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Week Three - March 25, 2011

BUDGET SHIFTS INTO HIGH GEAR

The Chairs of the House and Senate budget subcommittees disseminated their budget proposals this week. Both chambers expect to have their proposals reviewed by their main budget committees next week, and to the floor for debate the week after. Key components of the budget subcommittee proposals will be sent next week in preparation for the full budget committee's work on Wednesday and Thursday.

STATE AND LOCAL REVENUES

Smart Caps (TABOR)

The House Finance & Tax Committee began its work reviewing state and local government revenue limitations. Chair Stephen Precourt (R-Orlando) stated that the committee would consider "local government limitations," which would be a glaring difference between the TABOR bill passed by the Senate that addressed only state-funded entities. The committee was briefed on current state revenue limitations; revenue limitation projections; and a local government limitation concept. The concept of a local government limit would impose a per parcel limitation on ad valorem taxes (excluding schools) and special assessments at two percent of taxable value. Chair Precourt stated that the goal would be to stay within the combined 10 mills cap for counties and 10 mills for municipalities. This concept mirrors a similar proposal passed by the House in 2009, HJR 385, Limitation on Aggregate Ad Valorem Taxes on Real Property (sponsored by Rep. David Rivera).

Special Districts

The Senate Community Affairs Committee took action on SB 1120 by Sen. Jim Norman (R-Tampa), which revises provisions relating to merger and dissolution procedures for special districts. Additionally, the committee amended the bill to include the provisions of the committee's Interim Project 2011-110: Merger of Independent Special Districts. The House companion to SB 1120, HB 713 by Rep. Mark Pafford (D-West Palm Beach), was passed by the House Community & Military Affairs Subcommittee, but does not include the provisions of the Senate's proposed committee bill. The next stop for SB 1120 is the Senate Budget Committee with HB 713 going to the House Finance & Tax Committee for its next hearing. These bills are being closely monitored for impacts to Children's Services Councils.

Save Our Homes
The House Finance and Tax Committee passed Rep. Chris Dorworth's (R-Lake Mary) bill, HB 1163 which is the implementing bill traveling with the House Joint Resolution 381 - a constitutional amendment that would go on the ballot in 2012 extending the Save Our Homes three percent tax cap to non-homesteaded property, including commercial property from the present cap of 10 percent. Additionally, it would extend an additional homestead tax exemption of up to 50 percent for first time homesteaded property owners. The committee discussed whether "portability" as is now included in Save Our Homes could be included in this bill as it is not presently a part of the bill. Rep. Dorworth stated he was willing to consider it in future committee hearings. The bill has two more committees to move through. The Senate companion, SB 1722 by Senator Fasano (R-New Port Richey) will be heard in its first committee on March 28, 2011.

EARLY LEARNING

Voluntary Pre-K (VPK), the Office of Early Learning and School Readiness
Efforts are underway to reorganize the Agency for Workforce Innovation (AWI) and it is still unknown where the Office of Early Learning which oversees the VPK and School Readiness programs will reside. Some advocate groups have taken the position that the VPK and School Readiness programs should stay together and be moved to the Department of Education (DOE) to allow an educational focus on these programs as opposed to the Department of Children and Families (DCF) whose core mission for children is the child welfare system, including preventing abuse and neglect. On Thursday, the Senate Transportation, Tourism & Economic Development Budget Committee moved an implementing bill which transfers VPK and Early Learning to DOE, along with all the rules previously in statute granting authority to AWI.

In the budget, the House proposed a 4.9 percent reduction from prior years for VPK, with a recommended budget of $384.6 million. Administration of Early Learning Coalitions is reduced from 4.5 to four percent. The Senate proposed funding VPK at $415.8 million, a 2.7 percent increase over last year. In school readiness, the Senate budget scenario would result in a reduction of slots by 4.3 percent (no reduction in state funds, but no replacement of stimulus funds from prior years) and the House scenario would result in a reduction of 8.8 percent of slots.

