Week Ten - March 27, 2009

This electronic publication, known as The Advocate, is brought to you each Friday by your Greater Nashua Chamber of Commerce, in partnership with our friends at Devine Millimet & Branch, and ActiveEdge. Please use this piece to review what has happened in Concord this past week, read about our Chamber's lobbying efforts relating to those activities, and preview what we are doing on behalf of our Chamber members in the coming week.

This Week’s Update

What a week! While the media was focusing on some of the social issues being discussed in the Legislature this week, there was plenty of movement behind the scenes relative to business-related issues.

SB 40

The saga of the New Hampshire version of the WARN Act that pierces the corporate veil lingers on. The Chamber met again this week with Labor Commissioner Copadis, an attorney from the Attorney General's office, the AFL-CIO, Senator DeVries of Manchester, and the State Senate General Counsel. The Chamber was clear that we cannot compromise on the issue of piercing the corporate veil. Personal liability for management, boards, and venture capitalists in business decisions is unacceptable. The Chamber has given compromise language to the Commissioner and Senator DeVries that we feel resolves our concerns over the personal liability issue while still giving the State some enforceability. Our compromise would place the Federal WARN Act into New Hampshire statute, and mirror the Federal Act including the use of the 100-employee threshold relative to which companies are affected by it. We also suggested language that gives the State a statutory lien against the assets of the business that fails to comply with the notice provisions of the WARN Act. We have one more meeting to try to work out a solution before the committee votes on a recommendation for the bill next week. The Chamber has rarely, if ever, had to oppose legislation with 18 senators as sponsors. Since it only takes 12 now (one seat is vacant) to pass legislation in the Senate, this has been a huge uphill battle!

Moving On

After three days of legislative debate in the House, what is now moving to the Senate that is of importance to the Chamber?

HB 580, which puts into statute patient confidentiality procedures over medical records, has good intentions, but interferes with patient care and conflicts with federal law.

The Federal HIPAA law balances patient privacy and access to information necessary for medical care of patients. The recently enacted federal stimulus bill contains important HIPAA revisions. We feel New Hampshire needs to wait until those new provisions are fully operational before enacting counterproductive laws in New Hampshire.

There are many potential negative impacts if the Senate passes HB 580.

  • NH health care providers could lose stimulus money.
  • The adoption of the electronic medical record, which both Governor Lynch and President Obama support, will by stymied.
  • The cost of health care will increase.
  • Medicaid and medication errors will increase.
  • NH health care providers have already expressed confusion about trying to comply with federal and state law. For many of our providers who care for patients in NH and Massachusetts, there will be added confusion and burdens.
  • NH law would say a provider can deny treatment to a patient who does not disclose protected health information. Federal law requires treatment. What does the health care provider do in such a predicament?

Both the health care and business communities are actively opposing HB 580.

HB 438, which allows courts to consider as evidence hospital and medical records, reports, and bills without requiring the parties to subpoena or present record custodians, health care providers, billing coordinators, etc., in person. The belief is the bill will lessen the expense and delay of litigation matters.

HB 572 makes a procedural change in the statute relating to medical malpractice screening panels. The bill will allow the facts to be presented to the screening panel by “offers of proof,” which are informal presentations not subject to the strict rules of procedure applicable to jury trials.

HB 613 establishes a committee to study the advantages and disadvantages of the acquisition of New Hampshire’s existing rail corridors by the State. The House believed this would be prudent in light of the fact that more rail transportation is in our future. Others believe the threat of “taking” these rail corridors by eminent domain would adversely impact the ongoing negotiations for commuter rail.

Stalled

HB 197, relative to apportionment of damages in civil actions, was LAID ON TABLE. The legislation started out as a bill (which was vetoed by the Governor a couple years ago) to allow damages to be apportioned in personal injury cases among those who are actually defendants in the cases. It was amended to deny employers, and their workers compensation insurers, the right to receive back wages and medical benefits paid to employees when the employees recover such damages in lawsuits against third parties arising out of the same lawsuit, if the employees can prove in those lawsuits that the employers were also negligent. This would have allowed double recovery by an employee injured in the workplace.

Killed

What were we able to kill in the House?

HB 104, repealing the law authorizing the State Supreme Court to establish a business and commercial dispute docket in the superior court. The bill was opposed by business and industry groups and by the judicial branch. It was premature to consider repealing a new procedure before it has even been tried.

HB 203, eliminating the requirement that the trial judge present unanimous findings of the screening panel to the jury in medical injury actions.

HB 628, establishing tangible personal property inventory and use taxes. This bill would have required everyone to inventory all personal property and pay to the state 4% of all property valued at greater than $9,999. The question to the House was “How much is that tuba worth?”

HB 496, establishing a limit on the amount of cost recovery for the emissions reduction equipment installed at the Merrimack Station. The legislature mandated in 2006 that PSNH install the scrubber without placing a limit on the costs. To place a cap on the cost to be recovered would send a very negative message to all businesses in New Hampshire and those thinking of locating in New Hampshire.

Is NH Experiencing a Climate Change?

In the span of three days this week, the New Hampshire House voted to repeal the death penalty, legalize medical marijuana, and establish same sex marriage in New Hampshire. It would be hard to deny that this constitutes a watershed moment for the New Hampshire legislature. Just a couple of years ago, the passage of even one of these bills would have been considered unlikely or even impossible. By passing these bills in a single week, the House has clearly announced that it intends to go down roads that are controversial at best and which a majority of New Hampshire citizens may not even agree with. It is hard to say what, if anything, this willingness to break sharply with the past might have for the future of New Hampshire businesses. But, whether one agrees or disagrees with what the House did this week, there surely is a new climate taking hold.

 

Acknowledgements

This weekly update is made possible by the generous support of Devine Millimet & Branch, one of the state’s top law firms and our Chamber’s contracted representative in Concord. If your business has a legislative or local issue that needs strategic consulting and attention, they are a valuable resource that can help navigate you through both local and state processes.

This weekly update is designed and maintained by our friends at ActiveEdge, and we thank them for their help in delivering this piece to your inbox every Friday!

If you have questions about this update, or comments to share with us about other issues in Concord, please email Chris Williams at cwilliams@nashuachamber.com. We want to be sure we're representing you to the best of our ability, so do not hesitate to reach out to us!

J. Christopher Williams
President & CEO
Greater Nashua Chamber of Commerce
151 Main St.
Nashua, NH 03060
Phone: 603.881.8333
Fax: 603.881.7323

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