Windom galliher Montgomery update March 4, 2016 It is the best of times, the worst of times ETF budget to give raises, increase funding as woes still hover around General Fund It was what happened in committee – and not on the floor – that dominated the activity of the Alabama Legislature this week. The first iteration of what the Legislature will fashion into the FY2017 Education Trust Fund budget made its debut and emerged from the House Ways & Means- Education Committee. The House plans a floor debate Tuesday on the proposed $6.3 billion budget and six accompany- ing bills – which includes legislation to provide most K-14 education personnel a 4 percent raise. The outlier group is employees of K-12 that make in excess of $75,000, who would receive a 2 percent raise. Committee NEW MEDICAID COMMISSIONER STEPHANIE AZAR FACES UPHILL BATTLE TO GAIN Democrats MORE FUNDING FROM THE LEGISLATURE FOR HER AGENCY tried but ley to close the books on the budget pri- failed to gain and retirement. or to the legislative spring break at the a 5 percent More than likely, the House will make end of the month. Rep. Clouse, though, across the tweaks to the budget Tuesday but will did use the word “substitute” once at the ultimately send it upstairs where new board raise. end of his hearing Wednesday. Either REP. BILL POOLE Finance & Taxation-Education chairman “You have to way, there’s no move at this point to in- Sen. Arthur Orr (R-Decatur) awaits to kick strike a reasonable balance,” Committee crease funding. chairman Rep. Bill Poole (R-Tuscaloosa) off his work on the budget. Azar, who assumed full control of Medi- said. “We have a finite amount of re- On the budget equation, the Senate caid upon the retirement of State Health sources. It’s important to the taxpayers passed a $1.82 billion General Fund by a Officer (and part-time health czar) Dr. of Alabama that we put those resources 24-10 vote on Feb. 25, and Ways & Don Williamson, says the proposed “level in areas where they have the most im- Means-General Fund chairman Rep. Ste- funding” of Medicaid at $685 million pact, and impact as many of those areas ve Clouse (R-Ozark) conducted hearings state dollars will devastate the agency. on it this week – wrapping it up with a as we can.” She requested $157 million additional presentation by Medicaid Commissioner Rep. Poole’s committee version of the dollars to maintain the current level of Stephanie Azar. Rep. Clouse indicated budget will create 475 new teaching services and to help kick off the Regional he might hold one more hearing, but he positions and increase spending on pre- Care Organizations (RCOs) that are the kindergarten, transportation, technology intends to move the budget forward. centerpiece of reform efforts enacted by and textbooks. More importantly, the Some have surmised that the House will the Legislature. Azar reiterated that the proposed budget fully funds the requests pass the Senate version unchanged in for the state contribution for health care order to get the bill to Gov. Robert Bent- (Please see BUDGET, Page 2) PAGE TWO WINDOM GALLIHER MONTGOMERY UPDATE march 4, 2016 Budget (from Page 1) the $157 million is not entirely for the RCOs, but without additional money for the RCO’s the potential of $750 million new federal dollars would be lost. Fur- thermore, optional Medicaid services would be cut – among them: hospice, adult eyeglasses, outpatient dialysis and dental services. Also, reimbursements to doctors, dentists and optometrists would be reduced. Legislators noted that Medicaid would have many responsibilities removed and should therefore needs fewer employees if the RCOs launch. Rep. Clouse asked BY VIRTUALLY ALL ACCOUNTS, TUTWILER WOMEN’S PRISON IN WETUMPK A IS Azar for plans on how the agency would OBSOLETE, AND WOULD BE REPLACED IF A BOND ISSUE IS APPROVED shrink if that occurs. With no appetite whatsoever from the committees this week were: 1) Rep. Terri from stakeholders before introducing the GOP supermajority to increase revenue Collins’ (R-Decatur) legislation to create bill. Rest assured, it will have its day on through taxes, the only potential solu- a K-16 longitudinal database to measure the floor of the Senate soon. aggregate student performance and to tions left to raise money are to “steal” As far as floor action goes, it was slow assess general workforce readiness, money from the Education Trust Fund motion in both chambers all week. A bill which moved out of the Senate Educa- budget or a lottery. The most likely vehi- to restrict cities’ and counties’ ability tion Committee; 2) a bill by Rep. Mac cle would be lottery. Several bills are from removing historic monuments and McCutcheon (R-Madison) to establish a floating around to do that – and more. another bill to provide a regulatory struc- pair of economic incentive programs; ture for fantasy sports contests con- Rep. Alan Harper (R-Northport) and Sen. and 3) a bill to clarify the role for virtual sumed nearly two days of legislative Jim McClendon (R-Springville) introduced schools as the state moves toward un- work. “clean” lottery bills to provide for an up veiling charter schools. and down vote on whether the state The Senate bogged down on Sen. Ger- Committees in the House and Senate would have a lottery. The bills didn’t out- ald Allen’s (R-Tuscaloosa) monument bill held public hearings on the plan pro- line a destination for the proceeds, and that finally passed Thursday when the posed by Gov. Bentley to float a bond that brought many questions. Rep. Har- Republicans voted to cut off debate. Ulti- per had a novel approach. He prepared a issue to rebuild several state prisons. mately, the Senate passed the bill 22-9. survey for all House members to provide Proponents touted the need for the new In the House, Rep. Connie Rowe (R- their input on potential distribution. He facilities – especially to replace Tutwiler Jasper) found herself tethered to the didn’t reveal how many responses he Women’s Prison at Wetumpka – to help microphone for the better part of two received, but said he would use the re- relieve overcrowding and to provide saf- days on her bill to create regulations for sults to guide his proposed amendment er environs for both inmates and correc- online fantasy sports contests. regarding distributing the funds. The tions officers alike. average split was 61 percent for the As noted here before, Rep. Rowe, the General Fund and 39 percent for the The bill as drafted provides for a “design former police chief of Jasper, is an expe- Education Trust Fund. -build” protocol in order to help save the rienced negotiator from her law enforce- state money, but many in the various ment career, and once again those skills Sen. Trip Pittman (R-Montrose), chair of sectors of the building industry were tested as she took shots from vari- the Senate Finance & Taxation-General (architects, contractors and subcontrac- ous angles. Some opposed the bill be- Fund committee, has a lottery constitu- tors) are opposed to the plan, as oppor- cause they considered such games to be tional amendment that would allow Ala- tunities to participate in the project are gambling. Some opposed the bill be- bama to participate in multi-state games limited. cause they support gambling, and want- only, but prevent state-only games and ed to know why some games were al- Senate Pro Tem Del Marsh (R-Anniston) “scratch-offs.” It was scheduled for a lowed and some weren’t. Others didn’t introduced his bill to provide a new eval- vote this week in the Senate Tourism like the regulatory structure. In the mid- uation system for the state’s teachers. Committee, but it was postponed until dle of it all, Rep. Rowe offered reasons further notice. Sen. Marsh, a longtime champion for education reform, “measured more than why she didn’t consider the games to be Other important bills that moved out of twice” by seeking considerable input (Please see BICE, Page 3) PAGE Three WINDOM GALLIHER MONTGOMERY UPDATE march 4, 2016 Schools The State Board of Education meets Bice Superin- next week to determine next steps. It tendent could name an interim superintendent or (from Page 2) Tommy launch into an immediate search for Dr. Bice an- Bice’s successor. “gambling” and defended the structure nounced The names we’re hearing most are: that had been negotiated between state his retire- Deputy Superintendent Phillip Cleveland, agencies and representatives of the fan- ment, ef- tasy game sites. When many similarly who heads up the state’s K-12 workforce DR. TOMMY BICE fective situated would have gotten flustered, development efforts; and former Deputy March 31. Rep. Rowe kept her poise and kept mak- Superintendent Craig Pouncey, who cur- ing her points. But some rather odd alli- Dr. Bice has been superintendent for rently serves as superintendent of the ances – and some peculiar disagree- four-plus years, and had worked as Dep- Jefferson County School System. Both ments among usual allies – conspired to uty Superintendent after spending most are well thought of in Montgomery, and keep the matter tied up. By the end of of his career as a teacher, principal and clearly the front-runners. There are a Thursday, the House begged for mercy superintendent in Alexander City. number of other local superintendents that could get into the mix if no consen- and carried over the bill for the second “There comes a time when the time is sus is reached by the State Board of Ed- straight legislative day and adjourned.