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NFIB urges caution: using WBF mechanism to fund BOLI could create precedent, member says
Summary
Anthony Smith of the National Federation of Independent Business told MLAC that using the workers' benefit fund's collection mechanism to finance BOLI sets a risky precedent that could be extended to other agencies, urging caution and calling for transparency and limits.
Anthony Smith, speaking for the National Federation of Independent Business, told the Management-Labor Advisory Committee he fears the bill’s financing mechanism could be used beyond its stated purpose. "We're just we just wanna be cautious about using it as as, you know, for back lack of a better word, a piggy bank to fund anything and everything that the legislature wants to fund without having to tap into general fund," Smith said.
Smith acknowledged the sponsors’ efforts to insulate the workers' benefit fund but said small businesses worry the same collection infrastructure could be repurposed for large unrelated expenditures in future sessions. He urged the committee to prioritize safeguards and transparency, including clear statutory limits on what the assessment can fund and to require public review of any future uses.
Committee members responded by probing guardrails, transparency and whether a 0.6 supermajority requirement should apply if the measure functions as a revenue-raising statute; sponsor Kathleen Taylor and BOLI staff said they are open to drafting amendments to tighten language, and DCBS staff described how rate-setting and statutory levers would work if revenues fall short.
