TEXAS A Publication of the Texas Association of Business Volume 31 Issue 1 January 2016 www.txbiz.org BUSINESS REPORT The Texas State Chamber Changing of the Guard The Only Editor Ever of the Employment Law Handbook Retires Since its inception more than 30 years ago, Brian Greig has been the managing editor of the Employment Law Handbook, but that changed at the first of the year. Greig is retiring from that post and partially retiring from his paying job at Norton Rose Fullbright. I m of counsel. They asked me to stay on after I retired from the partnership to help as clients might want my services or if I can help mentor some of the lawyers who were coming along, said Greig. The Employment Law Handbook has evolved over the last 30 years from a print only document Brian Greig that was updated yearly, to a living document that is constantly updated online. There was a time when the publication was online only, but that only lasted a couple of years, said Greig. It s evolved from a loose leaf book, to a soft cover, yet full volume, to something online. Hopefully, the people using the book will find it fairly up to date. The idea was some people are still in the dark ages like me and still like to hold onto a piece of paper and still like to make notes in the margin, or carry something around, so there is still a demand for a hardcover volume, Greig continued. Retirement is just an excuse for Grieg to do something new, and that s where Capital Academies comes in. Capital Academies is a non-profit, which is coordinating education opportunities between Austin Community College and around 10 area school districts to provide career and technical educational opportunities for 11th and 12th graders in high school, said Greig. They will receive dual credit for their classes, so they get college credit for their classes, and they ll get a certificate upon graduation that should be good for a job that pays $18 an hour or more. Also, as part of that experience, they will have a paid internship, usually between the junior continued on page 4 WORKFORCEQ&A Are you ready for 2016? Remember the 3 P s. Prepare. Protect. Preserve. (see page 2) UPCOMING EVENTS TAB is launching more regional chapter events to go with the statewide events that we have done for years. Information on all of those events, along with links to register for all of them, on our website. We invite you to go to our events page and explore all of the events in your area and sign up today. WWW.TXBIZ.ORG/EVENTS TAB MISSION To make the Texas business climate the best in the world.
2 WORKFORCE J. Alfred Southerland Southerland Law Firm Q&A Are you ready for 2016? Remember the 3 P s. Welcome to 2016! Now that you survived the holidays, here are three P s to help you start the year off right. Prepare. With the start of any new year, there are new laws that impact the workplace. Beginning Jan. 1, House Bill 910, known as the Open Carry Law, authorizes individuals to obtain a license to openly carry a handgun in the same places that allow the licensed carrying of a concealed handgun with some exceptions. Does that mean that an employer must allow its employees, customers and visitors to carry a firearm either open or concealed in the workplace? The answer is no, if the employer provides notice that entry onto the premises with an open or concealed firearm is prohibited, and the employer provides the written communication (i.e., posts the signs) required by Texas Penal Code Sections 30.06 and 30.07. By statute, premises do not include any public or private driveway, street, sidewalk or walkway, parking lot, parking garage or other parking area. Therefore, employees with an open carry or concealed handgun license may store the lawfully possessed firearms and ammunition in their vehicles parked in a parking lot or garage provided by the employer. While notice under the statutes may be oral, an employer should have a written policy prohibiting the bringing of a firearm onto the employer s premises. If the employer chooses to post a notice, it must comply with the requirements specified in Penal Code Sections 30.06 and 30.07. Protect. The start of any year is a good time to review, update and provide to employees an updated handbook and/or key employment policies. With last year s Supreme Court decisions and local initiatives, employers may want to update and/or provide to their employees Equal Employment, Anti-Harassment and Family and Medical Leave policies. While it is important to protect the company by publishing these policies, the employer should also ensure that these policies are being practiced and not merely words. Preserve. Finally, federal and state laws require employers to maintain and preserve employment applications, personnel records, time and pay