Thursday, July 30, 2009

Increased Workers Compensation Assessments/ Health Bill/CoolCalifornia Small Business Awards

In the budget signed by the Governor on Tuesday there was a provision that said all the operational cost for the Department of Occupational Safety and Health and the Division of Labor Standards will be fully paid for by employers by increased assessments on their workers compensation policies. The increased assessments will raise $67 million and be on top of the $311 million already assessed on businesses workers compensation policies.

Yesterday House Democrats came to an agreement on the health legislation pending. The significance for small business is that businesses with payrolls of $500000 or more will be required to provide health insurance to their employees or pay a charge of 8% of payroll. The bill previously had a $250000 threshold and sliding scale charges up to 8%. The House and Senate will go on recess in August and it is pretty much agreed that this issue will come back for a vote later in the year. I think it is safe to say this is a big step forward but there remains a lot of details that need to be worked out before legislation goes to the President.

CoolCalifornia Small Business Award
Who is Eligible?All California small businesses (under 100 employees) that candemonstrate climate leadership through a commitment toimplementing and promoting climate–friendly practices areeligible to apply for a CoolCalifornia Small Business Award. How are Winners Selected?This new award program will recognize multiple California smallbusinesses from across the state that demonstrate climateleadership. Each business will be scored according to theirclimate change management practices and related communicationstrategies. Applicants will be eligible for one of two awards –up to 20 CoolCalifornia awards will be presented, andapproximately five ‘Small Business of the Year’ awards will beawarded to businesses that demonstrate exceptional achievement. All award recipients’ businesses will be featured on theCoolCalifornia.org website with links to the business’s webpage.The awards will be presented in November 2009 at the CaliforniaAir Resources Board Headquarters in Sacramento. The closing datefor applications is September 3, 2009.How Do I Apply?The application form and more information on the CoolCaliforniaSmall Business Awards can be found at: http://www.coolcalifornia.org/article/small-business-award-program
For more information, please contact Heather Choi at916-322-3893 or hchoi@arb.ca.gov

Scott Hauge
President
Small Business California
2311 Taraval Street
San Francisco, CA 94116
shauge@cal-insure.com
415-680-2188

Wednesday, July 29, 2009

Treasury finalizing $15 billion to help small business Lending/ SBIR Continuing Resolution

Small Business California has been asked by the Department of Industrial Relations to advise you about a program that is available to small employers to help you help you bring employees back to work. Please see information about this.

Very small employers, can you use up to $2,500?

Then you need to know about the state’s “Bring ‘em Back” campaign. There is no need to lose a valued employee to a workplace injury because, through the end of this year, you can be reimbursed for purchases you make to bring that employee back, or keep them on the job, following an injury! That’s because the state’s Division of Workers’ Compensation will reimburse you up to $2,500 for workplace modifications that bring an injured employee back to work.
Getting reimbursed is as easy as filling out a few short forms and providing receipts. In addition to providing reimbursement for purchases that bring an employee back to work or keeping them on the job, the state’s return to work experts are available to provide consultations and presentations for employers, employer organizations or claims administrators on the subject.
Interested in learning more? Follow this link to the state’s http://www.bringemback.org/
campaign page, or go to http://www.dwc.ca.gov/ and click on the “Bring ‘em Back” link in the right navigation pane.
Questions? Contact a representative of the Return to Work Reimbursement Program at (510) 286-6990 or DWCReturntoWork@dir.ca.gov.

The Washington Post reports that the Treasury Department is finalizing a $15 billion initiative to stimulate lending by the SBA by using Federal Funds from the Federal bailout program to buy up SBA loans. Hopefully if put in place this will help small businesses access capital. The Post says “While SBA credit markets are healthier than several months ago, they remain vulnerable to a relapse if,for instance, the wider financial industry suffers another crisis of investor confidence”
On the Small Business Innovative Research front the Senate on Friday passed a continuing resolution that would extend the SBIR program for another two months to September 30. As I have mentioned previously the SBIR funding will end July31st without this continuing resolution.
It is expected to pass the House today. According to people I am working with in Washington both the House and the Senate are negotiating in good faith to find a resolution to the venture capital problem.
I continue to get calls from the media on the health issue. I welcome any of your thoughts and letting me know if you will talk to the media.

