A Report of the 2014 General Assembly Session Mr. Mark Rubin, JD Executive Director Office of Government Relations for VCU and VCUHS 1 2014 Legislative Session TABLE OF CONTENTS Session Overview Budget Implications Medicaid Expansion Important Legislation Preparing for the 2015 Legislative Session Contact Information & Ongoing Updates 2 The 2014 Session Overview A “Long Session” of 60 days – GA must adopt amendments to the Governor’s introduced budget for FY 2015 and FY 2016; The McAuliffe Administration came into office after Governor McDonnell introduced a proposed biennial budget; All parties aware that Medicaid Expansion would be primary focus of the session – it and the budget are still both unresolved Reconvened session in late April to consider the Governor’s amendments and vetoes. 2014 Session Statistics • 2888 Bills and 1527 Resolutions Introduced • 1647 Passed • VCU tracked 200+ Bills 3 Budget Implications – VCU (House and Senate Reports) The House and Senate Reports on the Budget vary in several key respects with regard to VCU priorities: State Employee Pay Increase – Senate: 1% salary increase in December 2014; Cont. 1% salary increase in next FY; 1% bonus; VRS remains at 12.33%. House: No change in 2015; 2% bonus; Increase VRS to 15.8% in 2016; Health Insurance – All: premium increases: $3/mo for singles in ’15, ’16; $10/mo family in ’15, then $16/mo in ’16; Key Differences between Higher Ed Budgets: Senate: Largely scrapped incentive funding language and focused on financial aid; House: focused on faculty FTEs; support for tuition moderation, and a generous research package; Cancer Research – House: $2.0 million additional funding; Senate: $1.0 million in additional funding; Parkinson’s – $650,000 per year to the VCU Parkinson’s and Movement Disorders Center; 4 Budget Implications – VCU cont’d Both the House and Senate Reports include authority for VCU to renovate a portion of Sanger Hall and to be reimbursed by the state for the general fund portion; One of only two capital authorizations included in either budget; Potential General Obligation Bond in 2016; Focus on Maintenance Reserve. 5 Medicaid Expansion The biggest issue for the health system is financing for indigent services. The House and Senate took two very different approaches. The Senate put forward a “private option” to close the insurance coverage gap. This option would provide premium assistance for indigents to be able to purchase insurance on the new federal insurance exchange. The goal is to draw down federal Medicaid dollars to pay for this plan. The House has rejected any plan drawing down federal dollars. Instead, the House is seeking to restore inflation payments omitted from the Governor’s budget proposal and put more money into the health care safety net. This was the defining budget issue of the session and remains so. 6 Important Legislation – Higher Ed HB 355/SB 341, VCU Governance Legislation. Codifies current practice of President serving as Chair of VCUHS Authority; establishes dispute resolution mechanism regarding appointment of Vice President. HB 205 Student-athlete discipline policies. Board of visitors of higher education institutions to establish policies for the discipline of students who participate in intercollegiate athletics. HB 287 Office of the State Inspector General; powers and duties. Clarifies the powers and duties of the State Inspector General to conduct performance reviews of state agencies include assessing the effectiveness, efficiency, or economy of state programs. The bill gives the State Inspector General the discretion to refer certain complaints to the internal audit department of public institutions of higher education. HB 258 Restrictions on student speech at institutions of higher education; limitations. Prohibits public institutions of higher education from imposing restrictions on the time, place, and manner of student speech that occurs in the outdoor areas of the institution's campus and is protected by the First Amendment to the United States Constitution unless the restrictions (i) are reasonable, (ii) are justified without reference to the content of the regulated speech, (iii) are narrowly tailored to serve a significant governmental interest, and (iv) leave open ample alternative channels for communication of the information. 7 Important Legislation – Higher Ed HB 576 Virginia Military Survivors and Dependents Education Program; residency requirements. Deems certain surviving spouses and dependents of military service members eligible for the Virginia Military Survivors and Dependents Education Program if the service member through whom they claim eligibility falls under certain circumstances. HB 1220 Research and development, qualified; increases amount of tax credit for expenses. Increases beginning with taxable year 2014 the amount of the credit allowed from 15% of the first $167,000 to 15% of the first $234,000 of Virginia qualified research and development expenses, and from 20% of the first $175,000 to 20% of the first $234,000 of Virginia qualified research and development expenses conducted in conjunction with a Virginia institution of higher education. HB 747 Tuition, in-state; student eligibility, Deferred Action for Childhood Arrivals. (Failed) BUT… All legislation attempting to set requirements on use of tuition for instruction or establishing in-state student percentages as a portion of the student body were successfully defeated. 8 Important Legislation – Health SB 260, Mental Health Omnibus Bill. Extends the maximum duration of an Emergency Custody Order to 12 hours; requires state hospitals to accept individuals after 8 hours of searching; creates state registry of beds; TDOs extended from 48 to 72 hours. SB 304 Unclaimed Bodies. Specifies a court order process; local sheriff must pay for disposition of unclaimed remains. HB 541 Brain Death. Removes the requirement for two doctors to certify, but the sole doctor must be a specialist. HB 1083 Workers Comp. A compromise was reached with the provider community that included discounts for multiple procedures during a single operative session; discounts for assistant at surgery services; prompt payment for WC health services; and a one year statute of limitations for providers to submit claims for payment. 9 Preparing for the 2015 Session We are here to advocate for your division. The 2015 Legislative Agenda: - Agenda for the next legislative session is drafted throughout the summer; - Advance concerns or issues through your respective vice president for consideration. Become involved in the legislative process. 10 Updates & Contact Information Subscribe to the office’s weekly highlights of federal, state legislative and political news. State and federal legislation monitored by staff is listed on the office’s website at www.govrel.vcu.edu Contact Us: via phone (804) 828-1235 or via email govrel@vcu.edu 11