Legislative Agenda for 2010

Blair Wygle

The 2010 FCMA State Legislative agenda focuses on improving the competitive environment for manufacturers in the state of Florida. Rising energy costs and various governmental roadblocks are making it increasingly difficult for Florida manufacturers to compete not only with out-of-state competitors, but also out-of-state facilities within their own companies. Passage of any of the following legislative items will help to tip the scales in the favor of Florida manufacturers as we navigate through this difficult economy.

  • Maintain current sales tax exemptions: Over the last sixty years, the manufacturing community has secured fifteen very specific sales tax exemptions. These exemptions range from R&D research to large value manufacturing equipment. We have made significant strides, but need to drive this agenda home. I like to use a stairwell example. Basically we are on the fifteenth stair of an eighteen step staircase. Our first goal for 2010 is maintaining the exemptions that have gotten us to the 15th stair. FCMA member LyondellBasell is a great example of the impact of these exemptions as they currently save about $500,000 through their use. Huge!!!
  • Ultimate Goal -Total elimination of taxes on manufacturing inputs: The existing sales tax exemptions have put us on a path toward this goal. We need to continue toward elimination of all input taxes. Total removal of sales taxes on manufacturing inputs would save LyondellBasell an additional $200,000 per year. In addition, a smaller manufacturer such as our company, Great Atlantic Outfitters would save about $10,000 per year which for us is significant!
  • New for 2010 – Proposed sales tax holiday for machinery and equipment purchases: We are recommending the establishment of a $10 million sales tax rebate fund available to manufacturers for purchase of new or replacement machinery and equipment on a first come, first served basis for August and September.
  • Another new item for 2010 – Elimination of the Tangible Personal Property Tax: This is a tax on a company’s existing property and is levied by the county. This is a huge hit to manufacturers as we are equipment heavy, and we are taxed on the same property again and again year after year. Manufacturers currently pay about $40 million in intangible taxes per year or 25% of the total bill. We are recommending the elimination of this tax for manufacturers. In order to hold county government harmless, we further recommend that the state reimburse the counties for their loss of revenue as the state will be the beneficiary of the trickle down effects of this change. Here are some real life numbers… Georgia Pacific pays $4.6 million to Putnam County and Gerdau Ameristeel (the city of Jacksonville’s largest energy user) pays $1.5 million.
  • Port Deepening: FCMA is strongly in favor of securing monies for port deepening through local, state and federal funding sources. We feel that the port is the economic engine for our future growth and the accommodation of Post-Panamax ships is an integral piece of this puzzle.
    Streamlining the permitting process: This is an easy one. Florida is not a business friendly state when it comes to permitting. It is complex, it’s duplicative and it’s unpredictable. The permitting process (primarily with regards to the environment) is a significant barrier to the expansion of manufacturing in Florida. We will lobby to simplify this process.
  • Incentivizing capital investment: Florida’s current incentive policy rewards job creation with virtually no consideration given to a company’s capital investment. It is our belief that incentivizing capital investment leads to a stronger tax base and to the creation of higher skilled jobs with higher wages.
  • Defeat of Amendment 4: This is an anti-growth initiative that will dramatically cripple Florida’s economy as the state struggles to recover from the most dramatic economic downturn since the 1930’s. We ask that you strongly urge your families, friends and co-workers to vote no on this amendment in November. Click here for more details.

The FCMA Government Relations committee will work diligently towards the successful completion of our goals, but we need the help of our membership. Due to the tough economy, CCE funds used for candidate endorsements are extremely low. Please consider making a $100 contribution to this effort. We also encourage you to join us in Tallahassee March 25th and 26th as we lobby our legislators. E-mail for further information.

Welcome to…

BROOKSLACAYO
Contact: Sandra Brooks, President
Phone: (904) 636-5085
7825 Baymeadows Way, Ste 101-A, Jacksonville, FL 32256

A full-service graphic design, advertising, branding, and public relations agency that specializes in intelligent strategy; on-target design; and clear, concise, and compelling messaging.

Sponsor: FCMA

Expense Reduction Analysts
Contact: Mary Crawford, Director
Phone: (904) 254-3110
11250-15 Old St Augustine Road, Jacksonville, FL 32257

An international consultancy that specializes in cost reduction for businesses and non-profits.

Sponsor: Erica Courtney, Courtney Consulting

Interchanges.com
Contact: Nelson Bruton, Vice President
Phone: (904) 807-9211
8833 Perimeter Park Blvd., Suite 804, Jacksonville, FL 32216

An internet marketing company.

