ARIZONA HOUSE OF REPRESENTATIVES

Forty-ninth Legislature – First Regular Session

 

COMMITTEE ON APPROPRIATIONS

 

Minutes of Special Meeting

Saturday, June 27, 2009

House Hearing Room 1  --  9:00 a.m.

 

 

Chairman Kavanagh called the meeting to order at 11:38 a.m. and attendance was noted by the secretary.

 

Members Present

 

Ms. Cajero Bedford

Mr. Jones

Ms. Sinema

Mr. Court

Mrs. McLain

Mr. Williams

Mr. Crandall

Mr. Murphy

Mr. Biggs, Vice-Chairman

Mr. Heinz

Mr. Schapira

Mr. Kavanagh, Chairman

 

Members Absent

 

Mr. Campbell CL

 

 

 

Committee Action

 

HB2643 – DPA S/E (7-5-0-1)

HB2649 – DPA S/E (7-5-0-1)

HB2644 – DPA S/E (8-4-0-1)

HB2650 – DPA S/E (8-4-0-1)

HB2645 – DPA S/E (7-4-0-2)

HB2651 – DPA S/E (8-4-0-1)

HB2646 – DPA S/E (6-4-0-3)

HB2652 – NOT HEARD

HB2647 – DPA S/E (6-5-0-2)

HB2653 – NOT HEARD

HB2648 – DPA S/E (8-4-0-1)

HCR2037 – NOT HEARD

 

 

CONSIDERATION OF BILLS

 

HB2643 – technical correction; abandoned vehicles; monies – DO PASS AMENDED S/E

            S/E:  general appropriations; 2009-2010; trailer

 

Vice-Chairman Biggs moved that HB2643 do pass.

 

Vice-Chairman Biggs moved that the Kavanagh 94-page strike-everything amendment to HB2643 dated 6/26/09 (Attachment 1) be adopted.

 

Mike Huckins, Majority Research Analyst, explained that the strike-everything amendment to HB2643 modifies state General Fund and other fund appropriations for FY 2009-2010 for the operation of state government and makes changes to budget revisions, transfers and supplemental appropriations contained in SB1188 as transmitted to the Governor
(Attachment 2).  In response to a question, he clarified that the strike-everything amendment does not contain a provision to directly repay the third K-12 rollover payment of $300 million.  The $8 million referred to on page 67, line 43, is for the Secretary of State to coordinate a statewide special election for the temporary sales tax increase as outlined in HCR2037.  If HCR2037 does not pass and the special election does not happen, those funds revert to the state.

 

Eric Kurland, representing self, in opposition to the strike-everything amendment to HB2643, opined that a flat tax to reduce taxes on the wealthy by 33 percent is unconscionable.  Everyone wants a prosperous Arizona so he hopes the Members will take the time to have a full debate on the issue.

 

Leah Chacon, Government Affairs Officer, Arizona Corporation Commission, opposed the strike-everything amendment to HB2643.  She stated that she has concerns about the expenditure reductions on non-General Funds that are still included in the budget bills.  Discussions have been going on with the Legislature and Governor’s Office for some time.  She understands there was an error in drafting of the bills and the expenditure reductions should have been changed to sweeps.  She was told that the issue will likely be addressed so she would appreciate the Members’ support.

 

Vice-Chairman Biggs announced the names of those who signed up in opposition to the strike-everything amendment to HB2643 but did not speak:

Anne Greenberg, governing board member, representing self

Jennifer Loredo, Arizona Education Association

Sandy Bahr, Conservation Director, Sierra Club - Grand Canyon Chapter

Peri Jude Radecic, Director of Public Advocacy, Arizona Center for Disability Law

Thomas Donovan, Valley Interfaith Project

Eva Hamant, representing self

Pat Vanmaanen, representing self

Will Heron, representing self

Frank Heron, representing self

Jack Day, representing self

Karleen Quastad, representing self

Jamie Pattee, representing self

Mary Patricia Rush, special education teacher, representing self

Victoria Smith, public school teacher, representing self

Amy Garst, case manager, representing self

Will Rogers, representing self

Michael Landry, special education teacher, representing self

Judith Simons, representing self

Molly McGovern, Service Employees International Union Arizona

Ramon Garcia, representing self

Greg Stanton, Deputy Attorney General, Legislative Affairs, Arizona Attorney General’s Office

Beth Driscoll, educator, representing self

Kylie Mote-Landry, service provider, representing self

Shelly Hegeman, school bus driver, representing self

Sylvia Clark, teacher, representing self

Deborah Shaffer, art educator, representing self

 

Vice-Chairman Biggs announced the names of those who signed up in support of the strike-everything amendment to HB2643 but did not speak:

Laurie Lange Liles, Senior Vice President, Public Affairs, Arizona Hospital and Healthcare Association

Elizabeth Baskett, Arizona Hospital and Healthcare Association

Greg Fahey, Associate Vice President, University of Arizona

Steve Miller, Deputy Vice President, Public Affairs, Arizona State University

Christy Farley, Executive Director, Northern Arizona University

Christine Thompson, Assistant Executive Director for Government Affairs, Arizona Board of Regents

Mitch Menlove, Arizona State University; Arizona Health Care Association 

Kathleen Pagels, Executive Director, Arizona Health Care Association

David Landrith, Vice President of Policy & Political Affairs, Arizona Medical Association

Jason Bezozo, System Director, Government Relations, Banner Health

Ryan Harper, Abrazo Health Care; Vanguard Health Systems

 

Vice-Chairman Biggs announced the names of those who signed up as neutral on the strike-everything amendment to HB2643 but did not speak:

Roy Miller, representing self

 

Stefan Shepherd and Richard Stavneak, Joint Legislative Budget Committee, answered questions concerning various portions of the handout titled, Budget Plan Summary (Attachment 3).