records and other employment related information. The significance of such preservation has grown in importance over the last decade with the development of electronically stored information (e-mail, text messages, etc.) The developing law has made it clear that the requirement to preserve records does not begin with notice of a lawsuit or charge of discrimination. Rather, once an employer becomes aware of the potential of a claim, steps should be implemented to preserve documents, e-mails, text and voicemail messages and other records relevant to the issue. If you have any questions or would like a sample firearms policy, please contact me at alf@southerlandlawfirm.com. TEXAS BUSINESS REPORT Volume 31 Issue 1 January 2016 TAB STATEWIDE OFFICERS Chair, Sara Tays TenPoints Consulting Chair-Elect, Gary Gibson Star Furniture Company Treasurer, A.J. Rodriguez Zachry Group Secretary, Bob Cartwright Intelligent Compensation, LLC Immediate Past Chair, Terri Ricketts Texas Competes Regional Chair Rep., Rossanna Salazar Ross Communications, Inc. TCCE Chair-Elect, RaDonna Hessel Grapevine Chamber of Commerce General Counsel, Jay Rutherford Jackson Walker LLP CEO, Bill Hammond President, Chris Wallace Corporate Secretary, Melissa Collins Texas Association of Business TAB TEAM CONTACTS Aaron Cox, Vice President Chamber Relations acox@txbiz.org Cathy DeWitt, Vice President Workers Compensation, Tort Reform and Employment Relations cdewitt@txbiz.org Stephen Minick, Vice President Environmental Quality and Energy sminick@txbiz.org Amanda Martin, Governmental Affairs Manager Insurance & Health Care amartin@txbiz.org Robert Wood, Communications Director rwood@txbiz.org Paula Romano, Director of Member Engagement & Regional Executive Director North Texas promano@txbiz.org Sharon Berger, Member Services Manager sberger@txbiz.org TAB REGIONAL OFFICES Regional Executive Director Central Texas Belinda Matingou bmatingou@txbiz.org ~ (404) 219-3686 North Texas Area - Mark Sadowski msadowski@txbiz.org ~ (214) 906-3361 Northwest Texas Area - Marshall Jeffus mjeffus@txbiz.org ~ (940) 642-5428 Southeast Texas Area Miles Resnick mresnick@txbiz.org ~ (409) 363-1481 Gulf Coast Area Chelsie Kramer, Regional Executive Director ckramer@txbiz.org ~ (713) 591-9751 Texas Business Report (ISSN0892-6816) is published on the quarterly by Texas Association of Business, located at: 1209 Nueces Street, Austin, TX 78701. Subscriptions are available at a rate of $2.00, which is deducted from TAB members annual dues. Articles may be reprinted with permission. Legislative advertising paid by TAB. Periodicals Postage Paid at Austin, Texas. POSTMASTER Send address changes to: Texas Business Report, 1209 Nueces Street, Austin, TX 78701
A Year to Remember A message from outgoing TAB Chair Terri Ricketts Terri Ricketts, TAB 2015 Board Chair 2015 was an extremely successful year for the Texas Association of Business. That is a testament to the hard work of our staff and our leadership. Even through some incredibly hard times, our staff kept working to represent all of you, our members, in the halls of the State Capitol. We had one of the best legislative sessions in many years. We saw tax savings for businesses, including a franchise tax cut, homestead exemption increase, elimination of several professional license fees and a reduction in the surcharge for the sale, lease or rental of diesel equipment. TAB also was instrumental in passing environmental permitting reform, something we have needed for years to keep Texas competitive with other states. We also were successful in stopping the repeal of in-state tuition for undocumented students who graduate from Texas high schools. We should not limit those students from becoming productive and legal members of our workforce and from becoming U.S. citizens. We increased media coverage of our issues this year to the tune of over $13 million. That shows our issues were important enough to be talked about by the public, and that made a real difference in the outcome of many legislative debates. We worked on several governance-related projects, including an update of the bylaws for both TAB and our political action committee. We have a wellorganized process for board communications, which I believe will increase board participation. We worked to strengthen our relationships with the National Association of Manufacturers and with our 200 local chambers of commerce. That is a vital partnership that will ultimately grow TAB. TAB had a big federal victory in 2015 as well with the reauthorization of the Export-Import Bank of the United States. That reauthorization was critical to Texas businesses, and we worked very hard to get that message out to Congress. I am glad they listened and acted in the best interest of the people