStateBoardofPharmacy votedtosupportaregulationthat requirespharmaciststoobtainpositive identificationforallClassIInarcotics prescriptions.Thedecisionwasmade atitsProposedRegulationWorkshop andPublicHearingheldonFeb.26, 2004. RepresentativesoftheRetail AssociationofNevada(RAN)and threePharmacyBoardmembers spokeagainsttheregulation,saying theindustrywouldpreferthatsuch adecisionbelefttotheprofessional judgmentofthepharmacist.The Boardlistenedtoourconcerns, buttheregulationpassedafterthe presidentvotedinitsfavortobreaka tievote. PleaseNote:Thereisan“or”inthe regulationthatallowsthepharmacist somelatitude.Apharmacistmay choosetoeithermakeanoteofthe typeofidentificationanditsnumber inthefileandinitialthat,ortakea copyoftheIDandplacethecopyin thepatient’sfile. Theboardalsodiscussedregulating consumeraccesstodrive-through windows.Afteralengthydiscussion, theydecidedthatKeithMacDonald, executivesecretaryofthePharmacy Board,shouldlookatthelanguage thatisbeingproposed.It’smy understandingthathewouldtake intoconsiderationsomeoftheboard members’proposalsonthelanguage. Theboarddidagreetograndfather inallexistinglocationswiththe regulationimpactingonlyfuture buildingplans.Therearemembersof theboardwhoreallywanttoseethe patientface-to-faceandnotrelyon audiovisualequipment.Ihopethatthe boardwilltakeintoconsiderationany futuretechnology. KeithMacdonaldexpressed Page 4 • March 2004 greatinterestinworkingwiththe industryontheControlledSubstance MonitoringRule.Therearesome concernsregardingthefieldsthat theboardmayputintothereporting language.Theboardwasnotaware thatNevadawouldbetheonlystate demandingthesefields. Thenextboardmeetingwillbeheld onApril14–15,2004,inLasVegas. Ifyouneedcopiesoftheproposed regulations,pleasecallRAN,775882-1700,andwewillfaxyouacopy. NevadaPharmacyand TherapeuticsCommittee TheNevadaPharmacyand TherapeuticsCommittee(NPTC)held itsfirstmeetingonFeb.26,2004. Thishearingwasbeneficialinsetting thetoneforfuturehearings.Frommy perspective,thiscommitteeappears toreallyunderstandtheimportance ofkeepingitsfocusonaclinicallevel Pharmacy Board continued on page 5 New Washoe County Business Licensee Fees By Paul Enos I nNovemberof2003,theWashoe CountyCommissionhearda proposaltoadoptbusinesslicense feesthatwouldhaveincreased feesfrom27%to600%acrossthe varioustiers.TheRetailAssociation ofNevada(RAN)testifiedagainst thatproposalandexpresseda willingnesstoworkwithWashoe Countytoimplementareasonable feeschedule. RANworkedwithrepresentatives fromtheReno-SparksChamber ofCommerce,thePetroleum MarketersAssociation,AGC NevadaChapterandtheNevada TaxpayersAssociation,andstafffrom theWashoeCountyCommunity DevelopmentDepartment,and endorsedthefeeschedulebelow, adoptedonFeb.24,2004. WashoeCountyalsoadopted aresolutiontograntaperiodof amnesty,waivinginterestand penaltiesforthosebusinesses operatinginunincorporatedWashoe Countythatdonothaveabusiness license. TheamnestyperiodwillendonMay 31,2004. FeeCategory BusinessLicenseFee PercentIncrease $25,000orless $50.00to$55.00 10.0%($5increase) $25,001to$50,000 $60.00to$65.00 8.3%($5increase) $50,001to$100,000 $105.00to$115.00 9.5%($10increase) $100,001to$300,000 $130.00to$140.00 7.7%($10increase) $300,001to$500,000 $215.00to$235.00 9.3%($20increase) $500,001to$1,000,000 $315.00to$345.00 9.5%($30increase) $1,000,001to$2,500,000 $550.00to$600.00 9.1%($50increase) $2,500,001to$5,000,000 $575.00to$630.00 9.6%($55increase) $5,000,001ormore $600.00to$655.00 9.2%($55increase) Government Affairs Pharmacy Board continued from page 4 asopposedtomakingitamarketing meeting. TheNPTCapprovedandaccepted itsbylawswithnodiscussion.Ina discussionaboutfuturemeetings, amemberfromsouthernNevada suggestedthatthemeetinglocations alternatebetweenthesouthandthe north;however,thegroupdecided toteleconferencewiththenorthern membersassemblinginCarsonCity andthesouthernmembersassembling