In response to an escalating campaign by organized labor to make it easier to establish a union presence in the workplace and to statutorily increase their influence and utilization on projects funded by public/private partnerships, the Council is bringing together a broad-based coalition of tech leaders. This collective of life sciences, clean energy and manufacturing employers will examine and develop a strategy to address the negative economic consequences of recent regulatory decisions and pending policy proposals in Washington and Massachusetts.

In Washington, organized labor's top priority this Congress includes the "Employee Free Choice Act." The measure would effectively eliminate private-ballot elections when deciding whether workers want union representation in their workplace. Currently, employees can cast their vote confidentially, without coercion from unions or employers under the watchful eye of the National Labor Relations Board.  The bill would eliminate confidential elections and establish a "card-check" union organizing system, in which a majority of employees simply sign a card in favor of union representation.
 
This summer, we will be presenting an executive briefing for Council members led by Goodwin Procter and others touching on issues and strategies under current law and an update on the Employee Free Choice Act. 
 
In Massachusetts, an aggressive campaign has been undertaken by the International Brotherhood of Electrical Workers (IBEW) targeting the life sciences community in order to increase the union's share of development and construction work.
 
The IBEW has also been working in a number of New England states in 2009 to mandate changes in regulations governing solar panels.  Wind, fuel cells and other clean energy technologies are also being targeted.  

We expect this effort to further develop the Council's strategy in Massachusetts, New England and in DC in order to mitigate the economic consequences of these labor activities. 
 
Beacon Hill Update
 
Transportation Reform
 
The sweeping transportation reform bill first introduced in February was passed on June 18.  The reform measure eliminates the Turnpike Authority, and consolidates the MBTA/Regional Transportation Authorities, Mass Highway Department, Registry of Motor Vehicles and Mass Aeronautics under a unifying agency called the Massachusetts Department of Transportation (MassDOT), and is projected to save the state up to $6.5 billion during the next 20 years.

Passed by a Senate vote of 27-11 and a House vote of 130-25, the bill also significantly restructured pension rules and benefits at the MBTA moving 10,000 employees and retirees to the Group Insurance Commission (GIC) by 2010.  Many of these elements were supported by the Council, and we are hopeful that the $6 billion in efficiencies can be realized if the reforms are properly implemented.

The transportation bill passed as lawmakers prepare to raise the sales tax and dedicate $275 million in new revenues to the transportation system. The funds could nullify a turnpike toll hike scheduled for July 1 and provide fresh revenues to the MBTA, which is still likely to institute another round of fare increases. 

Legislature Passes Budget

On June 19, the Legislature passed a $27.4 billion budget for 2010 that will be known as much for the startling tax increases it contains as for the local aid cuts it imposes.  The budget includes nearly a billion dollars in tax hikes, $1.5 billion in one-time federal stimulus funds and about $2.4 billion in spending cuts including a potential 15% local aid reduction.
 
The tax hikes include a 25% increase in sales tax, along with higher rates on alcohol, meals, hotels, satellite TV, telecom equipment and RMV fees.  Governor Patrick, despite publicly disclosing that he is not fundamentally opposed to a sales tax hike, has threatened to veto the measure if his ethics bill is not passed first.  It should be noted that the ethics breaches that gave rise to the string of indictments of the past three House Speakers were illegal yesterday, are illegal today, and will be illegal tomorrow, regardless of whether the Legislature passes any other reforms.
 
Council to Increase Washington Presence for Emerging Tech
 
In an effort to better connect potential high-growth technology businesses with federal decision makers and funding streams in Washington, the Council and Defense Technology Initiative are establishing a pilot program with noted public affairs firm Rasky-Baerlein of Boston, MA and Washington, DC.  To expedite growth and sales, this new program creates a coalition of emerging New England innovation technology companies and provides the high level information and access needed to identify and connect with strategic partners, including prime government contractors and the Departments of Defense and Homeland Security.
 
In order to familiarize you with this member benefit and to maximize its value to your company, we are hosting an initial program focus-group with a limited number of members to discuss program elements with Joe Baerlein and Dave Tamasi from Rasky-Baerlein. We will provide a detailed overview of corporate visibility, political intelligence, strategy development and advocacy services rendered through this unique partnership during a meeting scheduled for June 26, 2009. 
 
For more information or to RSVP, please contact Don Quenneville at q@defensetech.net.
 
Council Supported AP Initiative Showing Gains
 
Among the specific results-oriented education initiatives the Council has been involved with is the Massachusetts Math and Science Initiative (MMSI), a division of Mass Insight Education and Research Institute.  MMSI seeks to promote academic excellence and transform school culture by increasing the number of students enrolled in math, science and English Advanced Placement (AP) courses and passing the related AP exams.
 
MMSI launched the first cohort of Massachusetts schools in 2008 with a grant of $13.2 million over six years from the National Math and Science Initiative led by ExxonMobil, Dell and the Bill & Melinda Gates Foundation.  MMSI provides extensive training for AP and Pre-AP teachers, establishes AP lead teachers, demands additional student preparation and provides performance-based financial incentives for students and teachers.
 
MMSI embodies the core elements of the Council's 2007 comprehensive education policy which focused on capacity development and systems change including improved professional development, teacher recruitment, differentiated compensation and expansion of innovative school models (click here for more information).
 
Initial Results:  At the end of just one year, AP scores have doubled for African American and Hispanic students in Massachusetts.  In the coming months, the data confirming this stunning first-year success will be compiled, even as teacher unions continue their campaign to stop the program.  Look for further details on this later in the summer.

AP Exams Taken in 10 MMSI APTAP Schools in Math, Science, and English
For African American & Hispanic Students
2009 Results are Preliminary

MHTC Energy Program Evolves: SourceOne Leads Effort
 
Building on a 13-year record of responding to market changes by offering innovative products and services, the Council and our strategic partner SourceOne, Inc. have organized a new and more comprehensive suite of energy services for participating Council members.  The Council currently provides bill audit, sustainability and competitive supply procurement services. Now, in addition to those services, SourceOne will provide Council members access to a suite of comprehensive energy services which includes enhanced procurement, efficiency and public policy features.
 
Reflecting the changing requirements of Council members, we have established the capacity to conduct a competitive power supply procurement approach for individual members assuring best provider, product and price available in the marketplace to more effectively integrate with corporate energy strategies.  As they are doing with many Council members, SourceOne will work to develop an individualized strategy for procurement taking into consideration members' risk tolerances to establish budget certainty and introduce energy cost savings.
 
Additionally, SourceOne will assist Council members with energy efficiency initiatives, renewable/clean energy sourcing and carbon quantification and reduction strategies.  The Council will also enhance the policy component of its energy program, by examining and engaging in the Massachusetts Clean Energy Challenge, exploring the role of the International Brotherhood of Electrical Workers in energy initiatives and monitoring the Federal Stimulus package's impact on energy.
 
The Council and SourceOne invite you to attend a meeting on July 22 from 8:00-9:30 a.m. at the Burlington Marriott to discuss the benefits of this new program and to learn more about product offerings from various competitive power suppliers.  A final agenda and speaker list will be provided in advance of the event.  If you or a member of your team is interested in attending, please RSVP to Daniella DeChristopher at daniella@mhtc.org.
 
Next MassTrack Tech Caucus Meeting July 10