A digest of news from the General Assembly of interest to local governments Feb. 1, 2013 Budget | Education | Eminent Domain | Environment | Finance/Taxes | FOIA | Human Services | Land Use | Local Authority | Personnel | Public Safety | Retirement/Benefits | Transportation | Miscellaneous Uranium mining legislation withdrawn Legislation that would have opened the door to lifting the 31-year-old moratorium on uranium mining in Virginia has been withdrawn. Sen. John Watkins withdrew his bill – SB 1353 – Thursday afternoon in the face of stiff opposition on the Senate Agriculture, Conservation and Natural Resources Committee. The move ends for now more than four years of intense efforts by a private company to mine a large deposit of uranium valued at as much as $7 billion in Pittsylvania County. Budget Budget committees set to release amendments on Sunday Football fans won’t be the only ones anxious for kickoff on Super Bowl Sunday. Lobbyists and local governments will be waiting for their own Super Bowl game of sorts to kick off at the General Assembly Building on Capitol Square that day. The House Appropriations Committee will meet at 1 p.m. to unveil its package of budget amendments. The Senate Finance Committee will convene an hour later to do the same. Although the actual budget amendments will not be released to the public until Tuesday, Sunday’s reports will provide enough information to know how well local governments fared. The reports will also help to identify potential issues that could drive the budget conference committee talks between the House and Senate. Budget Conference Committee talks could begin, at least informally, the weekend of Feb. 9 after each chamber approves its respective amendment package on Feb. 5. Budget directors and their staffs across the state will closely follow the Senate debate on the budget. With a 20-20 political split and a constitutional provision prohibiting the lieutenant governor from casting any tie-breaking ballot on the budget, the amendment package offered by the Republican-dominated Senate Finance Committee will have to attract at least one senator from across the aisle to secure passage. VML staff will prepare a “highlights reel” from Sunday as well as a detailed analysis later in the week. Staff contacts: Janet Areson, jareson@vml.org, Joe Lerch, jlerch@vml.org, Mary Jo Fields, mfields@vml.org, and Neal Menkes, nmenkes@vml.org Education Bills addressing statewide division for underperforming schools move forward Bills to create a statewide school division that would manage schools that have been denied accreditation are moving toward floor votes. In the Senate, the Finance Committee attached a “subject to appropriation clause” to SB 1324 (McDougle). This means that the bill would become law only if it were funded in the Appropriation Act. The bill was reported to the floor 8-5. All Republican members voted yes; all Democratic members voted no. On the House side, the Appropriates Committee passed yet another substitute for HB 2096 (Habeeb) late this afternoon. More changes are expected. Please call your delegates and senators in opposition to these bills. Talking points: The bills and constitutional amendments transfer control over schools to a statewide board that has no experience in running schools and little if any connection with a local community. Local citizens who have the most at stake will lose access with a statewide school board made up primarily of people from outside their locality. No information has been given on how this state board would be able to solve the problems facing these troubled schools. There are a host of questions about the relationship of the statewide division, the school board and the local government in areas such as transportation, use of facilities and funding. Some city councils and boards of supervisors are justifiably frustrated with the inability of their school boards to develop quality educational programs. These bills, however, are not a reasonable approach. Additional background information on the bills can be found in the Jan. 30 Legislative Bulletin. Because of concerns that the bills may not be constitutional, two constitutional amendments have been introduced that create a statewide school division of the type envisioned in HB 2096 and SB 1324. SJR 327 (McDougle) is on the Senate floor. An amended version of HJR 693 (Habeeb) was reported by the House Privileges & Elections Committee this afternoon. Staff contact: Mary Jo Fields, mfields@vml.org. House committee kills charter school constitutional amendment After spirited discussion, the House Privileges & Elections Committee failed to report a constitutional amendment this morning that would allow the state Board of Education to accept applications to establish charter schools. The vote on HJR 684 (Lingamfelter), part of Gov. Bob McDonnell’s education agenda, was 11-11. Del. Mark Cole, the committee chair, said that the committee might meet late this