Looking Ahead to a Successful 2008

By Jake Posey and Steve Koebele
TAPC External Lobbyists

Calendar year 2007 was a tremendous success for Texas Association of Personnel Consultants legislative advocacy. It’s been just 13 months since the TAPC embarked on deeper, more proactive advocacy at the Texas Capitol. The diligent work of TAPC members and advocacy team far surpassed expected outcomes. Among other elements, the TAPC engaged for meaningful legislative outcomes and obtained enhanced stakeholder status before public policy makers. The strategic objective: Achieve the most positive business and public policy environment possible for TAPC members.

Delivering Success. The 2007 TAPC “Day on the Hill” was a true success. We look forward to 100 percent participation from all TAPC members in 2009! During the legislative session, in April, the TAPC held its annual conference in Dallas, Texas. The conference allowed the TAPC legislative advocacy team to showcase two of Texas’ finest: Texas Secretary of State Roger Williams and a key member of the House Committee on Ways & Means, State Representative John Otto. Thanks, in key part, to the successful advocacy efforts of the TAPC, Representative Otto supported the TAPC and other stakeholders to restore proper taxation of 1099 “flow through” revenues. With Rep. Otto’s help, the TAPC was able to successfully amend SB 3928, restoring proper tax treatment for applicable outsourced personnel.

Informing Members. In July, the TAPC advocacy team sponsored the Margins Tax Education & Training Seminar which, thanks to our friends at Jobing.com, was broadcast free of charge to all TAPC members via the Internet. The seminar informed and educated TAPC members about the important tax changes resulting from the passage of HB 3928. A big success, the seminar was widely attended and viewed by TAPC members. It will serve as a basis for future “webinars” when updating and educating TAPC members on important and relevant legislative changes.

Continuing Advocacy. In October, the TAPC executive leadership and advocacy team met with the Texas Comptroller of Public Accounts executive staff to discuss TAPC member concerns with the implementation of new disclosure requirements applicable only to the staffing industry. This part of the law allows the clients of temporary employment firms to deduct the wages and benefits of the temporary employee assigned to the client company when calculating the client’s tax liability. However, in making such a deduction, the client may now statutorily – because of an amendment to HB 3928 that was not supported by the TAPC – rely on the temporary employment firm’s invoice or information that is provided by the firm to the client on a Form issued by the state Comptroller. Removing the above reporting requirement for temporary employment firms is a major priority for the TAPC advocacy team, looking ahead to 2009 legislative session.

Monitoring Interim Legislative Activity. Since the beginning of 2008, both the Texas House and Senate have received Interim Charges for 2008. Issued by the respective leaders of each legislative chamber, Interim Charges provide the key topics to be researched and studied by the numerous committees during the interim period between sessions (basically, calendar year 2008). While the revised franchise tax (aka, the Texas Margins Tax) is not an expressly stated focus for either chamber in 2008, please anticipate and expect that it will remain a topic of debate during the interim and the 2009 legislative session. Several entities, including the NFIB (National Federation of Independent Business), continue to push for deeper reductions in tax rates for Texas small businesses.

Minding Elections. Texas, as well as the rest of the nation, is experiencing a period of unprecedented voter turnout. This high level of turnout will likely have an effect on the current composition of the Texas Legislature. Also, several legislators decided not to run for office again. In the state House, for example, the current Speaker of the Texas House of Representatives has been under criticism from a small, but vocal group of Republican insurgents. If the balance of power in the Texas House of Representatives is altered, we will operate in a modified environment in member profile, committee assignments, and the balance of power.

Building Bipartisan Branding. With legislative races ongoing, the TAPC advocacy team is working hard to appropriately build our bipartisan brand with as many members as possible, regardless of where their loyalties are pledged. As one example and in support of that effort, the TAPC will make a limited number of sponsors available for legislative members and staff at the upcoming TAPC Conference this April. We believe this is a terrific way to reach out to members and staff in a casual and fun setting. TAPC members can enjoy an unvarnished opportunity to socialize with some of Texas leading lawmakers.

The highlights above are a sampling of activities that are directed for member benefits. We look forward to seeing you, the members, at the 2008 TAPC Conference in Austin. We always enjoy visiting with you about how we can work together in TAPC’s legislative growth and advocacy! Thank you again for your genuine support and excitement about the TAPC. As always, if you have any questions or ideas, please call Jake at (512) 646-0828 or Steve at (512) 646-7406.


For more information contact:
Helene Cavanaugh, CTS
Executive Director, Texas Association of Personnel Consultants (TAPC)
1.888.974.2272 (phone)
1.866.488.7601 (fax)
13121 Louetta Road, Suite 1175
Cypress, Texas 77429
www.tapc.org