4/25/16 Group Watch: IRAs for New State Hires?

This week the Alabama House of Representatives approved a bill that would enroll new state employees in individual retirement accounts. The legislation would automatically enroll state employees hired after January 1, 2017, in an individual retirement account. The initial contribution rate would be set at 1.5 percent, though employees could adjust that to a higher rate. One member said that this mechanism would encourage employees to plan for inflation if there were to be no more cost-of-living adjustments for retirees. This bill now goes to the Senate in the waning days of the 2016 regular session.

April 18, 2016 Group Watch: News & Views from the State House

With the General Fund Budget done, attention was turned to the Education Budget. And a transportation bill, which passed almost unanimously in both the House and Senate, was one of the other important votes last week.

On Tuesday, April 12 (21st day of the session):

• The Senate Finance and Taxation Education Committee approved a House-passed Education Budget with changes, appropriations for Talladega College, Lyman Ward Military Academy and Tuskegee University. The proposed budget includes an absolute 4-percent pay raise for K-12 education employees and a conditional, one-time lump sum bonus for retired educators.
• The House passed a number of bills with local application only: to provide additional fees for the Shelby County Probate Court; to provide for a referendum for Sunday alcohol sales in Cherokee County; to authorize additional sales tax in Randolph County for jail construction; and to establish continuing education requirements for the Wilcox County Sheriff’s office. They also passed general bills to require wireless communications providers to provide to law enforcement location information of a customer upon request; to protect vulnerable adults from financial exploitation; and to exempt from sales, use and rental tax certain subscription services.
• The Senate passed general bills to require municipal or county business tax for home health and hospice are due only where the headquarters or branch office is located. If this legislation becomes law, it would cost cities thousands of dollars and put a strain on already stretched budgets.
• Learn more about what the Senate got done on this day on the“Senate Minute” video, here.)

On Wednesday, April 13 (22nd day of the session):

• The House Health Committee approved a bill to extend the time period for probationary certification of regional care organizations (RCO’s).
• The Senate Education and Youth AffairsCommittee approved bills to delete the requirement that county superintendents of education maintain an office at the county seat, and to allow 6 year olds to enroll in the first grade.
• The Senate approved a House-passed Education Budget with changes that includes a 4-percent pay increase for K-12 education employees and a conditional, one-time bonus for retired educators. They also approved House-passed appropriations for Talladega College and Lyman Ward Military Academy. The Education Budget now goes to a conference committee to resolve differences between the House- and Senate-passed versions. The budget is the largest Education Budget since 2008 and the first to include a pay raise for teachers in several years.
• A bill establishing the Alabama Safety Transportation Fund was passed and ushers in the use of a new way to fund bridges and roads in the state that provides more local control. It was passed with an overwhelming majority.
• The House Jefferson County Local Legislation Committee approved a bill to prohibit members of the Birmingham City Council from serving on other city boards.
• The House County and Municipal Government Committee approved bills affecting how municipal governing boards may increase salary and expense allowances, and the process by which water, sewer, and fire protection authorities cover adjoining territory.
• The House passed a bill of local application only relating to the Sunday sale of alcoholic beverages in Jackson County. They also passed general bills relating to possession Cannabidiol for certain debilitating health conditions; to authorize additional board members for municipal works boards serving multiple counties; and to provide for the allocation and apportionment by the Department of Revenue of excise tax paid by financial institutions.

The House and Senate reconvene on Tuesday, April 19, at 1 p.m. and 4 p.m. respectively. Find a link to live audio of both chambers here.

4/18/16 Group Watch: AL Already Feeling Medicaid Cuts

The passed General Fund Budget underfunds Medicaid by $85 million for the upcoming fiscal year. Cuts to the program will likely result in lower physician payments and the elimination of optional programs including prescription drug coverage for adults. Dothan Pediatrics had opened a temporary facility in rural Ozark while a permanent facility was to be constructed. The new facility would bring jobs and better access to healthcare to children. The project is now on hold, and without adequate funding, the temporary arrangement may also go away.

4/18/16 Group Watch: Industrial Hemp Research Coming?

A bill regarding industrial hemp passed both the House and Senate last week and could open the door for the state to capitalize on the economic potential of the non-intoxicating type of cannabis plant. The bill passed both the House and the Senate almost unanimously and will allow for research into the uses of industrial hemp and the regulation of it if the bill is signed into law. To make it to the governor’s desk, it must first go through conferencing to reconcile the House and Senate versions.

