Check Out the Chamber’s Issue Pages

Do you have a topic you're passionate about, and would like to know what the Indiana Chamber is working on in that area? We've developed some web pages highlighting key issues that will show you what we're focused on and offer some background on our public policies. See the pages below, and more information will be added weekly to these as the session progresses.

http://www.indianachamber.com/education
http://www.indianachamber.com/tax
http://www.indianachamber.com/healthcare
http://www.indianachamber.com/econdev
http://www.indianachamber.com/labor
http://www.indianachamber.com/environment
http://www.indianachamber.com/localgov
http://www.indianachamber.com/federal

Our 2013 Top Legislative Priorities and Legislative Business Issues documents are also available to view.

Worst of the Worst in 2012 Regulations

There’s room for one last "Bottom 10" list of 2012. With thousands of new government regulations each year, it’s difficult to select the worst new rules put into place. Two Heritage Foundation experts give it a try, starting with 1,099 pages of new mortgage disclosure rules that have the stated goal of simplifying home loans.

(10) Mortgaging the Future: New mortgage disclosure rules were released in July by the newly created Consumer Financial Protection Bureau, with a stated goal of simplifying home loans. The rules run an astonishing 1,099 pages. The net result of this and similar rules? Fewer consumer mortgage lending options and increased costs.

(9) Tracking Your Travels: In December, the Department of Transportation proposed that electronic data recorders, popularly known as "black boxes," be required in most cars starting in 2014. The stated goal is to collect more information about car accidents. But this spooks privacy advocates, who warn that federal bureaucrats could misuse this information.

(8) Essential Choice Cutbacks: Under the Obamacare "essential benefits" rule, health insurers will be forced to cover health care services that the government deems essential, whether you want to buy them or not. The net result will be to increase health care costs, increasing the burden on consumers, employers and taxpayers.

(7) Instant Union: In April, the National Labor Relations Board issued new rules that shortened the time allowed for union-organizing elections to between 10 and 21 days. This leaves little time for employees to make a fully informed choice on unionizing, threatening to leave workers and management alike under unwanted union regimes.

(6) Don’t Let Them Eat Cake: The Department of Agriculture in January published detailed new nutrition standards for school lunch and breakfast programs. More than 98,000 elementary and secondary schools are affected – at a cost exceeding $3.4 billion over the next four years. The new rules sparked protests, and even a few hunger strikes, from students nationwide.

(5) Cleaned Out: Regulators admit that the new Energy Department rules governing dishwashers will do little to improve the environment. Rather, proponents claim they will save consumers money. But they will also increase the price of dishwashers, and only about one in six consumers will keep their dishwasher long enough to recoup the cost.

(4) Soda Socialism: On Sept. 13, at the behest of Mayor Michael Bloomberg, the New York Board of Health banned the sale of soda and other sweetened drinks in containers larger than 16 ounces. New Yorkers apparently are still allowed refills, at least for now. No word on how many NYC cops will be moved from crime prevention to monitor the city’s soda fountains.

(3) Sticker Shock: Adopted in August, these new automobile mileage rules require a whopping average fuel economy of 54.5 miles per gallon by 2025. Sticker prices will jump by hundreds of dollars. Regulators argue that the fuel savings will make up these costs. Whether consumers want to make such a tradeoff doesn’t matter. The government has decided for them.

(2) Increasing Energy Costs: The Environmental Protection Agency in February finalized strict new emissions standards for coal- and oil-fired electric utilities. The benefits are highly questionable, with the vast majority being unrelated to the emissions targeted by the regulation. The costs, unfortunately, are certain: estimated to be $9.6 billion annually. The regulations are likely to undermine energy reliability and raise energy costs across the entire economy.

(1) Conscience Denial: The Department of Health and Human Services on Feb. 15 finalized its mandate that all health insurance plans include coverage for abortion-inducing drugs, sterilization procedures, and contraceptives. The mandate allows no exception for church-affiliated schools, hospitals and charities whose religious principles conflict with the mandate. To date, 42 lawsuits representing more than 110 plaintiffs have been filed challenging this restriction on religious liberty as a violation of First Amendment.