of Texas. We also added new services for our members, including a health insurance exchange and an identity theft prevention program. We will continue in 2016 to increase the value of membership to all of our member businesses and their employees. TAB also dealt with a huge loss in 2015. Our beloved Nelson Salinas left us suddenly and tragically. I wish to thank everyone who donated to the scholarship fund in his name to help his family. All of us at TAB miss him terribly. I would like to thank CEO Bill Hammond, President Chris Wallace and the rest of the TAB staff for working so hard. I also would like to thank all of the great leaders that went before me. Their vision and strategy have made this organization what it is today. I am proud to now be part of that leadership history. It was my pleasure to serve as your board chair in 2015, and I believe we are well positioned to continue the phenomenal success of this past year in the new year of 2016. 3
Making 2016 The Year of TAB A message from incoming chair Sara Tays 2016 offers Texas business and the Texas Association of Business many new challenges. Working together, I know we can meet those challenges and make this a great year for our businesses and our association. We are very proud that TAB is the most dominant and influential voice for public policy issues affecting business in Texas. There is strength in numbers, and our organization is growing. We are taking new steps to enhance our ability to grow by building stronger regional networks to enhance our influence on the legislative process and bring in new members from all corners of the state. Maintaining job growth is vital to Texas. Businesses make up 62 percent of the tax base in Texas. Without a healthy and stable business community, our state will face severe problems. That is why growing TAB s membership is so important not only to the future of the association but to the future of Texas. We are launching a new sustainability campaign called The Lone Star Initiative. Once successful, this campaign will allow us to accelerate our federal advocacy initiatives, develop a research division to assist our members, add a statewide business retention/expansion program and increase the chances for better outcomes in state policy debates and voter education. I would encourage you to take a look at this program and become a part of it. Sara Tays, TAB 2016 Board Chair We have much in store for 2016 to build on the successes of the past year under the leadership of 2015 Board Chair Terri Ricketts. We have an excellent group of officers and board members who are supported by a very capable staff led by Bill Hammond and Chris Wallace. I look forward to working with each of them and all of our members to ensure a productive and prosperous year ahead. Thank you for your commitment to TAB. Changing of the Guard continued from page one and senior year of high school, so they also have some work experience when they get out. The Capital Academies model is something that TAB has supported, including support for legislation. Last session, Rep. Paul Workman from Austin sponsored a bill in the Legislature that would give a tax credit to employers who participated and provided paid internships, said Greig. We didn t get that passed even though TAB supported it, but it will probably live to fight another day in the next session. Currently, the program is being tried in three Austin area high schools, Reagan, LBJ and Del Valle. The program is in information technology, said Greig. You can either get a certificate in network administration or in computer coding or in one of the various (computer) languages. When it comes to his 30-plus years of editing the Employment Law Handbook, Greig said the most important accomplishment was getting the Handbook into the hands of judges. We decided at one point we would give free copies of the book to judicial libraries around the state. I don t think that the book is written with any particular political bent, but in the area of employment law there s the employers side and the employees side, said Greig. We felt that an educated judiciary would be pretty important. A lot of judges come to these cases without having much exposure to employment law. They may have come up through the criminal bar or commercial litigation bar, the personal injury bar, but not through employment law. We were very grateful that they were willing to take our book. When Congressman Lloyd Doggett was on the Texas Supreme Court, he mentioned to me that he found it helpful and appreciated that we were providing that to the library of the Texas Supreme Court as a reference. I thought it was good that it was useful beyond what our original intended audience was, which was the HR professionals in our state. 4
