Category Archives: Budgets

This alert this afternoon from the Massachusetts Municipal Association about municipal issues pending before the House Senate Conference Committee that needs to reconcile the two differing versions of the state budget enacted by each for the next fiscal year, which begins 7/1/13 –

Tuesday, June 4, 2013

HOUSE-SENATE CONFERENCE COMMITTEE WORKING ON FISCAL 2014 STATE BUDGET

Call Your Legislators and Urge Their Support for Guaranteed Municipal Aid Increase of $21 Million

Ask Your Reps and Sens to Weigh in With Conferees on $21 Million for UGGA and Other Key Issues

With fiscal 2014 just a few weeks away, the House and Senate have both approved state spending plans for the year that would increase funding for local government, but the bills have important differences that will be resolved by a conference committee before a final budget can be sent to the governor.

Now is the time to contact your Representatives and Senators and ask for their commitment to call on the conference committee to support key local government accounts and issues.  The goal for legislators is to deliver a budget to the Governor’s desk 10 days before the start of the fiscal year on July 1, which means that key decisions will be made between now and Friday, June 21.  Legislators must hear from you during this time!

PLEASE CLICK HERE TO DOWNLOAD A COPY OF THE MMA’S LETTER TO THE HOUSE-SENATE BUDGET CONFERENCE COMMITTEE

HERE ARE THE MAJOR ISSUES TO DISCUSS WITH YOUR REPRESENTATIVES AND SENATORS:

ASK YOUR LEGISLATORS TO SUPPORT THE HOUSE PROVISION TO GUARANTEE A $21 MILLION INCREASE IN UNRESTRICTED GENERAL GOVERNMENT AID:  The House and Senate both voted to increase funding for the Cherry Sheet Unrestricted General Government Aid account by $21 million, to $920 million, but the Senate would make the funds contingent on surplus revenues from the state’s fiscal 2013 budget, and if those funds are available, they would not be certified or available until October or November.  The House would guarantee the increase by including the $21 million appropriation in the municipal aid base for fiscal 2014.

ASK YOUR LEGISLATORS TO SUPPORT THE SENATE FUNDING LEVEL FOR CHAPTER 70 SCHOOL AID: The Senate budget would increase the fiscal 2014 level of funding to $4.30 billion, an increase of $130 million, $15 million more than the House.  This appropriation would ensure that all districts are able to reach the “foundation” level of spending, continue the scheduled “target share” reforms to set a fair framework for state and local contributions, and guarantee that all districts receive at least $25 per student in new aid next year.  Also, please ask your legislators to strongly support the language in section 3 of the Senate bill that would begin a limited four-year phase-in to include the health care costs of retired teachers in “net school spending” under Chapter 70 in districts where it is not already included.  This is a very important change that would more accurately and consistently count school spending and bring greater integrity to the state’s system of school finance.

ASK YOUR LEGISLATORS TO SUPPORT THE SENATE’S APPROPRIATION TO FULLY FUND THE SPECIAL EDUCATION CIRCUIT BREAKER:  The Senate budget would cover the estimated full state share of the special education circuit breaker program at $253 million, an increase of $10 million over the current fiscal 2013 level of funding, and $14 million more than the House would provide.  The circuit breaker was an important part of the landmark special education reform law of 2000 and helps all municipal and regional school districts afford quality care for students with the greatest needs.  Full funding was a signature achievement of the Legislature’s last year, and the $253 million appropriation is necessary to maintain the same level of commitment to the program.  These funds benefit citizens in every city, town and school district in the state.

ASK YOUR LEGISLATORS TO OPPOSE SECTION 37 OF THE SENATE BUDGET, WHICH WOULD ELIMINATE THE 10-MILE RESIDENCY REQUIREMENT FOR FIREFIGHTERS AND POLICE OFFICERS AND INCLUDE THIS IN COLLECTIVE BARGAINING:  Section 37 of the Senate bill would eliminate the statutory 10-mile residency requirement for police officers and firefighters and provide that residency is a subject of collective bargaining.  There is no similar provision in the House bill.  Currently, the law requires that police officers and firefighters reside no more than 10 miles from the communities in which they work.  Section 37 would undermine the management rights of cities and towns.  Currently, management may decide to seek a shorter limit, or may be willing to provide some flexibility, but that decision is entirely up to the municipal chief executive, who is held accountable by the voters on matters of public safety and security.  By statutorily stating that the residency limit would be a subject of collective bargaining, section 37 would strip the executive of this prerogative, and the residency law would be determined by the outcome of a bargaining agreement, exposing communities to serious management and logistical issues.  By making the residency limit an explicit subject of collective bargaining, section 37 would, for the first time, make the residency requirement subject to binding decisions by either the Joint Labor Management Committee or other entities, whereby an unaccountable arbitrator unfamiliar with the needs in a given municipality could unilaterally extend the residency limit beyond 10 miles, over the objections of the mayor, board of selectmen, manager or police chief.  This would be a major infringement on management rights, and would raise serious public safety concerns in affected municipalities.

