View videos of the speakers.

Governor Jerry Brown talked about the California budget, his plans for opening a California trade office in China and the tax measure he’s seeking to qualify for the November ballot. Former Secretary of State Condoleezza Rice focused on the global and political landscape and education and answered a question from Visa CEO Joseph Saunders about whether she would consider being Mitt Romney’s running mate. Anthony Earley, in his first major address since becoming Chairman, CEO and President of Council member PG&E Corp., spoke about the imperative for California to invest in core energy infrastructure – a subject he acknowledged does “not typically fire the public imagination,” but which he stressed “is one of the golden threads that keep the fabric of our economy strong.” DuPont CEO Ellen Kullman talked about her company’s focus on the long-term megatrends of feeding the world, reducing dependence on fossil fuels, and protecting people and the environment. Kaiser Permanente CEO George Halvorson, who is leading the Council’s push to increase healthcare affordability and improve quality, outlined the “four elements of care” that he sees transforming the delivery of healthcare in the future. And LinkedIn CEO Jeff Weiner discussed the untapped power of social networking  to connect unemployed Americans with unfilled jobs. Full remarks for all Outlook Conference speakers will be posted to the Council’s YouTube channel over the coming days.

Gathered in the Horseshoe at the Capitol, Council members shared their issues directly with Governor Brown and Legislative leaders. Senate President Pro Tem Darrell Steinberg, introduced by Andrew Giacomini, Co-Chair of the Council’s Government Relations Committee and Managing Partner of Hanson Bridgett, led off the afternoon with discussions about high speed rail and the California Environmental Quality Act, both among the Council’s top priorities this year. Michael Covarrubias, Chair of the Council’s CEQA Committee and Chairman and CEO of TMG Partners, talked about the importance of CEQA reform in improving California’s business climate. Michael Rossi, the Governor’s senior jobs advisor and a member of the California High Speed Rail Authority, also focused on high speed rail (see related item below) and foreign trade. The Council has been working closely with Mr. Rossi in recent months to provide support for the Governor’s plans to open a California trade office in China, where the Council operates an office in Shanghai.

The Governor joined the discussion on high speed rail, whose fate will be decided by the state Legislature in the coming weeks, and expressed his enthusiasm for growing California’s foreign trade. Gov. Brown also spoke about his 12-point pension reform plan and discussed the tax measure he is working to get on the November ballot. After a lively discussion with the Governor, Council Chair Janet Lamkin introduced Nancy McFadden, Executive Secretary to the Governor, who outlined the Governor’s priorities for the coming year. Again, two of the issues — CEQA reform and pension reform – are aligned with the Council’s priorities. Tom Torlakson, Superintendent of Public Instruction, talked about his optimism for improving education quality in California. Anne Stausboll, CEO of CalPERS, was less optimistic in her briefing on the fiscal challenges currently facing the nation’s largest public pension fund. Jim Bourgart from Council member Parson Brinckerhoff introduced Assembly Republican Leader Connie Conway, who commented generally on the state’s often-maligned business climate and its negative impact on economic growth. Caroline Rodman of Council member T.Y. Lin introduced Sen. Mark Leno, chair of the powerful Senate Budget and Fiscal Review Committee, who shared his ideas on addressing the state’s fiscal problems.

Council delegates closed out the day with a reception and dinner at Ella Dining Room & Bar with many members of the Bay Area Legislative Caucus. The group was also treated to a surprise dinner guest when Governor Brown stopped by, taking time to sit and talk with members at almost every table. The Council extends its heartiest thanks to sponsors T.Y. Lin, Parsons Brinckerhoff and Blue Shield of California for making this important visit happen. For information on how to get involved in the Bay Area Council Government Relations Committee, please contact Matt Regan at mregan@bayareacouncil.org or at 415-946-8710.

View photos from the trip.

Measure B, San Jose Pension Reform (June 2012)

Summary: With the unsustainable cost of public pensions imperiling fiscal stability, Mayor Chuck Reed has crafted a bold measure that treats existing employees fairly and establishes prudent reforms to San Jose’s retirement system.  The outcome of this measure could have statewide implications. Making public retirement systems more fiscally sustainable is among the Council’s lead priorities.

