• Final Summer Women Entrepreneur Event a "Huge Success"

• Congress Commemorates September 11

• Uncertain Outcome for Pension, Wage and Tax Break Legislation

• House Judiciary Committee Approves Legislation to Limit Medical Malpractice Liability

Final Summer Women Entrepreneur Event a "Huge Success"

Monday’s St. Louis Women Small Business Summit concluded a series of summer-long women entrepreneurship events co-sponsored by the Bush Administration, members of Congress and the NASE. Robert Hughes, NASE president, called the event a “huge success.”

“Hundreds of women entrepreneurs and micro-business owners came to St. Louis eager to network and learn tips of the trade,” Hughes said. “And with the panel discussions on everything from regional opportunities to tax issues to access to capital, they got what they came for.”

Hughes participated in the summit’s health care panel, answering questions on access and affordability. Hughes also greeted current and prospective NASE Members at the Association’s information booth.

“It is always good for me to talk to NASE Members and hear their concerns,” Hughes said. “I think I take away just as much at events like these as participants do!”

Check back to NASE.org frequently for updates on future women entrepreneur events.
 

Congress Commemorates September 11

Congress will take a break from business on September 11 to commemorate the victims of last year’s terrorist attacks. Both the House and Senate will remember the day with floor speeches and resolutions, but no other business will be conducted. Last Friday, Congress held a special session in Federal Hall in New York City. “We are with you,” Senate Minority Leader Trent Lott (R-MS) told New Yorkers.

President Bush has designated Wednesday as “Patriot Day,” and has encouraged Americans to observe the day with such activities as holding a moment of silence at 8:46 a.m., displaying American flags at half-staff or volunteering in the community. President Bush will attend ceremonies at the Pentagon, Shanksville, Penn., and Ground Zero in New York City.

 

Uncertain Outcome for Pension, Wage and Tax Break Legislation

Three issues previously reported in Washington Watch may come together in the next few weeks and make their way through Congress. Senate Majority Leader Tom Daschle (D-SD) said this week that he was considering adding a minimum-wage increase to pension reform legislation. Earlier this summer, Health, Education, Labor and Pensions Chairman Edward Kennedy (D-MA) proposed S. 2538, which would increase the minimum wage by $1.50 over the next year-and-a-half. Likewise, the pension reform bill, S. 1971, was introduced by Finance Chairman Max Baucus (D-MT), although a new version is likely to be introduced soon.

The decision of whether to link the two parties’ priorities is important because of the predicted support for pension reform from both Democrats and Republicans. That support may be enough to pull along the controversial minimum wage bill, which faces tough opposition by itself.

Another possibility for moving S. 2538 has also risen: link it with a package of small-business tax cuts. No specific tax cut legislation has been proposed, but the Senate Finance Committee plans to mark up a package later this week or next. This package, however, still may not be enough to offset Republican opposition to an increase in the minimum wage.

The NASE is not opposed to a minimum wage increase in principle. Many of the micro-businesses that the NASE represents pay employees more than the federal minimum wage, and this type of legislation would not have a negative effect on them. However, given current economic conditions, the NASE does not think it is an appropriate time for an increase in the minimum wage.

The NASE is actively advocating for legislation that includes small-business tax breaks such as an increase in Section 179 expensing, health care tax credits, and an increase in the business meals deduction.
 

House Judiciary Committee Approves Legislation to Limit Medical Malpractice Liability

On Tuesday, the House Judiciary Committee approved, by voice vote, the Help Efficient, Accessible, Low cost, Timely Healthcare (HEALTH) Act of 2002 (H.R. 4600), to limit damage awards and trial lawyers’ fees in medical malpractice lawsuits and supersede state patients´ rights laws that set higher liability caps. President Bush and numerous legislators have been actively advocating on behalf of this bill, asserting that unwarranted lawsuits and large malpractice awards lead to higher health premiums to cover costs of malpractice insurance.

The HEALTH Act, sponsored by Rep. James Greenwood (R-PA), would limit punitive damages to twice the economic damages or $250,000, whichever is greater, in malpractice suits. It would also limit trial lawyers’ contingency fees to 40 percent of the first $50,000 in damages, 33 1/3 percent of the next $50,000, 25 percent of the next $500,000, and 15 percent of any amount in excess of $600,000.

Senator John Ensign (R-NV) has introduced an identical bill (S. 2793), but it is not expected to be debated. On July 30, the Senate rejected a less-sweeping plan to limit malpractice awards when it voted 57-42 to table an amendment by Senator Mitch McConnell (R-KY), during debate on drug-pricing legislation.

The American Association of Health Plans (AAHP) released a study in April 2002 that cited “litigation and risk management” costs were responsible for 7 percent, or $5 billion, of the total increase in health insurance premiums from 2001 to 2002. The goal of this legislation is to minimize liability costs, which ultimately get passed on to consumers in the form of higher insurance premiums.

For more information, please contact Kristie Darien, NASE director of Government Affairs, at 202-466-2100 or kdarien@nase.org.
 

Do any of these issues affect you? Do you want to be proactive in helping the micro-business community? Visit the NASE's Legislative Action Center and “Tell Your Small Business Story.” This will help the NASE understand - on a personal level - how key legislative issues are affecting your business and your bottom line.

For more information about any of the articles in Washington Watch, contact Maureen Petron, NASE public affairs manager, at (202) 466-2100 or mpetron@nase.org.