rep. watson october 2009

8/14/2019 Rep. Watson October 2009

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Fall 2009

NEWSFor The 144th From State Representative KATHY WATSON

www.KathyWatson144.com

New Laws Impacting Your Life

IMPORTANT INFORMATION FROM REP. WATSON

If you would like to receive automatic news alerts or information about important state government programs and services, pleasevisit www.KathyWatson144.com and click on Sign Up for E-News Updates. By signing up, you will receive news releases and leg-islative updates.

Below are brief summaries of some ofthe bills that have been enacted into law inthe current 2009-10 Legislative Session.Perhaps you, a member of your family or afriend will find this information helpful.

Act 1 (HB 84) establishes the Prevent-able Serious Adverse Events Act,which prohibits a health care provider whois responsible for causing an adverse eventfor a patient from seeking payment from a

health payor, patient or other responsibleparty. A preventable serious adverse eventis defined as an event that occurs in a healthcare facility that is within the providerscontrol to avoid, but occurs due to an erroror system failure and results in a patientsdeath, disfigurement, disability or loss ofbody function. Pennsylvanias Departmentsof Public Welfare, Health, and State havespecific duties and responsibilities underthe provisions ofAct 1.

Act 18 (HB 270) amends Title 23 (Do-mestic Relations) and permits a formermayor, a former or retired Pennsylvania jus-tice, judge or magisterial district judge whois not serving as a senior judge or seniormagisterial district judge, and who meetscertain criteria, to solemnize marriages.

Act 30 (HB 1770) allows those who arecollecting unemployment compensationto receive an additional seven weeks offederally-funded extended benefits underthe federal American Recovery andReinvestment Act of 2009 (ARRA).This bill is retroactive to July 1, 2009. Ifyou have filed an application for UCbenefits within the last year and havea specific question about eligibility,

please call 1-888-313-7284.

Act 31 (HB 1654) amends Title 7 (Banksand Banking) to provide for the licensureand better regulation of the mortgage in-

dustry and names Chapter 61 of Title 7, asthe Mortgage Licensing Act.The intentof the legislation is to bring Pennsylvaniasmortgage licensing law into compliance withthe federal Secure and Fair Enforce-ment (SAFE) for Mortgage Licensing

Act. Some of the important changes inChapter 61 include: removes licensureexemptions for mortgage originators; pro-vides a bonding requirement for mortgageoriginators; increases from 12 to 20 hoursthe pre-licensing education requirement forloan originators; provides for the denial ofa Mortgage Originator license. Changeshave been enacted in an effort to betterpolice the mortgage industry.

Act 37, (SB 240), the EmergencyMedical Services System Act, re-writesAct 45 of 1985, and places the newlyestablished and consolidated Act 37 intoTitle 35 (Health and Safety). Additionally,Act 37 amends Title 75 (Vehicle Code)by expanding the definition of emergencyvehicle. Included among the major provi-sions and expanded requirements of theEmergency Medical Services System

Actis that it defines the scope and prac-tice of EMS providers in accordance withnational standards, rather than basing itsolely on the EMS curriculum.

Act 38 (HB 39) strengthens Pennsylva-nias animal cruelty laws in reference to sur-gical procedures performed on dogs. Thefollowing procedures may be performedby a veterinarian, but are now a summaryoffense if performed by an unlicensed indi-vidual: cropping, trimming, cutting off, caus-ing or procuring to be cropped, trimming or

cutting off, the whole or part of the ear orears of a dog; debarking a dog by cutting,causing or procuring the cutting of its vocalcords, or by altering, causing or procuringthe alteration of any part of its resonancechamber; docking, cutting or procuring thedocking or cutting off the tail of a dog overfive days old; performing surgical births orcausing or procuring a surgical birth; orcutting off, causing or procuring the cuttingoff of the dewclaw of a dog over five daysold.

For more information on these orany other state laws or legislation in-troduced, please visitwww.legis.state.pa.us, click on Session Information,under the section labeled Find.

Legislation Becomes New Law LegislationExtending Health

Insurance Benefitsto Young AdultsThrough Age 29

Becomes Law

In a move to extend health carebenefits to individuals who mayotherwise lose coverage due toage, the House and Senate passedSenate Bill 189. Signed by theGovernor on June 10 as Act 4, the

new law mandates that at the optionof a policyholder, a health insurermust provide coverage benefits tothe insured employees child upthrough and including the age of 29.The policyholder on a group policywill be the employer offering healthbenefits to his or her employee.However, the employer would notbe required to contribute to anypremium increase.

