Washington Information Network
Washington's resource for political activity and issues important to retail industry professionals. Distributed to 2,800 subscribers
January 30, 2013
Washington Retail Association Newsletter
 Staff Contacts

 Jan Teague

President/CEO

360.943.9198, ext. 19

jteague@retailassociation.org

 

Mark Johnson

Vice President of Government Affairs

360.943.9198, ext. 15

mark.johnson@retailassociation.org

 

Tammie Hetrick

Vice President of Retail Services (RASI)

360.943.9198, ext. 13

tammie@retailassociationservices.com  

 

Jim Szymanski

Director of Public Affairs
360.943.9198  ext. 12

 

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In This Issue...
Two important bills retailers should watch this session
It may be time for Family Leave to leave
Bills flow in as Legislature reaches Day 16
Structured settlement bills advance
WRA presents members with new free webinars this year
Retro scheduling bill advances
NRF website sorts through health care reform requirements
Feedback sought on disaster recovery plan
Times urges defeat of Seattle background check proposal
New report explores state school funding
Revenue issues alert regarding BC sales tax exemption misunderstanding
Temporary health exchange website launched
WRA offers discounted shipping service
Higher taxes could curtail sales growth this year, NRF says
Immigration reform plan surfaces in Congress
Revenue releases free tax rate research app
Commercial energy use reports due in Seattle by April 1
Safety tip

Two important bills retailers should watch this session

By Jan Teague, President/CEO

 

As this year's legislative session heats up, we're keeping a close eye on two bills that address employee benefits. One minimum wage bill could create new entry-level job opportunities, especially for teens and seniors. But another bill mandating sick and safe leave benefits could weigh heavily against productivity and economic recovery.

 

WRA believes strongly in HB 1150. It would allow small employers with fewer than 50 employees to pay a temporary, reduced minimum wage to new hires. In many cases, this temporary savings would encourage companies that have been on the sidelines to hire someone in need of a job, or, to avoid a layoff.

 

Finally there is talk in the legislature that recognizes the burden of such a high minimum wage and the challenges it causes us to hire young people or unskilled workers.   Our state's minimum wage of $9.19 an hour is the nation's highest. Many small businesses struggle to keep pace with those annual increased minimum wage costs, especially considering all the other rising costs they face for utilities, unemployment and workers' compensation insurance and property taxes.

 

It has long been time for our Legislature to face reality and adjust our minimum wage system to give small businesses the incentives they need to grow. Legislators should make this change this year.

 

HB 1313 is a bill that would extend Seattle's ill-advised mandatory sick and safe leave benefits statewide. It is filled with problems. Under the bill, an employee seeking time off would not be required to explain the reason. Unfortunately, that door opens to the possibility not only of abuse, but the costly loss of productivity in an era when retailers who survived the recession face rising costs, including next year's enactment of the national health care law. It also requires employees of larger companies to work less than employees of smaller companies to earn the same amount of sick time off.

 

This is a benefit that should be voluntarily extended by employers who can afford it. For those who can't, the Legislature owes them a thorough economic impact review before blindly copying Seattle's local law. The potential negative economic impacts and unintended consequences clearly should be considered. Legislators should hit the brakes hard on HB 1313 and avoid creating yet another drag on economic recovery.

It may be time for Family Leave to leave

By Mark Johnson, VP Government Affairs

 

It may well be time to remove one of the state's hollow laws from the books this session.

 

The Senate Commerce and Labor Committee began that process this week when it discussed SB 5159, which would repeal the mandatory state paid family leave law. Our state has such a law, without an identified funding source, in addition to the federal family leave law.

 

Because the Legislature never has found a way to pay for the program, many people don't know that lawmakers passed the bill in 2007. For the last several sessions the legislature has extended the bill.  Funding ideas that have been kicked around include a "head tax", a "per hour tax", a general fund appropriation, even raiding the unemployment insurance trust fund.  However, nothing regarding funding has gained enough support to pass and be signed into law.  Now some proponents are even looking at expanding the current law, even though there haven't been enough funds to put it into action.

 

Perhaps the time has come for the Legislature to admit that this law, which the state can't afford, should be removed from the books.

Bills flow in as Legislature reaches Day 16

 

Today is Day 16 of the Legislature's scheduled 105-day 2013 session.

