With so much media attention focused on national politics, it’s easy to forget a fundamental fact: Day in and day out, your business is more likely to be affected by laws and regulations passed closer to home.
“Issues at the city and state level are often more important to business owners than issues at the federal level,” says Nancy Ploeger, president of the Manhattan Chamber of Commerce.
That makes sense. Think about local tax rates, commerce fees, zoning ordinances and other business regulations.
What about poorly maintained streets, filled with potholes and ruts? Bad roads can damage your fleet and, if you’re a factory–direct, keep customers away from your stores. Slow police response times can magnify the financial costs of a burglary. Building code changes can add costs to retrofit buildings. And so on and so on.
The success of your business depends on the priorities and the capabilities of your city, county and state officials.
“What government does and how they regulate is important to your business,” says Al Arnold, director of the Academy of Local Politics in Rice Lake, Wis. “It’s your bread and butter. ”
Working close to home
If decisions made by your local politicians can have a dramatic impact on your profits, it’s important to know how you can affect those decisions.
“Start by learning how your local government operates,” Arnold says. “Politics is a game. In order to be successful in any game you need to know the rules.”
Arnold advises attending at least one local government meeting each year to “watch, listen and, by observation, learn” how your local governments work.
“One meeting won’t make anyone an expert, but over the years, you will become more knowledgeable about your local officials and how they work,” he says.
Specifically, learn how your local governments develop their annual budgets.
“A city budget is not just a financial document,” Arnold says. “It is a policy document.” Where tax money is being spent—or not spent—gives a clear indication about the priorities of your city council, county commission and state legislature.
“It does no good to complain about something that needs to be done if the money is not in the budget,” Arnold says.
Indeed, policy decisions other than the tax rate can have of a bottom–line impact on your business.
“Saving a couple of bucks in taxes can cause your business to burn to the ground if fire protection is inadequate,” Arnold says.
All politics is personal
Networking is a powerful tool for influencing local laws.
“All politics is personal,” says Nancy Bocskor, a political consultant in Arlington, Va. “Even in our modern world of email, getting things done still comes down to with whom you have a relationship.”
In developing relationships, make the telephone your friend.
“Call your local politicians at the city, county and state level and meet with them,” Ploeger says. “These politicians are looking for ways to help constituents. They don’t know how to do that if you don’t speak up.” If you stay quiet, your elected officials may well vote in ways that unintentionally harm your business.
And don’t wait until you have a pressing concern to meet with your local representatives, Ploeger adds.
“Your politicians will often have issues that they are grappling with and they need to talk with business people about the effects of certain regulations,” she says.
Developing a relationship takes more than making phone calls and attending meetings. Consider hosting a fundraising event.
“Help a politician raise money by having a coffee in your home,” Bocskor says. “Offer to invite your friends, neighbors and colleagues over to listen to the candidate.” Inviting a policymaker to tour your facility gives you an opportunity to explain the issues facing your business.
Stay informed
New issues come up all the time and many of them can affect your business operations. Don’t rely on the local paper or TV news to learn about them.
“Newspapers normally report on what has happened, not what might happen,” Arnold says. “There is only one way to keep on top of proposed local government issues and that is by following committee agendas.”
Learn which committees are likely to deal with business issues and then find out when and where meeting agendas are posted.
“Many times they are on the town Web site,” Arnold says. “Make a point of following these agendas on a regular basis. This is the only way to catch issues before votes are taken.”
Make sure you offer your input early. Will a proposed bill or regulation have unanticipated consequences? Call and let politicians know.
“Issues are like rolling snowballs,” says Arnold. “They get bigger and bigger with time. It’s easier to destroy a hand–size snowball than it is the base of Frosty the Snowman.”
On the state level, often the best way to follow issues is to belong to an organization that does this for you. For instance, the International Sleep Products Association tracks and responds to state legislation that can impact bedding manufacturers, industry suppliers and mattress retailers.
The power of numbers
In addition to keeping you informed, business groups such as chambers of commerce and trade associations such as ISPA can help you communicate your message to local officials.