Griffin: Indiana Air Cleaner Than Decades Ago

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Indiana Chamber VP of Environment & Energy Vince Griffin discusses the state of Indiana’s water and air. You may be pleasantly surprised to hear how it compares to previous generations. For more, visit www.indianachamber.com/environment.

‘Smart’ Efforts Help Restore Power

Some East Coast communities have been able to rebound from Superstorm Sandy faster than others. Part of the reason can be attributed to smart grids and smart power meters. Stephen Goldsmith writes about their impact now and in the future in Governing:

Sandy’s claiming of the title as the second most costly hurricane in U.S. history shows us the advantages and limitations of rigorous planning. The slow and arduous recovery faced by some East Coast communities has been coupled with the impressive speed with which many other communities have been able to return to business as usual. New emergency procedures put in place at the local and state levels deserve a lot of the credit. These included shutting down infrastructure and battening the hatches to protect vital resources and prepare for recovery.

Yet the storm teaches us that the best way to plan for the truly unexpected will be by being prepared to to improvise and by understanding that resilience in times of disaster isn’t determined only by a static disaster plan but to a greater degree by being dynamic and responsive to change. Being dynamic requires real-time data. Recent technologies are beginning to provide more access to more data, allowing analytics to find the patterns fast enough to make it useful during a disaster.

Smart grids, and particularly smart electric meters, played a promising role in improving disaster response and the speed with which power could be restored after Sandy passed. That role was small-scale and local, since electric utilities’ conversion to smart-grid technology has been slower and spottier than desired, but the potential is there for the technology to have a much larger impact as these systems are rolled out more widely.

At best, phone calls and spotty service-outage reports can slowly piece together a hazy picture of the conditions of a power network. But smart meters, programmed to send out a "last call of distress" when power is lost, can automatically report service cuts. This gives a utility company instant access to regional maps of outages, allowing it to prioritize repair-crew mobilization and begin getting service back to customers without them even having to report an outage.

Smart meters also can help identify the locations of particularly tricky "nested" outages, when more than one break is affecting an area. Additionally, smart meters can automatically report getting back on line when power is restored, eliminating unnecessary calls between the utility company and customers or follow-up service-crew visits. Repair crews can move on to the next repair rather than spending time checking on their last one, increasing efficiency and reducing system repair time considerably.

Pepco, the electric utility serving Washington, D.C., and nearby parts of Maryland, is crediting its partially implemented smart-meter system with helping get the power back on for its 100,000 customers affected by outages in the wake of Sandy. The store of information generated by the smart meters not only is available to the company’s repair crews to inform their response but also is aggregated into a regional map available online to give customers a better idea of system conditions.

PPL Electric Utilities’ smart meters allowed the company’s Pennsylvania customers to check on the status of their power’s return online and from the safety and comfort of remote locations, without having to trek out to potentially powerless homes or using the precious resource of repair-crew hours to do so. And while Baltimore Gas and Electric’s smart-meter system is only 10 percent complete, the utility credits the program with facilitating much faster troubleshooting and with replacing phone calls to customers to check on service–calls that often go unanswered–with a quick and reliable stream of information.

The next time a major storm hits, there will be more examples of service-restoration improvements enabled by this technology. In the face of consumer suspicions and resistance to smart meters, utilities need to publicize these success stories to build support for continued smart-grid development. The more data government and utilities can tap, the faster they can act and the more resilient a community can become.
 

BSU Report: Indoor Environments Can Trigger Migraines in Workers

A new study from Ball State University reveals that migraine sufferers can have enhanced headaches due to indoor environments. It’s important that employers take this into consideration — especially if many of your staffers are inexplicably taking many sick days.

Office workers may suffer more intense migraines and more frequent headaches due to an uncomfortable indoor environment, more commonly known as sick building syndrome, says a new report from Ball State University.
 
"Headache symptoms and indoor environmental parameters: Results from the EPA BASE study" found employees working indoors may become sick due to abnormal levels of carbon monoxide, carbon dioxide, volatile organic compounds, light, humidity, temperature and sound.

The study found that when exposed to an uncomfortable indoor environment, 38 percent of participants reported having a headache one to three days a month while nearly 8 percent had daily headaches, said Jagdish Khubchandani, a community health education professor in Ball State’s Department of Physiology and Health Science. He conducted the study with Suchismita Bhattacharjee, a professor of construction management in the Department of Technology at Ball State.

