September 2005

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What's Up at CSAE:

The 2005-2006 CSAE board of directors began a new term in June. They've hit the ground running. See who is serving your professionals association. Meet the board...

Association Trends: Public Policy Issues

The association community is monitoring several issues of interest this fall including:
 
• Nonprofit Governance Reform
• Postal Reform
• Association Health Plans (AHPs) 
• TRIA Reform

Learn more about these public policy issues...

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Upcoming Events:

• October 7, 2005--Luncheon "Hotel Contracts: Norms and Taboos" Register
• November 3, 2005--Luncheon "On Being Influential" Register
• December 2, 2005--Luncheon Holiday Party Register

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What's Up:

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Association Trends: Public Policy Issues

Nonprofit Governance Reform: Senate Finance Chairman Chuck Grassley (R-IA) has promised a package of legislative reforms to strengthen the governance of America's 1.3 million charities and foundations will be introduced this fall, possibly as early as September.
 
The Panel on the Nonprofit Sector, convened last year by Independent Sector at the request of the Senate Finance Committee, issued a final report in late June containing more than 120 recommendations for Senate Finance to consider. Among the recommendations are that Congress require audits by charities and foundations with annual revenues of $1 million or more, and require groups with annual revenues between $250,000 and $1 million to have their financial statements reviewed by an independent accountant.. Any nonprofit governance reform bill may also make mandatory electronic filing of charitable organizations' annual Form 990 information returns, and ask charitable organizations to have their CEOs or CFOs certify the accuracy of their information returns.
 
Postal Reform: The Senate is expected to take up comprehensive postal reform legislation (S. 662) after Labor Day. Prior to leaving Washington for recess, the House voted overwhelmingly to approve companion legislation (H.R. 22).
 
The "Postal Accountability and Enhancement Act," sponsored by House Government Reform Chairman Tom Davis (R-VA) and Rep. John McHugh (R-NY), positions the U.S. Postal Service (USPS) to operate more like a business, and not under a break-even mandate. H.R. 22 creates a modern system of rate regulation; establishes fair competition rules; preserves the Postal Service's universal service commitment; and institutes improvements to the collective bargaining process.
 
Association Health Plans (AHPs): There is expected to be discussion in the Senate about association health plans. Last month, Senate Health, Education, Labor and Pensions Committee Chairman Mike Enzi (R-WY) submitted a statement for the record on the Senate floor calling for compromise on the issue of health insurance reform, and including the concept of AHPs in the foundation principles he believes Congress should pursue.
 
The House has already passed the bipartisan "Small Business Health Fairness Act" (H.R. 525), allowing the formation of AHPs as a step toward expanding access to health coverage and reducing the number of uninsured Americans. President Bush has also strongly supported the legislation as a way for small businesses to increase their purchasing power and lower their health coverage costs by as much as 30 percent, while giving them flexibility from 50 different state-mandated benefit packages.
 
TRIA Reform: Rep. Richard Baker (R-LA), who chairs the House Financial Services Capital Markets Subcommittee, said in late July that the committee will look to mark up "TRIA" reform legislation in September, according to National Journal's Congress Daily.
 
There was a possibility that committee members would work with Treasury officials over the August recess to retool the 2002 "Terrorism Risk Insurance Act," which is due to expire at the end of the year. While continuing to emphasize that TRIA was intended as a temporary solution to prevent market disruptions after September 11, 2001, Treasury Secretary John Snow recently testified before Congress that the Administration could support TRIA extension if the program were reformed in several key areas. Snow has pushed for reforms to TRIA that would increase to $500 million the event size that triggers coverage, increase the deductibles and percentage co-payments, and eliminate certain smaller lines of insurance, such as commercial auto, that are less subject to risk.

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