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E-NEWSLETTER
REPRESENTATIVE PAUL DAVIS
46TH DISTRICT

OFFICE:

423-South, State Capitol
Topeka, KS 66612
785-296-7642
davis@house.state.ks.us

DISTRICT OFFICE:

900 Massachusetts Street, Suite 601
Lawrence, KS 66044
(785) 843-7674
(785) 843-7672 (fax)

HOME:

1731 Indiana
Lawrence, KS 66044
(785) 749-1942


Greetings from the Capitol! This has been a fairly good week at the Capitol. The House has concluded its business for the week, having worked several dozen bills this week. The best news is that an education plan has emerged in the House. The $500 million plan is bi-partisan and in my opinion does a good job of addressing the issues pointed out in the Legislative Post Audit study.

I don't believe that the headline in this morning's Journal-World was a very accurate reflection of the impact that the plan will have on the Lawrence School District. The plan, in its first year, would provide over $4 million in additional money for USD #497. This would allow the school district to reinstate all-day kindergarten, provide additional teacher salary increases, roll back fee increases imposed on students and parents over the last several years or take other measures that will benefit Lawrence schoolchildren.

Saturday is this year's "turnaround" date in the 2006 legislative session. That is the deadline for most bills to clear their house of origin to stay alive in the current session. Certain measures, such as budget and tax bills, are exempt from the turnaround deadline, but lawmakers ordinarily work furiously to push through other measures. The Legislature will take a brief break and return to session on Wednesday of next week.

Here's more information on the education plan:

HOUSE SCHOOL FINANCE PLAN INTRODUCED

The House Select Committee on School Finance introduced a bipartisan education plan on Thursday to address the school finance lawsuit and the Legislative Post Audit study on education that was presented the first week of session.

The new plan addresses the needs identified in the Legislative Post Audit report, but does so while at the same time granting flexibility in spending by individual districts. Some of the main points of the plan include:

* Approximately $500 million in additional school funding which will be phased in over three years, without a tax increase.

* Year one of the plan includes $175 million in additional monies and sets aside $500,000 for teachers who wish to become certified under English as a Second Language (ESL). These teachers transition teachers into English speaking classes as quickly as practical.

* The second and third years of the plan would distribute an additional $325 million and seeks to target poverty and at-risk students as identified by the Legislative Post Audit study. Accountability for how schools spend taxpayer dollars is a priority.

* School districts will be responsible for determining their own budgets based on a needs assessment and specifying priorities within that budget. Each district will be required to make specific reports on their budget to the Kansas Board of Education.

* Failure by any school district to meet average yearly progress in the first year will be examined by the Kansas Board of Education and the school will be required to reallocate it's resources in the following year(s) to address problem areas. A failure to meet average yearly progress in subsequent years will be addressed with increasing intervention by state education officials.

* Base Aid Per Pupil will increase by $50 on a yearly basis.

* The bill does not change the formula for low-enrollment districts.

* This bill fully funds the Post Audit recommendations on the at-risk & urban poverty weightings by the end of the third year.


HOUSE REPUBLICANS KILL LEGISLATION THAT PROVIDES SMALL BUSINESSES WITH OPPORTUNITY TO ACCESS AFFORDABLE HEALTH INSURANCE

One of the things that disappointed me this week was that the House Republicans defeated a proposal that I helped to create which would have given Kansas small businesses and individuals that are self-employed the opportunity to purchase more affordable health insurance. On almost a party line vote, the House defeated House Bill 2693. The bill would have established a pilot project which would have allowed qualified small businesses and self employed individuals the ability to purchase health insurance through the state employee health care plan.

Those who would purchase this insurance would have to pay the entire cost (the State would not subsidize their insurance) and provisions would be put in place so that adverse selection would not occur thereby driving up the cost of insurance for state employees. This concept has been tried in a number of other states and has been successful. Right now, those who don't work for a governmental entity or large business are at a significant disadvantage in the health care purchasing marketplace. This proposal would allow these businesses and individuals to enjoy the purchasing power that the State of Kansas is able to leverage.

Much of the Republican opposition to the bill came after the Kansas Chamber came out in opposition to the bill.

CLINIC REGULATION BILL PASSES HOUSE

Legislation passed the House of Representatives this week that would increase regulations and inspections of medical clinics, including abortion clinics. The measure would apply to every clinic in the state that does office-based surgery or other medical procedures. The bill passed the House on final action by a vote of 63-62. I supported this bill because it applies to all clinics and doesn't just single out one type of medical procedure.

Increased scrutiny of office-based procedures is needed because many procedures once done in hospitals are now done in office settings. Last year, Gov. Kathleen Sebelius vetoed a bill that would have imposed additional regulations on abortion clinics. She said she would sign a measure that covered all surgeries performed under anesthesia in doctors' offices and clinics. My hope is that the Senate will pass the House version of this legislation so that this bill can be enacted into law and we can move onto more important issues.

