Legislative Bulletin February 3, 2023

In this issue
- Budget Sunday – you can watch the meetings online!
- ‘Twas the night before the night before Budget Sunday
- BPOL: The tax everyone loves to hate
- Oppose Stormwater Management Program local review exemptions for the harvesting of forest crops
- Oppose bill that would eliminate local authority to regulate solid waste materials recovery facilities
- Oppose bill that threatens sovereign immunity for local governments
- Oppose bill that would permit citizen lawsuits against zoning officials
Budget & Finance
Budget Sunday – you can watch the meetings online!
The House Appropriations and Senate Finance and Appropriations Committees will release their amendments to the introduced budget on Sunday, Feb. 5.
At 1 p.m., House Appropriations will meet to present its budget. The meeting agenda is available here >.
At 4 p.m., Senate Finance and Appropriations will meet to present its budget. You can find the committee’s meeting page here >.
You can watch the meetings through the General Assembly’s website.
What each committee releases on Sunday is typically an outline of its budget amendment priorities with some – but not all – amendments included in each subcommittee’s report. This is a partial picture of what the committee proposing.
To get the full picture of all amendments approved by each committee, you need to wait until Tuesday, Feb. 7, when the full set of amendments are released by 12 noon. These amendments will be posted on the General Assembly’s budget page.
VML staff will provide a summary of major amendments of interest to local governments in its Legislative Bulletin late in the week.
VML Contact: Janet Areson, jareson@vml.org
‘Twas the night before the night before Budget Sunday
As we wait for the House Appropriations and Senate Finance & Appropriations Committees to unveil their respective budgets this Sunday, I’m reminded of the fall of 2021 when I helped Governor Northam put together his outgoing budget for the 2022-24 biennium. That budget was built on robust revenue growth that presented the Commonwealth with an embarrassment of riches unprecedented in my nearly 30 years of state budgeting.
It was clear that we could make substantive and necessary investments in education, behavioral health, public health, and employee compensation, areas profoundly affected by the pandemic, set aside revenues in reserve, and reduce taxes as well. But there was also considerable uncertainty about future revenue growth in an economy turned upside down by COVID-19 but propped up by unprecedented (albeit temporary) fiscal relief from the federal government.
In January 2022, Governor Youngkin was sworn into office, inheriting a budget prepared by the previous Governor. The new Governor endorsed many of the spending proposals of his predecessor, recommended a few spending initiatives of his own, and aggressively pushed for more tax cuts. In June, the House and Senate finally agreed upon a budget, enacting many of the Governor’s tax proposals.
In December, the Governor proposed additional tax cuts for individuals and businesses that equate to more than $1.0 billion for the biennium and almost $3.0 billion next biennium. Combined with changes made in June 2022, general fund revenues will fall by nearly $3.0 billion each year, if enacted, or roughly eight percent of the Commonwealth’s annual budget.
Conventional wisdom suggests that the House and Senate will once again stake out opposing positions on the Governor’s tax proposals with the House largely endorsing them and the Senate likely disposing them.
The differences are likely to show up on the other side of the ledger – the spending side – with the House having $1.0 billion less to allocate toward spending needs than their counterparts in the Senate. We’ll be taking notes on Sunday afternoon and highlighting those disparities in the days ahead.
VML Contact: Joe Flores, jflores@vml.org
BPOL: The tax everyone loves to hate
Merriam-Webster defines “nexus” as a connection or link. So, what’s the link between the amount that health care providers are reimbursed and the Business, Professional and Occupational, License (BPOL) tax? That’s a good question that should be posed to lawmakers currently debating HB2200 (Robinson) that would exempt from BPOL taxes anti-cancer drugs purchased by a medical practice and administered within a physician-patient relationship.
As explained in Committee, the intent of the bill is to offset the cost of purchasing and administering these expensive drugs by exempting them from BPOL when they are paid for by Medicare, Medicaid, or TRICARE.
The policy question is: Why should local revenues from BPOL be tapped to bridge the gap between the reimbursements paid for public programs operated by the state and federal government and the cost to health care providers of medical interventions?
