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GOV. WOLF SIGNS FY 2019-2020 BUDGET
On June 28, Gov. Wolf signed HB 790, the commonwealth appropriations bill for FY 2019-2020, into law, following the Senate's approval by a 42-8 vote on June 27 and a 140-62 vote by the House on June 25. The legislation spends nearly $34 billion in state funds, representing an increase of about two percent over FY 2018-2019 spending, but less than the $34.1 billion budget proposed by the Governor in February.
Much of the increase is directed to educational line items, including $432 million in additional funding for basic education funding, $50 million for special education funding and $10 million for career and technical education. The final FY 2019-2020 budget also increases investment in agriculture by $19.5 million, coinciding with approval of a 13-bill state Farm Bill package that will assure the commonwealth's investments to preserve valuable farmland will be carried forward in the future and will take steps to protect water quality and mitigate the impacts of invasive species such as the spotted lanternfly.
Part of the General Fund budget is funded by transfers from environmental funds, including $16 million from the Environmental Stewardship Fund and $10 million from the Recycling Fund, the latter of which provides grants to local governments with recycling programs. The budget agreement also transfers the surplus general fund monies remaining from FY 2018-2019, estimated to be around $300 million, into the state's rainy day fund.
Additional budget details, including program narratives and a spreadsheet with a detailed analysis comparing line items in HB 790 to FY 2018-2019 allocations, are available at www.pacounties.org by clicking on Budget News under the Government Relations tab.
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LEGISLATION INCLUDES FUNDING FOR ELECTION EQUIPMENT; FATE UNCLEAR
As of 7 a.m. on July 5, it remained unclear whether Gov. Wolf would sign into law SB 48, which was amended by the General Assembly to provide for a $90 million bond issuance for county voting apparatus, as he continues to review other election reforms that were also included in the bill.
Under the language that was sent to the Governor's desk, counties would be eligible for 60% of the costs of their voting equipment, either as a reimbursement if equipment has been purchased, or as funding for a future purchase. In order to be eligible for the funds, counties would be required to certify that they have complied with existing provisions in the Election Code requiring identification of registered electors whose address may have changed or who have not appeared to vote for the prior five years.
Senate Bill 48 as originally introduced provided a process for decertification of voting systems by the Department of State (DOS), and the final bill would require DOS to submit a written plan to the legislature if the commonwealth intends to decertify voting equipment in 50% or more counties, including a plan for replacing the equipment and funding that replacement. The plan would then be reviewed by a legislative Voting System Decertification Commission.
In addition, the bill was amended during the legislative process to include changes to the dates for application, mailing and receipt of absentee ballots, to address issues created by changes in U.S. Postal Service delivery practices as well as pending litigation regarding the timeline, as well as a requirement for counties to keep a log of absentee ballots, including date of application, date mailed to the voter, date postmarked by the voter and date received by the county. Other amendments would reduce the number of ballots counties would be required to print, from 110 percent of the number of registered voters under current law to 110 percent of the highest number of ballots cast over the prior three cycles of the same election. This would subsequently reduce the wasted resources and unnecessary cost counties currently experience, particularly in municipal primaries and other lower-turnout elections.
The Governor's decision on signature is hinging primarily on an amendment to SB 48 that would eliminate the straight party ballot option. He has until July 7 to decide whether to sign SB 48 into law in its entirety, veto the bill in its entirety or allow it to become law without his signature
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MATP DELAY INCLUDED IN FINAL BUDGET AGREEMENT
Important language to delay the implementation of the Medical Assistance Transportation Program (MATP) brokerage model for 180 days was included in amendments to the Human Services Code under SB 695, now Act 19 of 2019.
As the FY 2018-2019 budget was being finalized last June, language was tucked into what became Act 40 of 2018 to require the Department of Human Services to seek federal approval to move MATP services to a statewide or regional full-risk brokerage model. Since Act 40 was signed into law, counties have raised numerous concerns about access, flexibility and a lack of understanding of local needs and resources, which could potentially increase costs long-term or hinder access by individuals who rely on the service.
