Making a Difference. .Helping Members Grow 2006 Annual Report 350 South Bixel Street Los Angeles, CA 90017 213.580.7500 213.580.7511 www.lachamber.org Message from the Board Chair and President & CEO David Nichols Gary L. Toebben SVP, CALIfornia PRESIDENT & CEO AT&T To Our Members: The Los Angeles Area Chamber of Commerce played an The Chamber also revitalized our marketing and important role in helping to improve economic prosperity communications efforts this year by updating our time- and quality of life in the Los Angeles region in 006. honored logo and redesigning our Web site to better serve our members. Our updated Web site now serves as a The Chamber’s advocacy efforts helped pass the historic comprehensive resource for members and the business “Rebuild California” infrastructure bonds, which will community by providing information about public policy deliver unprecedented funding for critical infrastructure issues, Chamber programs and events, and much more. projects throughout the state. We helped to successfully block annual indexing of the state minimum wage. We We are pleased to present this annual report, which also introduced and helped pass citywide term limits and highlights the Chamber’s activities in 006. from ethics reforms in the City of Los Angeles. And this is just effective policy advocacy to expanded programs and the beginning. resources for our members, 006 was a year of success and growth for the Chamber. We look forward to building In 006, the Chamber took significant steps to enhance on this success in 007 and continuing to serve the our organization. In July, nationally recognized business business community in the most vibrant region in the leader Gary L. Toebben joined the Chamber as the new nation. president and CEO. With 30 years of business and Chamber experience at the national, state and local level, Gary has pledged to continue to help grow and develop the L.A. Area Chamber to meet the needs of our member and our region. 2006 Annual Report A Tribute to Russell J. “Rusty” Hammer Among Rusty Hammer’s Accomplishments: • Restoring the Chamber to profitability and financial health The Los Angeles Area Chamber of Commerce would • Increasing membership by more than 40 percent like to thank Russell J. “Rusty” Hammer for his service • Merging two leadership development programs into the as president and CEO for the past five years. Under Chamber (Leadership L.A. and the Southern California Rusty’s leadership, the L.A. Area Chamber has grown as Leadership Network), positioning the organization as an organization and advanced key public policy issues the premiere provider of leadership training in the region important to business in the L.A. region. • Developing a strategic partnership with UNITE-LA, positioning the Chamber squarely at the leading edge of education Leaving the L.A. Area Chamber for health reasons, Rusty • reform will continue to be involved with the Chamber as a senior Being the voice for business through our enormously policy advisor, counseling on public policy and political • successful and award-winning Business Perspective issues. The L.A. Area Chamber Board of Directors, staff Expanding the Access Sacramento trip to 100 participants and membership thank Rusty for his strategic vision, • and Access D.C. to 100 political savvy and bold leadership, which have helped • Developing new, compelling and award winning publications to improve the business climate and quality of life in our • Continuing to set attendance records at all of our events region Creating the Civic Medal of Honor to honor individuals who have distinguished themselves with a lifetime of service to • our region Bringing World Trade Week under the auspices of the • Chamber Creating Mobility 1, a coalition of business, labor, government and community groups to advocate for our • transportation needs Creating the highly successful Pancakes and Politics series 3 The L.A. Area Chamber Welcomes Gary Toebben “Gary Toebben knows business advocacy inside and out. With his stellar credentials, 30-year track record and relationships at the national, state and local levels, Gary is the best person to help us harness this engine and accelerate the Chamber’s continued growth.” TOEBBEN ON BOARD. Chamber Board members welcome new Chamber President & CEO Gary Toebben at a welcome reception in May. from left: —Chamber Board Chair David Nichols, AT&T former Chamber Board Chair Christopher Martin, AC Martin Partners; Toebben; Chamber Board Chair David Nichols, AT&T; former Chamber Board Chair Charlie Woo, Megatoys; Chamber Board Vice Chair David fleming, Latham & Watkins, LLP; and Chamber Board Member Eugene Hale, Greater Los Angeles African-American Chamber of Commerce. The Los Angeles Area Chamber of Commerce programs