The FY2010 Budget Proposal and Restoration List is online now. The link is:
http://www.le.utah.gov/lfa/JML_Restorations_02-26-2009%20Overlay.pdf
Staff Budget recommendations:
http://www.le.utah.gov/interim/2009/pdf/00000050.pdf
Potential State of Utah Proceeds from the Selected American Recovery and Reinvestment Act Programs (i.e. Federal Stimulus Package):
http://www.le.utah.gov/lfa/HR1.pdf
You may notice the great graphic presentation of some of the data from the surveys in an earlier post today. I am so grateful to two constituents whose expertise and efforts have made sharing this information with you possible: Dwight Adams, North Salt Lake, and David Miller, Bountiful. Thanks to you both!
First off, I’m including two links where you can get your hands on some really great information, possibly more than you may ever wish to have:
1. http://legislature.utah.gov/asp/lfa/lfareports.asp
This is the link to the Legislative Fiscal Analyst and it has the following reports available online: fiscal highlights newsletters, subcommittee budget reports, appropriations reports and summaries, and issue and budget briefs from the Legislative Fiscal Analyst. They can be sorted by release date or description. The most recent items are from 2.19.09, but some of what I’m referring to in this post will be found on this site next week and it is worth checking out.
2. http://www.le.state.ut.us/lrgc/lrlic.htm
This is the link to the Office of Legislative Research and General Counsel. It includes resources to people wanting to research legislative history. They have lots of links that would be most helpful in researching the history of a particular issue or bill.
Now on to the item at hand….today. In our majority caucus we discussed two things, the FY10 budget proposal and restoration of funds list, and potential ideas for revenue enhancements. The full report on the budget proposal and areas that have been suggested by each Appropriations Committee for restoration of funds can be found at the link above. There is a 1.5% restoration of funds to each of the Appropriations Committees, and has been placed according to the priorities they came up with as a committee. This money came from a positive disparity between the 15% cuts we prepared in committee and the state revenue numbers that came out last week. For a brief recap, we cut 4% in the September special session, then another 7.5% at the beginning of the session, then another 7.6%, which with the new money being restored will be a 6.0% cut. These are in ongoing funds and we will see a total of 17.5% cuts. I’ll list a few of the priorities that are seeing money come back into their programs:
Utah Highway Patrol, $3,409,100
Juvenile Justice Services, $2,538,200
Gunnison Housing Unit Closure, $7,500,000
USTAR recruitment, $1,438,800
GOED funding of Small Business Development Centers, $100,000
University of Utah, 4,661,500
Salt Lake Community College, $1,191,100
Public Education, $36,074,800
Some of the remaining filling in on specific areas may be able to be done with federal stimulus package money.
Various forms of revenue enhancement (tax increases, let’s just call it like it is) were discussed. The Republican leadership team met this morning with the Senate Republican leadership team and the only revenue enhancement they agreed on was a $20 increase on motor vehicle registration fees that would net the state $50 million. All the money raised would stay in the state and was not specified at this point as to where it would go. This would be a one time deal only and represents the Governor’s proposal he made in September.
Other ways to bring some money into the state system that were talked about are:
Education – cutting 5 days out of the school year. This will save $60 million.
Health Insurance – stopping the 401k 1.5% state portion, for non-contributory employees. This would bring in $17 million.
Bonding – $155 million
Much discussion ensued. A motion was made to adopt the vehicle fee increase as our caucus position. More discussion. Tobacco taxes were discussed. Restoring the food tax on food was discussed. The food tax especially is a broad tax that is especially stable even in economic difficulties. The proposed bill by Rep. McIff includes a provision for low income families where they would receive a tax credit that would outweigh the tax burden due to sales tax on food. It is graduated based on income and number of people in the family, but it takes care of those we are most averse to harming with a tax like this. A substitute motion was made to make the caucus position to include the vehicle registration fee increase and/or the sales tax on food. It failed 33-14. I voted yes. Then a motion was made to adopt the vehicle fee increase as our only source of revenue enhancements. That motion failed 21 yes, 26 no. I voted no.
