BGR State & Local Update (1.10.18)

STATE AND LOCAL UPDATE
January 10, 2018
Policy and Politics
I. Trending Topics
Issues in Focus
STATE LEGISLATURES GAVEL IN: Well over half of the country’s state legislatures have gaveled in for the
2018 session. The National Conference of State Legislatures is tracking legislative sessions and more
information can be found here (.pdf breakdown of session dates here). According to Governing, a handful
of issues will be on state legislative radars in 2018. They include: federal tax revision, health insurance,
building next generation data networks, sexual harassment, fair work schedules, opioids, union regulations,
budgets and revenue, and election cybersecurity. For more in-depth coverage of these issues, see here.
Governors are also giving their annual State of the State addresses outlining priorities for the 2018 session.
Details on those addresses can be found in the state section below. In addition, the National Governors
Association (NGA) is tracking every governor’s State of the State address. The list, which is regularly updated,
can be found here.
A. BUDGETS, TAXES, & REVENUE
STATES ESTIMATE REVENUE INCREASES FROM TAX BILL: State tax systems are directly affected by federal
tax changes because nearly all states conform to the federal code in some way. For example, in 36 states,
taxpayers start their state income tax form by using the gross income, adjusted gross income, or taxable
income figure from the federal return. Nine states have no income tax, so that leaves just six states where
taxpayers must start from scratch. This conformity—shadowing federal provisions—reduces tax compliance
costs and generally makes things easier for everyone involved. Most states have found positive revenue
impacts from the federal bill. MARYLAND GOVERNOR HOGAN is discussing legislation that would return the
state’s windfall to taxpayers in some form, perhaps by targeting high-income taxpayers likely to be paying
more due to the SALT cap. For Iowa, federal tax reform may provide revenue that would enable the state to
undertake its long-talked-about state tax reform.
TRUMP TAX REFORM HAS STATES HUNGRY FOR LOWER UTILITY BILLS: It’s been less than a month since
Congress approved a sweeping tax overhaul and states are already chomping at the bit to get a piece of the
action. Regulators from Montana to Kentucky have ordered utilities to act now to ensure ratepayers share in
the windfall from the tax bill signed into law by President Donald Trump that slashed corporate rates to 21
percent from 35 percent.
The following are among states that have taken action so far:
• Montana Public Service Commission gave utilities a March 31 deadline to calculate tax savings
and how they should be shared with customers.
• Kentucky Public Service Commission ordered utilities to begin tracking tax savings.

• Indiana Utility Regulatory Commission ordered a review into the impact of the tax cut and how
customers can benefit.
• Louisiana Governor John Bel Edwards asked the state public service commission to review utility
rates and adjust them to reflect the tax cut.
Utilities that are already offering to cut rates include:
• Exelon’s Baltimore Gas & Electric will pass around $82 million in annual tax savings to customers.
• Exelon’s Commonwealth Edison in Chicago is seeking approval to pass along about $200 million
in tax savings to customers this year.
• Eversource’s customers in eastern Massachusetts will see a reduction in rates of around $35.4
million instead of an approved increase of $12.2 million; its customers in western Massachusetts
also stand to gain.
BLUE STATE OFFICIALS PLOT RESPONSE TO GOP TAX LAW: Elected officials in high-tax Democratic-
leaning states are looking at creative ways to prevent the new tax law from raising their residents’ bills. One
option is to challenge the tax law in the courts. NEW YORK GOV. ANDREW CUOMO has said he plans to sue over
the law, and NEW JERSEY GOV.-ELECT PHIL MURPHY has expressed interest in a legal challenge as well. But tax
experts doubt the lawsuits will be successful. They noted that Congress has broad discretion to levy an income
tax, and pointed out that the alternative minimum tax has limited the SALT deduction for years. Another
option that blue-state officials are considering is allowing taxpayers to make tax-deductible charitable
contributions to state and local funds. KEVIN DE LEÓN, the president pro tempore of the California Senate who
is also running for the U.S. Senate, offered legislation that would allow state residents to donate to a fund
and receive a dollar-for-dollar tax credit for those contributions. Cuomo and Murphy are looking at taking
similar initiatives. A third option under consideration for the states is shifting toward a payroll tax system.
Under that option, states would create employer-side payroll taxes, which would still be deductible on federal
tax returns, and would also provide employees a credit to offset their income tax liability. But Jared Walczak,
a senior policy analyst at the Tax Foundation, suggested that the payroll tax combined with a tax credit could
still draw concerns from the IRS. More on Democratic strategies to blunt the impact of the GOP law can be
found here, from the New York Times, as well.
HOW THE TAX BILL WILL CHANGE STATE GOVERNMENTS’ BORROWING COSTS: For the first time in
more than 30 years, Congress has passed a major overhaul of the tax code. The final bill is better than initially
expected for state and local governments, but key provisions are still likely to force big changes to their cost
of borrowing. The cause of these changes is indirect: The bill's big break for corporations on their income
tax rate will force some state and local governments into higher debt payments on money they have already
borrowed directly from banks, thanks to triggers placed in those loan contracts. Also worth considering, the
lower corporate tax rate could also potentially make it more expensive for governments to issue bonds in the
municipal market. More here.
POPULATION DECLINE: Eight states lost population between July 2016 and July 2017, according to new U.S.
Census Bureau estimates. If the estimates hold up, it would be the first time in 30 years that so many states
lost residents in a single year. According to this year’s state population estimate, Alaska, Hawaii, Illinois,

