The Ferguson Group Blog

Time for the House to Move on the Farm Bill

Last week, the Senate passed the Agriculture Reform, Food and Jobs Act of 2012, S. 3240, by a vote of 64-35 after voting on nearly 70 amendments. Of particular interest to local governments, the bill reauthorizes various broadband programs - the Distance Learning and Telemedicine Grant program is reauthorized with no changes, and the Broadband Access Program is changed substantially to the benefit of local governments. It provides a grant and loan component — similar to the stimulus broadband programs — unlike the previous Farm Bill program that relied solely on loans for broadband expansion. Local governments are eligible loan and grant recipients and all applicants are required to collaborate with their units of local government (if the applicant is not the local government, but a private entity).

The rural business programs are reorganized: the Rural Business Opportunity Grant program and Rural Business Enterprise Grant programs are consolidated into the Rural Business Development Grants program.

The conservation title of the bill was cut by $6.44 billion, largely by reducing the Conservation Reserve Program and consolidating 23 existing programs into 13. The bill combines the easement authorities of the Wetlands Reserve Program, Grasslands Reserve Program, and Farmland Protection Program into a new Agricultural Conservation Easement Program in which local governments will still be eligible to preserve working agricultural lands.

Finally, the bill includes an amendment introduced by Senator Sherrod Brown (D-OH) that reinstates $150 million in mandatory funding to rural development and beginning farmer/rancher programs. The bill passed by the Senate Agriculture Committee did not include mandatory funding for any programs in the rural development title, but the final Senate-passed bill includes funds for the water/wastewater backlog, two rural development business programs, and additional funds for the Beginning Farmer and Rancher Development Program.

Action on the Farm Bill now turns to the House, where the House Agriculture Committee is scheduled to mark up its version of the bill on July 11.

Please contact me at [email protected] if you have any questions.

Supreme Court Upholds the Affordable Care Act

Today, the U.S. Supreme Court upheld the constitutionality of the Affordable Care Act, ruling in favor of the so-called individual mandate today, the Medicaid expansion and other key provisions of the law.  The Court enjoined several lawsuits from states that challenged the constitutionality of the Affordable Care Act (ACA).  The largest issue facing the Court was the requirement that individual adults purchase medical insurance or face financial penalties.  The Court ruled that was permissible under the federal government’s taxing authority, “Simply put, Congress may tax and spend," Chief Justice John Roberts wrote for the majority. "This grant gives the federal government considerable influence even in areas where it cannot directly regulate."  Justice Roberts joined the court’s four “liberal” justices to form a 5 vote majority. 

ACA sets up a national system of state-based health care exchanges in which people can shop for health insurance coverage, the minimum scope of which is regulated by the law.  The Court upheld the exchanges.  Because most states have already taken steps to be in compliance with ACA, the impact the Court’s ruling will have on state and local governments is welcome news.   

The Court issued a complicated ruling regarding the Medicaid expansion.  The majority said that Congress may supply extra Medicaid funding to the states, but may not penalize the states.  ACA provides extra funding as incentives for states to expand coverage, but it also includes potential penalties for states that fail to expand coverage.  The Court ruled that the federal government may supply the extra funding, but it may not reduce overall funding if states fail to expand coverage.  The White House has never exercised the penalty. 

The reaction to the Court’s ruling from national political leaders has predictably followed the tone of this year’s presidential campaign.  It is unlikely that Congress (one chamber of which is controlled by each of the two political parties) will pass any legislation this year in response to the ruling.   

The complete ruling is available here.

If you have any questions, you are welcome to contact me at [email protected]

 

 

Speak Up About Impact of Digital Goods and Services Tax Fairness Act on Your Community

The House Judiciary Committee has scheduled a Full Committee markup for tomorrow, June 28^th, on the Digital Goods and Services Tax Fairness Act (H.R. 1860). H.R. 1860 was introduced last year by Congressman Lamar Smith (TX) and currently has 28 cosponsors. The Senate companion measure (S. 971) was introduced by Senator Wyden (OR).

