Gold Dome Report - February 2018 #6

Nelson Mullins Riley & Scarborough LLP

Lawmakers hit the ground running today with Legislative Day 19, riding on good news on tax revenues that emerged late last week. On Friday, Governor Deal announced that the state’s tax revenues for the month of January were up 16.7 percent compared to last year. Revenues for January totaled nearly $2.57 billion, for an increase of $368.2 million compared to last year. Year-to-date, net tax collections total $13.87 billion, for an increase of $812.9 million, or 6.2 percent, over January 2017. This bright update should help ease budget writers’ minds as they work to develop a balanced budget for the new fiscal year beginning July 1, 2018.

Each chamber considered several propositions today, and House and Senate committees wasted no time getting back to work. Find all the details in today’s edition of the Gold Dome Report

In this Report:

  • House Adopts Three Insurance Bills
  • Committee Reports
  • New Legislation
  • Rules Calendars for Legislative Day 20

House Adopts Three Insurance Bills

Among the six bills considered by Representatives on the House floor today were three propositions emerging from the House Insurance Committee:

  • HB 592, authored by Rep. Eddie Lumsden (R-Armuchee), amends Title 33 to remove the sunset provision in the insurer self-evaluative privilege created by HB 162 in 2015. The original legislation included a sunset to allow the Insurance Commissioner to evaluate the self-evaluation process, which the Commissioner’s Office has now done and found to be favorable. The House adopted the bill by a vote of 159 to 1.
  • HB 678, authored by Rep. Richard Smith (R-Columbus), attempts to address “surprise billing” by providing transparency for healthcare consumers and a procedure to resolve payment disputes. The bill allows a patient to ask a health care organization and be informed of the providers participating in a scheduled procedure, whether those providers are in the patient’s insurer’s network, and the associated fees and insurance payments expected. However, if an out-of-network provider becomes necessary in a procedure, the legislation requires the organization to bill the provider’s fees within 90 days and resolve any payment dispute within 90 days and allows for arbitration managed by the Department of Insurance to resolve the dispute. The House adopted the bill by a vote of 164 to 1.
  • HB 734, authored by Rep. Richard Smith (R-Columbus), updates, modernizes, and corrects Georgia’s insurance code in Title 33. The legislation does not change the substance of the law and is a “bill about nothing”, according to Chairman Smith. The House adopted the bill by a vote of 162 to 0.

Committee Reports

House Insurance Committee – Life & Health Subcommittee

The Life & Health Subcommittee of the House Insurance Committee, chaired by Rep. Darlene Taylor (R-Thomasville) met today and considered three bills:

  • HB 519, authored by Rep. Sharon Cooper (R-Marietta), requires health benefit plans to utilize certain clinical review criteria to establish step therapy protocols for prescription drugs. The bill also creates four exceptions to override step therapy protocols, allowing an override of a protocol where (1) a drug is contraindicative or may do harm to the patient, (2) a drug in the protocol is expected to be ineffective, (3) the patient has already failed on a specific drug in the protocol, or (4) the patient is on a drug that is already working. Rep. Cooper noted that 16 states have adopted similar legislation, and although this proposal is substantially pared down, it sends a message. Several individuals and organizations spoke in favor of the bill including Rep. Kim Schofield (D-Atlanta), who has lupus, and representatives from the National Multiple Sclerosis Society, Georgia Asthma Coalition, the Medical Association of Georgia, and the Georgia Pharmacy Association. As the current proposal does not cover Medicaid, Chairman Taylor requested a fiscal note that includes Medicaid. The Subcommittee took no action on the bill today pending receipt of that additional information.
  • HB 689, authored by Rep. Rick Williams (R-Milledgeville), makes provisions for payment of funeral expenses for an intestate decedent who has bank assets or life insurance proceeds. The Subcommittee recommended the bill DO PASS and move on to the full Insurance Committee without debate.
  • HB 799, also authored by Rep. Sharon Cooper (R-Marietta), requires a hospital that treats an out-of-network patient for emergency care contact the patient’s insurer once the patient is stabilized if the patient requires post-stabilization care. The bill then requires the insurer to arrange for transfer of the patent to an in-network hospital or negotiate with the treating hospital to continue care and removes patient liability for balance billing. The proposal is intended to provide for continuity of care for patients and mitigate excessive billing to the patient. Kirk McGhee of Kaiser Permanente spoke to the purpose of the bill. The Georgia Hospital Association and two of its member hospitals expressed concern for the bill as drafted. As those entities had not reached out to the author prior to the meeting, Rep. Cooper suggested that the meet before further action was taken. The Subcommittee therefore reserved action on the bill.

