2011 December Archive

Archive for December, 2011

Florida Legislature Abandons Golf Courses in State Parks

Posted on: December 29th, 2011 by Ryan Ball No Comments

Just weeks after introducing legislation to allow Jack Nicklaus to design his signature golf courses in state parks across the state of Florida, State Sen. John Thrasher and State Rep. Patrick Rooney Jr. have withdrawn their companion bills after receiving widespread negative feedback to the idea from constituents across the state.

Recent years have been tough on the golf industry with overall revenues dropping nearly 5% from 2008-09. Thrasher and Rooney framed the issue as one of economic development and increased tourism opportunities by creating a Jack Nicklaus golf trail across the state of Florida. They had hoped to push the legislation through in these tough economic times, but Floridians had other ideas, forcing the two men to abandon their idea completely.

More information on the Florida legislative battle can be found here.

Restaurant Depreciation, Tax Extenders Package Not Included in Year-End Spending Agreement

Posted on: December 29th, 2011 by Ryan Ball No Comments

The House and Senate finally came to an agreement late last week to extend the Social Security payroll tax cut, unemployment insurance benefits and avoid a 27.4% reimbursement cut to to physicians serving Medicare patients, but an extension of the 15-year restaurant depreciation schedule for new improvements/construction was not included in the last minute deal.

However, VGM Club Government Relations still see’s hope for the legislation. The restaurant depreciation extension is part of a larger tax extenders package that includes many popular tax provisions and leaders of both parties are discussing taking up the tax extenders package early next year. The restaurant community must continue to contact our members of congress to ensure they understand the importance of extending the 15-year restaurant improvement/construction depreciation schedule.

VGM Club President DJay Ellis recently contacted Senator Charles Grassley (R-IA), who is the ranking member on the Senate Finance Committee. DJay and Club Government Relations were able to get Senator Grassley to support the 15-year restaurant depreciation schedule extension, but in his capacity as ranking member on Senate Finance, he would only support the extension if it were part of the larger tax extenders package that has yet to be taken up by committee Democrats. Read DJay’s letter here

In order to show broad support for the 15-year restaurant depreciation schedule, our industry must continue to push for additional cosponsors of S. 687 and HR 1265. The more support we can gain for these individual pieces of legislation, the more momentum we have to push the full tax extenders bill through both houses of congress.

Learn more about the 15-year restaurant depreciation schedule here.

Club Government Relations will continue to monitor the status of the tax extenders package and provide Club members with needed updates. Contact us for help communicating with your elected officials on the extension of the 15-year restaurant construction/improvement depreciation schedule.

House Republicans Continue Hold Out on Key Expiring Provisions

Posted on: December 22nd, 2011 by Ryan Ball No Comments

The House has rejected the bipartisan agreement reached in the Senate over the weekend that would have extended for two months the Social Security payroll tax cut and unemployment insurance, while averting a 27% reimbursement cut to physicians beginning January 1st. The bipartisan agreement received 89 votes in the Senate earlier over the weekend. Both Republicans and Democrats have turned up the spin machine to talk about the failure of the other, meanwhile, the provisions listed above, that affect 95% of Americans, still weigh in the balance. The Senate has adjourned for the holidays, leaving the House to decide whether to pass the bipartisan Senate bill, or risk not extending these important provisions scheduled to expire on January 1st, 2012. Republican Senate Minority Leader Mitch McConnell on Wednesday asked the Republican led House of Representatives to pass the 2-month extension to ensure 160 million Americans do not receive a tax increase for the holidays. McConnell also said the 2-month extension is designed to give congress more time to negotiate a full year extension of these important policies, a key point of House Republicans, early next year. Read the key differences between the House and Senate bills here.

To allow for extra time and to avoid the potential collapse of the system, CMS announced earlier this week they would instruct claims administrators to hold off processing physician claims for the first 10 business days of January to allow more time to end the impasse, which would last through January 17th. Additionally, if no deal is reached by January 1st, taxes will be increased on 160 million Americans by about $1000 a year and nearly 700,000 Americans receiving unemployment insurance will no longer receive benefits until that provision is extended. Congressional Republicans want to fight, but are running out of time. More on the political fight

UPDATE: House Republicans appear to have relented and agreed to the 2 month extension of the important tax, unemployment and reimbursement provisions included in the bipartisan agreement passed by the Senate earlier this week. The House will likely pass a similar version of the bill that will set up a full conference committee to negotiate a full year extension early next year. MORE

House, Senate Reach Agreement Funding Government, Issues Remain

Posted on: December 16th, 2011 by Ryan Ball No Comments

Negotiators from the House and Senate reached an agreement just hours before the government was set to shut down to continue funding the federal government for the next fiscal year. The agreement includes $1.043 trillion in spending, but does not include changes to the sustainable growth rate, (aka ‘doc fix’) nor extensions to the Social Security payroll tax cut and unemployment insurance benefits. Negotiators were still working to reach agreement on these additional issues, the main focus of the negotiations is the length of the extensions and how to pay for them, not whether to work to extend them.

Congressional Republicans propose to cut nearly $38 billion from the Affordable Care Act, increase premiums for wealthy Medicare beneficiaries and change the formula by which unemployment benefits are calculated in exchange for a 2 year ‘doc fix’ and one year extensions of the other provisions. Democrats recently backed off their proposal to raise taxes on Americans making more than $1 million a year, but still advocate using more than $40 billion in projected savings from the early removal of troops from Iraq. With both sides eager to adjourn for their extended holiday break, the spending bill will be voted on and passed today to avert government shutdown at midnight tonight. An agreement funding the rest of these must-pass items could be reached today or over the weekend. A temporary 2 month extension of the payroll tax cut, unemployment benefits and the “doc fix” is being prepared in the event negotiators cannot reach a longterm agreement before adjournment. MORE

Holiday Pay for Employees, What is Required?

Posted on: December 14th, 2011 by Ryan Ball No Comments

VGM Club Government Relations would like to pass the following information along about what Club members may be required to do by law relating to holiday pay for their employees. Below is some great information on frequently asked questions by small business owners from clubpayroll.com:

Are employers required to provide employees time off for a holiday?
Although not generally required by federal or state law, many employers choose to grant employees time off for certain holidays or to close the business altogether on those days.

Companies with 15 or more employees are subject to federal religious discrimination laws and may need to allow employees time off for religious observance, unless such time off would be an undue hardship for the business. Employers should also consult their state’s nondiscrimination laws to learn if there are similar requirements for time off related to religious observances for employers of fewer than 15 employees.

Do employers have to pay their employees if the business is closed for a holiday?
Federal law and most state laws do not require employers to pay employees if time off for holidays is granted. Whether or not employees are paid for holidays is generally a matter of company policy. Employers need to be careful when it comes to exempt employees, though–as a general rule, if an exempt employee performs any work during a workweek, he or she must be paid the full salary amount. MORE