HEALTHY CHILDREN

Department of Health (DOH) Reorganization
While the DOH reorganization report has been presented, no bills have yet been filed. Dr. Frank Farmer was recently appointed as Surgeon General for DOH and will likely have views on the matter. As Surgeon General, Dr. Farmer will serve as both Florida's chief medical officer and as secretary of the DOH. (Liz Dudek has been officially named as Secretary of the Agency for Health Care Administration (AHCA)).

Medicaid
On Thursday, the House full Appropriations committee passed out its two Medicaid bills, HB 7107 and HB 7109, which were amended and released only one hour before the committee met. Medical home provisions were strengthened, requiring that the primary physician for each enrollee must be identified and the enrollee urged to see the physician for an initial screening. While improved, however, this requirement is not as strong as the provision in the Senate bill.

Of some concern is the House bill's elimination of the Medical Loss Ratio (MLR) concept which would have required providers to cap administration at 10 percent and spend 90 percent of revenues on services, a concept which was described as redundant in the bill. An amendment by Mia Jones (D-Jacksonville) to restore the MLR failed on a voice vote.

KidCare
The House has yet to place the KidCare bill on the agenda. Language from Sen. Elenor Sobel's (D-Hollywood) KidCare bill remains in the Senate's Medicaid Reform bill. While working to improve Medicaid reform provisions, House members are urged to support this language in the final conference report on Medicaid.

In the budget, both the Senate and House have increased the KidCare appropriation by $36 million for expected enrollment growth of eight percent - an additional 22,848 kids. The House and Senate have frozen health plan rates for KidCare and Medikids, resulting in $12.9 million in savings.

Other Children's Health Programs

Healthy Families and Healthy Start funding thus far is encouraging.
Although the Senate recommended severe cuts to adult mental health or substance abuse, children's substance abuse and mental health were restored to current levels.

Booster Seats
The House booster seat bill, HB 11 by Rep. Richard Steinberg (D-Miami Beach), is still waiting to be placed on the agenda in the House Transportation and Highway Safety Committee. On Thursday, the House and Senate sponsors held a press conference in the capitol rotunda to urge the House to take up the bill.

TAKE ACTION: Advocates are encouraged to contact members of their House delegations, as well as Speaker Cannon, to express the urgent need for this legislation. Please explain this bill will simply allow seat belts to fit properly around our young children. The existing child safety legislation sends a dangerous message that seat belts alone are adequate for children ages 4-7.

Privacy of Firearms Owners
SB 432 by Sen. Greg Evers (R-Crestview) which restricts physicians from asking patients about firearm ownership was temporarily postponed in the Senate Health Regulation Committee a second time.
The bill will be heard next on March 28, 2011. The House bill, HB 155 by Rep Brodeur (R-Sanford) is in the Health and Human Services Committee.

CHILD WELFARE

Foster Care/Independent Living
CS/HB 1241, by Rep. Rich Glorioso (R-Plant City), unanimously passed the Health & Human Services Access Subcommittee. The bill would tighten oversight of funds for young people aging out of foster care and provide them with "education advocates" to ensure the money is well-spent. It would also give them the option of receiving independent living services until age 21, under the jurisdiction of a court, to ensure their self-sufficiency as adults. It is now in the Rulemaking & Regulation Subcommittee. The Senate companion, SB 1902, by Sen. Nan Rich (D-Weston) was heard in the Children, Families and Elder Affairs Committee and temporarily postponed. The bill will be heard again on Monday, March 28 and is expected to pass.

Proposed Child Protection Response Workgroup
SB 1994, sponsored by Sen. Ronda Storms (R-Hillsborough), passed the Children, Families and Elder Affairs Committee this week. SB 1994 requires the DCF to establish the Child Protective Response Workgroup. The workgroup will develop a plan that will allow the Department to fully implement a differential response system for reports of child abuse or neglect. The bill provides a minimum set of tasks for the workgroup, requires a report to the Legislature by December 31, 2011, and specifies what must be included in the report.

Differential response is a child protection services practice that enables more than one type of initial response to reports of child abuse and neglect. Also called "dual track," "multiple track," or "alternative response," this approach recognizes variation in the types of reports and the value of responding differently to different types of cases. It is guided by the assumption that a differential response system allows agencies to protect children and support families in a less adversarial manner, while reserving agency resources for more intensive, high-risk cases.