afternoon to consider amendments to the resolution. Currently, only local school boards have the authority to accept charter school applications. The discussion this morning focused on the role of the state, local governments and school boards in the establishment of charter schools. Del. Rob Krupicka said one reason there are so few charter schools is because the state provides inadequate resources to get them started. He also said that instead of a topdown approach, it would be better in cases where school boards were not supportive of innovative practices, for the State Board of Education to have a way to work directly with the county board of supervisors or city council. Del. Jackson Miller and Del. David Albo also raised a number of issues with the amendment. Del. Mark Sickles said the amendment, without an implementing statute, would be the ultimate unfunded mandate. Saying that he could not support the proposed constitutional amendment in its current form, Albo proposed an amendment to establish a right of appeal to the state Board of Education in the case of a school board’s denial of an application. Lingamfelter, however, opposed the amendment, which was withdrawn. Krupicka also offered an amendment that would allow the state board to establish the charter, provided that it was either funded by the state, or that a board of supervisors or council approved its establishment. No formal amendment, however, was made. The identical Senate version was killed on a straight party-line vote earlier in the session. Staff contact: Mary Jo Fields, mfields@vml.org Finances/Taxes Governor’s transportation funding bills advance in House, Senate committees In an adroit display of political savvy and power, the House leadership navigated Gov. Bob McDonnell’s transportation funding bill – HB 2313 (Howell) – through choppy waters 14-8. Attempts by House Finance Committee Democrats to force the committee to approve a substitute were easily set aside. The final vote to report the bill, however, may have provided a hint that floor passage will not be so easy. Five of the negative votes were cast by “no tax pledge” Republicans. If the House Republican Caucus does not take a binding position on the measure, then HB 2313 may need votes from the Democrats to advance to the Senate. The no tax contingent is symbolized by the anti-tax group Americans for Tax Reform, led by Grover Norquist, who consider Gov. McDonnell’s plan “a massive tax increase that Virginia taxpayers cannot afford.” The House Democrats appear to support proposals that raise more money for transportation, do not designate more general fund dollars for transportation, and provide regions the means to raise transportation revenues. HB 2313 passed the House Finance Committee with just three amendments. The first amendment permits owners of diesel passenger cars to claim a tax refund on the diesel excise taxes they pay. The second amendment waives the $100 annual fee for natural gas powered vehicles. The final amendment freezes action on putting tolls on I-95 until a study is completed to determine if tolls are needed in light of passage of the legislation. The Senate Finance Committee met Thursday night to take action on several transportation funding bills. After some debate, the senators voted 10-5 along party lines – with Republicans in the majority – to report SB 1355. It is the Senate companion measure to HB 2313. The committee also approved the three amendments endorsed by the House Finance Committee. The strong vote, however, does not mean the passage of SB 1355 is assured. The Senate is politically divided 20-20. And on tax bills, Lt. Gov. Bill Bolling is constitutionally prohibited from casting a tie-breaking vote. Also, five Republicans on the Senate Finance Committee, before voting to report the bill, expressed their unhappiness with SB 1355, particularly the provisions eliminating the gasoline tax, designating more general fund money for transportation and instituting higher fees on alternative-powered vehicles like hybrids and all-electric vehicles. It is clear that next Tuesday’s floor debate on SB 1355 will be marked by efforts to substantively amend the bill. The same can be said for the House floor debate on HB 2313. Stay tuned. Staff contacts: Joe Lerch, jlerch@vml.org and Neal Menkes, nmenkes@vml.org And then there were none: Regional transportation funding bills beaten back, but … The House Finance Committee did not pass any regional transportation funding bills this session. The committee tabled the last such bill – HB 1450 (Stolle) – on Wednesday. In yesterday’s meeting of the Senate Finance Committee, the senators dispatched SB 824 (McWaters), a bill to impose through referendum an additional 1 percent state sales tax in any county or city located in Hampton Roads. The measure failed to report 7-5. Unlike other pieces of legislation this session, Democrats and Republicans voted on both sides. The Senate committee did, however, report