It was clear from debate in House Finance on Wednesday this week that BPOL has become a bi-partisan punching bag. But concerns were also raised about efforts to continue chipping away at this local revenue source.
What can be done?
A better approach, and one for which there is a nexus, would be to increase Medicaid’s reimbursement for anti-cancer treatments. That solution would require an appropriation of state general funds and have the benefit of drawing down federal Medicaid matching funds.
Please contact members of the House and Senate and ask that this mandate be reconsidered or made optional for localities that may want to pursue it.
VML Contact: Joe Flores, jflores@vml.org
Natural Resources
Oppose Stormwater Management Program local review exemptions for the harvesting of forest crops
HB2282 will be on the House floor for a vote on Tuesday, Feb. 7
HB2282 (Edmunds) creates a new exemption from compliance with Stormwater Management Programs when “Clearing lands for the harvesting of forest crops when the areas on which harvesting occurs is not intended to be reforested artificially or naturally.” This bill was described by the patron as an “economic development bill” with the intent of eliminating the current prohibition on harvesting timber on a property that is going to be developed and converted to a use other than agricultural or forestry uses.
Current law provides an exemption from stormwater management programs when the harvesting of “forest crops” is part of a forest management plan and the land is then replanted with new seedlings to reforest the property OR the cleared land is converted into “bona fide agricultural or improved pasture use”.
This new exemption is intended to speed up the time needed to develop a property by eliminating the requirement that landowners seeking to develop a property receive local approval for any new use prior to harvesting timber. HB2282 provides a landowner with an exemption from this local review as part of the administration’s effort to encourage economic development at the expense of local authority.
HB2282 advanced out of House Committee on a 13-8 vote and should receive a final vote on the floor of the House on Tuesday Feb. 7.
VML encourages members to contact their Delegates to oppose HB2282 in its current form.
VML Contact: Mitchell Smiley, msmiley@vml.org
Oppose bill that would eliminate local authority to regulate solid waste materials recovery facilities
SB1365 will be on the Senate floor Monday!
SB1365 (Lewis) would eliminate local authority to regulate waste residue generated from a “materials recovery facility” (MRF) by way of a new definition set out in the bill. This legislation is an attempt to achieve through the General Assembly what a private company was unable to achieve through the courts.
The bill was reported from Senate Agriculture and Natural Resources by a vote of 11-1 and will be on the Senate floor for action on Monday, Feb. 6.
Localities have the authority under Virginia Code Sections 15.2-931 and 15.2-933 to enact “flow control” ordinances which allow localities to direct the delivery of garbage, trash, and refuse to specific facilities. While these ordinances cannot apply to recyclable materials, they can apply to the waste generated by recyclable materials. This bill would eliminate local ordinance authority for the “flow control” of materials recovery facilities.
Materials Recovery Facilities or (MRFs) are facilities that separate recyclable materials such as metals or other recyclable products from solid waste. The Virginia Department of Environmental Quality (DEQ) only has operational requirements but not thresholds for materials.
Key points
- Codifies a new definition of “materials recovery facilities” that conflicts with local ordinances.
- Exempts the newly defined “materials recovery facilities” from existing local ordinance authority under 15.2-931 and 15.2-933.
- The Supreme Court of Virginia has upheld localities’ authority to regulate materials recovery facilities.
- Opens the door to allowing solid waste to be processed so long as any amount of that waste is “collected, processed, or recovered.”
- Allows these facilities to engage in the “production of a fuel from solid waste” and prevents localities from regulating fuel production so long as the facilities are permitted to operate by DEQ.
- Localities deserve an opportunity to decide how solid waste is directed and processed within their community.
Action requested
Please contact your legislators and members of the Senate to voice your concerns and oppose SB1365!