H.R. 1860/S. 971 would preempt state and local governments’ taxation of downloaded music, movies and other online services, like photo storage.  In addition, the bill would exclude from the calculation of video franchise fees revenues generated by on demand and pay–per-view services.  The revenue generated by the fees for these popular serves has been used by communities for a variety of purposes, including, public safety, infrastructure, and parks. The loss of this revenue will be a burden for both state and local governments when they are already facing declining and or tight budgets.

If your Congressional Member is on the House Judiciary Committee, you may want to call him or her to voice your opposition to H.R. 1860. Remember --  when making calls regarding legislation it is important  to localize the issue and speak specifically about how, if passed, it would affect your community. In this case, you will want to speak directly about the potential financial impacts. Below is a list of the Congressional Members on the House Judiciary Committee. The markup is schedule to occur at 12 p.m. EST, so be sure to place your call soon!

Rep. Lamar Smith (R-TX), Chair 

Rep. John Conyers (D-MI), Ranking Member  

Rep. F. James Sensenbrenner (R-WI)  

Rep. Howard Coble (R-NC)  

Rep. Elton Gallegly (R-CA) 

Rep. Robert Goodlatte (R-VA) 

Rep. Dan Lungren (R-CA) 

Rep. Steve Chabot (R-OH) 

Rep. Darrell Issa (R-CA) 

Rep. Mike Pence (R-IN) 

Rep. J. Randy Forbes (R-VA) 

Rep. Steve King (R-IA) 

Rep. Trent Franks (R-AZ) 

Rep. Louie Gohmert (R-TX) 

Rep. Jim Jordan (R-OH) 

Rep. Ted Poe (R-TX) 

Rep. Jason Chaffetz (R-UT) 

Rep. Tim Griffin (R-AR) 

Rep. Tom Marino (R-PA) 

Rep. Trey Gowdy (R-SC) 

Rep. Dennis Ross (R-FL) 

Rep. Sandy Adams (R-FL) 

Rep. Ben Quayle (R-AZ) 

Rep. Mark Amodei (R-NV)

Rep. Howard Berman (D-CA) 

Rep. Jerrold Nadler (D-NY) 

Rep. Robert Scott (D-VA) 

Rep. Melvin Watt (D-NC) 

Rep. Zoe Lofgren (D-CA) 

Rep. Sheila Jackson Lee (D-TX) 

Rep. Maxine Waters (D-CA) 

Rep. Steve Cohen (D-TN) 

Rep. Hank Johnson (D-GA) 

Res. Com. Pedro Pierluisi (D-PR) 

Rep. Mike Quigley (D-IL) 

Rep. Judy Chu (D-CA) 

Rep. Ted Deutch (D-FL) 

Rep. Linda Sanchez (D-CA) 

Rep. Jared Polis (D-CO) 

Senate NFIP vote draws near… but not without controversy

Last week, the Senate Banking Committee released a revised version of the chamber’s bill (S. 1940) to reauthorize the National Flood Insurance Program (NFIP).  On Thursday, the Senate voted 96-2 to proceed with formal consideration of the bill.  At the time, Majority Leader Reid (D-NV) anticipated having the full Senate vote on the bill last Friday but, as often happens in Washington, his colleagues had other plans and there was not enough consensus on the bill to move forward with a formal vote.  The start of this week saw a bit more scuttle-buddle as Senators began introducing amendments to the bill that are not relevant to flood insurance issues, such as the one proposed by Senator Rand Paul (R-KY) on abortion and right to life. Majority Leader Reid vowed this morning that he would pull the legislation from the floor completely if Senators insisted on pushing for non-germane amendments to the bill and instead would focus on a short-term solution instead of a long-term reauthorization. 

With that said, Senate leaders continue to work to finish the bill and identify the amendments that will indeed move forward. That list will most likely be short and include only non-controversial amendments. There is strong bi-partisan desire to see the bill reach the floor of the Senate and a final deal is very close to being reached.  Leaders don’t want to delay the process further with a long, drawn out amendment process. If a deal can be reached on the non-germane amendments, the Senate could call for the first vote on the bill as early as this afternoon. 

Keep in mind that the House of Representatives approved their version of the NFIP reauthorization bill (H.R. 1309) with overwhelming bi-partisan support last July, almost one year ago. Continued delays from the Senate certainly will not sit well with House leaders who desperately want to send a bill to President Obama before the current extension of the NFIP expires on July 31, 2012. 

