Around 2:00 p.m., Lawmakers serving on the Conference Committee for HB 119 reported out their version of the FY 2010 Budget.  The meeting was brief noting that it was a difficult year with many tough decisions made.  The federal stimulus money, however, was used prudently and had remaining money to be used in the following fiscal year.  Some brief highlights of this include:

Department of Behavioral Health and Developmental Disabilities

• Adult Developmental Disabilities Program
  • Conference Committee language noting: "The purpose of this appropriation is to promote independence of adults with significant development disabilities through institutional care, community support and respite, job readiness, training, and a crisis and access line. No funds shall be used to privatize the state owned mental health hospitals prior to the appointment of a director of the new Department of Behavioral Health and Developmental Disabilities. [Note similar language was added in other program areas for this new Department.]
• Adult Mental Health Services Program
  • $200,000 was transferred from funds from the Injury Prevention Program for suicide prevention activities.

Department of Community Health

• Composite State Board of Medical Examiners Program
  • Language was added by Conferees: the purpose of this appropriation is to license qualified applicants as physicians, physician's assistants, respiratory care professionals, perfusionists, acupuncturists, orthotists, prosthetists, and auricular (ear) detoxification specialists.  The purpose of this appropriation is also to investigate complaints and discipline those who violate the Medical Practice Act or other laws governing the professional behavior of the Board licensees.
• Health Care Access and Improvement Program
  • Eliminate funds received in HB 990 (FY 2009) to operate the Georgia Health Marketplace Authority, the Georgia Health Marketing Fund, and to design the Marketplace website in the amount of $2,000,000.
• Indigent Care Trust Fund Program
  • No money was added to increase funds for the "DSH" payments for private deemed and non-deemed hospitals by recognizing new hospital and managed care provider fees.
• Medicaid Aged, Blind and Disabled Program
  • Restored proposed 10% cuts to hospitals (also done in Low-Income Medicaid and PeachCare Programs)
  • Restored proposed 6% cuts to other Medicaid providers (also done in Low-Income Medicaid and PeachCare Programs)
  • Increased nursing home funds for fair rental value and quality incentive program in the amount of $8,793,000
  • Reduce by $3.8 million funds to reflect savings from relocating 10% of long stay ventilator patients out of acute care settings and into skilled nursing facilities

Department of Early Care and Learning

• Pre-Kindergarten Program
  • Increased funds for 3,000 additional Pre-K slots brining total enrollment to 82,000 using $12,469,667

Department of Education

• Academic Coach Program
  • Eliminate $200,000 for "Mentor Teachers" and rename program "Math and Science Mentors" and transfer all funds and activities for Teacher Success/CLASS Keys to the School Improvement Program and change program name to Math and Science Mentors
• Communities in Schools Program
  • Reduce funds by 8% for a reduction of $105,650
• Dropout Prevention Program
  • Transfer $49.2 million of funds and activities for Graduation Coaches to the Quality Basic Education Program
• Georgia Virtual School Program
  • Added 2,000 courses by increasing funds in the amount of $1.13 million
• National Board Certification Program
  • Reduce by $5 million, using funds as available and limit to 10% of base teacher salary
• Non Quality Basic Education Formula Grants Program
  • Restored proposed reduction of $120,337 to Residential Treatment Centers
• Quality Basic Education Program
  • Increased funds for dual enrollment courses by $1.4 million
  • Recognized more than $413 million of funds from the American Recovery and Reinvestment Act of 2009
• School Nurses Program
  • Reduced program by $900,000 rather than the elimination of the entire $30 million

Office of the Governor

• Arts Council of Georgia Program
  • Transfer funds for the Georgia Humanities Council to the Department of Economic Development in the amount of $130,050
  • Reduce funds from grants and benefits to non-profit arts and cultural organizations and utilize funds from the American Recovery and Reinvestment Act of 2009 in the amount of $1,638,460