 

Jennifer Carusetta, Chief Legislative Liaison, Arizona Health Care Cost Containment System (AHCCCS), stated that the $50 million in relation to the fraud reduction program is not counted against the AHCCCS budget; it is counted in the ending balance for the General Fund.  Many questions were received about fraud, and in response, there is a Request for Information (RFI) out on the street, for which she will provide an update to the Members, as well as savings realized from AHCCCS’ current fraud reduction process. 

 

Ms. Sinema stated that a lot of testimony was heard in the past few months on this issue and opined that $50 million is a very risky number to count in the budget as savings. 

 

Chairman Kavanagh commented that the reduction to AHCCCS is probably less than one-tenth of a percent of the agency’s General Fund budget.

 

Duane Huffman, Chief Legislative Liaison, Department of Health Services (DHS), responded to questions concerning the assurance & licensure self funding/fee increase (Page 6 of handout, Attachment 3).   

 

Chairman Kavanagh conveyed that the reduction for DHS is 1.6 percent of total available DHS funding.

 

Question was called on the motion that the Kavanagh 94-page strike-everything amendment to HB2643 dated 6/26/09 (Attachment 1) be adopted.  The motion carried.

 

Vice-Chairman Biggs moved that HB2643 as amended do pass.  The motion carried by a roll call vote of 7-5-0-1 (Attachment 4).

 

HB2644 – technical correction; rebate set-aside – DO PASS AMENDED S/E

            S/E:  budget reconciliation; general revenues; trailer

 

Vice-Chairman Biggs moved that HB2644 do pass.

 

Vice-Chairman Biggs moved that the Kavanagh 25-page strike-everything amendment to HB2644 dated 6/26/09 (Attachment 5) be adopted.

 

Daniel Plumhoff, Majority Assistant Research Analyst, explained that the strike-everything amendment to HB2644 modifies the General Revenues Budget Reconciliation Bill (BRB) (SB1036) which passed on June 4, 2009 (Attachment 6).

 

Bert Te Velde, representing self, spoke in opposition to the strike-everything amendment to HB2644.  He related that he is a middle school science teacher in Scottsdale who is subject to a reduction in force (RIF). As the parent of two elementary school-age sons, he asked the Members to do whatever possible to secure their educational future, which the current proposed budget does not do.  He also requested that the Members not permanently repeal the state equalization property tax and not take out the two percent inflation factor.

 

Deb Fitzgerald, kindergarten teacher, representing self, in opposition to the strike-everything amendment to HB2644, stated that continuation of the state equalization tax will cost the average homeowner only $5 to $8 per month and with assessed values so low because of the economy, this is the perfect time to continue the tax and not repeal it.  About $250 million would be provided to the state that has primarily been earmarked for education in the past.  She said she believes the majority of Arizona homeowners support the equalization tax and a permanent repeal is completely unnecessary.

 

Michael Racy, lobbyist, Pima County; Pima Community College; Town of Marana, spoke in opposition to the strike-everything amendment to HB2644, specifically the secondary assessment ratio portion.  He said budget bills passed a few years ago went to a single assessment ratio of
10 percent for new bond elections and overrides, but the strike-everything amendment changes that to 15 percent which is phased down over five years.  It reduces the impact, but rather than being applied only to new overrides and bond elections, it applies to the entire secondary property tax which means every existing special district, override and bond election.  This is a massive property tax shift and property tax increase to residential taxpayers on existing fixed, bonded indebtedness overrides and districts with no disclosure or information to taxpayers.  He requested that modifications in the secondary property tax arena be formatted similar to before where it applied only to new bond issues and overrides. 

 

In response to a question, he indicated that removal of the entire secondary tax issue from the budget is preferable, but may not be realistic.  The language in SB1036 stating what the 10 percent would apply to would solve much of the problem.

 

Chairman Kavanagh and Vice-Chairman Biggs announced the names of those who signed up in opposition to the strike-everything amendment to HB2644 but did not speak:

Anne Greenberg, governing board member, representing self

Thomas Donovan, Valley Interfaith Project

Jennifer Loredo, Arizona Education Association

Bonnie Danowski, Valley Interfaith Project, representing self

John Wright, Vice President, Arizona Education Association

Pat Vanmaanen, representing self

Eva  Hamant, representing self

Will Heron, representing self

Frank Heron, representing self

Jack Day, representing self

Karleen Quastad, representing self

Jamie Pattee, representing self

Liza Green, Past President, Nadaburg Education Association, representing self

Mary Patricia Rush, special education teacher, representing self

Victoria Smith, public school teacher, representing self

Amy Garst, case manager, representing self

Will Rogers, representing self

Michael Landry, special education teacher, representing self

Judith Simons, representing self

Camille Jackson, representing self

Teresa Smith, teacher, representing self

Patricia Dow, representing self

Marilyn Uhl, public school teacher, representing self

Andrea Sellers, educator, representing self

James Sellers, educator, representing self

Lawrence Allen, representing self

Kathy Ray, Title I school improvement specialist, representing self

Harry Ray, representing self

Kim Erwin, Department of Finance Business Manager, Arizona State University, representing self