According to the provisions of thebill, a child would have to meet thefollowing eligibility requirements: Is not married; Has no dependents;Is a Pennsylvania resident,

or is enrolled as a full-time studentat an institution of higher learning;and, Is not covered by another health

insurance policy.It is important to note, that if

the child is a student attendingcollege out-of-state, he or shemust maintain Pennsylvaniaresidency in order to qualify.

Act 4, which became effectiveon September 10, applies to theHealth Maintenance Organization Act (HMOs) and to the Blues onnew contracts and contract renewalsoccurring 90 days after the effectivedate of September 10, 2009.


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Transportation News

House Passes Legislation Dealing withTeen and Distracted Drivers

On April 27, 2009, Pennsylvania

moved one step closer to enactingstricter laws designed to protect teendrivers. House Bill 67, a com-prehensive transportation safety billintroduced by Rep. Joseph Markosek(Westmoreland County), passed bya vote of 168-24. House Bill 67contains the major provisions of Rep.Watsons current House Bill 289.Over the last three legislative sessions,Watson introduced bills to protect teensholding junior drivers licenses.

I have sponsored legislation and par-ticipated in numerous public hearingsto further improve the states graduatedlicensing law for teen drivers, saidWatson, who serves as the Republicanchairman of the House Subcommitteeon Transportation Safety. Distracteddriving, especially for young drivers,is one of the fastest-growing causesof serious car crashes, and its timeto reduce those distractions and save

more lives.Specifically, HB 67 limits the number

of passengers permitted in a vehicledriven by a junior driver (ages 16 to18) to only one under the age of 18,with the exception of siblings residingin the same household as the driver.This portion of the legislation is knownas Laceys Law in honor of LaceyGallagher who was killed in a single-vehicle crash in April 2007.

Other provisions ofHB 67 borrowedfrom Rep. Watsons teen driving legis-lation include: increasing the requirednumber of hours of behind-the-wheeltraining from 50-65, including 10 hoursof nighttime driving and 5 hours of driv-

TRAVEL NOTE

The Pennsylvania Departmentof Transportation (PennDOT) is upand running with its 511PA informa-tion system. By dialing 511 from alandline or cellular phone, travelersmay access a free, 24-hour servicewhich provides the latest traffic delaywarnings, weather forecasts, regionaltourism information, and links to majorairports and transit agencies. Theservice is also available on the Webat www.511PA.com.

Personalized traveler alerts arealso available by text message ande-mail for individuals who wish to reg-

ister for these services online. Cellphone users and text messag-ers should contact their pro-viders regarding local airtime,roaming or texting charges.

Rep. Watson urges all drivers torefrain from accessing the systemwhile operating a motor vehicle.

Winter SafetyReminders for

Motorists

Pennsylvania drivers should beaware that state law requires the re-moval of snow and ice from vehicles,including rooftops, prior to operation.Failure to comply could result in a fineranging from $200 to $1,000. Fallingdebris from a moving vehicle presentsa danger to all motorists and pedestri-ans travelling on the roadways.

In addition, Pennsylvania enacteda law in January 2007 which requiresthat vehicle headlights be turned onin conjunction with windshield wiperswhenever inclement weather or pooratmospheric conditions are present.This includes rain, snow, sleet, fog,mist, etc. Violators could be assesseda fine of up to $100 per offense.

Please do your part to help keep

our roads safe by obeying these andall of Pennsylvanias motoring andtraffic laws.

ing in inclement weather; and making it a

primary offense for anyone in the car underthe age of 18 to be riding without a seatbelt.Under the current law, a driver may be citedfor not wearing a seat belt only if stoppedfor another traffic violation.

HB 67 contains additional safety mea-sures for teen drivers. The bill definesand bans the use ofinteractive wirelesscommunications devicesby youngdrivers and requires reports of accidentswhich occurred while these devices werein use. HB 67 also clarifies suspensions

imposed on junior drivers as a result ofspeeding.

In an effort to make the legislationcomprehensive, HB 67 addresses driverdistractions for all adult drivers, as well.Official accident reports would includeinformation about whether an interactivewireless communication device was inuse at the time of the accident; PennDOTwould be required to compile data and pub-lish a report about the use of such devices

in vehicles involved in an accident; prohibitthe placement of video receiving equip-ment (monitor, television, video screen,etc.) in a vehicle where it would be visibleto the driver. Finally, HB 67 establishesan additional penalty for distracted drivingand defines the offense.

To read the full text ofHB 67, which hasbeen referred to the Senate TransportationCommittee for consideration, please visitthe General Assemblys website at www.

legis.state.pa.us.On a related note, Rep. Watson alsointroducedHouse Resolution 480, rec-ognizing the week of October 18 throughOctober 24 as National Teen DrivingSafety Week in Pennsylvania.