From the information I’ve received from the surveys the majority of the folks in District 20 want to explore other options of revenue, in addition to cutting back services where possible. Realizing that the federal stimulus package, with all it’s problems, does buy us some time. As Rep. Bigelow says, “It buys us a little gas, but eventually the plane will have to land. We are trying to create an opportunity for a soft landing, not a crash landing.” Another great line from the discussion was, “Let’s not let perfect be the enemy of good,” Rep. Greg Hughes, referring to the search for the perfect revenue source that will be stable, fair, and protect low income individuals and families. There will be pain for taxpayers, for state employees, and for those who receive services, no way around that. I personally would favor restoring the tax on food, that was decreased from 6.5% to 3% a few years ago. I am suspecting that the majority of you haven’t noticed that difference in your pocketbook, or probably haven’t even realized there is a different tax rate for prepared food and unprepared food at Costco or the grocery store. The provisions for low income people makes this a very palatable option and would bring in $163 million. The tobacco tax is also one that has some interest, and motor fuel tax. Since there was no consensus achieved we will be discussing this again on Tuesday. I’d be interested in hearing how you all feel about the options of these “revenue enhancements” I’ve discussed. I’ll post when the reports we received today are online at the Fiscal Analysts office because I do believe that knowledge is power and the more informed we make ourselves, the better decisions we make.
Bills voted on today are listed on the sidebar. If you have any specific questions about bills please email me. This blog is WAY too long already to discuss anything else tonight!
I wanted to begin to post the results from the surveys that over 600 of our constituents returned. Below is a statistical breakdown of Question #1: “In light of the declining tax revenues please rank from 1 to 10 the following state programs, with 1 being the highest.” They are presented in the order that you ranked them as being the most important issues.
Public Education came out topping all of the others. 56.4% of the respondents labeled it their 1st or 2nd most pressing concern. Only 4.3% gave no answer and the standard deviation was a low 2.39, showing more agreement with this issue than some of the others.
Health Care came in second with only 3.3% not giving a response and 35.4% rating it as their 1st or 2nd greatest concern. The standard deviation was a low 2.21 showing a high amount of harmony in the opinions expressed.
Economic Development came in 3rd with 29.8% of respondents listing this as their 1st or 2nd most important issue. Only 4.3% did not respond to this question and the standard deviation was a low 2.42, showing fair harmony concerning this issue.
Public Safety & Corrections came in 4th with only 3.6% not giving an opinion. 18.6% of respondents listed this as their 1st or 2nd most concerning issue. This one also had a low standard deviation of 2.27 thus showing more harmony than some other responses.
Illegal Immigration came in 5th place with 18.4% of respondents listing this as their 1st or 2nd most important concern. However, this question was not given an answer by 9.7% and was less harmonious between respondents with a standard deviation of 3.22.
Higher Education came in 6th place with 17.3% of the respondents choosing this as their 1st or 2nd most important concern. 7.4% did not give an answer yet the standard deviation was relatively low at 2.55.
Environmental Quality took 7th place with 15.8% of the respondents selecting it as the 1st or 2nd most important area and 6.4% giving no answer. The standard deviation was a relatively low 2.56.
Transportation came in with 9.2% of respondents choosing it as their 1st or 2nd most important issue. 4.8% did not give an answer and the standard deviation was a low 2.37.
From comments often made on the forms, Rainy Day Funds did not seem to be well understood. Most written comments said to use it because it is a rainy day. Yet a large 13.5% gave no answer and the standard deviation grew to 3.15. Only 2.8% of respondents listed this as their 1st or 2nd most important concerns.
Let me know if you find this information useful or interesting. We will continue to share the results. If you are interested I will look into posting a link to a spreadsheet with the numbers we used for the statistical analysis (in other words, data without identifying information).
Today was a fun day for me because my daughter spent the afternoon at the Capitol with me. Actually, she came first to participate in the “Clean Air” rally at the Capitol at noon. She was there with about 300 other folks from our area, including my Dad and nieces and nephews, who have protested the proposed petcoke burning power plant in West Bountiful. That plant has been pulled by Consolidated Energy, in response I believe to the tremendous outpouring from many of you! Congratulations. Now, time to move forward pushing towards a better, cleaner future. Thanks to those of you who came to the rally this afternoon and worked so hard to collect petition signatures etc. The Davis County Community Coalition, Utah Moms for Clean Air, and the Utah Physicians for Healthy Environment were all major contributors and critical to the success of the movement. I really appreciate your efforts and look forward to working with you in the future.
