January 25, 2008

Check status of any bill

Homestead exemption constitutional amendment reported; enabling legislation carried over

The House Privileges & Elections Committee reported the constitutional amendment on homestead exemptions and the bill to put the amendment on the ballot for the November 2008 General Election. The subcommittee chose HJR 4 (Albo) and HB 11 (Albo) as the vehicles for those actions and recommended that HB 11 be amended to have the referendum in 2008 (instead of 2009 as was in the original bill). The bad news is that a P&E subcommittee on Jan. 23 recommended carrying over enabling legislation that would define how local governments could implement the constitutional amendment to allow the exemption or deferral of up to 20 percent of the assessed value of residential property of owner-occupied homes. The subcommittee said that it was not necessary to act on HB 1148 (Miller, P.), as the constitutional amendments would not be voted on until November. This enabling legislation is very critical to local governments. Local government support for the constitutional amendments themselves is tied to a broad and flexible enabling statute such as contained in HB 1148.

As a reminder, the Senate Finance Committee reported SB 496 (Northam) at its Jan. 23 meeting. The bill tracks the language in the constitutional amendment, thus giving localities broad discretion in setting the terms and conditions of any tax relief program offered and is identical to HB 1148. The Senate Privileges & Elections Committee has SJR 6 (Whipple) and SB 9 (Whipple) on its Jan. 29 docket. These measures are identical to HJR 4 and HB 11 as amended.

Tall building sprinkler system bill carried over to next year.

A bill that would have required residential and hotel buildings taller than 75 feet or six floors to be retrofitted with automatic fire sprinkler systems by the end of 2017 was carried over until next year.

SB 363 (Watkins) would have permitted owners a state income tax credit for 45 percent of the expenditure for the sprinkler system.

Despite the endorsements of the Virginia Housing Commission, the Association of Fire Chiefs, and firefighter groups, no member of the Senate General Laws Committee made a motion for action on the bill. Faced with that non-response, Watkins asked to have the bill carried over to the 2009 session, which the committee agreed to do. Staff contact: Roger Wiley (roger@heftywiley.com).

Collective bargaining bill dies on House floor

The House of Delegates voted 82–2 to kill a bill that would have repealed a state law that prohibits the state and local governments from collectively bargaining with labor unions or employee associations. Before the vote on HB 852 (Ebbin) was taken, Democratic Del. Adam Ebbin moved to strike his bill, but the motion was rejected 43-55 along party lines. Staff contacts: Neal Menkes (nmenkes@vml.org; Mary Jo Fields (mfields@vml.org)

Compensation Board budget proposals outlined

Gov. Tim Kaine's proposed budget for 2008-2010 includes funding for a 3 percent increase effective July 1, 2009 for positions funded through the Compensation Board, but includes no salary increases for constitutional officers (or other state or local supported employees) for FY09. Compensation Board Executive Secretary Robyn deSocio outlined the budget proposals at a Jan. 22 meeting of a House Appropriations subcommittee meeting. The proposed budget also requires clerks, treasurers, finance directors, and commissioners of the revenue to maintain positions vacant for 90 days prior to filling. In addition, the proposed budget shifts 50 percent of the cost of retiree health care and the insurance and surety bond premiums to localities at a cost of $2 million a year to local governments.

The proposed budget does not include funding that would reflect state staffing standings, including funding for 41 law enforcement deputies, 86 court services deputies and 244 emergency corrections officers in 13 overcrowded local or regional jails, 63 assistant Commonwealth’s Attorneys, 104 support staff in the Commonwealth Attorneys’ offices, 165 deputy treasurers/finance directors and 363 deputy commissioners of the revenue. The budget also does not fund career development programs. Completion of these programs is supposed to be tied to pay increases. Staff contact: Mary Jo Fields (mfields@vml.org).

Victim assistance, sexual assault federal funding losses detailed

Federal funding for FY08 under the Victim of Crime Act (VOCA) was cut by 20 percent under legislation recently adopted by Congress, according to staff of the Department of Criminal Justice Services in a Jan. 25 report to the Senate Finance Public Safety Committee. The effect will be felt by the 37 local sexual assault crisis centers in the state. Most of these are operated by local non-profit organizations and depend on a hodgepodge of federal, state, local and private funding to operate. The Governor’s proposed budget had recommended an increase in funding for these centers, but with the federal cutbacks the centers will see their funding level remain about the same.

