Catching the important issues.

• Position: Financial Executives Institute's Committee on Government Liaison - From FEI

The Committee on Government Liaison (CGL) is a unique committee with a unique name. But what does it do, members of Financial Executives Institute often ask? What does "government liaison" mean?

As one committee member said, CGL "catches important Washington issues that might otherwise fall between the cracks"--in other words, issues that don't fall under the purview of other FEI committees, such as taxation, corporate reporting, employee benefits, and so forth.

For example, CGL was deeply involved in preparing the FEI position paper on long-term economic growth that was issued in January. The committee also helped Congress shape legislation for the Chief Financial Officers Act of 1990, which establishes financial controls for all government departments and agencies. And CGL will continue to pursue passage of product liability and tort reform legislation, as well as support the OMB as "the last bastion of defense" in controlling unnecessary regulation.

"Our greatest accomplishment in my three years as chairman was the influence we had on the CFO Act," says John J. Higgins, the controller of Continental Bank, who stepped down as committee chairman in March. "Since then we have assisted in its implementation, especially by recommending candidates for the CFO positions in each department and federal agency."

"Our committee has always been respected by both parties in the administration and Congress," says Buel T. (Tod) Adams, vice president and treasurer of CBI Industries, who has replaced Higgins as chairman of CGL. "They recognize we don't have an axe to grind. We promote neither industry interests nor those of individual companies."

CGL has moved strongly into governmental issues following a reorganization in 1991. Until then, it was comprised of three subcommittees, which covered legislation, regulation and oversight matters. As a result, subcommittee responsibility overlapped and members had to become familiar with a number of issues.

Under Higgins, the committee was increased to its full complement of 40 members, which enabled the group to create smaller, more focused subcommittees to address major issues. Now the committee can be more proactive in each of these specialized areas.

Where do CGL's issues come from? The initial stimulus for the position paper on economic growth came from a presentation to CGL in December 1991 by two of President Bush's economic advisors. "They would not admit we were in a recession," Adams recalls, "and...