CEO DATELINE - Associations respond to State of the Union
CEO DATELINE - Associations respond to State of the Union
- January 21, 2015 |
- CEO Update
Granting the president trade promotion authority: good. Higher taxes on the wealthy: bad.
Those were two messages coming from association leaders in the wake of President Barack Obama's State of the Union address Tuesday. In a speech packed with policy suggestions, many groups found things to like and not like in what Obama proposed, as well as offer a few suggestions that weren't addressed by the president.
A sample of reactions issued by associations as of late Wednesday morning, categorized by policy area:
TAXES
Randall Stephenson, board chairman, Business Roundtable
"We continue to believe that there is a chance to accelerate business investment, boost job creation and provide greater opportunity for America's working families if the President leads the way to common ground for business tax reform… However, we are concerned that some of the President's tax proposals could actually slow the prospects for permanent reform. Business tax reform that results in a modern tax system with competitive rates and competitive international tax rules may be the single most effective means of accelerating business investment, boosting job creation and providing greater opportunity for America's working families."
Tom Donohue, CEO, U.S. Chamber of Commerce
"President Obama's plan to dramatically increase taxes, spending, and regulation is the wrong prescription for the economy. It will slow economic growth and job creation, stifle innovation, and worsen our nation's debt and entitlement crises… What we really need is comprehensive tax reform that broadens the base, makes the code flatter and fairer, and eliminates loopholes. That would do more to spur economic growth than arbitrarily raising taxes for some while providing tax credits to others."
Jay Timmons, CEO, National Association of Manufacturers
"(To) meet the challenges of a global economy, policymakers will have to address many difficult issues, and unfortunately, the tax plan the President introduced tonight sends the wrong signal. We're just beginning to come out of the depths of the recession. We need more policies that encourage investment, entrepreneurship and success, not less. Punitive tax increases on investment and small businesses, coupled with increased government spending, are no way to unleash economic growth."
Todd McCracken, CEO, National Small Business Association
"Corporate-only tax reform is a nonstarter for small business. Eighty-three percent of small businesses are pass-through entities and therefore not only will they NOT benefit from corporate-only tax reform, there is a chance they could lose some current deductions, resulting in a higher effective tax rate."
Kate Vlietstra, vice president for government relations and public affairs, National Association for the Self-Employed
"For far too long, America's smallest business community—the self-employed and micro-businesses— have been left on the cutting room floor when it comes to tax fairness. With a growing and diverse small business demographic fueling our country's economic growth, it is past time for comprehensive tax reform that evaluates the overall tax code and makes the necessary adjustments to ensure fairness, equity and simplification in business tax reform. Any meaningful reform must include both changes to corporate rates as well as the individual tax rate."
National Retail Federation
"Foreign-owned retail brands would invest more in the U.S. if the (corporate) tax rate was not so high. We urgently need to close loopholes that benefit only a few industries and use the tax revenue that would be saved to lower tax rates for all businesses, large and small, in order to restore the U.S. to its rightful position as the most competitive nation in the global marketplace."
Bill Carteaux, CEO, SPI: The Plastics Industry Trade Association
"We are troubled by some of the President's tax policy proposals outlined last night, particularly those that could deter investors from risking capital, and others that would negatively impact family-owned plastics industry businesses. We will also continue to respond vigorously to attempts at regulatory overreach. There simply must be an enhanced focus on science-based decision making by plastics industry regulators."
TRADE PROMOTION AUTHORITY
Bob Stallman, President, American Farm Bureau Federation
"Farm Bureau is also encouraged by the president's strong support for Trade Promotion Authority, which would give Congress the responsibility to vote yes or no on foreign-trade treaties without deal-killing amendments. Congress must pass bipartisan TPA legislation to strengthen U.S. negotiating positions in future trade agreements."
Wade Cowan, board president, American Soybean Association
"First, Trade Promotion Authority is long overdue. The United States is currently involved in the negotiation of major trade deals, including the Trans-Pacific Partnership and the Transatlantic Trade and Investment Partnership, which have the potential help to protect and expand agriculture market access in the Pacific Rim and Europe. Soybeans are the nation's leading farm export, and it's critically important that Congress pass, and the President sign, a completed TPA package that will lay the groundwork for robust and comprehensive trade agreements."