Department of Human Services

• Adoption Services Program
  • Reduce by $1 million from summer camps
• Child Care Services Program
  • Recognize funds from the American Recovery and Reinvestment Act of 2009 for the Childcare and Parent Services (CAPS) Program waiting list and their child care needs in the amount of $36 million
  • Transfer more than $12.1 million to the Out-of-Home Care Program
• Child Welfare Services Program
  • Reduce by $11.1 million funds and child protective caseworkers through attrition and maintain 15:1 caseload ratio
• Elder Community Living Services
  • Reduce by $1.3 million funds from respite contracts for services including day care, homemaker, and personal care
• Family Violence Services Program
  • Reduce by $615,000 funds received in HB 990 (FY 2009) for domestic violence centers
  • Reduce by $535,000 funds received in HB 990 for rape crisis centers
• Food Stamp Eligibility and Benefits Program
  • Recognize $2 million from the American Recovery and Reinvestment Act of 2009 for food stamp caseload growth
• Out-of-Home Care
  • Restored proposed reduction of funds to Child Placing Agencies case management rate for the lowest three levels of care
  • Reduce by $1.2 million funds to reflect the projected lower utilization of the Room, Board, and Watchful Oversight
• Support for Needy Families - Family Assistance
  • Recognize $1.1 million in funds from the American Recovery and Reinvestment Act of 2009 to support Georgia's food banks

HB 228, as adopted by way of a Conference Committee Report, will create a new Department of Behavioral Health and Developmental Disabilities.  It also moves the current Division of Public Health to the Department of Community Health as a new created Division. The Governor would appoint both the Commissioner for the Department of Community Health as well as the Commissioner for the Division of Public Health.  An "advisory board" will also be appointed for Public Health.  Each of these Commissioners will submit their budget submissions to the Governor.  Division of Family and Children's Services and Child Support Services remain with the Department of Human Services.  Additionally, the Conference Committee agreed to continue the Commission on Family Violence.

Conferees on HB 277 and HR 206 kicked off the day around 9:15 a.m.  The Senate offered up a new idea for Conferees to consider.  However, after hearing more, it appeared that the House and Senate were still miles apart in their views.

Over the course of the day, this Conference Committee met again with the last effort close to 11:00 p.m.  At that meeting, basically the Conferees just parted ways having no resolution on the issues.  The House essentially could not get its arms around a regional TSPLOST and the Senate could not see a statewide transportation funding effort that would pass.

SB 200, creating the Department of Transportation, Director of planning, was agreed to by the Senate and will now go to the Governor for further action.

SB 156, by Sen. Staton (R-Macon), which proposed revamping the duties of the Georgia Trauma Care Network Commission, failed to get brought up for debate in the House.  Thus, the initiative died.

HB 480, the initiative by Reps. Geisinger (R-Roswell) and Rice (R-Duluth), also failed to be heard on the Senate Floor.  This legislation proposed the flat fee vehicle registration of not more than $1,500 and elimination of the ad valorem tax on motor vehicles.  The proceeds of the registration would be divided between the State and local governments with the State's portion being used to fund trauma care. 

HB 160, the Governor's "super speeder" proposal adding additional fines for individuals who were caught driving more than 75 mph on Georgia roads and highways, was passed by both the House and Senate but was not brought back to the Chambers to be agreed to by either body as the Senate made changes to the House version. 

Senate

The Senate had held on Wednesday sixteen tabled pieces of legislation.  Today, it was generally the duty of the Senate Rules Chairman to move those various Bills and Resolutions from the table to be debated. 

At the beginning of the morning, Sen. Cowsert (R-Athens) took the Well to tell colleagues that it was his intent to amend any legislation coming before the Senate with requirement use seatbelts in all passenger vehicles except for trucks which were used for agricultural purposes.  Sen. Don Thomas (R-Dalton and a family practice physician) struggled to get his Bill on this issue passed in the House, having met resistance by Lawmakers in the rural areas of the State. 