Other federal programs affected include the Juvenile Justice & Delinquency Prevention Program, whose federal funding was reduced by 7.5 percent, and the Byrne Memorial Justice Assistance Grant, whose federal funding was reduced by 67 percent, both for FY08. Staff contact: Mary Jo Fields (mfields@vml.org).

Senate committee to hear 2 bills of interest to local government on Monday

SB 206 (Stuart) and SB 500 (Northam) will be heard by Senate Commerce and Labor Committee on Monday afternoon.

SB 500 (Northam) would make it virtually impossible for a locality to prove that any disease contracted by an emergency worker during an emergency declared by the governor did not arise out of employment. That is, this bill would shift the burden of proof to the locality to prove that any sickness was not the result of the emergency worker’s employment. Currently, the Workers’ Compensation Act presumes HIV, Hepatitis, tuberculosis and certain forms of meningitis are contracted on the job, when an emergency worker is afflicted, but the locality has the ability to test for these diseases in a pre-employment physical. This bill presents problems for localities because it is impossible to test for any environmental condition or all diseases.

SB 206 (Stuart) is a bill that would require state agencies to lease or convey an interest in state owned communications towers to responsible qualified providers of wireless broadband service. The purpose of this bill is to deploy broadband internet service to areas of the Commonwealth that are not receiving adequate internet service. This bill would be of great assistance in helping remote areas of the Commonwealth develop economically. Staff contact: Tim Ailsworth (tailsworth@vmlins.org).

CSA bills consolidated and reported

Twelve Senate bills concerning the Comprehensive Services Act for At-Risk Youth and Families (CSA), reported on in the Jan. 18 Legislative Bulletin, were rolled together into three bills late this week and reported from the Senate Committee on Rehabilitation and Social Services.

Two of the bills would mostly codify current practice, reword existing provisions, or otherwise reflect efforts currently under development. SB 479 (Hanger) would codify that the state annually offer best practices training and disseminate information on best practices to those who work in CSA. SB 483 (Hanger), consolidates SBs 484, 486, 481, 482, and 485 and addresses data collection efforts and requirements as well as performance standards for the CSA program. It also requires the state to give local and state decision-makers management reports with information on the number of children served, duration and cost of services, outcomes and expenditures. Much of this information already is collected quarterly from localities and available to them on a state website.

The third bill, SB 487 (Hanger), which rolls into it SBs 480, 488, 489, and 658, would require the State Executive Council to develop new guidelines defining the requirements for intensive case coordination/case management carried out at the local level. Localities current provide case management for children in this program; some provide some level of care coordination, which is a more concentrated level of case management that has smaller caseloads and usually would be reserved for really complex or difficult cases, particularly those that may require residential placements. The fiscal impact on this bill could not be determined because the guidelines have not yet been drafted. VML, VACo, and the Virginia League of Social Services Executives continue to discuss the issue of care coordination and potential requirements and costs of such an effort with Kaine administration officials.

The governor’s proposed budget includes some funding to pay for some data reporting requirements at the state level and some care coordination efforts, but these proposals are separate from legislation and must be approved in the budget the General Assembly sets forth.

The committee also reported out SB 493 (Puller & Hanger) which would require the state Department of Social Services to establish minimum training requirements and to establish training for foster care and adoption workers. Foster care workers in particular are integrally involved with the CSA program, since a majority of the children in CSA are in foster care. Staff Contact: Janet Areson (jareson@vml.org).

Bipartisan support shown for local police department funding (‘599’)

Twelve Senators from both parties sponsored budget amendments to restore the governor’s proposed cuts to the 599 program in the 2008-2010 biennium. Another fourteen Delegates from both sides of the aisle also submitted budget amendments for this purpose.

The Senate Finance Committee and the House Appropriations Committee are slated to report their respective budget amendments on Sunday, Feb. 17. VML urges members to contact their delegates and senators well before that date to support amendments restoring proposed cuts to the program. Staff contact: Janet Areson (jareson@vml.org) and Neal Menkes (nmenkes@vml.org)

Governor orders another review of state revenues for 2008-2010

Because of the slumping economy, Gov. Tim Kaine told the Virginia Chamber of Commerce on Jan. 23 that he will revise downward the state revenue forecast of $34.3 billion for the 2008-2010 biennium. The revised revenue forecast will be presented to the House Appropriations and Senate Finance Committees in mid-February.