Business and Commerce Political Action Committee Makes Endorsements Hammond: PAC Board endorses strong list of candidates The Business and Commerce Political Action Committee (BACPAC), the political arm of the Texas Association of Business, has announced its endorsements for the 2016 primary elections in Texas. BACPAC endorsed candidates in the majority of races in Texas, said TAB CEO Bill Hammond. The BACPAC Board endorsed a strong list of pro-business candidates committed to economic growth. There are a few races in which we did not endorse candidates. Many of those races will be revisited before the primary runoff election and some will be revisited before the general election. QUOTES The Texas Association of Business has been a strong supporter of Teladoc in our continued disagreement with the TMB. Teledoc CEO Jason Gorevic in Dallas/Fort Worth Healthcare Daily Below is a full list of the endorsements issued by the BACPAC Board. Races not listed were not endorsed at this time. State Supreme Court: Place 3: Michael Massengale Place 5: Paul Green Place 9: Eva Guzman U.S. House: District 1: Louie Gohmert District 3: Sam Johnson District 4: John Ratcliffe District 5: Jeb Hensarling District 6: Joe Barton District 7: John Culberson District 8: Kevin Brady District 11: Michael Conaway District 13: Mac Thornberry District 14: Randy Weber District 17: Bill Flores District 20: Joaquin Castro District 21: Lamar Smith District 23: William Hurd District 26: Michael Burgess District 27: Blake Farenthold District 28: Henry Cuellar District 29: Gene Green District 31: John Carter District 32: Pete Sessions District 33: Marc Veasey District 34: Filemon Vela District 36: Brian Babin Texas Senate: District 1: Bryan Hughes District 4: Brandon Creighton District 11: Larry Taylor District 12: Jane Nelson District 18: Lois Kolkorst District 19: Carlos Uresti District 21: Judith Zaffirini District 26: Jose Menendez District 27: Eddie Lucio Jr. District 28: Charles Perry Texas House: District 1: Gary VanDeaver District 2: Dan Flynn District 3: Cecil Bell District 6: Matt Schaefer District 7: Jay Dean District 8: Byron Cook District 9: Chris Paddie District 10: John Wray District 11: Travis Clardy District 12: Kyle Kacal District 14: John Raney So worst case scenario I think the state of Texas and tax payers will be protected by those reserved funds that are available. TAB CEO Bill Hammond on KTBC TV speaking about the drop in oil prices Our entire mission is to obviously make Texas one of the best climates in the entire world. So each and every day, if everything we do does not promote job creation for a fellow Texan, we re not doing our job TAB President Chris Wallace in the Shermann Herald Democrat. continued on page 7 5
TAB Members Celebrate 2015, Look Ahead to 2016 The Texas Association of Business Annual Conference updated members on the major issues facing the state of Texas, including a look at the Presidential race and a message from House Speaker Joe Straus. We had an incredibly successful conference again this year, said TAB CEO Bill Hammond. I feel that our conference is a way to get the message to state leaders that our association is engaged and ready to be part of the process. Launched at the conference was the Lone Star Initiative. It is a new sustainability plan for TAB that will help in the association s advocacy efforts in Austin and a planned expansion of the association s Washington D.C. presence. For more information on the Lone Star Initiative feel free to contact TAB staff. House Speaker Joe Straus addresses the TAB Annual Conference Healthcare panel talks to the TAB membership at the 2016 Annual Conference 6
TAB President Chris Wallace and Lubbock Chamber Executive Vice President Norma Ritz Johnson TAB CEO Bill Hammond with Rep. Paul Workman TAB Board Chair Sara Tays presents Rep. Tony Dale his Champion for Free Enterprise Award TAB Board Chair Sara Tays, along with TAB CEO Bill Hammond and President Chris Wallace, present outgoing Board Member Dennis Knautz with a Certificate of Appreciation for his service Congressman Kevin Brady with TAB Board Chair Sara Tays TAB CEO Bill Hammond with this year s media panel: Peggy Fikac with the San Antonio Express News and Houston Chronicle, Harvey Kronberg with the Quorum Report and Erica Grieder with Texas Monthly 7
