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Case Studies
During the autumn of 2010 Governor Rendell pushed hard for a severance tax on the Marcellus Shale industry.  An onerous tax on Marcellus Shale drilling had bipartisan support and seemed certain.  The only issue was how to use the money generated.  

There seemed little the new Marcellus Shale Industry could do to stave off a tax that would have essentially shut down one of the only job producing sectors in Pennsylvania.

Concern over tax dollars being funnelled into the general fund, rather than environmental remediation or open-space programs like Growing Greener, was a significant issue for us.  The Marcellus Shale industry needed to act.  PACAN worked out a plan to challenge the supporters of the tax initiative and raised confidential money within the Marcellus Shale industry.  We then targeted five legislators deemed vulnerable in their districts to an anti-tax message, including the then PA House Majority Chair of the Environmental Resources and Energy Committee, Bud George. 

For two weeks, PACAN financed automated phone calls and radio ads targeting these legislators and urging their constituents to act and tell them that jobs were at stake.  Before the two week period closed, contacts within the legislature indicated a 180 degree change of heart amongst severance tax supporters.  A small initiative yielded large results by setting a tone in Harrisburg that businesses especially the Marcellus Shale industry are not a cash machine for government pork-barrel projects.   
PACAN Case Study: Marcellus Shale
PACAN Case Study: HB 400
HB 400, otherwise known as the "Subcontractor Extinction Act" was designed to change the way a subcontractor was classified and severely punish contractors who hire independent subcontractors.  The bill among other things included provisions to:
  • Grant authority to labor unions to sue contractors on behalf of a subcontractor, even without their consent.
  • Grant the state government authority to stop work if they suspect a subcontractor is misclassified.
  • Turn misclassifying an independent subcontractor into a misdemeanor with a $1000 criminal fine and $2500-$5000 in civil penalties per instance.
  • Place the burden to prove a subcontractor is NOT an employee on the contractor.

This egregious bill was a gift to the unions and is a drag on the growth industries that rely on contractors to get the economy going again.  PACAN in conjunction with other groups lobbied the Pennsylvania State Senate to kill the bill.  We identified a handful of Senators that were undecided and PACAN Field Representatives targeted these Senators for grassroots advocacy.  Our field reps organized grassroots groups and stakeholders in the targeted districts to reach out to the Senators and demand they vote against the HB 400.  One industrious Field Rep, knowing a targeted Senator's family members directly impacted by the bill, lobbied them to get him to vote against the bill.  In the end the primary targets for the bill didn't vote for it.  It is reported that the aggressive grassroots efforts of PACAN and it partners caused one of the targeted legislators to leave the Labor & Industry Committee all together rather than be caught between unions and pro-business advocates again. 
Traditional business advocacy is diplomatic and requires a series of steps and personal relatioships to achieve it's goals.  Unfortunately, the current economic realities and pressure businesses face today force businesses to forgo this luxury.  Anti-business forces are not opposed to leveraging our politicians to meet their needs.  PACAN believes that business must incorporate the same leverage tactics to fulfill ours as well.  PACAN knows that your small business feeds, clothes and houses your family.  If your business suffers, your family suffers.  Here are a few instances where PACAN successfully leveraged legislators to benefit business.
   © 2011 PACAN - Pennsylvania Commercial Action Network   All Rights Reserved
The Last Word
The advocacy philosophy of PACAN works efficiently.  Using leverage, it moves a politician away from anti-business initiatives and protects businesses from regulations that increase costs, undermine employee moral, and tax the private sector into oblivion.  The only missing component is you.  Get engaged now, join PACAN!