Business Weekly E-Newsletter
January 5-9, 2008
Preparing for Card Check Organizing Campaigns
Attached to this issue of Business Weekly is a PDF document that provides information on some free lectures that are being held throughout the state to discuss the proposed Employee Free Choice Act (EFCA), how it will affect companies, small and large, and what companies can do to prepare themselves.
The Senate Goes Wobbly on Card Check
(Editor’s note: The following article written by Kimberly Strassel appeared in the January 2nd issue of The Wall Street Journal).
Responsibility has a way of focusing the mind.
Take Mark Pryor, Democratic senator from Arkansas. In 2007, Mr. Pryor voted to move card check, Big Labor’s No. 1 priority. And why not? Mr. Pryor knew the GOP would block the bill, which gets rid of secret ballots in union elections. Besides, his support helped guarantee labor wouldn’t field a challenger to him in the primary.
Postelection, Mr. Pryor isn’t so committed. He’s indicated he wouldn’t co-sponsor the legislation again. He says he’d like to find common ground between labor and business. He is telling people the bill isn’t on a Senate fast-track, anyway. His business community, which has nimbly whipped up anti-card-check sentiment across his right-to-work state, is getting a more polite hearing.
It hasn’t been much noticed, but the political ground is already shifting under Big Labor’s card-check initiative. The unions poured unprecedented money and manpower into getting Democrats elected; their payoff was supposed to be a bill that would allow them to intimidate more workers into joining unions. The conventional wisdom was that Barack Obama and an unfettered Democratic majority would write that check, lickety-split.
Instead, union leaders now say they are being told card check won’t happen soon. It seems the Obama team plans to devote its opening months to important issues, like the economy, and has no intention of jumping straight into the mother of all labor brawls. It also seems Majority Leader Harry Reid, even with his new numbers, might not have what it takes to overcome a filibuster. It’s a case study in how quickly a political landscape can change, and how frequently the conventional wisdom is wrong.
Paradoxically, it’s Mr. Reid’s bigger majority that is now hurting him. In 2007, he got every Democrat (save South Dakota’s Tim Johnson, who was out sick) to vote for cloture. But it was an easy vote. Democrats like Mr. Pryor knew the GOP held the filibuster, and that Mr. Bush stood ready with a veto. Now that Mr. Reid has 58 seats, red-state Democrats in particular are worried they might actually have to pass this turkey, infuriating voters and businesses back home.
Mr. Pryor isn’t alone. Fellow Arkansas Democrat Blanche Lincoln voted for cloture in 2007 but is now messaging Mr. Reid that she’s not eager for a repeat. She recently said she doesn’t think “there is a need for this legislation right now,” that the country has bigger problems. What she didn’t mention is that she is also up for re-election next year, and that one potential GOP challenger, Tim Griffin, is already vowing to make card check an issue. South Dakota’s Tim Johnson, Nebraska’s Ben Nelson and others face similar pressure. And it seems unlikely new Senate arrivals such as Colorado’s Mark Udall are eager to make card check an opening vote, especially with visions of United Auto Worker bailouts fresh in voter minds.
Republican “moderates” aren’t eager for card check either. If this were a minimum-wage vote, Maine’s Susan Collins, for example, would be lining up. But polls show more than 80 percent of Americans disagree with eliminating union ballots. Senate Minority Leader Mitch McConnell has bolstered opposition by turning card check into a litmus test of Mr. Obama’s promise to work with the other side. Even Pennsylvania’s Arlen Specter, the lone GOP vote for card check in 2007, is backpedaling, worried about a 2010 primary challenge.
Credit for this new environment goes to a business community that has been uncharacteristically unified in a sweeping campaign against the bill. U.S. Chamber of Commerce General Counsel Steven Law says the issue has even inspired his organization to change tactics.
“In the past, unions would show up in force on the ground while the business community would send someone in a suit up to Capitol Hill. This time, we pushed hard at the grass-roots level and lit a fire under this issue.” Those grass roots have targeted senators like Mr. Pryor and Mrs. Lincoln. Business also spent millions airing ads about card check during the presidential campaign, a prime time to educate voters.
None of this is to suggest card check is dead, or that it might not yet be resurrected in the early days. If Al Franken pulls out a win in Minnesota, Mr. Reid might be inspired to use his 59 votes to forge ahead. Some House Democrats are also suggesting union intimidation would in fact “stimulate” the economy, and that the legislation ought to be attached to the upcoming spending package.
