It all comes down to the money
At the end of the day, it all comes down to the money. Last week, the Appropriations Committee started the full hearing of HB 2. On Thursday and Friday, Rep. John Sinrud, Chair of Joint Appropriations Subcommittee, presented Section A of HB 2 (General Government); and on the March 4, the hearing on Section B, Health and Human Services, began.
Appropriations heard presentations on where the budget stands from Clayton Schenck and Terry Johnson of Legislative Fiscal Division, and David Ewer, the Governor's budget director. The summary prepared by the Legislative Fiscal Division contains a 13.4 percent, $309 million increase in the state's general fund. HB 2 is currently $30 million more than the Governor's budget. Democratic representatives unsuccessfully put forth amendments to Section A to reduce the budget in several areas. Republicans, for the most part, voted together and did not allow any cuts. Four significant amendments passed:
? Rep. Sinrud's amendment (211.ahf) has no fiscal impact. This amendment (passing 20-0) adds an authority for county-paid leave.
? Rep. Sinrud's amendment (207.agd) adds funding for fiscal impacts of HB 392, which addresses the costs of the Appellate Defender. This amendment (passing 12-8) adds $73,181 FY 2006 and $67,229 FY 2007.
? Rep. Sinrud's amendment (2007.amd) has no fiscal impact. This amendment (passing by voice vote 19-1) requires the names of businesses successfully recruited as a result of the Marketing Montana and Business Recruitment Program.
? Rep. McNutt's amendment 217.abs (passing 18-2) increases funding for the Water Court by $416,690 in state special revenues in each year of the biennium to accelerate water adjudication.
The hearing on Section B began with Chair of the Joint Appropriations subcommittee on Health and Human Services, Rep. Christine Kaufmann, presenting. Rep. Kauffman discussed how the committee stayed within the Governor's budget. The vast majority of the increase in the budget is due to federal funds and other additional monies. Finally Kaufmann read compelling testimony that was read during subcommittee hearings regarding various programs that Public Health and Human Services provides.
The General Fund appropriations for the 2007 biennium are $129 million higher than the 2004 base budget. Of that, 43 percent is due to Medicaid state match increase from the loss of the enhanced federal rate match. Legislative initiatives added $13 million in General Fund and $4 million in tobacco-tax state special revenue for direct-care worker wage increases, provider rate increases, service and eligibility expansion, funding switches to raise TANF cash assistance benefits, and personal services funding to help raise income tax revenue and support personal and service efficiencies.
The Appropriation hearings on HB 2 are to be concluded on Tuesday; in order to do so, the Appropriations Committee are meeting late into the night to complete Sections C (Natural Resources and Commerce), D (Corrections and Public Safety), E (Education) and F (Long-Range Planning). HB 2 will then be sent to the House Floor for debate and amendments and more debate.
Some very difficult choices will be made in the coming days and weeks. A necessary and good, common sense law was passed restricting the growth in government spending. The Legislature wisely did so in order to ensure that the budget increases could not exceed the yearly increase in Montana income.
Although a commitment has been made by leadership that the final budget adopted by the Legislature will not exceed the spending cap, I will oppose any effort to abolish the spending limit.
Are we going to be able to fund every program? No. Will we be able to take care of our most vulnerable citizens? Yes. And we will be able to do so and still live within our means.
We need to keep in mind, however, that all of the services that we expect and want do cost money.
You can reach me at:
Montana House of Representatives
PO Box 200400
Helena, MT 59620-0400
Capitol: (406) 444-4800
Cell: (406) 544-8086
Email:
windham@centurytel.net