A relatively quiet Committee Work Day erupted with activity late this afternoon as the Conference Committee on the FY 2020 Budget announced a compromise spending proposal. Details are still limited at our deadline, but it appears that the package includes a complete $3,000 salary increase for certified educators starting July 1, 2019, as well as increased funding for CTAE equipment grants. While the Conference Committee met, the House Rules Committee convened for a rare standing committee meeting to hear public testimony on SB 131, Sen. Burt Jones’s (R-Jackson) proposition to transfer control of Hartsfield Jackson Atlanta International Airport from the City of Atlanta to the State of Georgia. This afternoon’s meetings were likely the first of many surprises to come in the sprint toward adjournment Sine Die on Tuesday. Keep track of the fast-moving action with the #GoldDomeReport.

In this Report:

• Budget Conference Committee Reaches Agreement
• Committee Updates
• New Legislation
• Rules Calendars for Legislative Day 38

Budget Conference Committee Reaches Agreement

Amid smiles by all Conferees, the Conference Committee on the FY 2020 Budget reached agreement late today on a compromise spending package and signed off of on that deal on HB 31 at 4:17 PM. After thanking staff, House Appropriations Chairman Rep. Terry England (R-Auburn) introduced the compromise that is “taking care of needs of many individuals”

The spending package includes a full $3,000 salary increase starting July 1, 2019, for educators and certificated personnel and a two percent pay raise for State employees. Senate Appropriations Chairman Jack Hill (R-Reidsville) stated that the Budget is a “dynamic document” and meets the constitutional responsibilities of safety and education and also meets the needs of many of the powerless. According to Chairman Hill, the budget advances the objectives of Governor Kemp, including addressing the problems of gangs, school security and health needs. It also contains funding for technology, a priority of Lt. Governor Duncan. 

There are a number of changes to the bond package in the budget, funded partially through an underutilized $100 million proposed for bridge repair, which has been slow to occur. In part, they used $35 million to reinforce the State-owned short line rail to help upgrade rail lines in rural areas to meet Class II standards to improve the movement of freight in a more timely manner (this will ease truck traffic on major interstates). Additionally, $1.5 million is used to fund early activities in planning for the census in the hard-to-count areas.  CTAE equipment needs are fully funded with $14 million.  Additional funding for bonds is also directed to the Savannah Trade Center ($13.7 million). 

Like last year, education’s QBE program has been fully funded in this Budget.

In closing, Chairman England stated that they all wanted to leave something better than like they had found it.  It was an obligation to fellow man.

The Conference Committee Report will go to print immediately for legislator review, and the House and Senate are each expected to agree to the Report tomorrow during Legislative Day 38.

Committee Updates

House Insurance Committee

The House Insurance Committee, chaired by Rep. Richard Smith (R-Columbus), met to consider two bills today. The first bill, SB 142, authored by Sen. Larry Walker (R-Perry), amends Title 33 to require that a statement indicating that a subscribers health policy is regulated by the Department of Insurance on the subscriber’s health insurance identification card. Rep. Shaw Blackmon (R-Bonaire) asked if this bill creates an unfunded mandate for insurers, to which Sen. Walker pointed out that insurers are not required to do a special reissue of cards to comply with the requirement but may do it during the normal course of business and card issuance. The Committee recommended the bill DO PASS and be sent to the Rules Committee. The bill will be carried by Rep. Lee Hawkins (R-Gainesville) in the House.

The Committee also took up a Substitute to SB 195 that strips its original content and replaces it with the language of HB 583, Rep. Noel Williams’s proposition relating to travel insurance. The Committee recommended the bill DO PASS and be sent to the Rules Committee.

House Education Committee

The House Education Committee, chaired by Rep. Rick Jasperse (R-Jasper), met to consider two bills:

