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March 11, 2008

Ontario Chamber Stops Tax on Automobile Industry

The Ontario Chamber of Commerce opposed AB 493, which would have assessed an unfair surcharge on new vehicles. The Chamber believed this proposed tax would have had a profound impact on the ability of small businesses to transport their goods and services in the most efficient manner.

It is a priority of the Ontario Chamber to review and consider legislative proposals that place mandates upon the automobile industry and among other parts of the business community.

AB 493 (Ruskin) would have added an extra fee on new vehicles that are classified as high emitters of greenhouse gases. Although, transportation accounts for a large percent of our state's greenhouse gas emissions, the chamber, among others, feels this is not an appropriate solution.

“If AB 493 passed, this proposed law would have severely tied the hands of our businesses and more specifically, our automobile industry,” stated Mark Smiley, President/CEO of the Ontario Chamber.

In 2006 Governor Schwarzenegger signed into law the world's most sweeping legislation to control global greenhouse gas emissions, Assembly Bill 32. This groundbreaking legislation already establishes a process for reducing greenhouse gas emissions and requires the development of a comprehensive plan in a balanced and expeditious manner, including encouraging the use of alternative fuels. The California Air Resources Board has been tasked with the duty to explore and develop regulations to achieve the reductions required under AB 32. This process is currently underway. AB 493 (Ruskin) would have ignored this planning and prevented the goals of AB 32 to unfold.

“We thank our members and the business community that got involved when we decided to oppose this anti-jobs legislation,” stated Bob Cruz, Chairman of the Ontario Chamber’s Government Affairs Council. “As concerned members of the business community, we can expect more unfortunate mandates on business and rest assured this chamber will continue to be proactive when such legislation looks to harm business.”
 

Click here for more information on AB 493

February 15, 2008

Ontario Chamber Opposes Automobile Industry Tax

The Ontario Chamber of Commerce opposes AB 493, which assesses an unfair surcharge on new vehicles that will have a profound effect on the ability of small businesses to transport their goods and services in the most efficient manner. It is the position of the Ontario Chamber to review and consider legislative proposals that place mandates upon the automobile industry.
 

AB 493 (Ruskin) proposes to add an extra fee on new vehicles that are classified as high emitters of greenhouse gases. Although, transportation accounts for a large percent of our state's greenhouse gas emissions, this is not an appropriate solution.

“This proposal fails to recognize that such vehicles are presently used by a number of small businesses and industries to transport goods and equipment,” stated Mark Smiley, President/CEO of the Ontario Chamber. “This bill unfairly punishes businesses and consumers by taxing them for purchasing the vehicles that they need,” continued Smiley.

In 2006 Governor Schwarzenegger signed into law the world's most sweeping legislation to control global greenhouse gas emissions, Assembly Bill 32. This groundbreaking legislation establishes a process for reducing greenhouse gas emissions and requires the development of a comprehensive plan in a balanced and expeditious manner, including encouraging the use of alternative fuels. The California Air Resources Board has been tasked with the duty to explore and develop regulations to achieve the reductions required under AB 32. This process is currently underway. AB 493 (Ruskin) however, ignores this planning and prejudges the outcome of AB 32 and the Governor's Low Carbon Fuel Standard as created in his Executive Order earlier this year.

“We believe that in order to tackle our global emissions both businesses and consumers will have to play a role in assessing their individual carbon footprints,” stated Bob Cruz, Chairman of the Ontario Chamber’s Government Affairs Council. “However, we must ensure that the method in which we do so does not give businesses incentive to move elsewhere or add to the existing leakage problem.”