The 1999 legislative session gets mixed reviews from the Northern Rhode Island Chamber of Commerce. In a review of the recently completed General Assembly session, the Chamber suggests that the 1999 legislature saw fewer significant pieces of business legislation enacted than in 1998, but did “set groundwork” for issues to be debated when the legislature reconvenes in January.
Among the Chamber’s successful lobbying efforts, was a decision by the legislature to establish a study for HMO liability. The Chamber expressed concern during the session that any action this year on HMO liability legislation would have had a significant financial impact on the business community.
The Chamber lobbied aggressively for an HMO liability study commission.
”Giving persons the ability to sue their HMO for damages is not necessarily going to cure a problem with the health care system,” said Jason C. Martiesian, director of government affairs at the Northern Rhode Island Chamber of Commerce. “We believe it will increase premiums. And the higher the premiums, the fewer businesses that will be able to afford to provide health insurance. It could force them to increase the co-pay.”
Martiesian also points out that unlike other states, Rhode Island has an effective appeals process that allows persons who have been denied coverage to appeal that decision through a three-step process.
The Chamber also successfully fought against legislation submitted by the Trial Lawyers Association to allow third party lawsuits. Such legislation, said Martiesian, has increased insurance premiums for businesses and consumers it states where it has been passed.
The 1999 session was not without its failures from the standpoint of the Chamber. The business community, for example, lost the battle of minimum wage. The wage has been bumped up by 50 cents, though Martiesian said the business community could have taken an even bigger hit, if the initial proposal to raise the minimum wage by 50 cents for two consecutive years and then a cost of living increase had been adopted by the General Assembly.
”Keeping it at one 50 cent-increase was a good compromise for both sides,” he said.
The Chamber was also disappointed, said Martiesian, that the legislature was unable to find compromise on a state Department of Environmental Management reorganization. Reorganizing DEM is expected to be a major issue before the 2000 legislative session.
As for 2000, Martiesian is hoping that some old issues – namely the Sunday work rule and bimonthly pay – will get a new look. Both measures have failed to gain approval in recent years. As a result, Rhode Island remains one of the only states in the nation that prohibits companies from operating on Sundays, unless they first secure a special work permit and pay employees time and a half – even if it is within their regular 40-hour schedule.
Rhode Island companies are also forced to pay hourly workers each week – which
opponents argue causes unnecessary paperwork costs that can ultimately add up to tens of thousands of dollars each year.
Martiesian predicts that one issue will rise above all others during the next legislative session.
”Health care is going to be a critical issue,” he said. “The ability on the part of small businesses to provide health care for their employeesthe costs are just rising. Quality, affordable health care will be an issue.”
The Northern Rhode Island Chamber of Commerce boasts of 1,200 members. The organization also coordinates lobbying efforts with the Central Rhode Island Chamber of Commerce and the Rhode Island Food Dealers Association.