QUOTES To remain competitive and to meet our current and future workforce demands, Texas business needs more highly skilled workers with college degrees. TAB CEO Bill Hammond in the Lubbock Avalanche Journal I definitely can t call it business friendly because it does take a lot of time and thought and consideration on how the sign is posted. TAB VP of Government Affairs Cathy Dewitt on the new open carry sign requirements on KTAB TV Abilene Mike is an innovator, and I m confident he will bring that innovation to the task of ensuring our students are ready for a career or college after they graduate. TAB CEO Bill Hammond on new Education Commissioner Mike Morath on KUHF Radio Houston Business and Commerce Political Action Committee Makes Endorsements Hammond: PAC Board endorses strong list of candidates continued from page five District 15: Mark Keough District 16: William Metcalf District 17: John Cyrier District 19: James White District 20: District 21: District 22: District 24: District 25: District 29: District 30: District 31: District 32: District 33: District 35: District 45: District 47: District 52: District 54: District 55: District 56: District 57: District 58: District 59: District 61: District 62: District 63: District 64: District 65: District 66: District 68: District 69: District 71: District 72: District 73: Marsha Farney Dade Phelan Joe Deshotel Greg Bonnen Dennis Bonnen Ed Thompson Geanie Morrison Ryan Guillen Todd Hunter Justin Holland Oscar Longoria Jason Isaac Paul Workman Larry Gonzales Scott Cosper Hugh Shine Charles Doc Anderson Trent Ashby DeWayne Burns J.D. Sheffield Phil King Larry Phillips Tan Parker Rick Hagen Ron Simmons Matt Shaheen Drew Springer James Frank Stan Lambert Drew Darby Doug Miller District 79: District 80: District 81: District 82: District 83: District 84: District 85: District 86: District 87: District 88: District 89: District 91: District 92: District 94: District 96: District 98: District 99: Joe Pickett Tracy King Brooks Landgraf Tom Craddick Dustin Burrows John Frullo Phil Stephenson John Smithee Walter Four Price Ken King Jodie Anne Laubenberg Stephanie Klick Scott Fisher Andrew Piel Bill Zedler Giovanni Capriglione Charlie Geren District 106: Patrick Fallon District 112: Angie Button District 113: Cindy Burkett District 114: Jason Villalba District 115: Bennett Ratliff District 121: Joe Straus District 122: Lyle Larson District 127: Dan Huberty District 128: Wayne Smith District 129: Dennis Paul District 130: Tom Oliverson District 132: Mike Schofield District 133: Jim Murphy District 134: Sarah Davis District 138: Dwayne Bohac District 145: Carol Alvarado District 150: Debbie Riddle 8
MEMBER PROFILE that offer relief to our clients and revenue to the bottom line. TAB Cornerstone Member Ryan Ryan is an award-winning global tax services firm with the largest indirect and property tax practices in North America and the seventh largest corporate tax practice in the United States. With global headquarters in Dallas, the firm provides a comprehensive range of state, local, federal and international tax advisory and consulting services on a multi-jurisdictional basis, including audit defense, tax recovery, credits and incentives, tax process improvement and automation, tax appeals, tax compliance and strategic planning. Ryan is a three-time recipient of the International Service Excellence Award from the Customer Service Institute of America (CSIA) for its commitment to world-class client service. Empowered by the dynamic myryan work environment, which is widely recognized as the most innovative in the tax services industry, Ryan s multi-disciplinary team of more than 2,100 professionals and associates serves over 12,000 clients in more than 40 countries, including many of the world s most prominent Global 5000 companies. We are not in the tax business. We are in the tomorrow business. We believe in liberating companies from the burden of being overtaxed and freeing their capital to invest in their own tomorrow. Clients should only pay the taxes they absolutely owe but no more because the rest fuels their dreams of a better future. When a company is overtaxed, job growth is underdeveloped, innovation languishes and growth suffers. What s next and what could be lack the economic fuel necessary to take flight. This is where we come in. We alleviate the tax burdens that weigh our clients down and hold them back. We are driven to reinvent how to master the complexity of the modern tax code. That is our passion. No one knows it better. Where others see rules and regulations, we see opportunity. Where some see codes and constrictions, we see what could be. Where others say we re done here, we say, let s get started. We do not rest until we ve created value and delivered results Brint Ryan This is the core principle Ryan was founded upon. We are here to liberate our clients from the burden of being overtaxed, freeing their capital to invest, grow and thrive. One of Ryan s core values is generosity. Simply put, we share our success. Ryan s success has resulted in substantial rewards for its associates, and it is their generosity and our firm s culture of giving back to the community that inspired our establishment