Christine Jordan Sexton
After an acrimonious and abrupt ending to this year’s session, Florida legislative leaders have started piecing together a framework for a new state budget and to avoid a possible state government shutdown.
Some of that framework was discussed in an all-day meeting Wednesday between Sen. Tom Lee and Rep. Richard Corcoran.
Gov. Rick Scott for more than a week has pushed the idea of a “base” continuation budget but Senate Appropriations Chairman Lee told Florida Politics on Wednesday night that he thinks the Legislature will produce a traditional budget coming from the traditional conference process.
Lee stressed he had not seen any of the governor’s documents or base budget proposals.
Lee said he thinks the idea would be for the 2015-16 spending plan to have funding increases for caseloads that come out for education and Medicaid. He said there would be no tax cuts or any of the other “bells and whistles that go into the budget.” There would be no backfill for the Low Income Pool either.
That would leave $2.5 billion in reserve if needed, depending on what financial news the Centers for Medicare and Medicaid gives Florida in terms of LIP funding. “There would be plenty of money,” to deal with the health care deficit, if any, after Florida receives its decision from the federal government, he said.
Lee said the Legislature is leaning toward the traditional budget where the chambers agree to allocations and a “public and transparent” conference is held.
“It might include some level of tax cuts, might include some level of backfilling held in an escrow account pending a number from CMS,” Lee said. “That’s more of what we’re working on in the Legislature.”
The 2015 Legislature came to an end without the one must-pass bill: the General Appropriations Act, the state budget. Lawmakers couldn’t agree on health care access and the federal government would not provide Florida with insight on whether it would approve the $2.2 billion Low Income Pool program beyond June 30. LIP is made possible by a waiver that requires federal approval. Florida has submitted a waiver amendment and is waiting to hear back from CMS as to how much it can expect to get.
Scott sued the federal government over LIP negotiations.
Lee said negotiations between the state and federal government over LIP funding are continuing but said Scott’s lawsuit has “complicated discussions somewhat because they are filtering a lot of their comments now through review by the Justice Department.”
In the meantime, Lee said a great deal of time has been spent individually and with staff going through budget and health care policy. Lee said the House has raised “legitimate” and “reasonable” concerns with the Senate’s proposed Medicaid expansion plan that would initially put new enrollees in Medicaid HMOs and transition them to private insurance program. The plan also includes a work requirement for those enrolled.
He added that part of the budget discussion on Wednesday centered on a “definition” of what constitutes Medicaid expansion. In the past, House leaders have expressed concerns about relying heavily on federal money for health care coverage, as well as extending coverage to adults without children.
Meanwhile, Scott on Tuesday sent HHS Secretary Sylvia Burwell a letter asking whether the federal government would approve a Medicaid block grant. The block grant concept, specifically the 1332 Innovation Waiver — which would not require Congressional approval, has been part of the health care conversation for “a good long while.”
Lee said there have been discussions regarding the “innovation waivers” under the federal health care law and whether Florida should begin working on an a health care program that could be approved under an innovation waiver when available in 2017.
“We’re glad the conversation is about expanding coverage,” Lee said when asked about Scott’s letter to Burwell. “We think that’s the appropriate conversation to have.”