"Millions of Americans and people worldwide are affected by migraines and headaches, mostly during the highly productive years of their lives," said Khubchandani, who also is a faculty fellow with the university’s Global Health Institute.. "Migraines and headaches lead to significant decline in quality of life, productivity and daily functioning."

Produced only once by the Environmental Protection Agency, this was a multicenter cross-sectional study of 4,326 office workers employed in 100 randomly selected large office buildings across the country. The largest study of its kind used the data collected by EPA for the Building Assessment Survey and Evaluation (BASE) study during 1994-1998. Results were recently published by the Annals of Indian Academy of Neurology.
As a result of the research, the authors found:

  • Females were more likely to report a headache in the last four weeks when compared to males (75 percent vs. 53 percent).

  • About 21 percent of employees admitted that a physician had diagnosed them with migraines. Females (27 percent) were significantly more likely than males (11 percent) to report a migraine diagnosis.

  • The highest levels of migraine diagnosis were for employees exposed to out-of-comfort range carbon monoxide and carbon dioxide in their office buildings.

  • Exposure to out-of-comfort range indoor environmental parameters was higher in groups that reported higher headache frequencies.

Because headaches related to office environment lead to loss of workdays and decrease productivity, the authors recommend that building managers implement effective intervention strategies to reduce the prevalence of headaches and other symptoms of sick building syndrome.

"Collection of periodic data on indoor environmental parameters should become a universal practice, and based on the data, a health risk management plan for the occupants should be designed," Bhattacharjee said. "Reviewing operation and maintenance of heating, ventilation and air conditioning systems should be made an integral part of the strategies to reduce harmful worksite exposures."

Mine Workers Likely Not Supporting President This Time Around

The United Mine Workers of America fully supported President Obama in his 2008 bid against John McCain. But as Obama seeks re-election this November, it appears the coal union’s support has cooled. Not that coal workers are clamoring to help elect Mitt Romney either, mind you. National Journal has the interesting saga:

“As of right now, we’ve elected to stay out of this election,” said Mike Caputo, a UMWA official and a Democratic member of the West Virginia House of Delegates. “Our members right now have indicated to stay out of this race, and that’s why we’ve done that…. I don’t think quite frankly that coalfield folks are crazy about either candidate.”

Both candidates are trying to prove otherwise to voters in coal-intensive swing states. Earlier this week the Obama campaign released in the first coal-issue ad of this cycle, claiming that Romney has flip-flopped his position on coal. The ad includes comments that Romney made as Massachusetts governor in 2003 standing in front of a coal plant, saying that he wouldn’t support jobs that kill people.

For his part, Romney is claiming Obama’s Environmental Protection Agency is waging a war on coal with a slew of regulations.

The 54-year-old Caputo, who grew up across the street from a coal plant near Fairmont in central West Virginia and has been in the coal industry virtually his whole life, said he couldn’t remember a time UMWA did not endorse a presidential candidate. Caputo is a vice president on the UMWA’s International Executive Board.

“It’s unusual,” he said during an interview at UMWA’s Fairmont office. Caputo, who describes himself as a “hard-core Democrat,” intends to vote for Obama. “I’m loyal to my party,” he said.

David Kameras, a UMWA spokesman based at the union’s headquarters in Virginia just outside of Washington, D.C., said UMWA has not officially completed its endorsement selection decisions for the 2012 election and expects to do so by about mid-September. In 2008, UMWA endorsed Obama in May of that year.

"Our members count on coal-fired power plants and burning of coal to keep jobs,” Caputo said. “We’re a very Democratic union and we try to listen to the rank and file. They’ve sent a clear message that they’re not supportive of the environmental rules that are being put in place.”

Caputo pointed out that many of the biggest EPA rules, including one finalized last December to control mercury and other air toxic pollution from coal plants, were first enacted under Republican administrations, including President George H.W. Bush.

“A lot of our members don’t realize that,” Caputo said. “But whoever is in charge is going to get blamed.”

Caputo also noted that newly discovered resources of shale natural gas found all over the country, including the coal-intensive states of West Virginia, Ohio, and Pennsylvania, have contributed to coal’s decline as low natural gas prices compel utilities to shift from coal to gas as a power generator.