Vick Bender, teacher, representing self

Paul Strauss, representing self

Ramon Garcia, representing self

Amy Simons, social worker, representing self

Philip Church, masters social work, representing self

Clorinda Erives, teacher, representing self

Joni Blakely, representing self

Beth Saulson, teacher, representing self

Stephanie Seigla, Arizona State Employees Association; Communications Workers of America Local 7055

Sammy Brauer, director of fine arts; educator, representing self

Lisa Guzman, adjunct professor, representing self

Beth Driscoll, educator, representing self

Kylie Mote-Landry, service provider, representing self

Shelly Hegeman, school bus driver, representing self

Sylvia Clark, teacher, representing self

Becky Hill, Scottsdale Unified School District

Deborah Shaffer, art educator, representing self

Mark Williamson, representing self

Andrea Dalessandro, representing self

Ted Downing, representing self

Kirby Clark, representing self

 

Chairman Kavanagh and Vice-Chairman Biggs announced the names of those who signed up in support of the strike-everything amendment to HB2644 but did not speak:

Jeffrey Kros, Legislative Director, League of Cities and Towns

Greg Fahey, Associate Vice President, University of Arizona

Michelle Bolton, State Director, National Federation of Independent Business

 

Chairman Kavanagh announced the names of those who signed up as neutral on the strike-everything amendment to HB2644 but did not speak:

Mark Barnes, Arizona Community College President's Council

 

Richard Stavneak, Director, Joint Legislative Budget Committee, clarified that the strike-everything amendment to HB2644 transfers the repeal of the state equalization tax and changes to the qualifying tax rate (QTR) to the General Revenues BRB.  He responded to questions concerning various other provisions.  Discussion followed concerning a specified purpose for the
$22 million from cities and towns in Vehicle License Tax (VLT) collections, after which Chairman Kavanagh indicated that he will speak to staff about rewriting the language so the money specifically goes to K-12 education.

 

Mr. Crandall remarked that an attempt was made last year to relocate the Office of Pest Management in the Arizona Department of Agriculture like in 42 other states, but the Office is still in a high-rent district in northeast Scottsdale.  Rather than requiring the Office to be more efficient, it will be increasing fees to providers which will be passed on to consumers.  He said he hopes this can be reviewed over the summer.

 

Question was called on the motion that the Kavanagh 25-page strike-everything amendment to HB2644 dated 6/26/09 (Attachment 5) be adopted.  The motion carried.

 

Vice-Chairman Biggs moved that HB2644 as amended do pass.  The motion carried by a roll call vote of 8-4-0-1 (Attachment 7).

 

THE MEETING RECESSED AT 1:35 P.M. UNTIL 2:30 P.M.

 

THE MEETING RECONVENED AT 2:45 P.M.  ALL MEMBERS WERE PRESENT EXCEPT MR. CAMPBELL CL.

 

HB2645 – technical correction; public roadways – DO PASS AMENDED S/E            

            S/E:  budget reconciliation; general government; trailer

 

Mr. Crandall moved that HB2645 do pass.

 

Mr. Crandall moved that the Kavanagh 26-page strike-everything amendment to HB2645 dated 6/26/09 (Attachment 8) be adopted.

 

Daniel Plumhoff, Majority Assistant Research Analyst, explained that the strike-everything amendment to HB2645 modifies the General Government Budget Reconciliation Bill (BRB) (SB1035) which passed on June 4, 2009 (Attachment 9).

 

Vice-Chairman Biggs announced the names of those who signed up in opposition to the strike-everything amendment to HB2645 but did not speak:

Anne Greenberg, governing board member, representing self

Thomas Donovan, Valley Interfaith Project

Sandy Bahr, Conservation Director, Sierra Club - Grand Canyon Chapter

Pat Vanmaanen, representing self

Eva  Hamant, representing self

Susan Cannata, Attorney, William E. Morris Institute for Justice

Pat Dennis, Intergovernmental Affairs, City of El Mirage

Will Heron, representing self

Frank Heron, representing self

Jack Day, representing self

Kendra Leiby, Arizona Coalition Against Domestic Violence

Karleen Quastad, representing self

Jamie Pattee, representing self

Liza Green, Past President, Nadaburg Education Association, representing self

Mary Patricia Rush, special education teacher, representing self

Victoria Smith, public school teacher, representing self

Will Rogers, representing self

Michael Landry, special education teacher, representing self

Judith Simons, representing self

Ramon Garcia, representing self

Beth Driscoll, educator, representing self

Kylie Mote-Landry, service provider, representing self

Shelly Hegeman, school bus driver, representing self

Sylvia Clark, teacher, representing self

Deborah Shaffer, art educator, representing self

Kirby Clark, representing self

Jason Schnee, Arizona Education Association

Joann Benoit, teacher, representing self

Cathy Paredes, teacher, representing self

Eric Kurland, representing self

 

Vice-Chairman Biggs announced the names of those who signed up in support of the strike-everything amendment to HB2645 but did not speak:

Courtney Gilstrap Levinus, Arizona Multihousing Association

Suzanne Gilstrap, Arizona Multihousing Association; Arizona Building Owners and Managers Association

 

Eric Billings and Tim Everill, Joint Legislative Budget Committee, responded to questions concerning citizenship requirements for individuals seeking domestic violence shelters, the moratorium on building code changes, development fees, the construction contracting tax and the Uniform Development Fee Commission.