For more information, please contact Kristi More at [email protected].  

 

Residential PACE Programs Face New Challenges

Since July 2010, when the Federal Housing Finance Agency (FHFA) froze the national market for residential Property Assessed Clean Energy (PACE) programs by expressing concerns about the “safety and soundness” of PACE programs, most communities throughout the country have sidelined or halted their sponsorship of residential PACE programs. However, earlier this year, the Northern District Court of California ruled that FHFA – which regulates Fannie Mae, Freddie Mac, and the Federal Home Loan Banks – did not fulfill the full requirements of a rulemaking process when issuing its initial statement. As a result, FHFA has spent the last several months accepting public comment into how it could facilitate the growth of PACE programs while safeguarding mortgages held by the government-sponsored entities (GSE) it oversees.

Last Friday, FHFA issued a Notice of Proposed Rulemaking (NPR) for PACE underwriting standards, a key step in the formal rulemaking process. Despite receiving more than 33,000 letters in support of PACE programs, FHFA continues to insist that PACE programs present a financial risk to GSE-held mortgages and proposes that GSEs be prohibited from purchasing mortgages with a PACE obligation or consenting to the imposition of a PACE obligation on a mortgage. If this rule is finalized, it will likely spell the end of residential PACE programs – barring additional legal or legislative action – as the GSEs regulated by FHFA hold a significant share of the residential mortgage market.

Although FHFA’s notice is bad news for PACE supporters, the agency does leave some room for reaching a compromise that could allow PACE programs to move forward. Specifically, FHFA invites comments on three alternatives – finding an insurer who would guarantee repayment of the PACE obligation; tightening underwriting standards to qualify individuals who receive a PACE loan; and adopting the underwriting standards proposed by H.R. 2599. FHFA makes it clear that it considers all of these alternatives to be flawed, most significantly the framework proposed by H.R. 2599, but also indicates that it is unlikely to adopt an alternative without significant evidence that the financial risk to GSEs can be minimized.

Mica and Boxer Meeting Now to Reach Consensus on Highway Reauthorization Bill

If you’ve been following progress on the Highway Reauthorization bill, you know that House and Senate staff are continuing to make headway in resolving the low-profile issues in disagreement on the transportation parts of the conference, but consensus does not seem particularly close on the major areas of disagreement -- the matter of how to pay for the bill and the House-passed Keystone XL pipeline approval provision. 

As negotiations continue, there will come a point very soon when the House transportation counsels will have to switch the focus of their attentions from the conference to drafting the short-term extension that will be necessary to prevent a Highway Trust Fund program shutdown starting on July 1.  

I just received word that House Transportation and Infrastructure chairman John Mica and Senate Environment and Public Works chairman Barbara Boxer are meeting behind closed doors with their senior staff, in a meeting that is expected to last all afternoon, in an attempt to advance work on the surface transportation reauthorization bill.  This type of high-level, intensive negotiation could well result in progress on the conference agreement and we’ll update you as we know more. 

Prepare to Make the Most of Your Hill Meeting

If business or personal travel brings you to DC this summer, and you’re able to schedule time to meet with your Member of Congress or their staff, you can make the most of your time on the Hill by being fully prepared to be your best advocate.  When I take folks up to the Hill to request support for federal funding or intervention on permitting and regulatory issues, we plan in advance to do the following:

•           Clearly identify the issue or problem and provide a concise briefing sheet on the topic.
•           Propose a solution that is achievable with a specific request, which could include:

                    introducing or supporting legislation.

                    sending a letter of support or making a call.

                    convening a meeting of stakeholders and federal officials.

•             Know the other side’s perspective and be ready to address the opposition’s concerns.
•             Localize the issue with examples and, if applicable, facts regarding such things as economic impact, safety, and job creation. 
•           Be accurate and honest.
•           After the meeting:

                    follow up with thank you notes and electronic copies of your materials.

                    give credit where credit is due.

                    engage other supporters, the public, and the media when appropriate.