ASK YOUR LEGISLATORS TO OPPOSE SECTION 92 OF THE SENATE BUDGET, WHICH WOULD STRIP CITIES AND TOWNS OF THE ABILITY TO SET FEES FOR EMERGENCY MEDICAL SERVICES (AMBULANCES):  Outside Section 92 of the Senate budget would make a detrimental change to how cities and towns set fees for emergency medical services, by giving this power to the Commissioner of Insurance instead of allowing communities to set fees locally.  There is no similar provision in the House bill.  Currently, cities and towns set fees and charges for a wide range of municipal services strictly limited by state law to the cost of providing that service. This is the same rule that applies to local charges for emergency medical services and ensures that rates are reasonable, and prevents insurance companies from shifting costs to local property taxpayers through below-cost reimbursements. The Legislature approved legislation last session that clarified this authority, but the bill was vetoed by the Governor. We do not believe that allowing the Commissioner of Insurance to set local fees and charges through regulation is the appropriate course of action, as this would undermine a local process that is currently fair and working well across the Commonwealth, and could seriously disrupt municipal finances if the state bureaucracy sets fees that are inadequate. While Section 92 would address the increasingly problematic “pay the patient” tactic used by insurance companies, it would take a step back by allowing the commissioner of insurance to set local rates through regulation, and would undermine a local process that is currently fair and working well across the Commonwealth.

ASK YOUR LEGISLATORS TO SUPPORT THE SENATE FUNDING LEVEL FOR CHARTER SCHOOL REIMBURSEMENTS:  The diversion of Chapter 70 school aid away from public schools to charter schools as tuition payments is a growing financial burden on local government as more charters are granted and existing schools expand.  The Department of Elementary and Secondary Education (DESE) estimates that in fiscal 2014 it will require $103 million to fully fund the state’s obligation to cover a portion of the loss of Chapter 70 school aid as required in the 2010 education reform law reimbursement formula.  This account is seriously underfunded in both the House and Senate budgets.  For fiscal 2014, we support the Senate appropriation to provide $76 million, which is $6 million more than the House number, and thus falls short of full funding by a smaller margin.

ASK YOUR LEGISLATORS TO SUPPORT THE SENATE BUDGET FOR MCKINNEY-VENTO FUNDING:  The Senate appropriation would provide $7.4 million to pay for the unfunded state mandate to provide transportation services to homeless students to schools outside the local school district, which is $1.3 million more than the House.  This is a very important account to the cities and towns across the state obligated to provide costly transportation services through the state’s acceptance of the federal McKinney-Vento grant.  The Legislature fully funded the account at $11.3 million this year.

ASK YOUR LEGISLATORS TO SUPPORT THE SENATE BUDGET FOR REGIONAL SCHOOL TRANSPORTATION:  The Senate would appropriate $51.5 million to fund reimbursements to school districts to help pay for a portion of the costs of transporting students, $5.5 million more than the House.  The additional funding would help all cities and towns in regional school districts.  DESE estimates that it would require $78 million to cover the state’s full share of this program.  In addition, the Senate would provide $3 million to reimburse cities and towns for the cost of transporting students to out-of-district vocational education programs.

ASK YOUR LEGISLATORS TO SUPPORT SENATE FUNDING FOR THE SHANNON GRANT PROGRAM:  The Senate appropriation would increase funding for the Shannon Anti-Gang Grant Program to $7 million, which is $2.5 million more than the House. This program is crucial to assist those communities dealing with very challenging public safety and gang-related issues.

ASK YOUR LEGISLATORS TO SUPPORT SENATE FUNDING FOR PAYMENTS-IN-LIEU-OF-TAXES (PILOT):  The Senate would provide $27.27 million in reimbursements due under the law to cities and towns that host and provide municipal services to state facilities, while the House would level fund the program at $26.27 million. PILOT payments are vitally important for those cities and towns that host state facilities, and the program has been underfunded for many years.

