OIA will host its annual Capitol Summit on April 26 & 27 in Washington D.C. with top-ranking executives from throughout the industry in attendance. Past events have been quite successful with very ambitious agendas and back-to-back meeting with members of Congress and their staff. This year, OIA has made some considerable changes to the agenda and ramped up its presence on Capitol Hill during the annual Capitol Summit. With several different issues facing pending legislation, OIA has created an agenda that will address international trade, small business healthcare, the National Parks Service, and the state-side Land and Water Conservation Fund. Last year, Capitol Summit attendees were able to help secure over $100 million in funding for close to home recreation.
“Weve been very busy this year. The biggest difference this year is the International trade agenda,” said OIAs VP of government affairs, Myrna Johnson. “Weve made a lot of progress with our work on these trade issues, and it has opened a lot of doors for us.”
The primary trade issue being addressed this year will revolve around China and the import quotas and embargoes that plagued the industry last year. Many of these quotas are scheduled to go into effect again this year and will primarily restrict the importation of synthetic pants. Ski and snowboard pants are currently exempt from trade restrictions because there is no source for domestic manufacturing for these items. OIA is attempting to have this exemption expanded to include other synthetic outerwear for the same reason there is no source for domestic manufacturing.
Another issue OIA is focusing on that could have a major impact on the myriad of small businesses in the Outdoor Industry is legislation that allows small business health care plans, formerly known as AHPs. According to OIA, these plans should offer relief from costly state mandates, as the health plans of large corporations and labor unions currently do. Small-Business Health Plans will provide small businesses the opportunity to band together through trade and professional associations to purchase affordable health benefits. By joining together, small employers will enjoy greater bargaining power, economies of scale, and administrative efficiencies. In this way, Small-Business Health Plans will level the playing field and give participating small employers the same advantages as Fortune 500 companies and unions.
This legislation could help the federal government save on health care expenses as well. The insurance will be more affordable and therefore more small firms will be able to provide it to their employees and families. According to the CONSAD Research Corporation, as many as 8.5 million previously uninsured workers would receive coverage if this legislation is enacted into law.
The third issue attendees will address is the drastic re-write proposed for the countrys National Park Service. Earlier in 2005 the New York Times obtained a leaked memo from Paul Hoffman, a deputy assistant secretary in the Interior Department, in which he proposed several changes that would materially weaken the National Parks Services ability to protect the resources placed under its care.
More recently, the Department of Interior has put together a different draft plan. While this plan is less drastic than Mr. Hoffmans memo, it could dramatically change the way Americas national parks are managed. Proposed policy changes would include reduced protection for natural landscapes and wildlife and an increase in motorized recreation and mining and grazing in national parks. The proposed changes have raised alarms among members of the outdoor industry. OIA and more than 70 of its member companies sent a letter to U.S. Interior Secretary Gale Norton in September raising concerns about proposed revisions to the National Park Services core mission.
Currently, there has been no decision on the re-write of the NPS rules. The Department of Interior is currently reviewing thousands of public comments that it received on the draft management plan changes. That process will most likely take several months. In the interim, members of Congress will likely continue to weigh in on the proposed management changes. Many members of Congress have urged the Interior Department to drop the rewrite altogether. In DC, OIA members will be asking the Department of Interior to drop efforts to rewrite NPS longstanding management policies.
Finally, OIA will again be asking Congress to fully fund the Stateside Land and Water Conservation Fund. This is one of the most important issues for close-to-home recreation on the agenda. The state side LWCF offers grants to local communities who are required to match the funds with local dollars.
Last year, President Bush zeroed out all funding for the LWCF and OIA helped convince key members of Congress that this program was needed. In the final FY 2006 Budget, stateside LWCF received $30 million in funding. This year the President has again zeroed out LWCF funding, and OIA is fighting to keep this important program alive. In November 2004, the National Park Service asked each state to estimate its total unmet needs for LWCF funding. More than 75% reported a lack of funding of more than 50%. The LWCF stateside program is authorized by Congress to receive $900 million annually in funding, a level that has been met only once in its 30 year history despite a designated funding source.
During discussion concerning a bill that would expand off-shore oil drilling, Sen. Salazar (D-CO) and Sen. Alexander (R-TN) recently offered an amendment to that Bill requiring that $450 million in royalties from the development be guaranteed annually to fund the state side LWCF. This bipartisan LWCF funding amendment was withdrawn with a promise from Chairman Domenici and Ranking Democrat Bingaman to consider it on the Senate Floor later this spring. OIA has taken no official position on whether or not this off-shore drilling should be permitted, but it has stated that if it is opened, LWCF should benefit.
Each of these issues impacts the industry in one way or another. Whether it involves bringing goods to market, urban parks and recreation opportunities or preserving symbols of national heritage, the OIA Capitol Summit is a key component to maintaining the health of the industry.