Louisiana, Mississippi, North Dakota, West Virginia and Wyoming all lost population between 2016 and 2017.
The states that lost population between 2015 and 2016 were Connecticut, Illinois, Pennsylvania, Vermont,
West Virginia and Wyoming. The last time eight states lost population in one year was between 1986 and
1987, when a collapse in oil prices hit the economies of energy-producing states. “Domestic migration drove
change in the two fastest-growing states, Idaho and Nevada, while an excess of births over deaths played a
major part in the growth of the third-fastest-growing state, Utah,” said Luke Rogers, Chief of the Population
Estimates Branch.
B. HEALTHCARE & INSURANCE
AGING, UNDOCUMENTED AND UNINSURED IMMIGRANTS: For decades, the United States has struggled
to deal with the health care needs of its undocumented immigrants — now an estimated 11 million — mainly
through emergency room care and community health centers. But in the coming years, that struggle will
evolve. As with the rest of America, the population of people living here illegally is aging and beginning to
develop the same health problems that plague senior citizens generally and are a lot more expensive to treat:
chronic diseases, cognitive disorders and physical injuries.
MEDICAID WAIVER TRACKER: WHICH STATES HAVE APPROVED AND PENDING SEC. 1115 MEDICAID
WAIVERS: The Kaiser Family Foundation tracks which states have approved or pending Medicaid waivers.
Section 1115 Medicaid demonstration waivers provide states an avenue to test new approaches in Medicaid
that differ from federal program rules. While there is great diversity in how states have used waivers over
time, waivers generally reflect priorities identified by states and the Centers for Medicare and Medicaid
Services (CMS). More here.
STATE OF THE OPIOID CRISIS: The nation's opioid crisis reached new proportions in 2017, with provisional
data revealing that there were 17 percent more deaths from drug overdoses between May 2016 and May
2017, compared to the previous year. Though the epidemic has grown over the past few years, it reached
new heights this year, forcing federal and state governments to take immediate action. In October, President
Donald Trump declared a public health emergency over the crisis. Earlier in 2017, the governors
of Alaska, Arizona, Florida and Maryland issued a public health emergency. Massachusetts was the first state
to declare the epidemic an emergency in 2014, followed by Virginia in 2016. With the government's proposed
tax cuts and an unclear future for Obamacare, many are wondering how the crisis will look in the coming
year, and whether Trump will reveal a more detailed plan to combat it.
STATES MOVING AGGRESSIVELY ON INSURANCE REGULATIONS: The Trump administration is hollowing
out regulations to the benefit of industries across the board, delivering on a central campaign theme. When
it comes to insurance, however, there is only so much that Washington officials can do. State insurance
commissioners continue to wield the most regulatory power, and are expected to act “aggressively” in 2018,
said Howard Mills, global insurance regulatory leader for Deloitte. The main issue on the table is extension of
the fiduciary standard. Trump’s team managed to delay the most punitive aspects of the Obama-era
Department of Labor fiduciary rule until July 1, 2019. In the interim, analysts expect the DOL to weaken the
rule significantly.

C. ECONOMY & TRADE
MINIMUM WAGE: More than 4.5 million American workers will get a fatter paycheck starting this month,
and the raise has nothing to do with the sweeping tax overhaul bill approved last month. Eighteen states and
19 cities, including the District of Columbia, will boost the statutory minimum wage effective in January,
according to the National Employment Law Project. That will provide workers at the bottom of the income
ladder with a combined wage increase of more than $5 billion next year, according to figures compiled by the
Economic Policy Institute. In most states, the increases are the result of recent laws that raise the pay rates
for those at the bottom of the income ladder. Others have laws on the books that automatically boost the
minimum wage to keep up with inflation. More on this subject from The Hill here, and CNN here.
CANADA IS INCREASINGLY CONVINCED THAT TRUMP WILL PULL OUT OF NAFTA: Canada is
increasingly convinced that U.S. President Donald Trump will soon announce that the United States intends
to pull out of the North American Free Trade Agreement. The sources said they expected Trump would make
his move at about the same time that negotiators from the United States, Canada and Mexico meet in late
January for the sixth and penultimate round of talks to modernize the treaty. A Canadian official told CNBC
that while the chances of a U.S. withdrawal from NAFTA are increasing, there is no convincing information to
suggest it will happen soon.
NJ, NY, CT FOUND TO BE MOST MOVED FROM STATES IN US: People are continuing to flee the tri-state
area and heading west, according to tracking statistics from the moving company United Van Lines. New
Jersey, New York and Connecticut rank among the top outbound states in moves for the third consecutive
year: 61 percent of moves in New Jersey are outbound, 61 percent in New York and 57 percent in
Connecticut. Economist and UCLA professor Michael Stoll says the data reflects longer-term trends of
movement to the western and southern states, where housing costs are relatively lower, climates are more
temperate and job growth has been at or above the national average.
INTEREST GROUPS PUSH IVORY TRADE BAN IN STATES: The PEW Charitable Trusts looks at efforts by
animal welfare activists to ban ivory sales in states. The legislation — which has been enacted in six states so
far — would close what animal welfare activists say are loopholes in the federal restrictions on African
elephant ivory imports and sales. Making the changes, they say, would help shut down the market and put
an end to the illegal poaching of African elephants, which has caused their population to dwindle. Groups
like the National Rifle Association and the Antiques Dealers’ Association of America are pushing back.
D. TECHNOLOGY & PROCUREMENT
NET NEUTRALITY: Along with pursuing lawsuits over irregularities in the FCC process (like millions of fake
citizen comments being submitted), several states are crafting their own net neutrality laws, which they will
start debating as new legislative sessions commence this month. They would prohibit internet service
providers from blocking or hindering access to legal online content sources, or from offering premium-
bandwidth “fast lane” deals to others. Washington State was first to act, with Democratic and Republican
state representatives debuting nearly identical bills back on December 13 and 14.

STATE LEGISLATORS TURNING FOCUS TO CRYPTOCURRENCIES AND BLOCKCHAIN TECHNOLOGIES:
State legislators are paying increased attention to cryptocurrencies with several bills introduced in a handful
of states. In Nebraska, three bills have been introduced, one of which would amend the state's money-
laundering statutes to account for cryptocurrencies while the other two focus on blockchain applications
more broadly. In New York, Assemblyman Clyde Vanel has introduced three bills. One bill would amend the
state’s technology law to include a definition of blockchain technology, smart contracts and provide a legal
understanding for digital signatures stored on a blockchain. Another bill would create a digital currency
taskforce to analyze the impact of cryptocurrencies on New York financial markets.
Illinois, Hawaii, Maine and North Dakota have all passed laws that direct state government to find out how
blockchain technology can enhance record keeping.
FOUR STATE AND LOCAL GOVERNMENT TECH TRENDS TO WATCH IN 2018: Local governments
deployed a whirlwind of new tech in 2017, including chatbots, the cloud and artificial intelligence, in order to
make internal IT operations more efficient. Meanwhile, smart city initiatives brought connected technologies
onto the streets in cities, towns, counties and states across the country. But when it comes to local
government IT innovation and spending over the last year, the greatest surprise is that there weren’t very
many surprises at all, says Alan Shark, executive director and CEO of the Public Technology Institute. “What
we’ve seen is that local governments are doing better financially, the tax base is picking up since the recession,
but IT spending has not increased. There seems to be a shyness to pick up spending,” says Shark, noting that
this has led to frustrations in local government IT, as many IT leaders recognize the need to replace legacy
equipment but are slow to plan aggressively for upgrades. More from StateTech here.
E. FEDERAL/STATE RELATIONS
BIPARTISAN SENATE BILL WOULD HELP STATES BEEF UP ELECTION CYBERSECURITY: Six U.S. senators
have filed a bipartisan bill that would provide grants to states to help them move from paperless voting
machines to paper ballots in an effort to make voting systems less vulnerable to hackers. In September, the
U.S. Department of Homeland Security notified election officials in nearly two dozen states that their voter
registration systems had been targeted by Russian hackers during the 2016 presidential election. The new
proposal would help streamline cybersecurity information-sharing between federal intelligence agencies and
state election officials, authorize grants to states to replace outdated electronic voting machines, and
establish an advisory panel to develop election cybersecurity guidelines.
DEMOCRATIC AGs SEEK HIGHER OFFICE BY FIGHTING TRUMP: With the Republicans fully in control of
Washington, D.C., and holding a majority of governorships, the role of Democratic attorneys general has
been elevated. Since Trump took office a year ago, they have consistently been at the vanguard of their
party's opposition to the president. Many of these Democrats will surely be running for higher office before
too long, and Democratic strategists hope to bring in reinforcements this year. Just as Democrats appear to
be on offense generally in congressional and gubernatorial races, they are also confident they will grow their
ranks of attorneys general in the 2018 elections. Democratic attorneys general are using lawsuits — or the
threat of legal action — to challenge the president's policies on climate, energy exploration on federal lands,
health care, immigration, women's reproductive rights and much more. There's a joke at NAAG, the National

