As the fourth and final round of this year's US Open finally draws to a close, some of my (LIA Director of Communications, Marketing and Member Services Gary Wojtas) musings from the fairway. First, no matter how hard we try and hope, we cannot control the weather. And in one of the unprecedented Junes ever on Long Island, the rain just wouldn't or couldn't let up. This obviously caused all sorts of chaos for the USGA, the players and, of course the fans. Special kudos to the grounds crew, who kept the course playable even while the spectators had to mud bog their way around the 18 holes of Bethpage Black throughout the week.

While, I, personally am happy for Lucas Glover, the 2009 champion, who played with the heart of a lion, how can you not feel sorry for both David Duval and Phil Mickelson, both incredible players who deserved to win as much as Glover. But, as usually happens in a US Open, Glover made the shots and the putts he needed to during the last 4-5 holes, to win our National Championship.

As for Mickelson, coming up just short again in a US Open (the fifth time he has finished second), he just couldn't make the important shot when it really mattered. The incredible eagle on 13, following the birdie on 12 were offset by the three-put on 15 and the missed five foot putt on 17. For Duval it was mostly a day when the golf Gods were against him. Starting, with his first shot, the tee ball on 3 that buried in the bunker and ending, for him, when his parr put on 17 spun out of the cup.

Next year's Open heads back west to Pebble Beach on the Monterey peninsula in California. Its still unclear when the Open comes back to Long Island. Whether it will be Shinnecock and then Bethpage or vice versa, one thing is for sure: as much as New Yorkers get knocked for certain things, you can never question the passion for sports that exists in this region. Here's looking to another Open in Bethpage where the best players in the world are chasing that little white ball and the regional populace are on the edge of their seats for four or five days. Its another thing that makes Long Island truly great.

So it's finally here. 2009 U.S. Open week supposedly began today with the first official practice round. And, as in keeping with his tradition, Tiger was out really early this morning to avoid crowds and play by himself. He got in nine holes, and then left. Players are all over the course. Some notables who won't be there this year include Davis Love, who did not qualify; Shingo Katayama, of the strange Asian cowboy hat, withdrew; as did Robert Karlsson, the really tall Swede who was in the running last year at Torrey Pines, before finally finishing fourth.

In my mind the practice rounds are great fun and a chance to get up close and personal, but the real, action does not begin until Thursday with the start of Round one. As far as who will win, there is some interesting and not so interesting supposition on the LIA front. LIA President Matt Crosson and LIA Health Alliance COO Fred Barba, believe, like so many others, that it is Tiger's event. I (LIA Director of Communication, Marketing and Member Services Gary Wojtas) think that a not so well-known person could grab the prize this year. I like veteran American golfer David Toms or relative newcomer Sean O'Hair. What do you think? Let us know before Thursday morning.

The Village of Farmingdale has put out the red carpet this year to attract more business from Open spectators. In 2002, the village was disappointed by what was perceived as a lack of attendance at area shops and restaurants. The argument is that there is so much going on at the Open village and outside spectators are bused to Jones Beach, directly past the village, that few saw reason to stop and shop and dine. It will be interesting to see what happens in 2009. Maybe a Tiger and Phil spotting at the Library Cafe will boost traffic?

Sometimes you have to wonder.

The LIA and almost every other business organization downstate opposed the MTA payroll tax on the grounds that it would seriously hurt thousands of small businesses and not-for-profits. A one-third of one percent tax might not sound like much in good times, but in the midst of the Great Recession it literally can mean the difference between staying in business and insolvency. It might be reasonable to argue that there was no practical alternative to a payroll tax, but it is not reasonable to argue that the tax will have no negative effect.

That’s why I found State Senator Brian Foley’s remarks to WLNY-TV last Friday (May 8th) so troubling. Sen. Foley said (and this is a verbatim transcription):

Senator Foley: “Yes, it’s a bit of a payroll tax. Should it cause any business to leave Long Island, or should it cause any business to go under? No, it should not. If it does, then you have to question the business’s fragility to begin with.”

“Fragility?” That’s exactly the point. Thousands of small businesses and not-for-profits are at this very moment in the most fragile condition they have been in for many years, perhaps ever. And we don’t have to question their fragility, we are confronted with it every single day.

I like Sen. Foley very much and I mean him no harm, but that comment made me wonder if he really understands what’s happening in the small business community. In the last five weeks, the State Senate Majority of which Senator Foley is an important part, has raised taxes by over $9 billion, $11billion if you count the elimination of the STAR property tax rebate, and I certainly count it. Billions of those tax increases are falling squarely on small business people, the very people on whom the recovery of our economy depends. The MTA tax was just the latest in the long chain of taxes.