Chip Bowling, board president, National Corn Growers Association
"Modernized TPA improves our nation's ability to advance trade agreements that open markets for U.S. farmers. Ag exports, at nearly $150 billion, support over one million American jobs."
David Thomas, vice president, Business Roundtable, speaking on behalf of Trade Benefits America Coalition
"American businesses and their workers can compete against anyone else in the world when given the opportunity. This strong, bipartisan focus on modernizing TPA is a critical step towards ensuring the United States has the opportunity to continue reaping the benefits of trade agreements that connect U.S. companies and their products with consumers around the globe."
Lawrence Sloan, CEO, Society of Chemical Manufacturers and Affiliates
"Tonight's speech has given us hope for progress on trade policy and we continue to call on President Obama and lawmakers to support swift action on a bipartisan TPA bill. With the President's vow of action as well as support from Congressional leadership, the political stars are aligned for TPA passage this year."
International Dairy Foods Association
"American businesses and their workers can compete against anyone else in the world when given the opportunity. The U.S. dairy industry in particular has the potential to benefit greatly from two trade agreements currently undergoing negotiations - the Trans-Pacific Partnership and the Transatlantic Trade and Investment Partnership. Trade Promotion Authority is an important tool for getting those agreements through Congress and ensuring that the United States has the opportunity to connect U.S. companies and their products with consumers around the globe."
ENERGY
Mike Duncan, CEO, American Coalition for Clean Coal Electricity
"In his State of the Union address tonight, President Obama failed to offer answers about the calamitous consequences of his environmental regulations. Rather than seek a commonsense energy plan for America, President Obama bypassed Congress and is forging ahead with his climate crusade at the expense of the nation's economic security. President Obama demonstrated again tonight just how far he is willing to go to appease deep-pocketed donors, while hard-working Americans are left out in the cold without the means to help make ends meet."
Randall Luthi, president, National Ocean Industries Association
"While the President highlighted America's energy renaissance in his address to Congress tonight, he failed to note that the increase in the supply of American-made energy is occurring on state and private lands, not the federal lands under his control. The President was certainly right about one thing: low energy costs and gas prices have given American families and small businesses relief and have contributed to the recovering economy; however, the increased supply of oil and natural gas and lower energy costs have occurred in spite of, not because of, the administration's energy policies."
Jack Gerard, CEO, American Petroleum Institute
"America is now a global energy superpower thanks to our oil and natural gas renaissance, but most of this development has occurred in spite of the federal government. Development on the federal lands under control of the administration has actually gone down consistently, and revenues from leasing also fell by over $1 billion in the last year. America's oil and natural gas companies are largely owned by retirees and workers saving for retirement. In a tough economy, our energy renaissance has been a lifeline for the middle class."
Marty Durbin, CEO, America's Natural Gas Alliance
"The president himself has singled out natural gas as a critical component of his long-term economic and climate strategies, and increased use of natural gas use throughout the economy has been critical to reducing greenhouse gas emissions to near 20-year lows and dramatically reducing air pollution. It also has created many thousands of American jobs and saved consumers substantial money on energy bills."
Tom Kiernan, CEO, American Wind Energy Association
"As the President noted, America produces more wind energy than any other country in the world. We're number one. Hardworking Americans and successful federal tax policy helped accomplish this. By providing a long-term, stable policy, we can retain our number one position, keep well- paying jobs and invest in American communities."
Rhone Resch, CEO, Solar Energy Industries Association
"On behalf of the 173,000 Americans who currently work in the U.S. solar industry—and the tens of millions of people who staunchly support it—we'd like to give our own ‘shout out' to the effective and forward-looking public policies, such as the solar Investment Tax Credit (ITC), net energy metering (NEM) and renewable portfolio standards (RPS), which are helping to drive solar's remarkable growth, while also helping to reduce energy costs for homeowners, businesses, schools and government buildings."
CYBERSECURITY
Victoria Espinel, CEO, BSA | The Software Alliance
"Sending a clear signal to the American public and international community that the United States is committed to upholding essential privacy protections while safeguarding the country's national security is critical to restoring trust in the digital economy. We welcome the President's support for increased transparency and oversight in U.S. surveillance programs. With key provisions of the Patriot Act expiring this year, now is the time for strong presidential leadership and cooperation on both sides of the aisle."