 

Question was called on the motion that the Kavanagh 26-page strike-everything amendment to HB2645 dated 6/26/09 (Attachment 8) be adopted.  The motion carried.

 

Vice-Chairman Biggs moved that HB2645 as amended do pass.  The motion carried by a roll call vote of 7-4-0-2 (Attachment 10). 

 

HB2646 – technical correction; state highways – DO PASS AMENDED S/E

            S/E:  state properties; trailer

 

Vice-Chairman Biggs moved that HB2646 do pass.

 

Vice-Chairman Biggs moved that the Kavanagh two-page strike-everything amendment to HB2646 dated 6/26/09 (Attachment 11) be adopted.

 

Daniel Plumhoff, Majority Assistant Research Analyst, explained that the strike-everything amendment to HB2646 modifies the State Properties Budget Reconciliation Bill (BRB) (SB1031) which passed on June 4, 2009 (Attachment 12).

 

Mr. Jones stated that the two state trailers are on the site and used for agricultural mobile laboratories.  The trailers will be removed from the site and are needed for ongoing operations. 

 

In response to a question, Mr. Plumhoff advised that the Department of Public Safety (DPS) estimated the value of the airplane at about $500,000 and the helicopter at $1.1 million. 

 

Mr. Jones stated that the current market for aircraft is very depressed.  DPS spent over $25,000 a year ago on a prior budget to overhaul the engines and the aircraft has significant value, but in today’s market, the state would probably take a loss if it was sold.  The trailers were associated with the agreement to sell the agricultural lab estimated at as much as $2 million.  It is not part of the budget but proceeds from the sale would go to the General Fund.

 

Vice-Chairman Biggs announced the names of those who signed up in support of the strike-everything amendment to HB2646 but did not speak:

Greg Fahey, Associate Vice President, University of Arizona

 

Vice-Chairman Biggs announced the names of those who signed up in opposition to the strike-everything amendment to HB2646 but did not speak:

Anne Greenberg, governing board member, representing self

Thomas Donovan, Valley Interfaith Project

Will Heron, representing self

Frank Heron, representing self

Jack Day, representing self

Karleen Quastad, representing self

Jamie Pattee, representing self

Liza Green, Past President, Nadaburg Education Association, representing self

Mary Patricia Rush, special education teacher, representing self

Victoria Smith, public school teacher, representing self

Will Rogers, representing self

Michael Landry, special education teacher, representing self

Judith Simons, representing self

Ramon Garcia, representing self

Beth Driscoll, educator, representing self

Kylie Mote-Landry, service provider, representing self

Shelly Hegeman, school bus driver, representing self

Sylvia Clark, teacher, representing self

Deborah Shaffer, art educator, representing self

Kirby Clark, representing self

Joann Benoit, teacher, representing self

Cathy Paredes, teacher, representing self

 

Question was called on the motion that the Kavanagh two-page strike-everything amendment to HB2646 dated 6/26/09 (Attachment 11) be adopted.  The motion carried.

 

Vice-Chairman Biggs moved that HB2646 as amended do pass.  The motion carried by a roll call vote of 6-4-0-3 (Attachment 13).

 

HB2647 – technical correction; certificate of title – DO PASS AMENDED S/E

            S/E:  budget reconciliation; criminal justice; trailer

 

Vice-Chairman Biggs moved that HB2647 do pass.

 

Vice-Chairman Biggs moved that the Kavanagh 15-page strike-everything amendment to HB2647 dated 6/26/09 (Attachment 14) be adopted.

 

Kristine Stoddard, Majority Research Analyst, Judiciary Committee, explained the provisions of the strike-everything amendment to HB2647 (Attachment 15). 

 

Martin Lorenzo, Joint Legislative Budget Committee, conveyed that $100 million for prison privatization is the same as shown in previous documents, but the $495 million for refinancing has increased to $735 million.  There are not necessarily current liens against those facilities; there would be new liens generating the additional revenue.  The cost of servicing those mortgages depends on the interest rate.  At four-and-a-half percent it would be about $56 million per year beginning in 2011; at six percent it would be about $64 million. 