Is it possible that the Senate Majority does not understand the damage those taxes are doing to small businesses? Is it possible that they don’t understand how much more difficult it will be for this state’s economy to recover because they chose the midst of a deep recession as the time to create a record amount of new taxes? Is it possible they really believe that the MTA tax will have no negative effect on the thousands of small businesses and not-for-profits that are desperately struggling to stay alive?

You have to wonder.

Remember how former New York City Mayor Ed Koch used to ask, “How’m I doing?” Well, after the debacle of the recent State budget, I (Matt Crosson, LIA president) have been wondering how New York is doing. I came across a report entitled “Rich States, Poor States” published by the American Legislative Exchange Council (ALEC), which is described as a non-partisan organization of state legislators around the country who are fiscally conservative. The report presents what is called the “ALEC-Laffer Economic Competitiveness Index,” a ranking of the 50 states according to their economic performance and economic outlook.

New York’s 2009 economic outlook was dead last, no pun intended. And that was before the budget and its huge tax increase was done.

The idea behind the Index is that the heavier a state’s taxation, the lower its economic outlook. No surprise, therefore, that New York was at the bottom of the list. It’s pretty certain, based upon their decision to raise taxes an effective $9 billion in the midst of a recession, that the triumvirate ruling Albany at the moment would not admit that the State’s economic outlook is bad because of high taxes.

You’ve heard their argument: “there is no evidence that people have left New York because of high taxes.” Apparently they are of the opinion that there is no evidence that high taxes and low economic performance or prospects are related either. Really? Just noodling around I put together the following facts about New York’s taxation levels and economy. There will be more to come as we develop the list further. But I think most people would look at these figures and conclude that, in fact, there is very compelling evidence of the connection between New York’s nation-leading taxes and our dismal economic condition.

In looking at these figures, keep one important thing in mind: the tax increases just enacted, effectively almost $9 billion worth, are NOT included here.


New York Tax and Economic Facts

Poorest Economic Outlook 2009 (rank 50 of 50)

Source: ALEC-Laffer state economic competitiveness index

#1 Population Loss, last 10 Years

1.9 million net loss
Source: U.S. Census Bureau

#1 State and local tax burden

$6,405 per capita; $151/per $1,000 income
FY2005-2006 Source: public policy institute analysis of census data

#1 Local taxes per capita

$3,432 per capita
FY2005-2006 Source: public policy institute analysis of census data

#1 Individual income tax per capita (Before 2009 tax increase)

$2,000
FY2005-2006 Source: public policy institute analysis of census data

#1 marginal personal income tax rate rank

FY2005-2006 Source: public policy institute analysis of census data

#1 marginal corporate tax rate rank

2009; Source: ALEC-Laffer state economic competitiveness index

#2 Corporate income tax per capita

$469 (Alaska #1 at $1,226)
FY2005-2006 Source: public policy institute analysis of census data

#3 State & local government debt per capita

$12,504 (Alaska, Mass #s 1 & 2)
FY2005-2006 Source: public policy institute analysis of census data

#5 State & local property tax per capita (Before 2009)

$1,887 (NJ, Conn, NH, Wyo. Are #s 1,2,3,4)
FY2005-2006 Source: public policy institute analysis of census data

#6 Property tax burden per $1,000 personal income

2009; Source: ALEC-Laffer state economic competitiveness index

#8 Average family health premium 2006

Source: Kaiser Foundation State Health Facts

#34 (50 is Worst) Private sector employment growth

1997-2007; 3 yr rank: 33 of 50
Bureau of Labor Statistics data

#43 (50 is Worst) Economic performance 2009

2009; Source: ALEC-Laffer state economic competitiveness index


#48 (50 is Worst) Manufacturing employment 1997-2007

3 yr rank 46/50
Bureau of Labor Statistics data

#50 (Highest) Estate/inheritance tax 2009

2009; Source: ALEC-Laffer state economic competitiveness index

Last week, I (LIA President, Matt Crosson) returned from my second trip to China in four months. My earlier trip was the first of the LIA’s “China Adventures” and, for me, was my first visit to a country I thought I understood. I found out that I understand very little about what’s actually happening in China and what the country’s true potential is. That’s why I was anxious to return after so short a time, on this trip with a delegation of chamber of commerce presidents from across the country.

The trip was very informative; it opened my eyes to many potential business opportunities for Long Island companies. About 35 other chamber executives were in the delegation, representing chambers from Los Angeles to Buffalo-Niagara, and dozens of cities in between. The LIA and the Los Angeles Chamber were the largest represented. The delegation was organized by the American Chamber of Commerce Executives and the delegation was the ACCE’s Metro-Cities Council. The trip was underwritten by Citslinc International, Inc., the LIA’s partner in the China Adventures trips.