The Virginia Department of Taxation routinely analyzes data for the two money committees so that the budget amendments reported reflect the best available information.

For the next few weeks, the Tax Department will review the major general fund revenue sources. They will examine payroll withholding data and December sales tax collections. (Reports issued by national retailers of disappointing December sales are not encouraging.)

Stock market volatility and “Main Street” jitters over housing and credit crunches signal bad news for recordation, corporate income taxes, and estimated payments made by individuals for non-withholding income. (In 2007, the median price of a single-family home fell for the first time in at least four decades, according to the National Association of Realtors. Sales of previously owned single-family homes fell 13 percent in 2007, the biggest drop in 25 years. As for the stock market, its value has dropped over 15.0 percent since December.)

The bottom line is that the downward revision to the revenue forecast could be of substantial magnitude, and still be uncertain. In the introduced budget bill 53 percent of all general fund operating dollars are appropriated either directly or indirectly for services provided by localities as mandates or in partnership with the state. Public education alone comprises one-third of the general fund budget. Staff contact: Neal Menkes (nmenkes@vml.org)

House, Senate Republicans announce legislative package

House and Senate Republicans released this week their “core legislative package” on education, property taxes, mental health services, and other issues. Regarding local property taxes, in addition to supporting the constitutional amendment granting homestead exemptions and deferrals, House and Senate Republicans favor:

HB 927/SB 783 – Requiring local governments to determine tax rates before authorizing a spending plan. Currently, local governments have to vote only if the rate increases, even if a reduction still results in higher revenue collections. Under these bills, local governments would have to justify the tax rate and the revenues produced before adopting a spending plan. HB 927 is awaiting action in the House Finance Committee. SB 783 is before the Senate Finance Committee.

HB 1009/SB 779 – Requiring the previous year’s assessment and rate, as well as the rate that would result in flat revenue, and the proposed new rate be added to the public notice requirements. HB 1009 is in the House Finance Committee. SB 779 is in the Senate Finance Committee.

HB 602/SB 789 – Transferring the burden of proof for assessment increases to local government when increases exceed 20.0 percent. Currently, homeowners have to prove that an assessment hike is unjustified. The burden would fall on local governments under this proposal when an assessment increase exceeds 20.0 percent in a single year. HB 602 was referred to House Finance. SB 789 awaits action before the Senate Finance Committee.

It is likely that the House Finance Committee and the Senate Finance Committee will take up some, if not all, of these bills next week. If your locality has a position or information about these measures, please inform your delegation and VML. Staff contact: Neal Menkes (nmenkes@vml.org)

New legislative package begins to emerge on road revenue sharing program

VDOT’s revenue sharing program encourages state and local governments to work together on projects of critical importance to localities. Sen. Frank Ruff (SB 99), Del. Ed Scott (HB 111), Del. Anne Crockett-Stark (HB 571), and Del. Cliff Athey (HB 1286) have all introduced legislation to alter the program.

Ruff and Scott have tentatively agreed to a substitute measure that would:

• Eliminate the previous priority for projects receiving more than $1 million of local dollars;
  
• Establish local administration of projects as the first priority for funding;
  
• Allow local governments to partner with VDOT to deliver the road projects;
  
• Eliminate the limitation of the amount of proffers that can be used by a local government to match state funds; and
  
• Require a locality to initiate planning, design, right-of-way, or construction no later than two fiscal years after receiving an allocation from the program.
  

VOT also has agreed to strengthen its efforts to help local governments administer local road projects. VDOT has recently developed teams and programs for the sole purpose of facilitating local administration. Contact staff: Neal Menkes (nmenkes@vml.org) and Denise Thompson (dthompson@vml.org).

Law enforcement procedural guarantee act bill still on Senate floor

The Senate passed by for the third day today legislation to strengthen procedural guarantees for public safety officers. SB 76 (Cuccinelli) strengthens the protections afforded to law enforcement officers during internal investigations, questioning and disciplinary hearings. The bill requires a 24-hour notice to an officer prior to questioning, allows officers the right to an attorney during the hearing, and allows officers the opportunity to review their investigation files. The bill allows for the deletion of names and identifying information from the file prior to review in cases where retaliatory action is possible. The bill would not apply to criminal investigations. The Virginia Association of Chiefs of Police, VML and VACo oppose the bill.