Association of Attorneys General, that the acronym really stands for the National Association of Aspiring
Governors. Certainly, the position of state attorney general — particularly in the 21st century — has been a
springboard to higher office.
DEMOCRATIC AGs SUE TRUMP AT RECORD PACE: Democratic attorneys general in a handful of states
are mounting a fierce battle against President Trump's government, filing almost 50 lawsuits that have
bogged down some of the administration's key initiatives. The wave of lawsuits, Democrats say, is the
product of an unprecedented effort to coordinate legal actions across state lines, both to defend
Obama-era rules and to block what they see as Trump's overreach.
II. Politics
TRACKING THE 2018 GOVERNORS RACES: There are 36 governors' races this year. Republicans will have
to defend 26 of them and Democrats nine. There is one independent governor -- Alaska's Bill Walker -- and
that race is rated Lean Independent. “Governing” has ranked each race, and mapped them as seen below.
TOP 10 GOVERNOR’S RACES OF 2018: Republicans hold 33 governorships, to just 16 for Democrats,
heading into 2018 — but that could change rapidly next November. The political environment looks bad for
the GOP, and the current governors are term-limited in a number of key states, giving Democratic candidates
an opportunity to run for open seats in blue states like New Mexico and Maine. The party has also been
energized by the opportunity to win seats at the table in the next round of redistricting, which was controlled
by Republicans in most states the last time congressional and state legislative district lines were drawn, in
2011 and 2012. Here are POLITICO’s top 10 governor’s races of 2018.

WASHINGTON POST – THE TOP 10 GUBERNATORIAL RACES OF 2018: The Washington Post
outlines its top 10 races which include: Maryland (Republican Larry Hogan), Ohio (open), Connecticut
(open), Michigan (open), Florida (open), Nevada (open), Illinois (Republican Bruce Rauner), Alaska
(Independent Bill Walker), Maine (open), New Mexico (open).
RACES FOR GOVERNOR, STATE LEGISLATURE KEY FOR REDISTRICTING: Buoyed by a string of electoral
victories during President Donald Trump's first year in office, Democrats will wage a renewed battle this year
to wrest control of Congress from Republicans. Yet the contests with the greatest long-term consequences
could be listed elsewhere on the ballot —for governors and state lawmakers who will shape the boundaries
of congressional districts for the decade to come. Voters in two-thirds of the states will be electing
governors to new four-year terms in 2018. Of those, 26 will be vested with the power to approve or reject
congressional maps that will be redrawn after the 2020 Census. Although most of the thousands of state
lawmakers responsible for redistricting will be chosen in 2020, a total of 766 will be elected to four-year
terms in nearly two dozen states where they will play a role in approving congressional maps.
BGR Insight
BGR Founding Partner, Haley Barbour, recently appeared on CBS Face the Nation to discuss the 2018
elections. Barbour cited the economy as a potential defining issue in whether Republicans will maintain
their majorities in Congress and in state capitals across the country. “I think biggest thing is the economy.
We had very slow economic growth in the Obama administration. We averaged 2.1 percent a year of GDP
growth. Where over -- since World War II, we’ve been averaging 3.1 percent. So, think about it in the
heartland the economy had been growing half again faster.” See the full interview and transcript here.
CLF RAMPS UP GROUND GAME, ANNOUNCES 27 OFFICES NATIONWIDE: The Congressional Leadership
Fund, the super PAC endorsed by House Republican leadership, announced its national field program has
expanded to 27 offices now open in key congressional districts across the country, which has resulted in
over 5.1 million voter contacts since early 2017. Recently opened offices are located in the following districts:
California’s 45th
district, Colorado’s 6th district, Iowa’s 1st district, Illinois’ 6th district, Kentucky’s 6th district,
Michigan’s 8th district, Pennsylvania’s 16th district, Texas’ 7th district, Texas’ 23rd district, Virginia’s 2nd
district, and Washington’s 5th district. View complete list of offices here.
WOMEN RUNNING IN 2018: This year, at least 79 women — 49 Democrats and 30 Republicans — are
running for governor or seriously considering it as filing deadlines approach, according to a tally by the
Center for American Women in Politics at Rutgers University. The numbers are more than double what they
were four years ago and on track to surpass the record 34 women who ran for governor in 1994. In Ohio,
there are three women running for governor in the Democratic primary and one in the Republican. In
Georgia, both Democratic candidates are named Stacey. Female candidates are stepping up at every level
of the ballot. Of the 15 seats that Democrats picked up in the Virginia House of Delegates, 11 were won by
women — and the number could grow, depending on how the continuing dispute over another race is
settled.