The delegation met with government economic development officials in Beijing and Shanghai, including the man who proposed bringing the 2008 Olympics to Beijing. We also met with the president of the American Chamber of Commerce People’s Republic of China and the president of the American Chamber of Commerce (AmCham) in Shanghai, as well as American business people doing business in China.

We learned too much to write in one blog entry, so I will write more about China in the days ahead. The most important thing for American business to understand about China is the enormous scope of the potential market that exists there. We’ve all read that China is being affected by the global recession and that’s true. But the affect it’s having there is quite different from our experience. China’s growth rate in 2007 was 13.7 percent; it’s growth rate for 2009 is estimated at 6.4 percent. Its growth rate has been cut in half, but the growth China is still experiencing, even in the midst of a global recession, is amazing.

In part, that’s because China’s economy is developing and America’s is developed. China has more room to grow than we do. It’s also because the Chinese government has redirected its economic policies, aiming less at exports and fixed asset investments and more at meeting domestic demand. And domestic demand will be huge by any standard. There are, after all, 250 cities in China with one million people or more. The United States has nine. Even if entire metropolitan areas are considered, we have only 50 with one million or more people.

So the scale of opportunity is remarkable. Taking advantage of that opportunity presents real challenges, however, and that’s what I’ll discuss in future blogs.

This morning's special Business Before Hours networking event drew 80 LIA members to its Melville headquarters. Participants mingled and enjoyed breakfast supplied by event sponsor Cynthia Powers of the Bristal Assisted Living. Special raffle prizes were donated by Renee Kantro of St. Joseph's College and Paula Geonie of Baiting Hollow Vineyard. Each attendee was given the opportunity to pass around the microphone and provide a 30 second "elevator speech" outlining what their organization does and how it can help other businesses.

Opportunities to utilize their LIA memberships to the fullest extent through signing up for committees and attending other events were also discussed. The 20-page Newsday insert that talks of Long Island issues and answers was highlighted by LIA Director of Communications, Marketing and Member Services Gary W. Wojtas. Membership Rep. Stuart Prince talked about the value of membership.

The next Business Before Hours is set for Wednesday, April 29 at 8 a.m. The LIA is always seeking sponsors and raffle prizes. For additional information, contact Lucy Lawlor at 631-493-3028 or llawlor@longislandasssociation.org.

Dr. Barbara Ross-Lee, vice president of health services and medical affairs at the New York College of Osteopathic Medicine of New York was the inaugural speaker at the LIA's new series – “Lunch & Learn.” Lunch & Learn provides LIA members with a unique setting to network and learn about myriad topics that affect their lives and businesses. Dr. Ross-Lee addressed an audience of 25 attendees in an intimate luncheon setting provided by Atria Tanglewood in Lynbrook.

Early on Dr. Ross-Lee provided a few anecdotes about her famous sister, singer Diana Ross, and how as an older sibling she was responsible for all the accolades her sibling has received over the years. But, make no mistake about it; Dr. Ross-Lee is a formidable leader in her own right in the medical profession. When she was appointed Dean of the Ohio University School of Osteopathic Medicine in 1993, Dr. Ross-Lee was the first African-American woman to head a U.S. medical school.

The theme of her presentation: "Today's Woman: Perspective, Power and Progress," addressed the specific challenges women face related to health care and pursuing careers in medical fields. Dr. Ross-Lee highlighted her own rise from inner city Detroit to becoming a physician and one of the leaders in her field.

Dr. Ross-Lee wants physicians to become more involved in their own profession when it comes to important issues like insurance, malpractice and patient's rights, but she is very please by the strides women have made in the medical world, pointing out that 50 percent of all medical students today are female.

Look for the next LIA Lunch & Learn in early Spring 2009.

Every week I try to bring something new to this blog by informing you (the readers) about some of the issues happening out there. It seems to me that no matter who you are, we are all affected somehow by the troubles facing Long Island. There are many, from poor transportation alternatives to lack of affordable housing to energy issues and high property taxes. It is evident that many people care about Long Island because there are many suggested changes and solutions trickling down from government agencies and elected officials on the federal, state and local levels. The problem is that there are so many overlapping jurisdictions that it seems nearly impossible at times to get anything done. There are too many pockets of government that are simply not needed and additionally exhaust money from taxpayer’s pockets. If you care about Long Island, I recommend joining one of our committees to get involved in the issues that affect you, your family or your business. For more information or to join a committee, please email me at cfratello@longislandassociation.org.

