From State Representative Glen Casada
The Tennessee General Assembly
House of Representatives
From State Representative Glen Casada
Greetings,
I am sending you the End of May newsletter on the happenings of the General Assembly. We are getting close to recessing for the year with most major legislation being either passed, defeated or deferred. The House and Senate do have the budget to deal with which I will address below. I hope to wrap up our business in the next two weeks and adjourn for the year. I had three bills that I passed this month; two dealt with workman’s compensation issues. Both of these bills will allow the small businessman to better deal with workman comp. issue in both injury dispute and the payment of those disputes. The third bill will help those who have disputes with our local water boards with the ability to appeal to a higher board other than the local water utility.
Final budget proposal unveiled for lawmakers
As we approach recess for the first legislative session of the 106th General Assembly, I have begun a thorough review of the budget. In a presentation to the House Republican Caucus on Wednesday, Department of Finance and Administration Commissioner Dave Goetz emphasized the increasingly dismal revenue numbers as a reason for the deep cuts presented in the new budget proposal.
Revenue continues to drop
Although the state’s revenue has been declining since the beginning of 2008, revenues for the last few months have been particularly low. The decline in sales tax revenue had been a fairly steady 6 percent until it accelerated last month and dropped to an approximate 10 percent decline. Making matters worse are declining revenues on big ticket items such as homes and cars.
Commissioner Goetz outlined that the technical corrections bill, which legislators have yet to see. It should produce roughly $63 million through closing tax “loopholes” and increasing a myriad of fees on various services and industries.
While the Administration is arguing that these increases will offset other cuts, I am concerned that some of the provisions are far-reaching, and some even place an increased burden on small businesses which are already facing difficulties with the struggling economy. I am committed to balancing the budget with no tax increases.
Reserves in good shape, stimulus money will plug holes
The state’s various reserves accounts are in good shape, with the state’s Rainy Day Fund standing at $750 million. The federal match for TennCare has also increased, freeing up more state dollars to be directed elsewhere. The Administration is proposing to use the stimulus funds to plug holes, but
concerns have been raised about that tactic. The stimulus is essentially one-time money but the Administration has proposed using some of it to fund recurring items in the budget, which I have expressed grave concerns to the Governor about doing.
Reductions
Overall, the budget as proposed reduces recurring state spending by roughly $240 million with $523 million in one-time expenditures from the federal bailout used to fill in other expected cuts. With the state facing at least a $1.2 billion shortfall, the difference will be made up by tapping into reserves.
Despite efforts to avoid lay-offs, the budget as proposed includes them. The Administration proposes laying off 717 current state employees and eliminating another 656 currently vacant positions. Employees will be offered a severance package, including 9 months healthcare coverage, and two years tuition to a state university.
The reduction in spending is needed to balance the state’s budget despite the influx of over $5 billion in federal stimulus funds over the next two years. Most of those funds are required to be spent for specific purposes like energy-saving initiatives, road construction and education, with only a small portion available to help economically distressed states meet their budget needs. Other stimulus funds have strings attached which require some states to spend additional money to access available stimulus dollars. The stimulus funds will dry up by 2011, making next year’s state budget even more challenging to meet recurring state government expenses.
The budget is typically among the last bills passed by the legislature before adjournment. The General Assembly will carefully review language in the amendment in the House Finance Ways and Means Committee next week and make any needed changes before the bill goes to the full body for final consideration.
Judicial selection process reformed, legislation passes Senate, House on Thursday
The House approved legislation Thursday, after a lengthy debate, that reforms the selection process for the state’s appellate and Tennessee Supreme Court judges. Legislators have debated the issue for nearly 16 weeks in the committee system, hearing testimony from dozens of attorneys, former judges, current judges, and scholars. The Judicial Selection Commission, a component of Tennessee’s current plan for appointing judges, is set to expire next month.
The bill, Senate Bill 1753, sets up a new nominating commission with fewer attorney members and less special interest input. Lawmakers indicated they would still pursue a separate measure that would call for a Constitutional Convention to let the people decide whether or not they want to elect the judges or opt to continue a system of nomination by a commission, followed by a retention vote from voters.
Tennessee’s Constitution says judges must be “elected by the qualified voters of the state.” The lengthy debate in the legislature has focused on whether or not the selection process with a retention vote meets that test, with detractors saying that it blatantly violates the constitution.
The legislation provides for a 17-member Judicial Nominating Commission that would have at least 10 attorney members. After being appointed through this process, the judges would stand for approval by the voters who could decide whether or not to "retain" or "replace" them, a move that proponents say is more clean than the current ‘yes’ or ‘no’ on the ballot regarding the retention of judges.
If voters decide to replace a judge, an interim judge would be appointed by the governor until the next election. At that point, the people could decide who would fill the slot through a popular election, which is the same process by which the state’s trial judges are currently selected.