• SB 15, authored by Sen. John Albers (R-Alpharetta), is the “Keeping Georgia's Schools Safe Act.” The Committee heard a new Substitute to the bill that requires: site threat assessments in every public school at least every five years (conducted by GEMA, local law enforcement, or private contractors) for implementation in the school’s safety plan; safety drills involving local law enforcement; annual safety reports published by local districts; a designated school safety coordinator in each school; best practice sharing between the Department of Education, law enforcement entities, and others; maintenance of the “See Something, Say Something” or similar app; and information sharing between schools and law enforcement. John Zauner of the Georgia School Superintendents Association spoke to the bill, noting that it is a good first step that can be improved upon. A representative of Project South expressed concern about how “reasonable suspicion” might be interpreted to allow for over-dissemination of private student information. Chairman Jasperse offered an amendment that would require that schools post a sign in cafeterias and gyms informing students of the availability of the “See Something, Say Something” app for students, which was adopted. The Committee recommended the bill DO PASS by Committee Substitute and be sent to the Rules Committee.
• SB 108, authored by Sen. P.K. Martin IV (R-Lawrenceville), amends Title 20 to require that middle and high schools offer computer science courses over a three-year implementation period. The Substitute considered by the Committee today also requires the courses be offered through the Georgia Virtual School, which may be used to satisfy the requirement for schools without qualified instructors. The bill also provides for professional development for instructors, funding for which has been included in the Senate’s FY 2020 budget proposal. The Committee recommended the bill DO PASS and be sent to the Rules Committee.

House Juvenile Justice Committee

The House Juvenile Justice Committee, under the leadership of Rep. Mandi Ballinger (R-Canton), met to take up SB 190.  This legislation in Chapter 9 of Title 19, authored by Sen. John Kennedy (R-Macon), received a hearing.  It relates to child custody issues and permission of a party to bring a counterclaim for contempt in response to a complaint seeking a change in legal or physical custody of a child.  There are definitions proposed for “physical” and “legal” custody in the proposal.  LC 41 2024S, a new Substitute, was presented at today’s meeting. The purpose is to repeal a requirement that a change of custody has to be done as a separate action. It allows counterclaims in custody actions to be filed - supposedly better for judicial efficiency. The legislation is more restrictive than the bill passed by the Senate according to Sen. Kennedy.  The State Bar spoke to the policy considerations and of the bill’s importance which also talked to the change for judicial economy.  They place definition for “legal” custody as what the court defines. Filing of contempt language was taken out of the bill as beyond the scope of the legislation. The Committee inquired about the problems which are being fixed with the bill - a former spouse suing a spouse for custody or modification of custody, placing an inefficient process.  They cannot currently counterclaim and must file a separate cause of action; now it can be two judges because sometimes cases are not consolidated. Sen. Kennedy defined it as a “procedural quirk” and knew of no unintended consequences.  Filing of the original action will always be where the defendant resides.  There were questions about instances where the parties reside in different states which will be followed by federal requirements. Sen. Kennedy has not received any objections or prejudices found to impact a stakeholder.   Rep. Bert Reeves (R-Marietta) stated he supports the legislation and noted that there are “games” in domestic litigation which turn into litigation fatigue.  This legislation will diminish such fatigue. No action was taken.

House Special Committee on Access to Quality Healthcare

The House Special Committee on Access to Quality Healthcare, chaired by Rep. Richard Smith (R-Columbus), met today to consider two resolutions.

• HR 584, authored by Rep. Todd Jones (R-South Forsyth), creates the House Study Committee on Exploring a Floor and Trade Charity Care System. Rep. Jones explained that this proposal is built on the idea of cap and trade, whereby hospitals providing substantial indigent care could sell credits to other hospitals that provide less indigent care. He suggested that this would more fairly spread the cost of indigent care and drive innovation in healthcare. The Georgia Hospital Association indicated its support for the resolution. The Committee recommended the resolution DO PASS and be sent to the Rules Committee.
• HR 590, authored by Rep. Karen Bennett (D-Stone Mountain), creates the House Study Committee on Georgia's Barriers to Access to Adequate Health Care. The Study Committee will study the benefit of improved awareness and early diagnosis of Pediatric Acute-Onset Neuropsychiatric Syndrome and Pediatric Autoimmune Neuropsychiatric Disorder Associated with Streptococcal among medical providers; examine comprehensive medical and behavioral health services for those suffering from this serious autoimmune disorder which have been demonstrated to have a positive impact on medical outcomes and reduced burdens on patients, families, providers, and society; and identify barriers to insurance-based care for children with PANS and PANDAS and their families. Jessica Gowan, a parent and representative of the Southeastern PANS and PANDAS Association, spoke in support of the resolution. Other parents also testified to their experiences with the conditions, supporting the resolution. The Committee recommended the resolution DO PASS and be sent to the Rules Committee.

House Governmental Affairs Committee

Chairman Ed Rynders (R-Albany) called the committee to order to hear SB 71 which would change how the proceeds from the sale of a public hospital may be invested. The bill also requires that members of a hospital authority board be treated as directors with regard to a hospital sale for purposes of conflicts of interest. Sen. Ben Watson (R-Savannah) explained that the bill arose after a hospital in his district was sold. The bill received a motion DO PASS without any comment.