of The Ryan Foundation. The Ryan Foundation was formed in 2011 with a charter to help organizations that address health, poverty and distress, and educational needs. The Ryan Foundation supports four key beneficiaries (American Heart Association, Friends of Wednesday s Child, Habitat for Humanity and St. Jude Children s Research Hospital) and others as chosen by Community Outreach Committees from each local office. Since 2011, The Ryan Foundation has provided approximately $2 million to 200 charities. All contributions (financial, in-kind and volunteer hours) made by The Ryan Foundation are internally advised. We are unable to accept unsolicited requests for support from organizations. Ryan associates have contributed financial support and countless hours of service to their local communities through respected and well-researched charities. More information about Ryan can be found at ryan.com. Ryan s Board of Managers 9
How Texas Stacks Up Texas maintains a healthy tax climate The latest report from the Tax Foundation finds Texas ranked 10th in the 2016 State Business Tax Climate Index. That is the same ranking Texas earned in 2015, but it is possible there will be an improvement in 2017. According to the report: This year, Texas gross receipts tax, styled the Margin Tax, saw a modest rate reduction, with the general rate declining from 0.975 percent to 0.95 percent. This change did not impact the state s score in the 2016 Index. A further reduction to 0.75 percent is scheduled for 2016. At the bottom of the list are California, New York and New Jersey. The report said, when a state imposes higher taxes than a neighboring state, businesses will cross the border to some extent. Therefore, states with more competitive tax systems score well in the Index, because they are best suited to generate economic growth. That is certainly true when you look at the reasons companies are migrating from states like California to Texas in large numbers. While tax structure may not be the number one reason, it is certainly a big reason businesses are coming to Texas. California business relocation expert Joseph Vranich, President of Spectrum Location Solutions in Irvine, told the Dallas Morning News, Texas is an easier place in which to conduct a business. Why is that so? A lot of people think it s taxes, but in my view, the number one benefit is an easier regulatory environment. California s regulatory regime is so harsh that it causes companies to look at all kinds of states to go to. His study showed Austin, Dallas, Houston, San Antonio, Plano, Irving and Fort Worth all top destinations for California companies moving to Texas. Vranich recently updated his study, looking at eight years of data. I prepared the report because California s public officials fail to take seriously the issue of business exits, said Vranich, an Irvinebased site selection consultant. Using an accepted statistical model, it s estimated that 10,000 companies have disinvested in California in the last eight years. Texas public officials are taking the California migration seriously. This report echoes what businesses that relocate to Texas continue to say they are sick and tired of being over-taxed and over-regulated and are making the economically sensible choice to move to Texas, said John Wittman, deputy press secretary for Texas Gov. Greg Abbott s office in the Dallas Morning News. Even though Texas has a friendly business tax climate with low rates and a broad base, that should not be taken as Texas businesses aren t paying their fair share. Businesses in Texas still make up 62 percent of the tax base. The report reminds readers that, The taxes paid by businesses should be a concern to everyone because they are ultimately borne by individuals through lower wages, increased prices and decreased shareholder value. States do not institute tax policy in a vacuum. Every change to a state s tax system makes its business tax climate more or less competitive compared to other states and makes the state more or less attractive to business. 10
