Governor asking lawmakers to consider legislation in case of future government shutdown

A representative of Governor Tomblin reported to legislators no programs had to be cut and no employees had to be laid off as a result of the federal government shutdown, but with an agreement from Congress that only funds the government through the first of the year, the administration is still worried the state could run into the same issues again.

The governor and his staff are now asking state lawmakers to consider taking legislative action to prevent future problems when there’s a lack of federal funding.

“I think it’s safe to say we’re relying on an unreliable partner,” said Governor Tomblin’s Deputy Chief of Staff Jason Pizatella as he stood before a joint Finance Committee meeting in the House Chamber to describe the impact the federal shutdown had on the state.

While Pizatella said West Virginians who rely on federal and state funded services saw almost no changes in their benefits, if the shutdown had continued through the end of the month it would have been a different story.

“What we’ve tried to do in the governor’s office is try to figure out exactly how state government can insulate itself from the instability that is currently present in Congress and throughout the federal government,” he said.

As the governor and his staff prepared for the shutdown, two issues arose- continuing to fund federal services and paying employees whose salaries are reimbursed by the federal government.

As far as programs and services go, legislators were told the Departments of Health and Human Resources and Education would have been most affected because they rely so heavily on federal aide. In fact, that federal aide is larger than the state’s annual budget.

According to the state Department of Revenue, West Virginia’s general revenue budget is about $4.2 billion annually. The federal government gives the state nearly $4.8 billion in funding for programs. While some are funded through legislation, like the Affordable Care Act, others are funded through federal appropriations which don’t go through during a shut down.  

Director of the state Budget Office Mike McKown said Medicaid is one of those programs and in order for it to continue in a long term shutdown, the state would have had to cover the federal portion.

“Medicaid alone would take about $200 million a month. Today, we had $50 million cash. I mean, it would last one week,” McKown said after the meeting Monday.

McKown said Medicaid is just one of the hundreds of state programs paid for in some part by the federal government.
He said there’s no way the state could keep up the payments and there’s no guarantee West Virginia would be repaid for the money spent.

Secretary of Revenue Bob Kiss said the governor asked agencies to begin prioritizing federally funded programs in case the money would run out, but that money not only pays for the programs, it also pays for the employees who operate them, either by reimbursing the state for all or part  of their salaries.

“Because if we’re going to all of a sudden be faced with a situation where we simply don’t have the resources to fund positions that are in part or entirely funded with federal dollars, there’s going to be some serious ramifications and somebody is going to have to make some decisions,” Kiss said.

“You can make the argument right now that without statutory authority right now it’s unclear who or if anybody has the authority to make those decisions.”

Kiss said that’s where state lawmakers come into play.

“We don’t have a furlough statute,” he said. “You can lay them off so to speak. That authority is there, but to furlough them with the concept that they’re being let go without pay, but they’re basically retaining their status as an employee when you have the cash available to pay them as opposed to terminating their employment.”

Kiss said to just layoff workers would create issues with vacation time, sick leave and even retirement benefits when they’re brought back to work so the governor is asking lawmakers to consider enacting furlough legislation to avoid those problems in the future.

“I think having gone through this exercise hopefully will be beneficial. I think the legislature is taking the time to deliberately think about these issues,” Kiss said. “I don’t think it would be that complicated to come up with a statute. The federal government has a statute and I don’t think it would be that complicated to come up with a similar one.”

Kiss added, however, the state will hopefully be able to avoid any major issues should a federal shutdown occur in January because the legislature will be in session and available to take necessary actions.

 

Manchin says default not an option

Twelve Senators are reaching across the aisle on a deal to end the government shutdown and increase the federal debt limit before Thursday, the day the country would likely default on its debts if Congress doesn’t act. One of the 12, Senator Joe Manchin said default is not an option.

The bipartisan Senate deal is fairly straightforward: fund the government through the end of the year, raise the country’s debt limit to avoid default, and mandate a conference committee meeting on the budget between the two Houses. Three things Manchin said are “crucial” in order to get the nation moving forward

“The most important thing we can do is make sure we don’t default at all, nor are we going to default,” he said in a conference call with media Monday afternoon.

But Manchin said in the two weeks of negotiations between the Senators, that third element—a conference between the House and Senate—is what stood out to him as the most important part of the deal.

“Our main goal was to get the budget conference in a meeting and look at the differences of the budget and have a full report to Congress,” Manchin said. “This a chance for a bigger deal, a longer deal.”