Highway Safety Now Enhanced at

www.DriveSafePA.org

IMPORTANT NOTE REGARDING

2010 HOUSE OF REPRESENTATIVES

CALENDARS

Due to this years budget constraints, no House calendars will be printedfor 2010. While recognizing that this is unfortunate, we believe it is a validand appropriate decision given the expense involved in the printing and theCommonwealths current economic condition. Hopefully, the states fiscalsituation will improve in 2011. We apologize for any inconvenience.

www.KathyWatson144.com


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for the 144th District

Construction of the 202 Parkway has finally begun! Therefore, below is an overview of the Parkwayconstruction process with an update on current status.

The 202 Parkway is a nine-mile stretch ofroad beginning at Route 63 (Welsh Road)in Montgomery Township and ending atthe Route 611 Interchange in DoylestownTownship, and aligned between UpperState and Stump Roads. It will includea four-lane roadway with five-feet widepaved shoulders between Route 63 andRoute 463 (Horsham Road); and a two-laneroadway with five-feet wide paved shoul-ders between Horsham Road and the 611Interchange. Completion of the roadway isscheduled for late 2011.

The Parkway design includes bridgesover Route 309; Almshouse Road; and NewBritain Road, with below-grade crossingsat Pickertown and Wells Roads. The onlyat-grade intersections within the BucksCounty portion of the road will be wherethe Parkway meets and crosses CountyLine Road; Limekiln Pike; Bristol Road; andLower State Road.

All necessary permits for the four stagesof Parkway construction have been granted.

Stage one, referred to as Section 701, theMontgomery County portion of the roadwaybetween Welsh and Horsham Roads, hasbeen cleared and graded, with culverts and

stormwater basins now in place. The work

is being completed by J.D. Eckman, Inc.Stage two, referred to as Section 721,is a 3.4 mile section of roadway betweenPickertown Road and the Route 611Interchange. The low-bid contractor forthis section is James D. Morrissey, Inc.of Philadelphia. Weather permitting, pre-liminary construction should begin beforewinter sets in.

Stage three, referred to as Section 711,is the middle portion of the roadway, locatedbetween Pickertown Road and Horsham

Road. Bids opened on September 10,and preliminary construction is set to beginbefore winter.

The final stage of the Parkway, Section7WM, is known as the Wetlands Mitigationsite. Mandated by federal law, a site wasselected along the Little Neshaminy Creek,north of County Line Road. This sectionwas developed to mitigate the impact ofthe construction of the Route 202 Parkwayon wetlands and wildlife. Work has been

performed on Section 7WM for more thansix months. This includes spring plantingswhich follow the directives of the U.S. ArmyCorps of Engineers and provide suitable

housing for ducks, geese, frogs, toads,and other aquatic invertebrates. Work onthis section will continue through the fallof 2009.

Proposed Detours: During the two-year long construction, there will be somedetours as the construction progresses andapproaches certain intersections. Planscall for Bristol Road to be a one-way detour(heading northwest) through the summer of2010 to avoid interfering with Central BucksSchool Districts fall bus schedule. A detour

around Pickertown Road is slated for late2010 once Bristol Road is re-opened. Everyeffort is being made not to gridlock the areaduring construction.

Adjacent Projects: In an effort toreduce traffic congestion in the areas sur-rounding the Parkway, County Line Road(Section WD1) will be widened betweenStump Road and Route 202; constructionis to begin in July of 2010. The widening ofHorsham Road (between Upper State and

North Wales Roads) is continuing.For more information and latest updates,

visit the official US202, Section 700 websiteat http://www.us202-700.com.

Visit the 202 Parkway atwww.us202-700.com


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Warminster District Office:1410 West Street RoadWarminster, PA 18974

(215) 674-0500

Internet Website:www.KathyWatson144.com

How to Contact

Representative Watson

Hilltown District Office:Hilltown Township Building

PO Box 166, 13 W. Creamery Rd.Hilltown, PA 18927

(215) 453-7888

Pennsylvanias Department of Military and Veterans Affairs continuesto accept applications for the Persian Gulf Conflict Veterans BenefitProgram. The deadline to apply is August 31, 2015.

Both current and former members of the Armed Forces are eligible for

the program if they meet specific criteria regarding active military serviceduring the Persian Gulf Conflict.

Complete details and applications for the Persian Gulf Conflict Vet-erans Benefit Program are available on the Pennsylvania Departmentof Military and Veterans Affairs website at www.persiangulfbonus.state.pa.us or by calling the Persian Gulf Veterans Benefit Programat 1-866-458-9182. Also, an informational brochure is available at Rep.Watsons district offices.

