Day on the Hill - 2024 Issue Brief

ABOUT THE LAWRENCE COUNTY CHAMBER OF COMMERCE The Lawrence County Chamber of Commerce is a network of businesses, industries, local governments, utilities, and private citizens that are committed to improving the quality of life in Lawrence County, Tennessee through economic development, community development, tourism marketing, and workforce development.

AGENDA 7:30

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9:15

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A SKILLED AND PRODUCTIVE WORKFORCE IS CRITICAL TO THE CONTINUED ECONOMIC GROWTH OF THE STATE OF TENNESSEE; THE MISMATCH BETWEEN THE WORKERS THAT BUSINESSES NEED AND THOSE THAT ARE AVAILABLE TO HIRE REMAIN ONE OF THE BUSINESS COMMUNITY’S BIGGEST CONCERNS, ESPECIALLY REGARDING TECHNICAL AND EMPLOYMENT SKILLS. AS THE DEMANDS OF THE MODERN ECONOMY CONTINUE TO EVOLVE, SO TOO MUST THE WAY THAT STUDENTS ARE PREPARED TO ENTER THE WORKFORCE. TECHNOLOGICALLY DRIVEN SHIFTS IN JOB DISTRIBUTION CALL FOR COLLABORATIVE EFFORTS BETWEEN OUR K-12 AND HIGHER EDUCATION SYSTEMS AND INDUSTRY TO ENSURE THAT EDUCATION EFFORTS ARE PREPARING STUDENTS WITH THE TOOLS THEY NEED FOR SUCCESS. WE WILL CONTINUE TO SUPPORT THE ADVANCEMENT OF POLICIES THAT INCREASE ACADEMIC RIGOR, SKILLS DEVELOPMENT, AND RESPONSIBLE CAREER GUIDANCE FOR STUDENTS OF ALL AGES. WE URGE COORDINATION AMONG ALL FACETS OF GOVERNMENT AND INDUSTRY-RELATED WORKFORCE INITIATIVES TO ENSURE RESOURCES ARE USED WISELY AND EFFICIENTLY. DATA ON THE MAKEUP OF TENNESSEE’S WORKFORCE AND JOB OPENINGS SHOULD BE MORE READILY AVAILABLE SO THAT EMPLOYERS AND GOVERNMENT CAN BETTER ADDRESS MISMATCHES IN NEEDED PROFESSIONS AND SKILLS. WE SUPPORT INNOVATIVE SOLUTIONS TO CHALLENGES SUCH AS CHILDCARE, HOUSING, AND INCREASING WORKFORCE PARTICIPATION TO ENHANCE TENNESSEE’S ECONOMY. STATE FUNDING AND REGULATIONS SHOULD ALLOW FOR MORE FLEXIBILITY FOR DEPARTMENTS TO CREATIVELY ADDRESS THESE ISSUES. WE BACK INCENTIVES THAT WILL ENCOURAGE BOTH K-12 AND HIGHER-EDUCATION INSTITUTIONS TO PRIORITIZE OUTCOMES OF STUDENTS PURSUING IN-DEMAND CAREERS. AS A WAY TO ENCOURAGE BUSINESSES TO PURSUE AND PARTNER WITH RESPECT TO APPRENTICESHIP PROGRAMS, LIABILITY CONCERNS MUST BE UNDERSTOOD AND ADDRESSED TO INCENTIVIZE EMPLOYER ENGAGEMENT.

