July 2014 Group Watch: No New Taxes, But Job Cuts Coming

That the message from the leader of the Alabama Senate. Senate President Pro Tem Del Marsh said recently he would look at proposals to close the gap in the state’s $1.8 billion General Fund budget, which pays for most non-education programs in the state. Marsh said he believed an additional 9 percent reduction in the state’s work force is achievable. Marsh added that such reductions would be achieved by attrition and said this is an opportunity to further “right-size government.” Marsh said that other measures are on the table including consolidation of the state’s two budgets; removing earmarks that tie up more than four-fifths of the state’s tax revenue and the elimination of some deductions and exemptions.

June 2014 Group Watch: News & Views from the Statehouse

At least for the state’s highest offices, the recent primary elections yielded no surprises.

• 2014 Primary Elections: Alabama Governor Robert Bentley coasted to the Republican nomination for a second four-year term as governor. In November, he will face Democratic challenger, retired physician and former state senator Parker Griffin, who easily won his party’s nomination. Lt. Governor Kay Ivey easily won the Republican nomination to seek a second term in office.  She will face Democrat James Fields in the general election. Republican Attorney Luther Strange will face Democrat Joe Hubbard in the general election, neither of whom had a primary challenger. In the hotly contested race for the vacant District 6 U. S. House seat Republicans Paul DeMarco and Gary Palmer will meet in a July 15^th runoff to determine who will face David Turner, the Democratic challenger. Click below for full list of election results.

• French Drops out of House District 46 Race: Former state Senator Steve French of Mountain Brook announced he is dropping out of the Republican race for House District 46, which was formerly held by Paul DeMarco. French has asked the Republican executive committee to certify his opponent David Faulkner, also of Mountain Brook, as the nominee who will face Libertarian Steven Tucker in the November general election.  French said that a change in his work environment makes it no longer prudent to pursue the runoff with Faulkner. French who is a senior vice president with Sterne Agee investment banking firm says he lost the critical support of his employer when the firms CEO was recently fired by the board of directors. House District 46 includes parts of Homewood, Hoover and Mountain Brook.

June 2014 Group Watch: Revamping Criminal Justice System

Governor Robert Bentley recently announced plans to revamp the state’s criminal justice system. Alabama will participate in a program offered by the Council of State Governments Justice Center, a national organization that helps states analyze and improve their criminal justice systems. The Justice Reinvestment Initiative will look crime and arrest trends in Alabama and aggregate corrections data, which will be the foundation for establishing the process and timelines for any new proposals. The goal is to maintain and improve public safety in a cost-effective manner. Savings could be used to establish and/or expand substance abuse and mental health services. The justice center has worked with 18 states to date, and in Michigan, reform legislation that address prison problems in that state was recently signed into law.

June 2014 Group Watch: Arms Manufacturers Eyeing North Alabama

Local leaders in Huntsville confirmed they are fielding inquiries from other arms manufacturers about expanding into North Alabama. This comes after Remington’s announcement earlier this year about bringing thousands of jobs to Huntsville at its new facility. Local leaders say there have been more than a dozen arms manufacturers who might be considering an expansion into the area. Governor Bentley announced recently during a speech in Huntsville that he believes the addition of Remington will lead to more arms manufacturers coming to the state.

May 2014 Group Watch: News & Views from the State House

As the school year winds down, and we all get ready for summer, the wheels of government keep turning.

• Governor Bentley’s Road to Economic Recovery Tour: Governor Robert Bentley and Lt. Governor Kay Ivey recently visited Dothan as part of the Road to Economic Recovery Tour. The purpose of the tour is to visit communities across the state and discuss local economic conditions and state-level efforts to bring more jobs to the state. The governor met with area residents and business owners to discuss these topics and other community issues. The tour included lunch at a local restaurant, a tour of Dothan High School and a business roundtable at the Dothan Area Chamber of Commerce.
• Alabama’s Pre-K Program Expands: Alabama’s state-funded prekindergarten program, which received perfect marks on a national report for the eighth straight year, will expand by 100 classrooms next school year. According to the governor’s office and the Alabama School Readiness Alliance and Voices for Alabama’s Children, that means the program will serve about 1,800 more students, up to a total of about 7,400 statewide. Fourteen of the new programs are in Jefferson County, seven in Tuscaloosa, five in Mobile, four each in Madison and Baldwin counties and three in Montgomery. The Legislature increased funding for the program by $10 million, to $38.5 million for the fiscal year starting October 1.
• Alabama Only State Without a Dam Safety Program: Alabama is the only state in the country without a dam safety program. Efforts to get one implemented have gone nowhere in the Alabama Legislature, where concerns about increased regulations and violating private property rights of dam owners have trumped a new safety program. Legislation was introduced in the waning days of the 2014 regular session that would have implemented a dam safety program overseen by the Office of Water Resources of ADECA. The proposal would give the state oversight to approve design and construction of new dams, to inspect dams, to establish state authority to handle emergency situations if a dam fails, and requires annual certification to maintain a dam. The bill excluded dams not greater than 6 feet in height regardless of storage capacity and not greater than 15-acre feet regardless of height unless the dam is classified as a “high hazard potential dam.”
• Healthcare Costs on the Rise: The 26 states that opted out of a Medicaid expansion to avoid the financial burden of increased enrollment will see enrollment and related costs rise this year anyway according Forbes magazine. The marketing blitz that encouraged enrollment in states that opted-in raised awareness in the opt-out states. The heightened awareness prompted the enrollment of people who were previously unaware of their Medicaid eligibility. The opt-out states are facing unexpected financial and operational pressure due to increased enrollment. Alabama was the only Southern state that opted out of the Medicaid expansion that experienced a decrease in enrollment.