Senate Higher Education Committee

The Senate Higher Education Committee, chaired by Sen. Lindsey Tippins (R-Marietta), met to consider a couple of measures today. Starting with HB 218, which extends HOPE scholarship eligibility from seven to ten years. Rep. Rick Williams (R-Milledgeville) introduced the bill and explained it provided for a simple change. The bill received a motion DO PASS. Next, Rep. Bert Reeves (R-Marietta) presented HB 444 which alters provisions of Title 20 related to dual enrollment. The committee presented a new substitute: LC 33 8017S. Rep. Reeves was joined by Kaylee Nagle of the Georgia Student Finance Commission. The bill adds limitations to the program to create more stability in the financial solvency of the program in the future. The main changes in this version include the credit hour limitations increasing from 30 hours for USG institutions and 60 hours for TCSG institutions to 32 and 63 respectively. Chairman Tippins noted that all parties understand the need to make changes to the program to preserve its reach across the state. He also explained that while the bill helps, it is far from perfect, and may require a ruling by the Attorney General in regards to the lottery fund provisions. He expressed doubt that the bill would be able to receive a full vetting before the end of the legislative session, nevertheless he said he wants the bill to move to the floor. He welcomed suggestions for changes that could be reflected in another Senate Substitute. Sen. Brandon Beach (R-Alpharetta) disagreed with the Chairman that the bill needs to be passed. He suggested work be done in the interim to perfect the bill. Specifically, he raised significant concerns with the bill’s plan to use lottery funds which he believes could jeopardize the success of the HOPE scholarship. He explained that his proposed horse racing bill would provide an alternative revenue source for this purpose. Sen. P.K. Martin (R-Lawrenceville) stated that because the bill would limit the total number of credit hours a student can obtain via dual enrollment, he would like to see an allowance for 9th grade students to take virtual courses. He proposed an amendment which would make this change. This amendment PASSED. Sen. Sally Harrell (D-Dunwoody) stated she does not believe the bill has “guardrails” and signifies a blanket cut to the program. The bill received a motion DO PASS by a vote of 5-2.

Senate Finance Committee

This Committee met mid-morning to consider one initiative. HB 352, authored by Rep. Bert Reeves (R-Marietta), seeks to extend the sunset date on the sales tax exemption for competitive projects with regional significance in O.C.G.A. § 48-8-3(93).  This sunset date of this sales tax exemption is to be extended to expire on June 30, 2024 (rather than its current date of June 30, 2019).  A hearing was held previously on this bill for materials used in these regional significant projects. Rep. Reeves argued this is a tool in the tool belt to help Georgia compete competitively with other states and only used ten times since 2012 (and only used four times since 2016 - the price tag for the state was $25 million and the return was $3.2 billion to the State, producing more than 4,000 jobs).  The Department of Economic Development asked for this tool.  A Committee Substitute is offered which the Governor is not fully in agreement with.  Chairman Hufstetler agreed it was a “great tool.”  Sen. Bill Cowsert (R-Athens) found in the Subcommittee found that no rules and regulations were developed as it was supposed to be and the Committee Substitute provides more guidance - including disclosure requirements on these projects as well as a definition on what “regional significance” means.  There was discussions that there are a number of confidentiality provisions which the Department of Revenue is to follow in Chapter 2 of Title 48.  There were queries concerning the timing for the disclosures to other leadership in State government and how the competition could potentially obtain that information.  Sen. Steve Gooch (R-Dahlonega) expressed that the timing of the disclosures of the information on the deal - after the deal is done - is a better approach.  Sen. Butch Miller (R-Gainesville) provided an example of the Volkswagen recruitment attempted years ago; he said that there are concerns around transparency.  His concern is that making this transparency efforts is just raising risk of putting the project in jeopardy with the sensitive nature of the projects.  Chairman Hufstetler disagreed with the President Pro Tem Miller.  Sen. Bill Heath (R-Bremen) asked how long the process is for these types of projects; Rep. Reeves said no two are exactly alike and these incentives are generally offered at the end (or icing on the cake for Georgia to land a deal).  Sen. Heath stated that this is very open ended without a cap on what this amount could be, preventing a dollar going into the General Fund.  Rep. Reeves stated this would be a sales tax on new money and not money the State is giving away that it currently has.  Sen. Cowsert expressed that they need to know what happens afterwards - line 30 amendment so that the waiver of the sales tax would be divulged after the deal is completed (following the issuance of the letter with the consummation of the deal and awarding of the grant of the exemption).  He proposed to limit the disclosure to the Governor, Lt. Governor, Speaker and chairs of the Ways and Means and Finance Committees.  The legislation received a DO PASS recommendation (which had also moved the sunset date to 2020 in the Substitute rather than 2024). The Cowsert Amendment was adopted. The bill as amended received a DO PASS recommendation with one dissent (Sen. Bill Heath).