After the rally my daughter and I saw Rand Kerr, CEO of Lakeview Hospital. He asked her if she ever read my blog (apparently he does, thanks Rand!). She said she had a few times, but “it’s no Harry Potter.” I decided right then and there I would try to add a dementor or two to the blog. I have some ideas who they would represent. Maybe you do too.
Anyway, on to the important issue of the day…immigration. We had two big bills on the floor today dealing with immigration. First, HB 208, Rep. Greenwood, would prohibit an undocumented student who is receiving in-state tuition at a university from working during the calendar year for which they are receiving the in-state tuition. Otherwise, they permanently lose their in-state tuition rate. Background for discussion: there are around 200 undocumented students who are currently receiving this in-state tuition. I am a supporter of the in-state tuition program for undocumented students, and I am a supporter of the law. However, I voted against this bill and it was defeated on the floor. 34-40. Here’s why. I don’t think it actually enforces the law, as it only requires a student to sign an affidavit that they are not working. And it actually acknowledges the “illegality” of the student at the outset. It is based on the premise that these students already here are “breaking the law,” so it seems disingenuous to then further punish these same “law breakers” for a further infraction, i.e. working. The argument was presented that they must be using false ID because they couldn’t work without a social security card, and that may not be correct depending on the employer. It also is an attempt to chip away at illegal immigration in a fairly arbitrary way. We’ve got to be more judicious with our actions and policies when it comes to immigration. I am also not inclined to undermine the validity or intent of the original bill granting in-state tuition for a purpose that seems at least partially political in origin. It is a bill which deters students from bettering themselves and providing in a more helpful way for their families by trying to get out of manual labor jobs and into more skilled professions. As Utahns we should be encouraging all residents of Utah to seek higher education to better our workforce and in turn better our communities and state. There are numerous businesses who have invested and will continue to invest in helping these highly qualified undocumented students, who become employees, to correct their legal situation and pursue the pathway to citizenship.
Another bill dealing with immigration that we heard on the floor today was 2SHB 107, Rep. Steve Clark, “Economic Impact of Illegal Aliens.” It provides for an interim study on the economic ramifications, pro and con, of illegal immigration in our state. Originally the bill required holding off on the enactment of SB81 (supposed to go into affect this July) until after the interim impact study had been completed. That provision has been removed and this bill addresses the study only. This bill passed 56-13 and I voted for it. I think analysis of this issue could only benefit from more scientific evidence about the statewide impact. A constituent, Garth Mangum, has provided me with a tremendous research paper he has prepared on this subject. I am convinced more thorough study will benefit all involved in trying to craft productive policies related to this complex issue.
There were obviously many (60 or so) other bills heard on the floor today, but theses were the two biggies. If there is a bill in particular you are wanting to hear about please let me know and I’ll discuss it. Thanks!
In the majority caucus today at noon we discussed the FY10 budget actions by the Appropriations Subcommittees. These numbers are grim. I feel like I should have one of those warning signs posted: “For Mature Readers Only.” I’ll go through each of the Appropriations Subcommittees and indicate the total cut they are taking both in dollars and in percent of their budget. I’ll also include an example or two from each committee that will show how the cuts play out on specific line items in each budget.
