HomeMy Public PortalAboutLTC 072-2015 2015 Florida Legislative Session - Week 7 ReportSAL H OUR
F L O R I D A S n 1, A R A V I S E
OFFICE OF THE VILLAGE MANAGER
NO. 072-2015 LETTER TO COUNCIL
TO: Mayor Martin Packer and Members of the Village Council
FROM: Jorge M. Gonzalez, Village Manager
DATE: April 22, 2015 7V�
SUBJECT: 2015 Florida Legislative Session — Week 7 Report
The purpose of this Letter to Council (LTC) is to transmit the 2015 Florida Legislative
Session — Week 7 report for the week of April 13 thru April 17, 2015 provided by Ron L.
Book.
Please let me know if you need additional information.
Rudd L Book, R 0,
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2015 Session
Week 7 Report
BUDGET UPDATE: As reported over the last few weeks, both the House and Senate are in a complete
standoff regarding how to structure the entire budget. This means that every appropriations issue, every
request, and every budget line item, stands in an uncertain limbo. This standoff affects all budget
subcommittees within the overall budget, from education, to the natural resources budget, which includes
water projects, to transportation, economic development, judiciary, and health care. The Legislature is
now making the determination as to whether to adjourn without a budget, and when to call themselves
back into Session to resolve the enormous budget differences. At this point, late May and early June are
being discussed, however a time has not been set. There must be a budget in place, by July 1, which is the
beginning of the next State fiscal year.
To summarize, the Senate budget of $80.4 billion, includes $2.8 billion in federal aid, which would allow
the state to extend healthcare coverage to approximately 800,000 uninsured Floridians not eligible for the
state's Medicaid program. Also, the Senate has built into their budget, $2.3 in additional federal funds, to
assist hospitals in paying for indigent care, through the Low Income Pool (LIP) funding program.
The House leadership strongly disagrees with this policy decision, and has not made any provisions to do
the same. Therefore, the House budget totals $76.2 billion. In fact, while presenting the budget in the
House, in his closing speech, House Appropriations Chairman, Representative Corcoran made it
abundantly clear that the House will not be considering the expansion of Medicaid under any
circumstance.
This week, as some in the process pondered how to address the LIP funding issue without Medicaid
expansion, Florida received a letter from the Federal Department of Health and Human Services, Center
for Medicare and Medicaid Services, confirming that the extension of the LIP funding is conditioned
upon the state also going through with Medicaid expansion. As a result of this, the Governor has now
indicated that he will file a lawsuit against the Federal government as it is his administration's belief that
linking the two issues — one as a condition of the other — is not allowed. Suffice it to say, it remains to be
seen how the Legislature will resolve the health care issue.
LEGISLATIVE ISSUES: The legislature continues on with legislative issues and substantive bills.
Included in this report are issues that affect local governments and the action on these issues this week.
We will continue to keep you updated on issues as they move through the process. As bills continue to be
heard, we will add to our weekly reports. Should you have any questions regarding legislation or
legislative action, please do not hesitate to call or email us.
Harbour Centre 118851 N.E. 29th Ave., Ste. 1010 1 Aventura, FL 33180
Phone: 305.935.1866 1 Fax: 305.93S.9737
104 West Jefferson Street I Tallahassee, FL 32301
Phone: 850.224.34271 Fax 850.224.3361
Law Enforcement Body Cameras SB 248 was discussed on the Senate floor this week, and additional
amendments were adopted to protect both the public and the officers and provide reasonable exceptions to
the public records law. The bill is now on the third reading calendar and ready for a full Senate vote,
which will occur sometime next week. We are continuing to work with House leaders and other
stakeholder to ensure that the House takes up the bill. We are continuing to meet with the House Rules
Chairman to address any procedural issues.
Municipal Pension Reform SB 172 by Senators Bradley and Ring, was heard on second reading and
amended to mirror the House position in HB 341 by Representative Cummings, which is supported by the
Florida League of Cities, and both the Police and Fire unions. Senators Bradley and Ring reiterated that
this compromise is agreed to by all parties, including the police and fire unions, is beneficial to cities, and
is a product of a five year focus on pension reform. The Governor is favorably inclined to this position as
well.
The provisions of that amendment are as follows:
• Changes base premium revenues from the 1997 calendar year to the 2002 calendar year.
• Includes transparency provisions related to a local pension fund Board of Trustees, requiring
members to provide a detailed accounting reports of their expenses to the Department of
Management Services (DMS), and to make them available online, and would require them to
operate under an administrative expense budget.
• Revises how insurance premium tax revenues must be used, and amends the default formula for
the use of the insurance premium tax revenues if the parties cannot agree through mutual consent.