Barker | George | district39@senate.virginia.gov | (804) 698-7539 |
Bell | John | district13@senate.virginia.gov | (804) 698-7513 |
Boysko | Jennifer | district33@senate.virginia.gov | (804) 698-7533 |
Chase | Amanda | district11@senate.virginia.gov | (804) 698-7511 |
Cosgrove | John | district14@senate.virginia.gov | (804) 698-7514 |
Deeds | Creigh | district25@senate.virginia.gov | (804) 698-7525 |
DeSteph | Bill | district08@senate.virginia.gov | (804) 698-7508 |
Dunnavant | Siobhan | district12@senate.virginia.gov | (804) 698-7512 |
Ebbin | Adam | district30@senate.virginia.gov | (804) 698-7530 |
Edwards | John | district21@senate.virginia.gov | (804) 698-7521 |
Favola | Barbara | district31@senate.virginia.gov | (804) 698-7531 |
Hackworth | Travis | district38@senate.virginia.gov | (804) 698-7538 |
Hanger | Emmett | district24@senate.virginia.gov | (804) 698-7524 |
Hashmi | Ghazala | district10@senate.virginia.gov | (804) 698-7510 |
Howell | Janet | district32@senate.virginia.gov | (804) 698-7532 |
Lewis | Lynwood | district06@senate.virginia.gov | (804) 698-7506 |
Locke | Mamie | district02@senate.virginia.gov | (804) 698-7502 |
Lucas | Louise | district18@senate.virginia.gov | (804) 698-7518 |
Marsden | Dave | district37@senate.virginia.gov | (804) 698-7537 |
Mason | Monty | district01@senate.virginia.gov | (804) 698-7501 |
McClellan | Jennifer | district09@senate.virginia.gov | (804) 698-7509 |
McDougle | Ryan | district04@senate.virginia.gov | (804) 698-7504 |
McPike | Jeremy | district29@senate.virginia.gov | (804) 698-7529 |
Morrissey | Joseph | district16@senate.virginia.gov | (804) 698-7516 |
Newman | Stephen | district23@senate.virginia.gov | (804) 698-7523 |
Norment | Tommy | district03@senate.virginia.gov | (804) 698-7503 |
Obenshain | Mark | district26@senate.virginia.gov | (804) 698-7526 |
Peake | Mark | district22@senate.virginia.gov | (804) 698-7522 |
Petersen | Chap | district34@senate.virginia.gov | (804) 698-7534 |
Pillion | Todd | district40@senate.virginia.gov | (804) 698-7540 |
Reeves | Bryce | district17@senate.virginia.gov | (804) 698-7517 |
Rouse | Aaron | district07@senate.virginia.gov | (804) 698-7507 |
Ruff | Frank | district15@senate.virginia.gov | (804) 698-7515 |
Saslaw | Richard | district35@senate.virginia.gov | (804) 698-7535 |
Spruill | Lionel | district05@senate.virginia.gov | (804) 698-7505 |
Stanley | William | district20@senate.virginia.gov | (804) 698-7520 |
Stuart | Richard | district28@senate.virginia.gov | (804) 698-7528 |
Suetterlein | David | district19@senate.virginia.gov | (804) 698-7519 |
Surrovell | Scott | district36@senate.virginia.gov | (804) 698-7536 |
Vogel | Jill | district27@senate.virginia.gov | (804) 698-7527 |
VML Contact: Mitchell Smiley, msmiley@vml.org
Public Safety
Oppose bill that threatens sovereign immunity for local governments
SB1379 (Deeds) will be heard Monday, Feb. 6 at 8:00am in Senate Judiciary
SB1379 (Deeds) would end sovereign immunity for medical providers, including doctors, nurses, and others who provide medical services to inmates. The bill was filed in response to a Virginia Supreme Court opinion stopped an inmate’s malpractice suit against a doctor employed by the city.
Key points
- This would be the first of a thousand cuts that kills sovereign immunity. If it becomes law, before long, there will be bills filed to strip sovereign immunity from other local government officials. On the state level, UVA and VCU hospitals will likely face similar legislation.
- Sovereign immunity is critical to carrying out government services. If city, town, and county employees are faced with being personal defendants in lawsuits, it will become harder to hire workers and will cause the cost of operating to dramatically increase.
