HEALTH CARE, MINIMUM WAGE TOP DEMOCRATIC AGENDA

 

            With the new President inaugurated, and his Cabinet nominations moving forward, the Senate is slowly turning its attention to legislative issues.  And two issues making a return engagement from the 106^th Congress are health care reform and a minimum wage increase.

            On January 22, Senate Minority Leader Tom Daschle (D-SD) introduced last year’s Dingell-Norwood managed care bill as S. 6.  In addition, Senators Edward Kennedy (D-MA) has also announced plans to introduce health care legislation that would include the right to sue, and claims to have the support of some Republican senators.  On the other side of the Capitol, Representative Charlie Norwood (R-GA) said he would await Kennedy’s bill before reintroducing his legislation in the House.

            While legislation that would expose employers to medical liability and erode ERISA protections failed to reach the President’s desk last year, with the new 50-50 split in the Senate it would take only a handful of defecting Republicans to approve a similar bill this session.  Exposing employers to increased liability would only increase health care costs, forcing many retailers to limit or stop providing coverage for their employees. 

            In addition to the threat of increased managed care costs, Democrats also are planning to introduce legislation to raise the minimum wage by $1.50 per hour over 25 months.  Legislation including a wage increase and tax incentives for businesses was not approved in the 106^th Congress as lawmakers ran out of time.  However, the new dynamics in the Senate will again make it that much more difficult to stop a wage increase.

            NRF will work closely with the new Congress to ensure that employers are not directly subjected to liability and will continue to oppose any increase in the minimum wage.  If you have any questions, please contact Katherine Lugar at (202) 626-8195.

 

HERE WE GO AGAIN

Bankruptcy Reform Again “Top Priority,” Lott Says.

 

            Supporters of legislation to end abuse of the bankruptcy system are again gearing up for a battle in Congress. 

            Former President Clinton vetoed bankruptcy legislation last year, despite overwhelming support in Congress and the American public for reform of the system.  Clinton waited until Congress adjourned, preventing the inevitable veto override.  This year, with the new President already on record as supporting the measure that was approved in 2000, supporters feel now is the time to secure victory.

            A number of Senators have recently declared their intention to quickly push bankruptcy legislation, although there has been disagreement over how to proceed.  Senate Banking Committee Chairman Phil Gramm (R-TX) expressed a desire to see a stronger measure than last year’s bill enacted.  "I think we will write, and the president will sign, a new bankruptcy bill,” Gramm said.  “I think it will be a better bill than President Clinton vetoed."

            However, Senate Finance Chairman Grassley, who led the fight in previous two Congresses, plans to reintroduce last year's proposal and questioned the need for a new bill.  Senate Majority Leader Trent Lott (R-MS) said he would consult with Gramm, Grassley and other co-sponsors of the measure to decide which path would be the most productive.

            NRF will again work with Congress to move bankruptcy reform legislation quickly.  If you have any questions, please contact Mallory Duncan or Katherine Lugar at (202) 783-7971.

 

NGA PANELS FOCUS ON PRIVACY ISSUES

 

            Privacy issues took center stage this week in a three panel discussion held by the National Governors Association on identity theft, financial and online privacy.  Panelists from various interest groups, the business community and Congressional staff, discussed and debated a wide range of issues, including the uses of personal information, the need for federal legislation, and the possible federal pre-emption of state privacy laws.

            Mallory Duncan, NRF’s Vice President and General Counsel, provided the retail industry’s position on privacy--in particular on ID theft--and pointed out the benefits consumers would lose if some of the legislative and regulatory proposals were enacted.

            “Retailers collect information from their customers to provide better and faster customer service,” noted Duncan.  “Many proposals to stop the serious crime of identify theft, such as blocking the use of Social Security numbers, will only make it more difficult for retailers to ensure that consumers are really who they claim to be and protect them from fraud.”

            Legislation has already been introduced in the House of Representatives this year that attempts to protect consumer information on the Internet.  The “Consumer Internet Privacy Enhancement Act” is the first of what many believe will be a deluge of privacy-related bills in Congress this year.

            If you have any questions, please contact Mallory Duncan or Sarah Whitaker at (202) 783-7971.

 

 

UPCOMING NRF MEETINGS

 

Bankruptcy Working Group - January 31, 2001, Washington, DC

 

Policy Council - February 1, 2001, Washington, DC

 

Washington Leadership Conference - March 27-28, 2001, Washington, DC

 

Policy Council - March 27, 2001, Washington, DC

 

Independent Stores Board - March 27, 2001, Washington, DC

 

International Trade Advisory Council - March 27, 2001, Washington, DC

 

Taxation Committee - April 4-5, 2001, Washington DC

 

General Counsels Forum - April 19, 2001, Washington, DC

 

 

CONGRESSIONAL OUTLOOK

January 29 - February 2

 

House:     In session.        

 

Senate:     In session.

 

Washington Retail Insight is published by the National Retail Federation, 325 7th Street, NW, Suite 1100, Washington, DC 20004.   Please contact Michael Epstein at (202) 783-7971 or via email at epsteinm@nrf.com with comments, suggestions, or for subscription information.