New Legislation

The following legislation of interest was introduced in the House and Senate over the last few Legislative Days. Because these items have been introduced after Crossover Day, they are not eligible for consideration by the both chambers before 2020 (with exception of House and Senate study committees).

• HB 615, authored by Rep. Teri Anulewicz (D-Smyrna), proposes to address vaccinations of minors in O.C.G.A. §31-12-3.3 so as to allow minors ages 16 or 17 years of age to receive certain vaccines without parental consent.  The bill was referred to the House Health and Human Services Committee.
   
• HB 660, authored by Rep. David Clark (R-Buford), amends Titles 9 and 17 to eliminate stays and continuances for members and staff of the General Assembly at times when the General Assembly is not in session. The bill was referred to the House Judiciary Committee.
• HB 662, authored by Rep. Tommy Benton (R-Jefferson), amends Title 47 to require actuarial investigations for the Teachers Retirement System at least once in every three-year period. The bill also provides that the maximum annual assumed rate of return shall not exceed 6 percent. The bill was referred to the House Retirement Committee.
• HB 666, authored by Rep. Matt Dollar (R-Marietta), amends Title 43 to provide for the licensing of surgical assistants. The bill establishes licensure standards and requirements for such individuals, as well as licensing of provisional licensed surgical assistants and standards and requirements relating thereto. The bill was referred to the House Health and Human Services Committee.
• HB 667, authored by Rep. Chuck Martin (R-Alpharetta), amends Title 47 to require actuarial investigations for the Teachers Retirement System at least once in every three-year period and provides that the maximum annual assumed rate of return shall not exceed 6 percent (like HB 662). The bill also requires the retirement system to use direct rate smoothing for actuarially determined employer contributions; that certain legacy debt of the retirement system be paid by a certain date; and that the future unfunded actuarial accrued liability shall be paid using 15 year amortization periods. The bill was referred to the House Retirement Committee.
• HB 646, authored by Rep. Katie Dempsey (R-Rome), encourages the Georgia Legislature to broaden eligibility and increase funding for the Breast and Cervical Cancer Prevention Program. The resolution was referred to the House Health and Human Services Committee.
• HB 672, authored by Rep. Jesse Petrea (R-Savannah), creates the "Free Market Solutions to Insure All Georgians Act." The bill creates the Georgia Health Insurance Assignment System, in which all licensed health insurers must participate, that will allow interested individuals to be assigned to a health insurer and be eligible to purchase a standard health benefit plan developed by the Department of Insurance. The bill also establishes the “Georgia Preexisting Condition Individual High Risk Pool” to provide for coverage of individuals who have been denied coverage. The bill was referred to the House Insurance Committee.
• HB 677, authored by Rep. Deborah Silcox (R-Sandy Springs), creates the “Consumer Coverage and Protection for Out-of-Network Medical Care Act.” Specifically, the bill amends Title 33 to establish standards for insurers and health care providers with regard to payment under a health benefit plan in the provision of emergency medical services. The bill was referred to the House Insurance Committee.
• HR 647, authored by Rep. Kim Schofield (D-Atlanta), establishes the House Study Committee on Addressing Period (or Menstruation) Poverty in Girls in Elementary, Middle, and High Schools in Need in Georgia. The resolution was referred to the House Health and Human Services Committee.
• HB 692, authored by Rep. David Stover (R-Newnan), amends Titles 9 and 17 to eliminate stays and continuances for members and staff of the General Assembly at times when the General Assembly is not in session. The bill was referred to the Judicary Committee.
• HB 693, authored by Rep. Renitta Shannon (D-Decatur), amends Title 49 to require the Department of Community Health to allow mothers giving birth to newborns to retain Medicaid eligibility for one year following such birth. The bill was referred to the Appropriations Committee.
• HR 648, authored by Rep. Ed Setzler (R-Acworth), brings awareness to vaccine injury in the State of Georgia. The resolution was referred to the House Health and Human Services Committee.
• HR 680, authored by Rep. Doreen Carter (D-Lithonia), creates the House Study Committee on School Nutrition Program Funding. The resolution was referred to the House Special Rules Committee.
• HR 681, authored by Rep. Jasmine Clark (D-Tucker), creates the House Study Committee on the Effects of Mental Health on Gun Violence. The resolution was referred to the House Health and Human Services Committee.
• SR 435, authored by Sen. Randy Robertson (R-Cataula), urges the State of Georgia to increase its cigarette excise tax to offset indigent health care costs. The resolution was referred to the Senate Finance Committee.
• SR 452, authored by Sen. Emanuel Jones (D-Decatur), creates the Senate Study Committee on the Financial Efficiency Star Rating (FESR). The resolution was referred to the Senate Rules Committee.
• SR 455, authored by Sen. Valencia Seay (D-Riverdale), creates the the Senate Study Committee on Adult Changing Stations in Commercial Public Facilities. The resolution was referred to the Senate Rules Committee.

