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Legislative Watch 2019 Wrap Up

5/14/2019

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In This Issue:

  • 2019 Session Wrap Up
  • Idaho and Local Issues
  • Federal Issues
  • Overtime Rule and FLSA Updates

2019 Session Wrap Up

The 2019 Legislative session both at the federal and state level had the Idaho Nonprofit Center watching and engaging more than in the past few years. Below is a recap of what we tracked and reported and where things stand. 

Before we dive into the issues, we wanted to summarize our work and our responsibility as it relates to advocacy on behalf of the nonprofit sector.  

Our policy committee and board of directors intentionally chose not to take official positions on any legislation this year, though we did engage in the educate portion of our mission as it relates to advocacy.  

Idaho Nonprofit Center CEO, Amy Little, provided testimony at the Senate State Affairs committee regarding SB 1114. Little also sat through several hours of testimony with a decent percentage of which was given by fellow nonprofit organizations regarding SB 1159 and HB 296.

Through our Legislative Watch newsletters, we often provided our own analysis and detailed concerns, but as always we encourage everyone to have their voice heard, regardless of their position on any issue.

The one thing that can make a difference is using your voice on behalf of your organization’s mission. Even if the outcome isn’t what you hoped for, at least you made an effort. All too often we choose to wait and see what happens instead of taking proactive measures.  

Our mission is to educate, advocate, and collaborate in support of stronger nonprofits. We look forward to more fully realizing the opportunity to engage in all three aspects to support our policy and advocacy work in 2020 and beyond.

If you have an interest in joining our policy committee, please let us know. We welcome diverse thoughts and ideologies into the committee as well as geographic representation. It is important to examine issues from all angles and to effectively do so we want to hear from a variety of perspectives. For more information on the policy committee, please contact Amy Little, alittle@idahononprofits.org. 

As always, we will continue to keep you informed on issues that impact the nonprofit sector and we thank you for your support.


Idaho and Local Issues 

SB 1114/1183 - Campaign Finance/Electioneering Communications
  • The original version of the bill, SB 1114 Campaign Finance was held in committee. An updated version was presented to the Senate State Affairs committee in March but was again held in committee. We reached out to the Senate State Affairs Committee Chair Senator Lodge who is also the bill’s sponsor and offered to serve as a resource for the committee over the summer if they revisit and revise the legislation. Senator Lodge confirmed that we would be invited.

SB 1159/ HB 296 - Initiatives & Referendums
  • Both versions of this bill made it through the House and the Senate, but ultimately Governor Little vetoed both bills because he believed that the bills would end up in court and likely a judge would determine Idaho’s initiative process. He also noted in his public statement the outpouring of public opinion, in greater numbers in opposition. The Governor noted that the goals and vision for these bills were well thought out. More time will likely be spent over the summer and the fall in drafting new legislation to accomplish these goals. We will keep you informed on any new developments.

Federal Issues 

UBIT (Unrelated Business Income Tax) - specifically transportation benefits 
  • We don’t have an update on the status of this issue, however, the Idaho Nonprofit Center did sign onto a letter in support of repealing the UBIT transportation tax. For more information on this issue or how you can be involved, please visit the National Council for Nonprofits website.
  • Click here to link to that resource page.
​
FLSA/Overtime Rule Proposal
  • Earlier this year we alerted you to the revised guidance from the Department of Labor. We will keep you informed of developments. Read the information below for ways you can get involved and share your opinion.
  • In the meantime, we have a short five question survey that we would appreciate you responding to.
  • Click here to take the survey, it should take about one minute.

Overtime Rule and FLSA Updates

​Here are some ways you can get involved with this rule and other important regulations:  
​ 
  • Comment on DOL’s Overtime Rule by May 21, 2019

  • Read the proposed rule or DOL’s FAQs about this proposed rule

  • Provide feedback to the SBA Office of Advocacy at Janis.Reyes@sba.gov 
    • Note that a comment here will not be considered a comment to DOL. Please see above to respond to the DOL.
    • Feedback examples: 
      • Will small businesses still have significant economic impacts from the proposed $35,308 salary threshold or is this threshold appropriate?
      • What types of costs will your small business incur?  We are really looking for data, such as surveys or anecdotal data about the costs your business will incur. 
      • What do nonprofits think about other provisions of the proposed rule?
      • What are some options that you think the agency should adopt in the final rule? 
 
  • Comment on DOL’s other proposed rules on the Fair Labor Standards Act (FLSA) by June 10, 2019  
    • Revises and clarifies the responsibilities of employers and joint employers to employees in joint employer arrangements. 
    • The Department proposes a clear, four-factor test—based on well-established precedent—that would consider whether the potential joint employer actually exercises the power to:
      • Hires or fires the employee
      • Supervises and controls the employee's work schedule or conditions of employment
      • Determines the employee's rate and method of payment
      • Maintains the employee's employment records
 
  • FLSA/Overtime Role Background Information
    • In March 2019, DOL proposed a rule that which increases the minimum salary for the “white collar” overtime exemption from $23,660 annually to $35,308 annually. This means that workers making under $35,308 annually would be eligible for overtime pay.
    • In 2016, DOL finalized a rule that changed this minimum salary to $47,476.  This rule was enjoined by a federal court and never became effective. Small businesses told Advocacy that the minimum salary level of $47,476 set in the 2016 was too high, and disproportionately affected certain low wage regions and industries.
    • This proposed rule also allows employers to use nondiscretionary bonuses and incentive payments (including commissions) that are paid annually or more frequently to satisfy up to 10 percent of the standard’s salary level.
    • DOL will propose updates to the salary thresholds every four years, with a notice-and-comment rulemaking period. 

Past Legislative Watches

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