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February 2, 2009

In this week's issue of the Capitol Child Advocate:

Last Tuesday, Governor Nixon delivered the annual State of the State, announcing key budget cuts and increases for the current and upcoming fiscal years. Despite revised estimates of a $261 million budget deficit in FY’09 and an even larger shortfall in FY’10, Nixon’s budget places a priority on services for children and families, maintaining current eligibility levels for child care and expanding access to health coverage for children. Nixon’s budget also depends on a hefty increase in federal funding from the Economic Recovery Package which passed the U.S. House last week and will go to the Senate this week.

 

This week there are many updates on children’s legislation from the state houses in Kansas and Missouri that should be of interest to child advocates in Greater Kansas City. And finally, PFC would like to thank the more than 400 dedicated advocates who traveled through freezing rain, snow, and ice last Tuesday for Missouri’s 27th Annual Child Advocacy Day!

 

-MISSOURI UPDATE-

 

Nixon Outlines Priorities in State of the State

 

Governor Nixon delivered his first State of the State address to the General Assembly last Tuesday, January 27th, announcing his budget priorities for the current and upcoming fiscal years.

 

In light of new revenue projections of a $261 million shortfall in the remaining fiscal year, and only 1% revenue growth in FY ’10 which begins in July, the Governor’s budget cuts an unprecedented 1,329 state government positions, reduces or eliminates 50 state programs, and relies on an $809 million increase in federal funds for Medicaid (FMAP) that is projected to pass Congress in mid-February as part of the Economic Recovery Package.

 

Despite this dismal fiscal outlook, the Governor’s budget still mostly maintains and in some places enhances investments in Missouri’s children and families. In his State of the State, Governor Nixon cited investments in PreK-12 Education, children’s health coverage, and creating new jobs to keep Missouri working as some of the top priorities for his administration. View the complete text of the State of the State >>>

 

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MISSOURI

Nixon Outlines Priorities in State of the State

 

Highlights of Governor’s Budget for Children and Families

 

Children’s Bills of Interest:

- Quality Rating System, Senate Hearing Tomorrow!

- Parental Rights

- Child Care Licensing

- Importance of Early Childhood Resolution

- Child Poverty Council

 

Over 400 Attend Child Advocacy Day

 

KANSAS

Budget & Early Education

 

Teen Drivers

 

KIDS College Savings Program

 

Child Care Assistance

 

Tax Provisions in Gov. Budget

 

FEDERAL

SCHIP Passes Senate

 

Economic Recovery Package Passes House


Highlights of Governor Nixon’s Budget for Children and Families

 

Health Coverage: Nixon’s first step towards decreasing the 729,000 uninsured in Missouri will invest $231 million into expanding health coverage to an additional 62,000 Missourians, including 34,000 parents with incomes up to 50% of federal poverty and 27,000 children this year.

 

Children’s Health: Nixon’s plan focuses on reaching out to uninsured children who are eligible for state coverage, but not enrolled. Funding for the following children’s health initiatives is being requested in a supplemental budget request to FY’09, which means that the changes could be initiated as early as this spring:

·      Eliminate premiums for children in families with incomes between 150% to 225% FPL and reduce premiums for families over 225 % FPL to $50 per month.

·      Implement continuous eligibility for kids on SCHIP so parents don’t have to fear loss of coverage if their family or job situation changes.

·      Enhance outreach efforts to make sure children eligible for coverage are enrolled.

 

Child Care Assistance:

·      $3.4 million increase to maintain current eligibility at 127% FPL and transitional assistance up to 139% FPL, bringing total funding to $167 million.

·      The increased funding for child care eligibility was found by eliminating a $5 million child care monitoring program that was budgeted in FY’09 but had not yet been implemented. The monitoring program would have provided finger-image systems to child care providers to better track child attendance and subsidy payments.

 

K-12 Education: Fully funds the foundation formula for K-12 public education with an increase of $61.7 million, bringing total funding to $3 billion.

 

Early Childhood Education/Intervention:

·      $29.7 million increase for Early Childhood Special Education, for a total of $358.9 million.

·      $1.2 million increase ($30.4 million total) for the First Steps Program for children birth to age 3 with developmental delays or disabilities.

·      Maintains funding for Parents as Teachers at $34.3 million

 

Foster Care: $1.7 million to increase the foster care clothing and diaper allowance by an average of $140 per child.

 

View a summary of the Governor’s legislative priorities or Nixon’s complete FY 2010 budget proposal.

 

House and Senate Appropriations Committees are already meeting to begin reviewing the Governor’s budget, and many Republicans have voiced concerns that using one-time federal stimulus funds to balance this year’s budget could leave Missouri with an even larger budget deficit down the road. Yet with the unemployment rate rising to 7.3% in Missouri, and more and more families losing health coverage and at risk of falling into poverty, Missouri must make immediate investments in healthcare, education and our workforce to ensure that we pull ourselves out of this economic recession.