Senate Education and Youth Committee

The Senate Education and Youth Committee, chaired by Sen. Lindsey Tippins (R-Marietta), met and heard four bills today:

  • HB 273, authored by Rep. Demetrius Douglas (D-Stockbridge), requires public elementary schools schedule daily recess for students in kindergarten and grades one through five with a recommendation of at least 30 minutes per day. The bill passed through the Committee last year but did not emerge from the Rules Committee. The Committee recommended the bill DO PASS and return to the Rules Committee.
  • SB 97, authored by Sen. Elena Parent (D-Atlanta), expands child care subsidies for parents participating in a job training or educational program from one year to two years. The Committee took no action on the bill.
  • SB 235, authored by Sen. Donzella James (D-Atlanta), is the Deantre Gregory Turman Act and encourages that youth athletes participating in gridiron football be equipped with and wear a helmet which has at least a four-star rating on the Virginia Tech Helmet Ratings scale at the time of its use. The bill passed through the Committee last year but did not emerge from the Rules Committee. The Committee recommended the bill DO PASS and return to the Rules Committee.
  • SB 401, authored by Sen. Lindsey Tippins (R-Marietta), relates to individual graduation plans and requires that eighth grade students be counseled on career aptitudes and interests and that those aptitudes and interest be incorporated in their graduation plans and consulted when scheduling ninth grade classes. The legislation also requires the Department of Education to review school counselors’ role, workload, and program service delivery in grades six through twelve. The Committee reserved action on the bill until its next meeting.

House Education Committee – Academic Achievement Subcommittee

The Academic Achievement Subcommittee of the House Education Committee, chaired by Rep. Joyce Chandler (R-Grayson), considered two propositions today:

  • HB 801, authored by Rep. Scott Hilton (R-Peachtree Corners), allows for special funds to be used to help educate special needs students. Dubbed the “Georgia Individualized Education Account Act”, the legislation allows for special funds be provided to families with special needs students when they are no longer able to attend public school. The bill goes into detail about what the funds can be used for, including payment for necessary equipment, private school or additional training, such as speech therapy. In addition, the bill provides for the collection of data to aid in evaluation of the program. Rep. Tommy Benton (R-Jefferson) had several questions on how the money would be monitored in order to ensure they are being properly used. Rep. Bee Nguyen (D-Atlanta), also asked if there would be yearly reports from the parents to show how the funds are being used and/or the amount of rollover funds. Public testimony was received, with several parents with special needs children noting that there is a great need for these grants.  They also noted that when these students are provided early on with these services, they are much more likely to excel in their lifetime and cost less in healthcare bills to the state. One mother from Florida noted that they are required to turn in an explanation of how everything she buys with her funding is educationally appropriate. Noting that this was just a hearing, the Subcommittee took no action on this bill.
  • HR 1017, authored by Rep. John Corbett (R-Lake Park), encourages all schools, local educational agencies and the state educational agency to recognize that dyslexia has a profound educational impact and should be addressed.  Committee unanimously voted DO PASS.

House Ways and Means – Tax Reform Subcommittee

The Tax Reform Subcommittee of the House Ways and Means Committee, chaired by Rep. Paul Battles (R-Cartersville), heard discussion on three bills. No action was taken on any of the bills.

  • HB 482, authored by Wes Cantrell (R-Woodstock), and called the “Georgia Educational Scholarship Act,” provides for the establishment of educational scholarship accounts.  This bill sets up the standards by which the students would qualify for these scholarships and establishes a Parent Review Committee to review expenditures upon request.  It also provides for the annual testing of students and creates an annual report.
  • HB 731, authored by Debbie Buckner (D-Junction City), removes sales and use tax on feminine hygiene products.  This bill would qualify feminine hygiene products as medical necessities and exempt them from this tax.  A slightly heated discussion was held on whether or not a specific policy had been set previously regarding taxes on these particular products.  However, it was decided that since women would not have been members of the Legislature at that time, no such discussion was held.
  • HB 796, authored by John Corbett (R-Lake Park), renews a sales and use tax holiday for school supplies.  The author noted that Georgia is losing revenue as Georgians living in counties that border other states drive across state lines in order to buy school supplies during the neighboring states’ tax holidays.   The Committee discussed that this holiday should occur right before the school year begins.  The Committee is still waiting on actuary.  A representative of the Georgia Retail Association spoke in favor of the bill noting that the typical Georgia family spends around $634 on clothing and supplies for each child at the beginning of the school year.