Retail Industry Leaders Association
"The President's focus on cyber and data security is welcome in the fight against evolving cyber-attacks. Retailers call on Congress to provide assistance and ensure retailers have the partners and the tools to fight a growing and sophisticated enemy and protect Americans. This includes increased threat information sharing, a single, national data breach notification law, increased card security and collaboration on evolving technologies in order to defeat cyber criminals."
Chris Dodd, CEO, Motion Picture Association of America
"The Internet is a flourishing source for creativity and economic growth. And yet, as the devastating cyberattack against Sony Pictures Entertainment reminds us, this incredible and connected digital space is also littered with sophisticated criminal actors intent on unsettling businesses, invading consumer privacy, and exposing competitive trade secrets and digital products."
Dan Berger, CEO, National Association of Federal Credit Unions
"We welcome President Obama's call to pass legislation to meet the evolving threat of cyberattacks and combat identity theft. Our efforts to establish national data security standards for retailers will help address the president's call for action to protect our nation from continued vulnerability."
Dean Garfield, CEO, Information Technology Industry Council
"We have long called for a federal notification standard that replaces the current patchwork of state data breach notification requirements. We're encouraged by the emerging bipartisan support shown by the president and congress for a federal notification framework, and properly crafted, it is an opportunity to help consumers protect themselves when a data breach occurs."
Linda Moore, CEO, TechNet
"Specifically, we applaud President Obama for outlining a legislative proposal on cybersecurity that would enable information sharing between the private sector and government and prioritize the personal privacy of citizens. Preventing cyber attacks is a shared responsibility and protecting these networks is vital to economic stability, national security and public safety."
INFRASTRUCTURE
Pete Ruane, CEO, American Road & Transportation Association
"If the new Congress is serious about proving to the American people it can govern and if the President wants to accomplish something that has been on his agenda for years, then new investments in surface transportation are an area ripe for bipartisan consensus and action. However, policy legacies won't be earned with more short-term gimmicks and temporary patches of the Highway Trust Fund. It will require Congress and the President to enact a long-term revenue stream to ensure state governments have the reliable federal partner they need to make overdue improvements to America's roads, bridges and transit systems."
Michael Melaniphy, CEO, American Public Transportation Association
"Americans want Congress and the President to break the gridlock and work together. As President Obama pointed out, infrastructure is a bipartisan issue. APTA believes that Republicans and Democrats should be able to find common ground on and move forward to pass a multi-year, multimodal, well-funded surface transportation bill before the May 31 deadline. Congress must also fund the Highway Trust Fund, which includes the Mass Transit Account."
Bill Graves, CEO, American Trucking Associations
"Just mentioning infrastructure is not a solution to our nation's critical needs, and by simply bringing the topic up without details President Obama missed an opportunity to underscore the critical role our highway system plays in our economic well being. Now is the time, with the Highway Trust Fund set to go bankrupt in May, to show vision and leadership and most importantly, find funding, to keep that from happening."
IMMIGRATION REFORM
Katherine Lugar, CEO, American Hotel & Lodging Association
"The President also acknowledged that immigration is a passionate and emotional issue, and expressed that the system needs to be fixed. We strongly encourage President Obama and Congress to find bipartisan, permanent reforms. Providing employers an efficient system to verify and hire workers and creating a process to address those undocumented workers already in the country are just a few of the policies that would enable hotels to solidify their business models, better address their current workforce needs and plan for the future."
Gary Shapiro, CEO, Consumer Electronics Association
"President Obama accurately noted that 21st century businesses will rely on American science, technology, research and development to succeed in the global economy. But we are disappointed he missed the opportunity to push for strategic immigration reform to keep the world's best and brightest here in the U.S. to build companies and create jobs, a key policy component necessary to maintain our leadership in innovation. We also would have appreciated the recognition he provided in the 2014 State of the Union speech that patent trolls are hurting America's job creators."
HEALTH CARE
Ralph Neas, CEO, Generic Pharmaceutical Association
"At a time when all stakeholders and patients are adjusting to the new realities of the Affordable Care Act, we should seek to limit provider confusion about generic prescribing. Unfortunately, the current FDA proposed rule on generic labeling does just the opposite."
