CACI Board Backs Referendum on Citizen-Initiated Ballot Measures
June 12--The CACI Board of Directors today endorsed Senate Concurrent Resolution (SCR) 3, the referendum that would make it more difficult for citizens to put an initiated constitutional amendment on the ballot but that also would make it easier for an initiated statutory measure to be placed before the voters. The referendum would change the minimum number of signatures currently required for a constitutional measure from 5 percent of the votes cast in the previous election for the secretary of state to 6 percent of the votes cast in the previous election for the governor. It would require that 10 percent of the minimum number of signatures for a constitutional proposal be gathered from citizens in each of the state’s seven congressional districts. In addition, the petition signatures for a constitutional measure would have to be filed seven months prior to an election. For a statutory measure, proponents would have to gather 4 percent of the votes cast for the governor in the prior election. Once voters approve a statutory initiative, it could not be changed by the legislature for six years after it became effective except for a two-thirds vote by each chamber of the Colorado General Assembly. Because CACI has long been concerned about the ease with which the Colorado Constitution can be amended, the Board voted to support the referendum. CACI is concerned, however, that the referendum, if approved by the voters, will result in greater numbers of statutory measures on the ballot in the future.Click here for more information.
Governor Ritter Urges CACI Board to Back His Severance Tax Initiative
June 12--Governor Bill Ritter today urged the CACI Board of Directors to support his severance tax initiative, # 113, that would, among other things, provide substantial funding for scholarships for college students. CACI believes that higher education, which is critical to Colorado’s economic prosperity, needs increased funding, given the severe cuts that it suffered during the economic downturn in the early part of the decade. The Governor’s proposal, however, would not provide funding to the operating budgets of higher educational institutions but instead would give the money to students in the form of scholarships. CACI also is concerned about legislative and ballot proposals that seek to increase taxes on one business sector. The Governor’s proposal would increase taxes on the oil and gas industry by $321.4 million, according to the ballot title, by eliminating a credit against the state severance tax for local property taxes paid by producers and “interest owners.”Click here for more information.
CACI Board’s 2008 Legislative Priorities
June 11--During the session, under the policy guidance of the CACI Board of Directors, the CACI lobbying team actively lobbied a number of bills, supporting those deemed beneficial to the state’s business climate and opposing those viewed as harmful. Moreover, the CACI lobbying team worked a number of bills that were not directly tied to the CACI’s Board’s primary focus on bills that directly affect the broad business climate but that were, nonetheless, important to certain parts of the business community for various reasons. It’s also important to point out that the CACI lobbying team monitored many more bills that were not on The CACI Board’s Legislative Agenda as they were introduced and progressed through the legislative process to insure that they did not harm the state’s business climate.Click here for more information.
Governor Vetoes HB-1408, the “REIT” Bill, Which CACI Opposed
June 3--Governor Bill Ritter today vetoed HB-1408, the so-called REIT bill, because of its far-reaching negative implications for businesses. CACI President Chuck Berry recently sent a letter to the Governor, asking him to veto HB-1408, saying that “ . . . it is clear that its effects continue to be far-reaching and detrimental to Colorado business taxpayers.” The bill would have forced a taxpayer through the threat of a penalty to pre-pay the tax on a Federal reportable transaction prior to determination by the Federal Government as to whether or not the reportable transaction is actually illegitimate. Taxpayers should not be forced to pay a tax prior to a Federal determination on such transactions, and taxpayers should not be coerced by the State of Colorado into pre-paying a tax to avoid an underpayment penalty.
The bill also went beyond Federal law by including captive real estate investment trust (REIT) transactions as a “listed transaction.” Of the 46 states that have corporate income taxes, 37 have not enacted specific provisions addressing reportable transactions. Currently, taxpayers are required to file Federal Form 8886, the “Reportable Transaction Disclosure Statement,” which is closely audited by the IRS. Only nine states have enacted specific provisions addressing reportable transactions. Of those nine, only three have statutory authority to define state-specific reportable transactions. The other six states follow federal law and do not provide for state-specific reportable transactions. CACI believes adherence to Federal conformity is important because it minimizes administrative burdens on both the taxpayers of this state, and the Colorado Department of Revenue.
Click here for more information.
Governor Signs HB-1407, the “Bad Faith” Bill Targeting Insurance Companies
June 6--Governor Bill Ritter yesterday signed HB-1407, which is aimed at insurance companies when they make decisions on claims for benefits by policyholders. The new law will increase fines and penalties, create a private-cause-of-action for violations and authorize recovery of attorneys’ fees and up to twice the actual damages. Although life insurance and workers’ compensation insurance companies were removed from the bill, health insurance companies, auto insurance companies and homeowners’ insurance companies remained in the legislation. CACI President Chuck Berry sent a letter to the Governor, asking him to veto the bill.Click here for more information.