Sponsor: FCMA

RailAmerica, Inc.
Contact: John Giles, President & CEO
Phone: (904) 538-6101
7411 Fullerton St., Suite 300, Jacksonville, FL 32256

Owns leading short line and regional railroads providing rail service to customers across North America. It’s objective is to provide local rail freight customers with services that facilitate the prompt pick-up and delivery of goods.

Sponsor: Derrick Smith, CSX Transporation

Weather Engineers, Inc.
Contact: Jorge Santiago, Facility Specialist
Phone: (904) 534-1784
1000 Edison Avenue, Jacksonville, FL 32204

The leader in North Florida and South Georgia in providing products and services to condition the indoor environment for homes, commercial buildings, marine and industrial facilities.

Sponsor: Carlos Zanoelo, Gerdau Ameristeel

M.O.N.E.Y. (Members Only Networking Event for You)

Our first Members Only Networking Event for 2010 will be held at the Mudville Grille on Atlantic Blvd. It will be on March 18 from 5:00pm to 7:00pm, entry will cost $5 and all money collected will be put into a special drawing. You could WIN BIG! If you are interested in being a sponsor for the event, please contact Maria Corby.


Annual Golf Outing

Tee-Off For Tuition on Friday, April 30 at St. Johns Golf & Country Club in St. Augustine. Proceeds benefit FCMA’s UNF Engineering Scholarship Fund. Click here for more information about how you can get involved.


Manufacturers Safety Conference on April 13-14 in Tampa

The MAF Safety Conference is scheduled for April 13-14, 2010 at the Doubletree Hotel, Tampa Westshore Airport, in Tampa, FL. Registration is now open and the registration fee is $250. This includes two lunches, reception, breakfast and dinner, and materials. You may register online at www.mafmfg.com under Events.


Brazil - Jacksonville Alliance of Northeast Florida

If you have not given much thought about Brazil for business development purposes, here are some opportunities for you to begin: gain knowledge by participating on the Training and gain experience by participating on the Mission.
Please, see attached the flyers for both, training and mission.
For more information, visit BrazilJacksonville.com.

MARCH 29TH at Suddath

Our next General Meeting will be held on March 29th from 4:00 to 6:00PM at Suddath, located at 8743 Western Way in Jacksonville. Suddath specializes in worldwide corporate employee relocations, household moving, warehouse and logistics management and specialized transportation services. For a map to the location, click here.

LyondellBasell hosted the February 22 meeting. This Founding Member celebrates its 100th anniversary this year, and is the world’s largest producer of aroma and flavor chemicals from turpentine. Over 130 were in attendance and nearly half toured the facility. A special thank you to Heritage Capital Group for providing refreshments.

2009 Excellence in Manufacturing Awards

FCMA announced the winners of the 2009 “Excellence In Manufacturing” awards at a special luncheon at University of North Florida on February 25…

Manufacturer of the Year – Swisher International, Inc. for consolidation of its manufacturing facilities to its inner city location and major capital investments that have allowed it to maintain its high quality and productivity standards as the world’s largest cigar manufacturer.

Founders Service Award – Rex Corporation for continuing to maintain its high standards of excellence in its workforce, its commitment to its customers, its environmental concerns, and its community involvement.

Associate of the Year – Aerostar Environmental Services for building remarkable growth in the area of environmental consulting and expanding beyond its Jacksonville headquarters along the Atlantic and Gulf coasts.

Economic Impact Award – Gerdau Ameristeel for creating a strong partnership between the company and its employees and the willingness to introduce new concepts including cross training and performing non-traditional work is allowing the company to weather the economic downturn.

Environmental Protection Award – Paramount Performance Marketing for consistent investment in technology and its application of the newest educational programs to empower its employees to stay competitive

Workforce Education Award – Vistakon for continuing to make opportunities available for its workforce to enhance their skills and their education in a variety of way, such as company-wide incorporation of leading edge innovations like Lean.

Pictures of the winners: (click images to view larger)


Thank you to our event sponsors!

Customized Training Kicks off First Session

FCMA’s new Customized Training program began with supervisory training on Tuesday, February 23, at Atlantic Marine with 60 participants. This new program, developed exclusively for FCMA members, is modeled from the successful results of South Florida Manufacturers Association’s 30-year old program. For more information on how your company can get involved, contact Joanna Scarboro.

