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					                                      Garden Grove Chamber of Commerce

                                    GOVERNMENT AFFAIRS COMMITTEE

                                    Garden Grove Community Meeting Center
                                               Founders Room
                                             11300 Stanford Ave.
                                           Garden Grove, CA 92840

                                               Friday, July 10, 2009
                                                     7:30am

                                                    AGENDA

                        Presiding: Joe Hammer (former Board of Director’s Chair 2007-2009)
                                                       For
                                          Dr. Les Malo, 2009 GAC Chair

Welcome and Introductions

Call to Order and Roll Call

Chair’s Report

Recent Action

Agenda Items

    1.   Approval of June 2009 Minutes                                                   ACTION

    2.   Legislative Report #5                                                           ACTION

Announcements

Adjourn
                                                                                                       RECENT ACTION
                                                                                               Government Affairs Committee
                                                                                                               July 10, 2009

July 2009
Garden Grove Chamber of Commerce Launches New Government Affairs Program, Delivers Results For Members

The Garden Grove Chamber of Commerce expanded its membership benefits with the addition of an ambitious government
affairs program that will represent the interests of businesses. The Chamber developed and implemented a government
affairs program complete with mission, vision statements and long term strategies. Efforts will be made to nurture
relationships with local and state elected officials and their staff to ensure that chamber member businesses are represented
on issues that might have an impact in the local business community and throughout the state.

“The creation of a new government affairs program allows the chamber to offer another value-added service to our
membership and business community as a whole,” said Connie Margolin, President and CEO of the Garden Grove Chamber
of Commerce. “The new government affairs program would not have come to fruition if it wasn’t for our outgoing chair Joe
Hammer and current chair of the Government Affairs Committee, Dr. Les Malo. It was a major goal of these two individuals
to represent business with government and provide an excellent return on investment for the chamber’s members,” continued
Margolin.

The chamber has created a Government Affairs Committee (GAC). The chamber’s GAC will be comprised of a chamber
member-only committee that will meet once per month serving as an action team for contacting legislators, building the
government affairs program, and setting goals and priorities on a yearly basis.

The GAC will track legislation and issue vote records on local elected officials. By following legislation impacting the
chamber’s membership, the chamber can respond directly to their officials and their staff on pertinent issues. At the
conclusion of each legislative session, the GAC will assist in the production of the vote records for the chamber’s local
legislators and how they voted on the top anti-business and pro-business legislation of that year.

The chamber will also create and maintain a Web site dedicated to the government affairs program. The objective of the Web
site will be to interconnect all of the facets of the government affairs program. The Web site will be updated at least once a
week or when necessary.

A second feature of the program is a legislative eALERT. The Legislative eALERT is an e-mail update and a “call to action”
on important government affairs related issues sent directly to the Garden Grove Chamber’s membership. Together, these
Web-based services will play a crucial role in connecting all lines of communication for the chamber and its members.
                                                                                                                  ACTION
                                                                                                       AGENDA ITEM 1
                                                                                              Government Affairs Committee
                                                                                                              July 10, 2009

Approval of June 2009 Minutes

                                          Garden Grove Chamber Of Commerce
                                             Government Affairs Committee

                                                     Meeting Minutes
                                                   June 12, 2009 Minutes

Call to Order:             Chairman Dr. Malo began the meeting at 7:30 a.m.

Members Present:           Dominic Acolino, Errol Giuliano, Joe Hammer, Jeremy Harris, Harry Krebs, Dr. Les Malo,
                           Connie Margolin, Tam Nguyen, Scott Smith, Sharon Sunda, Sandy Thomas, Mallory Vega
                           and Maggie Wells

Members Absent:            Larry Dick and Larry Valenti

Guests:                    Deputy Director of SBA Rachel Baranick and Dolores Gonzalez Hayes representing
                           Congressperson Loretta Sanchez. Ronnie Guyer and Joan Le from Assemblyman Van Tran’s
                           office.