Group action can be a powerful force for getting things done, Ploeger says. She gives a recent example: Working together, chambers of commerce in New York state convinced the governor to reduce workers’ compensation insurance rates by some 10%.
As another example, ISPA recently had success working with New York lawmakers to make changes to a proposed bedbug bill that would have raised delivery costs for mattress retailers.
Get involved with ISPA’s Government Relations Committee or volunteer to serve on a local business association committee that is responsible for developing positions on political issues.
The pay off
Effective lobbying is a process. Don’t expect your representatives to agree with you all the time. They won’t. But over time, if you regularly participate in small ways by attending meetings and voicing your opinions, you can have influence when a significant issue arises. They’ll also seek your advice when considering issues that may affect your business.
“You have to be a citizen activist,” Bocskor says. “When you are not involved, it’s amazing how fast laws are passed that have unintended consequences.”
Don’t let that happen. Reach out to your local politicians and you will end up with a more productive business environment.
“I get so angry when people say they are too busy,” says Arnold. “You can’t be too busy to not follow what government is doing to regulate your business.”
Additional resources
News media
Advocacy Connection
This is a monthly e–newsletter about federal, state and local issues affecting the mattress industry produced by the International Sleep Products Association for its members. It includes reports on legislation and regulatory actions and provides information about the industry’s position on and advocacy efforts regarding major issues. Legislative updates also are regularly included in ISPA’s weekly e–newsletter, BedTimes Bulletin. Learn more at www.sleepproducts.org.
BedTimes
The monthly business journal for the sleep products industry regularly reports on legislative issues. Check the Industry News, ISPA Advocacy, Flammability Update and Regulatory Report departments. BedTimes is available by mail (see subscription card between Pages 46–47) and online at www.sleepproducts.org/bedtimes.
Books
Moving Mountains and Molehills: Local Politics 101 by Al Arnold (Booksurge, 2005)
Local Politics: A Practical Guide to Governing at the Grassroots by Terry Christensen (M.E. Sharpe, 2006)
Web sites
- www.sleepproducts.org ISPA’s Web site, where you can learn about legislation and regulations that directly impact your business. ISPA’s Action Alerts make it easy for you to contact elected officials about key issues.
- http://capwiz.com/sleepproducts/home ISPA’s Legislative Action Center, which includes a “grassroots toolbox” for how to communicate with policymakers and a how–to guide for hosting a plant tour.
- www.localpolitics101.com The Academy of Local Politics’ site explains how to get legislation passed at the local level.
- www.lib.umich.edu/govdocs/pslocal.html The University of Michigan Documents Center provides Web links to associations of local officials.
How ISPA helps you
The International Sleep Products Association speaks with a united voice for the mattress industry on issues that affect manufacturers, suppliers and retailers. In conjunction with ISPA’s board and with input from ISPA members, the Government Relations Committee develops industry positions on regulatory, legislative and political issues.
The grassroots support of its members is critical to ISPA’s advocacy efforts and ISPA encourages its members to develop relationships with their representatives to influence legislation that affects the industry.
To help members communicate more easily with elected officials, ISPA has created a Legislative Action Center that contains information on pending legislation and provides practical advice for contacting elected officials.
ISPA members also can look up their legislators, view biographical and contact info and send them a letter.
ISPA’s monthly Advocacy Connection and weekly BedTimes Bulletin newsletters keep members informed about ISPA’s advocacy efforts.
ISPA uses its relationships with federal and state regulatory agencies, other industry and trade groups, and the safety and scientific communities to give members tools to address other matters that arise, such as consumer safety issues.
For more information about ISPA’s advocacy efforts, check www.sleepproducts.org/advocacy or contact Chris Hudgins, ISPA vice president of government relations, at 703–683–8371 or [email protected].