Position:  Support

Proposition 28: Limits on Legislators’ Terms in Office (June 2012)

Summary: Reduces the total amount of time a person may serve in the state legislature to 12 years, but increases number of terms a person could serve in either the Assembly or Senate. This measure would allow legislators to develop the greater policy expertise to lead California.  This measure will enable legislators to better focus on developing sound public policies, instead of having to run for their next office.

Position: Support

Safe, Clean and Reliable Drinking Water Act (November 2012)

Qualified for the November ballot

Summary: This proposed measure would allow the state to borrow $11.1 billion to overhaul the state’s water system. The Bay Area Council participated significantly in the development of the compromise that led to this package and to it being placed on the ballot.

Position:  Support

Tax for Education and Early Childhood Programs (November 2012)

Circulating for November ballot qualification

Summary:  The proposed initiative is well-intentioned but does not include any reforms to address California’s structural budget problems and improve our low-performing education system. Major studies have consistently indicated that reform must accompany new investment. The measure would introduce an across-the-board 1 percent increase in state income tax rates for most Californians, expiring after 12 years and generating an estimated $10 billion earmarked for public school districts and early childhood development programs.

Position: Oppose

The Government Performance and Accountability Act (November 2012)

Circulating for November ballot qualification

Summary:  This proposal calls for sensible budgeting, accountability and governance reforms, by establishing two-year state budget cycle; prohibiting the Legislature from creating expenditures of more than $25 million unless offsetting revenues or spending cuts are identified; permitting the Governor to cut budget unilaterally during declared fiscal emergencies if Legislature fails to act; requiring performance reviews of all state programs; and, requiring performance goals in state and local budgets, among other features.

Position: Support

“The Health Law Guide for Business is a practical and fact driven website that houses the most current information regarding the new health care law.  It was created by California businesses for California businesses, it will be an important resource for those interested in the law’s business-specific provisions like colleagues, employees and the media,” said Dr. Micah Weinberg, senior policy advisor to the Bay Area Council. “Corporate leaders can use the Health Law Guide for Business to learn about the provisions in the law that will have the greatest impact on their bottom lines.”

The website, funded by The California Endowment, was created by a partnership that includes the Bay Area Council, California Hispanic Chambers of Commerce, California Small Business Development Centers,  Pacific Business Group on Health, Silicon Valley Leadership Group, Small Business Majority, Small Business California, and The Los Angeles Area Chamber of Commerce to address the need of California’s business community to stay informed of the implementation of and to help address misinformation about the law.

With a law that includes as many levels of benefits, complexities and details as the health care law, it’s understandable that many California employers remain confused about what the law means to them and how it will impact their business. A report by Pacific Community Ventures, Health Care and Small Business: Understanding Health Care Decision Making in California, found that out of the 804 California small business employers surveyed, 43 percent said they are more likely to offer health insurance after learning of key benefits – like tax credits – made available by the health care law.

One of the most helpful features of the website is a “tax credit calculator” helps employer’s estimate savings available under the law. With videos, interactive surveys and an easy to use format, the online tool includes numerous elements to serve a variety of preferences for gathering and retaining information.

The Health Law Guide for Business website reflects the most significant updates and developments in the process to implement the health care law in California. In 2010, California became the first state in the nation to enact legislation creating an Affordable Insurance Exchange as required under the federal health care law. Starting in 2014, the California Health Benefit Exchange will allow individuals and small businesses to compare health plans, get answers to questions, find out if they are eligible for tax credits for private insurance or health programs, and enroll in a health plan that meets their needs. The Exchange is separated into two separate programs, the Individual Exchange and the Small Business Health Options Program (SHOP).  The SHOP will allow small businesses to band together to create a large purchasing pool so that small business owners will have access to the same lower rates that large employers have enjoyed for decades.

“Small businesses will discover that the most value from using the website will be a greater understanding of the changes in our health care system that have already gone into effect and allow them to plan for those that lie ahead,” said Scott Hauge, president of Small Business California. “Until 2014 when the California Health Benefit Exchange is fully functioning, the Health Law Guide for Business will allow them to access key updates, milestones, information on key benefits and news.”