March 6, 2009

The General Assembly primarily focused on the Budget this week particularly in the House.

The House Budget Committee has taken recommendations from the separate House Appropriations Committees. The committees are proposing massive cuts. Most line items are receiving 10% across the board cuts or total elimination.

These recommendations do not include federal stimulus funds. The current rumor is that the House plans these massive cuts and will hold the stimulus moneys that they control (approximately $1 billion) and distribute the money in the form of tax credits or possibly capital improvements. Needless to say the Governor will disagree with this tactic and would like to shore up the budget with stimulus money.

There will be a great deal of acrimony before this is settled in May.

News this week:

CORE Public Health Funding
Contrary to what Representative Cooper and Sater planned an increase of $1.5 million for local public health however, the House Appropriations Health Committee reduced our funding by 10% ($908,000). This is a tough development. However, the DOH had over $50 million in cuts. DOS had $110 million.

An email alert was sent out urging MOALPHA members to make contacts immediately with legislators on the House Budget Committee.

We will also continue to work with the Senate side.

According to Mahree Skala approximately 132 jobs would be lost statewide.

Missouri House, Senate Advance Health Measures
The Missouri General Assembly discussed several bills affecting healthcare this week.

The House Budget Committee approved providing supplemental funding for the state fiscal year ending June 30. However, the committee rejected additional funding designed to reduce certain State Children’s Health Insurance Program premiums, which they said should be discussed in the regular appropriations process rather than the supplemental budget.

FY 2009 Supplemental Budget Passes House without CHIP Funding
The House passed the FY 2009 Supplemental Budget this week (HB 14). While the Governor had requested to have $900,000 in funding for SCHIP included in the supplemental budget to use for outreach to enroll kids who are eligible but not enrolled and to alleviate some of the premium burdens, the House did not include the funding. $900,000 invested by Missouri would result in a $5 million federal match. The bill (HB 14) now goes to the Senate.

FY 2010 Budget Bills
Now that House has completed work on the FY 2009 Supplemental Budget bill, the debate on the FY 2010 bills will begin. The Governor’s Budget Request included funding requests to reduce premiums for SCHIP and increase eligibility for Medicaid to 50 percent of the federal poverty level for low income parents (currently just 17 percent of the poverty level).

It appears that the  House Budget Committee is likely to release House Budget Bills on Monday, March 9, 2009 at 8:00 a.m. in House Hearing Room 3 of the State Capitol Building.  The Appropriations Bills are expected to include severe reductions in the Governor’s request including:

• Elimination of funding to increase Medicaid eligibility for parents (from 17 percent of the poverty level to 50 percent);
• Elimination of funding to alleviate premiums for SCHIP;
• Elimination of funding required to maintain eligibility for child care assistance at current levels;
• Cuts to Adoption Resource Centers, Diapers for foster children, Crisis Nursery Services and others;
• Core reductions in funding for CPS, ADA and DD Mental Health Services.
• Core reduction in local public health

Bill Proposes FDA Regulate Tobacco Products
Legislation, at the federal level, that authorizes the Food and Drug Administration to regulate tobacco products has been reintroduced in the House. The Family Smoking Prevention and Tobacco Control Act would establish stronger warning labels on tobacco products and more stringent regulations on advertising and selling tobacco products. Sponsored by Rep. Henry Waxman, D-Calif., the bill has 124 co-sponsors and is scheduled to be marked-up in the House Energy & Commerce Committee today.

This bill was proposed in previous sessions of Congress, but the House and Senate could not reconcile their differences.

Sunshine Law
Representative Tim Jones, HB 316 which has been voted out of committee has been slowed.

Representative Parson, Chair of the House Rules Committee, has agreed to have the bill revised prior to its release from his committee.

This omnibus bill adds numerous provisions to Missouri’s Sunshine Law including:

• Additional recording of public meetings with access I easily accessible formats
• Major fines, $8,000 for violating provisions
• Additional public comment and more posting time

Jones has agreed to make several revisions and will come out with new language next week.

This legislation is being pushed by the grocery stores Dierbergs and Schnuck’s in St. Louis after a city changed zoning on the facilities without sufficient posting.

HJR 23
The TABOR like legislation HJR 23 being pushed by Budget Chair Icet was debated on Monday. After an hour long debate the bill was “laid over” for future debate.

Your contacts are needed to slow this devastating bill. The link to HJR 23 is: http://www.house.mo.gov/content.aspx?info=/bills091/bills/HJR23.htm

Cigarette Tax
Representative Nasheed had HB 494 heard in the House Tax Reform.

This bill increases the excise tax on cigarettes from 17 cents to 33 cents per pack of 20 cigarettes with the additional revenue, less a 3% collection fee, being deposited into the General Revenue Fund.

Next Week
The legislature begins Spring Recess on Thursday for a week. They will have until May 15th to finish their objectives.

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