Call Your Legislators Today and Urge Their Support for Cities and Towns in the Fiscal 2014 State Budget

Thank You!

A Massachusetts Municipal Association alert this morning (copy below) indicates that the Senate passed its version of the state budget last night, and since the Senate voted more monies that the House, it goes to a conference committee now –

Friday, May 24, 2013

SENATE FINISHES DEBATE ON FY 2014 BUDGET

Senators Add Funding to Several Key Accounts

Senate Would Tie UGGA Increase to FY 2013 Surplus

State Budget Now Goes to Conference

Late last night, on Thursday, May 23, the Massachusetts Senate concluded debate on its $34 billion version of the fiscal 2014 state budget.

The full Senate embraced the Senate Ways and Means Committee recommendation to increase the appropriation for Chapter 70 school aid by $130 million over the fiscal 2013 level of funding, $15 million more than voted by the House last month, and included language in section 3 that would begin a limited four-year phase-in to include the health care cost of retired teachers as “net school spending” under Chapter 70.  This is an important change that would more accurately count school spending and bring greater integrity to the state’s system of school finance.

Senators also appropriated $253 million to fund the estimated full state share of the special education “circuit breaker” program, an increase of $10 million over the final fiscal 2013 level of funding, now that the Governor has reversed the earlier 9C reduction.   The Senate budget also includes a $3 million appropriation to reimburse cities and towns for the cost of transporting students to out-of-district vocational education programs.

Senate members considered 725 amendments, including many that the MMA promoted to add funding to key municipal and education accounts, and others that would impact the administration of local government.

The next step in the process will be for the House and Senate to appoint members of a special conference committee to iron out the differences and present a consensus budget to legislators prior to the beginning of the new fiscal year on July 1.

Here is a summary of Senate action on the key amendments and issues highlighted in the MMA’s budget Action Alert sent on Tuesday, May 21:

SENATE ADOPTS AMENDMENT TO PROVIDE A $21 MILLION INCREASE IN UNRESTRICTED GENERAL GOVERNMENT AID, CONTINGENT ON USING SURPLUS REVENUES FROM FISCAL 2013

The budget proposed by the Senate Ways and Means Committee did not include the $21 million increase for unrestricted municipal aid (the UGGA account) that the House embraced in its version of the fiscal 2014 budget.

The Senate Ways and Means budget would have level-funded UGGA at $899 million, in contrast with the House budget, which would increase the UGGA distribution by $21 million, bringing municipal aid up to $920 million for fiscal 2014.  The House budget reflects expected growth in Lottery revenues next year, which is now the main revenue source for UGGA distributions, and provides communities with a 2.3 percent increase, which is very modest when compared to the 4.4 percent growth in state spending that is contemplated in the Legislature’s fiscal 2014 budget framework.

The Senate adopted an amendment to use $21 million from a possible fiscal 2013 year-end surplus to bring UGGA distributions to cities and towns up to $920 million in fiscal 2014.  This approach is similar to the $65 million UGGA allocation that cities and towns received in November of 2011 during fiscal 2012, funded with surplus revenues from fiscal 2011.  The benefit is that cities and towns would likely receive the $21 million increase during fiscal 2014, but the disadvantage is that these funds are not guaranteed, and cannot really be budgeted for ongoing operations.  The MMA will be calling on the Conference Committee to adopt the House approach, which would guarantee the $21 million increase in your local aid base.

THE SENATE DID NOT INCREASE REIMBURSEMENTS FOR SCHOOL AID DEDUCTIONS FOR CHARTER SCHOOL TUITION

DESE estimates that it would require $103 million to fully fund the state’s obligation to reimburse cities and towns for a portion of the Chapter 70 aid lost to charter schools, as required in the 2010 education reform statute.  H. 1 included an appropriation of $80.3 million, but the Senate budget would fund the account at only $76.4 million.

The Senate rejected an amendment to fully fund the state’s share next year at $103 million. This remains a very important priority for those communities that host charter schools – without full funding, programs for students in the traditional public school system will be harmed.

THE SENATE ADOPTED AN AMENDMENT MAKING THE PUBLIC SAFETY RESIDENCY LIMIT A SUBJECT OF LOCAL COLLECTIVE BARGAINING

Police officers and firefighters are required by law to live within 10 miles of the community in which they work.  Many cities and towns have included more restrictive residency provisions in their collective bargaining contracts, and the Senate adopted an amendment to allow collective bargaining to decide whether to exceed the 10-mile limit.  The MMA is gravely concerned that this amendment would make a critical management right, the determination of whether to exceed the 10-mile limit, subject to bargaining and arbitration.  The MMA will be working to strike this amendment from the final version of the budget.