attheGrantSawyerBuildinginLas Vegas. JeffMonaghan,clinicalmanager ofFirstHealthServicesCorporation, presentedanoverviewofthe operationofthecommittee.He answeredcommitteemembers’ questionsregardingtheprocess,and amongthemanypointsheclarified wasthatthiscommitteewouldnot getintothecostofdrugs.TheDrug UtilizationReview(DUR)Boardwill handlethis. TheNPTCdiscusseddrugclass reviewsofACEI’sandcombinations, ARB’sandcombinations,PPI’sand H2RAs.Theyalsodiscusseddiabetic therapyprotocolanddeterminedthat aslongasthepatientisdoingwell, theprotocolwillstaythesame.Itwas determinedthattheseclassesofdrugs areinterchangeable. Thecommitteewasalsoaskedto carveoutchildrenfromtheARB’s, butitwasdeterminedthatthis wouldnotbenecessary.Therewas alsodiscussiononBisphosphonates withthesamedetermination,with theexceptionoftheexclusionof cimetidine. Page 5 • March 2004 Legislative Committee Focuses on Health Insurance and Obesity Reported by Liz MacMenamin LegislativeCommitteeon HealthCare T hisLegislativeCommitteeonHealthCareismeetingduringtheinterimto ascertainwaysthestatecanprovidehealthinsurancefortheuninsuredof Nevada. It’snotbeendecidedhowtoobtainthisinsurance.Thecommitteewillbe determininghowtoprovidethiscoverageforeachemployee. TheRetailAssociationofNevadawillbecloselymonitoringthiscommittee’s findings. ObesityWorkgroup O nMarch1,2004,theNevadaAllianceforChronicDiseasePrevention’s ObesityWorkgroupheldaconferencecalltodiscusswaystheAlliance couldworkwithotherstocombatobesityinNevada.Representativesfromthe NevadaStateHealthDivision,ClarkCountyHealthDistrict,WashoeCounty DistrictHealthDepartmentandorganizationssuchastheDiabetesFoundation participatedinthecall. AmemberofthegroupstatedthattheObesityWorkgroupwasnecessary becauseofthegrowingconcernswithoverweightNevadans.Accordingto aparticipantofthegroup,obesityisthetopconcernoftheAlliance.The committeewillmakerecommendationsatitsfinalmeetingonMarch22,2004. TheAllianceplanstotaketheObesityWorkgroup’srecommendationsand possiblyusethemtomoveforwardwithanobesityplanforthe2005legislative session. ThisAllianceisalsofollowingmeetingsoftheothersubcommitteesthatare concernedwithhealthstaffingandtheuninsured.TheAlliancewasencouraged tolookatcommunityactionplansfordiabetesandobesityasopposedtotaking thistotheregulatoryprocess. TheAlliancewillbesendingoutasurveyonideasfortheirnextmeeting date.ThatwillbesometimeafterthefinalmeetingoftheSubcommitteeto StudyMedicalandSocietalCostsandImpactsofObesity.Thatfinalmeetingis scheduledforMarch22,2004. Ifyouhaveanyquestionsaboutthisinformation,pleasecallmeattheRAN office,775-882-1700. U.S. Government Agencies Launch War on Fat T heU.S.DepartmentofHealth andHumanServicesistakingaim atobesitywithapubliceducation campaign. TheHealthyLifestylesandDisease PreventionCampaign,aimedat overweightandobeseAmericans, promotesphysicalactivityand healthiereating. TheFoodandDrugAdministration isalsotacklingoverweightAmericans withitsObesityWorkingGroup.The workinggroupmustdevelopnewand innovativewaystohelpconsumers leadhealthierlivesthroughbetter nutrition,anditsfirstreportisonthe fasttrack,tobereleasedwithinafew months. Featured Member Teaching Massage Therapy – Baum Healing Arts Center I t’stheendofahardday,week ormonthatworkandyoucan’t seemtoseparateyourearsfromyour shoulders.Maybethetimehascome foryoutovisitamassagetherapist, someonewhocanloosenyour musclesandputthoseshouldersback inplace. F.DouglasKoenig,ACMT,DHYP, alicensedmassagetherapistand instructorattheBaumHealingArts Center,saysthatmoreandmore peoplearediscoveringthehealth benefitsofmassagetherapyfor everythingfromrelievingtension bygettingtheirtwistedmuscles torelaxtohelpingridthepainof osteoarthritis.TheBaumCenter,with schoolsinCarsonCityandReno,is dedicatedtoturningoutprofessional massagetherapistswhoaretrained andreadytotakelicensingtests. Koenigsaysthatlicensingand regulationhelpassurethepublic thatthepersonwhoisworkingon themnotonlyhastrainedincorrect methodsofworkingthebody,butalso inbodysciencessotheyknowwhat todoandwhatnottodo.Infact,if you’relookingforamassagetherapist, Koenigsuggestsyoustartbyaskingif thepersonislicensed.