ISPA’s successes and ongoing efforts this past year at the state and local levels include:
- Removed provisions from New York bedbug legislation that would have required retailers to use separate vehicles to deliver new and pick up used mattresses from consumers. (See story on Page 49)
- Defeated legislation in California that would have imposed more costly and potentially impractical regulations on FR mattress materials
- Defeated proposals to change state and local fire codes to require mattress manufacturing, storage and retail facilities to be retrofitted with sprinklers
- Opposing New York legislation to allow the state to impose its own rules regulating chemicals used in children’s mattresses, which might be different from or contradict federal chemical regulations
- Advocating for tougher anti–renovator laws in New York, Florida and Texas
- Continuing efforts to develop mattress recycling programs to pre–empt state efforts to make manufacturers responsible for taking back used mattresses
Primer: How to talk with a local politician
“Meeting with an official once or twice a year should be part of every management plan,” says Sean W. Hadley, an attorney and lobbyist in Princeton, N.J. Like any other networking event, a meeting with a politician can pay dividends to your business.
Here are some tips for being effective:
- Be straight–forward Approach your representative with words such as these: “I have a business in your district (ward, county, etc.). I want to come in and introduce myself and talk with you.” Tell them how many workers you employ.
- Speak up early Be professional and voice your opinion as soon as you find out about an issue that concerns you. It can take a long time to solve problems such as a deteriorating street condition. Start early and be patient. “If you don’t call your officials, your voice will not be heard and you run the risk of laws imposed on you without your knowing,” Hadley says. “It’s easier to stop the train from leaving the station than it is when it’s racing down the tracks.”
- Be cordial “Local elected officials do appreciate timely, courteous input on issues,” Hadley says. “However, all too often the input they receive is neither timely nor courteous.” Don’t make threats such as “I won’t vote for you if you won’t do this.” Don’t say “I pay your salary.” Confrontations of this nature backfire.
- Show thanks If you’re pleased with your representative’s vote on an issue, send a letter or email or give her call to express your appreciation. “It is so very seldom they get one of those. It will be remembered,” Hadley says.
- Stay in problem–solving mode “Know exactly what you are asking for,” Hadley says. “Simply whining to an elected official about something usually won’t get the problem solved. Have a solution ready.”
- Invite officials to visit Ask your local officials to tour your facility and meet your employees. “Especially if you have a significant number of employees, politicians are happy to appear at an event,” Hadley says.
- Contribute “In politics, money does talk,” Hadley says. “It does not buy you results but it can help facilitate a relationship.” If a politician approaches you about attending a fundraiser on his behalf, it can be well worth it to attend and contribute. Later, when you have a concern, you have a go–to politician you can call for assistance.
Local politics & your profits
How can local politics affect your company’s bottom line? Here are some examples from Al Arnold, director of the Academy of Local Politics in Rice Lake, Wisconsin:
- Taxes and fees Are your taxes competitive with those of other cities and states? Are there any looming tax increases that will cut into your profits? Are governments proposing onerous business licenses or other fees?
- Fire protection Does your local government budget adequately for fire protection? What is your city’s rating from the Insurance Services Office? “Your cost of property insurance can be affected by your city’s ISO rating,” Arnold says. “It’s a very good indicator of the importance a city council puts on public protection.” For information about ISO, check www.iso.com.
- Police protection Will the police respond quickly to reports of burglary or robbery? “Police are taken for granted until you need them,” Arnold says. “But you should concern yourself with average response times before you need to call.” If your fire department’s ISO rating is very low, there is a good probability that the police department also is being shortchanged in the city’s budget, Arnold adds.
- Street conditions How well maintained are your local streets? Can delivery trucks safely get in and out with their materials? Can customers get to your location without problems? If you live in area where it snows, are streets plowed in a timely manner so employees can get to work?
- School quality Are your local schools up to standard? What about your local community college? Is it training workers with the skills your company needs?
There are other local issues that the mattress industry, in particular, should monitor. They include: - Waste disposal & mattress renovation Is your local government banning mattresses from landfills? Are elected officials considering implementing or raising a fee for mattress disposal? What are your state laws concerning mattress renovation? Are there new plans for cracking down on unscrupulous renovators?
- Bedbugs Is your area suffering from an increase in bedbug infestations? Are local governments considering ordinances to address the problem that could impose impractical restrictions and unreasonable costs on your business, such as restricting how used mattresses can be transported?
