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Week Four

March 28, 2008

Human Services Feel the Pain in Budget Cuts

Following the Senate's release of its proposed budget last week, House appropriations committees issued their recommendations under the cloud of an unprecedented decline in state revenues. As the proposed program cuts have taken form, human service advocates are left reeling from the ominous impacts on our most vulnerable citizens should these reductions be implemented. While final numbers are still being clarified, a summary of some of the most dramatic budget cuts for children and families programs (as of 3/28/08) are:

DEPT.

PROGRAM

SENATE

HOUSE

AWI

School Readiness (subsidized child care)

-$16.9 M

-$12.4 M

DOH

Healthy Start

-$3 M

-$5 M

DOH

Children's Medical Services

-$7.5 M

-$13 M

DCF

Community Based Care

-$25 M

-$25 M

DCF

Healthy Families

-$3.8 M

-$3.9 M

DCF

Independent Living

--

-$7 M

The House and Senate have taken different approaches to cuts and filling holes created by the revenue decline. For example, the House has swept $551 million from the Transportation Trust Fund, while the Senate is expected to resist that move. The big picture issues will likely be resolved at the end leaving individual budget impacts in flux until leaders come to terms.

The proposed General Appropriations Acts will be printed over the weekend and released on Sunday. The amendatory process through the House and Senate committees will then commence. FCSC has coordinated a response by a very wide range of stakeholder organization (see summary sheet). The coalition will hold a press conference on Tuesday, April 1, at the Capitol in the hopes of impacting the decision-making process during a very critical point in the process. The conference will take place during Children's Week, which will result in excellent participation. The most important part of the event will be remarks by children and families who will be impacted. Members of the Children's Cabinet will be invited, as well as key legislators.

The Florida CSC Tallahassee Team is primarily focused on budget issues and working diligently on all FCSC priority areas.

CALL TO ACTION

Personally visit or call your legislator on both sides of the house immediately. If direct contact is not possible, please send an email. Time is of the essence as action on the final budget is anticipated for next Thursday.

Senate President Ken Pruitt

Phone: 487-5088; email: pruitt.ken.web@flsenate.gov

Senate Majority Leader Dan Webster

Phone: 487-5047; email: webster.daniel.web@flsenate.gov

Sen. Jeff Atwater, Chair

Phone: 487-5100; email: atwater.jeff.web@flsenate.gov

Sen. Lisa Carlton, Chair, Fiscal Policy & Calendar Comm.

Phone: 487-5081; carlton.lisa.web@flsenate.gov

House Speaker Marco Rubio

Phone: 488-1450; email: marco.rubio@myfloridahouse.gov

Rep. Ray Sansom, Chair, Policy & Budget Committee

Phone: 488-1170; email: ray.sansom@myfloridahouse.gov

Tell them to hold the line on cuts to kids. While we acknowledge the very difficult decisions facing legislative leaders, it is imperative that children be protected first without fail. The legislature must consider heroic measures during this crisis, including utilizing trust fund dollars, tapping the budget stabilization fund (rainy day fund), addressing the revenue side, and making cuts to non-essential programs.

Additional Highlights on Budget Proposals

Early Learning: Healthcare Council Chair Aaron Bean (R-Nassau) instructed the Agency for Workforce Innovation (AWI) to implement the School Readiness cuts using the following criteria for continuing care: children 5 years and younger; children in protective services, and children at risk. AWI's TANF reduction was allocated by the House version as follows: $7.3 million or a 3 percent reduction to Workforce programs, and $7.3 million or 1.8 percent cut in early learning. The House swept all funding from the Early Learning Information System (ELIS) requiring that AWI delay implementation.

Health & Human Services: Committee Chair Durrell Peaden (R-Okaloosa) released the Senate's proposed recommended reductions of $430 million. Affected agencies include the Agency for Health Care Administration (AHCA), the Agency for Persons with Disabilities (APD), Department of Health (DOH), and the Department of Children and Families (DCF).

AHCA -Reimbursement rate will be frozen or reduced for most Medicaid programs. Some "optional" Medicaid eligible groups will also lose services. There is also a proposal for the expansion of managed care enrollment.
APD -4.5% reduction includes provider rate reductions and capping of expenditures for Tier 1 clients.
DCF - 724 positions will be lost due to reductions in administration. Community based care will see a 4.4 percent reduction in services ($19 million), plus reductions in administration and protective investigators of $6.4 million.
DOH - Healthy Families, mental health and TANF substance abuse services will also be reduced by 5 percent.

EARLY CHILDHOOD EDUCATION & CARE

Early Learning

SB 1670 by Sen. Don Gaetz (R-Walton) passed unanimously in Children, Families & Elder Affairs. The bill, called the Success in Early Learning Act, officially moves Child Care Resource and Referral and the Child Care Executive Partnership to the Agency for Workforce Innovation, and would allow Early Learning Coalitions to conduct business by phone. The bill also includes a measure requiring accreditation bodies for Pre-K programs to have written standards and on-site visits, and addresses requirements for fingerprinting.

VPK Pilot

HB 1021 by Rep. Loranne Ausley (D-Leon) was reported favorably by Policy and Budget Council on Tuesday. It has been added to the second reading calendar on the House floor. The bill would establish a pilot program in the Big Bend area focused on enhancing the quality of the Voluntary Pre-K Education Program. The bill specifies counties and provides requirements for individual participants.

