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Legislative Newsletter
Key Vote on Transportation
Funding Plan Friday
For
the first time in 27
years,
the
Virginia General Assembly is on the cusp of reaching an elusive agreement on a
long-term transportation funding package. House and Senate negotiators have
agreed on a conference committee report that will generate approximately $880
million in statewide transportation funding by 2018. The comprehensive package
also includes a regional component that will allow Northern Virginia and Hampton
Roads to capture additional revenues for their traffic clogged
regions.
Major Statewide Provisions: ●Elimination of the state's current 17.5 cents-per-gallon gas tax ●A 3.5 percent tax on gas at the
wholesale level and a six percent tax on diesel. ●An increase of the titling tax
on ●A $100 fee on alternative fuel vehicles. ●Dedication of a substantial portion from future revenue generated from Internet sales pending Congressional approval of the Marketplace Equity Act. If the MEA is not passed, the revenue would be replaced by an additional 1.6 percent tax applied to the wholesale tax on gas. ●An increase in the amount of General Fund money dedicated to transportation from .50 percent to .67 percent.
On
Wednesday evening, Governor McDonnell issued a press release stating that
lawmakers have a collective opportunity to solve one of Virginia's "most
intractable and long-standing problems." See more here.
Significance:
This funding package will provide a dynamic, sustainable source of revenue that
will grow with the economy and inflation. In addition, this legislation will
provide over $500 million to eliminate the current practice of crossover or the
diversion of money for new construction to highway maintenance. Finally, this
legislation contains dedicated funding for the Mass Transit and Intercity Passenger Rail Fund that will support the
expansion of passenger rail from Lynchburg to Roanoke.
Action Alert Please contact your Delegate or Senator and urge them to support the conference committee report on HB2313.
Medicaid Reform
Timing is everything
As the General Assembly
session nears its scheduled Saturday adjournment, House and Senate budget
negotiators are continuing their efforts to reconcile competing positions on the
expansion and reform of the state's Medicaid program. The Governor re-entered
the fray on Wednesday with a letter reinforcing his conditions for expansion.
The Governor wrote:
"Please
understand that I cannot and will not support consideration of an expansion of
Medicaid in Virginia until major reforms are authorized and completed, and until
we receive guarantees that the federal government's promises to the states can
be kept without increasing the immoral national debt"
McDonnell's warning came after the Commonwealth received tentative federal
approval to move forward on a host of reforms to simplify the administration of
the program and to improve health care delivery. However, the letter from the
Centers for Medicare and Medicaid outlined areas that will require additional
negotiation. See
more here
House Republicans have
also urged caution, stating that they want to see what unfolds in Washington
over the next several months before approving expansion. The Senate position
couples expansion and reform, allowing the state to move forward with expansion
in 2014. In support of the Senate timetable, House Democrats repeatedly
referenced Republican Governor Rick Scott's recent decision to begin Medicaid
expansion in Florida.
See more here
Other Issues to Watch
Former
Delegate Woodrum Remembered
Texting Bills Head to Governor On
Tuesday, the Senate approved legislation (HB1907) that will elevate
texting-while-driving to a primary offense and dramatically increase the fines
on violators from $20 for a first offense and $50
for a second or subsequent offense to a fine of $250 for a first offense and
$500 for a second offense. The bill also creates a mandatory minimum fine of
$500 for those convicted of reckless driving if the person was shown to have
been texting at the time of the offense. The House is considering similar Senate
legislation (SB1222). Supporters point out that texting drivers
are 23 times more likely to be involved in accidents. The Governor has expressed
reservations about this legislation, stating that Virginia already has general
laws against reckless driving and improper driving and does not want to single
out particular conduct.
Senate Tables Procurement Notice Bill Meeting the same fate as
similar legislation in 2012, Delegate Ron Villanueva's (R-Virginia Beach) bill
(HB1823) to give local
governments the option to publish procurement notices on the Department of
General Services' central procurement website instead of of the newspaper was
defeated in the Senate Committee on General Laws & Technology. Villaneuva's
bill had the backing of several local governments and the McDonnell
Administration but was opposed by the Virginia Press Association and the
Virginia Coalition for Open Government.
Election 2013
New Poll Confirms Close
Race
According to a new Quinnipiac poll released Wednesday, the contest to succeed Governor McDonnell remains deadlocked with Terry McAuliffe and Ken Cuccinelli each receiving 38%. The poll also reveals that 21% of voters remain undecided. Lt. Governor Bill Bolling, who will announce his decision about pursuing an Independent bid for Governor, continues to lag behind at 13%. Should Bolling enter the race, McAuliffe edges slightly ahead of Cuccinelli, 34% to 31%See more here. Bolling Finding Independent Voice GOP Debate
On March
23rd, Republican candidates for Attorney General and Lt. Government will debate
at the Southwest Virginia Higher Education Center in Abingdon. Up first, AG
candidates Senator Mark Obenshain (Harrisonburg) and Delegate Rob Bell
(Charlottesville), followed by the seven GOP
candidates for Lt. Governor. The event will be streamed here.
Anxiety Mounting over the Sequester Earlier this week, Governor Bob McDonnell sent an urgent letter to President Obama requesting that immediate attention be given to address looming budget cuts or sequestration contained in the Budget Control Act of 2011. Describing the budget cuts as a 'haphazard idea and a 'blunt and unnecessary instrument,' Governor McDonnell outlined the negative impact that potential defense and other agency cuts would likely have on Virginia's economy. As the Governor points out in his letter, Virginia is particularly vulnerable to federal spending cuts: -Virginia
won 16% of all federal contracts in 2011.
-Virginia has 6% of all federal workers. -Virginia has 19 military establishments, 90 federal facilities, 550
federal government owned or leased properties, and 25,000 federal contractors.
Alternative Currency Bill Dispatched by Senate A House approved resolution (HJ590) that would establish a joint subcommittee to explore whether the Commonwealth should adopt a metallic-based monetary unit to serve as a contingency currency was rejected by voice vote the Senate on Tuesday. Delegate Bob Marshall (R-Prince William) submitted the resolution based on his growing concern that Virginia was not adequately prepared for a major financial meltdown caused by hyperinflation, cyber attacks, and/or potential mischief by the Federal Reserve. Noting her opposition to the bill, Senator Janet Howell (R-Fairfax) posed a pressing question: "Do we want to be ridiculed on Saturday Night Live again?"
Other Headlines U.S. Senate Retirements Approaching 40 Year High
Simpson-Bowles Release New Plan
Walmart's Warning on the Economy
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