SPECIAL ELECTIONS INDEX: According to the left-leaning Daily Kos’ Special Elections Index, in 2017,
Democrats flipped 14 Republican-held state legislative districts in special elections—and the Alabama
Senate seat —while Republicans flipped just three. They say Democrats haven’t performed this well in special
elections since the late 1980s.
Matthew Walter writes in the Washington Times: “With state legislative Republicans at all-time highs
after the 2016 elections, the political goalposts have moved so far to the right (nearly 1000 state
legislative seats flipped to Republican under President Obama), there should be plenty of opportunities
for Democrats to reclaim momentum, and they haven’t. In the last quarter of 2017, it has been
Republicans flipping blue seats to red — three of them in the bluest states in the country. With better
candidates, now backed by a solid tax reform package, Republicans will continue to win in blue areas
in 2018… While the map does not look good for Democrats in 2018, their threat is real, and their
willingness to spend at a record pace is real. Groups led by Eric Holder and his liberal allies are raising
more money and attacking pro-growth policies and individual liberties at an alarming rate. But
misreading the tea leaves in 2017 blue state election results may make a nice liberal talking point, but
it is misleading and wrong.”
DEMS HOPE TO FOLLOW VA WINS WITH SUCCESS IN 2018: The nationally watched battle for control of
the Virginia House of Delegates is a precursor to a broad Democratic effort to flip statehouses blue in 2018
and boost the party’s power to draw legislative maps for the next decade. Democrats won at least 15 GOP-
held seats in Virginia, part of a backlash to President Trump’s ascension that included a host of new groups
devoted to down-ballot races, a quadrupling of small donations to Democratic legislative candidates since
the last cycle and the largest gubernatorial-year turnout in two decades. Now Democrats hope to replicate
that success across the country. Seats in 87 of 99 state legislative chambers are on the ballot in 2018.
Republicans currently hold 67 of those chambers, while Democrats hold 32.
State of the States
ALABAMA
IVEY SAYS STATE OF THE STATE IS STEADY, SOUND: Nine months after abruptly landing in the state's top
office, GOV. KAY IVEY delivered an upbeat message with a State of the State address that she hopes will not
be her last. Ivey said her budget proposals would include pay raises for both education employees and state
employees. Ivey did not specify an amount for the raises, but the numbers in her budget proposal indicate it
would be 2 percent to 3 percent. According to the Montgomery Advertiser, “The speech — notably
nonpartisan and noncontroversial — reflected what analysts say will be one of the best budget pictures in
recent state history and a desire from state legislators to avoid controversy after a wrenching series of
leadership scandals over the past four years.”
ISSUES TO WATCH IN THE LEGISLATURE: Education reform, jail/corrections reform, mental health reform,
day care oversight, Montgomery County not having a senator during the session. For more in-depth coverage
of each issue, see here.

TOYOTA, MAZDA BUILDING BILLION DOLLAR PLANT: Toyota Motor and Mazda Motor are set to unveil
plans for a $1.6 billion assembly plant in Huntsville, Alabama. The plant is projected to employ about 4,000
workers and produce approximately 300,000 vehicles a year.
ARIZONA
5 TAKEAWAYS FROM GOV. DUCEY’S STATE OF THE STATE: According to the Phoenix New Times’ Antonia
Noori Farzan, the main takeaways from Gov. Doug Ducey’s State of the State are: women are awesome,
opioid addiction will be a major focus of this year’s legislative session, there won’t be any money going
toward expanding prisons this year, Ducey says he will invest in education but hasn’t specified where that
money will come from, and the governor is psyched about getting rid of obscure boards and regulations.
ARIZONA GOVERNOR LAYS OUT AGENDA: In his final State of the State speech before his 2018 re-
election campaign, Gov. Doug Ducey touted his accomplishments while presenting an agenda of
tackling the opioid crisis, increasing school funding and adopting new policies for ex-prisoners and the
child-welfare system.
ISSUES TO WATCH IN THE LEGISLATURE: Health care, higher education, water law reform, abortion,
marijuana, firearms, transportation, and deregulation. For more in-depth coverage of each issue, see here.
ARKANSAS
HUTCHINSON LAYS OUT $5.63 BILLION STATE BUDGET: Gov. Asa Hutchinson pitched to legislators a
$5.63 billion spending plan for next fiscal year that would be nearly $173 million more than the current
general revenue budget, with most of the new money devoted to the state's Medicaid program. The
governor's budget for fiscal 2019 -- which starts July 1 -- also would provide a surplus of about $64 million,
he said. Hutchinson said $48 million of that would go into a restricted reserve fund that could be used in an
economic downturn. The remaining $16 million would be used to match federal highway funds.
CALIFORNIA
GOV. BROWN PROPOSES 2018-19 BUDGET: Keeping the state on a path to long-term fiscal stability,
Governor Edmund G. Brown Jr. today proposed a $131.7 billion General Fund budget plan for 2018-19 that
fills the state’s Rainy-Day Fund to its constitutional target, fully implements the state’s K-12 school funding
formula two years ahead of schedule and provides $4.6 billion for the first year of a 10-year transportation
improvement plan. “California has faced ten recessions since World War II and we must prepare for the
eleventh. Yes, we have had some very good years and program spending has increased steadily,” said
Governor Brown in his budget letter to the Legislature. “Let’s not blow it now.” More here.
PROPOSED FEDERAL TAX CAP-WORKAROUD: California’s attempt to skirt the GOP’s new $10,000 cap on
local and state tax deductions is officially in play. SENATE LEADER KEVIN DE LEÓN introduced legislation to allow