(Reno,Sparks, CarsonCity,andDouglasandWashoe Countiesallrequireamassage therapisttobelicensed). Koenigalsosuggeststhataclient askifthemassagetherapistisinsured. Hesaysalthoughtheydon’tneedto beinsured,thereiscertaincriteria necessarytogetinsurance.Finally, hesaysthatyoushouldalsofind someoneyou’recomfortablewith becausethereisacertainamountof personalintimacyinvolved.“It’sabig trustindustry,”hesays. AllstudentsoftheBaumCenter Page 6 • March 2004 musttakethebasiccourse,which includesanatomyandphysiology, kinesiology,lawandethics,business practices,hygiene,firstaidandCPR. Inotherwords,studentshaveto knowmorethanthe“thighbone’s connectedtothekneebone.”Rest assuredthatafter150hoursof classroomanatomyandphysiology and210hoursoflearningtechnique— demonstrationandhands-on—along withthetestingandevaluation,the Baumstudentisreadytoperformwell onyouronlyrealasset,yourbody. Thebasiccoursepreparesstudents totakethelocallicensingtestsand totaketheNationalCertification BoardTest(NCBT).TheNCBTtestisa nationallyaccreditedtestformassage Koenig says a good school and licensing therapists. ensures that students knows how the body works. (Photo taken in classroom at Reno campus.) Thebasiccoursealsorequires studentstochoosefromanumber ofelectivecoursesincluding tissue,hotrock,acupressure,sports acupressure,sportsmassage,oriental massageandTuiNa(Chinesemeridian therapy,reflexology,andalternative massage).Koenigsaysthestudents healingtechniquesandfromavariety whoworkonthepublicareatleasta oftherapeuticmassageclassessuch thirdofthewaythroughtheprogram asdeeptissuetechniques,strain andsomeareneargraduation,soyou counterstrainandsofttissuerelease. getalegitimatemassage.Besidesthe Theschoolalsooffersanadvanced lowcost,clientsareaskedtoevaluate curriculumforlicensedmassage thepractitioner. therapists.Hereiswheretheycan Ifyouparticipateinanynumberof gainadditionalexpertiseandtraining eventsinthearea,youmayhavemet inareassuchasmedicalmassage, astudentoftheBaumCenter.Students painmanagement,sportsmassageand andinstructorsarethereattheDeath more. RideandthemarathonatBowers Wouldyouliketotakepartin Mansioneveryyear.You’llseethem helpingastudentgaincertification? givingchairmassagesatanumberof ThentheBaumschoolwouldlike specialeventsintheareaandthey’ve totalktoyou.Becausestudentsare justsignedupwiththeCarsonTahoe requiredtogetreal-lifeexperience, Hospitaltodoalltheirhealthfairs.If theCenterofferslow-costmassage. yourgrouphasafundraisingevent, Justasinanymassagetherapy youmaywanttogivethemacall. establishment,privateroomsanda Businessesoftencallonthemtobe numberoftechniquesareoffered, includingSwedishmassage,deep Baum Center continued on page 7 Seminars Baum Center • Seminars • continued from page 6 atawardbanquetsanddifferentholidayevents.TheCenterrecentlyhosteda businessAfterHoursfortheCarsonCityAreaChamberofCommerce. Koenigsaysthecenterisproactiveinseeingthattheirstudentsareout meetingthepublic,learninghowtodealwithpeopleintherealworld,and gettingpracticalexperienceinmassage.Studentshavetheopportunitytomeet withanumberofdifferentpeopletolearnhowtoevaluatetheneedsofeach individual. OwnerVinnieBaum,ICBT,openedtheBaumHealingArtsCenterinCarson Cityin1997,andtheRenocampusin2001.Baumisalicensedtherapistwith aprivatepracticeinmassageinCarsonCity,hasbeenaninstructoratthe RalstonSchoolofMassageatWashoeMedicalCenterandhasaMaster’sdegree inSportPhysiology.BaumCenterislicensedbytheNevadaCommissionon PostsecondaryEducation. AllBaumCenterinstructorsareeithermassagetherapistsand/orchiropractors andhaveprivatepracticesintheReno/SparksandCarsonCityareas.Contact theRenocampusat775-329-1535andtheCarsonCitycampusat775-8841145. FMI