Capital Facilities and Government Operations
$58,674,600 cut
-29.1%
They are requesting a $30M bond to cover new facilities and maintenance on current facilities
Commerce and Workforce Services
$20,822,100 cut
-17.3%
Rehabilitation Services cut by $2M
Economic Development and Revenue
$20,971,900 cut
-18.5%
USTAR recruitment budget cut by $4.36M
Tourism marketing cut by $3M
Executive Offices and Criminal Justice
$107,505,700 cut
-18.2%
Cuts will necessitate closing courts to the public 1 day a week
Juvenile Justice Services Long term lockup facility, cut $2.5M
Closure of pods with total of close to 500 beds, cut $15M
Department of Health
$65,969,900 cut
-17.1%
No new PCN applicants cut by 1.69M
Lower Medicaid rates cut by 1.62M
Department of Human Services
$52,597,000 cut
-17.5%
Local Mental Health cuts $1.75M
Higher Education
$155,767,300 cut
-18.4%
Utah Education Network cut $1.4M (distance learning program)
Natural Resources
$11,601,800 cut
-16.8%
Fire Suppression program cut $4M
Public Education
$453,618,600 cut
-17.9%
Social Security and Retirement, cut $96.5M
Reduce school year by 5 days, will save $12.5M each day school isn’t in session
Transportation, Environmental Quality, National Guard
$57,562,200 cut
-52.0%
TOTAL CUTS to FY 2010 General/Education Funds
$1,008,869,100 cut
-19.1%
The House leadership has given instructions to us all to come to the caucus meeting on Thursday prepared to discuss specifics about these cuts, how the federal stimulus package will be implemented, and what our other revenue enhancements may be including bonding, fee increases, and taxes on tobacco, motor fuels, and restoring sales tax on food. Within our current economic framework it is easy to get discouraged. However, every morning as we begin our session on the floor of the House we recite the Pledge of Allegiance. In those words lie an inspiration and a sense of history that instills in us a sure knowledge that we can and will move beyond our current situation to a state of prosperity again. “I pledge allegiance to the flag, of the United States of America. And to the Republic, for which it stands. One nation, under God. Indivisible, with liberty, and justice, for all.”
On the right side of the blog page you will notice a new feature…a list of bills and resolutions and the vote outcome for each. We’re up and running with this, thanks to David Miller, and each day you will be able to look at votes from that day. For instance, the first bill listed is 1SHB126. Next to that bill is my vote, Yea, and below is the vote total, 51-22, so you can see the vote passed. We’ll see about adding the title of the bills so you have that additional information, but this is a great start to allowing you to follow votes on bills of importance to you.
Things are starting to pick up the pace a bit and with only 13 working days left I think we are all feeling it. It reminds me of a piano duet, “Sleigh Ride,” I play every Christmas at a neighborhood music party with my friend, Heidi Smoot. Every year we play this piece we vow we will maintain an even tempo, and yet every year we start out nice and manageable, then it builds and builds, and by the end it’s turned into a wild, hold onto your hats type tempo where it’s all chaos. Today sort of felt like that. Without the neighing horse and snap at the end, of course.
On the floor today we heard 28 bills all together. There were several most significant ones. First, 1SHB 150, Rep. Carol Spackman Moss, “State Board of Education Member Election Process Amendments.” This bill provides voters an opportunity to vote directly for State Board of Education members, rather than a strictly Governor appointment system, or a partisan election (going through the caucus and state convention process) as was presented in a substitute bill. The substitute bill to make the election partisan failed and Rep. Moss’ bill passed, 45-29. I voted yes and think this is a way to keep the process most transparent and open to the voters.
Second Substitute HB 126, Voter ID for Elections, passed 51-22. It requires voters to present ID when they vote on Election Day. The original bill was overly restrictive because it required photo ID – which many among the elderly, minorities and low income voters may not have. It also required photocopies of ID to be sent in with absentee ballots – which seemed an invitation to identity theft. Rep. Daw corrected these flaws, so that the substitute allows a lengthy list of IDs to prove you are who you say you are and absentee ballots can continue to be sent in without photocopies. Two amendments were added. One eliminated a requirement that election judges write down which form of ID is presented by each voter at the polls. This should help prevent delays. The second amendment by Rep.Watkins was inspired by her Native American constituents in the southeast part of the state. She was concerned that they would travel long distances without bringing ID. Her amendment allows those without ID who vote a provisional ballot to bring in their ID within 5 business days after Election Day. This bill passed 51-22 and I voted for it, however I still have some concerns. The ID requirement may still limit access for some voters and may discourage turnout in general, which is unfortunate because we already struggle with voter turnout in much of the state.
As we move forward there are many bills that were circled today (4SHB 66, the property tax amendment for school equalization bill for instance) and we are seeing more amendments and substitute bills. There is an effort to reach compromises as people are working towards the best product they can achieve before reaching the floor.
We also had the chance of attending the Fire Caucus lunch this afternoon and spent some time with Fire Chief Jim Rampton of the South Davis Metro Fire Agency, who does a great job serving our community. The new station on Eaglewood Drive is now complete and we will be having an open house soon for the new facility. I will post the details when I get them.