THE SENATE ADDED $1.25 MILLION TO THE McKINNEY-VENTO MANDATE REIMBURSEMENT, BRINGING THE ACCOUNT UP TO $7.35 MILLION

Senators voted to add $1.25 million to the original appropriation to pay for the unfunded state mandate to provide transportation services to homeless students to schools outside the local school district. The Senate now stands at $7.35 million, compared to the House appropriation of $6.1 million.  The fiscal 2013 appropriation is $11.3 million, now that the Governor has rescinded his earlier 9C reduction.

SHANNON ANTI-GANG GRANT PROGRAM

Senators adopted an amendment to fund the Shannon Anti-Gang Grant Program at $7 million, which is $2.5 million more than the House budget, and $750,000 more than this year’s funding level.  This program is crucial to assist those communities dealing with very challenging public safety and gang-related issues, which is why the Senate funding level deserves to prevail.

SENATE ADDS $2 MILLION MORE TO REGIONAL SCHOOL TRANSPORTATION REIMBURSEMENTS, BRINGING THE ACCOUNT UP TO $51.5 MILLION

The Senate approved an amendment to add $2 million more to reimbursements to school districts to help pay for a portion of the costs of transporting students, increasing the Senate funding for the account to $51.5 million.  The House voted to fund the account at $46 million, and the current funding level is $45.5 million.  DESE estimates that it would require $78 million to cover the state’s full share of this program, which demonstrates how far the Commonwealth is from meeting its commitment.  The MMA will be advocating for the Senate number.

$1 MILLION ADDED TO THE PAYMENT-IN-LIEU-OF-TAXES FOR STATE-OWNED LAND ACCOUNT, BRINGING THE SENATE UP TO $27.3 MILLION

The Senate voted to increase the PILOT program from its current funding level of $26.3 million up to $27.3 million.  The Governor and House budgets would level fund the account.  PILOT payments are vitally important for those cities and towns that host state facilities, and the program has been underfunded for many years.

SENATE BUDGET INCLUDES PROBLEMATIC PROVISION ON EMERGENCY MEDICAL SERVICES PAYMENTS

Section 92 of the Senate budget would make a detrimental change to how cities and towns set fees for emergency medical services.  Cities and towns set fees and charges for a wide variety of municipal services strictly limited by state law to the cost of providing the service.  This is the same rule that applies to local rate setting for emergency ambulance services and ensures that rates are reasonable and prevents insurance companies from shifting costs to local property taxpayers through below-cost reimbursements.  The Senate approved legislation last session that clarified this authority, but that important measure was vetoed by the Governor.  While Section 92 would block the increasingly problematic “pay the patient” tactic used by insurance companies, it would take a step back by allowing the commissioner of insurance to set local rates through regulation, and would undermine a local process that is currently fair and working well across the Commonwealth.  The MMA will be working to improve or strike the provision from the final fiscal 2014 budget.

PLEASE CHECK THE MMA WEBSITE (WWW.MMA.ORG) FOR FURTHER UPDATES AS ANALYSIS OF THE SENATE BUDGET CONTINUES.

Per the Massachusetts Municipal Association’s alert today, the Senate has passed the $300m. for road repairs, which is up 50% over last year –

May 23, 2013

SENATE ENACTS $300M FOR CHAPTER 90
BILL NOW GOES TO GOVERNOR FOR HIS SIGNATURE

Earlier this morning, the Massachusetts Senate enacted H. 3379, the $300 million Chapter 90 bond bill for fiscal 2014, by a unanimous vote.  This vital measure now goes to Governor Deval Patrick for his signature.  The $300 million Chapter 90 bill is a top priority for every city and town, and is urgently needed to fund essential road construction projects in every community.

As you know, in order for the $300 million to be available for use, four more steps must occur: 1) the Governor must sign H. 3379 into law; 2) immediately after signing the bill, the Governor needs to file a “terms bill” with the Legislature that is necessary to empower the state treasurer to issue the bonds to support the $300 million program; 3) the Legislature must pass the terms bill and the Governor must sign it into law; and 4) the Administration can then officially notify cities and towns of their fiscal 2014 Chapter 90 authorization amount.

PLEASE CLICK HERE TO DOWNLOAD A COPY OF THE MMA’S LETTER TO THE GOVERNOR.