Launches Exciting New Format at the 2004 FMI Show in Chicago T heFoodMarketingInstitute (FMI)isgoingtogiveyouthe “SolutionsforGrowthwithAllthe RightIngredients”atits2004FMI Show,May2-4,inChicagoatthe McCormickPlace. Thisisanindustryevent,according toFMI,andtheymayjustberight. Newtothisyear’sshowisthe inclusionoffourotherfoodindustry events.TheOrganicTradeShow’sAll ThingsOrganicConferenceandShow comestoMcCormickPlacealong withTheFancyFoodShow,U.S.Food ExportShowcaseandTheUnited ProduceExpoandConference. Thisisaone-stopchancetosee thelatestproductsandtrendsinthe foodindustrythroughmanydifferent venues.Onebadgegivesattendees entrancetotheentireshow.Seewhat’s happeningandnewwithorganics, specialtystoresandgrocery.There willbemoreproducts,peopleand informationthaneverbefore. Page 7 • March 2004 Newfeaturesatthisyear’sshow includetheHealthyLivingPavilion, focusingonnutritionandobesity andhowitaffectsthefoodindustry; abiggerandbetternewproduct showcasewithmoreproduct categories;educationwithafocuson solutionsforgrowthandhowyour companycanstaycompetitiveand relativetotomorrow’sconsumer; andtheEPCShowcasewith demonstrationsandeducationtoget yourcompanyEPCready. TheFMIShowhasspecialmeeting roomsforgroupsof30ormore.Meet therewiththeexpertsofyourchoice. Learninglabsandclose-upswill improveyourcompany’ssuccess throughfocusedinteractive,strategybasededucationsessionsdesignedto servespecialistswithinyourcompany. ContacttheFoodMarketing Institutenow.Reachthemat202220-0907orfindinformationat www.fmi.org. April – 2004 IMRA Loss Prevention, Auditing & Safety Conference April 13 - 16, 2004 Dallas, TX Contact: rasher@imra.org NACS Category Management April 28 - 29, 2004 Chicago, IL Contact: 703-684-3600 May – 2004 NRF CRMretail: Customer Relationship Management Conference May 11 - 12, 2004 Orlando, FL Contact: 800-MRF-HOW2 FMI Financial Executive Conference May 23 - 26, 2004 Orlando, FL Contact: pshinko@fmi.org or call 202-220-0705 NRF Washington Leadership Conference May 26 - 27, 2004 Washington, DC Contact: 800-NRF-HOW2 June – 2004 NACDS Marketplace Conference June 4 - 7, 2004 New Orleans, LA Contact: 703-549-3001 or www.nacds.org August – 2004 NACS Leadership Executive Program August 8 - 12, 2004 Ithaca, NY Contact: 703-684-3600 Abbreviations FMI • Food Marketing Institute IMRA • International Mass Retail Assn. NACDS • Nat’l Assn. of Chain Drug Stores NACS • Nat’l Assn. of Convenience Stores NRF • National Retail Federation Tech News Spammers Aren’t Canning Spam Operation Cyber Sweep Nabs Internet Scammers S W incetheCan-SpamActwent intoeffectonJanuary1,there’s beenlittlerelief.Emailrecipients arestilltrashingatleasthalfoftheir inboxbecauseit’sspam.Anti-spam softwaremakerBrightmailsaysit hasn’tseenachange,andatleast 60percentofallemailisspam. Thenewanti-spamlawmakes itillegaltodisguisetheoriginating Internetaddressofspam,touse misleadingsubjectlinesandto electronicallycopyemailaddresses fromotherwebsites.Italsorequires thatemailmarketersprovidea legitimatewayforconsumers torequesttogetoffanemail list.Spam-fightersandInternet providerssaythatsofar,though, spammersaren’tcomplyingwith anypartofthelaw.Andspammers seemtobeuppingtheanteby creatingevenmoreconfusing subjectlines,garblingcharactersto trytoevadespamfilters. NowtheFederalTrade Commission(FTC)ishardatwork tofulfilloneoftheordersofCanSpam—tocreateauniversally recognizable“mark”thatwillnotify consumersthattheirinboxcontains apornographicemail.Takenote,if yoursubjectlinesaysSEXUALLYEXPLICIT-CONTENT,thatmeans theemailispornography. Willasubjectlinewarning doanygood?Sofar,Brightmail, AOL,Postini,Inc.andotherspamfighterssaythatspammersarejust gettingmoreclever. TheFTC’sporn-proposalstillhas hoopstojump.Whenthisproposal isapproved,though,theFTC canmoveontooneoftheother sevenrulesthattheCan-SpamAct requires.Thehardworkwillstart