Virginia budget Archives - Page 9 of 9

Session Newsletter (March 10, 2014)

March 10, 2014 by Creigh Deeds

Final Update from 2014 Session

The 2014 Session of the General Assembly is over; we adjourned on Saturday. However, the main work, the budget, remains to be accomplished. The General Assembly will go back into session on the 24th of March to try to finalize a spending plan for the next biennium.

Impasse over Medicaid Expansion

The big hang up, as I suggested from the beginning of the session, is the expansion of Medicaid. Opponents of expansion seem to be swayed by the argument that by refusing the federal dollars attached to Medicaid expansion Virginia will send a message to the President and in some way rebuke the Affordable Care Act. The predominant concern is over whether the federal government can sustain Medicaid payments, despite the requirement that the feds fund no less than 90 percent of the cost of expansion. The argument ignores the fact that the feds have never failed to make their payments to Virginia under the original Medicaid plan, started in 1965.

There are at least three reasons why Virginia needs to move forward with the Senate’s approach, Marketplace Virginia, to this issue.

First, ignoring the fact that a healthier population will result in a healthier community and a more robust economy, hospitals and insurance companies are already subsidizing the cost of providing healthcare to the uninsured. And thus, the people who pay the bills at the hospitals and the premiums to insurance companies are already picking up the tab. The people who will be covered by Marketplace Virginia are primarily the working poor, people who are already working but are not making enough money to afford insurance premiums and do not receive insurance through their work. For many, primary care is received through the emergency room, which cannot refuse care for a sick person. Those costs are subsidized by the hospital or other providers through increased costs for those who can pay and for insurance companies. We are already picking up the tab, and it just makes sense to provide coverage to the uninsured.

Second, the flow of federal money to Virginia, up to $1.8 billion a year, or about $5 million a day, is bound to have a positive effect on Virginia’s economy. Because the plan will provide healthcare coverage to over 200,000 Virginians, expanding coverage is expected to create as many as 30,000 jobs in the next six years. In an area where we need job growth, especially with a stagnant economy, this aspect cannot be ignored.

Third, we are paying for Medicaid expansion anyway. There is no doubt that fees and taxes went up at the federal level to pay for Medicaid expansion. In fact, Virginians are paying as much as $2.9 billion a year under the Affordable Care Act. Why should those dollars be spent anywhere but Virginia? It is true that we may not recoup all of the money Virginians pay the federal government under the Affordable Care Act, but why should we not receive as much as we can back from the federal government? Under the law, the feds have to pay 100 percent of the costs for three years and no less than 90 percent after that. What part of that deal is bad for Virginia?

Obviously there are people who disagree with my point of view. We will strive in earnest, I hope, to resolve the budget impasse as soon as practical. Millions of Virginians and hundreds of localities depend on Virginia getting its budgetary house in order.

Despite the budget impasse, the General Assembly did achieve some things this session:

Ethics Reform

A package of ethics reform bills passed, and, without question, raises the standard. For example, the new limit on tangible gifts to legislators is $250. However, for those looking for real reform, the legislation will not satisfy your hunger. One obvious flaw is that there is no limit on “intangible” gifts such as trips, or sporting events.

Increasing the Number of Judges

Every year there seems to be an argument about the appointment of judges, where the judgeships belong, and who gets appointed. To satisfy many questions, in 2012 the legislature directed the Supreme Court of Virginia to develop a system to evaluate caseloads and determine the appropriate use of resources in our judicial system. The National Center for State Courts completed the study on behalf of the Court in November. The results show that we need about twenty-eight judges more than we currently provide in the Code. Because legislators from different parts of the state can pick apart just about every section of the report, particularly those that dealt with their region, the report was somewhat controversial. Nevertheless, the report provided us with a metric to use, and we finally agreed to increase the number of judges provided in the Code to 429. That does not mean all of the judgeships will be funded, but at least it gives us a point from which to work.

Mental Health Policy Reform

My personal goals with respect to mental health reform were met. I needed the strongest bill possible to leave the Senate to increase my negotiating power with members of the House of Delegates. The Senate supported legislation to establish a 24-hour ECO period, a registry of psychiatric beds, and the establishment of state facilities as providers of last resort for any individual deemed to require hospitalization. While we did not achieve the 24-hour wait, the House agreed to the proposal to ensure that the state provide a bed of last resort. This is significant. It changes the paradigm. Under existing law, the issuance of a temporary detention order is triggered not by the need or behavior of the individual, but by whether a bed exists in which to place said individual. That makes no sense. The new process will effectively end what is known as “streeting”, where one in need of a bed is released at the end of the ECO period because a bed is not identified. We also lengthened the period of the TDO from 48 hours to 72 hours. These changes in the law will give the state enormous tools in mental health crisis situations.