House Judiciary – Fleming Subcommittee

The Fleming Subcommittee of the House Judiciary (Civil) Committee, chaired by Rep. Barry Fleming (R-Harlem), heard one bill today. HB 790, authored by Rep. Chuck Efstration (R-Dacula), revises Code Section 50-13-41 with the recommendations of the Court Reform Council to improve efficiencies.  Specifically, it provides administrative law judges with the authority to issue final decisions, requires agencies to forward a request for a hearing to the Office of State Administrative Hearings within 30 days, and provides administrative law judges with the power to enforce subpoenas and sanction parties.  This bill is the result of a study council that included, among others, two superior court judges. Rep. Fleming was the only Subcommittee member present for the hearing, and he passed the bill onto the full Committee. 

New Legislation

The following propositions were introduced in the House:

  • HB 875 – Rep. Debbie Buckner (D-Junction City) proposed this bill which seeks to add a new Code Section in the Insurance Code at O.C.G.A. § 33-24-59.23 to require coverage by health benefit plans of a service or procedure performed by a health care provider that is assigned a CPT (current procedural terminology code for use in reporting medical services and procedures performed by health care providers) that is a covered service or procedure under Medicaid or Medicare or both. The bill was referred to the Insurance Committee.
  • HB 877 – Rep. Chad Nimmer (R-Blackshear) authored this legislation which would amend O.C.G.A. § 48-11-2 and add a new subsection (d.1).  This relates to taxes on tobacco products and proposes to lessen the tax rate on modified risk tobacco products by 50 percent which are included in such modified risk tobacco product order issued by the secretary of the United States Department of Health and Human Services pursuant to 21 U.S.C. Section 387k(g)(1) or by 25 percent for any product included in a modified risk tobacco order issued by the secretary of the United States Department of Health and Human Services pursuant to 21 U.S.C. Section 387k(g)(2). The bill was referred to the Ways and Means Committee.
  • HB 878 – Rep. David Clark (R-Buford) offered this measure amending O.C.G.A. § 33-24-44.1, concerning insurance cancellations by an insured and notice requirements.  The legislation proposes that an insured may request cancellation of an existing policy by returning the original policy to the insurer or by making a request for cancellation (no longer just by writing) of an insurance policy to the insurer or its duly authorized agent either orally, electronically or in writing stating a future date on which the policy is to be canceled.  The insurer, or authorized agent, may require the insured provide written or electronic verification of the request for cancellation prior to the cancellation takes effect.  Further, if only the interest of the insured is affected, the policy is to be canceled on the later of the date the returned policy or request is received by the insurer or its duly authorized agent or the date specified in the request; provided, however, that upon request of a request for cancellation from an insured, an insurer may waive the future date requirement by confirming the date and time of cancellation to the insured and the insurer is required to document in its policy file the request for cancellation along with the date of the requested cancellation. The bill was referred to the Insurance Committee.
  • HB 882 – Rep. Wes Cantrell (R-Woodstock) proposed this legislation which seeks to amend O.C.G.A. § 16-12-141 so as to add a new subsection (e).  The underlying Code Section addresses restrictions on the performance of abortions and availability of records.  This addition seeks to provide for a private right of action for mothers upon whom abortions are performed in violation of existing law; a private right of action for wrongful death on behalf of an unborn child where the abortion was performed in violation of existing law; and a prohibition of a contractual waiver with an abortion provider. The bill was referred to the Judiciary Committee.
  • HB 883 – Rep. Megan Hanson (R-Atlanta) authored this legislation seeking to amend O.C.G.A. § 19-13-3, relating to filings of petitions seeking relief from family violence, granting of temporary relief ex parte, hearing, dismissal of petition upon failure to hold hearing and procedural advice for victims.  It would clarify matters concerning the effect of a temporary ex parte order and the length of time it is effective (remaining in effect until the court issues an order dismissing such order or a hearing (which is to be held no more than 45 days after the petition is filed), whichever occurs first). The bill was referred to the Judiciary Committee.