Below are highlights of Bills and Resolutions which came to the Senate Floor:

• HB 639 - What began as a specialty license plate to help protect "wild dolphins" as proposed by Rep. Dollar (R-Marietta), ended as specialty license plates for helping fund two specific nonprofit organizations.  The Legislation extends the "sunset" for sales of specialty license plates which go towards funding the Atlanta Falcons Youth Foundation and also adds the Georgia Aquarium as a recipient of proceeds of sales of specialty license plates.  The Legislation cleared with a 54 to one vote.   It needed agreement by the House with the Senate's changes; at the time of this Report, it was unclear whether the House had made such an agreement.
• HB 575 - Sen. Hamrick (R-Carrollton) offered this Bill as a result of a Georgia Supreme Court decision explaining that the Legislature needed to better define "kidnapping" in Georgia law.  Thus, this Bill establishes a "test" for that crime.  The Senate passed this Legislation and the House then agreed with the Senate's Substitute.
• HB 549 - Originally introduced by Rep. Ralston (R-Blue Ridge), this Bill provide transmittal of information from the Superior Court Clerks of each county, on or before the 10^th day of each month, to the Secretary of State regarding jurors who declare themselves as not being a citizen of the United States.  The Bill also specifies the information which the Department of Driver Services may provide for purposes of creating juror lists.  As the Driver Services provision was included, Sen. Cowsert (R-Athens) proposed the addition of the seatbelt amendment to this Legislation.  The Senate passed the Bill 42 to 6.  However, HB 549 failed to clear the House as amended.
• HB 514 - Rep. Collins (R-Gainesville) authored this Bill which the Senate passed with a vote of 47 to zero.  It would require elected judges to make decisions on questions of constitutionality.  The House disagreed with the Senate on its proposal and the Senate insisted on its position on the Bill.  A Conference Committee was appointed for the Bill with a Report prepared.  However, it does not appear that the Senate actually adopted the Conference Committee Report while the House did take action to do so.  If not, the Bill failed.
• HB 16 - Sens. Hill (R-Marietta) and Harp (R-Midland) spoke about this initiative dealing with "electronic tracking devices" for persons such as private detectives to use to help locate individuals.  Some confused this Bill with "wiretapping" which is not what the Bill proposed.  Numerous amendments were offered on the Bill while only a couple of those were actually adopted.  Conferees ended up being appointed on the Bill; it does not appear that either the House or Senate adopted a Conference Report on this issue. 
• HB 258 - This Bill was another attempt to pass the seatbelt requirement.  However, the House did disagree with the Senate's proposal on this Bill.  The underlying purpose of the Legislation was to permit any person 15 years of age or older who has a parent or guardian who is medically incapable of being licensed to operate a motor vehicle due to physical impairment and has been issued an identification card containing the international handicapped symbol the ability to apply for and, subject to the approval of the Commissioner, be issued a restricted noncommercial Class P instruction permit for the operation of a noncommercial Class C vehicle. The individual issued this permission would be required to be accompanied whenever operating a motor vehicle by such physically impaired parent or guardian or by a person at least 21 years of age who is licensed as a driver for a commercial or noncommercial Class C vehicle, who is fit and capable of exercising control over the vehicle, and who is occupying a seat beside the driver.  The initiative also required the Department to obtain satisfactory proof that the physically impaired parent or guardian previously held a valid driver's license in the State of Georgia, another state, or the District of Columbia before issuing an instructional permit.
• HB 321 - Rep. Davis (R-McDonough) offered this Legislation proposing the Insurance Delivery Enhancement Act of 2009, lowering the numbers of employees to be required for the issuance of "association insurance" from 25 to 10 employees.  The Legislation was hijacked in the Senate by Sen. Hudgens (R-Hull), adding that third-party insurance administrators must also comply with Georgia's prompt payment law (formerly his SB 62).  In his changes, Sen. Hudgens included that payment of claims by these "TPAs" must be done for electronic claims within fifteen working days and for written claims within 30 calendar days.  Additionally, he included a lowered amount of interest to be paid on outstanding or when the health plan has refused to pay such claims from 18% to 12% per annum. Sen. Hudgens explained that while this proposal would require ERISA plans to make these required payments in these timeframes, it was argued that State law could not make these requirements due to the federal preemption clause.  However, Legislative Counsel has provided an opinion to Sen. Hudgens that this Legislation was not in violation to the law. The Bill passed with a vote of 45 to 4.   However, the House disagreed with the Senate Substitute.
