Appropriations Committee Report – week 14, 2017

April 12, 2017 Senate Staff Appropriations Committee, Blog, Votes 0

SF 498 – Federal block grant
SF 497–Transportation budget
SSB 1190 – Medical Cannabis Act
SSB 1192—Administration & Regulation Budget

COMMITTEE ACTION:

SSB 1190 creates the Compassionate Use of Medical Cannabis Act. Marijuana is reclassified from Schedule I to a Schedule II controlled substance that has accepted medical uses. A patient with a debilitating condition who receives a written certification from their healthcare practitioner can apply for a medical cannabis registration card, which lets them lawfully obtain and use medical cannabis to treat their condition. The fee for a registration card is $100 and $25 if the patient is on Medicaid, Social Security or SSI.

Growing, manufacturing and dispensing medical cannabis would be allowed in Iowa. Each entity submitting an application for licensure as a manufacturer or dispensary must pay a nonrefundable fee of $15,000 to the Iowa Department of Public Health (IDPH). IDPH will retain the registration card fees and manufacturing and dispensary licensure fees to cover the expenses of administering the program. IDPH will establish rules with guidance from a medical advisory board.

These conditions would qualify under this section:

  1. Cancer, if the underlying condition or treatment produces one or more of these symptoms:
  1. Intractable pain.
  2. Nausea or sever vomiting.

iii. Cachexia or severe wasting.

 

  1. Multiple sclerosis
  2. Epilepsy or seizure disorders
  3. AIDS or HIV
  4. Glaucoma
  5. Hepatitis C
  6. Crohn’s disease or ulcerative colitis
  7. Amyotrophic lateral sclerosis
  8. Ehlers-Danlos syndrome
  9. PTSD
  10. Tourette’s syndrome
  11. Terminal illness with a probable life expectancy of under one year, if that illness or its treatment produces one or more of these symptoms:
    1. Intractable Pain
    2. Nausea or sever vomiting
    3. Cachexia or severe wasting
  12. Intractable Pain—which is defined later in the section and discussed below
  13. Parkinson’s disease
  14. Muscular dystrophy
  15. Huntington’s disease
  16. Alzheimer’s disease
  17. Complex regional pain syndrome, type I and II
  18. Rheumatoid arthritis

The medical advisory board and IDPH can add qualifying conditions. The bill is effective upon enactment.
[4/12: short form (Costello “no”; Bertrand excused)]

 

SSB 1192 appropriates $47.4 million from the General Fund and 1,212.4 FTEs for FY18. This is a decrease of $1.4 million and an increase of 9.4 FTE positions compared to estimated net FY17. The bill also appropriates $54.4 million from other funds for FY18, which is an increase of $150,000 compared to estimated net FY17.

The bill provides appropriations for FY19 at 50 percent of the appropriations for FY18.

Department of Administrative Services – Appropriates $6.5 million from the General Fund and 57.2 FTEs; a decrease of $305,000, which is a 4.5 percent decrease and no change in FTE positions compared to estimated net FY17.

  • A decrease of $62,000 for utilities.
  • An increase of $727 for Terrace Hill Operations.

Department of Commerce – Appropriates $1.4 million from the General Fund, $27.3 million from the Commerce Revolving Fund and 301.4 FTEs; a decrease of $266,000, which is a 16.2 percent decrease from the General Fund, a net increase of $150,000 from the Commerce Revolving Fund, and an increase of 9.2 FTE positions compared to estimated net FY17.

  • A decrease of $196,000 for Alcoholic Beverages Division (ABD) operations. (General Fund)
  • A decrease of $70,000 for the Professional Licensing Bureau. (General Fund)
  • Increase of $320,000 to the Banking Division to hire and train new banking examiners. (Revolving Fund)
  • Decrease of $170,000 to the Utilities Division. (Revolving Fund)

Governor’s Office – Appropriates $2.2 million from the General Fund and 23.9 FTEs; a decrease of $86,561 and no change in FTE positions compared to estimated net FY17. Changes include reducing $86,000 for the Governor’s office and $561 for Terrace Hill Quarters.

Governor’s Office of Drug Control Policy – Appropriates $228,000 and 4 FTEs; a decrease of $9,000 and no change in FTE positions compared to estimated net FY17.

Department of Human Rights – Appropriates $1.2 million from the General Fund and 13.5 FTEs; a decrease of $62,000 and a decrease of 0.1 FTE positions compared to FY17.

  • A decrease of $11,000 for Central Administration
  • A decrease of $51,000 for Community Advocacy & Services

Department of Inspections & Appeals – Appropriates $11.4 million from the General Fund, $7.8 million from other funds and 278.9 FTEs; a decrease of $391,000 from the General Fund and no change in FTEs or other funds compared to estimated net FY17.