Please contact the Governor’s office as soon as possible to urge him to sign the Chapter 90 bond bill into law and immediately file the terms bill with the Legislature.  The construction season is getting shorter with every passing day, and it is imperative that the Governor release the full $300 million authorization as soon as the terms bill passes the Legislature and reaches his desk.  Any slowdown in this process will delay important local projects, shorten the construction season, and increase costs for cities and towns.

When you contact the Governor, please thank him for his leadership on this issue, and urge him to support and release the full $300 million as soon as possible.  The Governor’s office can be reached at 617-725-4000, and letters can be sent to His Excellency Deval L. Patrick, State House, Room 360, Boston, MA 02133.

PLEASE CONTACT GOV. PATRICK’S OFFICE TODAY AND ASK FOR SWIFT ACTION TO SECURE $300 MILLION FOR CHAPTER 90

Thank You Very Much.

This alert came today from the Massachusetts Municipal Association, and shows the issues in the state budget debate that the MMA feels are important to towns –

Tuesday, May 21, 2013

SENATE BEGINS DEBATE ON FY 2014 BUDGET ON WEDNESDAY, MAY 22

PLEASE CALL YOUR SENATORS NOW TO SUPPORT KEY AMENDMENTS

Please Ask Your Senators to Vote for Additional Funding for Municipal and School Priorities

On Wednesday, May 22, the Massachusetts Senate will begin debate on S. 3, the fiscal 2014 state budget offered by the Senate Ways and Means Committee.  This is a $33.9 billion proposal that is $900 lower than the budget filed by the Governor in January.  Debate is only expected to last for a few days, so there is no time to lose!

The MMA supports the Senate Ways and Means Committee recommendation to increase the appropriation for Chapter 70 school aid by $130 million over the fiscal 2013 level of funding, $15 million more than voted by the House last month.  We support the language in section 3 that would begin a limited four-year phase in of including the health care cost of retired teachers as “net school spending” under Chapter 70.  This is an important change that would more accurately count school spending and bring greater integrity to the state’s system of school finance.

We also applaud the recommendation to cover the estimated full state share of the special education “circuit breaker” program at $253 million, an increase of $10 million over the current fiscal 2013 level of funding.   We support the $3 million appropriation to reimburse cities and towns for the cost of transporting students to out-of-district vocational education programs.  These core Senate Ways and Means Committee budget initiatives are deeply appreciated and are very important at the local level for the support of public schools.

Senate members have filed 725 amendments, and the MMA has analyzed all of them, and is working with legislators to advance key items that would benefit cities and towns.  These amendments would add funding to important municipal and school accounts.  The MMA is also opposing one amendment (Amendment 58), which would extend the residency limit for police and fire personnel to 35 miles away, instead of the current 10-mile limit.

CLICK HERE TO DOWNLOAD THE MMA’S LETTER TO SENATORS ON THE FISCAL 2014 STATE BUDGET

PLEASE DISCUSS THE FOLLOWING AMENDMENTS WITH YOUR SENATORS:

SUPPORT THE $21 MILLION INCREASE FOR UNRESTRICTED GENERAL GOVERNMENT AID (UGGA)

The budget proposed by the Senate Ways and Means Committee does NOT include the $21 million increase for unrestricted municipal aid (the UGGA account) that the House embraces in their version of the fiscal 2014 budget.

Adequate funding for Unrestricted General Government Aid (UGGA) is a top priority for cities and towns in every corner of Massachusetts.  Cities and towns rely on this essential local aid account to fund vital municipal and education programs, including police, fire and emergency response, public works, libraries, youth and senior programs, local schools, and much more.  As you know, this account has been cut by $416 million since fiscal 2008, leaving local government with fewer resources to provide the basic services that taxpayers and businesses depend on every day.  As a result of this reduction, reliance on the property tax to fund municipal budgets is at its highest point

in 30 years.  The Senate Ways and Means budget would level-fund UGGA at $899 million, in contrast with the House budget, which would increase the UGGA distribution by $21 million, bringing municipal aid up to $920 million for fiscal 2014.  The House budget reflects expected growth in Lottery revenues next year, which is now the main revenue source for UGGA distributions, and provides communities with a 2.3 percent increase, which is very modest when compared to the 4.4 percent growth in state spending that is contemplated in the Legislature’s fiscal 2014 budget framework.

Please ask your Senator to support Amendment 49 filed by Senator Donoghue and others that would use $21 million from the fiscal 2013 year-end surplus to bring UGGA distributions to cities and towns up to $920 million in fiscal 2014.  This is an essential amendment to provide much-needed assistance to every city and town.