whentheFTCtackleshowtocreate ado-not-spamplanfortheInternet. Page 8 • March 2004 hatdotheUnitedStates, Ghana,NigeriaandRomania haveincommon?They’vecome togethertofightcrimescommitted overtheInternet. LastOctober,theDepartmentof Justice(DOJ)launchedOperation CyberSweeptotrytostemthe onslaughtofeconomiccrimes conductedovertheInternet.Amonth later,theDepartmentannounced ithadarrestsorconvictionsof morethan125individualsinthe coordinatednationwidecrime crackdown. OperationCyberSweepisa coordinatedeffortoftheDOJ,34 U.S.Attorneys’officesnationwide, theFBI,thePostalInspectionService, theFederalTradeCommission, theU.S.SecretServiceandthe BureauofImmigrationandCustoms enforcement,togetherwithavariety ofstate,localandforeignlaw enforcementagencies. Thecyber-crimefightersare respondingtosignificantincreases inonlinefraudandthefraudsters’ perceptionthattheyareuntouchable. Onehundredinvestigationsresultedin over70indictments,whichuncovered 125,000victimswhohadlostmore than$100,000.Criminalswere nabbedacrosstheU.S.,inGhana, NigeriaandRomania. Someoftheindictmentsthatare beingpursuedinclude: InvestmentCrime A21-year-old,K.C.Smith, pleadedguiltytotwofelonycharges ofsecuritiesfraud.Smithused theInternetin2002topromotea fraudulentschemethatpromised investorshighreturnsontheir “internationaltax-free”investments inthe“MarylandInvestmentClub,” afictitiousenterprise.InTennessee, Smithluredthegullibleandgreedy throughspamming. Phishing HelenCarr,intheEasternDistrictof Virginia,pleadguiltytoconspiracyto possessunauthorizedaccessdevices. Sheengagedin“phishing”bysending fakeemailmessagestoAmerica Onlinecustomers,advisingthemthat theymustupdatetheircreditcard/ personalinformationonfilewithAOL tomaintaintheiraccounts. (Phishing,alsocalledspoofing, iswhenapersonpretendstobe someoneelse’semailorwebsite.They directemailrecipientstologontoa fakewebsitethatcloselyresembles theonebeingscammedinboth appearanceandcontent.) Hacking AllanE.Carlsonwasindictedon chargesofhackingintocomputers acrossthecountrytolaunch spamemailattackscriticizingthe PhiladelphiaPhilliesbaseballteam. Carson,adisgruntledPhilliesfan,was alsochargedwithidentitytheftfor illegallyusingtheemailaddressof reportersatPhiladelphianewspapers. “Bycoordinatingourlaw enforcementeffortswithotherfederal, stateandlocallawenforcers,we leverageoureffortsandmaximize ourimpact,”saysTimothyJ.Muris, chairmanoftheFTC.“Weintendto sendastrongmessagetothosewho usetheInternettobreakthelaw.” Victimsofonlinecrimeshouldfile acomplaintonlinewiththeInternet FraudComplaintCenter,whichis ajointventureoftheFBIandthe NationalWhiteCollarCrimeCenter. Gotowww.ifccfbi.govorhttp: //www.ftc.govtofindfraudcomplaint forms. News Briefs BAT Tax for Out-ofState Companies Medicare Discount Cards Prompt Scams T D heNationalRetailFederation (NRF)isseekinga“brightline” testforwhetherastatecanimpose businessactivitytaxes(BAT)onout-ofstatecompanies. Followingextensiveconsultation withmembercompanies,NRFthis monthadoptedapolicystatement sayingthatCongressshouldprovide astandardthatisfairtoboth governmentandbusinessesandalso clearandsimpleforgovernmentto administerandbusinessestocomply. Thestatementsaysthatthestandard forwhetheracompanymeetsthe brightlinetestiswhetherithasa “greaterthandeminimus”physical presenceinagivenstate.TheBAT positiondoesnotchangeNRF’s supportforcollectionofsalestaxby remotesellers. Withagrowingnumberofstates seekingwaystosolverevenue shortages,manyarelookingat establishingBATtaxesorexpanding existingBATtaxes.Congressis expectedtoaddresstheissue sometimethisyear. BATtaxesincludeawiderange ofleviesimposedonbusinesses, includingcorporateincometaxes, franchisetaxes,grossreceiptstaxes, capitalstocktaxes,networthtaxes, singlebusinesstaxesandbusinessand occupationtaxes.Stateshavetriedto imposeoneormoreofthetaxeson companiesthatdon’thaveanofficeor storeintheirstatebutshipproducts