Small Business Voice E-newsletter

May 2010

Small businesses represent more than 80 percent of the Minnesota Chamber of Commerce membership. This e-newsletter is distributed periodically to address issues that have the greatest impact on businesses with 100 and fewer employees. If you have any questions, please contact Jennifer Byers, vice president, at (651) 292-4673, (800) 821-2230 or jbyers@mnchamber.com,

LEGISLATURE IN FINAL DAYS
The Legislature must adjourn May 17, and lawmakers are expected to wrap up their business May 16 as no bills can be passed on the final day of the legislative biennium. Action on two measures is important for small businesses – one for its defeat and one for its passage. Governor Pawlenty vetoed a proposed fourth-tier income tax bracket, and he signed into law a new angel investment tax credit.

Income tax: We opposed. The DFL leadership this week proposed balancing the biennial budget by ratifying many of the unallotments previously announced by Governor Pawlenty – and also by raising $445 million in higher taxes. Most of the increased revenue would have been generated by creating a fourth-tier income tax bracket for the highest wage-earners. The rate would have been 9.1 percent starting at $200,000 income for married joint filers and $113,000 for single individuals. The bracket would go away only if the 2013 February Forecast shows a general fund surplus of more than $500 million.

The House and Senate passed the bill, and the Governor immediately vetoed it. Fifty-seven percent of the filers in the proposed bracket have small-business income, so this is a small business issue. Research shows that high personal income-tax rates are a clear deterrent to investment and hiring by the state’s entrepreneurs. In addition, some high-income individuals have left states that have adopted tax brackets targeted at them.

Angel tax credit: We supported. Minnesota’s new angel investment tax credit is intended to stimulate private investment in emerging businesses and encourage job creation. It provides tax incentives to investors or funds that put money into start-up businesses that are focused on high technology or new proprietary technology. Click here for a fact sheet from the Department of Employment and Economic Development. For further information, contact Tom Hesse, Minnesota Chamber vice president of government affairs, at (651) 292-4678 or thesse@mnchamber.com.

You also have two opportunities to hear firsthand from Minnesota Chamber staff as they evaluate how business fared in the 2010 session and offer an early preview of 2011:

Insiders’ Issue Meeting and Reception: Legislative Session Wrap-up
May 19, 3:30-5:30 p.m.
The Saint Paul Hotel
350 Market Street, St. Paul.  

Cost: members $35, nonmembers $55.

Webinar: Legislative Recap
May 20, noon-1 p.m.

Cost: members free, nonmembers $89.

Register online at www.mnchamber.com. For questions, contact Lisa Engdahl at (651) 292-4699, (800) 821-2230 or lengdahl@mnchamber.com.

PROMOTE SAFETY, WELLNESS AT YOUR WORKPLACE
The Minnesota Chamber, through its affiliate Business Services, has developed Worksite Safety and Wellness initiatives to assist our members in these two critical areas. Our Safety Management Committee has established peer-to-peer mentoring and safety review programs. We also have kicked off a webinar series on “Building A Total Safety Culture” to assist our members during the front-end of hiring and training. 

On the worksite wellness front, we have developed a web page on the Chamber’s web site which includes a number of resources to assist employers in the development and/or enhancement of your worksite wellness programs. In addition, on May 11, a wellness webinar provided employers the legalities and steps to implement a worksite wellness program at their place of business. For more information on either of these programs, go to: www.mnchamber.com and click on Insurance/HR Products tab at the top of the page, or contact Mary Bethke at mbethke@mnchamber.com.  

TAKE ADVANTAGE OF MEMBER MARKETPLACE
Member Marketplace is an opportunity for Minnesota Chamber members to market special discounts on products and services directly to other chamber members and their employees. This provides our small business members a great opportunity to promote their product or service, whether it is business to business or business to consumer. Click here to see a current listing. To add your Member Marketplace discount, contact Kim Anderson at (651) 292-4676, (800) 821-2230 or kanderson@mnchamber.com.

KEEP ABREAST OF FEDERAL HEALTH CARE REFORM
Federal health care reform is now law, but questions remain and many decisions are still to be made as the complex law is implemented. Many of the provisions will require additional clarification before the full extent of the legislation can be realized. Click here for a list of resources to assist you in fully understanding this legislation. In addition, this site will regularly provide updates and notify employers when specific actions are required as we move forward.

BUSINESSCONNECTION: AN ANSWER FOR YOUR QUESTIONS
Business owners face a variety of challenges in their everyday operations. How do I develop a business plan? What laws govern hiring and firing employees? What’s the procedure for securing an environmental permit?

BusinessConnection is your answer. This service, free to all Minnesota businesses, is intended to be a single-entry point to help businesses connect with private and public resources to solve everyday business problems, particularly those related to local and state government. This project of Grow Minnesota! was developed jointly and is co-sponsored with the Minnesota Department of Employment and Economic Development. BusinessConnection is available at www.mnbizconnect.com or by calling toll-free (888) MINN-BIZ (646-6249).

APPLY FOR GRANTS IN ENERGY EFFICIENCY, RENEWABLE ENERGY
The Minnesota State Energy Sector Partnership is accepting proposals from businesses and organizations in Minnesota that present innovative projects for Minnesota to “skill up while greening up.”  Any business or organization based in Minnesota is eligible to apply for funds to train Minnesotans in the occupational skills of energy efficiency and renewable energy industries. 

Requests may range from $10,000 to $100,000. The partnership will be distributing up to $1.1 million.  Additional funds will be awarded by a separate request for proposals in 2011 and 2012. The partnership is an initiative of the Governor’s Workforce Development Council. To download a copy of the RFP and supporting documentation, or for more information, visit www.gwdc.org.

EVENTS
GROW MINNESOTA! ECONOMIC RECOVERY MEETING:
Is Everyone Working? Why not?
May 20, 4:00- 5:30 p.m.
Summit Brewing Co.
910 Montreal Circle, St. Paul

Join our entrepreneurial panelists as they answer our questions on economic recovery. What has it meant in Minnesota? How are we performing relative to the regional, national and world economies? Has the recession actually ended for your business and if so, what are the indicators? A tour of Summit Brewing Co. will be offered as well as light appetizers from American Burger Bar.

Panelists:
James Lande, chief executive officer, Quadion Corporation
David Murphy, president and chief operating officer, Red Wing Shoe Company, Inc.
Melanie Nelson, founder and president, Learning ZoneXpress
Mark Stutrud, president, Summit Brewing Co.

Moderator:
Randy Reinke, president & CEO, Custom Products of Litchfield 

Cost is $30. Register online at www.mnchamber.com. For questions, contact Lisa Engdahl at (651) 292-4699, (800) 821-2230 or lengdahl@mnchamber.com.