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Florida lawmakers last week managed to pass a $66.5
billion budget that does little more than ensure the state remains in a
fragile holding pattern through 2009-10. The budget passed largely
along party lines, with a 32-8 vote in the Senate and a 75-43 vote in
the House. Facing a $6 billion shortfall, lawmakers were able to
balance the budget using $5 billion in non-recurring federal stimulus
funds, $980 million in cigarette user fees, $1.25 billion in new fees
and increases, $600 million swept from trust funds, and $1 billion in
cuts. Lawmakers also budgeted $1.7 billion to go to reserves.
In the immediate days after passage of the budget, Florida
CSC's analysis of appropriations indicate that most children's programs
did better than originally expected by virtue of the fact that they
were held harmless. Much of the funding came from federal stimulus
dollars, which are non-recurring and will be gone by 2011. The
Department of Children and Families and the Agency for Persons with
Disabilities saw increased budgets of 4.3 percent and 2 percent,
respectively. Unfortunately, the Guardian ad Litem program suffered a
$3.8 million reduction. Other budget highlights include:
- KidCare
-- $12.4 million of existing funds shall be used to implement the
mandatory provisions related to mental health parity and
reimbursement of federally qualified health centers and rural
health clinics as required in the Children's Health Insurance
Program Reauthorization Act of 2009.
- Juvenile
Assessment Centers -- $3 million in non-recurring funding was not
replaced. Restoration of the $3 million non-recurring was only
$1.5 million specifically directed to Leon, Polk and Marion
counties. Remaining low -volume JACs can expect some reduction to
their allocation.
- Juvenile
Justice Redirection Program - Increase to current funding levels
including $1.6 million in general revenue and $500,000 in Byrne
Grant funds.
- Community
Based Care -- Core services not reduced overall. $7 million of the
$9.8 million non-recurring funds were restored, and an additional
$4.5 million related to the annual Title IV-E Waiver 3% increase
was provided. Budget authority was provided ($6 million) for an
anticipated increase in child welfare funds related to the
American Recovery and Reinvestment Act, though the actual amount
is not yet known.
- Independent
Living -- Only $3 million of the $4.6 million in non-recurring
funds was restored.
The state's Medicaid program was
increased from $16.2 billion to $18.2 billion. Funds were provided to
pick up the Meds-AD and Medically Needy Programs, which was funded from
non-recurring revenues in FY 08-09. The two programs were slated to end
July 1, but the Legislature funded them at continuation levels through
2010-11. Funds were also provided to cover caseload and utilization increases.
Florida will be serving an estimated 2.5 million people in the Medicaid
program in the coming year.
Overall for Health & Human Services, the Legislature
appropriated $26.04 billion, an increase of $2.7 billion (11.4%) over
the FY 08-09 original budget. This increase included a $1.9 billion
reduction in General Revenue offset by a $4.6 billion increase in trust
funds, most of which is federal match. The trust funds increases
included: $1.6 billion in stimulus funds (FMAP increase from 55% to 68%),
$.98 billion from cigarette user fee increases, and the remaining in
federal funds needed to match the growth in caseload and utilization.
The reduction of $1.9 billion in General Revenue was used to help
balance the rest of the state budget. Download SB 2600
(appropriations act) and SB 2602
(implementing bill).
Critics were quick
to point out that Florida is setting itself up for an enormous
financial cliff in two years when the non-recurring federal stimulus
funds run out. Sean Snaith, director of the University of Central
Florida's (UCF) Institute of Economic Competitiveness, said in a recent
UCF report that Florida's tax structure is fundamentally flawed, going
so far as to call it a "Ponzi scheme of financing
government." Snaith said that a rebound in the economy will not be
enough to replace billions of dollars in federal stimulus money that
will dry up in 2011. However, he said that state needs and wants will
continue to grow. See the UCF report.
~ Portions of the preliminary budget analysis provided by Capitol
Hill Group
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It's Official: Crist to Run for U.S. Senate
Gov. Charlie Crist announced Tuesday that he will run for the U.S.
Senate seat that will be vacated by Republican Sen. Mel Martinez. In a
written statement, Gov. Crist cited concerns over the economy, health
care, the environment and national security in his decision to run.
"I want to serve where I can serve the people of my state the very
best, and I believe that to be in the United States Senate," he
told reporters. Sen. John Cornyn, head of the National Republican
Senatorial Committee, swiftly endorsed Crist for the seat, even though
the governor is expected to face former state House Speaker Marco Rubio
in the primary. Rubio issued a response Tuesday saying the primary will
"offer Republicans a front row seat to a debate about the future
of the Republican Party" in the state and the nation.
Democrats in the Senate race include U.S. Rep. Kendrick Meek and state
Sen. Dan Gelber, both from Miami-Dade County. Among the candidates
likely to run for Florida Governor are CFO Alex Sink, Attorney General
Bill McCollum, and Agriculture Commissioner Charles Bronson.