Californians to make a charitable donation to the state — to the California Excellence Fund — in exchange
for a dollar-for-dollar state tax credit. In other words, people would be able to donate to the state instead of
paying taxes. The new tax law Congress passed last month does not place a cap on deductions for charitable
giving.
DEMS LOSE SUPERMAJORITY FOLLOWING ACCUSATIONS OF SEXUAL HARRASSMENT: Two Democrats
— FORMER ASSEMBLYMEN RAUL BOCANEGRA (D-PACOIMA) AND MATT DABABNEH (D-WOODLAND HILLS) —
resigned in the wake of allegations by women about incidents during their political campaigns and while in
office. A third legislator, ASSEMBLYMAN SEBASTIAN RIDLEY-THOMAS (D-LOS ANGELES), resigned recently, citing
serious health issues. One lawmaker who has been accused of inappropriate contact with women, STATE SEN.
TONY MENDOZA (D-ARTESIA), declined a request to take a leave of absence while a formal investigation is
conducted. The resignations have left Democrats short of what would otherwise be a supermajority of seats
in the Assembly, even after the election of ASSEMBLYWOMAN WENDY CARRILLO (D-LOS ANGELES) last month.
The vacancies could complicate any policy efforts to raise new revenue, enact laws quickly or place proposals
on the statewide ballot – actions that would all take a two-thirds vote in both houses.
Colorado
A LOOK AT THE TOP EIGHT ISSUES FOR THE 2018 LEGISLATIVE SESSION IN COLORADO: General
Assembly reconvenes Wednesday to discuss a hefty list of major policy changes on topics ranging from public
pensions to opioid treatment — if they can see through the political fog that makes this an unpredictable
session. The all-important 2018 election and a series of controversies that rocked the Colorado statehouse
in recent months set the stage for a challenging legislative term that promises to take a different tone than
a year ago, when lawmakers celebrated major bipartisan accomplishments. The agenda for the 120-day
session makes the task ahead more difficult, according to dozens of interviews ahead of the start. Here’s a
look at the top eight issues and a forecast for what lawmakers and lobbyists expect in the 2018 session: state
pension funding, sexual harassment, infrastructure, opioids, and oil & gas drilling safety regulations.
Florida
GOV. SCOTT’S STATE OF THE STATE: Full text of GOV. RICK SCOTT’S prepared remarks for his final State of
the State speech can be found here. According to the Orlando Sentinel, Scott focused on his familiar theme
of job creation but also called for more funding for education, the environment and the opioid epidemic.
ISSUES TO WATCH IN THE LEGISLATURE: Rural economies, health insurance, transportation, education,
adoption and foster care, budget, environment, Irma recovery, permit-less carry, insurance, opioids, and
texting while driving. For more in-depth coverage of each issue, see Orlando Sentinel - Depleted Legislature
Faces Long List of Issues, MyNews13 - Florida’s Legislative Session: Five Issues We’re Watching, News 4
Jacksonville - 10 Issues to Watch in 2018 Legislative Session, Tampa Bay Times - Florida’s Legislative Session
2018: Five Issues to Watch, and Miami Herald – Issues to Watch in the 2018 Legislative Session.

DESANTIS ANNOUNCES BID FOR GOVERNOR: With PRESIDENT DONALD TRUMP’S blessing, U.S. REP RON
DESANTIS, Florida’s most conservative congressman, official declared his candidacy for governor. Already in
the race for the Republican nomination is AGRICULTURE COMMISSIONER ADAM PUTNAM, also a former member
of Congress. RICHARD CORCORAN, speaker of the Florida House of Representatives, also may enter the contest
for the Republican nomination. Another Republican, JACK LATVALA, is still officially a candidate. But his
campaign is essentially over following his resignation from the state Senate over a sexual harassment scandal.
GOV. RICK SCOTT is prevented from running for re-election by term limits and Trump has urged him to run
against U.S. SEN. BILL NELSON, D-Fla.
GEORGIA
CONTROVERSIAL ISSUES IN AN ELECTION YEAR: Some of the state’s most contentious political topics are
sidelined for now but could take center stage at a moment’s notice during the 2018 legislative session. With
every state legislator up for re-election and several running for higher office, they could fan the flames of
their most energetic supporters by pressing controversial topics, though other candidates would prefer a
smooth 40 days of business so they can get back to campaigning. Religious freedom efforts are perhaps the
most controversial and enduring. Already, four Republican candidates for governor have pledged to
sign religious liberty legislation if they’re elected. Meanwhile, some Democrats see a narrow opening to
relocate Confederate monuments or ban bump stocks like those used in the rapid-fire shootings Oct. 1 in
Las Vegas.
5 ISSUES TO WATCH IN THE LEGISLATURE: Rural economies, health insurance, transportation,
education, and adoption & foster care are issues on the legislative radar, according to the Gainesville
Times.
STATE LAWMAKERS RETURN TO ATLANTA WITH ELECTIONS IN MIND: The governor's office is
opening up as incumbent Nathan Deal finishes his limit of eight years in office. Republican Lt. Gov.
Casey Cagle and several others are seeking the top office, emptying their own offices for other
claimants. Every legislative seat is also open for election this year, so most everyone running for re-
election has an incentive to return home to campaign with a few popular accomplishments in tow. Top
issues on the radar include jump-starting Georgia’s rural economies, speeding up broadband
deployment, and infrastructure development.
HEALTHCARE A MAJOR ISSUE FOR GA LEGISLATURE: The past year’s headlines say it all. Slices of
Georgia are in a full-on health care crisis: Premiums higher than a mortgage payment. Insurance
networks for 2018 that suddenly exclude all of a family’s doctors. An opioid epidemic; rural hospitals
going bankrupt; the uninsured poor; their unpaid emergency room bills. Legislators from both the
House and the Senate spent much of the past year running committees devoted to issues surrounding
health care, including the rural-urban divide. Their findings include the need for broadband access in
underserved areas to facilitate “telehealth” service Some are hoping the Legislature will step in to fill
the federal funding gaps to pay for uncompensated patient care.

GOP RETAINS TWO SEATS IN SPECIAL ELECTIONS: Former state House representative Brian Strickland, a
Republican, moves up to the state Senate after capturing nearly two-thirds of the vote in a special election
Jan. 9. In the House District 111 race to replace Strickland, Republican Geoff Cauble captured more than 51
percent of the vote. The district contains part of Henry County. More here.
HAWAII
AG STEPPING DOWN FOR CONGRESSIONAL RUN: ATTORNEY GENERAL DOUG CHIN is stepping down to run
for Congress. His last day in office as attorney general will be March 15.
IGE REQUESTS MILLIONS MORE IN EDUCATION SPENDING: GOV. DAVID IGE’S supplemental budget
request to the Hawaii Legislature for next fiscal year includes an additional $24 million in state Department
of Education operating funds and an extra $150 million for public school improvement projects, including
the construction of an elementary school on Oahu. Tucked within the request is a modest $2 million increase
to the weighted student formula, the method that determines per-pupil-funding. But it proposes funding for
other areas previously overlooked, such as $4.1 million in workers’ compensation benefits for injured DOE
employees, students and volunteers. Other notable education-related items in Ige’s supplemental budget
request include $1 million to expand Early College learning programs in the public schools, $2.8 million to
broaden school-based health services under the Hawaii Keiki program and $3.1 million to purchase
equipment for newly constructed school facilities.
IDAHO
TAXES, SCHOOLS, HEALTHCARE SHAPE GOVERNOR OTTER’S FINAL STATE OF THE STATE ADDRESS:
In his 12th and final annual address to the Legislature on Monday, Gov. Butch Otter called for tax relief,
dramatically reshaping how Idaho runs its colleges and universities, and new proposals for delivering health
insurance to this state’s residents. The governor proposes spending $3.68 billion for the fiscal year starting
in July 2018, up 6.62 percent from the year before. His proposed budget assumes possible tax revenues as
high as $3.78 billion in that same year. He spoke of two overall goals, to make healthcare more accessible
and affordable, and to ensure that employers in the state have educated and skilled workers. One of his
biggest proposals this year calls for almost $95 million in net tax relief to Idahoans. Under Otter’s plan, the
state’s corporate tax rate and income tax top rate, both 7.4 percent, could each drop to 6.95 percent.
GOV. OTTER’S STATE OF THE STATE: The full text of Gov. Butch Otter’s prepared remarks for his State of
the State speech can be found here.
ILLINOIS
GOV. RAUNER TALKS INFRASTRUCTURE, POLITICS, PLANS FOR 2018: GOV. BRUCE RAUNER joined the
Herald-News editorial board for a conversation about his campaign for re-election and what is on his
legislative agenda for 2017. The full transcript can be found here.