 

As various deadlines for considering bills approach, WRA's focus has been widening on scores of bills that could affect retailers. We will be reviewing hundreds of bills before legislators begin narrowing down which ones will be scheduled for votes.

 

Besides bills mentioned above, here are a few more key bills on WRA's radar:

 

*HB 1124, liquor taxes. WRA's Mark Johnson has testified in favor of this bill that would simplify the liquor tax collection process for our members.

 

*SB 5112, scheduling authority for Retros. This cost-saving and efficiency measure would allow Retrospective Rating programs to schedule doctor visits, to speed up treatment and recovery for injured workers. The Senate Committee on Commerce & Labor took executive action this week to move the bill forward for further discussion.

 

*HB 1329, sales tax holiday for back-to-school shopping. WRA supports this top priority bill, which studies and experience in other states show would boost revenues for state and local governments, provide job opportunities and help retail sales. The bill is expected to be discussed in a hearing during this session.

 

*HB 1161, resale of liquor. Mark Johnson has testified in favor of this bill, which would help small businesses by wiping out a premium tax that resellers must pay and remove a state interpretation that limits the volume of purchases per day.

 

Visit calendar to view various legislative checkpoints leading toward the scheduled adjournment on April 28.

Structured settlement bills advance

 

Tammie Hetrick, WRA's VP of Retail Services, participated in hearings this week during which two workers' compensation bills important to members advanced for further consideration.

 

Hetrick provided the Senate Committee on Commerce and Labor with information to support passage of SB 5127 and SB 5128. They would allow injured employees to voluntarily elect to work out structured settlements with their employers or Labor and Industries.

 

Currently, those receiving workers' compensation benefits are not free to close claims and start a small business. If the Legislature approves this option, many employees wishing to close claims and pursue new careers would be free to do so.

 

Hetrick said she is hopeful of a full Senate vote of approval this week so that the option can then be considered in the House.

WRA presents members with new free webinars this year

 

WRA, in cooperation with the Council of State Retail Associations, will again present a series of free educational webinars this spring and early summer. For the first time this year, the Retail University webinars will be hosted twice the same day to be more convenient for participants.

 

The webinars are presented free as a benefit of WRA membership. Please click on the links to register.

 

This year's topics are:

 

*What retailers must know about health care reform, on March 12 - 6:30 a.m. MT / 5:30 a.m. PT (Webinar 1) or 9:30 a.m. MT / 8:30 a.m. PT (Webinar 2)

 

*Intro to Social and Mobile Media Marketing, on April 24 - 6:30 a.m. MT / 5:30 a.m. PT (Webinar 1) or 9:30 a.m. MT / 8:30 a.m. PT (Webinar 2)

 

*How small retailers can recognize and prevent shoplifting, on May 21 - 6:30 a.m. MT / 5:30 a.m. PT (Webinar 1) or 9:30 a.m. MT / 8:30 a.m. PT (Webinar 2)

 

*Intermediate Mobile and Social Media Marketing, on June 27 - 6:30 a.m. MT / 5:30 a.m. PT (Webinar 1) or  9:30 a.m. MT / 8:30 a.m. PT (Webinar 2).

 

The format will include 30-45 minute presentations with available time for questions. Participants can listen only by phone, but a computer will be required to see the complete presentation and to ask questions.

 

Please contact Jan Teague, WRA's President/CEO, if you have questions at 360-943-9198, Ext. 19 or a jteague@retailassociation.org.

Retro scheduling bill advances

 

SB 5112, a bill that would grant medical scheduling authority to Retrospective Rating programs, has advanced through the Senate Committee on Commerce & Labor for further consideration.

 

Tammie Hetrick, WRA's VP of Retail Services, said the committee's recent hearing went well as legislators understood the advantages of approving the bill.

 

Hetrick said the bill not only would speed delivery of the processing of workers' compensation claims. It also would ensure that claims were being processed correctly so that workers can return to their jobs without unnecessary delay.

NRF website sorts through health care reform requirements

 

A National Retail Federation website is a good resource for companies large and small working to plan and comply with expected national health care reforms.

 

The site explains possible penalties, definitions of employee categories and current concerns in the business community. Visit the site at www.retailmeansjobs.com/healthcare.