I also saw a great community advocate up on the hill today, Kim Jensen, from North Salt Lake. She was there representing the Spectrum Academy, a public charter school in North Salt Lake serving K-8 students, the majority of whom have Autism Spectrum Disorders and Asperger’s Syndrome. They are wanting to expand to 12th grade which would allow them to serve more than the 150 students currently enrolled. There are 320 students on the wait list now and 120 of those are in grades 9-12. The ability to expand would go a long ways in helping them meet the needs of more children with these unique challenges.
Today was very unusual in that both standing committees I sit on were cancelled. However, there was still plenty going on. During floor time we heard 13 bills. The one receiving the most debate was HB140, sponsored by Rep. Frank. It would increase fees on vehicle registration by $2. The increased revenue of $5.24 million a year for three years will go towards retaining 61 Highway Patrol troopers who would otherwise be victims of budgets cuts. Sponsor Rep Frank projected fewer DUI arrests, 30,000 fewer traffic stops and 58,000 fewer calls from motorists could be handled if the cuts were not restored. This bill passed 48-27. I voted for it and feel strongly that we need to maintain funding for public safety, especially from my viewpoint as the granddaughter of a peace office who was slain in the line of duty.
There was a great presentation to the legislators from Davis, Weber, and Cache Counties from Falcon Hill, the National Aerospace Research Park at Hill Air Force Base. This is an exciting project with a tremendous economic growth potential for northern Davis County. In a nutshell it is an office park and high-technology research site, which will include hotel, restaurant and retail space. This project is estimated to eventually bring around 15,000 jobs to Davis County. An example of the type of job creation is the new Combat Search and Rescue (CSARX) program that will mean 1250 military jobs with 6250 additional supporting jobs for the mission, with a timeframe of 2013. The average salary of the supporting jobs for this project is $100K, an income 75% above the current state average. This really is an exciting one of a kind public-private collaborative effort that will benefit our area for years to come.
I also sat in on part of the newly formed Ethics Standing Committee and heard their report. A history of the ethics process was outlined. They met for the first time in 1991 and by statute can either be a standing or interim committee, or can meet in response to a letter from three members of the House. The latter is the only way they have met in the past, and this is the first time they have ever been formed as a Standing committee. Although there are four main bills dealing with ethics reform this session, they are being seen in other committees. The Senate Government Operations and Political Subdivisions Committee passed out two bills on Friday that have been debated over many years and which the public is very interested in: regulation of gifts and meals received by public officials (SB 156) and personal use of campaign funds (SB 162). SB 156 broadened the category of “gift,” (which equals real or tangible person property received for less than fair and adequate consideration) to include admission to a sporting, recreational or artistic event whether as a spectator or participant. Translation: more events such as Jazz games,
golf games and rodeos will be reported now. More gifts will have to be reported by lobbyists, including food or beverages worth more than $25 a day, instead of the current $50 a day
trigger. The law makes an exception for cases where all members of a legislative body committee, task force or party caucus are invited and for meetings of regional or national state legislative organizations. This was one of the most important issues to me during the campaign. I am extremely interested in seeing all four ethics bills being passed, even though in several cases I do not feel they do not provide restrictions as strict as I would prefer. It is a start and the key is to get some meaningful ethics reforms passed.
This next week will be busy as we will have two committee meetings a day, and two sessions of floor time, morning and afternoon. We will also hopefully hear some specifics about the restrictions, strings, timing, and regulations associated with the federal stimulus package. We were promised in our last majority caucus meeting on Thursday that on Tuesday of this week we will discuss revenue enhancements that could be considered as we finalize the FY10 budget: bonding, taxes on a variety of items (tobacco, food, gas), fees, etc.
While these may not be the hot bills for everyone, these are the bills that I’m receiving the most email feedback on over the past few days:
SB48, “Teacher Licensing by Competency Amendments,” Sen. Chris Buttars, allows for someone to receive a competency based license to teach if they pass an exam, pay a fee, and complete a criminal check.
HB187, Rep. Ben Ferry, “Recreational Use of Public Waters on Private Property,” enacts provisions and prohibitions on recreational use of public waterways that flow over private property.
HJR8, Rep. Carl Wimmer, “Joint Resolution Regarding Secret Ballot,” amends the Utah Constitution to allow secret ballots for employee representation, along with elections for public office and initiative or referendums. Two thirds of the House and the Senate will have to pass this bill and if done, it will be placed on the ballot this Fall for a public vote to change the constitution. The controversy of the bill surrounds the “employee representation,” or union representation portion.