Congress hasn’t passed a full budget since 2009 and every few months must vote to keep funding the government until a budget deal can be reached, but Manchin said members of both Houses haven’t even come together to discuss their proposed funding bills and that’s what has to change.

“There’s a lot of skeptics that will say that will never happen. I’m not going to sit here and tell you it will or it won’t. What I’m telling you is it’s got to happen sooner or later,” he said, “but this is our best opportunity to get into that and I’m sick as every one else out there going through this scenario every 3 to 6 months. It’s awful, but this one gives us a chance to at least put them into conference.”

The bipartisan deal mandates a conference committee be formed and the two budgets discussed to come up with a solution.

“Will they deal in good faith, I can’t guarantee that, but I can guarantee they’ll get in a room,” he said.

The Senate deal also includes some concessions on the Democratic side.

The medical device tax, which applies to devices like artificial joints and pacemakers, will be delayed for two years to allow companies to transition toward the fee under the Affordable Care Act.

A second compromise was reached for income verification on the healthcare exchange website. It will prevent fraud and ensure only eligible individuals receive their subsidies on the exchange.

“So people can’t come in a fraudulently claim their income and not have proof of that. That made sense to a lot of us,” Manchin added,

Manchin said, however, the specifics of the plan are still up in the air.

He wants to see the government funded until the first of the year, the debt ceiling extended a few months beyond that and a conference committee convened, but said when or for how long those things will happen is up to the President and Congressional leaders as they hash out a final deal.

Manchin expected a deal and an official vote from Congress to come Thursday morning in time to avoid hitting the federal debt ceiling.
 

Wheeling shooting investigation ongoing

A press conference Thursday afternoon gave the Federal Bureau of Investigation and other authorities a chance to address concerns about a shooting that took place Wednesday at the Federal Courthouse in Wheeling.

U.S. Attorney for the Northern District of West Virginia, William J. Ihlenfeld, II, said the investigation is ongoing and that there are no major developments to report. He said the object of the press conference was to answer questions, and to reassure the public that matters are under control, and that authorities have no reason to suspect any additional dangers related to the incident.

What we know of the gunman:

  • Thomas J. Piccard, 55 years old of Bridgeport, OH.
  • Retired (2001) Wheeling police officer, with a bone to pick with the federal government
  • No history of mental health issues.

“Based on some preliminary findings of the investigation, it appears he was angry with the federal government. We do not think he was angry with any particular individual who worked in the federal building or any particular office,” said Ihlenfeld.

What we know about the incident:

  • Piccard was working alone.
  • Two weapons: Assault rifle with multiple magazines, and a hand gun.
  • 18-20 shots taken only at the federal courthouse, in a random manner, around 2:30 pm, Oct 9. 2013
  • US Marshal Court Security Officer and Wheeling Police Officer returned fire, shooting Piccard in the leg and in the chest, fatally wounding him.
  • Piccard pronounced dead at a local hospital.

“It was resolved in an appropriate way and in the only way it could have been based upon the situation. The shooter had a lot of additional ammunition on his person and he didn’t get to use it all because of the actions of those who engaged with him,” said Ihlenfeld.

What we know about the investigation:

  • Evidence has been collected from Piccard’s trailer home in Bridgeport, OH and from his vehicle, which was parked across from the federal building.
  • Materials, including electronic devices, are being processed.
  • The investigation continues.

“The investigators worked late into the night and into the early morning hours and executed a search warrant at the suspect’s home in Bridgeport, OH. A search warrant was also executed upon the suspect’s motor vehicle which was parked across the street from the Federal Building. Evidence was gathered during those searches and is being processed.”

Ihlenfeld said those searches were partially a matter of routine, and partially born out of concern for motive. He said there was concern that some kind of explosives might have been left behind.

“In addition there was some writing on the outside of the trailer that led investigators to think there might be something inside of that as well. It was written in Latin. It was translated something to the effect of ‘Beware of all who enter here.’ So there was some concern that there might be an issue and that did not turn out to be the case.”

Anyone with information should contact the FBI Pittsburgh field office: 412-432-4000.

Should the state keep tolls on the W.Va. Turnpike after 2019?

As the state moves closer to paying off its bond debt associated with the West Virginia Turnpike, lawmakers are starting to consider what to do with the roadway. The ideas being discussed in the halls of the Capitol, however, always make their way a few miles down I-77 to the state Parkways Authority’s headquarters.