  • A decrease of $8,000 for the Administration Division
  • A decrease of $10,000 for the Administrative Hearings Division
  • A decrease of $40,000 for the Investigations Division
  • A decrease of $78,000 for the Health Facilities Division
  • A decrease of $650 for the Employment Appeal Board
  • A decrease of $41,000 for the Child Advocacy Board
  • A decrease of $9,000 for Food and Consumer Safety
  • A decrease of $203,000 to be applied by the Department as it sees fit across divisions

Department of Management – Appropriates $2.4 million from the General Fund, $56,000 from other funds and 21 FTEs; a decrease of $96,000 from the General Fund, a negligible decrease in FTEs and no change in other funds.

Department of Revenue – Appropriates $16 million from the General Fund, $1.3 million from other funds and 194.9 FTEs; a decrease of $751,000, which is 4.5 percent decrease from the General Fund, and no change in other funds or staffing compared to estimated net FY17.

Office of the Secretary of State – Appropriates $3.5 million from the General Fund and 26.6 FTEs; a net increase of $646,000 and no change in FTEs compared to FY17.

  • An increase of $700,000 for implementing voter ID
  • A decrease of $54,000 (3.8 percent) for Business Services

Office of Treasurer – Appropriates $1 million from the General Fund, $93,000 from other funds and 28.8 FTEs; a decrease of $41,000 from the General Fund, a decrease of 0.2 FTEs and no change in other funds compared to FY17.

Auditor – Appropriates $894,000 from the General Fund and 103 FTEs; a decrease of $35,000 and no change in FTE positions compared to estimated net FY17.

This is no change from estimated net FY17 for Gaming Regulatory Revolving Fund, Ethics & Campaign Disclosure Board, Public Information Board and IPERS Administration.

New language is included in the bill:

  • Requires the Department of Inspections & Appeals (DIA) to reduce appropriations by $203,000. Allows DIA to reallocate funds within the department to implement the reduction to the Department upon notice and rational for the reallocation.
  • Allows the Chief Administrative Law Judge at DIA to hear cases. This position is an at-will positon.
  • Amends requirements by local governments regarding permits issued for sale of tobacco products by eliminating the requirement that local governments furnish to ABD any retail permit issued by the local government. Also changes the date by which ABD must submit the list of all permits issued to IDPH from the first day of each quarter of the fiscal year to the last day of each quarter.
    [4/12: 12-8, party line (Bertrand excused)]

 

FLOOR ACTION:

SF 498 makes appropriations of federal block grants, other federal funds and non-state funds. The appropriations are for Federal Fiscal Years 2017-2018 and 2018-2019. The Federal Fiscal Year begins on October 1.

The bill provides procedures for increasing or decreasing appropriations if the amounts available are not what is anticipated. The bill makes standing appropriations for State Fiscal Years 2018 and 2019 for other federal grants and non-state funds. There is $426 million appropriated for FY18 and $332 million for FY19. The difference between the two fiscal years is a one-time $96 million Housing & Urban Development grant to Iowa Economic Development Authority for disaster relief. The focus of this grant is watersheds and reducing floods.

The funds go to the Department of Public Health, Department of Human Services, Department of Human Rights (Community Action Agencies), Governor’s Office of Drug Control Policy, Attorney General, Iowa Economic Development Authority and the Department of Transportation.
[4/10: 48-0 (Allen, Taylor excused)]

 

SF 497 makes appropriations for FY18 and FY19 from the Road Use Tax Fund and the Primary Road Fund to the Department of Transportation. The bill appropriates $384,371,793 for FY18, which is $13,294,022 more than FY17. Significant changes over FY17 include:

  • An increase to the Highway Division to support equipment depreciation and salary adjustments — $311,000 from the Primary Road Fund.
  • An increase for inventory and equipment replacement — $5,169,000 from the Primary Road Fund. The increase is intended to move up the current replacement schedule for medium and heavy-duty trucks from a 15-year to a 12-year cycle.
  • There is a $438,562 increase to support payments to the Department of Administrative Services for workers’ compensation payments.
  • A $242,000 decrease for transportation maps, which are printed every other year. This appropriation is included in the FY19 appropriation.
  • $10,800,000 is appropriated to replace the maintenance garage facility in Dubuque. The garage will be relocated to a new site. Primary Road Fund — $10,200,000; Road Use Tax Fund — $600,000.
  • $1,478,000 is appropriated for upgrades to the existing garage in Adair to add six stalls to the garage bays.

FY19 appropriations are 50 percent of FY18 appropriations. New line items in FY19 (not in FY18) include transportation maps and renovations to the Waterloo maintenance garage.
[4/10: 49-0 (Allen excused)]