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Coalition Urges Florida Leaders to Develop a Financial
Plan for the State
A
coalition of 20 organizations, including Florida CSC, held a press
conference on Monday to express concerns about the new state budget and
to urge state leaders to get busy on serious tax reform. The event,
organized by State Rep. Michelle Rehwinkel Vasilinda (D-Leon), was
aimed directly at alerting Floridians about the dangers ahead for the
state's quality of life unless a new vision and more thoughtful
investment strategies are crafted by state leaders. John Hall, with the
Florida Center for Fiscal & Economic Policy, emphasized that tax
reform can't wait. He said that the tax base should be broadened and
rates lowered resulting in a fairer system that provides more
adequately for the needs of the state. Florida CSC CEO Vivian
Alarcon said she believes citizens will support state spending on
programs that invest in Florida's people. "State leaders need a
clearly defined strategy for the state," she said. "They need
to communicate to citizens about the merits of their vision and
spending, and then show results. Children's services councils are
shining examples of that approach."
"This
budget hurts," said Rehwinkel Vasilinda. "It hurts people,
education and schools, the environment, business development and our
economy. We need a vision - a long-term vision that doesn't rely on
simply cutting, borrowing and raiding trust funds."
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Gubernatorial Veto Requested on Local Government Gag Law
The
Florida CSC, along with the Florida Association of Counties and the
Florida League of Cities, will ask Gov. Crist to veto SB 216
by Sen. Charlie Justice (D-Pinellas). The bill prohibits local
jurisdictions or local government associations from expending public
funds to take positions on issues before the voters.
Vendors such as printers or sign makers are also prohibited from
providing goods or services to local governments for these activities.
As stated in a letter to the Governor from the Broward
County Board of County Commissioners, "Unfortunately, SB 216 does
nothing to enhance discourse of public issues, and everything to stifle
the right of elected officials to publicly lead, debate, and inform
citizens of the advantages or disadvantages of public measures on which
their vote is paramount." Children's services councils (CSC) would
also be impacted. For example, when a county commission places a CSC
measure on the ballot, it would not be able to publicize the merits of
the tax measure. The county would be prohibited from expending
resources to inspire voters to act in the best interests of the
county's children. Opponents of SB 216 say that the bill will
significantly diminish local governments' ability to share critical
information on issues of public importance, which is a disservice to
taxpayers.
Florida Gets Long-Awaited Waiver for Federal Education
Funds
On Monday, Florida learned that it will get another installment of
federal stimulus money for education -- $1.8 billion - mostly to save
teacher jobs. Florida had already received $599 million of education
funds from the economic-recovery bill passed in February. The state is
eligible to apply for another $891 million this fall. In order to get
the waiver, Florida promised to provide information about the quality
of classroom teachers, annual student improvements, college readiness,
the effectiveness of state standards and attempts to improve failing
schools. Florida must also report the number of jobs saved through the
funding, the amount of state and local tax increases that were averted
and how the money was used.
Lawmakers Approve Gambling Deal
After a lot of contentious debate, Florida lawmakers approved a bill
last Friday that offers a new gambling deal to the Seminole Tribe. If
the tribe accepts, the deal will generate more money for Florida
schools. The Senate voted, 31-9, for SB 788. Faced with tough economic
realities, the anti-gambling House passed the bill, 82-35. Under the
bill, the governor would have until Aug. 31 to re-negotiate a gambling
compact with the Seminole Tribe that follows the legislative
guidelines. The Legislature would have to ratify the agreement. If the
agreement is approved, the tribe would pay at least $150 million a year
-- $2.2 billion over 15 years -- to the state for the exclusive right
to operate slot machines outside of Miami-Dade and Broward counties and
to run blackjack and other games at its casinos near Hollywood and
Tampa. The tribe would also share 3 percent of revenue with local
governments to offset the impact of casinos.
Legislature Funds Early Learning
Information System
The Agency for Workforce Innovation (AWI) was successful this year in
securing funding necessary to begin implementation of the Early
Learning Information System (ELIS). The project will allow development
of a centralized management information system that will provide
useable data to parents, partners, and providers regarding children who
attend Voluntary Prekindergarten and School Readiness programs. ELIS
will synthesize findings among 31 early learning coalitions over 15,000
child care providers and several state agencies. The ELIS system will
also be used to administer the state's $1.1 billion early learning
budget. AWI's Office of Early Learning has projected that the
system will result in an annual recurring cost savings of $28 million a
year, which could fund 7,000 more children every year in the School
Readiness program.
AWI Interim Director Cynthia Lorenzo applauded the work of agency staff
"who worked tirelessly to make sure this project became a
reality." She also thanked the many stakeholders who
supported the legislative effort and invited "their continued
assistance during the development and implementation phases in order to
streamline processes, realize efficiencies, and better serve Florida's
children and families."