A bill originally introduced during the 2013 Legislative Session is being hashed out by legislators during interim meetings. Co-sponsored by Senator Bill Cole of Mercer County, he says it helps diminish the burden on the Turnpike counties.

“Senator Chafin and I introduced a bill that would try and take a small piece, less than 4 percent of the total revenue proceeds of the Turnpike and invest it back in the counties that the Turnpike runs through,” Cole said after an interim meeting in July.

The total price tag: $4 million, one million each for Kanawaha, Raleigh, Mercer and Fayette counties to invest in infrastructure or economic development projects.

But because of the contract attached to the bond, revenues brought in by tolls can only be used to pay off the debt. That debt is set to be settled in 2019, but Governor Tomblin’s designee to the Parkways Authority Jason Pizatella said until then, it’s illegal for the state to touch that money.

“We could not implement the proposal that Senator Chafin has discussed and I’m sure will offer during the 2014 regular session,” Pizatella said. “So, it would be up to him to work with the Parkways Authority to craft a proposal that we could realistically implement.”

In other words, realistically, that proposal would have to be implemented after 2019.

But just because the Parkways Authority Board Members are saying the state would have to wait before the counties could receive funds from Turnpike revenues, doesn’t mean they don’t support it.

“When the bonds are paid off, I wanted to keep that money in this end of the state,” said Board member and lifelong Mercer County resident Bill Seaver during a Parkways Authority meeting Thursday.

Seaver said he presented a plan to the Governor to continue the tolls on the Turnpike, in part to help the state maintain the road, but also to put money toward southern infrastructure projects.

“When the tolls are paid off in 2019, I want to keep the tolls on the Turnpike,” he said. “We have to to maintain it. The Department of Transportation can’t take care of it, but I want the excess money when we’re not paying the bonds anymore spent at a point from Charleston south to the tunnels the width of West Virginia, just on projects in southern West Virginia.”

He said projects like completing major roadways and replacing bridges throughout the region are crucial to the economic future of the entire state, and believed the proposal by the Blue Ribbon Commission on Highways is just not a viable option.

“They’re not going to be able to come in and raise the tolls on the Turnpike and then take that money and spend it all over the state. I just don’t see that happening. I don’t think the Governor would put that forth and have us sell more bonds to go off into the future,” Seaver said, “but I think if we do this we can take certain amounts of money for major projects, complete the part in Mercer County, pay for it over a five year period with toll revenues and other projects throughout the southern end of the state.”

Pizatella, who also serves as Chair of the Blue Ribbon Commission, said he heard the concerns Seaver and many other southern West Virginians have about the Turnpike and tried to work a compromise in to the Blue Ribbon’s proposal to the Governor.

“As part of our proposal, 25 percent of the bond revenue that would be realized from using the Turnpike to fund other projects would stay in southern West Virginia and stay in the four counties because we think that the citizens and motorists of southern West Virginia deserve that money,” he said. “So, I think that we will be able to find some middle ground as we go forward with this proposal.”

Pizatella said they have plenty of time to find that so-called middle ground because, again, nothing new can be done with toll revenues until 2019.

Seaver said he would also like to see the Governor commit $75,000 each year for the next six years to the four counties as a reimbursement for their toll costs when bussing students to and from school and to help seniors paying tolls as they travel for access to healthcare.
 

Board of Education updated on search for new state Superintendent

The state Board of Education learned more Wednesday about the search process for a new state Superintendent of Schools. At their October meeting, the board heard from an outside attorney hired to oversee the process.

Victor Flannigan of the Charleston law firm Pullin, Fowler, Flanagan, Brown & Poe is heading up that process and told Board members they are now looking to hire a consulting firm to compile candidates nationwide for the job.

Flannigan said they expect to have the search firm chosen by January and from there, that firm will take 6 to 8 months to accept applications, narrow down candidates and conduct interviews with a hiring committee made up of Board members and Department of Education staffers before a new superintendent will be in place.

The person hired will replace Dr. James Phares, who was given the position when Dr. Jorea Marple was fired by the Board in November 2012.

The law firm conducting the search is also representing the state Board in the legal case filed by Marple claiming wrongful termination.
 