April 11, 2016 Group Watch: News & Views from the State House

After Governor Bentley made good on his statement to veto the General Fund budget, the legislature wasted no time over-riding that veto, while the Senate earned the governor’s praise for passing his prison bond plan (see articles below). Meanwhile, plenty of other non-headline-grabbing but still important business got done last week:

On Tuesday, April 5 (19th day of the session):

• The House passed bills of local application only, including a measure affecting the salaries of certain local officials in Mobile County and to provide for a local referendum to authorize Sunday alcohol sale in Rainbow City (Etowah County).
• The House passed other bills of local application only to provide for additional distribution of sales and use tax in Blount County and authorize the operation of golf carts on the public streets in Baldwin County.
• The House also passed general bills to exempt prescription drugs from business license tax based on gross receipts in certain circumstances and to provide tax credits for certain capital contributions to small businesses in Alabama.
• The Senate passed general bills to authorize possession of a firearm on certain property under certain circumstances and to exempt employees hired in the Community College System after January 1, 2017, from the Students First Act of 2011.
• The Senate also passed a proposed constitutional amendment requiring legislative authority to issue bonds for certain purposes with proceeds from the Deepwater Oil Spill Disaster Settlement and approved the Alabama Prison Transformation Initiative Act that will provide for the construction of new prison facilities to comply with federal consent decree.
• Learn more about what the Senate got done on this day on the“Senate Minute” video, here.)

On Wednesday, April 6  (a committee day):

• The House Education Policy Committee approved a Senate-passed bill to provide annual suicide prevention education training in Alabama’s public schools, to prohibit local school boards from adopting or enforcing zero-tolerance policies relating to drugs, alcohol, weapons, actual or threatened physical harm to a person on a case-by-case-basis; and to authorize the Department of Human Resources Commissioner to establish and manage public and charter schools to post signs with the hotline number for reporting child abuse.
• The House County and Municipal Government Committee approved a bill to expedite the quiet title procedure relating to tax sale properties.
• The House State Government Committee approved bills to require the Retirement Systems of Alabama to adopt investment reporting standards and to require the Retirement Systems of Alabama to permit employees hired after January 1, 2017, be required to participate in individual retirement accounts and to opt-out of the traditional program.
• The Senate Finance and Taxation Education Committee approve a bill to prohibit certain school officials and others from participation in the Teachers’ Retirement System.

On Thursday, April 7  (20th day of the session):

• The House passed bills of local application only relating to the expense allowance of the tax assessor in Wilcox County and the expense allowance of the county commission chair in Houston County and to the transfer of certain duties from the judge of probate to the revenue commissioner in Autauga County.
• The House also passed general bills to allow financial institutions to use tax credits to offset the state portion of tax in certain circumstances and to create the Human Trafficking Safe Harbor Act to protect children from certain predatory acts.
• The Senate passed bills to preclude governmental entities from entering into contracts with entities that boycott persons or entities with whom the state enjoys open trade and to make it a crime to distribute a private image.

Other Points of Interest From Last Week

• The House Public Safety and Homeland Security Committee approved a bill that moves an intentional assault on police officers, fire fighters, emergency medical workers and utility workers up from a Class C felony to a Class B felony, which carries a longer sentence.

Mayors from Alabama’s largest cities (Birmingham, Montgomery, Mobile, Huntsville and Tuscaloosa) were in the capital city last week to urge state leaders  to support funding for infrastructure.

The House and Senate reconvene on Tuesday, April 12, at 1 p.m. and 4 p.m. respectively. Find a link to live audio of both chambers here.

4/11/2016 Group Watch: General Fund Budget Done

Last Tuesday, right after returning from Spring Break, the Alabama Legislature over-rode Governor Robert Bentley’s veto of the $1.85 billion General Fund budget, making the budget bill law. The Senate vote was 22-11; the House vote was 71-24. Bentley was against the budget because, according to him, it “didn’t adequately fund Medicaid.” The governor is still looking for ways to up Medicaid’s funding and mentioned a possible special session to address the issue.

4/11/2016 Group Watch: Senate Passes Prison Bond Bill

Last Tuesday, the Senate passed Governor Bentley’s plan to use a $800 million bond issue to update older prisons, close several prisons completely and build four new ones. The governor pointed to the passage as the clearing of “a critical hurdle” in solving Alabama’s prison problems. The governor, Corrections Commissioner Jeff Dunn and Senator Del Marsh all believe the state’s cost in the bond issue will be covered by cost savings gained by the closings and updates.