 

Vice-Chairman Biggs announced the names of those who signed up in opposition to the strike-everything amendment to HB2647 but did not speak:

Anne Greenberg, governing board member, representing self

Thomas Donovan, Valley Interfaith Project

Pat Vanmaanen, representing self

Will Heron, representing self

Frank Heron, representing self

Jack Day, representing self

Karleen Quastad, representing self

Jamie Pattee, representing self

Liza Green, Past President, Nadaburg Education Association, representing self

Mary Patricia Rush, special education teacher, representing self

Victoria Smith, public school teacher, representing self

Will Rogers, representing self

Michael Landry, special education teacher, representing self

Judith Simons, representing self

Ramon Garcia, representing self

Beth Driscoll, educator, representing self

Kylie Mote-Landry, service provider, representing self

Shelly Hegeman, school bus driver, representing self

Sylvia Clark, teacher, representing self

Deborah Shaffer, art educator, representing self

Kirby Clark, representing self

Jason Schnee, Arizona Education Association

Joann Benoit, teacher, representing self

Cathy Paredes, teacher, representing self

Eric Kurland, representing self

 

Mr. Lorenzo responded to questions concerning operation of maximum security prison facilities by private companies and acknowledged that the allocation to the Crime Lab Operations Fund (Page 2, lines 16 to 18) is sufficient to fund Crime Lab operations.

 

Question was called on the motion that the Kavanagh 15-page strike-everything amendment to HB2647 dated 6/26/09 (Attachment 14) be adopted.  The motion carried.

 

Vice-Chairman Biggs moved that HB2647 as amended do pass.  The motion carried by a roll call vote of 6-5-0-2 (Attachment 16).

 

HB2648 – technical correction; industrial development; insurance – DO PASS AMENDED S/E

            S/E:  budget reconciliation; K-12 education; trailer

 

Vice-Chairman Biggs moved that HB2648 do pass.

 

Vice-Chairman Biggs moved that the Kavanagh 50-page strike-everything amendment to HB2648 dated 6/26/09 (Attachment 17) be adopted.

 

Jennifer Anderson, Majority Research Analyst, explained that the strike-everything amendment to HB2648 modifies SB1187 related to the implementation of the FY 2009-2010 budget for
K-12 education, as transmitted to the Governor (Attachment 18).  She responded to questions concerning the provision specifying that school district employment contracts cannot include compensated days for professional association activities.  A lengthy discussion followed after which it was agreed that further clarifying language is needed for the Floor.

 

Rami Steinruck, teacher, Shadow Mountain High School, Paradise Valley Unified School District, spoke in opposition to the strike-everything amendment to HB2648.  She testified that eliminating funding for the excess utilities formula equals an $80 million cut to Arizona school districts.  While she realizes the state is experiencing a financial downturn, she does not understand why taxes are being cut in times when money is needed to keep the lights on as teachers educate future generations.  She urged the Members to consider funding the excess utilities formula.

 

Richard Ross, teacher, Paradise Valley Unified School District, conveyed that he is very disappointed that the two percent inflation factor that was approved and mandated by the voters through Proposition 301 is not funded in the current budget.  He urged the Members to reject the strike-everything amendment to HB2648.

 

Elaine Focht, middle school teacher, Paradise Valley Unified School District, spoke in opposition to the strike-everything amendment to HB2648.  She indicated that as a dedicated classroom teacher she cannot support a policy that removes legal contract date notifications, which will leave teachers in limbo without adequate time to prepare to educate their students.  Further, she does not understand why this policy is tied to the budget if it does not have a significant impact on the budget.

 

Paul Havlovic, educator, representing self, opposed the strike-everything amendment to HB2648.  He submitted that this measure does not make sense because it fails to provide $80 million in funding for the new utility formula to pay the utility bills.  He added that while it is true that lower corporate taxes would attract businesses to Arizona, it is also true that businesses need a well-educated workforce from which to draw employees.  He fears that reducing funding for schools will scare away families from Arizona.

 

Leah Knaeble, teacher/parent, Paradise Valley Unified School District, opposed the strike-everything amendment to HB2648.  She related that she is concerned about the future of her daughter who is getting ready to enter the ninth grade and the fact that the opportunities offered to her will be more limited due to cuts in this budget.  There will be higher fees for extracurricular activities because the district can no longer fund the utility bills for after-school events so parents are footing the bill.  Additionally, as an educator her take-home pay will be less.  The best way to balance the budget is to increase revenue. 

 

Joe Thomas, educator, representing self, Mesa, opposed the strike-everything amendment to HB2648.  He contended that many of the BRBs are just mean politics and the result will be that more people will want to join the Arizona Education Association union. 

 

Lois Fecteau, speech pathologist, representing self, Peoria, opposed the strike-everything amendment to HB2648.  She stated that she has deep concerns with the proposed budget.  The two percent inflation factor is restored in this measure but is removed in another section.  With that, she will earn at least $5,000 less pay next year and she is nearing retirement.  The Career Ladder program has been successful; however, cuts for the 2010 school year do not constitute a responsible or responsive action.  Teachers who did not participate in the program during the 2008-2009 school year cannot participate in the future, so she questioned what happens with teachers who took off to have a baby or went to school for additional improvement.  She asked the Members to consider the budget decisions and include all stakeholders, the Governor and all legislators regardless of their political affiliation. 

 

Chris Ackerley, Chair, Arizona Education Association Republican Caucus, opposed the strike-everything amendment to HB2648.  He stated that he is concerned that the provisions for paid association days are even in the budget bill since these and other policy recommendations do not have any impact on the state’s General Fund.  He respectfully requested that the policies go through a full, transparent, deliberate discussion at another time, not in a hurried budget bill. 

