04/08/19

 2019 Session: Week Five

The House and Senate approved their spending plans for the upcoming fiscal year shortly after passing the halfway point of the 2019 Legislative Session.
The Senate unanimously backed its $90.3 billion budget one day before the House approved its $89.9 billion spending plan with only a handful of “no” votes.
Lawmakers in both chambers will now begin conferencing, with the goal of sending an agreed-upon budget to Gov. Ron DeSantis before the planned May 3 end to the 2019 Legislative Session.
The Legislature is required to pass a budget each year to submit to the Governor.
Both budget chairs Sen. Rob Bradley and Rep. Travis Cummings appear confident they will be able to work through the $400 million difference between the spending plans.
But there are some stark discrepancies.
The House, for example, wants to sweep $200 million from the Sadowski Trust Fund, which sends dollars for affordable housing projects to local governments. The Senate, meanwhile, wants to fully fund the coffer.
The Senate has proposed a major increase — $1.1 billion — in funding for the Florida Education Finance Program, the primary operating pool for the state’s 67 school districts. The House’s proposed increase is about $520 million less.
The House has moved forward with a series of cuts that are not included in the Senate spending plan, including across-the-board reductions to health care services. It wants to cut by $39 million inpatient and outpatient Medicaid reimbursement rates. It also wants to cut $3.7 million in state spending on hospital exemption payments and reduce $1.9 million currently set aside for health care positions that have been vacant for more than 180 days.
Those cuts, along with a House plan to reduce university spending, are not included in the Senate budget.
As conferencing begins, expect to see compromises from both chambers on these issues. 
Priorities Take Shape
Senate President Bill Galvano and House Speaker José Oliva have bold goals this Session.
Now, they’re starting to see them move across chambers.
Galvano wants to pass legislation that would fund three major highway projects. Oliva wants to scale back health care regulations.
The Senate this week supported a somewhat-watered-down version of Oliva’s repeal (HB 21) of the state’s “certificate of need” (CON) process for health providers, which passed the House two weeks ago.
The Senate plan (SB 1256), which had previously been delayed, would eliminate CON for only new hospital construction.
Shortly before the Senate moved that bill, Galvano saw his transportation plan for three major highway projects surface in the House.
The proposal would require the Legislature to start saving money to extend the Tampa-area Suncoast Parkway to the Florida-Georgia line, connect the northern terminus of the Florida Turnpike to the Suncoast Parkway, and construct the Southwest-Central Florida Connector between Polk and Collier counties.
Oliva, who let the bill appear in identical language, said it was a “goodwill gesture.”
Oliva had signaled an apprehension to Galvano’s plan because it requires bonds to complete the pricey projects. He told reporters this week that he expects the issue of bonds to be an ongoing conversation.
“The real question is not whether we should bond or not,” Oliva said. “It’s how careful we should be when we consider doing bonding. And have we made every consideration about the current dollars we have right now.”
"Trade Secret" Bills on the Move
Bills that would establish a uniform public records exemption for “trade secrets” held by state entities appear to be gaining traction in the Legislature.
The Senate Commerce and Tourism Committee recently backed two related bills (SB 1414 and SB 1416) that would exempt from Florida’s broad public record laws information that holds economic value that is tied to nondisclosure of the information. One of the measures repeals most of the existing trade secret exemptions in current law, replacing it with more uniform language.
The legislation excludes from exemption certain financial details of contract agreements. The push for these measures comes several years after VISIT FLORIDA entered into a contract with the artist Pitbull to film a promotional video highlighting Florida beaches, but resisted efforts by the Legislature to discover details about the contract, claiming they were “trade secrets.”
The two Senate bills, sponsored by Sen. Joe Gruters, now head to Governmental Oversight and Accountability. 
Issue Roundup
  • Tax-cut plans are moving forward in the Legislature, with both chambers again considering tax “holidays.”

    The House Ways and Means Committee workshopped a $102.4 million tax-cut package that will be heard next week. It includes a three-day back-to-school sales tax “holiday” on clothes, school supplies, and computers and a seven-day tax “holiday“ on hurricane supplies. Notably, the plan would also cut the commercial lease tax from 5.7 percent to 5.35 percent.
A Senate panel backed a plan this week to exempt purchases of diapers and incontinence products from the state’s 6 percent sales tax. It also forwarded a bill providing a 10-day holiday period in early August in which sales taxes would be lifted on clothes, school supplies and electronics.
  • An annual push to pass a sweeping restriction on handheld communications could come closer to reality this year.
A House panel backed (HB 107), which would make texting behind the wheel a primary offense. That means officers would be able to pull over drivers if they are texting. It’s now ready for the House floor. A similar Senate bill (SB 76) has already passed three of its four planned committees.
  • A bill that would pave the way for autonomous vehicle use is ready for the House floor.
HB 311 cleared its last committee stop in the House this week. The legislation further clarifies, removes confusion for,  and expands the scope of autonomous vehicle use. A similar Senate bill (SB 932) is still in the committee process. 

Looking Ahead

The House has two planned sessions next week. The first is at 1:30 p.m. Wednesday. The chamber plans to meet again at the same time Thursday.
The House is expected to vote on dozens of bills, including SB 96, which would render targeting or killing a canine used in public safety functions a second-degree felony.
The Senate has just one session planned. That’s at 4 p.m. Thursday.
The Senate Judiciary Committee will meet at 4 p.m. Monday to consider implementing language (SB 7086) for Amendment 4, which restored voting rights to certain felons who’ve completed their sentences. 

Client Spotlight

Phil McDaniel, Co-Founder and CEO
My role at St. Augustine Distillery entails: As Co-Founder and CEO (Chief Excitement Officer) I have the privilege of working with our team members, suppliers, distributors, and retail partners to share our passion, spirits, and unique story. 
St. Augustine Distillery can help: Customers celebrate and enjoy life’s best moments while supporting arts and cultural programming in St. Augustine, the Nation’s Oldest City, allowing them to feel happy and feel good at the same time. 
Something you wish people knew about your job or St. Augustine Distillery that might not be obvious: Creating Florida bourbon is challenging. No company has successfully distilled, barreled, and aged bourbon previously. Excellent whiskey takes time, patience, and experimentation. Each year, we adapt to our year-round hot, humid climate. It will be decades before we can make fully informed decisions on our flavor profiles and production styles.
What excites you about going to work each day:  Being first and “writing the book” on making, branding, and selling Florida Bourbon and working every day with our amazing distillery team, Breakthru Beverage, and retail partners. Collectively, we are telling Florida’s story while re-shaping the marketplace as pioneers of the first generation of craft distillers since Prohibition. 

GRay Matters Video

2019 Session: Levy County School District Interview
In this week's GRay Matters, Kim McDougal interviews Levy County School District Board Member Christopher Cowart and Superintendent Jeffery Edison, discussing the District's education priorities for the 2019 Legislative Session. 
Check out our video series and stay informed throughout the 2019 Session.
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