Rules Calendars for Legislative Day 38

The House will take up the following propositions on Thursday for Legislative Day 38:

• HR 228 -- President of the United States and United States Congress; enact legislation securing the citizenship of internationally adopted adult individuals; urge
• SB 2 -- Public Utilities and Public Transportation; electric membership corporations and their affiliates; authorize; broadband services; provide
• SB 6 -- Correctional Institutions of the State and Counties; use of unmanned aircraft systems to deliver or attempt to deliver contraband to a place of incarceration; prohibit
• SB 72 -- Game and Fish; hunting on wildlife management areas; prohibition; remove
• SB 77 -- State Flag, Seal, and other Symbols; additional protections for government statues; provide
• SB 135 -- Workers' Compensation; certain provisions; change

Chairman Jay Powell indicated the committee would meet Thursday morning to set a supplemental calendar.

The Senate will take up the following propositions on Thursday for Legislative Day 38:

• HB 39 -- Physical Therapy Licensure Compact Act; enter into an interstate compact
• HB 79 -- Blind persons; child custody matters; provisions
• HB 91 -- Hospitals and health care facilities; Federal Bureau of Investigation to retain fingerprints when an agency or entity is participating in the Georgia Bureau of Investigation's program; allow
• HB 228 -- Marriage; change minimum age from 16 to 17 and require any person who is 17 to have been emancipated
• HB 233 -- Pharmacy Anti-Steering and Transparency Act; enact
• HB 257 -- Council of Magistrate Court Judges; organization and provide for officers; increase authority
• HB 266 -- Revenue and taxation; income for contributions to savings trust accounts; revise deduction
• HB 281 -- Crimes and offenses; pimping and pandering; increase penalty provisions
• HB 310 -- Insurance, Department of; must submit an autism coverage report to General Assembly; move annual due date to June 15
• HB 314 -- Georgia Uniform Certificate of Title for Vessels Act; enact
• HB 321 -- Health; hospital Medicaid financing program; extend sunset provision
• HB 322 -- Local government; advertisement of certain bid or proposal opportunities; change provisions
• HB 332 -- Agriculture; service of the Commissioner of Agriculture and the president of the Georgia Farm Bureau Federation as ex officio members; revise provisions
• HB 339 -- Special license plates; Alabama A&M University; establish
• HB 353 -- Insurance; create the crime of staging a motor vehicle collision
• HB 367 -- Corporate Governance Annual Disclosure Act; enact
• HB 382 -- Outdoor stewardship; eligible applicants for and recipients of the grants; redefine
• HB 446 -- Revenue and taxation; timber producers incurring losses from Hurricane Michael; clarify that certain credits that have been transferred shall not be refundable
• HB 458 -- Fire protection and safety; use of class B fire-fighting foam for testing purposes if such foam contains a certain class of fluorinated organic chemicals; prohibit
• HB 491 -- Insurance; regulation of insurance company holding systems; update
• HB 516 -- Professions and businesses; profession of professional structural engineer; provide
• HB 525 -- Georgia International and Maritime Trade Center; rename to Savannah Convention Center
• HB 527 -- Quality Basic Education Formula; change program weights for funding purposes
• HB 530 -- Education; prohibit parents or guardians from withdrawing or removing a child from a public school for the purpose of avoiding compliance with laws relating to mandatory attendance, school discipline, parental involvement, or parental responsibilities
• HB 551 -- Controlled substances; kratom; provisions