2008 Property Tax/Rent Rebate

Application Deadline Extended

Eligible applicants have until December

31, 2009 to file for a rebate on property

taxes or rent paid in calendar year 2008

through the Pennsylvania Property Tax orRent Rebate Program.

To qualify, individuals must meet one of the fol-lowing criteria:

A person who is 65 years of age or older as ofDecember 31, 2008;

A widow or widower 50 years of age or olderas of December 31, 2008;

Individual under 65 years of age who residedin the same household with a spouse age 65 orolder;

Disabled Pennsylvanians, age 18-64.

Total household income from all sourcesmay not exceed $35,000 for homeowners or$15,000 for renters. Only 50% of Social Security,Supplemental Security Income, and Railroad Re-tirement Tier 1 benefits must be included.

For an application or additional information re-garding eligibility and income sources which mustbe reported, please call Rep. Watsons Warminsteror Hilltown district office.

Attention Persian Gulf Conflict Veterans

NEW LAW IMPROVESHOME IMPROVEMENT

According to the provisions of the Home Improvement ConsumerProtection Act(Act 132 of 2008), which went into effect on July 1, 2009,all home improvement contactors in Pennsylvania who do $5,000 or moreannually in home improvements, must register with the PA Attorney Gen-erals Office. This registration is mandatory and is valid for two years.

The law defines a home improvement contractor as: Any personwho owns and operates a home improvement business or whoundertakes, offers to undertake or agrees to perform any homeimprovement. The term includes a subcontractor or independentcontractor who has contracted with a home improvement retailer,regardless of the retailers net worth, to provide home improvementservices to the retailers customers. The term does not includeany of the following:

(1) A person for whom the total cash value of all of that personshome improvement contracts is less than $5,000 during the previ-

ous taxable year.(2) A home improvement retailer having a net worth of morethan $50,000,000 or an employee of that retailer who does not

perform home improvements.A pamphlet entitled Contractor Registration Information is available at

Rep. Watsons Warminster and Hilltown district offices.Additional information regarding the Home Improvement Consumer

Protection Act, as well as an online registration form and a downloadableform are available on the Attorney Generals website, www.attorney-general.gov. Forms may also be requested by calling 1-800-441-2555.Completed paper applications may be submitted by mail to: PennsylvaniaOffice of Attorney General, Bureau of Consumer Protection, ATTN: Home

Improvement Contractor Registration, 15th floor, Strawberry Square,Harrisburg, PA 17120. All applications must be accompanied by a non-refundable fee of $50.

As of July 1, 2009, consumers have the ability to check to see if a homeimprovement contractor has registered by visiting the Attorney Generalswebsite or by calling the toll-free hotline at 1-888-520-6680.

New legislation, Senate Bill 973, adds the definition of home improve-ment retailer to the Home Improvement Consumer Protection Act. Ahome improvement retailer is defined as a person who sells materials foruse in home improvement contracts. Included in SB 973 is an increaseddollar value that a home improvement contract must reach before thecontractor can collect one-third of the contracts cost (currently $1,000,

it would change to $5,000 under this bill). SB 973 has passed both theHouse and Senate and awaits the Governors signature.

HELP WITH HEATINGBILLS AVAILABLE

Low income individuals and families may be eligible toparticipate in the Low Income Home Energy AssistanceProgram, LIHEAP, which runs until March 15, 2010.Income guidelines apply (cannot exceed 150 percent ofthe Federal Poverty Income Guidelines) and are basedon the size of the household. For example, a family of

four with a household income of $33,075 would qualifyfor assistance. If approved, a cash payment ranging from$100 to $1000 is sent directly to an eligible persons utilitycompany or fuel provider and credited to their bill.

The fastest way to apply is online at www.compass.state.pa.us. Applications are also available at the localCounty Assistance offices or by calling 1-866-857-7095.

For further information on this and other LIHEAP pro-grams including opening dates and deadlines (Crisis,Weatherization, etc.), please call Rep. Watsons Warm-inster or Hilltown district office.

NOTE: PECO customers may call 1-800-34-HELP-4

to apply for LIHEAP. To request information on otherPECO programs designed to assist low-income custom-ers including the Customer Assistance Program (CAP),the Matching Energy Assistance Fund (MEAF), and theCustomer Assistance and Referral Evaluation Services(CARES), please call 1-800-774-7040. For information onPECOs Low Income Usage Reduction Program (LIURP),call 1-800-675-0222.


