Tuesday, October 12, 2004

Insurance broker Scott Hauge to his allies in the small business community after meeting on Proposition K late Tuesday afternooon:

"Stephen Cornell, Dave Sahagun and I met with the Mayor, Steve Kava, Ben Rosenfeld, Sean Elsbernd and Wade Crawfoot.
I am going to present to you what the Mayor said. I may not agree with some of this but I am going to present it as it was presented to us.
The deficit in the budget if J and K both fail next will be $97 million. K is 30 million from the gross receipts and 13 million from the changes in the way owners of Sub S, partnerships, LLp's etc giving a total of 43 million.
The Mayor plans to aggressively promote the passage of J and K. He plans to be out there talking about it. He also indicated that he will announce the day before the election the budget cuts which will include Rec Centers, alcohol centers mental health clinics etc.
He proposed to us that he would have Send Elsbernd introduce legislation next week with at least 5 plus coauthors providing small business with an exemption of $ 2 million. He would then hold a press conference with the Supes and other parties announcing this and he wants small business to be at the press conference supporting this.
He believes at the $2 million exemption 50 to 70 % of the small businesses will be exempted. He believes now that the tax as is will effect 8000 businesses.
As I said (I may not agree with some of the information but I am presenting it as it was presented to us.
I need your feedback immediately. If you have never responded to my emails before please do so on this one. I want feedback not just from small businesses but any the people in the alliance we have formed.
I would ask small businesses to keep in mind that we have made alliances many of which like Leland Yee, the 30 candidates for Supervisor, the Neighborhood Coalition, the attorneys, the car dealers, the Hotel Council, Union Square Association and the list goes on. We couldn't have gotten to this point without those alliances
There will be a Small Businesses Commission meeting next week and I will get back to you when a date is established. However we need your input in the next 48 hours.
Please respond. If any of you want my thoughts I will give them to you in a separate email but I want to present what the Mayor said as he said."

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