intoastate,solicitordersorotherwise haveabusinessactivity. A1959federallawprohibits statesfromplacinganincometaxon out-of-statebusinesses,butdoesn’t addressothertaxesandappliesonly tocompaniessellingtangiblegoods, notservices. Source:NationalRetailFederation, February27,2004 Page 9 • March 2004 oor-to-door salesmen areprettymuch athingofthe past,soifyou getaknockon yourdoorand thepersonstandingontheporch triestotellyouheorsheisgathering informationfortheMedicareapproveddiscountcard,shutthe doorandlockit.TheMedicaredrug discountcardwon’tevenbetaking signupsuntilMay2004.Thefraudsters havegottenthejumponthisone. Aspokespersonfromthe federalCentersforMedicareand MedicaidServicessays,“Someone isfraudulentlyimpersonating ormisrepresentingMedicareby telephoneandbydoor-to-doorvisits tobeneficiaries’homestodiscussthe Medicarediscountdrugprogram andtoobtainpersonalidentifying informationfrombeneficiaries.” Medicarerepresentativesare notgoingdoor-to-door,norare theycallinganyoneregardingthe discountdrugcard.TheCenteris warningpeoplenottogiveoutany informationtoanyoneproclaiming torepresentthecard.Themarketing fortheprogramhasn’tevenbegun, letalonetheformalsignupperiod. Thediscountcardisatemporary reliefprogramthatmayhelp saveseniors10to25percentoff theretailpriceofsomeoftheir medicines.Low-incomeelderlywill beeligiblefora$600creditontheir cards.TheprogramstartsinJuneof thisyear,afterthesignupperiodin May. Water Study for Southern Nevada Agrowthtaskforceisbeingformedtostudygrowthandwater issuesinsouthernNevada.Recommendationsformembersare: Citizens/GeneralPublic SueAllen,SouthwestAreaNetwork; GabrielLither,SummerlinResidents forResponsibleGrowth;AnnZorn, Retired,Paradisearea. Environmental JaneFeldman,SierraClub;Alan O’Neill,OutsideLVFoundation DeveloperCommunity JayBingham,JulietDevelopment; JohnKilduff,AmericanNevada Corp.;DanielVanEpp,Howard Hughes/TheRouseCo. Business/Gaming BillBible,NevadaResort Association;SteveHill,SilverState Materials/LVChamberofCommerce Health/SocialServices MerlindaGallegos,ChungTingTang Foundation;FrankRicho,Catholic Charities Labor DannyThompson,AFL/CIO Analysis/Academic GuyHobbs,Hobbs,Ong& Associates,Inc.;NgaiPindell,Law Professor,UNLVLawSchool;Hal Rothman,UNLVHistoryProfessor andDepartmentChair Chair LeonardE.(Pat)Goodall,Retired UNLVPresident Self Insured Groups TAKE CONTROL OF YOUR WORKERS’ COMP COST Greater management control that cuts overhead costs Pre-employment screening at a small co-pay for NRN members only Team Safety/Loss Control Program for all members Investigation and defense of claims Direct savings that give Important information for SIG members The NRS governing self insured groups requires notifying members of all new members to the Group. New members for NRNSIG, from February 1 to March 15, 2004, are listed below. For a complete member list, please call RAN at 775-882-1700. Please Note: Due to the many new members added each month to NRNSIG, we are unable to list all members on this page. NRNSIG AffordableTradeshowService,Inc. AlamoMedicalClinic AlpenGlow AMTISunbeltLLP AreaWest BigOTires28852 BigOTiresCentennial28856 CardiovascularSurgeryofSouthernNevada CassidyClassicCleaning ComfortKeepers CrescentDevelopmentCompany CrescentManagementServices,Inc. GobinderS.Chopra,MD,Chtd Goodi’sFreshSqueezedLemonade members greater incentive to control losses Find out more about RAN’s self insured group. Call Willie Kerschner, 775-720-8125 or the RAN office at 775-882-1700 (Toll-free in Nevada – 800-690-5959). Don’t forget to check out our website, www.RANNV.org. BePartof… Certificate #5004 TakeControlToday… g Sponsoredby The Retail Association of Nevada 1007 N. Nevada Street Carson City, NV 89703-3937 • Membership in RAN Required • Page 10 • March 2004 lobal Payments THE BANKCARD PROCESSOR ENDORSED BY THE RETAIL ASSOCIATION OF NEVADA Cut the wait. Cut