But politically, the EPA is the culprit for the coal industry’s woes. Throughout Appalachia where Ohio, Pennsylvania, and West Virginia converge, the coal industry’s disgruntlement with Obama is plastered on yard signs and billboards.

One billboard alongside a freeway near the Pennsylvania and West Virginia border said drivers were entering “The Obama administration’s no jobs zone.” The billboard was sponsored by a coal-industry group, the Federation for American Coal, Energy, and Security (FACES of Coal). Yard signs seen along back roads and throughout towns juxtapose the word “coal” with “fire Obama.”

Labor groups almost always align with Democratic candidates, and Caputo said the UMWA would be very unlikely to endorse Romney given his record with the coal industry and his positions on labor issues.

“Governor Romney’s record on coal isn’t any better,” Caputo said, referring to the comments Romney made in 2003 that were featured in the Obama ad—and the fact that Romney’s former air chief in Massachusetts, Gina McCarthy, now holds a similar position at Obama’s EPA. “Mitt Romney has never been a friend of our industry," Caputo said. "Now he’s out preaching he’s all for coal, but his history sure doesn’t show that.”

Hat tip to the Chamber’s Jeff Brantley for the story lead.

Leading the Way in Sustainability

Site Selection magazine is well known for its business climate rankings. It also features annual Sustainability Rankings that it says are based on statistical factors such as LEED-certified buildings, renewable energy use, brownfield funding, "green industry" facility projects and more.

Below are top 10 rankings for states, metro areas and foreign countries. Among individual measures for states, Massachusetts was No. 1 in energy efficiency, Washington for renewable energy generation and Pennsylvania for green industry projects per capita.

Top States

1. California

2. Oregon

3. Vermont

4. North Carolina

5. Arizona

6. New York

7. Minnesota

8. Washington

9. Texas

10. Pennsylvania

Top Foreign Countries

1. Canada

2. Germany

3. Brazil

4. Spain

5. China

6. United Kingdom

7. Italy

8. South Korea

9. Chile

10. Mexico

Top Metros (listing just the first city of metro area that typically encompasses three cities)

1. San Francisco

2. Washington, D.C.

3. New York

4. Chicago

5. Los Angeles

6. Phoenix

7. San Diego

8. Houston

9. San Jose

10. Boston

Chamber Report Ranks State Legislators on Economy, Jobs Issues

Did your legislators support implementing a statewide smoking ban? What about making Indiana a right-to-work state and eliminating the state’s inheritance tax? Find out in the Legislative Vote Analysis report released today by the Indiana Chamber of Commerce; the publication details the pro-economy, pro-jobs voting records for state lawmakers during the 2012 session.

All scores and the full report are available at the Indiana Chamber’s web site at www.indianachamber.com/lva.

"The thing that really stands out is how much the vote scores have gone up in recent years – Democrats and Republicans alike. In fact, this year a total of 15 legislators scored 100%. Overall what this shows is the support for prosperity issues continues to grow, and that reflects where Hoosiers are," states Indiana Chamber President Kevin Brinegar.

"We want employers and citizens to take note of this report because it makes it very clear which legislators were supportive of bettering Indiana’s economic climate and which were not."

Legislators who score 70% or greater for the most recent two-year voting period are eligible for endorsement by the Chamber’s political action committee, Indiana Business for Responsive Government.

Bills used in the report were selected based on their significant impact to the state’s economic climate and workforce. Lawmakers are kept apprised of the Chamber position and reasoning on these bills through various communications during the legislative session — and prior to key votes being taken. Only floor votes for which there is a public record are used in the Legislative Vote Analysis.

The final vote on House Bill 1001 — the right-to-work legislation — was counted twice in the report to reflect the importance placed on that policy.

Copies of the Legislative Vote Analysis report are sent to all legislators and Indiana Chamber board members, and made available online for all businesspersons, community leaders and citizens.

For 28 years, the Chamber has measured the voting performance of all 150 legislators on bills that reflect the organization’s public policy positions.

The Indiana Chamber has been the state’s largest broad-based business advocacy organization for 90 years, with members in every county and legislative district. Today, the Indiana Chamber serves more than 5,000 member companies that employ 800,000 Hoosier workers.