THE PHILOSOPHY OF BOTH THE CHAMBER AND BUSINESS COMMUNITY HAS REMAINED SIMPLE BUT EFFECTIVE: CREATE A BUSINESS AND TAX ENVIRONMENT THAT FACILITATES ECONOMIC GROWTH TO GENERATE THE REVENUE NEEDS OF OUR STATE GOVERNMENT AND AVOID TAX INCREASES. OVERALL, RESEARCH SUGGESTS THE OVERALL TAX BURDEN ON BUSINESSES IN THE VOLUNTEER STATE, WHEN COMPARED TO OTHER STATES, IS OFTEN NOT ALIGNED WHEN IT COMES TO THE COMBINATION OF SALES AND USE TAXES, FRANCHISE AND EXCISE TAX (F&E), LOCAL PROPERTY TAXES ON BOTH REAL AND TANGIBLE PROPERTY, AND THE LOCAL BUSINESS TAX. IN ANTICIPATION OF SLOWER ECONOMIC GROWTH, TENNESSEE HAS PROJECTED BUDGET SHORTFALLS FOR THE 2024 LEGISLATIVE SESSION. WE WILL CLOSELY MONITOR BUDGET PROPOSALS THAT COULD ADVERSELY AFFECT BUSINESSES BY ALTERING HOW THEY ARE REGULATED, TAXED, AND INCENTIVIZED. THE TENNESSEE CHAMBER IS GENERALLY SUPPORTIVE OF STATE TAX POLICY EFFORTS THAT BOTH ENSURE THE EQUAL TREATMENT OF ALL BUSINESS TAXPAYERS AND LIMIT LEGAL RISKS FOR OUR STATE AND OUR FINANCIAL STABILITY. WE ALSO ENCOURAGE THE CONTINUED REFINEMENT, STREAMLINING, AND SIMPLIFICATION OF ALL CATEGORIES WITHIN TENNESSEE’S BUSINESS TAX LAWS. WE SUPPORT DECOUPLING FROM THE UNITED STATES TAX CODE WHENEVER PRACTICAL TO AVOID TAX HIKES FOR BUSINESSES FOR ANY REASON. WE RECOGNIZE AND APPRECIATE THE WORK OF THE GENERAL ASSEMBLY TO REMAIN VIGILANT IN REVIEWING TAX PROPOSALS THAT DO NOT NEGATIVELY AFFECT TENNESSEE’S BUSINESS TAX CLIMATE.

OUR COMMITMENT IS TO ADVOCATE FOR HUMAN RESOURCES, EMPLOYMENT, AND LABOR LAW POLICIES THAT ENSURE FAIR TREATMENT FOR EMPLOYEES WITHOUT IMPOSING UNNECESSARY BURDENS ON EMPLOYERS. WE FIRMLY SUPPORT THE PRESERVATION OF TENNESSEE’S EMPLOYMENT-AT-WILL DOCTRINE AND DISCOURAGE ANY ACTIONS THAT MAY UN- DERMINE THIS LONGSTANDING PHILOSOPHY.

TENNESSEE IS RECOGNIZED AS ONE OF THE TOP 10 STATES IN THE NATION FOR ITS MANUFACTURING STRENGTH AND ACTIVITY. WE ALSO HAVE BEEN NOTED AS THE #1 STATE IN TERMS OF AUTOMOBILE MANUFACTURING WITH 5 OEM’S HAVING MAJOR OPERATIONS HERE; THIS HAS BEEN ENHANCED RECENTLY THROUGH ELECTRIC VEHICLE ANNOUNCEMENTS. MANUFACTURING ACTIVITY PRODUCES SIGNIFICANT ECONOMIC BENEFITS, AND AS WE WORK TO PROMOTE AND ENHANCE OUR MANUFACTURING CLIMATE, WE WILL SUPPORT INITIATIVES SUCH AS THE SMART FACTORY INSTITUTE IN TEN- NESSEE, WHICH PROVIDES MANUFACTURERS WITH TECHNOLOGY AND INNOVATION, COLLABORATIVE RELATIONSHIPS, AND CERTIFICATIONS TO IMPROVE MANUFACTURING PROCESSES THROUGH ACCESS TO THE LATEST TECHNOLOGY IN ADVANCED MANUFACTURING. WE WILL ALSO SUPPORT PROPOSALS TO CONTINUE GROWING TENNESSEE’S STRONG MANUFACTURING SECTOR AND WILL PROMOTE EFFORTS TO ONSHORE, RESHORE, UPSKILL, AND MODERNIZE MANUFACTURING IN TENNESSEE.