INDIANA
ISSUES TO WATCH IN THE LEGISLATURE: Alcohol sales, marijuana legalization, hate crimes, permit-less
carry, technology and innovation, opioid epidemic, and redistricting reform. For more in-depth coverage of
each issue, see here.
5 TAKEAWAYS FROM HOLCOMB’S STATE OF THE STATE ADDRESS: The Indy Star’s 5 takeaways from GOV.
ERIC HOLCOMB’S State of the State address include: developing a skilled workforce is the “defining issue of
the decade,” Holcomb is in harmony with GOP leaders on key goals but avoids the most contentious issues,
Holcomb knows how to set goals but we’ll have to wait and see if he meets them, Holcomb sticks to slower,
methodical approach to problems at the Department of Child Services, and he offered an unexpected goal
of tackling infant mortality.
IOWA
ISSUES TO WATCH IN THE LEGISLATURE: The budget, tax reform, education funding/school choice, water
quality, Medicaid/mental health services, abortion/family planning, sanctuary cities, bottle bill, death penalty,
and sports betting. For more in-depth coverage of each issue, see here.
KANSAS
2018 SESSION TO HIGHLIGHT KEY ISSUES: Kansas legislators convened Monday afternoon for the
start of their annual session with a number of policy issues expected to make it a difficult spring. HOUSE
SPEAKER RON RYCKMAN, an Olathe Republican, said school finance and balancing the state budget
would be the biggest challenges for lawmakers. He has previously expressed concern an increase in
funds for K-12 will make it difficult to address other essential areas of the state’s tight budget, such as
mental health and child welfare. The state’s attorneys would like to see a plan passed by March 1, which
legislators have said may not be possible. Others have expressed opposition to the court ruling or cast
doubt on their ability to fund K-12 schools to the liking of the plaintiff school districts’ attorneys —
another $600 million each year.
AG PROPOSING TO STRENGTHEN ELDER ABUSE LAWS: The Kansas Attorney General, along with the
Johnson and Sedgwick County DA's, announced they plan to ask the Kansas Legislature to strengthen
the state's laws against elder abuse. KANSAS AG DEREK SCHMIDT, JOHNSON COUNTY DA STEPHEN HOWE
AND SEDGWICK COUNTY DA MARC BENNETT said their proposal would expand the definition of criminal
mistreatment of an elder person to include infliction of physical injury, unreasonable confinement or
unreasonable punishment. It would also include violations of the guardian or conservator laws. Derek
Schmidt's office says current statute prohibits financial abuse but not physical abuse.

BROWNBACK GIVES STATE OF THE STATE ADDRESS: GOV. SAM BROWNBACK said he would give the
State of the State address and deliver a budget proposal this week, then remain in office until he is
confirmed to a diplomatic post. Brownback had previously said LT. GOV. JEFF COLYER was taking the lead
in developing the governor’s blueprint for how Kansas should spend billions in tax dollars. Brownback
layered the final State of the State speech of his career with personal reflections on faith and Kansas’
innate goodness with an explosive proposal to add $600 million in state aid to public schools that was
fiercely denounced by Republicans as financially irresponsible. Brownback recommended the 2018
Legislature allocate the additional money to schools over the next five years but rejected the idea of
any form of tax increase and avoided sharing ideas for financing the package. Lawmakers are under
pressure from the Kansas Supreme Court to correct unconstitutional flaws in the amount and manner
state aid is provided K-12 schools. The full text of Brownback’s address is available here.
KENTUCKY
HOUSE SPEAKER JEFF HOOVER RESIGNS: Shortly after the Kentucky House gaveled into session on
Monday afternoon, House Speaker Jeff Hoover took the floor to resign his leadership post. More here.
WHAT TO EXPECT IN KENTUCKY’S 2018 LEGISLATIVE SESSION: State revenue and pension funding top
issues for 2018. More here.
BILL LEGALIZING SPORTS BETTING: At least one lawmaker in Kentucky is looking to bring sports betting
to the cradle of US horse racing. It’s the latest in more than a dozen of states that have been considering
legalization of sports wagering via their legislatures. The sports betting bill from STATE SEN. JULIAN CARROLL
“takes effect only if the federal Professional and Amateur Sports Protection Act is repealed by Congress or is
rendered void by the United States Supreme Court.”
MARYLAND
HOGAN IN POTENTIALLY TIGHT RACE FOR GOVERNOR: A new poll shows Maryland’s race for governor
will be a competitive contest, with popular REPUBLICAN GOV. LARRY HOGAN failing to get 50 percent of the
vote in any hypothetical matchup against Democratic challengers. While Hogan enjoys high job approval and
favorability ratings in a new nonpartisan poll from Mason-Dixon Polling & Strategies, it is not enough to
suggest he will sail into a second term, pollsters said. Since registered Democrats outnumber Republicans in
Maryland by a margin of more than 2-to-1, Hogan needs a fair number of Maryland voters to cross party
lines in order to be re-elected next year. The poll, which has a 4 percentage-point margin of error, found that
PRINCE GEORGE’S COUNTY EXECUTIVE RUSHERN L. BAKER III is the “strongest contender” right now in the field
of seven Democrats. In a hypothetical matchup between Hogan and Baker, Hogan would win by 7 percentage
points, despite having a name recognition that is 35 percentage points higher than Baker’s. Voters surveyed
supported Hogan by 46 percentage points to Baker’s 39 percentage points, with 5 percent undecided.
Although Hogan is ahead, pollsters noted he is below the 50 percent threshold generally considered “safe”
for incumbents.