What You Don’t Know About the Keystone Pipeline

The debate over the Keystone XL pipeline has largely centered on jobs that would be created, oil security that would be provided and suggested environmental concerns. Here are some other facts about the project (rejected earlier this year by the Obama administration):

  • Before this debate, few knew the State Department was in charge of the siting process for oil pipelines that cross international borders. That emanates from a 2004 executive order.
  • The Canadian oil sands, from which the pipeline would originate, are a mixture of sands, clay, water and bitumen, which is heavy, thick oil that must be heated or diluted before being pumped into a pipeline. Canada has 174 billion barrels in reserves, second only to Saudi Arabia, and 97% of those reserves are oil sands.
  • Canada is the largest supplier of imported oil to U.S. markets. According to a study commissioned by the U.S. Department of Energy, the Keystone project could reduce imports from the Middle East and Venezuela by 40%.
  • The 1,700-mile project will bring 830,000 barrels per day of Canadian oil to Gulf Coast refineries and help alleviate the current bottleneck of oil supplies at Cushing, Oklahoma.
  • Project owner TransCanada has resubmitted its application for the segment crossing the international border and recently announced it plans to construct a 435-mile leg from Oklahoma to the Gulf Coast, which requires no federal permit.

As expressed earlier here and in many other quarters, what was the administration thinking? Let’s get the ball rolling on this critical project. The benefits are too numerous.

Good Hoosier News in the Air

On a somewhat regular basis, a state or national group will release a report that is critical of Indiana’s air quality. Typically, those efforts involve what we will call "creative twists" to the data.

Keith Baugues, assistant commissioner of IDEM’s Office of Air Quality, utilized that same Environmental Protection Agency data and developed a first-of-its-kind study titled States’ View of the Air — 2012. The very good news: All Indiana areas meet the federal standards. What that means is business and industry development can take place throughout the state and not be limited by a lack of air quality attainment.

Baugues worked for EPA for nine years and has authored more than 60 articles on air quality. He joined IDEM in 2010. The comprehensive report covers all 50 states.

Why is this so important? Because the public often has the impression that our air is “dirty” with that opinion coming from the continued tightening of the already very restrictive air quality standards. The “lowering the limbo bar" not only stimulates that faulty thought process but is often very costly with little or no benefit to our environment or public health.

A few highlights and comments below from IDEM, with the full report available online. In addition, the Chamber’s November-December BizVoice magazine published an analysis of Indiana’s environment sub-titled It’s Much Cleaner Than You Might Realize.

Ground-level ozone and airborne particles are two pollutants that pose the greatest threat to human health in this country. The United States Environmental Protection Agency (U.S. EPA) establishes health standards that all states follow. The standards have become more and more protective in recent years. The data used for the IDEM report comes from air monitors used by state government agencies, including IDEM, and U.S. EPA to do annual assessments on these pollutants under the most current standards.

For each area contained in the report, pollutant concentrations were averaged to determine the average quality of the air that people are breathing. Population density was factored into the grading system to reflect the greater potential for negative public health impacts in areas where many people live and work. The IDEM report also includes information about at-risk groups in all states.

All regions of Indiana meet U.S. EPA’s current ozone standard, as well as U.S. EPA’s annual and daily standards for fine particles. Under the population weighted average used for the States’ View of the Air – 2012 report, areas meeting the federally-based air quality standard are given a C. To earn a C, the area must be better than the standard by up to 10 percent. Those areas that are better by more than 10 but less than 20 percent earn a B, and areas better by more than 20 percent receive an A. All Indiana counties included in the report received Bs and Cs for ozone, and As and Bs for fine particle pollution.

To assess air quality, air monitors are located in urban and rural areas to watch for pollutants. Regulations implemented in recent years have significantly reduced pollutants from industry. Cleaner fuel and engine standards have significantly reduced harmful vehicle emissions, which contribute significantly to the level of pollution that is generated locally.

“Our air is healthy. Hoosiers can be proud that Indiana has made great progress toward cleaner air and achieved the fine particle and ozone standards in all regions of our state,” said IDEM Commissioner Thomas Easterly. “As government, industry, communities and special interest groups work together to meet future, more stringent air quality standards, it’s important for us to have accurate information about air quality. The States’ View of the Air – 2012 report provides accurate, understandable information.”