HIGHER EDUCATION INFRASTRUCTURE

A debate in the Statehouse over how to pay for hundreds of millions of dollars of repairs at public universitites has revealed similar needs at the rest of the higher education institutions. The Kansas Board of Regents has been lobbying for adoption of an increase in the state sales and property taxes and a bond issue to take care of $584 million in repairs at Kansas University and the five other regents institutions.

In the meantime, proposals have surfaced that would include repairs needed at the 19 community colleges and 11 technical colleges throughout the state. One measure that was floated would have increased the statewide property tax to establish a revolving loan fund to pay for repairs at all higher education institutions. While applauded by the community colleges and technical colleges, the regents gave it a thumbs down.

State universities already have the ability to borrow funds, Board of Regents President and Chief Executive Officer Reggie Robinson said. "But the critical point is they do not have the funding necessary to repay those bonds or loan agreements as proposed in this bill," Robinson said. The regents contend the backlog of maintenance has resulted from inadequate funding in past years from the Legislature. The regents' plan is to increase the state sales tax by one-tenth of a cent, increase the property tax by one mil, and issue $150 million in bonds.

However, community colleges and technical colleges are not included in that plan. Robert Edleston, president of Manhattan Area Technical College, told lawmakers that his school is in desperate need of help to make necessary repairs. His students have renovated buildings, and corporations are donating materials, but more is needed, he said, as the demand for services increases. He said that the technical college plans to add almost a dozen new programs to meet community needs, but they have no room in our existing facilities.

He stressed that the non-regents schools shouldn't be ignored; eighty percent of Kansas jobs require more than a high school diploma but less than a four-year degree," he said. The executive director of the Kansas Association of Community College Trustees, said the schools she represents have at least $55 million worth of repairs that need attention.

Buildings at regents universities are property of the state, while buildings at community colleges and technical colleges are property of local boards. Under state law, the regents have authority over the six public universities but are in charge of "coordination" of the community colleges and technical colleges.

In 1999, after numerous studies and failed attempts, lawmakers adopted higher education reforms, referred to in the Capitol as Senate Bill 345. The bill restructured higher education governance, changed the way universities were funded and promised increases for faculty salaries. The community colleges and technical schools were placed under the Kansas Board of Regents umbrella.

Budget problems have undermined some of the promised funding increases, but Senate Bill 345 helped unify governance of higher education. After several years of neglect, the Legislature, under the budget proposals of Governor Sebelius, has taken significant steps towards fulfilling the promises made in Senate Bill 345. I hope we will continue this in addition to addressing the deferred maintenance needs at all Regents institutions.


OFFICIALS STUDY WHETHER TAX CREDITS HELP ECONOMY

The State of Kansas provides businesses with millions of dollars of tax credits and exemptions each year, but many, including myself, have wondered whether the tax breaks do what they are intended to do. Do they lead to more jobs and investments? Is the Kansas economy strengthened?

Kansas Department of Revenue Secretary Joan Wagnon said state officials are starting to collect information that could lead to answers. The Department has been analyzing two major tax breaks offered to businesses - the high performance incentive program, which is taken mostly by manufacturers, and the business and job development program, which is taken primarily by retail businesses. The high performance incentive program gives a tax credit to qualified companies that make cash investments in training and education of employees. The business and job development program allows tax credits for job creation.

Sixty-four businesses received $12 million in tax credits under the high performance program in the 2003 tax year, the latest for which statistics are provided. Businesses reported investing $190 million. Nearly 500 businesses received $6 million in job development tax credits, leading to nearly 14,000 jobs. The firms in the report are not revealed because of the confidentiality of tax information.

Arthur Hall, director of the Center for Applied Economics at Kansas University, will evaluate the two tax credits. Information required to be reported to the state from the firms doesn't provide the detail needed to reach certain conclusions, Hall said. But, he said, he used what information was available to try to determine whether the tax credits were enough to alter a business's decision to expand or increase. He concluded the high performance investment credit had the greatest potential of pushing a company toward making an investment decision.

The job development credit, while helping businesses, was not producing the kinds of investment decisions that would benefit the general taxpayer, he said. "My numbers show that the business and jobs credit is a very small credit," Hall said. "No one is saying, 'I don't want this money,' but it's not enough money to change the investment behavior," he said.

The Department of Revenue will seek legislative approval to be able to obtain more data from companies that get the tax breaks.