the hassle. Use Global Payments’ processing services and offer your customers what they want – quick service using their credit, debit EBT or purchasing card. • Card Processing Services Global Payments authorizes your credit, debit, EBT and purchasing card transaction in seconds. Call Willeta Kerschner 775-720-8125 or 775-882-1700 NRNSIG members who wish to register a negative vote on a new group member, please write NRNSIG at 810 E. Fifth Street, Suite A, Carson City, NV 89701, indicating which member and the reason(s) for the negative vote. Membership Information The Nevada Retail Network •SelfInsuredGroup• GreenValleyPonds,Inc. HotBodiesSpa LaFermeLLC LittlePeoplePortraits MackDesignGroupCorp. Matties Ming’sRestaurant,Inc. MountainViewHomes PineLodgeLLC PrismCPR ServiceMaster1stResponse SierraNevadaEyeCenterLtd. Spinetti’s TechnowledgeNetworks,Inc. • Check Services Global Payments guarantees 100% payment of check’s face value within three days if returned by your financial institution. You’ll have check guarantee, verification and recovery services. • Reporting Global Payments provides features such as standard terminal and paper reporting, electronic reporting, online merchant statements, daily notification of retrieval requests and charge backs and data export for further analysis. • • Superior Terminal Management & Support POS Options, eCommerce Services Take advantage of the low rates available exclusively to Retail Association of Nevada members. Call Tim Jensen, 1-800-719-5002 or email tim.jensen@globalpay.com. R–A–N Larsen Column The Fine Point of Cohesion Researcher Explores the Link Between Close-Knit Work Groups and Performance By James Larsen, PhD Researchersstudyingtheperformance ofworkgroupshaveexamined numerousqualitiesofgroupcom- positionandfunctioningoverthe years.They’vebeenlookingforfactors thatwillexplainwhysomegroupsare veryproductive,whileothersarenot. Onepopulartargetfortheirstudyhas beengroupcohesion. Groupcohesionisaterm researchersinventedtodescribe aconditionofworkgroupsthat helpsmembersfeelclosetoeach other.Ithasthreecomponents:1) interpersonalattraction(peopleina groupfeelingattractedtoeachother forfriendship),2)grouppride,and3) sharedcommitmenttotheworkofthe group.Commonsensesuggeststhat groupsthatpossessthesequalitieswill workwelltogetherandachievemore thangroupsthatdonot.However, researchersarecautiousabout commonsense.Theyliketotestitif theycan,butcohesionhasprovento beaslipperysubjecttostudy. DanielBeal,fromPurdue University,isinterestedinthe performanceofworkgroups,and hewassurprisedrecentlywhenhe readtheconclusionsofareview articlepreparedbyacolleague.The colleaguehadreviewedstudiesthat exploredtheconnectionbetween groupcohesionandperformance andhadconcludedthatgroup cohesiondidnotaffectperformance. Thisconclusionseemedimpossible toBeal,soheconductedacareful reviewhimself.Hecorrectedmistakes hefelthiscolleaguehadmade,and heincludedseveral,morerecent studiesinhisanalysis. Bealdidobtainfindingsthat contradictedtheearlierreview.His findingssupportthevalueofcohesion, Page 11 • March 2004 buthealsolearnedfinedistinctions aboutcohesionthatmanagersand supervisorscanuseinmanagingtheir workgroups,andhere’sthebestofit. Bealfoundthatgroupcohesion mattersmostwhenefficiencyis important.Memberscommunicate clearly,quickly,andtheycoordinate theiractionswithaneaseand elegancethatresemblesballroom dancing.Whensuchgroupefficiency occursinanenvironmentthatrewards it,groupspossessingtheelements ofcohesiongainacompetitive advantage. Forexample,inaretailsetting, efficientrestockingmayormaynot beimportantdependinguponthe volumeofmerchandisethatneeds tobesetout,thenumberofpeople availabletodothework,andthetime theyhavetoaccomplishit.Storeswith cohesiverestockingcrews,limited timeandpeople,andlargevolumesof merchandisewillmakemoremoney thansimilarstoreswhoserestocking