MASSACHUSETTS
BAKER EXPECTED TO TRUMPET BIPARTISANSHIP IN ADDRESS: Kicking off an election year as a
Republican in a state that is not, GOVERNOR CHARLIE BAKER will deliver his State of the Commonwealth address
to the Legislature and the people of Massachusetts on Tuesday, Jan. 23, his office announced. The speech is
poised to offer the Swampscott 61-year-old his highest-profile opportunity to make the case for what he has
accomplished during his three years steering the ship of state government. It will also offer Baker, who is
running for a second term, a chance to set his priorities for spending taxpayer money just a day before he is
likely to release his proposed state budget.
WBUR POLL: BAKER’S POPULARITY CONTINUES TO SOAR: Gov. Charlie Baker continues to enjoy the
kind of approval ratings that most politicians can only dream of. That's according to a new WBUR
poll (topline results, crosstabs), which finds that 74 percent of Massachusetts voters approve of the job Baker
is doing. It's a much different story for President Trump, who remains strikingly unpopular in the state: Just
29 percent of voters here approve of the job he's doing. The survey offers a study in contrasts. On the one
hand, Baker, a low-key, moderate Republican governor, working effectively with Beacon Hill Democrats, has
become the most popular politician in Massachusetts — and perhaps the most popular governor in the
country. More here.
MAINE
WHO/WHAT TO WATCH IN 2018: Elections, Medicaid, Susan Collins, marijuana sales, citizen-initiated
referendums, bonds, unfunded programs, tax conformity, and “unspent” taxpayer funds. For more in-depth
coverage of these issues, see here.
FIGHT FOR MEDICAID EXPANSION LIVES ON: GOV. PAUL LEPAGE has until early April to follow through on
his constitutional duty and submit expansion paperwork, but the state’s Democratic lawmakers are already
promising to take LePage to court if he puts up a fight beyond that deadline. The process in Maine may not
be going as smoothly as advocates for the program might have hoped, nevertheless, the outcome has served
as an example to campaigns in other expansion holdout states.
MINNESOTA
FISCHBACH ASSUMES LT. GOV. ROLE, REJECTS HIGHER PAY: Minnesota's new REPUBLICAN LT. GOV.
MICHELLE FISCHBACH said she'll reject the job's higher salary and hasn't scheduled the constitutionally-
required oath of office as she fights to keep her seat in the Senate. Fischbach's ascension to DEMOCRATIC
GOV. MARK DAYTON'S administration was automatic, laid out in the state's constitution by her role as Senate
president and set in motion by FORMER LT. GOV. TINA SMITH'S appointment to the U.S. Senate. Smith resigned
the job at midnight Tuesday, hours before being sworn in to replace SEN. AL FRANKEN, who formally resigned
amid a cloud of sexual misconduct allegations. Though Fischbach confirmed that she had assumed the role,

she stressed she was the state's "Acting Lieutenant Governor" and made clear her top priority was remaining
in the Senate even as Democrats aim to force her out.
MISSISSIPPI
BRYANT HITS FAMILIAR THEME WITH STATE OF THE STATE ADDRESS: According to the Daily Journal,
Gov. Phil Bryant did not use the occasion of his seventh State of the State speech to unveil any new policy
initiatives. Instead, the second-term Republican spoke for about 35 minutes touting proposals that he had
previously unveiled, such as providing “targeted work force training” in the community colleges for high-
demand jobs and professions and expanding school choice.
MISSISSIPPI REALITY DIFFERENT FROM CRITICS’ VIEW: Gov. Phil Bryant says critics are painting a
false and negative picture of Mississippi. The Republican said in his State of the State address Tuesday
that critics portray Mississippi as “a declining state whose people are suffering mightily.” But, he says the
state is filled with progress and is “inhabited with caring, hard-working people of all races and ages.”
BRYANT TAKES PAGE FROM TRUMP’S PLAYBOOK: Gov. Phil Bryant said he got a break-a-leg
call of encouragement from President Trump before he gave his seventh Mississippi State of the
State address. Bryant then went on to give a wide-ranging speech with a theme that could have
come from the Trump playbook: Critics and media are all wrong — he and Mississippi legislative
leaders have made many great accomplishments in recent years. Read some of the highlights
here.
ISSUES TO WATCH IN THE LEGISLATURE: Budget cuts, Medicaid, education formula rewrite, school choice,
state lottery, roads and bridges, mental health reform, domestic violence and divorce reform, contract reform,
reverse auctions, nurse practitioners, elimination of agencies, boards and commissions. For more in-depth
coverage of each issue, see here.
MISSOURI
ISSUES TO WATCH IN THE LEGISLATURE: Labor, tort reform, taxes, ethics reform, funds for nursing care,
and foster care reform. For more in-depth coverage of each issue, see here.
NEBRASKA
GOVERNOR RICKETTS DELIVERS STATE OF THE STATE: Nebraska Governor Pete Rickets delivered his
fourth State of the State address calling the state's budget challenges the top priority as the legislature gets
down to business. The governor told lawmakers, "In October, the Nebraska Economic Forecasting Advisory
Board reduced the revenue forecast. While our state’s economy once again has the wind at its back, revenues
continue to fall short of the board’s expectations." He said the goal this year is to mirror last year's blueprint
of delivering a balanced budget without raising taxes.

RICKETTS LAUDS SENATORS FOR WORKING TOGETHER, OUTLINES TAX PLAN IN STATE OF THE
STATE SPEECH: Striking a conciliatory tone and heaping praise on state senators from both parties,
Gov. Pete Ricketts on Wednesday lauded lawmakers for working together to grow Nebraska and its
economy. Businesses and people around the state are beginning to take notice of Nebraska, Ricketts
said, helping the state achieve “record levels of employment with over 1 million non-farm jobs and the
lowest unemployment rate in our state since 1999 at 2.7 percent.” The state also topped a population
of 1.92 million people for the first time ever last year, he said. More here.
LOOKING AHEAD TO THE 2018 SESSION: The Lincoln Journal Star provides a preview to the 2018 session
with a Star Wars theme – The Legislature Awakens. Read more here.
NEW JERSEY
GOV. CHRISTIE’S STATE OF THE STATE: Full text of GOV. CHRIS CHRISTIE’S prepared remarks for his final
State of the State speech can be found here.
NJ TOWNS TRY TO ELUDE GOP TAX LAW: Faced with a new federal tax law that limits state and local tax
deductions, three communities in New Jersey have come up with a novel solution: They want people to
donate to a town-run charity as a way of mitigating their property taxes. The three towns — Paramus, Park
Ridge and Fair Lawn — announced that they would allow residents to donate the same sum they would have
been charged in property taxes to pay for municipal services. Under the tax bill signed by President Trump
last month, deductions for state and local taxes, including property taxes, are limited, but charitable donations
are not. The new plan, like any tax loophole, is simple in theory and complex in execution, but it could work
more or less like this: Paramus, for example, would start a charitable trust and a taxpayer who pays $20,000
in annual property taxes would contribute that exact amount to the charitable trust. The charitable trust
would then allocate the $20,000 to various entities — the schools, the police department and other agencies
— as though the donation were a tax payment. The town would then credit the taxpayer for 90 to 95 percent
of the donation, making it nearly entirely deductible. (The town could factor in administrative costs to lessen
a donation’s value.) But building a town-run trust to take the place of a local tax collection process is relatively
uncharted waters — for one thing such a change in municipal governance would require approval by each
town’s local governing body.
NEW MEXICO
MARTINEZ, LEGISLATIRE SET SPENDING PRIORITIES: GOV. SUSANA MARTINEZ and leading lawmakers
proposed increases in state spending on public school education, Medicaid, public safety agencies and
economic development incentives for the coming fiscal year, amid a sharp increase in state income from
taxes and oil-field revenues. The two budget wish lists - from the Republican governor and the Democratic-
led Legislature - both emphasize investments in early childhood education and the justice system, with pay
increases assigned for teachers, prison guards, prosecutors and state workers. The Legislature's lead budget-