TAB Honors Members New award program begins at Annual Conference For the first time, TAB recognized members for outstanding service to the association. Graham International, Ana-Lab and Ryan LLC were recognized in the company categories. Pam Bratton of Meador Staffing was presented the Volunteer Award, and the Lubbock Chamber of Commerce was honored as the Outstanding Chamber Partner. We wanted to honor members of TAB who have been doing work for many years to help us grow, said TAB President Chris Wallace. That is why these awards were created. We plan on making this a regular feature of our conference every year from now on. In addition, Jeff Dodson, Executive Vice President of Government Affairs for Boeing, was presented the Chairman s Award for his work over the decades for TAB, including the recent campaign to save the Export-Import Bank of the United States. Dodson is retiring from his position at Boeing and plans to spend more time with his family. Graham International s Brett Graham with TAB Board Chair Sara Tays and TAB President Chris Wallace TAB CEO Bill Hammond, Boeing s Jeff Dodson, Board Chair Sara Tays and President Chris Wallace Ana-Lab President Dr. Charles Whiteside with TAB Board Chair Sara Tays and TAB President Chris Wallace TAB CEO Bill Hammond, Lubbock Chamber Executive Vice President Norma Ritz Johnson, Board Chair Sara Tays and President Chris Wallace Volunteer Award winner Pam Bratton with TAB CEO Bill Hammond, TAB Chair Sara Tays and TAB President Chris Wallace 11
1209 Nueces Street Austin, Texas 78701 (512) 477-6721 phone (512) 477-0836 fax www.txbiz.org TEXAS BUSINESS REPORT JANUARY 2016 The Texas State Chamber AboutBusiness Talk Unilateral Economic Disarmament Makes No Sense Bill Hammond, TAB CEO Imagine that your employer informs you that a 25 percent tax will be withheld from your pay check, with that money going to help achieve world peace. While the sacrifice will be difficult, the cause is just and something you support, so you agree. You find out later, however, that yours is the only company that has taken this action. As a result, you are now at a significant competitive disadvantage among your neighbors, and sadly, there has been no progress toward world peace. You now realize that world peace isn t something you can achieve through unilateral action. That is exactly what this country is doing in addressing climate change. Despite what the administration and others continue to say, the science of climate change is anything but settled. But even if you accept, without questioning, the arguments put forth by climate alarmists, the plans to address climate change supported by the Obama administration will have no measureable effect a fact the administration does not deny because it is in their own documentation supporting the EPA s Clean Power Plan. It may feel good to believe you are doing something to address the issue of climate change. But the Obama administration s Clean Power Plan will drive up electricity costs by double digit percentages, cost thousands of jobs, devastate local economies based on traditional fuels and reduce property tax revenues essential for the operation of local governments and school districts. Here s the problem: the Clean Power Plan, according to the models supported by the EPA, will affect less than 0.18 percent of global greenhouse gas emissions, reduce the rise in the sea level by 0.016 inches and reduce global average temperatures by less than 0.02 of a degree C. Essentially the Administration is demanding that every citizen and business absorb significant costs to accomplish what will be so small it cannot be measured. We truthfully don t know whether all nations acting together can have a measureable impact on the climate. What we do know is that if programs to reduce greenhouse gas emissions are to be imposed, every nation must be part of the effort. Under the Paris Accord, designed to address climate change, China will continue to increase carbon emissions until 2030, and only then will consider a reduction. Without China and India and the other emerging nations willing to fully participate, the only result of this plan will be self-inflicted wounds on the U.S. economy. Americans will face lost jobs, lost income and huge utility bills, with minimal impact on the actual issue. That seems like a high price to pay. The only real answer to reduced emissions is reduced power consumption. There are many ways that electricity use can be reduced through voluntary, free market means. Texas has been a leader in those efforts, but we need to continue their development. We also must continue to invest in fundamental research to find new ways to generate large amounts of power cleanly. Solar power and wind power have their place, but will only become relevant on a large scale when, and if, we can come up with new battery or other storage technology. We must advance our development of improved nuclear power technology. The development and deployment of standardized nuclear power plant design in Europe is a model that should be expanded to the U.S. not abandoned due to unreasonable fears that force us to consider only less cost-effective energy solutions. This is one of those issues where there is not an immediate quick fix. We are going to have to be patient and let science and technology work at a careful and reasonable pace to find the best energy solutions instead of crippling our economy and becoming less competitive with the rest of the world.