Rachel Baranick reported on the American Recovery and Retirement Act of 2009. It will have a significant impact on small
businesses and on the credit crunch, providing tax incentives and financing opportunities that will help create jobs. There is
$375 million available for business loans in the amount of $35,000. The SBA will eliminate the fees and raise their guarantee
percentage to 90%. Payments may be deferred for a year or as long as five years. Information about how to apply or qualify
for the loan is being developed and forwarded to lenders. Many questions about implementation of the program have not
been addressed.

Harry Krebs moved to accept the report and file it, Joe Hammer seconded the motion, motion carried.

Joe Hammer moved to approve the May 8th minutes and accept the corrections on the Policy Platform, Sandy Thomas
seconded the motion, motion carried.

Dolores Gonzalez Hayes reported that that the Congressperson Sanchez believes that health care reform is in process.
Regarding affordable housing, the Orange County Collaborative will be holding eleven seminars on foreclosures. She also
stated that it was very important that we have active participation in the 2010 Census.

Ronnie Guyer said Assemblyman Van Tran has introduced a bill that would eliminate payments to individuals who have
been appointed to sit on State Boards.

Mallory Vega reported that with current shortfall on the State’s budget, that Adult Day Health Care may be eliminated.

Joe Hammer asked Mr. Guyer to find out what happened with the Assemblyman’s bill to allow a four day work week.

John Wildsmith remarked that the problem with the 2010 Census is the fear of being counted will attract the attention of
immigration officials.

Scott Smith applauded the Governmental Affairs Committee for dealing with issued that really affect small business. He also
wanted to compliment Congressperson Sanchez for including Kaiser Permanente in her Health Care Committee.

Meeting adjourned the meeting at 8:48 a.m.
                                                                                                                      ACTION
                                                                                                           AGENDA ITEM 2
                                                                                                  Government Affairs Committee
                                                                                                                  July 10, 2009

Legislative Report #5

Presentation by

Jeremy Madison Harris
Director of Government Affairs

State Legislation

AB 474 (Blumenfield) Water Efficiency Improvements

Recommended Position

         Support

Summary

    1.   AB 474 expands the authorization that allows public agencies to enter into contractual assessments to finance the
         installation of specified improvements to now include water efficiency improvements.

Background

Details of AB 474 are outlined below:

    2.   Authorizes a public agency to enter into a contractual assessment with a willing property owner to finance the
         installation of water efficiency measures.

    3.   Adds agriculture to the types of properties that can enter into a contractual assessment with a public agency to
         finance the installation of distributed generation renewable energy sources, energy efficiency, and water efficiency
         improvements.

    4.   Adds municipal utility districts and community service districts to the list of entities that may enter into contractual
         assessments with a willing property owner to finance the installation of distributed generation renewable energy
         sources, energy efficiency, and water efficiency improvements.

    5.   States that it is the intent of the Legislature to address chronic water needs throughout California by permitting
         voluntary individual efforts to improve water efficiency.

    6.   States that it is the intent of the Legislature that the authorization created by AB 474 should be used to finance the
         installation of water efficiency improvements that are permanently fixed to residential, commercial, industrial,
         agricultural, or other real property, including, but not limited to, recycled water connections, synthetic turf, cisterns
         for storm water recovery, and water-porous concrete.

    7.   Prohibits a water district from entering into any contractual assessment with a property owner to finance any energy
         efficiency improvements.

    8.   Requires a public agency to include a brief description of criteria that will be used for determining the
         creditworthiness of a property owner in its resolution of intention.

    9.   Redefines "efficiency improvements" to include agricultural property.

    10. Defines "public agency" as a city, county, city and county, municipal utility district, community services district, or
        water district as defined.

    11. Requires a legislative body to provide written notice of a hearing to any entity that provides energy or water within
        the boundaries of the area within which contractual assessments may be entered into.
Arguments in Support

    12. AB 474 allows water efficiency improvements to be financed by a public agency and a willing property owner and
        fills a financing void by offering upfront funding to the property owners to pay for costly water use efficiency
        improvements such as permeable pavement, recycled water piping, drip irrigation, cisterns, synthetic turf, or other
        water conservation measures.