HB180, “Modifictaion of Exemption From Nonresident Tuition,” Rep. Greenwood, requires that noncitizen students who’ve attended at least 3 years of high school in Utah and have filed an application to legalize his/her immigration status, are not permitted to work during the year or the year before they receive the instate tuition for a Utah institute of higher education.
HB107, “Economic Impact of Illegal Aliens,” Rep. Steve Clark, provides for a study on the economic impact of illegal immigrants to the state of Utah, including costs incurred from providing services to and revenues received from illegal immigrants through payment of taxes and fees. This will also delay the effective date of SB81, “Illegal Immigration,” from the 2008 session.
Well, today was the half way day for the session and we passed some of the most important legislation of the session this morning. The three main health care reform bills were all passed out of the House today and on to the Senate. 1SHB188, Rep. Clark, “Health Reform – Insurance Market,” makes changes in the way that insurance will be offered to consumers. It creates an internet portal through which all insurance plans can be compared. It offers low cost health insurance products that do not include state mandates in the individual market and small employer group market. Creates the Utah NetCare plan, a lot cost health benefit plan as an alternative to COBRA and mini-COBRA plans currently available. Requires insurances brokers and producers to disclose their commissions to their customers. Establishes a defined contribution arrangement available through the internet portal available to small employer groups. This is a good start to health care reform, although not perfect by any means. It is long and detailed and I’d suggest a look through it if you want more complete information. http://le.utah.gov/~2009/bills/hbillamd/hb0188s01.pdf.
1SHB165, “Health Reform – Administrative Simplification,” Rep. Merlynn Newbold. This bill is the first step towards “smart swipe card” technology, which would be a systemwide effort between the health care provider and the health care payer for payment and delivery of health care, creates more openness and simplification of the paperwork involved in filing claims, dealing with ER admissions, and amending a claim.
Both these bills are part of the Health Care Task Force that was begun last year after the 2008 session ended. They are part of the 1-3-6-10 plan. The 1 is for the first year to study the needs, 3 is for the 3 years to implement changes in 6 areas. The whole reform will take 10 years.
Other things happening today….in Political Subdivisions this morning we had two quick bills that came to committee. HB309, Rep. Chris Herrod, “County Fiscal Procedures Amendments,” dealt with clarifying the county fiscal procedures. It passed unanimously 9-0. HB375, Rep. Ryan Wilcox, “Local Government Records Amendments,” requires municipalities and counties to designate one person in their organization to be in charge of GRAMA requests or records appeals. It also passed.
Congressman Rob Bishop came to the House floor and spoke this morning. He spoke about the state process and how much more open, simple, and transparent it is than the federal system. He has a tremendous respect for the state process and expressed fond memories of his time in the Utah House of Representatives. He also spoke about the upcoming census, saying it needs to move towards being more independent and not enmeshed with the political process. He expressed his interest in maintaining the National Parks and heritage areas in Utah. He also thanked the legislature for supporting the military, especially the new project in northern Davis County, Falcon Hill, and also for energy development. He said he is working to have more decisions made on the state level and fewer made by the federal government.
In the lunch caucus everyone was anxious to get back more specifics on the stimulus package. There was no additional information that was distributed as it is still being examined. Rep. Garn reiterated to us all that everything was still on the table when we begin talks on FY10, including ways to increase revenue like reinstituting the tax on food, bonding, other fees etc. That conversation will most likely take place next week.
There was a lot of action in the Capitol today. There was a group from the Utah School for the Deaf and Blind downstairs actually conducting classes with some of their students. It was interesting to see a representation of the services they offer to their students. They do a great work. There was a group of folks rallying in opposition to HB187, a stream access bill. I spoke with several folks from District 20 among those rallying.
Also, this morning I was able to attend the Legislative Affairs Committee meeting with all the Davis County legislators, people representing the Davis Chamber, business representatives, County and City officials, and folks with the Wasatch Front Regional Council and Tourism office. Great things are happening in Davis County! These Thursday morning meetings are a great way to keep in touch with a huge group of folks all focused on keeping Davis County a great place to live and work.
Another great and busy day and like I said, we are half way finished, or have we only half way begun?