Feedback sought on disaster recovery plan

 

The state's Emergency Management Division is seeking feedback during the next month on a plan directing how businesses could re-occupy their buildings after a natural disaster such as a flood or earthquake.

 

The plan outlines a state strategy to speed access by private companies into restricted or controlled areas so that businesses could assess damage, recovery and repair of facilities. It also outlines procedures for emergency management personnel in their dealings with local and tribal jurisdictions and private industry.

 

WRA invites members to read the attached plan, then provide reaction in a second feedback form.

 

Comments also can be e-mailed to jeff.parsons@mil.wa.gov. Parsons hopes to receive all comments by Feb. 28.

 

Source: Emergency Management Division

Times urges defeat of Seattle background check proposal

 

A Seattle Times editorial this week has urged defeat of a proposal by City Councilman Bruce Harrell to forgo background checks on Seattle job applicants until after they have received a job offer.

 

The editorial validates concerns over the proposal expressed in the region's business community, including WRA

 

The paper reported that such a law would risk "creating a whole new way for disappointed job seekers to drag employers into court."

 

The editorial notes that the Seattle Metropolitan Chamber of Commerce has asked Harrell, a candidate for mayor, to amend his proposal to remove its potential pitfalls for business. It adds that the proposal also would add to financial burdens caused by the city's mandatory sick and safe leave law and increase risks for businesses operating in Seattle compared to all other statewide business locations where criminal background checks are an accepted part of reviewing job applicants.

 

Source: Seattle Times

New report explores state school funding

 

A report released last week by The Washington Research Council shows how Washington compares with nine other states regarding funding for schools.

 

The 27-page report offers context for the Legislature's debate this year to address the McCleary court decision's finding that the state is not adequately funding schools. It compares Washington's performance to California, Colorado, Connecticut, Maryland, Massachusetts, Minnesota, New Jersey, North Carolina, and Virginia.

 

The report examines how Washington pays for schools, compares outcomes per capita with the other states and examines the part education funding plays in the state budgeting process.

 

To read the complete report, click here

Revenue issues alert regarding BC sales tax exemption misunderstanding

 

In hopes of clearing up recent confusion, Revenue announced this week that British Columbia residents are not entitled to a sales tax exemption while shopping in Washington State.

 

Residents from Oregon, Alaska, Montana and certain provinces, including Alberta, do qualify for the exemption because those places have no sales taxes.

 

The exemption is available to residents of any state or province with a sales tax rate less than 3 percent. However, it does not apply to places such as British Columbia with its Harmonized Sales Tax or the 7 percent provincial tax that will replace it on April 1 of this year.

 

Merchants are advised to refer shoppers with misunderstandings regarding the exemption to a customized state website that explains how exemptions work for all out-of-state shoppers. Revenue issued its alert because several retailers recently had contacted the department after some British Columbia shoppers claimed that they qualified for a tax break. Read the news release here.

Temporary health exchange website launched

 

The Washington Health Benefit Exchange this week launched a website to begin answering questions about how health care reform will work in the state. The new site will evolve into the online portal where customers will be able to compare policies available to them.

 

Washington is one of a dozen states that elected to establish its own health care exchange accessible through the website, www.wahbexchange.org. The site will begin enrolling customers on Oct. 1 for health insurance policies that will take effect on January 1, 2014.

 

The new temporary site will "re-launch" in the same location later this year.

 

Any questions or comments about the site or the enrollment process can be directed to info@wahbexchange.org or by calling 360-407-4100.

WRA offers discounted shipping service

 

As a WRA member, you could begin saving up to 27 percent on select FedEx shipping services by joining a new shipping service free of charge.

 

And considering new annual shipping rate increases from major carriers, it's a good time to check out WRA's agreement with PartnerShip, a national freight management company committed to reducing shipping costs particularly for small businesses. For PartnerShip's analysis of recent freight shipping rate increases, click here.

 

Savings from the new shipping program can, of course, help you to offset the cost of your WRA membership dues.

 

Even if you have an existing FedEx account, you can still enroll and benefit from this free program. The shipping experts at PartnerShip® will review your account and make sure you are set up for the pricing that saves you the most money. Click here to order free shipping supplies through FedEx.

 

The program applies both to inbound and outbound shipping, including freight, through an agreement with PartnerShip, a WRA-endorsed shipping management company.