But we cannot lose our urgency about the need for changes in our mental health system. We are still severely lacking, not just in Virginia but around the country, in our system of delivery of mental healthcare services. Importantly, my legislation creating a legislative study committee passed, and we will spend the next four years working to develop in Virginia a mental health delivery system that, I hope, can be a model for the rest of the country. In fact, I will not settle for less. I hope to examine and weigh the costs and benefits of every aspect of our system. Many argue that funding is the problem. I know that our system of community services boards has been underfunded and that the ones that work best are those that receive a significant amount of funding from local government. However, funding is not the entire issue. For example, a recent Inspector General’s report showed that one of the reasons we have a shortage of psychiatric beds is that the state hospitals are inefficient in the discharge of patients. I believe that we can squeeze inefficiencies out of the system and ensure that money is spent on effective, patient-focused care.

It continues to be my high honor to serve you in the Senate of Virginia. Should you have concerns, questions or views you wish to share, please contact me at (434) 296-5491 or [email protected].

Best,

Creigh

Session Newsletter (Feb. 25, 2014)

February 25, 2014 by Creigh Deeds

Nearing Sine Die

The 2014 session of the General Assembly is rapidly moving toward the scheduled adjournment on March 8. Both houses passed competing budgets this past week and bills are headed to conference.

On Thursday the House and the Senate passed out their respective versions of the biennial budget. As with all legislation, the budget bills must be approved by the other chamber. Every year, the House and Senate insist on their amendments and send the budget to a committee of conference. The General Assembly is expected to finalize the budget for fiscal years 2014-2016 before the scheduled adjournment, but the deliberations may stall this year over Medicaid.

Medicaid Expansion

At least twice this session I have used this space to talk about Medicaid expansion and about the Senate’s approach, Marketplace Virginia. A couple of things need to be clear whether or not we expand Medicaid in Virginia. First, individuals and Virginia businesses will pay additional taxes to the federal government. Second, Virginia hospitals will experience reduced Medicare payments from the federal government and must continue to provide treatment to the uninsured. The gap between the cost of providing care to these patients and the reimbursement will grow into the hundreds of millions of dollars.

The primary hang-up between the budget advanced by the House of Delegates and the Senate of Virginia involves these issues. Marketplace Virginia is an attempt not only to provide insurance coverage to about 285,000 Virginians but also to recapture almost $2 billion in federal taxes Virginians are paying. The Senate proposal recognizes the reality of the federal actions and tries to take advantage of it. The House budget rejects that reality and instead uses millions of state tax dollars to reimburse hospitals for the Medicare cuts imposed at the federal level. Under the House plan, Virginia taxpayers will pay for Medicaid expansion while nobody in Virginia will receive any benefit under that program. Virginia taxpayers will also be asked to pay a second time for the cost of Medicaid expansion through the reimbursement program to the hospitals.

Some of my colleagues in the Senate who have been philosophically opposed to the Affordable Care Act recognize that it is the law and believe we should put the law to work in order to benefit as many Virginians as possible. Enacting a market-based insurance plan to expand coverage to the uninsured is more fiscally prudent than doing nothing. A rejection of Marketplace Virginia is not a vote against the Affordable Care Act. At best it is a symbolic gesture, but the action will cost Virginians real tax dollars. The ongoing discussion about health care is at the heart of why a budget will likely not be agreed to on time.

Mental Health Policy Reform

There was some progress on my efforts to make changes in the mental health laws of Virginia. Mental health has always been an important issue to me throughout my legislative career. The community services boards, particularly Region Ten and Alleghany Highlands Community Services, have made great strides over the years in improving services, and the staff has kept me abreast of the needs in our communities. Family members of institutionalized loved ones have been vocal advocates about Virginia’s abysmal ranking for spending in these vital areas. Particularly after the tragedy at Virginia Tech in 2007, I have been involved in efforts to ensure that the laws will be responsive to the needs of all Virginians.

I did not ask to be more involved than that, but my circumstances have made it necessary for me to be more directly involved in reforming our mental health laws. To that end, I introduced a number of bills this year. I can report that my bills relating to crisis intervention are moving along. The legislation requiring the Department of Behavioral Health and Developmental Services to reexamine qualifications for intake agents and establish a data base for psychiatric beds is still under consideration in the House. Disagreement remains about how long we should extend the emergency custody order period. I am confident that we will have a satisfactory bill emerge from conference. Importantly, the study resolution that asks for a two- year comprehensive examination of the mental health system appears headed for passage. It has been amended to specifically include the effective re-institutionalization of those with mental illness in our jails and prisons. Needless to say, this study is the vehicle by which we hope to make significant long-term changes in the mental health system. I am convinced that through this work we can improve the quality of people’s lives for years to come.