a bill – SB 1313 – offered by the Finance Committee’s chairman Walter Stosch. This bill would allow Portsmouth along with the counties of Arlington, Fairfax, Loudoun and Prince William, and the cities of Alexandria, Fairfax, Falls Church, Manassas, Manassas Park, Norfolk, and Virginia Beach to levy a local income tax at a rate of 0.25 percent, 0.50 percent, 0.75 percent, or 1 percent. SB 1313 eliminates the current statutory requirement that the local income tax can only be approved by a referendum and that the tax must end five years from its effective date in such county or city. Instead, the tax could be imposed by adoption of an ordinance by the governing body of any of the authorized counties or cities for only that county or city. In his explanation to Senate Finance, Stosch said the money could be used to address transportation issues in Northern Virginia and Hampton Roads if the authorized cities and counties chose to do so. The committee voted 8-5 to report the bill to the Senate floor. Senators crossed party lines to either support or oppose the measure. The entire Senate will consider SB 1313 next Tuesday. Staff contact: Neal Menkes, nmenkes@vml.org Senate panel defers granting property tax relief for survivors of vets killed in action The Joint Legislative Audit & Review Commission has been asked to determine the fiscal impact of a constitutional amendment that would have the state reimburse surviving spouses of people killed in military action for their local real property tax bills. The Senate Finance Committee asked for the fiscal analysis for SJR 272 (Black) on Thursday. Presumably, the committee will meet to take up the bill again after it receives the impact information from JLARC. Staff contact: Mary Jo Fields, mfields@vml.org Other bills … Prohibition on judicial sales of tax delinquent real estate properties is altered Summary: HB 1401 (Cole) as introduced would have prohibited localities from instituting a judicial sale for delinquent taxes on real property that is the sole dwelling of the taxpayer. This would have curtailed a locality’s ability to motivate delinquent taxpayers to pay the amounts owed. Action: A substitute version of the bill passed the House Finance Committee on January 30, and is headed to the House floor for passage. The substitute drops language referring to sole dwelling, permits the taxpayer to request the Treasurer to enter into a 36month payment plan (current law is up to 24-months to pay the amount), and empower the circuit court, at its discretion, to refer the parties to a dispute resolution proceeding. Staff contact: Neal Menkes, nmenkes@vml.org Public Safety School safety task force offers initial recommendations Requiring school safety audit teams, broadening access to child/adolescent behavioral health treatment, and creating more crisis intervention drop-off centers were among the items recommended by the Governor’s School and Campus Safety Taskforce on Jan. 31. The 45-member taskforce had three weeks to discuss and develop a number of initial recommendations to forward to Gov. Bob McDonnell by Jan. 31. McDonnell may propose budget amendments or legislative proposals addressing some of these initial recommendations for the 2013 General Assembly to consider before it leaves town at the end of February. Task force recommendations approved for submittal to the governor include: Amending current state law that addresses bullying to include an actual definition of the term; Requiring all school divisions to establish safety audit planning teams (such teams are currently allowed but not mandated); Establishing a state safety and security fund for use by schools/localities for projects to increase safety/security of school facilities; Expanding a comprehensive statewide program of education, training, and related prevention activities surrounding suicide (and homicide) prevention; Expanding access at community services boards (CSBs) to child/adolescent outpatient clinicians and child psychiatrists for young people with behavioral health conditions such as depression, anxiety, disturbing thoughts, interpersonal or relationship problems and substance abuse issues; Providing “Mental Health First Aid” instructor training and certification in communities to target school personnel, clergy, health professionals, community agency personnel, military and veteran service organizations, first responders and other “gatekeepers” with extensive public contact. (Some local governments, including Henrico County, already use this program). Developing three to five new CIT (Crisis Intervention Teams) drop-off sites for law enforcement to use in response to calls involving individuals experiencing a behavioral health crisis. CIT sites give ready access to treatment, decrease the number of arrests/incarcerations of individuals experiencing a behavioral health crisis, and allow law enforcement personnel to more quickly return to duty. Within this proposal is a