CHILDREN'S HEALTH

KidCare

HB 1457 by Rep. Rene Garcia (R-Miami-Dade) passed the Committee on Healthy Families. It requires the Agency for Healthcare Administration to keep family members together in the same plan under Medikids/Medicaid; provides 60 days of transitional coverage; reduces the voluntary cancellation period to 90 days; requires notification of children losing eligibility; permits the electronic verification of income; and no income documentation requirement for full pays. The bill also requires a standardized application form and process by July 1, 2009. While the bill contains some extremely helpful features, it also deletes the Department of Health and KidCare Coordinating Council's responsibilities under the program. The bill now heads to the Healthcare Council.

CHILD WELFARE

Foster Care/Independent Living

SB 2192 by Sen. Ronda Storms (R-Hillsborough) was reported favorably by Children, Families, and Elder Affairs on Wednesday. The bill authorizes group home provider agencies and residential agencies to prepare and implement developmental plans for children in their care. It also requires the Independent Living Services Advisory Council to research and advise the Department of Children and Family Services and the Legislature on specific methods to reduce the number of youth in foster care who attain the age of 18 and do not acquire a high school diploma or its equivalent. The bill now goes to Education Pre K-12 Committee.

JUVENILE JUSTICE

Juvenile Justice

SB 700, by Sen. Victor Crist (R-Hillsborough), passed the Committee on Criminal Justice. The bill incorporates recommendations from the Blueprint Commission; includes revisions relating to community service programs; provides diversion options; provides that confidential information obtained during an official's service with juvenile delinquents may be shared with authorized personnel of the DCF; requires DJJ to adopt rules to establish procedures to provide ordinary medical care, mental health, substance abuse and developmental disabilities services to youth within the juvenile justice continuum. It now moves to the Judiciary Committee for review.

OTHER ISSUES

Taxation and Budget Reform Commission

The Taxation and Budget Reform Commission held a lengthy meeting on Wednesday passing two constitutional proposals and a statutory recommendation.

TABOR (CP 45/Hogan): A workshop was conducted on the revised version of the Tax Payer Bill of Rights (TABOR), which presently does not affect independent special taxing districts. The proposal caps revenues and expenditures of state, county and municipal governments and would require increases in taxes and fees to be approved by voters. The Commission is slated to vote on CP0045 at the next meeting on April 4.
WORKING WATERFRONTS (CP 06/Wilkinson): The constitutional measure known as "working waterfronts" passed easily. This amendment , if approved by voters in November, will cut property taxes on marinas, commercial fishing facilities and other "working waterfront" businesses by requiring that they be assessed according to their current use rather than their "highest and best," or potential use. The fiscal impact on local government is an estimated $70 million in the first year, increasing to about $84 million by the fourth year of implementation, which would include a school impact of $36 million.
FAITH BASED PROGRAMS (CP 20/Levesque): A proposed constitutional amendment, approved by a one-vote margin, would reverse a court decision that struck Florida's school voucher program. It will also have a broader impact as it strikes the existing constitutional ban against using state revenues to fund religious institutions. The Commission will act on the final ballot language at the next meeting.
FUNDING FOR ROADS (SR 36/Miller): A statutory recommendation was approved aimed at raising gas taxes and motor vehicle fees totaling $2 billion annually by 2016. If passed by the Legislature, the new monies would be earmarked for road building. State leaders have vowed not to raise taxes.
SPECIAL DISTRICT REAUTHORIZATION (CP 51/Riley) will be heard at the next meeting scheduled for April 4. This measure would require all independent special taxing districts created after 2009 to be reauthorized by voters every 11 years.

Although the April 4 meeting was to be the last one, it is likely that at least one additional session will be scheduled because of the numerous unresolved issues.

Child Restraint

HB 619, by Rep. Dan Gelber (D-Miami-Dade), was voted favorably with one amendment by the Committee on Infrastructure, and now moves on to Economic Expansion and Infrastructure Council. The bill seeks to change the age requirement of children who must use a crash-tested, federally approved child restraint device from 5 to 7 years or younger. The bill also addresses child booster seats for children ages 4 to 7. SB 668, by Sen. Bill Posey (R-Orange), awaits review in the Senate Transportation Committee.

Surrendered Infants/Safe Haven Protection

SB 1704 by Sens. Ronda Storms (R-Hillsborough) and Durrell Peadon (R-Okaloosa) passed unanimously through Health Policy. The bill now moves on to the Judiciary Committee. It provides that a parent who surrenders a newborn infant in accordance with statutory provisions is presumed to have consented to termination of parental rights, and express consent is not required. It also provides that a licensed child-placing agency may not attempt to search for and notify the parent as required by law. It redefines the term "newborn infant" to raise the age at which an infant may be left anonymously from 3 to 7 days old.

In Other News

FCSC Meets with New AHCA Secretary

On Wednesday, FCSC representatives met with newly appointed Secretary of the Agency for Health Care Administration Holly Benson and Deputy Secretary Clint Fuhrman. The meeting was scheduled to introduce the Florida CSC and to discuss key issues such as KidCare, the Governor's health care plan, appropriations concerns, and Medicaid Reform.

Governor Honors Parents' and Children's Day

On the Friday before Children's Week, Gov. Crist issued a proclamation extending best wishes to everyone celebrating Parents' and Children's Day on April 6. Read the proclamation.

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Capitol Connection is also available online at the FCSC web site.

This issue of Capitol Connection is brought to you by The Firm, composed of CSC legislative liaisons around the state. Please contact Firm Chair Diana Ragbeer, Director of Public Affairs and Communications with The Children's Trust, at diana@thechildrenstrust.org or Vivian Alarcon, CEO, Florida Children's Services Council, at valarcon@floridacsc.org with questions regarding legislative issues in this newsletter.