It continues to be my pleasure and distinct honor to represent you in the Senate of Virginia. If I can be of service, do not hesitate to contact me at PO Box 396, Richmond, VA 23218, [email protected], or (804) 698-7525.

Session Newsletter (Feb 7, 2014)

February 8, 2014 by Creigh Deeds

The 2014 session rolls on, and we are nearing crossover. Crossover is the time when the Senate must complete work on bills introduced in the Senate, and the House must complete work on bills introduced in the House. It’s called the crossover because after it occurs, the bills cross over to the other house for consideration.

Virginia Budget Issues

Transportation

As usual, the budget is the major piece of work to be completed in this session of the General Assembly. In past years, transportation has been the topic at the top of the agenda. With the passage of the comprehensive transportation package last year, there are more arguments over spending priorities and how to balance the budget. With that said, the transportation plan last year has not raised nearly as much money as anticipated because last year’s numbers were built on the presumption that the price of gas would continue to rise. The good news for consumers is that the price of gas, though high, has remained fairly stable.

Expansion of Medicaid

Not surprisingly, the big issue this year with respect to the budget is the expansion of Medicaid. As outlined in this space a few weeks ago, I think expansion would be a good deal for Virginia. It would provide health care, including mental health service, to between 200,000 and 400,000 currently uninsured Virginians; and it would create a significant number of new jobs in Virginia. The federal government has committed to funding 100 percent of the cost of Medicaid expansion for the first three years and at least 90 percent in subsequent years. To me, it’s a no brainer: it is the right thing to do, and it makes good economic sense. A proposal to create a Virginia Marketplace to provide coverage for these individuals has been advanced in the Senate. The General Assembly is far from reaching a consensus on this issue, which risks tying up the budgetary process for a considerable period of time.

Contentious Legislative Proposals

A number of controversial topics have been debated this session that generated a lot of phone calls and emails. Among the most contentious measures are:

Sunday Hunting

This year a bill was fashioned by Senator Phillip Puckett and others to allow Sunday hunting on private property by the owner of the property or those to whom he gave permission. I have long resisted voting for Sunday hunting because I think there are things to do outside on a Sunday other than hunt. In Bath County, where I live, hunting remains a popular activity. In the fall, Sunday is the only day that you can participate in other outdoor recreation, like trail riding or hiking, without coming across hunters in the woods.

Boating on Non-Navigable Streams

Senator Dave Marsden introduced a bill this year granting anyone the right to float on a stream with a drainage area of at least seven square miles. The bill was framed somewhat innocuously but would have allowed, from my perspective, floating on just about every stream in Virginia. Because I was concerned that this approach would have negatively affected some people’s property rights and would have provoked confrontation, I voted no.

Death Penalty

Currently there is a bill pending from Senator Bill Carrico that would mandate execution by electrocution, a method that is optional under current law, if the chemicals for lethal injection are not available. Starting in 1994 Virginia joined the trend of performing executions by lethal injection. Today, some of the drugs that have been used to make the cocktail for the lethal injection are in short supply. I understand why Senator Carrico introduced the bill. However, there are only four states that currently allow the use of the electric chair. I am inclined not to support this legislation. I think we need to make sure that our statutes are constitutional, and I am concerned that this bill will actually weaken our death penalty statute.

Ethics Reform

The high profile case involving former Governor Bob McDonnell generated a great deal of interest and legislation pertaining to our ethics laws. The bill moving through the Senate would create the Virginia Conflict of Interest and Ethics Advisory Council, expand reporting requirements to include gifts to children, require semi-annual reporting of lobbyists and elected officials, and cap tangible gifts to legislators at $250, among other provisions. The bill is pending on the Senate floor as we debate amendments. While the bill does not go as far as some would like, the provisions are an improvement over current law.

Mental Health Policy Reform

A large portion of my work continues to be in the area of attempting to reform our mental health laws. Two of my proposals, Senate Bills 260 and 263, and legislation sponsored by others have been merged into one bill. The omnibus bill will require subjects be held up to 24 hours under an emergency custody order, create a database of available psychiatric beds, and ensure people in need of hospitalization cannot be “streeted” by establishing state hospitals as providers of last resort. That bill is currently on the floor of the Senate, and I expect to move it to the House by next week. The resolution creating a joint subcommittee to study mental health services passed the Senate and is pending in the House Committee on Rules.

The response to my legislative work on mental health has been overwhelming. People from throughout Virginia and the United States have shared their stories and reached out to me for help. Getting in touch with your elected officials and voicing your concerns is critical to effecting change. The Governor’s Task Force of Mental Health Services and Crisis Response will continue to meet throughout the year. You can submit public comment here.