  • HB 886 – Rep. Sam Watson (R-Moultrie) authored this bill which proposes to amend O.C.G.A. § 48-8-3.3, regarding State sales and use taxes.  It proposes to provide for the cooperation of the Department of Revenue and Department of Agriculture in the administration and enforcement of the State sales and use tax exemption for agricultural machinery and equipment.  It also proposes, in part, to increase the qualifying amounts for the agricultural exemption – it is now $2,500.00 or more of agricultural products produced and sold during the year (this will increase such to $7,500.00 per year).  It also adds that if an applicant does not file any of the forms provided for but claims eligibility for this exemption certificate, then the applicant is required to provide to the Commissioner of Agriculture any documentation, tax returns, forms, or sales receipts required by the Commissioner of Agriculture and the Commissioner, in his or her discretion, will determine if the applicant has met the eligibility requirements in making a determination of whether to issue or deny the issuance of the certificate.
  • HB 887 – Rep. Jay Powell (R-Camilla) offered this legislation which stems from discussions held by the House Rural Development Council over the course of last summer.  The legislation addresses ways to facilitate and incentivize adequate and expanded broadband and other communication services in Georgia.  In part it authorizes municipal corporations to provide for broadband services.  The legislation makes changes in Titles 36, 38, 46, 48 and 50. The bill was referred to the Ways and Means Committee.
  • HB 888 – Rep. David Knight (R-Griffin) introduced this legislation which amends Chapter 5 of Title 48 regarding exemptions from property tax.  It changes reporting requirements relating to freeport exemptions. The bill was referred to the Ways and Means Committee.
  • HB 891 – Rep. Carl Gilliard (D-Garden City) proposed this initiative which would establish a new Code Section at O.C.G.A. § 30-4-5, concerning the rights of persons with disabilities, so as to provide that blind persons shall not be discriminated against by the courts, Department of Human Services or a child placing agency in matters relating to child custody, guardianship, visitation, placement, or adoption. The bill was referred to the Judiciary Committee.
  • HB 894 – Rep. Todd Jones (R-South Forsyth) authored this legislation addressing charter schools in Title 20.  It seeks to provide that State charter schools may receive services from regional educational service agencies; it revises the funding for State chartered special schools and State charter schools; provide for initial funding for charter schools with projected student growth exceeding two percent; and provide for initial funding for training and experience.  In particular, it amends O.C.G.A. § 20-2-2068.1(d) moving away from the calculation for charter schools funding based on the lowest five school systems ranked by assessed valuation per weighted full-time equivalent count as determined by the Department of Education.  It proposes that it would be the statewide average amount of the total revenues less federal revenues less State revenues other than equalization grants per full-time equivalent for all school systems; provided however, that, if more than 25 percent of the students enrolled in a State chartered special school not offering virtual instruction reside in local school systems where the total State and local funding per student is greater than 25 percent above the statewide average of State and local funding per student, the per student funding for those students pursuant to the (d)(1)(B) is to be equal to the local funding per student in the local school system in which those students reside, but in no event is to total State and local funding per student for the State chartered special school exceed 125 percent of the statewide average of State and local funding per student. The bill was referred to the Education Committee.
  • HB 895 – Rep. Sharon Cooper (R-Marietta) proposed this bill which seeks to add a new Code Section at O.C.G.A. § 16-13-30.7.  It would make it illegal for “any person knowingly or willfully to sell or trade a finished drug product containing any quantity of dextromethorphan to a minor; and it would make it illegal for any minor to purchase a finished drug product containing any quantity of dextromethorphan.  Violators would receive a warning letter from the Department of Public Health for the first violation and/or be subject to civil monetary penalties issued by the Department of Public Health. The bill was referred to the Health and Human Services Committee.
  • HB 896 – Rep. Chuck Efstration (R-Dacula) offered this which proposes changes in Title 29 concerning guardians and conservators of adults.  It proposes to recognize provisions of the Uniform Adult Guardianship and Conservatorship Proceedings Jurisdiction Act in connection with the appointment of a guardian or conservator of adults and the jurisdiction for such petition (what is otherwise proper in O.C.G.A. § 29-11-12).  It also changes provisions relating to the termination of an emergency guardianship. The bill was referred to the Judiciary  Committee.
  • HB 897 – Rep. Chuck Efstration (R-Dacula) authored this legislation which relates to the “Uniform Power of Attorney Act” in Chapter 6B of Title 10.  Among the revisions include:

    • Addition of definition for term ‘gift’ at O.C.G.A. § 10-6B-2(3.1) which is a “transfer of property for less than adequate consideration in money or money’s worth that is not a renunciation within the meaning of the Code Section 53-1-20”
    • Changes to applicability and exclusions in O.C.G.A. § 10-6B-3 and when Chapter 6B does not apply to certain powers of attorney (e.g. any delegation of voting, management, or similar rights related to the governance or administration of an entity or business, including, but not limited to, delegation of voting or management rights and powers of attorney that only grant authority with respect to a single transaction or series of related transactions involving real estate)
    • Execution of a power of attorney in O.C.G.A. § 10-6B-5 (e.g. requiring that such be attested in the presence of the principal by a competent witness who is not also named as an agent in the power of attorney being attested)
    • Changes pertaining to nomination of a conservator and the relationship of the agent to a court-appointed fiduciary in O.C.G.A. § 10-6B-8 and adding (d) which states that “a finding by a court that a principal is incapacitated for purposes of this chapter shall neither constitute a determination or create a presumption regarding such principal’s need for a guardian or conservator in Title 29”
    • Changes to termination of power of attorney in O.C.G.A. § 10-6B-10 (at (a)(3) it permits the principal to revoke the power of attorney and no longer requires that notice be provided and filed with the superior court in the county of domicile of the principal; also at (b)(2), it deletes under agent’s authority termination so such occurs when the principal revokes the agent’s authority (again taking out a notice requirement); and at (g) adds that nothing, however, prevents a principal from filing such notice with the court)

The bill was referred to the Judiciary Committee.

  • HR 1091 – Rep. Deborah Gonzalez (D-Athens) proposed this Resolution to create a House Study Committee on an Athens-Atlanta Transportation Link.  Such Study Committee would look at options for commuters between Atlanta and Athens; look at rail line; look at adequate funding and issues relating to acquisitions of right of way; and other related areas.   This Committee would be composed of five members from the House of Representatives and would be abolished, if created, on December 1, 2018. The resolution was referred to the Transportation Committee.
  • HR 1102 – Rep. Sam Park (D-Lawrenceville) proposed this Resolution which seeks to create the House Study Committee on Increasing Access to Pre-K and After-School Programs.  The Study, as proposed, would be composed of seven House Members and would stand abolished on December 1, 2018. The resolution was referred to the Special Rules Committee.

The following propositions were introduced in the Senate:

  • SB 396 – Sen. David Shafer (R-Duluth) authored this initiative which would amend O.C.G.A. § 46-5-30, concerning the telephone system for the physically impaired.  It would alter provisions relating to the establishment, administration, and operation of the statewide dual party relay service and audible universal information access service.  It adds that the Commission’s distribution of telecommunications equipment, which it oversees, may be include wireless devices and applications in subsection (f) of this Code Section. The bill was referred to the Regulated Industries and Utilities Committee.
  • SB 406 – Sen. Brian Strickland (R-McDonough), along with others in the Governor’s Office, proposed this legislation which seeks a number of changes in Titles 31 and 49.  It proposes to enact the “Georgia Long-Term Care Background Check Program.”  Such checks will be required by personal care homes, assisted living communities, private home care providers, home health agencies, hospices, nursing homes, skilled nursing facilities, intermediate care homes, and adult day care facilities. It would require a registry check of an owner, applicant or employee to be conducted prior to a criminal background check to be done by the facility (including a look at registry in another state where the applicant may have resided); and a query of available information maintained by the Georgia Composite Medical Board, Secretary of State or other applicable licensing boards to validate an individual’s professional license is in good standing. It requires that accompanying any application for a new license, the candidate facility is required to furnish to the Department of Community Health a records check application for each owner, and each applicant and employee.  It does provide for the submission of a records check clearance if no more than 12 months old may be provided as evidence of such records check application.  It requires that on or before January 1, 2021 each owner and employee of a currently licensed facility is required to furnish to the Department a records check application (or evidence that it received within the 12 months preceding a satisfactory determination for each owner and employee).  It requires that GCIC promptly transmit the fingerprints submitted with an application to the Federal Bureau of Investigation for a search of its records and those it has access to. An applicant seeking employment with a facility or a current employee of such facility is required to consent to a national and a State background check which includes a registry check; a check of information maintained by a professional licensing board, if applicable; and a criminal background check. There are prohibitions of employment outlined in the legislation.  Facilities are to maintain personnel files on each employee which are to be made available for inspection by appropriate enforcement authorities. The legislation also contemplates instances where abuse may be involved and how additional background checks may be required. It also outlines that if a facility does not terminate an employee found to have an unsatisfactory determination or failed a registry check is liable for a civil monetary penalty in the amount of the lesser of $10,000.00 or $500.00 for each day that a violation occurs – such applies and is to be imposed from the time the facility knew or should have known that it employed an individual with a criminal record and until the individual is terminated.  It prohibits anyone owning a facility who has a criminal record or whose name appears on a registry check from operating or holding a license; further, the Department is to revoke the license of such owner. The initiative also permits the Department to establish and maintain a caregiver registry so as to provide such employers with access to employment eligibility determinations conducted by the Department in a similar manner as licensed facilities. The bill was referred to the Public Safety Committee.
  • SB 407 – Sen. Brian Strickland (R-McDonough) authored this initiative on behalf of the Governor.  It proposes comprehensive reforms for offenders entering, proceeding through, and leaving the criminal justice system to promote an offender’s successful reentry into society, benefit the public, and enact reforms recommended from the Georgia Council on Criminal Justice Reform.   Amendments are made in Titles 16, 17, 24, 31, 35, 40, 42, 43, and 49. The bill was referred to the Judiciary Committee.
  • SB 408 – Sen. Lester Jackson (D-Savannah) introduced this legislation which seeks to add a new Code Section at O.C.G.A. § 35-1-22, requiring that a mental or behavioral health professional be present at any law enforcement officer’s interview of an individual with autism or an autism spectrum disorder upon the request of the individual, or his or her parent or legal guardian. The bill was referred to the Public Safety   Committee.
  • SR 727 – Sen. Lindsey Tippins (R-Marietta) authored this Resolution which recognizes October 1-5, 2018 as Georgia Pre-K Week.

Rules Calendars for Legislative Day 20

The House will take up seven bills tomorrow:

  • HB 79 -- Law enforcement; retaining license plate data obtained from automated license plate recognition systems beyond certain periods; prohibit
  • HB 654 -- Child support; reforms recommended by the Ga. Child Support Commission; enact
  • HB 665 -- Abandoned vessels; revise notice requirements; provisions
  • HB 668 -- Guardian and ward; petitions for appointment of a guardian under certain circumstances; provisions
  • HB 751 -- Georgia Emergency Communications Authority Act; enact
  • HB 757 -- Local government; regulatory powers of cities and counties with certificate of public necessity and convenience; provisions
  • HR 943 -- Joint Georgia-North Carolina and Georgia-Tennessee Boundary Line Commission; create

The Senate will take up four bills on Tuesday:

  • SB 17 -- Alcoholic Beverages; provide governing authorities of counties in which the sale for consumption is lawful; authorize certain time on Sundays
  • SB 332 -- Department of Natural Resources; hunter mentor program; provide
  • SB 342 -- Licensing of Motor Vehicles; owner with valid license plate without the required revalidation decal to retain custody of vehicle under certain conditions; permit
  • SB 378 -- "Georgia Measuring Success Act"

 

DISCLAIMER: Because of the generality of this update, the information provided herein may not be applicable in all situations and should not be acted upon without specific legal advice based on particular situations.

© Nelson Mullins Riley & Scarborough LLP | Attorney Advertising

Written by:

Nelson Mullins Riley & Scarborough LLP
Contact
more
less

Nelson Mullins Riley & Scarborough LLP on:

Reporters on Deadline

"My best business intelligence, in one easy email…"

Your first step to building a free, personalized, morning email brief covering pertinent authors and topics on JD Supra:
*By using the service, you signify your acceptance of JD Supra's Privacy Policy.
Custom Email Digest
- hide
- hide