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2009-10 State Budget Overview

from State Rep. Kathy Watson

It is often said that the most impor-tant and complex - charge of thestate legislature is enacting a Com-monwealth Budget. As in past years,

budget negotiations for the FY 2009-10Budgetwere filled with fundamental dis-agreements about revenue spendingand tax policy; but unique to the dis-cussion was the backdrop of the worstrecession since the Great Depression.With greater transparency, the publicgained a better understanding of theissues involved and the governmentoperations and services that wouldultimately be saved or cut.

Before I go any further, however,let me say that the prolonged budgetprocess was unacceptable and must

not be repeated. To that end, I amresearching possible legislation I willintroduce to require the introductionand vote on a budget bill before theJune 30 deadline. This might possiblybe accomplished by amending theHouse rules so that legislative lead-ers in either party will not be able tohold up the process for political gain.

It bothers me greatly that an institu-tion that should be a source of pridefor Commonwealth residents becamethe butt of many political jokes andmuch constituent anger. Using stateemployees, textbooks to non-publicschools, human service organizations,pre-schools, daycare and the like aspawns simply to gain a perceived tacti-cal advantage in budget negotiationsmust never happen again.

As the nations economy goes, so

goes the states economy; and thoseresults were reflected in Pennsylva-nias budget this year. When jobs,stocks, and the banking and autoindustries took nosedives, so too didthe revenue sources for the Common-wealth of Pennsylvania. As a result,actual revenues did not match projec-tions, leaving the state with a $3.2Bdeficit in the FY2008-09 Budget.

With most states facing similar short-

falls, the federal government madeavailable stimulus money moneythat could only be used to plug gapsin revenue, and only over the next two

years. It became painfully obvious tome and many of my House Republicancolleagues, that in order to put thestate on financially sound footing for

the long-term, we needed to reducestate spending and refrain from raisingtaxes on a citizenry already strugglingto make ends meet.

My guiding principles during the nu-merous budget votes taken betweenJuly and October were: governmenthas to function as a safety net forthose who are unable to take care ofthemselves, and the core functions ofstate government must be maintained.

All of those items which are not corefunctions, albeit great additions to ourquality of life, would have to be cur-tailed or suspended during this fiscalcrisis. This is the same process we allemploy in our own household budgetsduring harsh economic times.

A quick refresher on the annualbudget procedure: In early Februaryeach year, the Governor presentshis proposed state budget. This yearthe budget address was on February

6 and he proposed spending $29B.The House Appropriations Commit-tee then held budget hearings on theproposal during February and March.Governor Rendells budget was intro-

duced in May as House Bill 1416. TheSenate, as is customary, presentedtheir budget plan also in early May.Senate Bill 850spent $27.3B, and was

a counter-proposal and the startingpoint for negotiations.

As you can readily see in the Gen-eral Fund Spending chart, both pro-posals fell short on the revenue side,even with the addition of stimulusfunds. To further complicate mat-ters, each side held firm to specificbudgetary ideals: Governor Rendellwanted big dollar increases in publiceducation and public welfare, even

above the federal stimulus subsidy;and the Senate wanted a smaller-but-still-substantial increase (11-14%) inpublic education, but would balancethe budget with substantial cuts tomany other programs.

Recognizing his spending planwould require additional revenue,Governor Rendell proposed a 16%increase in the states personal in-come tax (from 3.07% to 3.57%), aswell as a host of new taxes and fees,

including: an increase in the salestax; taxes on tobacco products; taxesor fees on licensing and drilling in theMarcellus Shale natural gas and oil de-posits; the legalization of video poker


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machines; and licensing table gamesfor the states slot machine parlors.While House Democratic Leadershipagreed to most of these proposals, theSenate Majority leadership would not,nor would the House Minority.

By mid-June, what became clear

to me and many of my House rank-and-file colleagues was: 1) the budgetwould have to contain cuts in statespending across-the-board, includingthe Legislatures spending; 2) addi-tional revenue would need to be gen-erated, merely to get through the year;3) the Governors above-and-beyondeducation increases would artificiallyraise the hold harmless educationspending, which would require localtaxpayers to make up the differencewhen the stimulus money ends in twoyears; 4) the Senate RepublicansHouse Bill 850was too drastic in its cutsto social services and counties, leav-ing counties to make up the shortfallsby taxing their residents; and 5) theHouse, speaking in a bipartisan voice,would not approve a personal incometax increase.

