Northshore Conifer posted on April 16, 2010 14:54
This week all eyes were focused on the state revenue picture which drives budget decisions. The Revenue Estimating Conference determined that the current year revenues dropped by $319M and another $245M for 2010/11 pushing next year's shortfall over the $1B mark. These new numbers exacerbate the financial strains that Healthcare and Higher Education have already felt in three rounds of cuts in the past 18 months.
The Governor and the Senate leadership have signaled that all options are now on the table to deal with the dire budget shortfalls, including a package of legislation that would provide more budget flexibility on the cost cutting side, as well as tapping new revenues from the Rainy Day Fund and various trust funds as necessary. The Governor reinforced his support of the Budget Flexibility package yesterday at a Northshore Business Council luncheon, and urged others to get on board, especially considering that the measures will take a 2/3 vote to pass the legislature.
The St. Tammany Joint Public Policy Committee will be adding its support to the measures as the Session moves along, starting with Senate Bill 6 and 7 by Senator Crowe, which would allow cuts to be spread up to 10% across all departments of state government. Danny Schaus, St. Tammany JPP Chairman, summed up the issue this way, "We can't keep putting our colleges and hospitals in harm's way. Flexibility to spread the budget pain more evenly seems fair and reasonable. Perhaps the current fiscal crisis will lead to much needed reforms with positive impact long term."
The budget discussions are certain to heat up in the coming weeks as the House Appropriations Committee must put the budget bill in balance (HB1) and move it to the House Floor, as budget flexibility bills move on their on track in the Senate. The other major priority for the business community and the Governor's Office is Higher Education reform, with the lead bill being HB 1171 Tucker on the House side and SB 570 Chaisson on the Senate side. A coalition of supporters called BILD are advocating for the measures, expected to be heard in the coming two weeks. Again the JPP will be adding its support of the higher education legislation.
Below is a recap of this week's legislative actions and a preview of next week's line up.
THE WEEK IN REVIEW
Highlights of Bills passed in Committee:
HB 228 Pearson- Provides for suspension of public retirement benefits during a member's incarceration (Good Government)
HB 329 Pearson- Constitutional Amendment - Prohibits membership of certain part-time public officials in public retirement systems (Good Government)
HB 771 Burns- Provides for additional public notice requirements related to proposed increases in millage rates without voter approval (Tax Policy)
HB 782 Cromer- Provides relative to expropriation of property in St. Tammany Parish (revised Quick Take program in order to acquire property for road, drainage, water, utility, or sewerage projects)
SB 65 Amedee- Adds Ascension Parish to the Coastal Zone (Infrastructure)
SB 412 Donahue- Creates State Buildings and Lands Use Group (Streamlining)
Highlights of Bills passed on the Floor:
HB 410 Carter- Requires local option elections in every school district on term limits for school board members (K12 Reforms)
SB 21 Murray- Extends the time in which the owner of a homestead must reoccupy the homestead in order to retain the homestead's homestead exemption or its special assessment level from five years from December 31st of the year of disaster (Tax Policy)
SB 297 Donahue- Adult Education Program Transfer from BESE to LCTCS (Workforce)
SB 486 Nevers- TOPS Tech Award Eligibility (Higher Ed)
SB 490 Nevers- Career Diploma End of Course Exam (Workforce)
THE WEEK AHEAD
Tuesday Committee Action Scheduled:
HB 723 Connick- Provides with respect to dual office holding and dual employment (good government)
Wednesday Committee Action Scheduled:
HB 1055 Richmond- Eliminates the division of adult and community education within the Dept. of Education and transfers the responsibility for adult education programs from BESE to LCTCS (Workforce)
HB Foil- Authorizes the CPRA to assist in the formation of a coastal science consortium (Infrastructure)
HB 814 Gisclair- Requires restoration of canals by coastal permit (Infrastructure)
To date, only 15% of the bills have moved out of committee. As the Session continues, the St. Tammany JPP will actively monitor bills of high interest and will mobilize as needed on priority issues. In an effort to keep the membership informed and engaged look for more Legislative Updates and Action Alerts throughout the Session. Those interested can also research legislation and Capitol activities on the state website at www.legis.state.la.us.