• Increases the minimum plan multiplier for pension plan benefits to 2.75 percent, rather than 2
percent, but provides exceptions.
• Naples letter For those cities who are operating under a Naples letter interpretation, this
interpretation will be grandfathered in for three years, starting on the effective date of the bill.
(July 1, 2015). Those cities who have contracts in place, would be able to finish that contract and
go back into collective bargaining with the possibility of extending these existing provisions, as
long as all sides agree.
Retirement HB 1279 by Representative Adkins revises Chapters 175 and 185, F.S., which provide
retirement system benefits for municipal firefighters and police officers. As you know, the Municipal
Firefighters' Pension Trust Fund and Police Officers' Pension Trust Fund are administered by a local
governing board of trustees that is created in participating cities and special fire control districts, and
subject to the regulatory oversight of the Division of Retirement.
During week 7, the bill was amended in State Affairs committee, and does the following
• Removes the term limit restriction for board members.
• Removes the restriction that prohibited the fifth member of the board from being a member,
retiree, beneficiary, or payee of the plan.
• Removes the requirement that the board provide a detailed accounting report of its expenses and
make the report available online.
• Removes the requirement that the board operate under an administrative expense budget.
• Removes the qualification requirements for a plan administrator, which required at a minimum a
specified degree and years of experience.
HB 1279 passed the State Affairs Committee, 11 — 6.
Publicly Funded Retirement Plans HB 1309 by Representative Drake requires local government
pension plans, when conducting the actuarial valuation of the plans, to use the mortality tables used in
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either of the two most recently published actuarial valuation reports of the Florida Retirement System,
including the projection scale for mortality improvement. It requires appropriate risk and collar
adjustments to be made based on plan demographics. The bill requires the tables to be used for
assumptions for preretirement and postretirement mortality. The bill also revises the mortality tables used
in the actuarial disclosures in financial statements submitted to the Department of Management Services.
Publicly Funded Retirement Plans SB 242 by Senator Brandes, is the companion to HB 1309, and has
passed the full Appropriations committee, 17 — 0. HB 1309 passed the full House, 78 — 30.
GAMING
Gaming SB 7088, a committee bill by Senate Regulated Industries, is the Senate version of the omnibus
gaming bill, and would do the following:
• Amends the existing Gaming Compact between the Seminole Tribe of Florida (Tribe) and the
State of Florida by extending the compact for 1 year. After that date, banked card games may no
longer be conducted by the Tribe without any time to phase the games out.
• Exempts slot machine gaming from the exclusive authorization granted to the Tribe at pari-
mutuel facilities in Palm Beach and Lee Counties. The Governor would be authorized and
directed to execute an amendment to the Gaming Compact as dictated in the bill.
• Decoupling related to greyhound permitholders, live racing would no longer be required in order
to conduct intertrack and simulcast wagering or to operate cardrooms. Tax credits are eliminated,
and the tax rate is reduced to 1.28 percent.
• If slot machine gaming is exempted from the Gaming Compact, pari-mutuel facilities in Palm
Beach and Lee Counties may apply for licensure as slot machine facilities. Revenue sharing with
the Tribe would be reduced by 90 percent of the revenue the State receives from the new slot
machine gaming, and 10 percent of the revenue would be transferred to thoroughbred tracks that
do not have slot machines for purses.
• Would require reporting of greyhound injuries to DBPR through a newly restructured reporting
program.
SB 7088 was not heard this week.
Gaming HB 1233 by Representative Young is the omnibus gaming bill that does the following:
• Permitting greyhound permitholders would be allowed to conduct pari-mutuel wagering,
cardrooms and slots without the requirement of live races (Decoupling)
• Revokes dormant permits based on a permitholders failure to conduct live races, obtain an
operating license, or failing to pay taxes on handle for a period of more than two years
• Prohibits the issuance of new or additional permits, and prohibits the conversion or relocation of
permits
• Prohibits the transfer of a pari-mutuel permit or license
• Limits the number of pari-mutuel wagering operating licenses to no more than 40
• Prohibits new summerjai alai permits
• Removes tax credits for greyhound permitholders and revises the tax on handle for live
greyhound racing and intertrack wagering from 5.5% to 1.28%
• Creates s. 550.2416, F.S., to require injuries to racing greyhounds to be reported to the Division
of Pari-mutuel Wagering in the Department of Business and Professional Regulation
• Requires greyhound permitholders to offer simulcast signals if offering intertrack wagering
• Revises the number of days from 15 to 8 that a limited thoroughbred horse sales permitholder is
required to offer sales in order to obtain a limited intertrack wagering license
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