A few months ago I wrote a blog on women and retirement, consider this entry a continuation. I really don’t like the idea of planning that far ahead. I can barely make plans for the weekend but I guess I’ve reached an age when I have to start thinking about how I will take care of myself in my so-called “golden years.” I’ve been researching retirement options and was curious to know more about Social Security, so I visited their website. I found some disappointing facts and figures associated with women and retirement, which is why I’m writing this. There is a whole section on the social security website dedicated to educating women on social security benefits. Nearly 60 percent of the people receiving social security benefits are women. Here’s one reason why it’s important to think about your retirement and the future; women have longer life expectancies than men and tend to live more years in retirement. In 2007, the average annual income received from social security by women was $10,685, which works out to roughly $890 a month. Now assume for a moment that you own your own home or condo. Is it possible to get by on $890 a month? I suppose you could…if you were a frugalista. In the year 2007 unmarried women and widows age 65 and older reported that 48 percent of their total income was from Social Security benefits. Comparatively, Social Security benefits for unmarried men that year comprised 37 percent of their income.

So if you were born after 1960, you are considered eligible to receive full benefits at age 67. You are allowed to begin collecting partial benefits at age 62 and you don’t qualify for Medicaid until you’re 65. So basically we work until we’re at least 62…that’s 30 years away for me, which is why this all seems like such a foreign concept. While Social Security is an essential program the website makes it clear that it is not intended to cover all of your financial needs. So I guess it’s time for me to start planning.

A huge “Thank You” to the East Northport Salvation Army and to everyone who participated in the Angel Tree at the LIA’s Holiday party on Dec. 16. The Angel Tree is a signature Salvation Army holiday brightener for underprivileged children and senior citizens. The Christmas tree is decorated with Angel ornaments that include the names of children and seniors with their clothing sizes and any special items or toys on their “wish list.” Items as simple as a warm pair of socks or a coloring book. LIA members fulfilled nearly every single Angel! Major Rhode Bender from the Salvation Army expressed a concern about filling the senior citizen tags – but every senior citizen angel was taken care of.

The generosity from everyone was just overwhelming. One member in particular stands out: Susan Slavin from Littler Mendelson. Susan came in to the LIA office with her arms full carrying a beautiful Razor scooter in one hand and a giant Holiday Express train set in the other. Two beautiful gifts that are going to make two little boys very happy this year. When we packed the car up to bring the gifts over to Major Bender, it’s almost impossible not to have this great feeling inside and a huge sense of pride in our membership. We would like to thank every single person who helped us make the Angel Tree a success and we urge every company out there to participate next year in your own Angel Tree. Not only will you be doing a good deed for the people on Long Island who are in desperate need, but you will also give yourself a great sense of pleasure.

For anyone wishing to participate in helping the Salvation Army you visit: http://www.salvationarmy.org/ihq/www_sa.nsf and look up your local chapter and also get informed all on the great things they do, not just during the holiday season, but all year round. Happy Holidays to everyone and thank you for your support.

The holidays are here. One of my favorite things is watching everyone drive around with Christmas trees on the top of their cars. Even though things seem to be quite grim with the economy right now, the holiday spirit still abounds. Just last week I was going into to the grocery store when suddenly I spotted a woman with a crazy holiday hat on, which just proved to me that in spite of everything that’s going on people are still in the spirit. Last week I rented a Christmas Story, while some people believe “It’s a wonderful Life” to be the all time best holiday movie, I disagree. I happen to think it’s a Christmas story. My favorite part is when he asks for a red rider bb gun and all throughout the movie all the adults say, “what are you crazy, you’ll shoot your eye out kid.” The holidays are not all about the presents, although it is a lot of fun when you get something you’ve wanted all year long. Sometimes it’s the little things, like cooking with your mom or making homemade tree decorations with dad; those are the things I remember most about the holidays, the little things. I hope everyone has a happy, healthy holiday and let’s hope next year takes a turn for the better.

I watched a documentary recently titled “Single”. Written and produced by Richard Atkinson and Jane Scandurra, the documentary focuses on the changes in demographics among young people throughout the world. For the first time ever, the majority of U.S. households are now headed by an unmarried person, that’s 50.7 million households. One hundred million adults in America are single, that’s 36 percent of all voters and 44 percent of the workforce. This demographic contributes $1.6 trillion in annual consumer spending. The majority of single women are also homeowners and they make up 22 percent of new homebuyers compared to 9 percent of single men. Yet unmarried women are also the largest group of non-voters in the U.S. That’s really sad! There are more households of people who live alone than there are married couples with children. From 1972 to 2004 the marriage rate dropped to 50 percent, a big drop in a short period of time. The documentary asked a critical question; “What has happened to women over the last 25 years?” The economic and legal independence women have received has been a substantial contributor, but experts in the documentary said it is primarily due to women’s increased participation in education. The majority of college students are women, the majority of college graduates are women and they are most likely to receive a graduate degree. I guess the point of all of this is that things are really changing. The way we live and our lifestyles are changing and we need to adapt. One of the things that I think about is our current living situations. We need more options that reflect the way we want to live. Not everyone wants to own a home, therefore we need to look at additional alternative housing options.