Under Act 19, the Department of Human Services (DHS), Department of Aging and PennDOT are given 180 days to complete an analysis of current federal and state law and regulations, the effectiveness of the current MATP delivery, and a comparison to other states' models of delivering human services transportation. The analysis must also review the impact on consumers, the quality and availability of services and the positive and negative impacts of the current model versus a brokerage model. Several former CCAP members, including Rep. Jonathan Fritz (R-Wayne), were instrumental in assuring the delay and analysis were amended into SB 695.
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PROBATION, PAROLE SUBJECT OF SENATE HEARING
Franklin County commissioner Bob Thomas offered testimony on the importance of probation and parole reform before the Senate Judiciary Committee on June 26. His testimony was part of a two-day committee hearing on the issue, which also included judges, district attorneys, advocacy groups, the Pennsylvania Department of Corrections and other key courts and corrections stakeholders.
In particular, Thomas noted how probation cases have become more complex because of the increase in individuals with substance abuse disorders and serious mental illness. He observed that adult probation is also more frequently engaging in pre-trial services to provide supervision and guidance for addressing behavioral issues that are connected with the individual's involvement in the criminal justice system. He shared several ideas for reforms, as well as CCAP's support for the Justice Reinvestment Initiative 2, noting that savings from reforms would help address costs associated with the need for additional probation officers and other initiatives that can improve outcomes.
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911 REAUTHORIZATION SIGNED INTO LAW
Gov. Wolf has signed legislation that will reauthorize the state's 911 statute for another four and a half years.
Act 17 of 2019, previously SB 127, introduced by Sen. Mike Regan (R-Cumberland), also adds the State Fire Commissioner and the chair of the State Geospatial Coordinating Board as voting members of the 911 Board. It further requires counties to make reasonable efforts to ensure GIS information is available to support NextGen 911 delivery, and would permit PEMA to use discretionary funds under the law to purchase a statewide system to allow individuals to have their disabilities associated with a phone number, so a 911 operator would have access to that information during a call. The bill mirrors language in HB 859, offered by Rep. Stephen Barrar (R-Delaware), and CCAP thanks these chairs of their respective Veterans Affairs and Emergency Preparedness committees for their efforts in supporting the reauthorization through the legislative process.
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IMPACT FEE DISTRIBUTIONS ANNOUNCED
More than $250 million in impact fee revenues will be distributed this year, according to the state's Public Utility Commission. Almost $243 million of this is attributed to 2018 collections from natural gas producers, which is approximately $33.4 million more than the prior year, owing largely to an increase in the number of wells paying impact fees in 2018. Another $8.9 million is being distributed to counties and municipalities where producer payments had been withheld during pending litigation concerning the definition of a "stripper well," which has now been resolved.
Under the Act 13 distribution formula, counties with spud wells will receive $48.6 million this year, while all 67 counties will share about $14 million in Legacy Fund monies for open space purposes and about $58 million in funding for at-risk bridges. Additional details about the distributions can be found on CCAP's Shale Gas/Act 13 web page.
In addition, the state's Independent Fiscal Office (IFO) has released its outlook for 2019 impact fees, which will be distributed in 2020. Assuming a moderate decline in new wells spud in 2019, the IFO estimated that total fees could be as much as $9.6 million higher than this year, or as much as $37.1 million lower, depending on the price of natural gas, which informs the fee level each year.
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VOTING MATTERS
In mid-July, each CCAP member will be emailed a voting matters packet with items to be considered at the Tuesday business meeting of the upcoming CCAP Annual Conference at the Doubletree by Hilton and Santander Arena in Berks County. The agenda packet will include proposed policy resolutions, along with information on officer elections and site selection for the 2024 Annual Conference. The resolutions will be deliberated during the conference and then submitted by electronic ballot to the full CCAP membership within 10 days of the conclusion of the Conference for final adoption.
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