SMT, PCB Electronics Industry News

Sacramento Day Concludes; Now Real Work Begins

Feb 11, 2003

Sacramento, CA�On February 5th, members of the California Circuits Association (IPC), in coordination with the IPC, lobbied California�s Assemblymen and Senators on behalf of the state�s struggling PCB industry. Dick Crowe, the CCA�s executive director, cited the fact that California printed circuit makers have shed almost 8,000 jobs since 2000, and lost over one billion dollars in taxable revenue. Punctuating the urgency of the crisis, Hewlett-Packard�s server manufacturing plant in Roseville was closed the week before, costing the state 500 jobs. According to an H-P spokesman, the jobs were being moved to Austin, Texas. To stem the tide, approximately fifteen leaders from California�s PCB community climbed the steps of the state capital to urge their representatives to suspend a series of laws, and pending bills, that could further damage the industry.

After hearing from IPC�s government relations coordinator, John Kania, and the California Chamber of Commerce�s Fred Main, attendees were told to present their message in broad strokes. Printed circuit manufacturers, suppliers, consultants, and trade press were on hand to ask their representatives to protect small businesses, already threatened by Asian competition, by suspending a series of �job killer� legislation. The measures included skyrocketing worker�s compensation rates in 2003, increased unemployment insurance benefits, rising electricity prices, and other bills enacted by the Democrat-controlled state legislature.

Referring to the worker�s compensation crisis faced by small business owners, Main said that although the number of injuries while on the job in California is down, the usage and extent of worker�s compensation benefits has risen dramatically. As a result, small business owners are resulting smaller profits, which leads to a smaller tax base, and less jobs. To illustrate this, Joe O�Neil of Ambitech International, was on hand to tell his Assemblywoman, Sally Lieber, that the rising cost of worker�s compensation benefits are hindering his company�s competitiveness.

Similarly, Tom White, president of Hallmark Circuit, explained to his Assemblyman, George Plescia, that his company�s electric bill had risen by $80,000 in 2002, from $260,000 to $320,000. White then invited Plescia to visit the plant so that the assemblyman can learn more about how the legislature�s mandates are affecting small business.

Once finished, industry lobbyists reconvened to discuss the results of their meetings. Kania told attendees that, �Now, the real work begins,� and vowed to include other industries and unions to lobby Sacramento on behalf of the manufacturing industry in California. He also told CCA members to follow up with their representatives by building relationships, inviting them for plant tours, and providing specific examples of how legislation helps or hinders their business.

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