Pictures from Day 1 of the training:

Last chance to apply for 2010 Political Leadership Institute! Deadline to sign up for the only class this year is March 5. To learn more, visit jaxleader.org or email info@jaxrpli.org and request an application.

E-Verifying Workshop

For our February workshop, presenter Richard Ruth (pictured below left) of Ford & Harrison discussed all of the ins and outs of the new “E-Verify” web-based employment verification system administered by United States Citizenship & Immigration Services. Mandatory for certain employers and subcontractors holding federal contracts–and optional (yet potentially advantageous) for all others–employers must be aware of the procedures, requirements, limitations, purpose and advantages of the E-Verify system.

For more information on FCMA’s monthly workshops, contact Sherri Mitchell.

Special Interest Group

FCMA has formed a Maintenance and Reliability (M&R) Leaders SIG with manufacturing personnel tasked with the day-to-day operation of a maintenance or service group. Participants are provided a resource book and are invited to a working lunch (provided) where topics will range from contractor and vendor relationships to safety programs and special tools labeling and standardization. The group is being led by R. L. Harris, LLC and the next few monthly meetings will continue their focus on Preventive/Programmed Maintenance Plans. If you are interested in getting your M&R leaders involved, please contact Sherri Mitchell. Current SIG members include LyondellBasell, Swisher, Vac-Con, Anheuser-Busch, Zabatt, Miller Electric and Gerdau Ameristeel.
M&R SIG members: click here to get involved by joining FCMA’s M&R group page.

EHS Committee Meeting

Jason Taylor from the Northeast Florida Regional Council and Lt. John Scott from Jacksonville FRD HazMat Division talked about Florida’s New Chemical Inventory Filing System.

FREE LUNCH from the EHS Committee

Attention Associate Members of the EHS Committee! You will receive your lunch for free and your Manufacturing member guest’s lunch, when you bring an FCMA Manufacturer who has not previously attended an EHS Committee meeting or has not attended within the past year. In addition, your name will go into a drawing for a door prize for all Associates helping to increase manufacturing’s participation. For a schedule of EHS Committee Meetings, click here.

Professional Progress kicked off its 14th year with a reception at Deerwood Country Club. This year’s class welcomes the Army Corps of Engineers. To see class participants, visit FCMA’s EHS Committee webpage.

Constangy, Brooks & Smith, LLP… promoted Ray Poole to partner. Poole was an associate and is in the Jacksonville office.

Dixon Hughes PLLC… hired Robert J. Roth as business development executive for Florida, based in the Jacksonville office. Roth has 15 years’ experience.

EverBank… reported closing on the half-billion-dollar capital injection from acquiring Tygris Commercial Finance Group Inc. Click here for more information.

Golder Associates… donated more than one ton of food to Second Harvest Food Bank. Golder held a first annual “SOUPer Bowl Food Drive” and more than doubled their goal by collecting 2,428 lbs of food.

Ring Power Corporation… has been appointed as an authorized dealer of CLARK Material Handling Equipment in the Jacksonville, Orlando and Tampa markets. Also, Robert Burkhead has been promoted General Manager for the Lift Trucks division.

  • Who’s in charge? I am - “As the chief executive officer of the Jacksonville Port Authority, I have made it my daily priority for the last several years to rally every bit of political, business and community power around the need to deepen the harbor to post-Panamax depth by 2014.”


IndustryWeek’s 2010 Salary Survey: Down But Not Out

“The U.S. economy took a bite out of manufacturing management’s earnings, reveals IndustryWeek’s 2010 Salary Survey. Still, cautious optimism exists for salary increases this year.”

“22% of respondents to the IndustryWeek 2010 Salary Survey said that their base salaries dropped over the past year. And nearly half of respondents, or 49%, reported having their base salaries frozen over the past year. These numbers are particularly ugly when compared with results of the previous year’s survey, when just 4% of respondents reported that their salaries had decreased, and 27% said their salaries had been frozen.”

“But despite a landscape of poor business conditions, a salary that for many did not advance, a continuing erosion of manufacturing jobs in the United States and overbearing government regulations, the survey also showed that most manufacturing managers were satisfied in their jobs. 25% of respondents reported they were “very satisfied” with their current job, with another 45% saying they were “satisfied” with their job. These percentages are down from the previous year’s survey, but not by much given the significant change in the compensation landscape between those two years. Additionally, when asked, “How satisfied are you with manufacturing as a career path?” Eighty percent were either “satisfied” or “very satisfied,” a percentage that remained even with the previous year’s survey.”

Click here to read more.

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