• SB 123 - Sen. Hawkins (R-Gainesville) authored this Bill regulating "pharmacy benefit managers" by the Commissioner of Insurance. Hospital pharmacies are exempted from these provisions as well as those pharmacies operating under a health system license which provide services for their patients, employees and beneficiaries. The Senate agreed to the House version of the Legislation.
• SB 178 - Sen. Weber (R-Dunwoody) took the Well explaining the Conference Committee Report on this Bill which now contains four components.  It extends the sunset for capital outlay projects for schools; it provides the local boards of education some flexibility on expenditure controls (formerly HB 278); it addresses dual enrollments; and includes the "Bridge Act" for the technical career pathways for students (formerly HB 400).  This Report was adopted in the Senate with a vote of 39 to 5 and also adopted in the House.
• HB 243 - Sen. Weber (R-Dunwoody) brought back the legislation addressing national board certification pay boosts for teachers. His motion was that the Senate recede from its position of the Senate Substitute. The Senate had amended the proposal which adds a 10% boost only on the base pay for that teacher rather than adding the boost on the "step" in the pay grade for the teacher.  Essentially, the way the Bill was written it would essentially discontinue the program in the future.  The House version would permit a person who has enrolled in the process, as determined by the Professional Standards Commission, of attaining national certification on or before March 1, 2009, to be eligible for salary increases, subject to appropriations by the General Assembly.  It will also permit, as of July 1, 2009; a teacher enrolled in the program as of March 1, 2009 the ability to continue to receive this pay boost, also subject to appropriations by the General Assembly.  His motion passed with a vote of 32 to 17.
• HB 481 - Sen. Rogers (R-Woodstock) proposed that the Senate agree with the Conference Committee Report on this Bill.  The underlying proposal was to enact the "JOBS" Act.  The Conference Committee Report included provisions to eliminate the capital gains tax.  Sen. Orrock (D-Atlanta) took issue with this Bill as the addition of the elimination of the capital gains tax would decrease the State's revenues by $913 million by FY 2012.  Sen. Orrock indicated that it was the wrong action for the General Assembly to take in the wake of ever decreasing State revenues.  She also was incensed that the Senate would entertain such a Bill when they had just fought over providing compensation for a wrongly accused and imprisoned individual (a cost of about $500,000 as proposed in HR 161).  Sen. Orrock noted that this capital gains tax elimination idea had not been in a stand-alone piece of legislation to be fully vetted and it had also not had a fiscal note attached to the idea.  She called it a "new ingredient in a poisonous stew." After Sen. Orrock's discussion on the Bill, Sen. Rogers withdrew his motion until a fiscal note could be obtained.  The Bill later emerged in the evening, with a draft fiscal note, which passed with the Conference Committee Report language by a vote of 34 to 15.
• SB 200 - Sen. Williams (R-Lyons) moved that the Senate agree to the House Substitute on this Bill, defining the governance for the Georgia Department of Transportation.  It would not alter the Board of the Department of Transportation which would also elect the Commissioner.  The Bill does not contain a "new agency" such as the Authority previously suggested.  It also does not eliminate the Georgia Regional Transportation Authority.  It does create a Planning Director position which would be appointed by the Governor with approval given by the House of Representatives. The Bill also contains language relating to funding of projects - with money for local governments; with money, up to 20%, of the General Assembly's projects; and money for maintenance and operations of roads and bridges.  Much of the power would be given up by the General Assembly.  Sen. Thompson (D-Marietta) took issue with the proposal stating the idea was becoming worse the days since its introduction.  Sen. Smith (R-Rome) offered testimony that made one believe that he had been threatened that if he voted to pass this legislation then a project in his district would not be funded. An amendment was offered by Sen. Adelman (D-Decatur) but it failed with a vote of 22 to 33.  The Bill then cleared the Senate with it agreeing to the House Substitute by a vote of 33 to 22.