The bill also bans lobbyists or employers of lobbyists from serving on the Nominating Commission. Finally, the legislation provides public access to every aspect of the nominating process, making the process more transparent than ever before.
This legislation is a step forward, but I have taken an oath to uphold the constitution and the constitution clearly states that judges shall be elected by the voters of this state, the same language that declares how the legislature is to be elected. I voted for the amendment that would have allowed for the election of Supreme Court judges. I then voted against the final bill, not because it was bad, but because it does not comply with our constitution. I was on the losing side on both of these votes and will now support the current method of how our judges will be selected.
Pro-life measure reaches House floor for first time;
106th General Assembly overwhelmingly approves
The State House of Representatives took action on Senate Joint Resolution 127 this week for the first time in the constitutional amendment’s long history. The proposal, which passed, aims to restore to the people of Tennessee their rightful authority to regulate abortion through their elected representatives, with an overwhelming 77-21 vote.
The Republican sponsor of the amendment said that, “There exists a powerful and pivotal passage in our state’s constitution which states that power is inherent in the people,” while calling for bipartisanship on the measure so that Tennesseans would get the opportunity to voice their opinion through the referendum process. House and Senate Republicans have worked for many years to see passage of the measure, and have now cleared the first hurdle in letting Tennesseans decide this matter once and for all, instead of activist courts.
The constitutional amendment is in response to the 2001 Tennessee Supreme Court decision in Planned Parenthood vs Sundquist, when the court created a right to unregulated abortion. The decision also prohibited the Tennessee legislature from enacting regulations governing abortions, arguably making Tennessee the most liberal state in the nation with regards to abortion laws.
The provision has never cleared the hurdle of the Public Health Subcommittee in the House. Republicans have fought since 2001 to pass SJR 127, believing Tennesseans should be allowed to weigh in on the issue. Republicans have argued that in the past, the initial vote of six in a subcommittee silenced six million Tennesseans.
The provision has already passed the Senate with a 24-8 vote. Because it has now passed the 106th General Assembly by a simple majority, it must pass the 107th General Assembly by two-thirds before appearing on the ballot in 2014.
GOP fights for public charter school legislation despite Democratic opposition
After weeks of debate in both the House K-12 Education Subcommittee and the full House Education Committee, Democrats locked down against the Republican-sponsored public charter school legislation that would have expanded educational opportunities for children across the state. President Obama and his secretary of education are now discussing the possibility to cut 100 million dollars from Tennessee’s education stimulus fund because of the actions of the House Democrats.
House Bill 2146, which has already passed the Senate, would expand public charter school enrollment to all “at-risk” students, giving more Tennessee students more educational opportunities than ever before. I am disappointed in the House Democrats for putting party politics over solid policy that would improve the lives of thousands of Tennessee students.
House Democrats admitted taking a caucus position against the legislation, essentially forcing Democratic members of the Education Committee to lock down against the bill. Republicans were disappointed, saying that the measure is needed now more than ever, and is particularly critical in urban parts of the state such Davidson County. The Republican sponsor pledged to work with her colleagues on the Education Committee to reach an accord so that the legislation could be brought up before session adjourns for the year.
Public charter schools are public schools that are given flexibility to operate without the constraints of some of the rules and regulations normally imposed on traditional schools. In exchange for this flexibility, they are held accountable for performance through a charter, which is an agreement between the local education agency (LEA) and the charter school. It requires a strenuous approval process by the LEA and an equally tough renewal process of the charter every five years. Tennessee has stringent accountability measures that ensure the schools are performing well.
Tennessee now has 16 public charter schools, with six more opening in the fall. The state currently has one of the most restrictive public charter school laws in the nation.
In case you missed it…
- A proposal that would allow Tennesseans to ship wine directly to their homes was passed by the House this week with a 78-17-3 vote, after months of negotiations. Specifically, House Bill 1155 stipulates that Tennessee consumers may purchase up to one case of wine per month, or no more than three per year, through direct shipment from a winery to their home. Upon delivery, proof of legal drinking age must be shown.
- Supporters also say the bill has the potential to bring a large amount of revenue to the state, and can also create jobs and spur entrepreneurship. Budget analysts say the legislation will bring in roughly $4.6 million in the revenue the first year, and almost $10 million in subsequent years. Local governments stand to receive between $1.1 and $2.2 million per year.
- Tennessee joined eight other states this year in moving forward with resolutions to declare sovereignty under the Ninth and Tenth Amendments to the United States Constitution. House Joint Resolution 108 will be presented on the House floor next week. If it passes, it must travel through the Senate before being sent to the Governor for consideration.
I appreciate your e mail and phone call communications and look forward to hearing from you on those issues that affect your business, family or our community.
If I can be of service, please contact me or my personal assistant, Carol Simpson, at 741-4389. I hope you find the newsletter useful.
Sincerely,
Glen Casada
State Representative Glen Casada
4893 Bethesda-Duplex Road
College Grove TN 37046