AWI and Governor Recognize Early Learning Providers
The Agency for
Workforce Innovation (AWI) and Gov. Crist commemorated Provider
Appreciation Day on May 8 with an official
Governor's Proclamation declaring
the day, Provider Appreciation Day in Florida. The proclamation affirms
the importance of the state's early learning system as a whole and
recognizes the hard working individuals who serve children and families
every day. To celebrate the day, Interim AWI Director Cynthia Lorenzo
dedicated a special edition of "Connections Technical Assistance
Quarterly" to providers. The special edition includes articles of
interest for teachers and directors, links to valuable resources, and
information about upcoming professional development opportunities. The
edition also includes stories submitted by coalitions about providers
or groups of providers in their area. To view the special edition
click here.
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President Unveils 2010 Budget
President
Obama released details of his $3.6 trillion fiscal-2010 budget last
week, showing how he would expand the government's reach with programs
ranging from a low-cost housing trust fund to adding 50,000 cops on the
beat to spreading automatic 401(k) enrollments. What remains unclear in
the nearly 1,500 pages is how the president would try to narrow the
gaping federal deficit. The added cost of new programs detailed in Mr.
Obama's budget appendix will swamp the $17 billion of potential savings
anticipated from eliminating or cutting back 121 programs, enumerated
in a separate document. At a time when state and local governments are
slashing services, the Obama budget for 2010 shows little real sign of
belt-tightening. Read article in the Wall
Street Journal.
Additionally, the Child Welfare League of America has
produced a chart that contains a breakdown of federal funding for
specific children's programs. See the chart.
Obama Budget Reverses "Just Say No" Sex Ed
President Obama's budget drew high praise from youth advocates by
eliminating all funding for the ineffective Community Based Abstinence
Education (CBAE) program and the Title V Abstinence Education program
for states, totaling $149 million. It includes instead $178 million in
new funding for "evidence-based" teen pregnancy prevention
programs. According to the Healthy Teens Campaign (HTC), $75 million of
that amount is designated for "programs that replicate the
elements of one or more teenage pregnancy prevention programs that have
been proven through rigorous evaluation to delay sexual activity,
increase contraceptive use (without increasing sexual activity), or
reduce teenage pregnancy." Another $25 million is slotted for
research and development of new and innovative strategies for
preventing teen pregnancy.
Despite the jubilation of major youth advocate groups,
some have expressed concerns that the President's proposal does not go
far enough to include education on HIV/AIDS and other STDs. Rather, it
focuses on pregnancy prevention. No doubt there will be efforts to make
the final program funding more comprehensive than the current proposal.
Anyone interested in learning more about the President's budget and the
HTC are invited to join the monthly Healthy Teens Campaign conference
call on Thursday, May 21st at 10 a.m. To register for the
call, send an email to info@healthyteensflorida.org.
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Florida Prosperity Partnership Holding Regional Meetings
The FL Prosperity Partnership, a statewide
collaborative dedicated to supporting working families through
improving financial literacy, EITC outreach, advocacy, etc, will be
holding a series of regional meetings across the state. Evan
Goldman, Broward CSC Manager of Public Affairs & Organizational
Development, will be at the Orlando, Tampa and Jacksonville meetings to
discuss advocacy and fair tax policies. Meetings are as follows:
- May 19,
2009 -- 1:00 to
4:00 p.m.
Heart of Florida United Way
1940 Traylor Boulevard, Orlando, FL 32804
RSVP to Brittany.Richards@HFUW.org or (407)
429-2177
- May 21, 2009 --
2:00 to 5:00 p.m.
Lewis Digital, Inc.
630-1 Capital Circle NE, Tallahassee, FL 32301
RSVP to stephanie@uwbb.org
or (850) 488-8342
- May 28, 2009 --
1:00 to 4:00 p.m.
United Way of Tampa Bay Inc.
5201 W. Kennedy Blvd; Suite 600, Tampa, FL 33609
RSVP to mjones@uwtb.org
or (813) 274-0967
- June 2, 2009 --
10:00 a.m. to 2:00 p.m.
Federal Reserve Bank of Atlanta, Jacksonville Branch
800 Water Street, Jacksonville, FL 32204
RSVP to janet.hamer@atl.frb.org
or (904) 632-3588
Opportunities for
Covering Children
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TAKE
NOTE
Ausley Commends Legislature, Advocates for Passing KidCare
On May 10, the Tallahassee Democrat published an
opinion-editorial written by Florida Healthy Kids Chair Loranne Ausley.
In the article, Ausley commended the bi-partisan efforts of the Florida
Legislature to pass KidCare legislation. She also urged that there is
still more work to be done. Read the article.
Bud Chiles Announces Launch of "Worst to First"
Read the May 11
opinion-editorial written by Lawton "Bud" Chiles announcing the
launch of the Worst to First initiative. He says the initiative is
designed to educate, inform and inspire. Learn more.
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Capitol
Connection is also available online at the FCSC web site.
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