- If SB1379 becomes law, plaintiffs’ attorneys will file suits against city, local governments nurses and ambulance crews that respond to a call at a local or regional jail when any harm to an inmate is claimed. This will increase insurance costs and will make it harder to fill EMS jobs.
Action requested
Contact the members of the Senate Judiciary committee before 8:00am Monday (Feb. 6) to oppose SB1379.
Edwards (Co-Chair) | district21@senate.virginia.gov | (804) 698-7521 |
Saslaw | district35@senate.virginia.gov | (804) 698-7535 |
Norment | district03@senate.virginia.gov | (804) 698-7503 |
Lucas | district18@senate.virginia.gov | (804) 698-7518 |
Obenshain | district26@senate.virginia.gov | (804) 698-7526 |
McDougle | district04@senate.virginia.gov | (804) 698-7504 |
Stuart | district28@senate.virginia.gov | (804) 698-7528 |
Stanley | district20@senate.virginia.gov | (804) 698-7520 |
Deeds (Co-Chair) | district25@senate.virginia.gov | (804) 698-7525 |
Petersen | district34@senate.virginia.gov | (804) 698-7534 |
Surovell | district36@senate.virginia.gov | (804) 698-7536 |
McClellan | district09@senate.virginia.gov | (804) 698-7509 |
Boysko | district33@senate.virginia.gov | (804) 698-7533 |
Morrissey | district16@senate.virginia.gov | (804) 698-7516 |
Peake | district22@senate.virginia.gov | (804) 698-7522 |
Contacts: Mark Flynn, markkflynn@gmail.com; Janet Areson, jareson@vml.org
Oppose bill that would permit citizen lawsuits against zoning officials
SB1495 (Surovell) will be heard in Senate Judiciary Monday, Feb. 6 at 8:00am
SB1495 (Surovell) allows a citizen to go to court for damages and attorneys’ fees if a zoning enforcement action against the person is done with “willful disregard” of the law. That standard means the official knows the rules but nevertheless acts in a manner not allowed by the rules.
Key points
- This bill creates a new way to “fight city hall” when there are already adequate protections for those who are affected by local zoning actions.
- Those aggrieved by a zoning action may obtain a remedy through an appeal to the Board of Zoning Appeals and, in many cases, to the circuit court.
Action requested
The bill will be heard by the Senate Judiciary Committee Monday morning at 8:00am. Contact the members of the committee to oppose SB1495.
Senate Judiciary Committee members:
Edwards (Co-Chair) | district21@senate.virginia.gov | (804) 698-7521 |
Deeds (Co-Chair) | district25@senate.virginia.gov | (804) 698-7525 |
Saslaw | district35@senate.virginia.gov | (804) 698-7535 |
Norment | district03@senate.virginia.gov | (804) 698-7503 |
Lucas | district18@senate.virginia.gov | (804) 698-7518 |
Obenshain | district26@senate.virginia.gov | (804) 698-7526 |
McDougle | district04@senate.virginia.gov | (804) 698-7504 |
Stuart | district28@senate.virginia.gov | (804) 698-7528 |
Stanley | district20@senate.virginia.gov | (804) 698-7520 |
Petersen | district34@senate.virginia.gov | (804) 698-7534 |
Surovell | district36@senate.virginia.gov | (804) 698-7536 |
McClellan | district09@senate.virginia.gov | (804) 698-7509 |
Boysko | district33@senate.virginia.gov | (804) 698-7533 |
Morrissey | district16@senate.virginia.gov | (804) 698-7516 |
Peake | district22@senate.virginia.gov | (804) 698-7522 |
Contact: Mark Flynn, markkflynn@gmail.com
Education
Last remaining Education Savings Account Program bill fails to advance
The last of the Education Savings Account Program bills came up in House Appropriations Committee this afternoon. The Committee re-referred HB1508 (Davis) to the House Education Committee, which is not expected to meet again before Crossover. This effectively kills the bill.
This issue was a priority of the Administration. VML opposed all these bills, which would have diverted funds from local public schools for non-public education purposes.
VML Contact: Josette Bulova, jbulova@vml.org