REIMBURSEMENTS FOR SCHOOL AID DEDUCTIONS FOR CHARTER SCHOOL TUITION

DESE estimates that it would require $103 million to fully fund the state’s obligation to reimburse cities and towns for a portion of the Chapter 70 aid lost to charter schools, as required in the 2010 education reform statute.  H. 1 included an appropriation of $80.3 million, but S. 3 would fund the account at only $76.4 million.

Please ask you Senators to support Amendment 384 filed by Senator Chang-Diaz and others to fully fund the state’s share next year at $103 million. This is a very important priority for those communities that host charter schools – without full funding, programs for students in the traditional public school system will be harmed.

OPPOSE AMENDMENT 58, WHICH WOULD UNDERMINE THE PUBLIC SAFETY RESIDENCY LAW

The MMA is strongly opposing Amendment 58, which would effectively eliminate the statutory 10-mile residency requirement in state law for police officers and firefighters by unilaterally increasing the limit to 35 miles.  Police officers and firefighters are required by law to live within 10 miles of the community in which they work.  Many cities and towns have included residency provisions in their collective bargaining contracts, and this amendment would interfere with those agreements, disrupting the management of their public safety departments.  A majority of communities have not included any residency provisions in their contracts, as the 10-mile range works well for them, and these localities would suddenly face serious management and logistical issues.  Please ask your Senators to oppose Amendment 58 – this would be a major policy change that would impact police and fire departments across the Commonwealth, and should not be considered in the state budget.

Also ask your Senators to instead support Amendment 445 filed by Senator Brownsberger that would strike Section 37 in the budget bill and leave the residency law unchanged.  As written, Section 37 would be a major policy change that would impact police and fire departments across the Commonwealth by presenting a local avenue for public safety unions to go to Town Meeting or Councils to change the residency limit to 35 miles. We believe that the state law works as it is written.  No bills have been filed regarding the public safety residency issue, and thus we ask you to keep the law in place, rather than acting on an issue that hasn’t even been the subject of legislation or public hearings.

FULLY FUND THE MCKINNEY-VENTO MANDATE REIMBURSEMENT

Please ask your Senators to support Amendment 361 filed by Senator Lovely and Amendment 390 filed by Senator Creem that would increase from $6.1 million to $11.3 million the appropriation to pay for the unfunded state mandate to provide transportation services to homeless students to schools outside the local school district. This would level fund the program at the fiscal 2013 amount, following the recent reversal of the 9C cut imposed by the Governor in December.

SHANNON ANTI-GANG GRANT PROGRAM

Please ask your Senators to support Amendment 436 filed by Senator Donoghue and others that would increase funding for the Shannon Anti-Gang Grant Program from $6.3 million to $7.8 million. This program is crucial to assist those communities dealing with very challenging public safety and gang-related issues.

STUDENT TRANSPORTATION REIMBURSEMENTS

Please ask your Senators to support Amendment 322 filed by Senator Moore that would add $2 million to reimbursements to school districts to help pay for a portion of the costs of transporting students (increasing the account to $51.5 million).  DESE estimates that it would require $78 million to cover the state’s full share of this program, which demonstrates how far the Commonwealth is from meeting its commitment.  The additional funding would certainly help all communities in regional school districts.  It is important to note that this amendment would build on the impressive and very much appreciated increase proposed in the Senate Ways and Means Committee budget.

PAYMENT-IN-LIEU-OF-TAXES FOR STATE-OWNED LAND

Please ask your Senators to support Amendment 55 filed by Senator Rodrigues that would increase from $26.3 million to $27.3 million the reimbursements paid under the law to cities and towns that host and provide municipal services to state facilities. PILOT payments are vitally important for those cities and towns that host state facilities, and the program has been underfunded for many years.

PAYING FOR EMERGENCY MEDICAL SERVICES

Please ask your Senators to support Amendment 110 filed by Senator Donnelly that would strike Section 92 of S. 3, as that section would make a detrimental change to how cities and towns set fees for emergency medical services.  Cities and towns set fees and charges for a wide variety of municipal services strictly limited by state law to the cost of providing the service.  This is the same rule that applies to local rate setting for emergency ambulance services and ensures that rates are reasonable and prevents insurance companies from shifting costs to local property taxpayers through below-cost reimbursements.  The Senate approved legislation last session that clarified this authority, but that important measure was vetoed by the Governor.  While Section 92 would address the increasingly problematic “pay the patient” tactic used by insurance companies, it would take a step back by allowing the commissioner of insurance to set local rates through regulation, and would undermine a local process that is currently fair and working well across the Commonwealth.

