General Counsel’s Corner: Returning to Our Roots—Practice your Grassroots Activism in 2009!

 
I am departing from my typical focus in this column on a recent legal development or risk issue, because I have been occupied with thoughts of what may await our industry as a result of the declining economy. I suspect you share in those reoccurring thoughts as well. The fall season also is the time when NASBP anticipates and takes stock of the issues and actions that will form the brunt of its advocacy agenda in 2009. These two streams of thought brought to mind a Latin expression “ad fontes,” which literally means “to the fountain,” and stands for the concept that sound knowledge resides in a return to the most fundamental sources.

For NASBP, the most fundamental sources have been and always will be the energy and talents of our members. We are a grassroots advocacy organization that must rely on each member becoming engaged and taking action to educate on and to advocate for the interests of suretyship. Indeed, NASBP has a distinguished record of accomplishments in this arena. The declining economic reality, however, is likely to increase what is at stake for our interests, and those who benefit from extension of surety credit. We, in turn, must be prepared to rededicate ourselves to grassroots activism to meet the challenges that undoubtedly will lie ahead. We also must be prepared to shape, not to be shaped by, developments, and NASBP is prepared to do just that!

NASBP is investing in the resources necessary to make sure that the bond producer’s voice is heard and understood. I am pleased to relate that Larry LeClair, consummate government relations professional with advocacy experience at state and federal levels, has joined the government relations team at NASBP as Assistant Director, Federal and State Relations. Larry came to NASBP from North American Securities Administrators Association, an international trade organization representing securities commissioners in all 50 states, the U.S. territories and Canada, where he served as the State Legislative Affairs Manager. Larry also has served in government relations positions with the American Institute of Certified Public Accountants and the American Tort Reform Association. With Larry on board, NASBP will embark on a proactive advocacy agenda, including the following:
 

Congressional Communication Campaign & September Congressional Fly-in – NASBP will undertake greater efforts for visibility on Capitol Hill to advocate its federal government relations agenda and to remind legislators and key staff about the importance of surety bonds. To that end, NASBP has developed a new public relations piece for distribution to all congressional offices detailing the importance of surety bonds, particularly in the current economic climate and for infrastructure investments. The circulation of this piece will be followed by in-person visits with key congressional leaders in the winter and spring to discuss issues of concern. NASBP also is planning a congressional fly-in in September 2009 where members will visit their congressional representatives.

FAR Reform – NASBP is forming an industry coalition to advocate for revisions to the Federal Acquisition Regulation to engender transparency in the decisions of contracting officers to waive or reduce the Miller Act bond requirement and to tighten regulations governing the assets pledged by individuals issuing bid, payment, and performance bonds on federal construction projects.

Infrastructure Investment – NASBP is working with an industry coalition, which includes the AGC, NUCA and others, to advocate for increases in funding of road and water infrastructure projects in the U.S. for the purpose of stimulating the Nation’s economy and job creation.

Inclusion of Small Business Platform – NASBP will advocate for changes in federal procurement policy that would help remove obstacles for small businesses to seek award of federal projects, such as hiring additional procurement officers to make procurements more efficient and controls on bundling of projects into one larger project.

SuretyPAC Contributions – In October 2008, SuretyPAC contributed $17,000 in contributions to support key congressional candidates seeking office or reelection, bringing total contributions to candidates to $19,000 in 2008. In 2009, NASBP will follow up with these individuals to enlist their support with our government relations goals and objectives.

There are many ways to be an activist; but the fundamental source of all activism is personal contact and direct action by members. To that end, I urge all of you to make it your priority to visit with your elected officials at home and in Washington, DC in September 2009. If you have not visited the NASBP web site lately, stop by—much material already resides on the web site about government relations and industry relations subjects that can assist you with your visits. The government relations team also stands ready to assist you with advice, information, and assistance. We may also call on you to help us in your state or locality or to ask that you contact your elected official about a specific legislative or regulatory issue. Your activism is much needed and always appreciated and will pay substantial dividends for our industry in this uncertain time.

These materials are provided to NASBP members and affiliates solely for educational and informational purposes. They are not to be considered the rendering of legal advice in specific cases or to create a lawyer-client relationship. Readers are responsible for obtaining legal advice from their own counsels, and should not act upon any information contained in these materials without such advice.