WEEKLY LEGISLATIVE REPORT – January 19, 2007
PTA Day at Capitol a chance to stand up for schools
By Rep. Hugh Floyd
Thursday, February 8, will be PTA Day at the Capitol as Parent Teacher Associations from across the state will visit the General Assembly to share their concerns with lawmakers.
One of these concerns is the Governor’s proposal for another “austerity” cut to the state funding formula for education. Although Georgia enjoyed a budget surplus last year, the Governor’s proposed FY08 budget summarily removes nearly $140 million from the school QBE formula earnings, with no explanation.
During PTA Day at the Capitol, you can get the facts, learn about the effects of these cuts on our schools, and get to know your legislators. If you are concerned about public education in Georgia, this will be an excellent opportunity to share your concerns. If you are a PTA member, click on this link to register for the event:
http://www.georgiapta.org/documents/PTADayattheCapitolLunchReservationForm.pdf
While the full legislature was in official recess this week, state government department heads addressed a joint session of the House and Senate Appropriations Committees to make their requests for funding in the annual state budget for fiscal year 2008, which begins July 1, 2007. Here is a breakdown of the record $20.2 billion budget proposed by Governor Perdue in some of the major areas of state government:
- Education, $11.2 billion
- Health care and human services, $4.1 billion
- Public safety and corrections, $1.7 billion
- Governmental services, $1.3 billion
- Transportation, agriculture, economic development $995 million
- Repayment of state debt, $954 million
The state government collects revenue to pay for these programs from the following sources:
- Income Tax (Individual), 44.5 percent
- Sales Tax, 31.6 percent
- Fees & Sales, 4.6 percent
- Motor Fuel Tax, 4.4 percent
- Income Tax (Corporate), 4.4 percent
- Lottery, 4.2 percent
- Tobacco Settlement Funds, 0.7 percent
- Other Taxes, 5.6 percent
- Miscellaneous, 0.1 percent
There is a growing concern across the state over problems that Georgia’s hospitals are having as a result of last year’s change to a managed-care approach for Medicaid. According to top rural health care leaders, some smaller hospitals are reconsidering their participation the program or facing the possibility of having to shut down because of delays, shortages or denial of reimbursement payments from Medicaid, as well as additional paperwork. These problems have been reported to legislators and in a recent Atlanta Business Chronicle article.
This is a serious situation that demands the immediate attention of the legislature and the executive branch of state government. Jimmy Lewis, CEO of Hometown Health, which represents 55 rural Georgia hospitals, has said that as many as a half dozen hospitals could close in the next several months unless these problems are solved.
The state Department of Community Health contracted with three managed-care organizations to take over the 1 million Georgians who are on Medicaid and PeachCare for Kids. The program was implemented in several stages last year. But a stricter process for reimbursing hospitals for emergency care under the new system has escalated the financial woes of a number of hospitals.
Joe Parker, President and CEO of the Georgia Hospital Association, said the problems that have lingered during the first year of the new system have severely threatened the ability of many of these financially strapped health care providers to meet the needs of Medicaid patients. It is time for legislators and state DCH officials to work together toward a swift, effective solution to this very critical situation.
- Rep. Hugh Floyd (D-Norcross) represents the 99th District (Gwinnett County) in the Georgia House of Representatives. Contact him at 611 Coverdell Office Building, Atlanta, GA 30334; by phone at 404-656-0314 or by e-mail at hughfloyd@mindspring.com.