 

The program is available to all WRA members with no minimum shipping requirements or obligations. Enrolled customers can save up to 27 percent on select FedEx services and at least 70 percent on less-than-truckload freight shipments arranged through PartnerShip.

 

"The new WRA Shipping Program makes a great addition to our menu of services designed to save our members money," said WRA President/CEO Jan Teague. "This program is clearly advantageous to all WRA members."

 

To sign up, go to www.PartnerShip.com/99WRA where you can review discounts or submit a free shipping analysis. You can also find answers to questions on the Website, or call 800-599-2902 or e-mail sales@PartnerShip.com. For more information, visit

http://www.retailassociationservices.com/services/discountshipping.html.

Higher taxes could curtail sales growth this year, NRF says

 

Modest income growth coupled with new legislation that increased payroll taxes for millions of workers could curb retail sales growth this year, the National Retail Federation said this week.

 

NRF has forecast 3.4 percent sales growth this year, excluding results from restaurants, auto dealers and gas stations. That level of growth would fall short of 2012's sales growth of 4.2 percent.

 

Matthew Shay, NRF's Chief Executive Officer, said retailers would adjust to slower sales growth this year by managing inventories more closely. He called on Congress and President Obama to emphasize policies that would encourage economic recovery and job growth.

 

In an announcement, Shay also cited drags on employment growth and consumer confidence to explain NRF's muted forecast for 2013.

Immigration reform plan surfaces in Congress

 

A bi-partisan U.S. Senate plan to reform the country's immigration system was unveiled this week before other versions from President Obama and the House of Representatives are expected to be released.

 

In general, the Senate plan would afford legalization to an estimated 11 million undocumented immigrants, provided they paid back taxes and a fine. Citizenship would not be available until borders were secured and systems were put into place for employers to verify workers' immigration status to ensure that legal immigrants did not overstay visas.

 

The Senate document would tie the flow of immigration to the U.S. unemployment rate. The National Retail Federation issued a statement this week in general support of the reform effort.

 

The long-dormant issue of immigration reform is of importance to numerous industries interested in maintaining an adequate flow of legal employees qualified to accept jobs. Industries with interest include retailers, restaurants, high technology and agriculture. Proponents of the Senate compromise project that body could vote on the proposal by this summer.

 

Source: Washington Post

Revenue releases free tax rate research app

 

The Department of Revenue has released a free smart phone app that allows users to find sales tax rates for specific addresses.

 

Revenue believes the app will be useful for users who provide services to customers at the customers' locations. The app can be downloaded from Google Play for Android devices or at the iTunes App Store for iOS devices.

 

Contact Janet Grimwade, Department of Revenue Communications, with questions at 360-705-6623.

Commercial energy use reports due in Seattle by April 1

 

Owners and managers of commercial and multifamily Seattle buildings 20,000-square feet or larger are required to file energy usage reports with the city by April 1 of this year.

 

The reports will gauge energy uses for nearly 4,000 buildings within city limits.

 

Click here for a guide on how to comply with the requirement. If you have questions, call 206-727-8484 or e-mail EnergyBenchmarking@seattle.gov. You also may register for city workshops on Feb. 6 and Feb. 20 to learn more.

 

Source: City of Seattle

Safety tip: (one in a series)

Tips to improve ladder safety

 

Chances are good that you'll find a ladder or two in most retail stores for hanging decorations or stocking shelves.

 

State law requires that employers train employees on safe use and how to recognize possible hazards. Click here to read state law requirements regarding ladder safety training.

 

Every year, according to Labor & Industries, nearly 900 workers across the state get hurt falling from ladders.

 

Some tips can help prevent accidents:

 

*Inspect a ladder before using it for cracks, corrosion or loose or missing bolts or rivets. Tag and remove unsafe ladders from service.

*Make sure the ladder's feet work properly and include a slip-resistant surface.

*Use a fiberglass ladder if there is any chance of contact with electricity.

*Never stand on top of a ladder.

*Avoid setting a ladder near a door, pedestrians or vehicular traffic.

 

Click here for more tips on ladder safety.

 

WRA employs Maria Justin as a safety advisor. She is available to help members draw up required safety plans, to suggest topics for safety meeting or to schedule workplace safety checks. Contact her at 360-943-9198, Ext. 21 or at maria@retailassociationservices.com.

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