Whatever the difficulties, it’s hard to fathom how waiting helps Democrats. Mr. Obama will never be stronger than in his opening months, and he’ll need muscle to strong-arm reluctant party members to support such an unsupportable measure. The initial union strategy was to whip this through before Americans understood the debate, but in that they’ve already failed. The more time goes on, the more likely this issue turns into trench warfare.
For the unions, that wouldn’t just be a shot to the heart, but to the ego. Democrats may try to fob them off with less controversial legislation – “fair pay” or more unionization of public safety officials – but Big Labor feels it is owed much more. We may be about to discover just how patient, or forgiving, those union bosses are.
Climate Change Commission Raises Questions
(Editor’s note: The following column was written by David J. Sanders of Stephens Media/Arkansas News.)
Arkansas is at risk of falling pretty to cookie-cutter environmental policy recommendations pushed by an out-of-state “advisory” group, which besides being funded by global warming alarmists, wants the state to raise taxes and utility rates and to spend billions of taxpayers’ dollars all in the name of curbing Arkansas’ carbon dioxide emissions.
Lawmakers beware. Soon a fellow legislator, or a representative from some interested party, will ask you to support a new set of practical and unique solutions – common sense policies – developed by a diverse group of Arkansans to tackle the problem of global warming. They’ll claim the time for debate is over and that action is required. After all, this will be the Natural State’s moment to lead on the most important issue facing the state, nation, and world.
Thanks to the Arkansas Governor’s Commission on Global Warming (GCGW), what lawmakers will be asked to support is neither unique nor based on common sense. When the group was formed in the 2007 legislative session, it was largely viewed as Gov. Mike Beebe’s tip of the hat to a growing group of leftwing Democrats in the Arkansas General Assembly.
If enacted into law, there is little evidence that the group’s 54 policies would have any appreciable affect on global warming, but instead would drain money from the state budget and stifle much needed economic growth by making Arkansas one of the only states in the region to adopt a new set of punitive and confiscatory environmental policies.
So where did this come from?
The GCGW’s founding documents stipulate that the commission would work with the nonprofit Center for Climate Strategies (CCS) to “assist” with its “examination and evaluation of the … ‘issues related to global warming on the state, its citizens, its natural resource, and its economy.’”
But, in fact, CCS sought Arkansas out, just like it has more than 20 other states, and not the other way around. From the beginning CCS has driven the commission’s formation, processes and recommendations. By clicking through some of other states listed on the group’s Web site (climatestrategies.us) it’s revealed that GCGW’s “stake holder,” “consensus” approach is nothing more than a template.
CCS isn’t trying hard to hide its approach. From state to state, the policy recommendations vary little – even GCGW’s Web site (arclimatechange.us) is nearly identical to the other state commissions’ Web sites.
CCS has an agenda.
Paul Chesser, director of Climate Strategies Watch, a nonprofit group that follows CCS activities across the U.S., pointed out that this so-called “advisory” group is, in fact, an “advocacy” group. It’s funded by known leftwing environmental champions like the Rockefeller Brothers Fund and CNN founder Ted Turner – even the ACLU.
In Arkansas, CCS/GCGW’s 54 policy recommendations carry a price tag of $3.7 billion over 15 years. But, peer-reviewed studies of CCS’s similar recommendations in North Carolina and South Carolina demonstrated that the costs both in terms of dollars from the state budges and lost revenue, and economic consequences in terms of lost jobs and lost economic development, were “dramatically underestimated.”
In Arkansas, the two groups call on the Legislature to adopt a carbon tax (incidentally, neither CCS nor the GCGW quantified the economic impact or cost of a carbon tax in any of its reports. But by any estimation such a tax would represent a major new cost of doing business in Arkansas) an “energy-saving sales tax” and new mandates on Arkansas utilities to supply energy from more expensive alternative-energy sources.
Why Arkansas? Why now?
Tom Peterson, CCS’s executive director, admitted that their designs are to use states to put bottom-up pressure on the federal government to adopt sweeping policies cutting greenhouse gases. Lawmakers would be wise to protect Arkansas taxpayers and from becoming pawns in such an expensive scheme.