Scott Hauge
President
Small Business California
2311 Taraval Street
San Francisco, CA 94116
shauge@cal-insure.com
415-680-2188

Monday, July 27, 2009

Health Debate

I am sure you are following the health debate in Washington. It is Small Business California’s position that there needs to be more cost containment in both the House and the Senate bills[one in the House and two in the Senate]. Having said that, I think it is important when we talk about cost containment, we do it in the context that quality of care can also be improved with cost containment
I believe when people hear the term cost containment without the quality discussion, it is thought of as just reducing cost and quality of care goes down. I contend this is not necessarily the case. For example reducing hospital cost by eliminating staph infections is a cost reduction and improves the quality of care. In Pennsylvania they have drastically reduced staph infections by monitoring the hospitals and reducing payments when staph infections occur. These are preventable.
Disease management, Electronic medical records and pay for performance just to name a few also reduce cost and improve quality of care .
I think it is important when you are speaking to people on this issue that you keep this in mind and try not to use the term cost control without the quality of care discussion being included.
For those of you that are advocates for small business this is really critical in your discussions.

Scott Hauge
President
Small Business California
2311 Taraval Street
San Francisco, CA 94116
shauge@cal-insure.com
415-680-2188

Tuesday, July 21, 2009

FLASH: SCIF Sale Still There

While all the details are not in it appears the budget includes the sale of State Fund raising $1 billion. Small Business California has opposed this as we feel it could have a severe impact on small businesses that remain in State Fund. These small businesses include businesses that have no other options because they are in a high hazard industry.
The details of the sale have not been explained but it seems to us if the better business in State Fund is sold off that would mean that the remaining businesses would have their rates increase.
I really would appreciate your comments and letting me know if you are currently covered by State Fund.
See link below.

www.wcexec.com/articles/WCE01-20090721-001.html

Scott Hauge
President
Small Business California
2311 Taraval Street
San Francisco, CA 94116
shauge@cal-insure.com
415-680-2188

Monday, July 20, 2009

CIT $3 Billion Rescue

In a last minute deal CIT will receive $3 billion from major bondholders to keep the company out of bankruptcy. This gives the company time so that it can put together a debt exchange offer to meet its debt of $7.4 billion which comes due in the first quarter of next year.
Besides loans through the SBA CIT is a major short term financier to about 2000 vendors that supply 300000 stores. According to the NY Times ,analyst say 60% of the apparel industry depends on CIT for financing.

On August 20 Small Business California will be hosting a fund raiser for San Francisco small business leaders over the last 25 years. San Francisco has a rich history of small business leadership over that time and as such has gotten passed by the voters the creation of a Charter Small Business Commission. I believe it is the only Charter Commission in the United States. Attending the event will be at least one past Mayor, members past and present from the SF Board of Supervisors and state legislators past and present. The proceeds of the event will go to Small Business California and Clinic By the Bay a Volunteers In Medicine clinic in SF.

Small Business California is always looking for ways to benefit our members. For our members only we will selectively send your emails to lawmakers, media and others where you have an opinion or problem. We have a lot of contacts and we believe your voice can be strengthened by our knowledge of where to send your thoughts. We focus on state issues so this is limited to state people. We also cannot guarantee results and will not send inflammatory comments.
Let me cite examples of where we have done this. A member contacted us on a problem they were having with EDD. We contacted Fiona Ma’s people in SF and the problem was resolved. Another member contacted us on a problem they were having with the state contractor’s license bureau and we referred them to a Governors representative and resolved the problem.
Again we cannot guarantee results but we think this is a major benefit to our members. If you are not a member we hope you will consider joining and taking advantage of this new benefit.

Scott Hauge
President
Small Business California
2311 Taraval Street
San Francisco, CA 94116
shauge@cal-insure.com
415-680-2188

Friday, July 17, 2009

SB-Cal Letter to Timothy F. Geithner regarding CIT

Small Business California is sending a letter today to Timothy Geithner asking him to take the lead in saving CIT. While CIT is the immediate need we are also stressing that small business needs to have more access to capital.
I am getting calls from the media asking if I know small businesses that are impacted by the CIT situation. If you are one of their customers I would like to hear from you. I would also like to know if you would talk to the media.
Please tell me your story.

Scott Hauge
President
Small Business California
2311 Taraval Street
San Francisco, CA 94116
shauge@cal-insure.com
415-680-2188

Tuesday, July 07, 2009

SOS: Stop VC bailout at expense of small business

Scott Hauge, founder and president of Small Business California, and Christopher White, of the Bay Area Innovative Alliiance, are sounding the alarm on behalf of small business.
Next week, Congress is scheduled to vote on reauthorization of the Small Business Innovation Research (SBIR) program, which directs $2.2 billion annually in federal grants to small technology businesses across the country.
The problem, according to Hauge and White, is that the House bill contains a provision which changes the definition of small business to include subsidiaries of multinational corporations and companies that are majority-owned by multi-billion venture capital funds and other large financial institutions, including foreign financial institutions.
Click here to read their statement. They recommend that people call Rep. Nancy Pelosi's office and Rep. Jackie Speie's office to oppose the changes and keep the original SBIR small business eligibility criteria in place.

Bruce B. Brugmann
SFBG
Founder/Publisher