2018 Legislative PRIMER

1. 2018 Legislative PRIMER AAFEPA November 2017 Lisa A. Woodard School Superintendents of Alabama

2. 2017 Legislative Session 1030 bills introduced • 299 enacted • 169 General Bills • 119 Local Bills • 21 Sunset Bills 152 of these bills were tracked/monitored by SSA • 32 Supported bills passed (many were local bills) • 16 Supported bills failed • 94 Watched bills failed • 10 Opposed bills failed

3. SUPPORTED LEGISLATION THAT PASSED • Autism Insurance ACT No. 2017-337 by Patterson • Applies only to companies with at least 51 employees and for services for patients up to age 18; and, • Delays the mandate on public insurance plans until Dec. 31, 2018.

4. LEGISLATION THAT PASSED WITH SSA AMENDMENTS • Memorial Preservation Act Act No. 2017-354 • SSA and several other groups pursued an Executive amendment that removed schools from some of the most-restrictive language • Civics Test Act No 2017-173 • Beginning with the 2018-2019 school year, students must successfully pass a civics test (60 out of 100 multiple choice questions) as a required component for completing the government course required in the high school course of study. • Exceptions are allowed for students who are passing the course.

5. SUPPORTED LEGISLATION THAT DID NOT PASS • Supplemental Legislation SB307 by Orr • $41 Million left on the table • Allocation of funds from the Education Advancement and Technology Account • County SuperintendentsHB252 by Crawford • Removes the $600 dollar restriction on travel for county superintendents and allows them to do work outside of the school system, i.e., teach a class, officiate at a sports event, etc. • Elimination of the 5-Day RuleHB384 by Fincher and SB288 by Dial • Increase time for public K-12 teachers to give notice of terminating employment from 5 to 30 days after school begins • Deleted requirements for postsecondary employees • Competitive Bid Exemption HB406 by P. Williams • Would have provided that a county or city school board which lets a public works contract which is less than $50,000 to be exempt from submitting a report regarding the contract to any agency of the state except for verification that the contract is less than fifty thousand dollars ($50,000) if the contract is required to be completed within 24 months announcement of the award and the completion of the project.

6. LEGISLATION OPPOSED BY SSA THAT FAILED • Financing New City Boards of Education HB444 by Harbison • Would have required that all costs related to the administrative office of a city board of education formed after the enactment of this legislation must be funded by the city and may not be funded by any state funds and shall be responsible for all costs and expenses related to the central administrative office, including, but not limited to, all of the following: • Capital costs, including rent, debt repayment, improvements, and maintenance costs. • Salaries and other expenses of the superintendent, administrators, and support staff. • Supplies and equipment. • Superintendents Required to Teach ClassesHB684 by Ball • This bill would have required all candidates for the position of county or city superintendent of education to have at least five years of full-time public school instructional experience before taking office and to be certified to teach a core subject in the public schools of the state. • Would also require every person employed as a local superintendent of education or a principal to serve as a classroom teacher for one core subject course each semester, excluding summer semesters, during the academic school year.

7. LEGISLATION THAT SSA AMENDED AND FAILED • School Choice and Opportunity Act HB245 by Collins • Proposed revisions to the Charter School Act • SSA was successful in getting an amendment in committee that protected local funds • Appointed County SuperintendentsHB350 by McMillan and SB267 by Brewbaker • Addressed SSA concerns that were not addressed in previous legislation. • Allowed elected superintendents to become appointed for an additional term without posting; • Contract can be executed at any time during the term of office • On or before March 1 of the last year of the term, the county BOE shall notify the elected superintendent of board’s intent to contract for an additional term • Implementation date of January 1, 2021 • Alabama Accountability Act SB123 by Marsh • Would have increased scholarship caps to be adjusted by the same amount as state per pupil funding. • Increased the liability an individual can claim against their income tax to 100% (was 50%) • Increased the maximum income tax credit that corporate income taxpayers may claim for contributions to a SGO from 50% to 75% of their tax liability • Reserved $15 million of the cap for individual donations • Allowed utilities gross receipts (UGR) tax credits to be claimed in an amount up to 100% of the total contributions to a SGO, for up to 75% of the UGR tax liability of the taxpayer, which may be carried forward up to three years

8. Passing bills is not easy… Just ask Trump This Photo by Unknown Author is licensed under CC BY

9. The Legislative Process Two Versions

10. The Process (textbook) • Bill is introduced in House of Origin (1st read) • Bill is assigned to committee, where you may have to work to get it on the agenda for a vote. • Amendments • Tabled • If the bill gets a favorable report in committee, it is reported out. This is what is called the 2nd read. A minimum of 24 hours is needed before the • 3rd read—Bill comes before the body in the House of Origin • Until both budgets pass and are transmitted to the Governor, all legislation must have a BIR (Budget Isolation Resolution) • If it is early in the session and the bill is non-controversial, it might be discussed from the regular calendar. • If not, you have to work to get it on the SOC (Special Order Calendar) as determined by the Rules Committee and even then, you may face challenges. • If it was amended, the amendment has to be approved by the body in addition to the bill • If the bill passes, it is enrolled and moves to the next chamber where the process starts all over again.