March 28, 2016 Group Watch: News & Views from the State House

The General Fund Budget has been passed by the legislature but may not get very far (see article below) while plenty of other bills keep moving forward:

On Tuesday, March 22 (17th day of the session):

• The House passed bills of local application only, to redistribute lodging tax proceeds in Etowah County; to permit Sunday sales of alcoholic beverages in Jackson County; and to allocate the proceeds from solid waste fees to North Sumter Day Center in Sumter County.
• The House also passed general bills to prohibit the operation of dump trucks with the truck bed raised; to permit the State Fire Marshal to issue permits for the installation of fire protection sprinkler systems; and to require a notation by the prescribing physician when generic drugs are not allowed.
• The Senate passed a bill of local application only to allow the probate judge to seek reelection up to the age of 75 years old in Pickens County.
• The Senate also passed general bills to establish a Loan Repayment Program to pay for the education of Advanced Practice Nurses; to establish the Alabama Dental Service Program for the Board of Dental Scholarship Awards to encourage practitioners to serve medically underserved areas of the state; and to provide for an expedited procedure for tax sale properties acquired from the State Land Commissioner.
• Learn more about what the Senate got done on this day on the“Senate Minute” video, here.)

On Wednesday, March 23 (18th day and a committee day):

• The House Judiciary Committee approved bills to establish a procedure to apply for visitation by isolated family members and sentencing guidelines for juveniles convicted of capital and certain other offenses.
• The House Commerce and Small Business Committee approved a bill relating to the number of employees included in workers’ compensation plans to exclude those who own a certain percentage of the company.
• The House Ways and Means Education Committee approved a Senate-passed bill to prohibit local school boards from using public funds to advocate for or against ballot measures.
• The House County and Municipal Government Committee approved a bill that provides a timeline for considering salary and expense increases by municipal governing bodies.
• The House State Government Committee approved a Senate-passed bill to align the filing of state tax returns with the time requirement for filing corresponding federal returns.
• The House Boards, Agencies and Commissions approved a Senate-passed bill relating to Social Work lincensure.
• The Senate Fiscal Responsibility and Economic Development Committee approved a bill to exempt from business license tax based on gross receipts.
• The House passed general bills to authorize warrantless arrest of persons trespassing on property of an educational institution; to provide immunity for certain volunteer caregivers from civil actions; to repeal statutes relating to the municipal commission form of government; and to reauthorize the Children’s Advocacy Centers participation in the Local Government Insurance Program.

Other Points of Interest From Last Week

• Speaking to a group at Monroe County Hospital, Governor Bentley brought up a state lottery, saying that it may be the only “realistic” way to get more funds for Medicaid.
• The House Health Committee considered a “Personhood Amendment” to the constitution that would define life and personhood as beginning at the “moment of fertilization or the functional equivalent thereof.”

The House and Senate are off this week for Spring Break and reconvene on Tuesday, April 5, at 1 pm and 2 pm respectively. Find a link to live audio of both chambers here.

3/28/2016 Group Watch: General Fund Budget One Step Closer

Last Wednesday, with a 20-13 vote, the Senate passed the $1.85 billion General Fund Budget, which included changes made by the House that upped the funding for Medicaid to $15 million more than last year. Last Thursday, Bentley announced that he’ll veto the budget and send it back to the legislature when they reconvene. His veto could be overridden by the legislature. If not, then a special session may be needed to finally come to an agreement and get a budget passed. Like Medicaid, several other agencies see increases in this budget, but most others will stay at the same levels as the current year. Here’s a breakdown of some of the increases:

• $97 million for the state court system, a 5% increase
• $412 million for Department of Corrections, a 35% increase
• $32 million for Department of Public Health, a 45% increase
• $61 million for Department of Human Resources, a 4% increase
• .$109 million for Department of Mental Health, a 2% increase
• $46 million for Board of Pardons and Paroles, a 20% increase

Read Governor Bentley’s official statement here.

3/28/2016 Group Watch: Governor Fires ALEA Secretary

Last Tuesday, Governor Robert Bentley announced the removal of Alabama Law Enforcement Agency Secretary Spencer Collier, just hours after an internal audit suggested a “possible misuse of funds.” Collier is a former state trooper and was a Mobile County legislator from 2002 to 2011. In a brief statement, Governor Bentley commended Collier for overseeing the consolidation of ALEA operations over the past several years. Bentley announced that acting ALEA Secretary Stan Stabler has been promoted to the job on a permanent basis. Bentley said that Stabler is a veteran law enforcement officer who has more than 30 years in law enforcement. The events that unfolded in the days after Collier was terminated have been heavily covered by several media outlets, and you can find out more about it from several sources online.