Working from those conclusions, theHouse Republican caucus crafted a

No-Tax-Increase Budget (a/k/a theCivera amendment). The amendmentmade fair cuts to many programs andtrimmed operating expenses fromthe Legislature itself. It was a com-promise and took a middle groundon education spending. Many of thesupplemental grant programs (includ-ing those known derisively as WAMs),were eliminated for the duration of thisbudget. A tax amnesty program wasproposed to generate enough revenueto fill the existing budget shortfall, andthe monies from the Rainy Day Fundwould be used to balance the budget.

BasicEducation

SchoolDistrict 200809

Centennial 11,531,56$ 4 $CentralBucks 15,727,05$ 2 $Pennridge 9,491,60$ 6 $Souderton 8,046,45$ 9 $

However, no additional programswould be funded because their futurewould be fiscally uncertain.

Sadly, this compromise proposalwent nowhere. Under House Rules,the Majority partys Leader and Appro-priations Chairman decide what bills

will be voted on. Both men decidednot to call up the Governors budgetbecause they believed it would notget a majority vote; they believedthe Senate Republican budget mightactually pass, but would be vetoedby the Governor; and calling up theHouse Republican budget for a votewould have divided their own caucus.Therefore, with the budget deadlineapproaching and passing, they choseto do nothing.

By early July, state employees wereworking but not being paid becausethere was no current budget fromwhich to pay them. The House passedthe Governors spending plan (largelyon party lines), but without the ac-companying tax code to provide forthe revenue. The Senate amendedthe plan, and reduced spending to a$27.1B proposal, triggering a Con-ference Committee made up of the

leaders from both chambers. TheConference Committee deliberations,shown on live television in late July,only served to highlight the fundamen-tal differences in opinion. Underlyingthe intransience of the leaders and theGovernor was still the disagreementon the best way to bring the Com-monwealth out the recession. TheGovernor and the House Majority cau-cus wanted to increase spending andraise taxes to increase revenue, thusspending their way out of the reces-sion. The House Minority caucus pro-posed to cut spending and reduce the

total budget while still maintaining allof state governments core functions,without raising taxes or instituting newtaxes. They extolled the tighten thebelt approach which would mimic atthe state level what taxpayers weredoing in their household budgets.The two economic philosophies werediametrically opposed. The result -- astalemate.

It is important to remember thatthis clash of economic philosophiesplayed out against the backdrop ofthe Governors spending proposal of$29B, approximately $1B more thanwhat had been spent the previousfiscal year; and his insistence that anincrease to the Personal Income Tax

(PIT) was warranted. I am a believerthat since we are living through adevastating recession, with an unem-ployment rate of almost 10 percent, itis incumbent upon state governmentto decrease its spending. Consistentlyand through lots of rhetoric, the HouseMinority caucus held firm and, aftermore than two months, the Governorfinally agreed to compromise and re-duce his spending number.

This ultimately led to the compro-

mise budget between the Senate andHouse Democrats. Unfortunately,repeated tries by the House Minoritycaucus to have their two proposalsthat would have balanced the budget;made fair across-the-board cuts toprograms and services, for now, inthese bad economic times; and didnot require any new or increased taxes(see House Bill 1943) were never givena hearing in either the House or Sen-

ate chambers, nor discussed by theConference Committee, even whenthey could not agree on a plan.

The final FY2009-10 Budget reliesheavily on draining many of the statereserve accounts and increasingcertain taxes. The rest of the moneywill come from one-time only, federaldollars, available through theAmericanRecovery Reinvestment Act (ARRA),totaling approximately $2.62B (seechart).

Reserve funds that are being tappedinclude: the Rainy Day Fund for$755M(completely drains the fund); the


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MCare Fund with the money physi-cians pay as an assessment for liabilityclaims, $100M; the Healthcare providerRetention Account, $708M(completelydrains the fund); and the TobaccoSettlement Fund, $150M.

Draining the states reserve accountsto balance this budget means there willbe no available funds next year. Thiscould be devastating in the event theeconomy does not turn around. Giventhe fact that state revenues are al-ready $140 million short of predictedcollections, as of September 30, thisis a realistic concern.

Taxes that are being implementedinclude: the Capital Stock and Fran-chise Tax which is returned to its

2008-09 level of 2.89 mills and repre-sents a $374M tax on businesses; agross receipts tax applied to Medicaidmanaged care organizations that ispredicted to generate $525.5M; anadditional tax on cigarettes of 25 centsper pack which is estimated to gener-ate $97M in revenue; and a new taxon cigarillos, little cigars, of $1.60 perpack which should generate $16M.

These new and increased taxes

would not have been necessary un-der the compromise budget proposalI endorsed, House Bill 1943. In addi-tion, only partial withdrawals from thereserve accounts would have beennecessary under this plan.