Next Small Business Council Meeting Scheduled for January 22
The State Chamber/AIA Small Business Council will hold its next meeting from 11:30 a.m. to 1 p.m. on Thursday, January 22 at the Jonesboro Chamber of Commerce.
Eric Munson, Region VI advocate for the U.S. Small Business Administration, will provide a presentation on “Federal and State Governmental Regulations.” There will also be a legislative update.
We are seeking a sponsor for the lunch portion of the meeting. If your company would be interested in sponsoring lunch, please contact Jeff Thatcher at 501-210-4205 or jthatcher@arkansasstatechamber.com .
Small Business Council meetings are open to all members of the State Chamber/AIA.
Below is the schedule for future Small Business Council Meetings through May 2009. Future meetings will be held from 11:30 a.m. to 1 p.m. in the Conference Room at our Little Rock office unless otherwise indicated.
Thursday, March 19, 2009 - Employee Benefits
Wednesday, May 6, 2009 - Information Technology
Next Leadership Arkansas Session Slated for Magnolia
Leadership Arkansas Class III will hold its next session covering the South Arkansas Economy on January 22-23 in Magnolia.
Additional sessions planned for the coming months throughout the state include:
- Session IV – Legislative, February 23, 2009, Little Rock;
- Session V – Economic Development, March 26-27, 2009, Fort Smith;
- Session VI – Northeast Arkansas Economy, May 21-22, 2009, Jonesboro;
- Session VII – Northwest Arkansas Economy, June 25-26, 2009, Fayetteville.
- Leadership Class III Graduation will be held June 26, 2009 in Fayetteville.
Leadership Arkansas is a program designed to take a statewide view of the economic and political challenges that face Arkansas. The program offers leadership opportunities that expand the impact of community leaders across the state. Created by the State Chamber/AIA, Leadership Arkansas builds a sense of statewide community by identifying and training individuals with the passion and commitment to become personally engaged in issues, programs and activities aimed at building a better Arkansas.
The Chairman for this year’s Leadership Arkansas class is program founder Paul H. Harvel. Curriculum Chairman is Michele Bond. Leadership Arkansas Class III is sponsored by Southern Bancorp of Arkadelphia.
If you would like to be a session sponsor or need further information about Leadership Arkansas, please call Susie Marks at 501-210-4206.
State Chamber to Host Procurement Conference
The Arkansas State Chamber of Commerce is partnering with the U.S. Small Business Administration and the state congressional offices to bring the Arkansas Procurement Opportunities Conference to Little Rock on June 2 at the Statehouse Convention Center in Little Rock.
The Procurement Opportunities Conference will include the Annual Small Business Awards Luncheon, networking, training and procurement opportunities. It will also feature a business exposition/matchmaking event, pairing small business owners with prime contractors, federal agencies and major corporations in a one-on-one setting.
Some 350 local and regional small business owners (SBEs, MBEs, WBEs and DBEs) will come together for a full day of procurement opportunities with 150 buyers from federal agencies, prime contractors and major corporations.
Sponsorship opportunities for this event are possible. For further information, please contact the State Chamber/AIA office at 501-372-2222.
Potlatch Board Gives Final Approval to Completion of Clearwater Paper Spin-Off
Potlatch Corporation recently announced that its board of directors gave final approval to the spin-off of its pulp-based businesses, which was completed through a special tax-free dividend of the common stock of Clearwater Paper Corporation.
The Potlatch board established the close of business on December 9, 2008 as the record date and set a distribution ratio of one share of Clearwater Paper stock for every 3.5 shares of Potlatch Corporation stock. The distribution of Clearwater Paper common stock occurred on December 16, 2008. Clearwater Paper common stock began regular way trading on the New York Stock Exchange (NYSE) under the ticker “CLW” on December 17, 2008. Potlatch continues to trade on the NYSE under the ticker “PCH.”
As a result of the spin-off, two stand-alone, publicly traded entities have been created. Potlatch Corporation, a timber Real Estate Investment Trust (REIT), is a verified forest practices leader with approximately 1.7 million acres of forestland in Arkansas, Idaho, Minnesota and Wisconsin. Through its taxable REIT subsidiary, the company also operates six manufacturing facilities that produce lumber and panel products. Clearwater Paper Corporation is a pulp-based manufacturing company that includes consumer products facilities at Lewiston, Idaho; Las Vegas, Nevada, and Elmwood, Illinois, and pulp and paperboard facilities at Lewiston, Idaho, and Cypress Bend, Arkansas, and wood products facilities at Lewiston, Idaho.