May 2014 Group Watch: Nowhere to Go

The mentally ill who have nowhere to go and find little help from those around them often land hard in emergency rooms, county jails and city streets. The lucky ones find homes with family; those not so lucky show up in the morgue. States looking to save money have chipped away at both the community mental health services and the hospital care needed to help heal after a crisis. For decades, states have been reducing hospital beds due to pressures from insurance companies as well as a desire to provide more care outside institutions. Tight budgets during the recession caused devastating cuts related to mental health services in this country. It is estimated that states cut $5 billion from 2009-12. Nearly half of adults with severe mental illness such as schizophrenia receive no treatment, and most suicides result from untreated mental disease. It’s an issue that deserves attention and action.

May 2014 Group Watch: Tweets of the Month

From @thebloombroup: Former House Speaker Seth Hammett named interim chief of staff for Gov. Bentley.

From @thebloomgroup via @ALForestry: Beason is a strong second in U.S. House District 6 primary without spending any campaign money.

April 7, 2014 Group Watch: News & Views from the State House

The session ended amid the announcement of the resignation of a prominent House member and the subsequent announcement of a plea deal with state prosecutors.

• Tuesday (28th legislative day): TRepresentative Greg Wren of Montgomery entered a plea arrangement for an ethics violation, using his office for personal gain. After getting over the shocking news, the House went on to give final approval to a $1.8 billion General Fund budget, which includes a one-time $400 bonus for state workers and additional funding for the maligned Department of Corrections. They also gave final approval to bills that would allow people who are accused but not convicted of certain non-violent crimes to apply to have their arrest records expunged and that exempt lunches and sales of tangible property from state sales and use taxes. They debated but took no vote on a wind-farm regulation bill. The Senate Health Committee approved three abortion regulatory bills, including one banning abortions when a fetal heartbeat can be detected. The Senate paused to remember former Alabama U. S. Senator Jeremiah Denton who recently passed. They passed bills to encourage adoptions by providing a one-time state tax credit of $1,000; to allow the Revenue Department to suspend the collection of any tax where the cost of collection exceeds the revenue generated for three years, and approved the conference committee report on the $5.9 billion education budget that increases funding for education employees’ health insurance but provides no cost-of-living raises for active or retired educators.
• Wednesday (a committee day and the 29th legislative day): The House Public Safety and Homeland Security Committee considered but did not approve a bill that would let people carry loaded pistols in their vehicle without having to get a concealed carry permit. The full House held a moment of silence for shooting victims at Fort Hood, Texas, and passed a resolution honoring the late U.S. Senator Jeremiah Denton. They also passed a non-binding resolution calling for a constitutional convention to put a gay marriage ban in the U. S. Constitution. They passed bills to block bars, strip clubs, casinos and psychic services from accepting electronic welfare benefit cards; to prohibit sex offenders convicted of a crime involving minors from being within 500 feet of a school during instructional hours, and to require welfare applicants to show proof that they have applied for at least three jobs. The Senate Confirmations Committee rejected two of four nominees to the Alabama State University board of trustees. Robert Gilpin and Larry Thornton were approved by the Senate as trustees to the Alabama State University Board. They also approved a bill doubling the waiting period for an abortion, increasing it to 48 hours after a woman receives information from an abortion clinic about the risks of abortion, gestational development and alternatives to abortion.
• Thursday (30th and final legislative day): The House gave final approval to a bill requiring drug testing for welfare applications with a drug conviction in the last five years and also approved the conference committee report on the Education Trust Fund budget that includes expanded funding for education employee insurance but no pay raise. The Senate gave a standing ovation to Democratic Senator Marc Keahey of Grove Hill after he announced he is dropping his re-election bid. They joined the House in approving bills to require a person making application for public assistance to have applied for at least three jobs; to expanding parental consent for females under the age of 18 seeking an abortion; and to prohibit a legislator who leaves office from lobbying both the House and Senate for two years. They also blocked consideration for final passage of bills to protect low cost spay-neuter clinics; to develop a database of payday loans; and to keep secret the names of companies that supply drugs for lethal injections.

4/7/2014 Group Watch: Principal Perspective

by Allen Sanderson
We’ve just wrapped up another busy session, one that was particularly productive and successful for our clients. We worked hard over the last few months, but we’re always ready to work harder and to serve more businesses and organizations seeking a voice in the halls of government. If you’re looking for a governmental relations firm that operates with integrity and gets results, (or know someone who is), find out more about us and all we offer on our website, here. Or feel free to call me directly at 205-222-3769. We look forward to putting our experience and expertise to work for you

4/7/2014 Group Watch: Next Year

It will all begin again in 2015. Legislators elected in November will return to the State House in January 2015 for an organizational session. The 2015 regular session will start in March 2015.