Declarations
Seeking Revenue
“Given the difficult economy, it is understandable why the city of Sacramento is looking for new revenue sources. However, putting this burden on out-of-town drivers is unfair.”
—Sam Sorich, president of the Association of California Insurance Companies, voicing opposition to Sacramento’s “fire recovery charge, which imposes a fee on out-of-town drivers who get into auto accidents. The fee was recently adopted by the Sacramento City Council to fund the fire department’s response services. It will be imposed on non-resident drivers if they are at fault in the accident. Business owners with property in the city are exempt from the tax. Fees will be billed through drivers’ insurance companies.
Obama Promises
“The president has recognized that, in many cases, needless government regulation is hurting businesses more than it is helping consumers. As the president calls on American businesses to ‘win the future,’ he must allow them to compete. Eliminating needless regulations and reducing the federal burden on businesses must be a priority.”
—Jimi Grande of the National Association of Mutual Insurance Companies said his group supports the president’s call to correct a “flaw in the legislation” that requires businesses to file a 1099 form with the IRS for annual business expenditures to a single vendor of over $600. Insurers hope the administration will pursue medical malpractice reform and regulatory review, among other issues.
Oil Spill Liability
“You are recommending a whole new level of bureaucracy on top of an obviously already failed bureaucracy with the obvious aim of indefinitely delaying of the production of our nation’s energy reserves.”
—Representative Tom McClintock of California raising concerns that new drilling regulations could hurt domestic oil and natural gas production. Several Republican lawmakers have blasted the White House spill commission because they said its report did not specifically identify the cause of the BP oil spill. They also accused the panel of being ideologically opposed to offshore drilling. Democrats are pushing for more government oversight of offshore drilling, and to establish unlimited legal liability for oil spills.(Reuters)