Capitol Notebook: New Private Option Bill Filed, Taxes And Budget On Agenda

A second bill to immediately end the Private Option was filed Tuesday as a key state Senate committee prepares to hear two other bills on the topic Wednesday.

Rep. Donnie Copeland, R-Little Rock, filed House Bill 1181 Tuesday afternoon.

Copeland’s bill, which has not been sent to a committee, would seek to phase out the Private Option with a Dec. 31, 2015 end date.

“The department shall notify a person enrolled in the Health Care Independence Program on or after the effective date of this act that (A) the program shall end on Dec. 31, 2015; and (B) the coverage provided by the program shall expire on Dec. 31, 2015,” the bill notes.

Under the bill, federal funding covers 100% of the cost of the temporary coverage created in the bill while no state money would be used.

“State funds shall not be used to pay costs associated with the Health Care Independence Act of 2013 … or authorized under Section 1902 of the Social Security Act, or the temporary coverage created under this section,” according to the bill. “The temporary coverage created under this section shall be implemented only if federal approval for the temporary coverage is received by the state and approval is consistent with this section.”

Copeland was the second legislator in as many days to file an earlier repeal bill.

Late Monday, Sen. Linda Collins-Smith, R-Pocahontas filed Senate Bill 144.

That bill would also get rid of the Private Option effective Dec. 31.

Collins-Smith’s bill is one of two bills scheduled to be heard Wednesday by the Senate Public Health, Welfare and Labor committee.

During the 8 a.m. hearing, committee members are expected to discuss Senate Bill 96, sponsored by Sen. Jim Hendren, R-Gravette.

The bill from Hendren would seek to fund the Private Option through Dec. 2016.

In the interim, a 16-member task force would look at the program’s future with a Dec. 31, 2015 date to complete a report on the issue.

HOUSE COMMITTEES
A pair of committees was also busy Tuesday, with one approving Gov. Asa Hutchinson’s tax cut proposal.

The House Revenue and Taxation committee voted to approve Senate Bill 6, with an amendment.

The amendment would exempt 40% of the income a person receives from capital gains, Talk Business and Politics’ Steve Brawner reported Tuesday.

The Senate Revenue and Taxation Committee approved the bill Jan. 21, with an amendment from Sen. Bill Sample, R-Hot Springs.

That amendment would have lowered the exemption rate from 50% to 30%. However, there was opposition in the House on the drop, with critics saying it amounted to a tax increase.

The Senate voted 30-3 Jan. 22 to approve the bill. The Senate also voted 24-6 Monday against a plan to recall the bill due to concerns over the exemption amendment.

Senate Bill 6 now heads to the House floor.

The Joint Budget Committee also received a copy of Hutchinson’s balanced budget proposal Tuesday.

The budget would create a $5 million computer sciences grant program, sends $11.4 million to counties to help pay for holding state prisoners in county jails as well as the tax cut proposal, spokesman J.R. Davis said in a statement to reporters.

FLOOR ACTION
The House approved two resolutions Tuesday, one of which honored a World War II veteran for his service.

The House voted unanimously by voice vote to approve House Resolution 1003, sponsored by Rep. Scott Baltz, D-Pocahontas.

The resolution honored 95-year-old William J. “Bill” Strauss of Salem, who served in the U.S. Army during the Battle of the Bulge.

Baltz called Strauss a “true American hero” and Strauss, who stood in the gallery, saluted lawmakers after the vote. He said Strauss “is one of the last actual cavalry soldiers ever” and actually rode on horseback during the World War II battle.

Strauss also volunteers at the local VFW post in Salem and talks to school children about the battle, Baltz said.

The House also approved House Resolution 1002, sponsored by Reps. Bruce Cozart, R-Hot Springs and John Vines, D-Hot Springs.

The resolution congratulated the Arkansas School for Mathematics, Sciences and the Arts for being ranked number 10 in a 2014 survey of America’s Top High Schools by the Daily Beast.

NEW BILLS
The Joint Budget Committee filed Senate Bill 146, which would fund the Arkansas Game and Fish Commission for the 2015-2016 fiscal year.

The bill includes $110.3 million for operations as well as $18 million to help restore habitats at the Dave Donaldson Black River Wildlife Management Area in northeast Arkansas.

The Joint Budget Committee also filed House Bill 1174, which would fund the Arkansas Department of Health as well as Senate Bill 147, which would fund the Arkansas Department of Veterans’ Affairs

ON TAP FOR WEDNESDAY
The House State Agencies and Governmental Affairs committee is expected to take up House Bill 1113 Wednesday.

The bill, sponsored by Rep. Nate Bell, R-Mena, would seek to get rid of the dual status of a state holiday honoring civil rights leader Dr. Martin Luther King, Jr. and Confederate general Robert E. Lee.

Bell amended the bill Monday night after some negotiations.

The amended bill would get rid of a June 3 holiday honoring former Confederate President Jefferson Davis and would instead create a Patrick Cleburne-Robert E. Lee Southern Heritage Day on Nov. 30.

The House Rules Committee is also expected to take up a bill to create a tax on so-called electronic cigarettes.

If approved by the House and Senate and signed into law, House Bill 1156, sponsored by Rep. Charles Blake, D-North Little Rock, would create a seven and a half-cent per fluid milliliter tax on electronic cigarettes.

The proceeds from the tax would be divided, with 25% of the revenue, each going to the Child Care and Early Childhood Education Fund of the Department of Human Services, Aging and Adult Services Fund at DHS, general revenue and the Department of Veterans’ Affairs cash fund.

COMMITTEE MEETINGS
The following is a list of committee meetings scheduled for Wednesday in the Arkansas General Assembly.

Joint Committees
7:30 a.m. – Joint Budget Committee-Special Language, Room B in MAC.
8 a.m. – Joint Budget Committee-Personnel, Room B in MAC.
9 a.m. – Joint Budget Committee, Room A, MAC.

House
10 a.m. – Aging, Children and Youth, Legislative and Military Affairs, Room 130.
10 a.m. – Agriculture, Forestry and Economic Development, Room 138.
10 a.m. – City, County and Local Affairs, Room B, MAC.
10 a.m. – State Agencies and Governmental Affairs, Room 151.
12 p.m. – Rules, Room B, MAC.

Senate
8 a.m. – Public Health, Welfare and Labor, Room 272.
Upon adjournment of Senate – Education, Room 207.
Upon adjournment of Senate – Judiciary, Room 171.

The House and Senate will convene at 1:30 p.m. at the Capitol.