Steven Anderson, CEO, National Association of Chain Drug Stores
"As evidenced in the State of the Union address with the launch of the Precision Medicine Initiative, momentum is growing to help find cures for chronic and fatal diseases through medical innovations. Similarly, in 2014 the 21st Century Cures Initiative was introduced by House Energy and Commerce Committee Chairman Rep. Fred Upton (R-MI) and Committee member Rep. Diana DeGette (D-CO) to harness the power of technology and bring together researchers, innovators and patients in order to understand diseases better and advance research that will lead toward cures."
Pamela Cipriano, board president, American Nurses Association
"The president's address showed a keen understanding that improving health for all has benefits which extend far beyond just feeling better; better health allows people to have peace of mind and achieve our full potential as contributors to society. For example, the Precision Medicine Initiative President Obama described during his speech has the potential to generate more effective treatments for serious diseases. And, thanks to the (Affordable Care Act), 10 million Americans who were previously uninsured now have access to affordable, high quality health care through the Health Insurance Marketplace."
Stephen Ubl, CEO, Advanced Medical Technology Association
"The president called for policies to help America win the race for the kinds of discoveries that unleash new jobs. Repealing the tax on medical technology is a key first step in the kind of investment in innovation the president called for last night. Repealing the device tax, like broader tax reform and expanded trade, will help create a level playing field with competitor countries and grow the number of middle-class, science-based jobs that will drive an innovation-based economy."
EDUCATION
Consortium for School Networking and Data Quality Campaign
"Tonight's speech was indicative of the nation's strong, ongoing effort to prioritize protecting student data as we use this valuable information to personalize learning and help our young people achieve their goals. As part of that effort, we are happy to announce that the education community is taking steps to address this issue. Over the course of the past few months, a group of national education organizations, representing a range of perspectives, experience, and stakeholders in the field, has been developing a set of shared principles for safeguarding the personal information of America's students.
Diane Grob-Schmidt, board president, American Chemical Society
"We need to make increased investments in basic research and development to drive U.S. innovation; we need a highly educated workforce prepared for jobs of the future; we need to harness the power of science, in all its disciplines, to address massive problems such as climate change, eradication of disease and illness, developing sustainable energy sources, and providing safe and abundant food and water supplies."
Walter Bumphus, CEO, American Association of Community Colleges
"Community college leaders across the country have been galvanized by President Obama's announcement (to provide free tuition to certain community college students.) We fully recognize that there are significant political and policy issues to be fleshed out as Congress deliberates this proposal. However, the bottom line for us is that it would make community college dramatically more accessible, and that is absolutely a good thing for America."
OTHER ISSUES
Scott DeFife, executive vice president, policy and government affairs, National Restaurant Association
"We need to avoid prescriptive, one-size-fits-all mandates on private sector industries like the restaurant industry that have thrived without the added costs and intrusions of labor unions. We would hope that rather than proposing these mandates, the administration would work with the private sector to achieve its goals in a manner that allows businesses like restaurants, which are very different than traditional 9-to-5 workplaces, to continue to grow and create jobs."
Bob Weidner, CEO, Metal Service Center Institute
"The 2014 election demonstrated that elections have consequences. The country voted to ensure that both chambers of Congress would work together to pass pro-business legislation for the president's signature. Furthermore, the pugilistic tone emanating from the extremes of either party is counterproductive to passing meaningful legislation that benefits all Americans. We need decisive bipartisan cooperation and discourse; this can't be achieved when President Obama works around Congress and not in cooperation with it."
Jo Ann Jenkins, CEO, AARP
"As we anticipate new budget proposals from the President and Congress, we urge our elected representatives to fight for responsible solutions to strengthen Medicare and Social Security. If elected officials truly do want a strong middle class to have real possibilities in their lives, they must demonstrate as much with proposals that reflect the needs and views of the people they represent, instead of generating proposals that could cause irreparable harm."
Ed Black, CEO, Computer & Communications Industry Association
"We appreciated the president highlighting what we hope becomes an agenda to cooperatively build the innovation economy—from expanding trade to ‘protecting the free and open Internet' and building the ‘fastest Internet' so innovators have a platform to reshape our economy."