Arguments in Opposition

    13. Essentially public agencies will be using tax payer monies to finance private property improvements in the areas of
        water efficiency. It should be noted that this could lead to other agencies funding other projects.

Supporting

CA Municipal Utilities Association [CO-SPONSOR]                        Green Plumbers USA
Metropolitan Water District of Southern CA [CO-                        Placer County Water Agency
SPONSOR]                                                               Planning and Conservation League
Association of CA Water Agencies                                       PolyTurf Inc.
CA Association of Realtors                                             Regional Council of Rural Counties
CA Chamber of Commerce                                                 Sierra Club CA
CA Municipal Utilities Association                                     Three Valleys Municipal Water District
CA Special Districts Association                                       Valley Industry and Commerce Association
City of Corona                                                         WateReuse CA
Eastern Municipal Water District

Opposing

None on file at this time

AB 943 (Mendoza) Employment: Credit Reports

Recommended Position

         Oppose

Summary

    1.   AB 943 prohibits an employer, with the exception of certain financial institutions, from obtaining a consumer credit
         report for employment purposes unless specified conditions apply.

Background

    2.   AB 943 prohibits an employer from using a consumer credit report for employment purposes unless:

              a.   The information contained in the report is substantially job related, meaning that the position has access to
                   money, other assets or confidential information; and,

              b.   The position of the person for whom the report is sought is any of the following:

              c.   A managerial position;

              d.   A position in a city, county, or city and county;

              e.   A sworn peace officer or other law enforcement position; or,

              f.   A position for which the information contained in the report is required to be disclosed by law or to be
                   obtained by the employer.

    3.   AB 943 also provides that the above provisions do not apply to a person or business subject to the federal Gramm-
         Leach-Bliley Act (governing financial institutions) and implementing regulations, if the person or business is subject
         to compliance oversight by a state or federal regulatory agency with respect to those laws.
    4.   AB 943 is similar, but not identical to, AB 2918 (2008) as it amended the CCRAA to prohibit, except as specified,
         the user of a consumer credit report from procuring a consumer credit report for employment purposes unless the
         report is either substantially job related, as defined, or required by law to be disclosed to or obtained by the use of
         the report.

    5.   AB 2918 was vetoed by Governor Schwarzenegger, who stated the bill would "significantly increase businesses'
         exposure to civil actions over the use of credit checks.

    6.   California Chamber of Commerce has identified AB 943 as a “2009 Job Killer” piece of legislation.

Arguments in Support

    7.   Supports claim that, beyond the impact on the individuals who are denied work, using credit reports as a barrier to
         employment is bad for the economy.

    8.   It prevents people who have fallen on hard times from finding a path out of poverty and making a better life for
         them and their families and prevents applicants from being judged on their merits and it legitimizes discrimination in
         hiring.

Arguments in Opposition

    9.   Opponents argue that generally that consumer credit reports provide valuable information to employers in decision-
         making processes, including the hiring of an individual.

    10. For example, they state that employee theft is a growing problem and cite to Federal Bureau of Investigation (FBI)
        data that demonstrates that employee theft is the fastest growing crime in the United States and is expected to
        increase by 15% annually and on average businesses lose as much as two percent of their sales to employee theft.

Supporting

All of Us or None                                                    Legal Services for Prisoners with Children
American Civil Liberties Union                                       Los Angeles Alliance for a New Economy
California Applicants' Attorneys Association                         National Consumer Law Center
California Commission on the Status of Women                         National Employment Law Project
California Conference Board of the Amalgamated Transit               National Lawyers Guild Labor and Employment
Union                                                                Committee
California Conference of Machinists                                  Privacy Rights Clearinghouse
California Immigrant Policy Center                                   Professional & Technical Engineers, Local 21
California Labor Federation, AFL-CIO                                 Southern Christian Leadership Conference
California Rural Legal Assistance Foundation                         Strategic Committee of Public Employees, LIUNA
California Teamsters Public Affairs Council                          UNITE HERE!
Coalition for Humane Immigrant Rights of Los Angeles                 United Food and Commercial Workers Union, Western
Consumer Watchdog                                                    States Council
East Bay Community Law Center                                        United Transportation Union
Engineers and Scientists of California                               Women's Employment Rights Clinic, Golden Gate
International Longshore & Warehouse Union                            University School of Law