Welcome to Our New Members
Thanks to the following companies and organizations that have recently joined the State Chamber/AIA:
Advanced Cabling
Arkansas Society of CPA’s
CMC Recycling (Lonoke)
Credit Guard
Graphic Packaging
Mullenix & Associates, LLC
Petrohawk Energy Corporation
Thanks to Our Pinnacle Members
We wish to express special thanks to all of our Pinnacle investors, the respected companies that support the State Chamber/AIA at the highest annual investment levels. We appreciate all that they do for us.
APEX
Alltel Corporation
Entergy Arkansas, Inc.
Wal-Mart Stores, Inc.
SUMMIT
Chesapeake Energy, Inc.
Cox Communications
Tyson Foods, Inc.
XTO Energy, Inc.
PEAK
Arkansas Blue Cross and Blue Shield
Arvest Bank
AT&T Arkansas
CenterPoint Energy Southern Gas
Electric Cooperatives of Arkansas
FedEx Freight - East
Georgia-Pacific Corporation
Kraft Foods
Oaklawn Jockey Club
Pathfinder Exploration LLC
SemGroup LP
Southern Bancorp, Inc.
Southland Park Gaming & Racing
Southwestern Energy Company
State Farm Insurance
Verizon Wireless
Windstream Corporation
CROWN
Acxiom Corporation
AEP Southwestern Electric Power
Albemarle Corporation
Alcoa Inc.
American Greetings Corporation
America's Car-Mart, Inc.
Arkansas Employees Federal Credit Union
Arkansas Farm Bureau Federation
Arkansas Oklahoma Gas Corporation
Arkansas Western Gas a SourceGas Company
Bank of the Ozarks
CardinalHealth
CenterPoint Energy Gas Transmission Company
Crossland Construction
Deltic Timber Corporation
Dynegy
Entegra Power Group LLC
Evergreen Packaging Company
Farm Bureau Mutual Insurance Company of Arkansas, Inc.
Forest Oil Corporation
Glad Manufacturing/A Clorox Company
Golden Living
International Paper Company
Kimberly-Clark Corporation
Lion Oil Company
McKee Foods Corporation
Metropolitan National Bank
Nabholz Construction Corporation
National Center for Toxicological Research (NCTR)
Nucor-Yamato Steel
OG+E
Petrohawk
Pfizer Pharmaceuticals
Philander Smith College
Potlatch Forest Products Corporation
Rheem Air Conditioning Division
Riceland Foods, Inc.
Signature Bank of Arkansas
Stephens, Inc.
Storm Cat Energy
Suez Energy North America
The Clorox Company
The Trane Company
US Bank
Waste Management
Weyerhaeuser Company
Wright Lindsey & Jennings
Calendar of Events
January 12 87th General Assembly Convenes
January 22 Small Business Council Meeting
11:30 a.m. to 1 p.m.
Jonesboro Regional Chamber of Commerce
January 22-23 Leadership Arkansas Class III
South Arkansas Economy Session
Magnolia
February 23 Leadership Arkansas Class III
Legislative Session
Little Rock
March 19 Small Business Council Meeting
11:30 a.m. to 1 p.m.
Conference Room
State Chamber Building, Little Rock
March 26-27 Leadership Arkansas Class III
Economic Development Session
Fort Smith
April 18-21 Washington Fly-In and Congressional Dinner
Crystal Gateway Marriott Hotel
Arlington, Virginia
May 6 Small Business Council Meeting
11:30 a.m. to 1 p.m.
Conference Room
State Chamber Building, Little Rock
May 21-22 Leadership Arkansas Class III
Northeast Arkansas Economy
Jonesboro
June 2 Arkansas Procurement Opportunities Conference
Statehouse Convention Center
Little Rock
June 2 Nineteenth Annual Arkansas
Small Business Awards Luncheon
Statehouse Convention Center
Little Rock
June 25-26 Leadership Arkansas Class III
Northwest Arkansas Economy
Fayetteville
June 26 Leadership Arkansas Class III
Graduation
Fayetteville