PROTECTION OF THE PUBLIC FROM WEST NILE VIRUS

Please ask your Senators to support Amendment 63 filed by Senator Ross to allow municipal health departments, public works staff, and mosquito control agencies to use their own trained workers and seasonal employees to control West Nile carrying larvae that are developing in catch basins, instead of being required to use highly specialized professional pesticide applicators.

SENATE BUDGET DEBATE WILL START ON WEDNESDAY, MAY 22

PLEASE CONTACT YOUR SENATORS TODAY

PLEASE ASK YOUR SENATORS TO OPPOSE AMENDMENT 58 AND SUPPORT THE OTHER AMENDMENTS LISTED ABOVE

PLEASE CHECK THE MMA WEBSITE (WWW.MMA.ORG) FOR FURTHER UPDATES DURING THE WEEK.

Massachusetts Municipal Association alert this afternoon –

SENATE W&M RELEASES FY14 BUDGET PLAN

MIXED BAG FOR CITIES AND TOWNS:

EDUCATION ACCOUNTS $39M ABOVE HOUSE BUDGET

UGGA $21 MILLION BELOW HOUSE BUDGET

• Chapter 70 would increase by $130.1 million, $15.2 million more than the budget passed by the House

• The Special Education Circuit Breaker would be funded at $252.8 million, $14.3 million more the House

• Charter School Reimbursements would be funded at $76.4 million, $5.9 million more than the House

• Regional School Transportation would be funded at $49.5 million, $3.5 million more than the House

• BUT UNRESTRICTED GENERAL GOVERNMENT AID (UGGA) WOULD BE LEVEL FUNDED AT $899 MILLION, $21 MILLION LESS THAN THE BUDGET PASSED BY THE HOUSE

PLEASE CLICK HERE TO SEE THE CHAPTER 70 AND UGGA NUMBERS FOR YOUR COMMUNITY and access the entire Senate Ways and Means fiscal 2014 state budget proposal

At noon on Wednesday, May 15, the Senate Ways and Means Committee released its proposed fiscal 2014 state budget.  The proposal would invest more in key education accounts that cities and towns depend on to fund public education, but the plan also rejects the $21 million increase in Unrestricted General Government Aid (UGGA) embraced by the House of Representatives in April.  Senators have until 3:00 p.m. on Friday, May 17 to file amendments, and Senate debate will begin on Wednesday, May 22.  This means that local officials should contact their Senators immediately to secure a commitment to restore the House-adopted $21 million increase in unrestricted municipal aid during the budget debate, and support the progress that the SW&M Committee has made on key education priorities.

Please Contact Your Senators Immediately and Call on them to Co-Sponsor and Support the Amendment Offered by Sen. Eileen Donoghue to Include the $21 Million UGGA Increase in the Senate’s Fiscal 2014 State Budget

When you speak with your Senators, please tell them that this is the first time in recent memory that the Senate is proposing to fund unrestricted municipal aid at a lower level than the House.  In addition, please make the following points:

• Please remind your Senators that cities and towns use unrestricted municipal aid to fund critical and essential public services, including police protection, emergency response for fires and health emergencies, public works systems including roads and parks and vital maintenance, and much more, including funding school budgets, libraries, youth and senior programs;

• Please remind your Senators that UGGA has not been increased since fiscal 2008, and municipal aid is $416 million lower today than it was in fiscal 2008, which means local aid has been cut more deeply than nearly any other part of the state budget;

• Please emphasize that losing the $21 million in UGGA funds would be very disruptive this late in the municipal budget cycle – communities have been reasonable to count on the House number because it is only a 2.3 percent increase in a budget account that has been cut by 32 percent in recent years, and the Senate Ways and Means budget plan would increase state spending by 4.4 percent, but level fund municipal aid; and

• Please ask your Senators to co-sponsor the amendment that will be offered by Sen. Eileen Donoghue of Lowell to add the $21 million to Unrestricted General Government Aid.  Senators must sign on as a co-sponsor prior to the 3:00 p.m. amendment deadline this Friday, May 17.