Opposing

Acxiom                                                               California Hotel & Lodging Association
Associated General Contractors                                       California Independent Grocers Association
California Apartment Association                                     California Manufacturers & Technology Association
California Association of Health Services at Home                    California Restaurant Association
California Association of Joint Powers Authorities                   California Retailers Association
California Association of Licensed Investigators                     Engineering Contractors' Association
California Chamber of Commerce                                       Flasher/Barricade Association
California Chapter of the American Fence Contractors'                Marin Builders' Association
Association                                                          National Federation of Independent Business
California Employment Law Council                                    Reed Elsevier
California Fence Contractors' Association                            TransUnion
California Grocers Association
California Hospital Association
Federal Legislation

H.R. 635 (Baca, Joe [D-CA]) National Commission on State Workers' Compensation Laws Act of 2009

Recommended Position

         Oppose

Summary

    1.   H.R. 635 establishes a national commission to study state workers' compensation laws.

Background

    2.   Duties of the Commission would be as followed:

             a.   To review the findings of the previous National Commission on State Workmen's Compensation Laws and
                  its recommendations;
             b.   To study and evaluate State workers' compensation laws in order to determine if such laws provide an
                  adequate, prompt, and equitable system of compensation for injury or death arising out of or in the course
                  of employment; and
             c.   To study and evaluate whether additional remedies should be recommended to ensure prompt and good
                  faith payment of benefits and medical care to injured workers and their families.

    3.   The study and evaluation of the State workers compensation laws would include the following:

             a. the amount of permanent and temporary disability benefits and the criteria for determining the maximum
                limitations of such benefits or the elimination of such maximum limitations;
             b. a study and evaluation of State workers' compensation laws in order to determine if, and ensure that, such
                laws provide an adequate, prompt, and equitable system of compensation and medical care for injuries or
                death arising out of in the course of employment;
             c. a study of whether other adequate remedies are available to ensure the prompt payment of benefits and to
                reduce or eliminate bad faith delays in payments of benefits, providing medical care, and discouraging
                misclassification of workers as independent contractors and or leased employees to avoid paying workers'
                compensation benefits;
             d. the amount and duration of medical benefits and provisions ensuring adequate medical care and free choice
                of physician;
             e. rehabilitation;
             f. standards for determining assurance of benefits caused by aggravation or acceleration of preexisting
                injuries or disease;
             g. time limits on filing claims;
             h. waiting periods;
             i. compulsory or elective coverage;
             j. administration;
             k. ensuring prompt hearings and due process evidentiary rights in the resolution of claims;
             l. the relationship between workers' compensation on the one hand, and old-age, disability, and survivors
                insurance and other types of insurance (public or private) on the other hand; and
             m. methods of communicating the recommendations of the Commission.

    4.   The Commission will be composed of 14 members ranging from appointments from the President to the
         appointments by the members of Congress.

    5.   The Commission will be staffed and paid per section 5315 of title 5, United States Code.

    6.   The Commission will have powers to hold hearings and evidence, take testimony, administer oaths and require
         subpoenas when necessary.

    7.   H.R. 635 was introduced on January 22, 2009 and has been referred to the House Committee on Education and
         Labor.
                                                                                                                           7
Arguments in Support

    8.   In 1972, the National Commission on State Workmen's Compensation Laws found that the system of State workers'
         compensation laws was `inequitable and inadequate'.

    9.   Since that time, changes in reductions in State workers' compensation laws have increased the inadequacy and
         inequitable levels of workers' compensation benefits.

Arguments in Opposition

    10. Employers believe that new mandates emanating from a national commission would once again open the door to a
        rigid, nationwide, “one size fits all” federal guidelines that are inflexible and administratively cumbersome.