TAX RETURN CHECK-OFF PROGRAMS

Senator Barbara Allen (R-Overland Park), herself a cancer survivor, introduced a bill that creates the Kansas Breast Cancer Research Fund through a new check-off on state individual income tax forms beginning in the 2006 tax year. While there is a cost to the state for modification of the tax forms, individual contributions to the fund wouldn't diminish state tax revenue. It was passed unanimously by the Senate.

Allen is uncertain how much money the check-offs would generate, but existing Kansas check-offs that benefit non-game wildlife and the Meals on Wheels program for seniors have taken in $3.4 million since 1988. Generally, no more than 5% of taxpayers participate in check-off programs. They typically donate $10 each, Allen said. Forty-one states have tax check-off initiatives. They raise $27 million annually for 80 different causes. Eleven states have implemented specific check-offs associated with breast cancer, Allen said.

The most frequently diagnosed cancer among women is breast cancer. It is the second-leading cause of cancer deaths among our state's female residents. In the next year, at least 2,000 new cases will be documented in the state. The disease will take the life of another 400 Kansas women.

The tax return check-off would be a convenient way for Kansans to support research on the prevention, treatment and cure of breast cancer at the state's only academic medical center. It also would nourish a broader goal of attaching a National Cancer Institute designation to the university's cancer center. An NCI designation, held by such institutions as the M.D. Anderson Cancer Center in Houston and Mayo Clinic in Rochester, Minn., is a "good housekeeping" seal indicating a facility maintains the highest standards in research and care.

And successful completion of the 10-year NCI designation process would bring to Kansas the kind of clinical trials that patients like Senator Allen have to travel to other places to obtain. People in this area of the country could be part of a medical crucible from which new approaches to therapy emerge and new hope is given to the sick. Women in Kansas should not have to travel to Texas or Minnesota or Boston to obtain the highest standard of care. Kansas women deserve to receive the best cancer care available right here in the Midwest, at home with their family and friends to support them.

A second check-off contained in SB 384 would set up the Kansas Military Emergency Relief Fund. This would allow Kansans to make gifts to an aid program -- food, housing, utilities, medical services -- for needy Kansas military personnel and their families.


ABSTINENCE-PLUS SEX EDUCATION

Students, teachers, parents and pastors converged on the Statehouse this week to insist on a law requiring abstinence-plus sex education in Kansas public schools. The issue fell to the Senate Education Committee because the Kansas State Board of Education allowed a mandate in place since 1987 that local school districts offer human sexuality classes to expire. Most districts have continued teaching sex education, but there is nothing to prevent all 300 from dropping the curriculum.

Under Senate Bill 508, local school boards would continue to provide age-appropriate abstinence-plus instruction in elementary and secondary schools. Information offered to students would deal with abstinence and sexually transmitted diseases, especially AIDS. The bill includes an opt-out feature for students who want to be excused. Nothing in a district's curriculum could be construed as teaching birth control methods.

The bill's lone conferee speaking in opposition was the executive director of Abstinence Education in Wichita. Debra Rukes, director of the Topeka YWCA's teen pregnancy prevention program, said the reality is that students need abstinence-plus programs in school. Two-thirds of teens have sex by the time they are high school seniors, and 30% of women get pregnant by age 20, she said. Erick Jensen, a science teacher in Kansas City, KS said schools must counter misguided peer advice. A surprising number of students think pregnancy can be avoided if they have intercourse while standing up, he said. "Having factual, medically accurate and age-appropriate curriculum and materials will help alleviate the urban legends."

SEX PREDATOR BILL ADVANCES IN HOUSE

One of the many bills that the House of Representatives took up this week deals with penalties for sex predators. The bill, which has been termed Jessica's Law (Jessica Lunsford was a 9 year old girl who was raped and killed in Florida by a sex predator who had been released from prison), substantially increases penalties for sex crimes against children and takes those crimes off the sentencing guidelines that are in Kansas law. Instead of using the sentencing guidelines, a person convicted of such an offense would receive a 25 year sentence on a first offense, 50 year sentence on a second offense and life in prison on a third offense.

The House Judiciary Committee made a number of changes to the bill because of a feeling that the bill is too overbroad. Most significantly, it adopted a provision, which I helped to draft, that gives prosecutors some discretion in deciding whether penalties ought to be enhanced in certain cases. The bill will now go to a conference committee where differences between the House and Senate versions of the bill will be reconciled.

KEEP IN TOUCH

It is a special honor and privilege to serve as your voice in the Kansas House of Representatives. I value and need your input on the various issues facing state government. Please feel free to contact me with your comments and questions. My office address is Room 423-South, State Capitol, Topeka, KS 66612. You can reach me at (785) 296-7657 or call the legislative hotline at 1-800-432-3924 to leave a message for me. Additionally, you can e-mail me at davis@house.state.ks.us. You can also follow the legislative session online at www.kslegislature.org.

Paul

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