CACI Board Supports Right-to-Work Initiative, Opposes Four Union-Advocated Ballot Proposals
March 27--To protect the Colorado’s business climate, the CACI Board of Directors voted this morning to support the proposed right-to-work ballot measure, Number 41, and to oppose four union-backed ballot measures. “CACI’s clear mission is to champion a healthy Colorado business climate,” said Alan Poe, CACI Board Chair and Partner with the law firm of Holland and Hart LLP, “and the CACI Board’s action today is directly in line with that mission.” Referring to the right-to-work initiative, Chuck Berry, CACI President, said, “This proposal insures that workers will neither be forced to join a union nor--if they don’t want to join the union--be forced to pay the equivalent of union dues as a condition of their employment.” Click here for more information.
U.S. Chamber of Commerce Warns CACI: Elections will be Critical to Labor’s Strategy
February 14--Yesterday morning, a staff member of the U.S. Chamber of Commerce told a CACI audience that organized labor’s strategy of increasing its membership and political power is hinging on the November elections, not only in terms of who is elected President but who is elected to the U.S. Senate from Colorado and a handful of other states. Control of the U.S. Senate and, in particular, whether or not 60 pro-union votes can be mustered to end debate and force a vote on pro-union legislation, is central to the national strategy of organized labor, said Mike Eastman, the U.S. Chamber of Commerce’s Executive Director for Labor Law Policy.Click here for more information.
Colorado Supreme Court to Hear Case Involving Class-Action Cases Alleging Corporate Fraud
February 14--CACI member Holland and Hart LLP has brought to CACI’s attention a case, which the Colorado Supreme Court recently agreed to hear, that may have significant implications for businesses in Colorado. A ruling of the Colorado Court of Appeals, if affirmed by the Colorado Supreme Court, would make it easier for plaintiffs to bring and prevail in class action cases alleging corporate fraud.Click here for more information.
CACI Board Opposes Two Anti-Business Ballot Initiatives
March 7--On February 28th, the CACI Board of Directors voted to oppose two proposed initiatives that will profoundly damage the Colorado’s business environment should they make it onto the November ballot and be approved by the voters. The two proposals, Numbers 57 and 62, were discussed in detail in the February 22nd issue of The Colorado Capitol Report. Both measures are backed by a coalition of organized labor unions called “Protect Colorado’s Future.” Click here for more information.
CACI Commends Health-Care Reform Commission’s Report for Building Recommendations upon Existing Syst
February 1--In a press release issued statewide yesterday, CACI commended the Blue-Ribbon Commission for Health Care Reform for building its recommendations upon the existing system and addressing the chief concern of the business community: the rising costs of health care. While health-insurance premiums continue to increase, a significant number of Colorado companies struggle to find affordable ways to provide health-care coverage for their workers. The Commission yesterday issued its report to the Colorado General Assembly. CACI lauded the Commission for its hard work over many months to analyze the state’s health-care system and develop recommendations. The CACI HealthCare Council and its Steering Committee will now study the Commission’s recommendations and, in particular, health-care legislation that is introduced during this session of the Colorado General Assembly. CACI believes that increasing flexibility for employers and minimizing state-imposed mandates and regulations will strengthen the private-public health-care system.
Governor Ritter Outlines 2008 Business Issues to CACI Audience
January 24—A CACI luncheon audience of almost 450 today at the Brown Palace Hotel heard Governor Bill Ritter outline business issues facing the Colorado General Assembly and, potentially, the voters in November. The Governor said that his economic development strategy is focused on helping four sectors of the Colorado economy: aero-space, bio-science, tourism, and renewable energy, the latter which he describes as the foundation of the “New Energy Economy.” For the other sectors of the state’s economy, the Governor said his goal is to encourage a “business-friendly environment” with four initiatives.
Click here for more information.
CACI Announces Four-Pronged 2008 Lobbying Strategy
January 4--CACI anticipates that business-related bills will be introduced in such areas as health-care reform (cost, quality and availability); employer mandates; labor unionization; unemployment insurance; workers’ compensation; environmental regulations; and transportation funding. CACI continues to adapt to Colorado’s changing political environment with a four-pronged strategy:
1. Implement CACI’s new strategic plan and pursue four key objectives;
2. Work cooperatively with pro-business legislators and the Administration of Governor Bill Ritter
3. Seek greater input from more businesses at the State Capitol by strengthening our grassroots effort in partnership with local chambers of commerce; and
4. Strengthen our communications and public relations effort.
Click here for more information.
CACI’s Core Business Issues: 2008 Public Policy Principles
December 19--The CACI Board of Directors on December 13, 2007, approved a set of lobbying principles that reflects CACI’s historical public-policy positions for a number of major business issues that will come before the 2008 session of the Colorado General Assembly. These issues concern the statewide business community, which CACI has represented as "The Voice of Colorado Business" at the Colorado State Capitol for more than four decades.Click here for more information.
CACI Board Approves New Strategic Plan
October 25--The CACI Board of Directors today gave the final nod to a new strategic plan to “champion a healthy business climate” that it had given preliminary approval to at its September Retreat in Vail. The plan contains four core objectives for CACI to fulfill its mission:
(1) Maintain & improve the cost of doing business;
(2) Advocate a pro-business state government;
(3) Increase the quantity of educated, skilled workers; and
(4) Strengthen Colorado’s critical infrastructure (roads, water, telecommunications and energy).
Click here for more information.