recommendation to enhance operations of existing CIT sites (Henrico, Portsmouth/Chesapeake, and New River Valley) to allow for 24/7 capacity; Expand CSA adult outpatient and psychiatric services along the lines of the services to be provided to children/adolescents listed above; Restoring state funding for the school resource officer incentive grant fund; Creating new criminal offenses for entering a school while armed or in possession of an explosive device with the intention to commit a violent felony; and Increasing the mandatory minimum sentence for straw-man purchases of firearms (i.e., a person who lawfully may purchase a firearm does so with the intent to transfer it to someone ineligible to make such a purchase). An item regarding new training requirements for school resource officers left the taskforce divided and was instead referred to the public safety workgroup for additional work. Likewise, the taskforce voted to give the public safety workgroup more time to prepare a study about the feasibility and wisdom of having armed security in school buildings. Although the taskforce forwarded a number of items to the governor this week, its work will continue until the end of June. McDonnell gave the group the task of identifying both short- and long-term solutions to help decrease the risk of violence in schools and on college campuses. Staff contact: Janet Areson, jareson@vml.org. Transportation Senate panel OKs bill banning tolls on existing interstates The Senate Finance Committee voted 12-3 Thursday afternoon in favor of a bill that bans the placing of tolls on existing interstate highways without General Assembly approval. How the committee’s vote in favor of SB 865 (McEachin) will fit into any comprehensive overhaul of transportation funding this session is unclear. That’s because the fate of the governor’s transportation plan is anyone’s guess at the moment. The House Finance Committee voted 14-8 on Wednesday in favor of the governor’s plan, which includes a promise to suspend placing tolls on I-95 if the General Assembly adopts the measure in its entirety and if the bill produces sufficient revenues. Staff contact: Joe Lerch, jlerch@vml.org. Other bills … Mass transit bill motors to Senate floor Summary: When originally introduced, SB 1140 (Petersen) followed a number of the recommendations included in the SJ 297 study on maximizing the state’s investment in transit. Action: On Thursday, the Senate Finance Committee reported out SB 1140 with a substitute. The vote was along party lines with 10 Republicans voting in favor and five Democrats against. The House companion measure – HB 2070 – was tabled last week by a House Transportation subcommittee. The Senate substitute bill establishes an advisory committee made up of transit providers, local governments, and the Department of Rail and Public Transportation to develop new effectiveness and efficiency measures; limits the application of the effectiveness and efficiency measures to “new money” provided by the General Assembly; and drops provisions calling for peer grouping of transit providers. SB 1140 will be debated by the entire Senate next week. Staff contact: Joe Lerch, jlerch@vml.org and Neal Menkes, nmenkes@vml.org Miscellaneous Other bills … Agenda 21 Summary: HJR 654 (Lingamfelter) states that the General Assembly recognizes Agenda 21’s infringement on the American way of life and individual freedoms and ability to erode American sovereignty. HB 2223 (Cline) would prohibit the state and localities from receiving or paying money to agencies defined in Agenda 21. Action: The House Rules Committee on Jan. 31 reported HJR 654 and tabled HB 2223. Staff contact: Mary Jo Fields, mfields@vml.org. VML legislative staff Janet Areson – Lobbies on issues involving health and human services, and the state budget. jareson@vml.org (O) 804-523-8522 (C) 804-400-0556 Mary Jo Fields – Lobbies on issues involving education policy and education funding, retirement, elections and rules. mfields@vml.org (O) 804-523-8524 (C) 804-400-0555 Mark Flynn – Lobbies on issues involving legal matters, land use, housing, telecommunications and technology. mflynn@vml.org (O) 804-523-8525 (C) 804-400-1321 Joe Lerch – Lobbies on issues involving the environment, natural resources and transportation policy. jlerch@vml.org (O) 804-523-8530 (C) 804-640-5615 Neal Menkes – Lobbies on issues involving taxation and finance, the state budget, transportation funding, and community and economic development. nmenkes@vml.org (O) 804-523-8523 (C) 804-400-1191 Kimberly Pollard – Lobbies on issues involving public safety and general laws. kpollard@vml.org (O) 804-523-8528 (C) 804-400-1987 Randy Cook (under contract) – Lobbies on issues involving courts, criminal law, civil law, FOIA, procurement and general laws. wrcook@mmecpc.com (O) 804-746-3773 Steve Craig (VML Insurance) – Oversees lobbying on issues involving insurance and workers’ compensation scraig@vmlins.org (O) 804-237-7310