    11. Although HR 635 would appear to propose only a "study" of state laws, H.R. 635 tasks the commission with
        providing, "recommendations for enhancements and improvements in benefit levels, medical care, and
        administration of State workers' compensation systems."

Supporting

No official organizations on file at this time.

Opposing

Alabama Self-Insured Workers’ Compensation Fund                   Montana Chamber of Commerce
American Bakers Association                                       National Association of Manufacturers
American Home Furnishings Alliance                                National Association of Mutual Insurance Companies
American Insurance Association                                    National Council of Self Insurers
Associated Builders and Contractors                               National Federation of Independent Business
California Chamber of Commerce                                    National Retail Federation
California Self-Insurers Association                              New Jersey Chamber of Commerce
Colorado Association of Commerce & Industry                       Ohio Chamber of Commerce
Georgia Agribusiness Council                                      Pennsylvania Chamber of Business and Industry
Georgia Automobile Dealers Association                            Property Casualty Insurers Association of America
Greater Memphis Chamber                                           Self-Insurance Institute of America
Greater Spokane Incorporated                                      Software Information Industry Association
Independent Electrical Contractors, Inc.                          Tennessee Chamber of Commerce
Indiana Chamber of Commerce                                       Texas Alliance of Nonsubscribers
Indiana Manufacturers Association                                 The State Chamber of Oklahoma
International Franchise Association                               U.S. Chamber of Commerce
International Warehouse Logistics Association                     UWC
Louisiana Association of Self Insured Employers                   Virginia Chamber of Commerce
Michigan Chamber of Commerce                                      West Virginia Chamber of Commerce
Missouri Merchants & Manufacturers Association                    Workers’ Compensation Action Network
Missouri Self Insurers Association

H.R. 2564 (Grayson, Alan [D – FL]) Paid Vacation Act of 2009

Recommended Position

         Oppose

Summary

    1.   The Paid Vacation Act will require at least one week of paid vacation for employees at companies with at least 100
         employees.

Background



                                                                                                                              8
    2.   H.R. 2564 amends the Fair Labor Standards Act to require that employers provide a minimum of one week of paid
         annual leave to employees during each 12-month period.

    3.   Full- and part-time (25 hours per week/1250 hours per year) workers will be eligible after one year of service.

    4.   Beginning on the date that is 3 years after the date of enactment of the Paid Vacation Act of 2009 the following
         would also be allowed:

              a.   Eligible employee of an employer that employs 50 or more employees at any time during a calendar year
                   shall be entitled to a total of 1 workweek of paid vacation during each 12-month period.

              b.   Eligible employees of an employer that employs 100 or more employees shall be entitled to a total of 2
                   workweeks of paid vacation during each 12-month period, beginning on that eligible employee's first
                   anniversary of employment.

    5.   H.R. 2564 requires an eligible employee shall provide the employer with not less than 30 days' notice, before the
         date the paid vacation is to begin and identify the date such paid vacation shall begin.

    6.   H.R. 2564 defines the following:

              a.   “Eligible employee” means an employee who has been employed for at least 12 months by the employer
                   with respect to whom leave is requested and has accumulated at least 1,250 hours of service with such
                   employer during such 12-month period; and

              b.   The term 1 workweek of `paid vacation' means vacation time, in addition to and apart from sick leave and
                   any leave otherwise required by law, to be taken in a continuous series or block of work days comprising 7
                   calendar days that cannot be rolled over, but must be used within the 12-month period.

    7.   H.R. 2564 was introduced on May 21, 2009 and has been referred to House Committee on Education and Labor.

Arguments in Support

    8.   H.R. 2564 will dramatically improve productivity at American companies and provide a much-needed spark for the
         U.S. travel and tourism industries.

    9.   According to the author’s office paid vacations are enacted in other countries such as the China, France, Japan, and
         Germany. The U.S. is the only industrialized nation without a minimum annual leave statute.

Arguments in Opposition

    10. Many companies already offer some type of vacation pay and/or time off. A government mandate that is a “one size
        fits all” approach will only hurt business further during the current economic crisis.

Supporting

No official organizations on file at this time.

Opposing

No official organizations on file at this time




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