House

• SB 56 - Sen. Butler (D-Stone Mountain) offered this Bill to create the Georgia StopMeth Log as a way in which to track electronically the identity of those individuals purchasing certain medications, such as pseudoephedrine, used for the production of methamphetamine.  The House originally tabled the Bill but later permitted it to be brought to the House Floor where it passed 49 to 2.  The Bill became a "vehicle" for several pharmacy initiatives including what was previously known as HB 614, the prescription monitoring proposal; HB 681, the Bill prohibiting a pharmacist to interchange an anti-epileptic drug or formulation of an anti-epileptic drug without prior approval from the prescribing physician; and SB 49, the Legislation prohibiting a pharmacist from engaging in drug product selection or substitution of any primary immunosuppressant pharmaceutical that is prescribed as a part of immunosuppressive therapy for a patient who has received an organ or tissue transplant without first notifying the patient or his or her designee.  As it left the House, the drug substitution provisions were included in SB 56. Insurance lobbyists worked frantically on this Bill, preferring that no amendments be added to Sen. Butler's proposal.  The Senate's clock worked in favor of the lobbyists as essentially the Bill died because of lack of time to bring the Bill back to the Senate Floor for it to take action on the initiative.
• SB 231 - Sen. Weber's (R-Dunwoody) Bill which would establish the PROMISE III teacher's scholarship program finally got a vote in the House where it was passed.  However, it is not clear if the Senate agreed to the changes made by the House on this Bill.
• SB 94 - Sen. Hill (R-Marietta) offered this Bill requiring health insurers to cover dependent individuals up to age 25 regardless if those dependents were full-time students as current law provides.  Amendments were made in the House adding continuation coverage, using federal stimulus money, for those individuals who have lost their jobs.  In effect, this has been called "mini-COBRA" on the "slacker" Bill.  A "technical" amendment was made on the Floor of the House as well as language from SB 105 (the requirement that an HRA be sold with individual health insurance policies and making clear that if health reimbursement account plans are not sold or packaged with an individual health insurance plan, then those are not considered as insurance).  SB 94 passed and was later agreed to by the House and Senate with the changes made.
• HB 217 - This was the Governor's Bill addressing the administration issues relating to the flu vaccine. It also added some language which the Georgia Hospital Association had requested concerning influenza and pneumoccocal vaccines to patients pursuant to standing orders. The House agreed with the Senate's version of the Bill.
• HB 509 - Rep. Cooper (R-Marietta) authored this update to the Professions Code. It amends several aspects of the Composite State Board of Medical Examiners and includes numerous revisions to the regulation of physicians, physician's assistants, cancer and glaucoma treatment, acupuncture, respiratory care, clinical perfusionists, orthotics, prosthetics, and cosmetic laser services.  In the proposal, as added by the Senate, it added language addressing the Attorney General's concerns relating to the operation of sleep labs in hospitals and physicians' offices by addressing polysomnography at O.C.G.A. § 43-34-45. The House agreed with the Senate Substitute with the Floor Amendments made to this Bill.

Please contact Stanley S. Jones, Jr., Helen Sloat or April Morgan at 404.322.6000 for further information on legislative happenings. Gold Dome Reports will be available daily during the Session at www.nelsonmullins.com.