State BOE postpones consolidation of a Fayette County HS

The state Board of Education voted to take a year to study the possible the implications of the closure and consolidation of a small Fayette County High…

The state Board of Education voted to take a year to study the possible the implications of the closure and consolidation of a small Fayette County High School. Meadow Bridge houses students grades 7 through 12 and was set to be closed within the next three years, but the Board’s decision is now forcing the county to reassess that plan and also reassess their upcoming school bond.

Talk of consolidation can be a tricky thing for any county. Whether it comes down to a decreasing school population, aging buildings that can no longer be kept up, or poor rates of student achievement, there are multiple factors at play.

But for Fayette County, it comes down to money.

“Whether we can reduce high schools, the number of high schools or not, we will need to reduce the number of employees we have at the secondary level,” Fayette County Superintendent Keith Butcher told the Board.

Butcher addressed the funding issues the county is facing—issues the county has addressed by planning to consolidate three high schools.

Butcher said each year, the county has seen less and less of a surplus in their budget to the point where next year, they’re expecting to go into the red.

As a part of their ten year Comprehensive Education Facilities Plan, a plan each county is required to submit to the state Board, Fayette was set to combine Meadow Bridge, Fayetteville and Midland Trail High Schools into the existing Midland Trail facility with some additional renovations. That way, the county only had to staff three high schools instead of the current five, saving significantly on personnel costs.

But with a vote of 6-2, the Board amended the county’s facilities plan, also known as their CEFP, and pulled any future plans for Meadow Bridge High School off the table and out of consideration for another year, essentially saving the school from consolidation. At least for now.

“When you pull Meadow Bridge out of that consolidation then we need to go back to the drawing board and see if the plan still works or if we need to reconfigure how we’re looking at things,” Butcher said after the vote. “We’ll also need to realign costs.”

Credit Ashton Marra
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Dozens of Fayette County residents, both supporters and detractors of the consolidation plans for Meadow Bridge High School, packed the state Board of Education meeting at the Department of Education in Charleston.

While the vote was at least a small win for Meadow Bridge supporters, dozens of which showed up to the meeting to speak against consolidation, members of the Board, in particular President Gayle Manchin, see this as a time extension.

Basically, let’s take a step back, study the implications of closing the school, and see if that’s the best option for the county. With the state currently in control of Fayette County Schools, Manchin said they want to get it right.

“The parents that I heard get up and speak about Meadow Bridge, their concern was the travel time on extremely treacherous roads in the winter from Meadow Bridge to Midland Trail and yet in every report that was given never addressed that. Ever,” Manchin said. “It was always about; Midland Trail is a good high school. I never said that Midland Trail wasn’t a good high school.”

Credit Ashton Marra
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Carolyn Arritt, a retired Fayette County educator, holds up a map of Fayette County as she addresses the Board. Arritt was concerned with the travel time students face at consolidated schools.

“We want what is best for our kids. What I asked for on behalf of the Board at our last meeting was that we remove Meadow Bridge from this argument right now because feelings were very high and I felt without trying to address people’s feelings in this that Fayette County had no hope in passing a bond.”

And with that statement, Manchin got to the real issue in Fayette County: a bond proposal set to hit the ballot in May of 2014.

Ask anybody on the street in Fayetteville, Mt. Hope, Milburn or Spring Dale, a lot of community members are saying the bond won’t pass. A bond hasn’t passed since the late 1970’s.

County officials planned to add the consolidation plan into their bond proposal along with other vital facility updates.

“The current capitol improvement plan includes submittal of a School Building Authority project to replace Collins Middle School at a total cost of $24.4 million,” Butcher told the Board. “Our match for that would be a bond that needs to be approved and supported by the voters of Fayette County.”

Butcher said the bond would also include renovations for the consolidated Midland Trail and two brand new elementary schools the county desperately needs.

By tabling the plans to consolidate Meadow Bridge, Butcher and the county are essentially back at square one and will now have to reassess their bond proposal before its submittal date in January.

“It will take money from the School Building Authority from the state of West Virginia and also that support from the voters so we will need to go back to the drawing board and find a plan that the citizen’s can agree on so we can move Fayette County forward,” he said. “Their facilities are in grave need of repair and we still need to accomplish that job.”

Over the next year, the state Board of Education plans to study the impact closing Meadow Bridge High School would have on travel time for students, participation rates in extracurricular activities, student achievement and also the possibility of sending kids to high schools outside of the county instead of the consolidated Midland Trail High School.
 

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