 

Nadine Mendez-Heifert, kindergarten English Immersion teacher, Gilbert Public School District; representing self, opposed the strike-everything amendment to HB2648.  She stated that budget cuts reduced the amount of time this year that kindergarten students are taught music and physical education by certified specialists.  Also, professional association activities are not clearly defined in this legislation so people who serve on national research committees and committees that work in tandem with the U.S. Department of Education to develop best practices in certain curricular areas will not be able to do so without significant hardship. 

 

Vice-Chairman Biggs announced the names of those who signed up in support of the strike-everything amendment to HB2648 but did not speak:

Mark Lane, representing self

Rip Wilson, k12/A Virtual Academy

 

Vice-Chairman Biggs announced the names of those who signed up in opposition to the strike-everything amendment to HB2648 but did not speak:

John Wright, Vice President, Arizona Education Association

Ramie Janis, representing self

Brian Bertilson, music teacher, Republican Middle School

Delicia Russell, parent, representing self

Leland Kriegh, teacher, representing self

Tipton Coffman, special education teacher, representing self

Chris Maza, teacher, Paradise Valley Unified School District; Arizona Education Association Anne Greenberg, governing board member, representing self

Dan Lawrence, representing self

Thomas Donovan, Valley Interfaith Project

Jennifer Loredo, Arizona Education Association

Keri Hicks, representing self

Irene Serna, representing self

Julie Cozad, taxpayer/teacher/voter, Marana Education Association

Pat Vanmaanen, representing self

Janet L Fee, retired, representing self

Will Heron, representing self

Frank Heron, representing self

Jack Day, representing self

Chris Fike, representing self

Cathy Paredes, teacher, representing self

Stacy Bishop, representing self

Terie Slugocki, teacher, representing self

Karleen Quastad, representing self

Hannah Washburn, representing self

Vu Nguyen, representing self

Jamie Pattee, representing self

Chris Howard, Arizona Education Association

Michael Delahunt, representing self

Chris Rudnick, representing self

Liza Green, Past President, Nadaburg Education Association, representing self

Jerry Burch, representing self

Mary Patricia Rush, special education teacher, representing self

Victoria Smith, public school teacher, representing self

Andrea Tovar, director, representing self

Will Rogers, representing self

Carole Chandler, public school educator, representing self

Sherri  Rambo, teacher, representing self

Rosemary Devine, educator, representing self

Michael Landry, special education teacher, representing self

Mike Covert, educator, representing self

Judith Simons, representing self

Dawn Olson, representing self

Natalie Fioramonti, educator, representing self

Camille Jackson, representing self

Teresa Smith, teacher, representing self

Patricia Dow, representing self

Marilyn Uhl, public school teacher, representing self

Elly Van Gelderen, professor, representing self

Lynn Stewart, retired teacher, representing self

Andrea Sellers, educator, representing self

Amy Dawn Shinabarger, professor, representing self

Theresa Shinabarger, elementary teacher, representing self

James Sellers, educator, representing self

Shari Bewsey, teacher, representing self

Lawrence Allen, representing self

Julie Wagner, media specialist, representing self

Kathy Ray, Title I school improvement specialist, representing self

Nancy Rogers, teacher, representing self

Harry Ray, representing self

Juanita Jamison, teacher, representing self

Zachary Ray, custodian, representing self

Kim Erwin, Department of Finance Business Manager, Arizona State University, representing self

Laura Coughlin, teacher, Deer Valley, representing self

Steven Jamison, FedEx manager, representing self

Vick Bender, teacher, representing self

Paul Strauss, representing self

Lisa Guzman, adjunct professor, representing self

Amy Simons, social worker, representing self

Leslie Allen, classroom teacher, representing self

Ramon Garcia, representing self

Philip Church, masters social work, representing self

Tina Boulton, educator, representing self

Naomi Van Deraa, teacher, representing self

Clorinda Erives, teacher, representing self

Chris Hazeltine, teacher, representing self

Joni Blakely, representing self

Beth Saulson, teacher, representing self

Stephanie Seigla, Arizona State Employees Association; Communications Workers of America Local 7055

Sammy Brauer, director of fine arts, educator, representing self

Beth Driscoll, educator, representing self

Kylie Mote-Landry, service provider, representing self

Janice Bustos, teacher, representing self

Shelly Hegeman, school bus driver, representing self

Sylvia Clark, teacher, representing self

Deborah Shaffer, art educator, representing self

Jane Przeslica, representing self

Kirby Clark, representing self

Dorothy Minnesota, elementary teacher, representing self

Jason Schnee, Arizona Education Association

Joann Benoit, teacher, representing self

Eric Kurland, representing self

Ted Downing, representing self

Stacy Lagoy, public education parent, representing self

Doris N. Flax, Education Director, League of Women Voters of Arizona

 

Mr. Schapira remarked that he has an amendment he will not offer in Committee, but he will meet with Mr. Crandall, Mr. Williams and staff to draft an amendment for the Floor.

 

Question was called on the motion that the Kavanagh 50-page strike-everything amendment to HB2648 dated 6/26/09 (Attachment 17) be adopted.  The motion carried.

 

Vice-Chairman Biggs moved that HB2648 as amended do pass.  The motion carried by a roll call vote of 8-4-0-1 (Attachment 19).

 

HB2649 – technical correction; open pit mining – DO PASS AMENDED S/E

            S/E:  budget reconciliation; higher education; trailer

 

Vice-Chairman Biggs moved that HB2649 do pass.