crewslackcohesion.Therewillbe moremerchandiseontheshelves availableforcustomerstobuy. Groupcohesionalsomatterswhen theflowofworkinagrouprequires jointactionstocompleteit.For example,pianomoverscan’twork alone.Theymustworktogetherto moveapiano. Groupcohesionalsomatterswhen theworkflowrequiresmanyhandoffs orexchanges.Theseoccurwhena workinprogressispassedbetween groupmembersandeachcompletes anoperationandthenpassesthework ontoanotherperson.Themorethese exchangesoccur,themoreimportant groupcohesionbecomesinproviding groupswithacompetitiveadvantage. Ofthethreecomponentsof groupcohesion,Bealfoundthatthe mostimportantwascommitment totheworkofthegroup.Nextin importancewasgrouppride,and thencameinterpersonalattraction. Thisisareverseorderofwhatone wouldexpectbasedonthedefinition ofgroupcohesionasafeelingof closenesswithone’sco-workers resultinginimprovedfunctioningas agroup,andthisisgoodnewsfor managersandsupervisors. Thebestwaytoinfluencean employee’scommitmenttothework ofthegroupisforthesupervisorto careabouttheworkhim/herself, andtomakethesefeelingsclearto employees.Thisleadershipcreates asharedmotivationamonggroup memberstodowellonatask.It’salso easytodo. Thebestwaytoinfluencegroup prideistoemphasizethedifficulty ofbecomingamemberofthegroup andtospeakofthedistinctionthat followsforindividualswhoare selected.Addinganotherinterviewto theselectionprocessaccomplishes thisgoal.Suchactionsandcomments enhancethestatusthatcomeswith groupmembership. Finally,Bealrecommendsdirecting performancefeedbacktotheentire groupandmatchingincentivestothe measurementofthisperformance.He furtherrecommendsconcentrating thisfeedbackonexchangesofwork betweengroupmemberswithagoal ofcreatingasmootherworkflow. Reference:Beal,Daniel,RobinCohen, MichaelBurke,andChristyMcLendon (2003)“CohesionandPerformancein Groups:AMeta-AnalyticClarificationof ConstructRelations.”JournalofApplied Psychology,88(6),989-1004. C2004ManagementResources n o t g n i h s Wa Wa t c h DoWeNeedCool?—Anewreport bytheU.S.DepartmentofAgriculture (USDA)questionswhetherthere isanyseriousconsumerdemand formandatorycountryoforigin labeling.AreportbyUSDA’s EconomicResearchServiceargues thatifdemandforCOOLexisted, supermarketswouldalreadyprovide theinformationinordertoremain competitive. Theabsenceoftheselabelsin thehighlycompetitiveretailmarket suggeststhatdemandissimplynot greatenoughtocovertheadditional coststhatwouldresultfromlabeling, saysareportfromtheFoodMarketing Institute(FMI).Thereportalsoargues thatmandatingCOOLinlightofthis absenceactuallyharmscommodities coveredbythelaw. Theoriginaldeadlinefor mandatoryCOOLlabelingfor meat,produceandpeanuts(butnot seafood)isSeptember30,2004, butthereisabillthathasplaceda two-yeardelayonthemandatory labeling.U.S.farmersandranchers favorthecountryoforiginlabeling. TheappearanceofMadCowdisease intheU.S.hasmadetheissuemore visibletothegeneralpublic.Many feelthatsuchlabelingcreatesmore trustinfoodthatismarketedinthe U.S.TheFoodMarketingInstitute hasaskedtheagencytofinishthe process.Iftherearetobemandatory regulations,retailersneedtohavethe timetocomplywiththelaw,which stillhasoutstandingandunclear issuesattachedtoit.ToreadFMI’s comments,gotowww.fmi.org/gr/ comments/index.cfm. Source:FMI,March2,2004 Retail Association of Nevada Nevada News is an official publication of the Retail Association of Nevada. Mary F. Lau, Executive Director Elizabeth MacMenamin, Director of Government Affairs Paul Enos, Manager of Government Affairs Willeta Kerschner, Account Executive/Workers’ Comp Joan Morrow, Editor Retail Association of Nevada is a nonpartisan, nonprofit corporation Retail Association of Nevada Retail Association of Nevada 1007 N. Nevada Street Carson City, NV 89703-3937 775-882-1700 Website: www.RANNV.org founded in 1969 representing the Retail Community, the Chain Drug Council and the Grocery Industry Council. Nevada News