On the revenue side, I could not sup-port taking the Mcare funds and drain-ing the Healthcare Provider Retentionaccount. I believe those takings willbe challenged by the doctors and hos-pitals in court as an illegal appropria-

tion of their funds and they will winthat challenge. Then this budget will beanywhere from $100M to $800M out-of-balance. Based on what I know willbe an uncertain fiscal environment in2010 and into 2011, I voted NO on theFY2009-10Budget, both the spendingand revenue plans.

To be sure, basic education didreceive a funding increase totalingan additional $300M over last years

appropriation. However, much of thatmoney comes from one-time stimulusfunds and, if not used for one-time

education needs by school districts,will increase the local tax burden in twoyears when federal stimulus funds aregone. (See chart below on what fundslocal districts will receive.)

It is important to remember that thiswas an uncommonly difficult budget

year. No matter which budget planultimately passed, there were goingto be cuts to many programs becausestate government could no longer beall things to all people and programs.However, House Bill 1943 and its de-rivatives made fairer across-the-boardcuts, instead of steep decreases infunding to some programs, and notto others.

That being said, I was especially

disappointed in cuts in funding to theEITC program, public libraries andhigher education. Education has al-ways been a priority of mine and theEITC program goes a long way in help-ing low-income families afford to sendtheir children to the school of theirchoice, giving them the chance for abetter education with more opportuni-ties. Also, public libraries are essentialto providing children and individualsof all ages with the materials neces-

sary to advance their learning, provideaccess to computers, and assist inpromoting literacy, job placement and

other services.While there are some positive eco-

nomic signs that point to the begin-ning of the recovery from this reces-sion, it is important to remember thatgovernments, whether state, local orfederal take an additional 18 months

to recover because of lost revenues.Therefore, when the new budgetseason begins in February 2010, allelected officials must put aside politi-cal gamesmanship and craft a budget,on-time, that is realistic in keeping withthe greatly reduced revenue dollarsthat will be available. The successfulbudget for 2010-11 must demonstratethat we can live within our means; fundstate governments core functions;support those who cannot take careof themselves; and encourage busi-ness development which providesfamily-sustaining jobs. If those goalsare met, Pennsylvania will be far alongthe road to recovery.

unding $Increase %Increase SpecialEducation TotalARRAFederal TotalBEF,SEF,ARRA %Increase

200910 Funding StimulusFunds Funding over0809

11,762, 195 23$ 0,631 2.00% $2,859,355 $ 1,718,211 $ 16,339,762 13.5%16,271, 654 54$ 4,602 3.46% $6,863,618 $ 2,978,849 $ 26,114,121 15.6%

9,854, 752 36$ 3,146 3.83% $3,073,799 $ 1,432,951 $ 14,361,501 14.3%8,515, 664 46$ 9,205 5.83% $2,828,191 $ 1,283,706 $ 12,627,561 16.1%


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WATSON INTRODUCES LEGISLATION IN THE 2009-2010 SESSION

ENERGY-EFFICIENT HOMEASSISTANCE PROGRAM

Continuing efforts to increase energyconservation and preserve the environ-ment, Rep. Watson introduced HouseBill 790 (formerly HB 543), which would

establish theEnergy- Efficient Home

Assistance Program, a two-year pilotprogram administered by the Pennsyl-vania Housing Finance Agency.

Under the provisions of HouseBill 790, buyers of new constructionhomes which meet certain efficiencystandards and/or contain certain al-ternative energy systems, would beeligible to receive grants up to $5,000.The buyer could use these funds tooffset closing costs, provide down-payment assistance or a mortgagerate buy-down.

A grant of $2500 would be availableto buyers whose homes include solarheating, wind energy or other alterna-tive energy systems. Another $2500grant would be awarded if the homeis certified as an Energy Star home,and exceeds the energy and waterconservation requirements as set forthin the statewide Uniform ConstructionCode. House Bill 790 was endorsed bythe House Environmental Resources

and Energy Committee and was re-committed to the House Appropria-tions Committee for consideration.

AGGRAVATED HARASSMENT BYA PERSON IN CUSTODY

House Bill 751 (formerly HB 1466)would further protect the health andwell-being of local law enforcementofficers by providing for the offenseof aggravated harassment of a lawenforcement officer by a person in

custody. The need for this legislationbecame evident following an incidentin Bucks County where a suspect incustody spat on a police officer andhospital personnel. That individualcould not be charged with a crimebecause as it is written, the current lawspecifically refers to a prisoner. Un-derHouse Bill 751, this offense wouldinclude a person in police custody aswell as one who has been chargedwith a crime. It would be classified as

a felony of the third degree.Therefore, a person in custody isguilty of aggravated harassment if,while in custody, the individual in-tentionally or knowingly causes orattempts to cause another to comeinto contact with blood, seminal fluid,saliva, urine or feces by throwing, toss-ing, spitting or expelling such fluid ormaterial. House Bill 751 is presentlyin the House Judiciary Committeeawaiting further consideration.