 

Vice-Chairman Biggs moved that the Kavanagh four-page strike-everything amendment to HB2649 dated 6/26/09 (Attachment 20) be adopted.

 

Jennifer Anderson, Majority Research Analyst, Education Committee, explained that the strike-everything amendment to HB2649 modifies SB1029 relating to implementation of the
FY 2009-2010 budget for education, as transmitted to the Governor (Attachment 21).

 

Vice-Chairman Biggs announced the names of those who signed up in support of the strike-everything amendment to HB2649 but did not speak:

Greg Fahey, Associate Vice President, University of Arizona

Steve Miller, Deputy Vice President Public Affairs, Arizona State University

Christy Farley, Executive Director, Northern Arizona University

Christine Thompson, Assistant Executive Director for Government Affairs, Arizona Board of Regents

Mitch Menlove, Arizona State University

Jaime Molera, lobbyist, Arizona Board of Regents

 

Vice-Chairman Biggs announced the names of those who signed up in opposition to the strike-everything amendment to HB2649 but did not speak:

Anne Greenberg, governing board member, representing self

Dan Lawrence, representing self

Thomas Donovan, Valley Interfaith Project

Pat Vanmaanen, representing self

Will Heron, representing self

Frank Heron, representing self

Jack Day, representing self

Karleen Quastad, representing self

Jamie Pattee, representing self

Liza Green, Past President, Nadaburg Education Association, representing self

Mary Patricia Rush, special education teacher, representing self

Will Rogers, representing self

Michael Landry, special education teacher, representing self

Judith Simons, representing self

Ramon Garcia, representing self

Beth Driscoll, educator, representing self

Kylie Mote-Landry, service provider, representing self

Shelly Hegeman, school bus driver, representing self

Sylvia Clark, teacher, representing self

Deborah Shaffer, art educator, representing self

Kirby Clark, representing self

Joann Benoit, teacher, representing self

Cathy Paredes, Tucson Education Association; teacher, representing self

Eric Kurland, representing self

Ted Downing, representing self

 

Question was called on the motion that the Kavanagh four-page strike-everything amendment to HB2649 dated 6/26/09 (Attachment 20) be adopted.  The motion carried.

 

Vice-Chairman Biggs moved that HB2649 as amended do pass.  The motion carried by a roll call vote of 7-5-0-1 (Attachment 22).

 

HB2650 – technical correction; health services; fees – DO PASS AMENDED S/E

            S/E:  budget reconciliation; health; welfare; trailer

 

Vice-Chairman Biggs moved that HB2650 do pass.

 

Vice-Chairman Biggs moved that the Kavanagh 22-page strike-everything amendment to HB2650 dated 6/26/09 (Attachment 23) be adopted.

 

Dan Brown, Majority Research Analyst, Health and Human Services Committee, explained that the strike-everything amendment to HB2650 includes provisions related to the budget for health and welfare programs and modifications to the health and welfare budget bill (SB1145) that passed earlier this year (Attachment 24).  Affected state agencies include the Department of Health Services (DHS), the Arizona Health Care Cost Containment System and the Department of Administration.

 

Bruce Liggett, Executive Director, Arizona Child Care Association, testified in opposition to the strike-everything amendment to HB2650.  He stated that members of small faith-based child care centers, nonprofit centers whose boards already approved budgets, small independently-owned businesses and large companies are asking how much fees will increase, and he is not able to tell them what the fees will be.  The child care rates are low and have not been adjusted for a long time, but they are currently set in statute and can be relied on.  Enrollments are down and people are struggling to make payroll, and now their licensing fees will increase.  He added that he wants to work with the Legislature on the issue.

 

Mr. Murphy submitted that there should be reasonable parameters on the child care supplement so people do not continue to use it year after year. 

 

Mr. Liggett responded that an entire range of people provide child care to individuals who are not subsidized by the state.  As far as passing on fees to licensing entities, in an ideal world there would be a chance to have streamlined regulations and efficient operations before expecting people who have to be licensed by the law, even if they do not take state clients, to meet these standards and then pay for them.

 

Amy Upton, Joint Legislative Budget Committee, acknowledged that the language on Page 17, Subsection O, Paragraphs 1 and 2 of the strike-everything amendment to HB2650 states that health benefits will be eliminated for state employees’ domestic partners (and their children) after October 1, 2009; state employees currently receiving those benefits will be grandfathered in.

 

Vice-Chairman Biggs announced the names of those who signed up in opposition to the strike-everything amendment to HB2650 but did not speak:

Dan Lawrence, representing self

Thomas Donovan, Valley Interfaith Project

Peri Jude Radecic, Director of Public Advocacy, Arizona Center for Disability Law

Eva  Hamant, representing self

Pat Vanmaanen, representing self

Will Heron, representing self

Frank Heron, representing self

Jack Day, representing self

Karleen Quastad, representing self

Jamie Pattee, representing self

Liza Green, Past President, Nadaburg Education Association, representing self

Mary Patricia Rush, special education teacher, representing self

Will Rogers, representing self

Michael Landry, special education teacher, representing self

Judith Simons, representing self

Amy Simons, social worker, representing self

Ramon Garcia, representing self

Philip Church, masters social work, representing self

Beth Driscoll, educator, representing self

Kylie Mote-Landry, service provider, representing self

Shelly Hegeman, school bus driver, representing self

Sylvia Clark, teacher, representing self

Deborah Shaffer, art educator, representing self

Kirby Clark, representing self

Joann Benoit, teacher, representing self

Cathy Paredes, teacher, representing self

Eric Kurland, representing self

Stephanie Seigla, representing self

 