Also, don’t forget that the House and Senate will be in recess during the month of August, which could provide an opportunity for you to get in front of your delegation closer to home. And if you’re interested in seeing sample briefing or follow up materials, please get in touch with me at [email protected].

                  

An Opportunity for Small Communities to Solve Big Health Problems

The Affordable Care Act will create significant changes in the way that health care is delivered in our country and much of the focus has been on impacts to providers, business owners, and insurers.  What you might not realize is that the Affordable Care Act’s Prevention and Public Health fund will provide nearly $70 million to up to 50 small communities through Community Transformation Grants.  Letters of intent are due next week, June 18^th, but there is still plenty of time before the full application deadline of July 31^st to fully develop your proposal. 

The overarching purpose of this program is to prevent heart attack, stroke, cancer, diabetes and other leading chronic disease-related causes of death or disability through interventions to promote healthier lifestyles .  Awards are for projects that will be implemented over a two year period and the federal investment is significant with an average award in the range of $2.5 million and a minimum award of $200,000 for projects reaching up to 100,000 people. The focus is on activities and impacts, not research, so think big and think results!

Applicants should incorporate the overarching “Healthy People 2020” goals in plans and strategies.  These include:

• Attain high quality, longer lives free of preventable disease, disability, injury, and premature death.
• Achieve health equity, eliminate health disparities, and improve the health of all groups.
• Create healthy and safe physical environments that promote good health for all.
• Promote quality of life, healthy development and healthy behaviors across all life stages

Both governmental agencies and non-governmental organizations are eligible to apply and the strongest applicants will demonstrate coordination between both, so think about including school districts, local housing authorities, local transportation authorities, health departments, planning and economic development agencies, non-profit and community based organizations, and area aging agencies. 

Your Letter of Intent (no more than two pages, double-spaced – see sample in Appendix F of the grant announcement) need not be comprehensive, and it is due soon. I’d urge you to submit that by Monday so that you’ll have an opportunity to apply. I’d be happy to brainstorm projects with you and can provide sample project information, so please be in touch me at [email protected] if I can be of any help.

 

Assistance to Firefighters Grant Released Today, but Before You Begin Writing….

Today The Federal Emergency Management Agency (FEMA) released its Fiscal Year 2012 solicitation for the Assistance to Firefighters Grant program, with applications due July 7.  These grants can provide a variety of benefits to your local fire and EMS service, including training, equipment, wellness and fitness, modifications to facilities, and vehicles. 

Turnaround is quick and with stronger competition than ever before -- in the last round 16,500 agencies applied and only 1,700 received awards -- you’ll want to think strategically about how to put your best application forward.  Following is some advice I’ve received in recent conversations with the folks at FEMA who administer this grant. 

Be very specific about your fire company’s financial circumstances, not just the general financial circumstances in your community.

Use the AFG Get Ready Guide to prepare to write your application and then take advantage of a new self evaluation tool that will be available in the next few days. It will be identical to the scoring materials that will be provided to scoring panels.

In the past, population call volume was weighted heavily, but will be less so this year in the operations and safety category. So if your call volume has discouraged you from applying for these funds in the past, you should certainly reconsider.

Be reasonable about your request – if you submit an unreasonable “wish list” it may harm your chances of securing funds for the items that really are of vital need.

Prepare a detailed but  concise narrative, keeping in mind that a panel of your peers will be reviewing your application.

Note that cost share requirements and maximum grant awards are population based, so please be mindful of the guidance in the application materials and be in touch with me at [email protected] if you have any questions.  Good luck.

International AIDS Conference in DC this Year

For the first time in 22 year, the International AIDS Conference will be held in the United States.  In 2009, President Obama lifted the travel ban on HIV-positive foreigners, a policy which had blocked the US from hosting the conference since 1990.  Washington, DC is the host City and the venue is the DC Convention Center.  Over 20,000 registrants are expected with up to 15,000 additional people coming to participate in the Global Village and information sharing and networking.  On Friday, organizers released the draft schedule, including the list of plenary speakers. 

I’ll be representing The Ferguson Group and will be participating in workshops on community organizing and advocacy.   If your Health Department or other agency is sending representatives to the conference, please contact me at [email protected] so that we can connect.