Talking points for opposing the bill:

• The procedures in place protect law enforcement officers from arbitrary and unreasonable disciplinary action, and abusive administrative investigations.
  
• The bill improperly restricts and interferes with the efficient operation of law enforcement agencies.
  
• The bill specifies that a law enforcement officer cannot be questioned without his or her counsel being present. Under this language, if an officer did not have counsel, he could not be questioned.
  

Call or e-mail your senator in opposition to SB 76 and ask that ALL floor amendments be opposed. The fact that the bill continues to be passed by for the day indicates that your telephone calls and e-mails have been influential.

Emergency plans bill carried over

HB 338 (McClellan), which would have allowed a locality to charge an administrative fee for the review of the emergency plans of nursing homes, assisted living facilities, adult day care centers, and child day care centers located within the locality, was carried over until next year at the request of the patron. Staff contact: Kimberly Pollard.

Overtime bill goes to full Senate Courts of Justice Committee

Despite Smithfield Town Manager Peter Stephenson's testimony on the increased costs his town would incur as the result of the more stringent overtime requirements included in SB 269 (Deeds), the Senate Courts of Justice Civil Subcommittee reported the bill to the full committee and recommend that it be referred to the Senate Finance Committee.

Stephenson also testified that the impact to his locality would be an additional $50,000 from the town budget, which would be equivalent to a one-half cent tax increase for the Town of Smithfield or the removal one full time police officer position.

The bill will be before the Senate Courts of Justice Committee on Monday, Jan. 28. VML sent an Action Call on Jan. 26 urging members to call their senators in opposition to the bill. Staff contact: Kimberly Pollard (kpollard@vml.org).

Talking points include:

• SB 269 is an unfunded mandate.
  
• The bill goes beyond federal law because it requires overtime to be based on vacation and other off-duty hours.
  
• Localities will face an administrative burden because: 1) they do not have staff to work out new schedules and 2) they do not have as much flexibility to rearrange work schedules because departments have very few officers.
  
• The bill specifies that a law enforcement officer cannot be questioned without his or her counsel being present. Under this language, if an officer did not have counsel, he could not be questioned. Staff contact: Kimberly Pollard (kpollard@vml.org).
  

Senate Courts of Justice Committee and contact information

Attorneys’ fees to be paid by locality reported from committee

HB 371 (Carrico) was reported out of the House Militia, Police and Public Safety Committee. The bill will require a locality to pay attorney fees resulting from taking certain actions prohibited with regard to firearm control. VML testified that if attorney’s fees are awarded against a locality, the taxpayers pay the bill. VML recommended that the bill be studied along with several other bills that have been introduced that provide attorneys fees against localities for various violations. Instead of a patchwork of law on attorney’s fees, there should be a consistent look at the issue. Staff contact: Kimberly Pollard.

Firearms in libraries not reported

HB 697 (BaCote) was passed by indefinitely by a subcommittee of the House Militia, Police and Public Safety Committee. The bill would have allowed localities to adopt an ordinance to prohibit people from carrying guns in public libraries.

Call to support pedestrian safety bill

Local governments interested in pedestrian safety should contact members of the Senate Committee on Transportation to support SB 644 (Ticer). A companion bill, HB 1270 (Ebbin) is in the House Transportation Committee. The legislation sets out the responsibilities of pedestrians and drivers at marked and unmarked crosswalks. The bills require drivers to stop or yield at both marked, and unmarked, crosswalks. They also add a section specifying pedestrian responsibilities when crossing at crosswalks, and at places other than a crosswalk. The legislation includes more precise definitions for marked and unmarked crosswalks, but does not alter the penalty or similar important provisions of the Code governing pedestrians crossing roads, streets and highways. Local governments and staff from VDOT developed the proposed changes last summer, and VML amended its 2008 Transportation Policy Statement to include the reference to unmarked crosswalks. The bill is expected to go before the Senate Transportation Committee on Jan. 31. Staff contact: Denise Thompson (dthompson@vml.org).

Senate Transportation Committee and contact information