The bill also requires the Department to establish the Child Welfare Professional Advisory Council. The Council will review and make recommendations relating to the education and qualifications of child welfare staff employed by the Department, the sheriff's offices contracted to conduct child protective investigations, and the community-based care lead agencies and their contracted providers.

Limited Liability/Sovereign Immunity for CBCs
HB 1019, by Rep. Scott Plakon (R-Seminole), passed the House Civil Justice Subcommittee this week on a 9-5 vote. The measure would reduce economic damages for children harmed in Florida's child welfare system. Proponents of the bill, including several community-based care organizations and their subcontractors, argued the proposed legislation is needed to reduce the growing number of "frivolous" lawsuits against agencies contracted to provide foster care and adoption services, to address rising insurance costs, and to maximize resources for services. The bill continues to attract testimony from advocates who urge members not to reduce accountability and cap damages awarded to victims. The bill is now in the House Health Care Appropriations Subcommittee.

A companion bill, SB 1500 by Sen. Jack Latvala (R-Pinellas), has yet to be heard in its first committee stop, Senate Banking & Finance.
However, similar language is contained in the Senate Medicaid bill, SB 1972. The bill now travels to the Health Care Appropriations Subcommittee where it will be heard on March 28, 2011.

JUVENILE JUSTICE

Juvenile Civil Citations
CS/SB 1300 was passed by the Senate Criminal Justice Committee this week. The bill requires juvenile civil citation programs to be established at the local level. Currently these local diversion programs are discretionary. The bill specifies that they may be operated by any number of entities, including law enforcement, the Department of Juvenile Justice (DJJ), a juvenile assessment center, the county or city, or an entity selected by the county or city. Unlike current law, only first-time juvenile misdemeanants will be eligible to participate in a civil citation program. The statute currently allows second-time juvenile misdemeanants to participate. The bill also provides that intervention services will be required during the civil citation program if a needs assessment determines such services are necessary.

Juvenile Justice Budget
The Senate proposed a reduction of $94.3 million and the House proposed a reduction of $107.6 million to the juvenile justice budget. Rep. Richard Glorioso (R-Plant City), chair, House Justice Appropriations Subcommittee apologized for this recommendation due to the size of his committee's allocation (smaller than the Senate). Advocates will have to work hard to restore important programs such as Redirections, PACE, CINSFINS and residential programs.

OTHER ISSUES

Background Screenings
SB 1992 sponsored by Sen. Ronda Storms (R-Hillsborough) and the Senate Children and Families Committee, was approved in that committee this week. In 2010, the Florida legislature substantially rewrote the requirements and procedures for background screening of persons and businesses dealing with vulnerable populations. SB 1992 makes changes to the law related to background screening that include:

Exempting from the definition of "direct service provider" individuals who are related to the client, and volunteers who assist on an intermittent basis for less than 20 hours of direct, face-to-face contact with a client per month.
Exempting from any additional Level 2 background screening requirements an individual who was background screened pursuant to an Agency for Health Care Administration (AHCA) licensure requirement if they are providing a service within the scope of their licensed practice.
Specifying that employers of direct service providers previously qualified for employment or volunteer work under Level 1 screening standards, and individuals required to be screened according to the Level 2 screening standards, shall be re-screened every five years except in cases where fingerprints are electronically retained.

Florida Tax Burden
The annual Tax Foundation report on state and local tax burdens was recently released, showing that Floridians shoulder the thirty-first lowest state and local tax burden in the nation. The report found that Florida's 9.2 percent state and local tax burden is below the national average (9.8%) and well below the burdens of people living in New Jersey, New York and Connecticut (all above 12%). People in Wyoming (7.8%), Tennessee (7.6%), Nevada (7.5%), and Alaska (6.3%) pay the least in state and local taxes.

TAKE NOTE

April 3-6, 2011

Children's Week

April 4 - 8, 2011

NHSA 38th Annual Head Start Conference

Kansas City, MO

April 5-6, 2011

FCSC Board of Directors Meeting

Tallahassee, FL

April 12-15, 2011

National Association of Child Care Professionals Conference

Scottsdale, AZ