11. The Process (real world) Caucus Consensus Cash Fear

12. Leadership in the Legislature • Legislative bodies are organized around leaders Speaker of the House Rep. Mac McCutcheon Pro Tem of the Senate Sen. Del Marsh

13. Leaders are elected by the body and hold great power • Committee chairs • Handpick committee members • Determine where bills are assigned • Determine the flow of legislation • Convene and recess times • Determine meeting days(within confines of the Constitution—30 meeting days over 105 calendar days) • Determine order of bills on the Special Order Calendar • Appoint special committees and conference committees

14. Lawmaking • Process is one of compromise and consensus building • Any lawmaker can introduce any bill at any time during the legislative session • In general, bills that pass have two things in common: • Align good policy with good politics • Participation of multiple constituencies (which creates power) • Average time it takes an idea to become a law--if it’s not too controversial--is 3-5 years • It takes time to convince leadership that your ideas have broad enough support to make it to the agenda. Example: Tenure reform

15. The Actors (Warriors) Special Interest Groups (Example: SSA) • Represent a specific interest, business or point of view • Lobbyist provides information that can be used to persuade policymakers • Information is used to educate and inform the public State Government Departments (Example: State Department of Education) • Each has a “legislative liaison” whose job it is to follow the process and educate the policymakers and the public. • Provide expert information that is supposed to be neutral, not self-serving, and in the best interest of the entire community. Consumers, Citizens, and Taxpayers (Example: Autism Parents, Midwives) • Some are organized and sophisticated (i.e., Teaparty, NRA, AARP) • Follow, observe and participate in the policymaking process • Power comes from their ability to generate large numbers of people who are informed, get actively involved in the policy process, and vote regularly;

16. Policy into Law • When all three groups agree, their power coalesces around the policy and it becomes law. • It is usually good politics and generally good policy if all three of these groups are in agreement. • All three rarely agree • Effective policymaker will work to get at least two of the three groups to support the evolving consensus or compromise policy. • Try to get the SIGS and the consumer on the same page. • If consumers and taxpayers get discouraged, power goes by default to the SIGS • Well financed lobbyists usually have an edge

17. Knowing the process is incomplete without fully understanding the roadblocks.

18. #1—The Sponsor

19. #2—The Committee

20. #3—The Chair of the Committee

21. #4—The Subcommittee

22. #5—The Public Hearing

23. #6—Timing of Committee Action

24. #7—Committee Substitutes/Amendments

25. #8—Special Order Calendar (SOC)

26. SOC contd.

27. #9—The Budget Isolation Resolution (BIR)

28. #10—Floor Substitute or Unfavorable Amendment(s)

29. #11—Cloture

30. #12—The “catch all”

31. #13—The Basket

32. All of the previous 13 roadblocks are possible in the 2nd chamber. The 2nd chamber also presents a new set of roadblocks.

33. #14—Any changes to language in the 2nd chamber.

34. #15—The Conference Committee

35. #16—The Governor

36. In summary… Even when you know what you need to do, it doesn’t always go your way.

37. FY18 Education Trust Fund Appropriations Source: Mr. Kirk Fulford, Deputy Director, Alabama Legislative Services Agency 37

38. ETF Rolling Reserve Act FY18 Cap 38

39. University Education 19.65% TheSplit K-12:73.05% Higher Education:26.95% Community College Education 5.74% AllOther 5.78% K-12Program 68.83% 39

40. Condition of theETF FY 2017 and FY2018 40

41. ETF Foundation Program Analysis of Investment Source: Mr. Andy Craig, Deputy State Superintendent, SDE Administrative and Financial Services

42. What would an “Adequate” per student cost look like in Foundation Program dollars? Current (2018) ADM = 734,118.85 Base cost/per student $5,741 Base Cost Total Amount $4,214,543,919 Target base cost/per student $7,500* Base Cost/Adequate Amount $5,505,891,375 Shortfall/Gap $ (1,291,347,456) *Per study indexed Source: State Department of Education, October 2017

43. Foundation Program Investment Analysis

45. Foundation Program Investment Analysis

47. Pre-filed bills for 2018

48. County SuperintendentsHB12 by Rep. Crawford • Removes the restriction on county superintendents of “devoting entire time to public school business.” • Removes the $600 annual cap on travel “in counties where the maximum salary of the superintendent is prescribed by law.”

49. Resignation by teacherHB13 by Rep. Fincher/SB 14 by Sen. Dial • Maintains that a public k-12 teacher shall be permitted to terminate his or her employment within 30 calendar days before the first day of the next school term for students unless the termination is mutually agreed upon. • Legislation would require a public k-12 teacher to terminate employment at any other time by giving 30 (currently 5) days written notice.

50. Job Posting Change Sen. Brewbaker/Rep. Isaac Whorton • Would allow job postings on the LEA website, at a minimum • Reduces posting time from 14 to 7 calendar days