I was sitting down having my morning coffee and staring out the window getting ready for my day. It occurred to me that I would soon be celebrating two years of living in Huntington. Every day when I stare out of my living room window I am reminded of the beautiful town that I get to call home. I am connected and attached to Huntington, most likely because it’s where I grew up and everything about it reminds me of my childhood. Walking around Hecksher, I am reminded of sledding down the hill behind the church with my brother. Walking around town I remember going to FAD and shopping with my girlfriends. I know it sounds dorky, but after having lived in both city life and country life, I am convinced that Huntington is the perfect mixture of both. So it got me thinking about my quality of life and I began to rate it on scale.

Our quality of life is not just defined by how much material wealth we’ve accumulated but by the degree of well being felt by an individual or group of people. It is not considered a tangible concept and cannot be measured directly. Quality of life is most commonly associated with your physical and psychological well-being. Long Islanders enjoy a higher quality of life because we are more educated (a third of New Yorkers have a Bachelors Degree or higher as compared to the rest of the Country at 25 percent) and we have better access to health care. This makes us privileged.

The Economist did a study in 2005 where they developed a “quality of life index.” They surveyed 111 countries. Their criteria included the following; material well being, health, political stability & security, family life, community life, climate & geography, job security, political freedom and gender equality. The U.S. placed 13th on their list. For individual cities, the first U.S. city was 29th. Ireland got the number one spot. We need to remember how lucky we are to get to live in such a great place. We also need to help maintain the integrity of the region so that other people and companies will continue living and working here. It’s important that Long Island maintains our quality of life, it affects us all.

As a child, I can remember learning about Thanksgiving in school. We were taught that we celebrated Thanksgiving to commemorate the arrival of the Pilgrims on the Mayflower. Thanksgiving eventually became associated with giving thanks for the harvests of the land. Since the Pilgrims where not natives, their first year of harvest was awful. The next year, the Native Americans helped the Pilgrims and their harvest was a tremendous success, so they gave thanks. The message of helping those in need came through loud and clear.
Flash-forward to today’s turbulent economic times, many people are worried about their homes and their jobs. We hear from economists daily that there is no relief in sight, at least for the next 18 months. Our President-elect has recently said that it is possible that it gets worse before it gets any better. The time allowed to collect unemployment benefits has been lengthened and the federal government is still bailing out big banks, all in an effort to help keep our collective heads above water. I don’t recall living through a recession; perhaps I was still too young at the time. Now is a good time to sit around with our families and give thanks for everything we do have. An attitude of thankfulness puts us in a humble frame of mind. It teaches us to who we are in debt for all that we have, material or otherwise and it focuses us all on the vital importance that friends and family play in our lives. Have a Happy Thanksgiving!

After serving one year in Afghanistan, my (Heather Shivokevich, LIA) extended family is fortunate to have our step-brother Bruce back in time for the Holidays. Bruce is 55 and he’ll get to see his new granddaughter – and celebrate many things to “give thanks” for at this year’s holiday table!

With that blessing in mind, I’m sending cards of thanks through the “Holiday Mail for Heroes” campaign to receive and distribute holiday cards to servicemembers and veterans both in the United States and abroad. I’ll keep as green as possible with recycled paper - a little glitter, a picture (I think I'll include my Newfoundlands in the snow - who doesn't love big dogs) cotton, a poem; it will be wonderful.

Holiday Mail for Heroes, which began Veterans Day, is a follow-up to the 2007 effort that resulted in the collection and distribution of more than 600,000 cards to hospitalized servicemembers. This year’s program will expand its reach to not only wounded servicemembers but also veterans and their families. The goal is to collect and distribute 1 million pieces of holiday mail. With all of our help – that goal is attainable.

We all could use some simple pleasures this year to make us smile – so make a card or do whatever it is you can do for others to give thanks for all the joys in your life and have a Happy Thanksgiving!


Holiday cards must be postmarked by Dec. 10 and mailed to:
Holiday Mail for Heroes
PO Box 5456
Capitol Heights, MD 20791-5456

For more information, visit: www.wramc.amedd.army.mil or www.redcross.org/holidaymail