Vice-Chairman Biggs announced the names of those who signed up in support of the strike-everything amendment to HB2650 but did not speak:

Laurie Lange Liles, Senior Vice President, Public Affairs, Arizona Hospital and Healthcare Association

Elizabeth Baskett, Arizona Hospital and Healthcare Association

Mitch Menlove, Arizona Health Care Association

Kathleen Pagels, Executive Director, Arizona Health Care Association

David Landrith, Vice President of Policy & Political Affairs, Arizona Medical Association

Jason Bezozo, System Director, Government Relations, Banner Health

Greg Fahey, Associate Vice President, University of Arizona

Ryan Harper, Abrazo Health Care; Vanguard Health Systems

Kathryn Busby, Arizona Association of Health Plans

 

Mr. Heinz moved that the Kavanagh 22-page strike-everything amendment to HB2650 dated 6/26/09 (Attachment 23) be amended as follows:

            Page 11, strike lines 17 through 32

            Strike pages 12 through 16

            Page 17, strike lines 1 through 24

 

Mr. Heinz explained that deleting Section 11 removes the elimination of domestic partner benefits which diminishes the state’s competitiveness, especially in trying to attract professors to the universities compared to most other universities throughout the nation that have these benefits.  This type of law also tends to hurt those who are not married but are in opposite sex relationships.  He added that in the context of the budget crisis, this does not have a tremendous positive or negative impact in terms of the number of people enrolling.

 

Question was called on the motion that the Kavanagh 22-page strike-everything amendment to HB2650 dated 6/26/09 (Attachment 23) be amended as follows:

            Page 11, strike lines 17 through 32

            Strike pages 12 through 16

            Page 17, strike lines 1 through 24

The motion carried.

 

Vice-Chairman Biggs moved that the Kavanagh 22-page strike-everything amendment to HB2650 dated 6/26/09 (Attachment 23) as amended be adopted.  The motion carried.

 

Vice-Chairman Biggs moved that HB2650 as amended do pass.  The motion carried by a roll call vote of 8-4-0-1 (Attachment 25).

 

HB2651 – technical correction; national guard – DO PASS AMENDED S/E

            S/E:  budget reconciliation; environment; trailer

 

Vice-Chairman Biggs moved that HB2651 do pass.

 

Vice-Chairman Biggs moved that the Kavanagh two-page strike-everything amendment to HB2651 dated 6/26/09 (Attachment 26) be adopted.

 

Rene Guillen, Majority Research Analyst, Water & Energy Committee, explained that HB2651 makes changes to the Environment Budget Reconciliation Bill (BRB) and deposits $600,000 into the Trust Land Management Fund (Attachment 27).

 

Vice-Chairman Biggs announced the names of those who signed up in opposition to the strike-everything amendment to HB2651 but did not speak:

Anne Greenberg, governing board member, representing self

Thomas Donovan, Valley Interfaith Project

Pat Vanmaanen, representing self

Will Heron, representing self

Frank Heron, representing self

Jack Day, representing self

Karleen Quastad, representing self

Liza Green, Past President, Nadaburg Education Association, representing self

Mary Patricia Rush, special education teacher, representing self

Will Rogers, representing self

Michael Landry, special education teacher, representing self

Judith Simons, representing self

Ramon Garcia, representing self

Beth Driscoll, educator, representing self

Kylie Mote-Landry, service provider, representing self

Shelly Hegeman, school bus driver, representing self

Sylvia Clark, teacher, representing self

Deborah Shaffer, art educator, representing self

Kirby Clark, representing self

Joann Benoit, teacher, representing self

Cathy Paredes, teacher, representing self

Eric Kurland, representing self

Jennifer Loredo, Arizona Education Association

 

Question was called on the motion that the Kavanagh two-page strike-everything amendment to HB2651 dated 6/26/09 (Attachment 26) be adopted.  The motion carried.

 

Vice-Chairman Biggs moved that HB2651 as amended do pass.  The motion carried by a roll call vote of 8-4-0-1 (Attachment 28).

 

HB2652 – technical correction; notaries public; conduct – NOT HEARD

            S/E:  statewide special election; sales tax

 

HB2653 – technical correction; trust lands; access – NOT HEARD

            S/E:  flat tax; individual income

 

HCR2037 – aircraft license tax; technical correction – NOT HEARD

            S/E:  temporary transaction privilege tax

 

Without objection, the meeting adjourned at 5:20 p.m.

 

 

 

                                                                        _______________________________

                                                                        Linda Taylor, Committee Secretary

                                                                        July 15, 2009

                                                           

(Original minutes, attachments and audio on file in the Chief Clerk’s Office; video archives available at http://www.azleg.gov)

 

 

 

 

 

 

 

 

 

 

 

  

 

 

 

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                        COMMITTEE ON APPROPRIATIONS

19

                        June 27, 2009

 

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