It continues to be my distinct honor to serve you in the General Assembly. This will continue to be a busy session for me, and I look forward to your input throughout the process. Concerns, questions, or requests should be directed to my office at: PO Box 396, Richmond, VA 23218, [email protected], or (804) 698-7525.

Session Newsletter (Jan. 31, 2014)

January 31, 2014 by Creigh Deeds

This past week saw significant changes at the Virginia General Assembly. Nearly half way into the 2014 session two new senators were seated. Since both senators, Jennifer Wexton from Loudoun County and Lynwood Lewis from Accomack County, are Democrats, the balance of power shifted in the Senate of Virginia. With 20 Democrats and 20 Republicans, the balance of power tipped to the Democrats now that we have a Democratic Lieutenant Governor in Ralph Northam.

Twice before in Virginia’s recent history, the Senate was evenly divided. In January 1996 the parties agreed to a power sharing arrangement. The committee chairs and majorities were staggered, with both the Democrats and the Republicans having what amounted to an equal say in the business of the Senate. That precedent was not followed when the 2011 elections yielded a 20-20 tie. Rather, the Republicans seized power and, for the first time in the history of the Senate of Virginia, threw members off committees. You might recall that I lost assignments to both the Committee for Courts of Justice and the Committee on Commerce and Labor during that upheaval.

This year, the Democrats followed the precedent from 2012. The Lieutenant Governor broke the procedural ties, and Democrats have claimed majorities on all but two committees and each committee chairmanship.

The result of the transfer of power is that my committee assignments have changed again. I have served on the Transportation Committee of the Senate since 2002, under chairs Marty Williams, Yvonne Miller, and Steve Newman. Earlier this week I was elected chair of the Transportation Committee. The chairmanship will give me a significant voice in the establishment of transportation policy throughout the Commonwealth. I still just have one vote on the Committee, but I will have more control over which bills are heard and the order of business.

I also gained two committee assignments. As a committee chair, I have a seat on the Rules Committee. This committee has a significant role regarding the conduct of business in the Senate and considers a wide variety of issues that are raised primarily with resolutions. Significantly, I have been appointed to the Senate Finance Committee. Without question, this is the most important committee in the Senate because it handles the budget and all legislation with a fiscal impact. A majority of bills and public policy matters require funding, and sometimes bills pass but are ineffective because money is not attached. My vote on the Finance Committee will give me and my constituents a significant voice in the conduct of government in Virginia. This is my 23rd year in the General Assembly and the first time I have been appointed to a money committee.

The work of the Senate Finance Committee is divided up by topic matter into eight subcommittees. I have three subcommittee assignments in the Finance Committee. First, I serve on the Transportation Subcommittee due to my chairmanship of the Transportation Committee and my long standing interest in transportation policy. Specific construction projects are not usually funded by the General Assembly, rather decisions about which projects go forward are made at the local level through MPOs and by the Commonwealth Transportation Board. However, this assignment will give me and my constituents a significant role in determining which policy areas are funded and how we move forward, particularly in the areas of rail and air space, a growing area of economic importance for the Commonwealth.

My second new subcommittee assignment is for Economic Development and Natural Resources. This subcommittee is very important to me because of my long standing interest in conservation and state parks, and my interest and efforts in the area of economic development. Some may recall that I introduced the legislation back in 1996 that codified the Governor’s Opportunity Fund. Any number of economic development projects have been funded through budget amendments I have introduced over the years. Historically, Virginia ranks near the bottom of the 50 states in spending on natural resources and state parks. You can expect me to work to increase funding there and to make sure that our economic development dollars are spent wisely.

My final subcommittee assignment is to the Public Safety Subcommittee. This is the subcommittee that decides what criminal justice or corrections initiatives, whether advanced through the Courts of Justice Committee, or elsewhere, are worth funding. Difficult decisions are made here because many worthy bills pass, but fiscal constraints require us to set priorities. Without question this subcommittee will involve some of the toughest decisions I will have to make.

I suppose many people wished the power sharing precedent of 1996 was followed. In fact, that is the model that would probably produce more collegiality and a better work environment. However, after the events of 2012 when multiple senators were thrown off committees, and the blatant power grab allowed issues such as the invasive ultrasound bill to advance, it was impossible to follow the earlier precedent. I am confident that the Senate can move on and work toward the goals of the people of the Commonwealth of Virginia. We have vital work to do in the remaining five weeks.

A list of all of the bills I am working on this session is available here.

It continues to be my distinct honor to serve you in the General Assembly. This will be a busy session for me, and I look forward to your input throughout the process. Concerns, questions, or requests should be directed to my office at: PO Box 396, Richmond, VA 23218, [email protected], or (804) 698-7525.

Best,

Creigh