 

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Children’s Bills of Interest

 

An update on legislation relating to Partnership for Children’s 2009 Policy Agenda:

 

Quality Rating System (SB4 & HB387): SB 4, sponsored by Senator Charlie Shields (R-St. Joseph), will be heard in the Senate Committee on Health, Mental Health, Seniors, and Families on Tuesday, Feb 3rd at 8:15 am. The companion legislation in the House, HB 387 sponsored by Rep. Wayne Cooper (R-Camdenton), has been referred to the Special Committee on Children and Families but has not yet been scheduled for a hearing.

QRS is a voluntary 5-star system that would rate child care programs on quality components like staff education, annual trainings, learning environment, and family involvement. The bill also creates a Program Improvement Grant Fund to provide child care programs with technical assistance and professional development scholarships to improve the quality of care, which in turn means that more of our youngest Missourians will have a solid foundation from which they can grow, learn, and succeed throughout their lives.

 

Parental Rights (HB424 & HJR16): Representative Cynthia Davis (R-O’Fallon) has filed two bills this year, subject to voter approval, that gives parents and legal guardians a “natural and fundamental right to direct the care, education, and upbringing of their children.” The government would not be able to hinder this fundamental right unless there is “compelling governmental interest.”

The vague language of this legislation raises concerns over any potential impact on the care and treatment of abused and neglected children. This bill could be interpreted to limit the ability of our state's social workers, nurses, domestic violence shelter staff and teachers from reporting and treating abuse and neglect without parental notification.  This is particularly damaging if in fact the perpetrator is also the parent or guardian. HB424 has been referred to the Special Committee on Children and Families, but a scheduled hearing last Wednesday was cancelled and has not been rescheduled.

 

Child Care Licensing (HB383): An effort to reform child care licensing regulations in Missouri by Rep. Rachel Storch (D-St. Louis) has emerged from a state audit last year citing loopholes that put children’s safety at risk as well as the tragic death of an infant at an unlicensed child care home in Arnold, MO.

Last year, State Auditor Susan Montee found a home-provider who was licensed to care for 10 children, actually caring for as many as 18 children by herself. Her business was still legal because 8 of the children were related to her, and thus not counted under Missouri law. Even for providers caring for an illegal number of children, such as the case in Arnold resulting in an infant’s death, the state regulatory agency for child care has no authority to close illegal businesses and providers only risk being slapped with a $200 fine.

HB 383 would: 1) remove the exemption for unrelated children in determining child care licensure; 2) require license-exempt providers to disclose their exempt status to parents; 3) increase the fine for illegally operating a child care business to $200/per day with a cap of $10,000; 4) allow the Department of Health & Senior Services to close illegally operating unlicensed child care programs.

 

Read Susan Montee’s 2008 Audit of Child Care Licensing >>

7/15/08 - Infant’s Death Shows Gaps in Child Care Licensing >>

7/15/08 – Lawmaker Seeks Tougher Day Care Laws >>

 

Importance of Early Childhood (HCR15): Sponsored by Rep. Beth Low (D-Kansas City), this resolution states the importance of early childhood to Missouri’s workforce, economy, and children’s school readiness and states the General Assembly’s support for investing in early childhood programs.

 

Child Poverty Council (HCR14): Also sponsored by Rep. Beth Low (D-Kansas City), this resolution creates a "Missouri Child Poverty Council" to examine child poverty and make recommendations to the Governor and General Assembly on methods of improving the financial stability and well-being of Missouri’s children.

 

View PFC’s full tracking list for legislation relating to children’s health, education, and safety.

 

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Over 400 Attend Child Advocacy Day

Over 400 Missourians rallied at the Capitol last Tuesday for state investments in children and families at the 27th Annual Child Advocacy Day, traveling from across the state through freezing rain, snow, and ice-covered roads. During the morning and afternoon rallies, advocates heard from several members of legislative leadership about their commitment to early childhood education, children’s health care, and child care for working families, including Senate President Pro-Tem Charlie Shields, Senate Majority Leader Kevin Engler, House Speaker Pro-Tem Bryan Pratt, and House Minority Leader Paul LeVota. Rep. Wayne Cooper also spoke about his sponsorship of HB387, establishing a voluntary, statewide Quality Rating System in Missouri.