that cultivate community leaders and welcomes Gary Toebben as president and CEO. develop a skilled workforce. Gary’s leadership Selected unanimously after a comprehensive, six- record also includes serving as president of both month national search, Gary brings unparalleled the Nebraska Chamber of Commerce Executives business and political expertise to the Chamber. and Kansas Chamber of Commerce Executives, a member of the Kansas Governor’s Transportation As former chair and current trustee of the Advisory Board, and chair of the University of American Chamber of Commerce Executives, Colorado Institute for Organization Management Gary is one of the leading Chamber executives Board Regents. in the nation. Most recently, Gary served as president and CEO of the Northern Kentucky The L.A. Area Chamber Board of Directors, staff Chamber of Commerce, where he achieved and membership welcome Gary and look forward national recognition for creating a model 1st to working with him as we continue to improve century chamber of commerce, incorporating our region and help our members grow. policy advocacy and business development with 4 2006 Annual Report Mission: By being the voice of business, helping its members grow and promoting collaboration, the Los Angeles Area Chamber of Commerce seeks full prosperity for the Los Angeles region. Vision: As a trustee for the current and future welfare of the region, the Los Angeles Area Chamber of Commerce champions economic prosperity and quality of life. BEING THE VOICE OF BUSINESS Advocacy & Public Policy Initiatives Major Public Policy Accomplishments Business advocacy at the local, state and federal levels care; education and workforce development; and the remained a focal point for the L.A. Area Chamber in environment. The Chamber’s signature Access series 006. As the voice of business, the Chamber sought to connected business owners with policymakers through bring about change for the betterment of the Los Angeles trips to Washington, D.C., Sacramento and L.A. City Hall. region. The organization created partnerships with other Other policy events included our monthly Accenture chambers and with those in the political and civic arenas. Pancakes & Politics breakfast speaker series, Mobility-1 Summit Coalition meetings and task forces for issues The Chamber organized events to raise public and of interest. The Chamber continued distributing The business awareness for issues affecting our community Business Perspective, an influential weekly commentary including: transportation and goods movement; health on political and public issues. “The Access trips are a very important aspect of the Chamber’s overall effectiveness. These trips not only offer our members the opportunity to meet with high ranking lawmakers and agency heads, but also allows our combined voices to communicate our region’s importance to our state’s and our nation’s economy.” —fran Inman, SVP Corporate Development, Majestic Realty Co. BONDING WITH THE GOVERNOR. Chamber leadership Transportation & Goods Movement meets with Gov. Arnold Schwarzenegger at Access The Chamber created an infrastructure task force and Sacramento, March 8, 006. from left, Chamber Executive Vice President Ron Gastelum; Los Angeles County Economic championed the “Rebuild California” infrastructure bonds Development Corporation President & CEO Bill Allen; Gov. (Propositions 1A through 1E) on the November state Schwarzenegger; Chamber Board Vice Chair David fleming, ballot. All bond propositions passed, securing $37. Latham & Watkins, LLP; and Board member John Semcken, Majestic Realty Co. billion for critical projects – representing the largest single investment in our state’s infrastructure since the 1960s. The bond package includes: • A constitutional amendment ensuring that state gas tax revenues are used for transportation projects and not diverted to other programs. • $19.9 billion in funding to reduce traffic congestion, build new roads and highways, construct additional mass transit and increase security at our ports. “The Chamber amplifies my voice on the issues that matter • $.9 billion in financial assistance for first-time most to me. The value of the Chamber is in the output and homebuyers, incentives to build affordable rental the input. By output, I mean that I am able to inform myself housing and shelters for homeless individuals and through the Chamber because it is such an important families. channel of information, on everything from transportation • $10.4 billion to build new schools, upgrade existing issues to water issues to business and financial issues.” facilities, reduce overcrowded classrooms and fund technical training programs. —Maria Contreras-Sweet, Managing Partner, FORTIUS Holdings LLC • $4.1 billion to strengthen