THE ADULT DAY RESOURCE ANDREFERRAL ACT

House Bill 269 (formerly HB 689)

would establish theAdult Day Resourceand Referral Act. This bill would assistand protect those Pennsylvania seniorcitizens who are care-dependent butprefer an alternative to long-term nurs-ing home care.

The demand for adult day servicesprovided either in the home or in acommunity-based setting continuesto rise. There is a need for a com-prehensive source of up-to-date,accurate information, cataloguing theavailability of these services by geo-graphic area.

House Bill 269 would require thePennsylvania Department of Aging tocontract with public or private entitiesacross the state to assume the roleof the adult day resource and referral

agent for their geographic area. TheDepartment would compile informationfrom these contracted agencies to cre-ate and maintain a central database ofadult day services including a list ofstate-approved older adult daily livingcenters and the services they provide.Establishing this system will help fami-lies to find quality and appropriate careand day services for their older familymembers.

House Bill 269 is currently in the

House Aging and Older Adult ServicesCommittee awaiting consideration.

VOLUNTEER FIRST RESPONDERLOAN FORGIVENESS ACT

House Bill 634 establishes the Vol-unteer First Responder Loan Forgiveness

Act, whereby an active volunteer firstresponder who completes a post-sec-ondary degree or certification programin a Pennsylvania post-secondaryinstitution may be eligible for a total of

$16,000 in loan forgiveness.House Bill 634 was referred to the

House Education Committee.

TELEMARKETER REGISTRATIONACT

House Bill 728 would amend theTelemarketer Registration Act, commonlyreferred to as the Do-Not-Call ListLaw to prohibit all telemarketing callson standard federal legal holidays.

House Bill 728 is awaiting consider-

ation in the House Consumer AffairsCommittee.

COMMUNITY-BASED HEALTHCENTERS

House Bill 1626 would redirect statefunding that already exists to allowcommunity-based health centers toextend their hours, expand servicesand serve more people. This leg-islation creates a $25 million grantprogram for community-based healthclinics, including Federally QualifiedHealth Centers (FQHC), rural healthclinics, hospital-based clinics, nurse-managed health centers, and volun-teer health care clinics.

By expanding the use of commu-nity-based health clinics, the imme-diate impact would be felt by thosePennsylvanians who need health careservices the most. Included among theservices provided by the provisions

of House Bill 1626 is vital pre-natalcare enabling mothers and babiesin underserved areas to receive thecare they need to be healthier. Manyindividuals whose medical needs arecurrently underserved would find amedical home where they would haveaccess to complete medical servicesinstead of making a trip to a hospitalemergency room.

In an effort to help uninsured andunderinsured Pennsylvanians, Rep.Watson amended House Bill 1626 intoHouse Bill 1. However, the amendmentwas not endorsed by the House Major-ity Leader and the measure failed onJune 10 by a 97-97 vote. Rep. Watsonwill not give up this initiative.

LEGISLATION TO PROTECTHOSPICE PATIENTS

In response to an inquiry regardingthe requirement to move a hospicepatient who is a resident of a personalcare home during a DPW-mandated

monthly fire drill, Rep. Watson hasintroduced House Bill 1893. Thislegislation will allow a resident who isbeing treated or cared for by a licensedhospice provider and who has signeda written waiver to be exempted fromparticipating in a regularly scheduledfire drill if a licensed clinician has madea determination that participating in afire drill will accelerate or hasten death.House Bill 1893 is in the House Agingand Older Adult Services Committee

awaiting consideration.

LEGISLATION REQUIRINGCARBON MONOXIDEDETECTORS IN CARE FACILITIES

Rep. Watson is reintroducing legis-lation that would require carbon mon-oxide detectors in care facilities suchas domiciliary care homes, long-termcare nursing facilities, older adult liv-ing centers, personal care homes andassisted living residences. House Bill

2062 is similar to Watsons previouslegislation, but the new bill incorpo-rates recommendations provided bythe Philadelphia Fire Commissionerand his staff.

If you would like to receive a copy ofthese or any House Bills, please callthe Warminster or Hilltown office. In-dividuals wishing to track the progressof any legislation may do so by visitingthe General Assemblys website atwww.legis.state.pa.us and clicking onSession Information under the sec-tion labeled Find.

rep. watson october 2009

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