 

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-KANSAS UPDATE-

 

Thanks to our Partners at Kansas Action for Children and the KS Coalition for School Readiness for this update on children’s issues from the Kansas Statehouse:


Budget and Early Education. On Monday, January 26th, the Kansas Senate Ways and Means Committee, the committee responsible for deciding where our tax dollars are spent, voted to cut $5.1 million from the 2009 Children’s Initiative Fund (CIF), money that has already been promised to children’s programs this year.  Early learning programs across the state have already enrolled children and families for services based on the Senate’s commitment. Luckily, an amendment offered by Sen. Laura Kelly (D-Topeka) and approved by the Senate restores and protects early learning programs in the Children's Initiatives Fund (CIF). The Senate approved their version of the 2009 budget last week.

 

The House Appropriations Committee worked on its substitute version of the budget on Friday. At this point, the House's version would cut $3.1 million from the CIF and reduce each line item in the CIF by 4%. Cuts to the CIF stand to impact a number of early childhood programs and the across-the-board cuts would additionally impact services for children.


Teen Drivers. Rep. Lee Tafanelli (R-Ozawkie) introduced HB 2143, a Graduated Drivers Licensing bill, in the House Transportation committee on behalf of Kansas Action for Children and our partners. Partners on this legislation - designed to reduce teen crashes in Kansas and better prepare Kansas teens for the lifelong responsibility of driving - include AAA Kansas, Kansas Department of Transportation, Kansas Highway Patrol and State Farm Insurance.  


KIDS College Savings Program. A bill introduction was requested this week in the House Appropriations Committee to make permanent the KIDS College Savings Program. A bill number has not yet been assigned. The KIDS Program, which provides an incentive for low-income Kansas families to save for their children's college and vo-tech expenses, is up for renewal this year.


Child Care Assistance. Although the Governor's Budget did not recommend funding cuts for Child Care Assistance, it has become a serious concern in light of the across-the-board cuts proposed by the Senate this week for most agency budgets. SRS has indicated that the across-the-board cuts - which come to $11.6 million for the agency - would likely include a reduction in eligibility for Child Care Assistance.


Tax Components of Governor's Budget. The Governor's budget included three tax provisions intended to help balance the budget. The provisions include: freezing the corporation franchise tax at current levels instead of phasing the tax out; freezing the estate tax at current levels instead of phasing the tax out; and eliminating the Community Services Tax Credit. Kansas Action for Children testified in support of HB 2028 (Franchise Tax) and HB 2047 (Estate Tax). The hearing for HB 2070 (Community Services Tax Credit) is scheduled Feb. 3 in the House Tax Committee.

 

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- FEDERAL UPDATE –

 

SCHIP Passes Senate

 

The Senate voted last Thursday to reauthorize the State Children’s Health Insurance Program and provide health insurance to more than four million additional uninsured children. The vote was 66 to 32, with nine Republicans joining Democrats to support the bill. The House passed a nearly identical bill two weeks ago, by a vote of 289 to 139, with 40 Republicans joining nearly all Democrats in support of the measure. With few differences between the House and Senate measures, the House is expected to approve the Senate’s version quickly and send the final version to President Obama’s desk for signature.

 

One of the most significant sections of the SCHIP Reauthorization would allow states to use federal money to cover children and pregnant women who are legal immigrants. Under existing law, legal immigrants are generally barred from Medicaid and the State Children’s Health Insurance Program for five years after they enter the United States. The bill would increase tobacco taxes to offset the increase in spending, estimated at more than $32 billion over four and a half years.

 

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Federal Economic Recovery Package Advances

 

Last Wednesday, the House passed an $819 billion economic recovery package by a vote of 244-188 with no Republicans voting in favor of the bill. The Senate is expected to take up their version of the “American Recovery and Reinvestment Act” as early as today.

 

Key provisions of the House version for children and families include:

  • $2 billion for the Child Care Development Block Grant—allowing an additional 300,000 children to participate
  • $2.1 billion for Head Start—allowing an additional 110,000 children to participate
  • $87 billion for the FMAP (Federal Medical Assistance Percentage) to preserve state Medicaid programs
  • $13 billion for IDEA (Individuals with Disabilities Education Act)
  • A “Make Work Pay Tax Cut” for 95 percent of American workers, with a refundable tax credit of $500 per worker and $1,000 per couple, phasing-out at incomes of $200,000 for a couple
  • Significantly expand the number of families who can access the Child Tax Credit and the Earned Income Tax Credit
  • Increase the food stamp benefit by over 13% to help offset rising food costs

The Center on Budget and Policy Priorities has a breakdown of differences between the House and Senate federal recovery packages.

 

The Missouri State Senate has created a “Senate Select Committee on Oversight of Federal Stimulus” to analyze strategies for securing the maximum amount of federal dollars for Missouri coming from the federal economic stimulus plan that is anticipated to pass Congress in mid-February. The committee will issue recommendations in a report to the Senate by March 12, 2009.

 

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Until next week –

 

Carrie Shapton

Policy & Outreach Coordinator

Partnership for Children

Shapton@pfc.org

816-531-9200 x227