TENNESSEE’S ECONOMY CONTINUES TO GROW, ATTRACTING NEW RESIDENTS AND WORKERS. HOWEVER, WITH THAT GROWTH COMES CHALLENGES, INCLUDING CONGESTION AND WEAR ON THE STATE’S INFRASTRUCTURE ASSETS. QUALITY INFRASTRUCTURE IS VITAL TO THE CONTINUED ECONOMIC HEALTH OF THE STATE, ESPECIALLY AS THE GLOBAL FLOW OF GOODS AND SERVICES IS CONSTANTLY GROWING. LAST SESSION, THE LEGISLATURE PASSED THE CHAMBER-SUPPORTED TRANSPORTATION MODERNIZATION ACT, WHICH PROVIDES THE STATE WITH INNOVATIVE TOOLS TO ADDRESS TRAFFIC CONGESTION. THE LEGISLATION INCLUDED A TRANSFER OF $3.3 BILLION FROM THE GENERAL FUND TO THE TRANSPORTATION MODERNIZATION FUND, WHICH WILL FUND AND ACCELERATE NEW INFRASTRUCTURE PROJECTS ACROSS THE STATE WITHOUT AN INCREASE IN THE GAS TAX OR THE ISSUANCE OF NEW ROAD DEBT. THE CHAMBER WILL WORK WITH LEGISLATORS TO ENSURE THAT THE PROGRAM IS IMPLEMENTED EFFECTIVELY AND SUPPORTS ADDITIONAL MEASURES THAT ALLOW TENNESSEE TO ADDRESS THE INFRASTRUCTURE CHALLENGES THAT THE STATE’S GROWTH PRESENTS.

WE SHARE A MUTUAL INTEREST WITH THE LEGISLATURE AND POLICYMAKERS IN ENSURING CHILDREN’S SAFETY AND PRIVACY RIGHTS ARE PROTECTED AND SAFEGUARDED RESPONSIBLY. OVER THE PAST DECADE, TENNESSEE BUSINESSES HAVE INVESTED HUNDREDS OF MILLIONS OF DOLLARS TO ENSURE CUSTOMER AND OTHER DATA IS SECURE AND REMAINS PRIVATE. STRONG DIGITAL PRIVACY IS A BUSINESS COMPONENT THAT NO SUCCESSFUL BUSINESS CAN OVERLOOK. ARTIFICIAL INTELLIGENCE IS AN ANTICIPATED REGULATORY ISSUE THAT POLICYMAKERS AND THE BUSINESS COMMUNITY MUST WORK TOGETHER ON TO BUILD A REGULATORY FRAMEWORK THAT STRIKES A BALANCE BETWEEN PROMOTING INNOVATION AND ENSURING THE PROTECTION OF PRIVACY AND FAIR COMPETITION. WE WANT TO ENSURE THAT BUSINESSES IN TENNESSEE ARE NOT UNNECESSARILY BURDENED BY POTENTIAL PROVISIONS THAT CAN LEAD TO SUBSTANTIAL COMPLIANCE COSTS. WE ALSO WILL WORK TO PROTECT THE INTELLECTUAL PROPERTY OF TENNESSEE’S VIBRANT CREATIVE COMMUNITY.

THE TENNESSEE CHAMBER’S 2024 VIEW THE FULL 2024 LEGISLATIVE AGENDA IS DEVISED THROUGH AGENDA BY SCANNING THE QR THOROUGH RESEARCH AND CODE BELOW OUTREACH FROM REGIONAL MEETINGS HOSTED ACROSS THE STATE WITH EMPLOYERS OF ALL SIZES, INPUT FROM THE TENNESSEE CHAMBER BOARD OF DIRECTORS, AND MEMBER SURVEYS. TENNESSEE BUSINESS LEADERS HAVE SHARED THOUGHTS AND CONCERNS THROUGH OUR ANNUAL POLICY SURVEY, AND THE CHAMBER IS HONORED TO REFLECT THESE VIEWS IN THE 2024 AGENDA.

THANK YOU TO OUR PARTNERS!

25 Public Square, Suite B Lawrenceburg, TN 38464 931.762.4911 LawCoTN.com