KEY ASPECTS OF THE SENATE WAYS AND MEANS BUDGET:

Unrestricted General Government Aid

Even though the SW&M fiscal 2014 budget plan would increase total state spending by 4.4 percent, the proposal would level fund Unrestricted General Government Aid (UGGA) at $899 million, $21 million below the budget passed by the House of Representatives in April.  Communities use these funds to support essential municipal and school programs.  The House-passed $21 million increase would boost UGGA by just 2.3 percent, and local officials have been counting on this increase as they plan their own budgets for the coming year.  Senator Eileen Donoghue of Lowell will be offering a budget amendment to include the $21 million in the Senate’s fiscal 2014 budget. The MMA will be aggressively pushing to restore this increase during the Senate budget debate, and throughout the entire budget process as the House and Senate reconcile their versions of the budget prior to July 1.  It is vitally important for local officials to contact their Senators to urge them to co-sponsor and support this key municipal aid amendment.

Chapter 70 Education Aid

The SW&M budget proposal would increase Chapter 70 funding by $130.1 million, to fully fund the foundation budget formula, provide a minimum increase of $25 per student to every city and town, and add $16.9 million to phase in the 2006 target share reforms.  This is $15.2 million more than the budget passed by the House, and represents progress in securing a higher level of aid for many districts, although the Senate and House plans are still far below the $226 million increase proposed by the Governor earlier in the year (the Governor’s budget plan was based on passage of his $1.9 billion tax plan).

Special Education “Circuit Breaker”

The Senate Ways and Means Committee deserves praise for funding the Special Education Circuit Breaker account at $252.8 million, bringing that program up to or much closer to full funding.  This is $14.3 million more than the amount funded by the House, and $22.3 million more than the budget filed by the Governor in January.  This is a major achievement, and is very much appreciated by local officials.  The MMA will be strongly advocating for this funding level throughout the entire budget process.

Charter School Reimbursements

It is vitally important to fund the Charter School Reimbursement Account in order to protect regular public schools from financial harm due to the diversion of Chapter 70 aid to charter schools.  Underfunding the reimbursement account reduces funding for programs for the 97 percent of school children in traditional schools.  DESE estimates that it would require $102.7 million to fully fund the state’s obligation to cover a portion of the loss of Chapter 70 school aid deducted from local public schools and paid as tuition to charter schools, as required in the 2010 education reform law reimbursement formula.  Overall, DESE expects that cities and towns will be required to divert $406.8 million of their Chapter 70 aid to fund charter schools in fiscal 2014, $53.3 million more than in fiscal 2013, which demonstrates the importance of funding this key account to ease the blow to local districts that educate the vast majority of students.

The Governor’s budget filed in January included an appropriation of $80.3 million. This amount is $9.8 million higher than the current fiscal 2013 level (after the $1.0 million mid-year 9C cut). The House-passed budget would level fund the account at $70.5 million.  The Senate Ways and Means Committee is proposing a $5.9 million increase to $76.4 million.  The proposed increase represents some progress, but the account would still be significantly underfunded, and without full funding, programs for students in the traditional public school system will be harmed.  The MMA will seek to increase funding during the Senate budget debate.

Student Transportation Reimbursements

In December, the Governor cut regional student transportation reimbursements by $1 million, lowering the account to $44.5 million.  The House increased the fiscal 2014 funding level to $46 million in April, and the Senate Ways and Means Committee is proposing $49.5 million, a $3.5 million increase above the House.  This is an important account for many smaller communities in regional districts.  Full funding would require $78 million.

Shannon Anti-Gang Grant Program

The Shannon Anti-Gang Grant Program was funded at $4.5 million in the House’s fiscal 2014 budget plan, and the Senate budget committee proposes to add $1.75 million, which would restore the program to the current $6.25 million level.  This account is crucial to assist those communities dealing with very challenging public safety and gang-related issues.

Payments-in-Lieu-of-Taxes (PILOT), McKinney-Vento, and Library Aid

Several other important local aid accounts are level-funded in the Senate Ways and Means budget proposal, including payments to cities and towns that host state property ($26.27 million) and the McKinney-Vento program to transport homeless students to their original school districts ($6.05 million).  Library aid is also level-funded in the Senate budget plan ($16.055 million), which is $48K lower than the House-passed amount.

Please Contact Your Senators Immediately and Call on them to Co-Sponsor and Support the Sen. Donoghue Amendment to Add $21 Million to Unrestricted Municipal Aid (UGGA) in the Senate’s Fiscal 2014 State Budget

Please visit the MMA website at www.mma.org for the latest information as the budget process unfolds.

Thank you very much. 

Senate issues its budget – our #s ==>

Courtesy of John Nunnari, this afternoon –