writing committee is seeking a $178 million increase in general fund spending to nearly $6.3 billion. The
governor is seeking a $250 million increase, with more money set aside for reserves.
NEW YORK
NY TO SUE OVER FEDERAL TAX LAW: GOV. ANDREW CUOMO said New York will sue over the federal tax
overhaul signed into law last month, calling it unconstitutional and an "assault on New York." In his briefing
book for his State of the State address, the Democratic governor said New York will sue over the law, lead a
"repeal and replace" effort and look to adjust its own state tax policy. Cuomo, who is seeking re-election in
November and a prospective presidential candidate in 2020, has threatened a lawsuit over the law for weeks,
saying it targets blue states like New York. Cuomo said his public campaign against the law will be called "Tax
Fairness for All," and he will explore "a plan to restructure the current income and payroll tax system." Specifics
of his plan will likely be released when Cuomo releases his 2018-19 state budget for the fiscal year that starts
April 1. More coverage from Cuomo’s State of the State can be found here.
AG’s BATTLE WITH TRUMP: ERIC SCHNEIDERMAN, New York’s attorney general, reached a milestone of sorts
recently. By moving to sue the Federal Communications Commission over net neutrality, his office took its
100th legal or administrative action against the Trump administration and congressional Republicans. His
lawyers have challenged Mr. Trump’s first, second and third travel bans and sued over such diverse matters
as a rollback in birth control coverage and a weakening of pollution standards. They have also unleashed a
flurry of amicus briefs and formal letters, often with other Democratic attorneys general, assailing legislation
they see as gutting consumer finance protections or civil rights. In Mr. Schneiderman’s seventh year as
attorney general, the office has been transformed into a bulwark of resistance amid an unusually expansive
level of confrontation with the federal government. How far Mr. Schneiderman is willing to go in taking on
Mr. Trump could define his political career, particularly in a blue state where disapproval of the president is
high. The potential of the attorney general’s office for troublemaking and generating national headlines was
redefined in the early 2000s by ELIOT SPITZER. Mr. Schneiderman is a less combative man who was often the
target of Mr. Trump’s Twitter wrath amid a three-year civil investigation into Trump University. In the end,
Mr. Schneiderman’s office extracted a $25 million settlement in the case.
NORTH CAROLINA
UNCONSTITUTIONAL GERRYMANDERING: A panel of federal judges struck down North Carolina’s
congressional map on Tuesday, condemning it as unconstitutional because Republicans had drawn the map
seeking a political advantage. The ruling was the first time that a federal court had blocked a congressional
map because of a partisan gerrymander, and it instantly endangered Republican seats in the coming
elections.

OHIO
CORDRAY, SUTTON TO MERGE OHIO GOV BIDS; TAYLOR CHOOSES RUNNING MATE: Former federal
consumer watchdog RICHARD CORDRAY will join forces with former congresswoman and Obama-era official
BETTY SUTTON in the race for Ohio governor, a Democrat close to the campaign said. The move comes as
Democrats position to win back control of the key battleground state in November. The new team is expected
to draw big-name Democratic support that could include former PRESIDENT BARACK OBAMA, FORMER VICE
PRESIDENT JOE BIDEN AND U.S. SEN. ELIZABETH WARREN of Massachusetts. The Cordray-Sutton ticket still faces
a crowded Democratic field. DAYTON MAYOR NAN WHALEY, EX-STATE REP. CONNIE PILLICH, STATE SEN. JOE
SCHIAVONI (who announced last week that Ohio Board of Education member Stephanie Dodd will be his
running mate) and SUPREME COURT JUSTICE WILLIAM O’NEILL are seeking the party’s nomination, and FORMER
CLEVELAND MAYOR AND CONGRESSMAN DENNIS KUCINICH has filed paperwork for a likely run. LT. GOV. MARY
TAYLOR of Green, also hoping to become the first woman elected governor in the state, will introduce a
Cincinnati-area business executive as her running mate. NATHAN ESTRUTH, president and chief executive
officer of Hamilton-based iMFLUX, an injection molding company, will serve as Taylor’s No. 2 in the May 8
primary. Taylor is seeking the Republican nomination for governor in a three-way contest with the tickets of
ATTORNEY GENERAL MIKE DEWINE AND SECRETARY OF STATE JON HUSTED AND U.S. REP. JIM RENACCI of
Wadsworth and CINCINNATI CITY COUNCIL MEMBER AMY MURRAY.
WHAT IS LEFT ON OHIO’S WISH LIST? 2017 saw a lot of talk at the Ohio Statehouse over big blockbuster
issues that have been stewing in the legislature for a while. But after all that talk, several of these issues didn’t
really go anywhere. There were plans to shore up the unemployment compensation fund, a task force to
reform congressional redistricting, and a bill to cap high interest rates on payday lending loans. None of
these issues saw any real movement. But we’re only halfway through this session, which means this year’s
“bills that didn’t pass” can be 2018’s legislative wish list. Read more here.
SOUTH CAROLINA
MCMASTER BUDGET CALLS FOR TAX CUTS IN STATE OF THE STATE ADDRESS: GOV. HENRY MCMASTER on
proposed $162 million in income tax cuts as the first step in a five-year plan to reduce taxes by $2.2 billion. In
a letter introducing his first proposed budget, McMaster noted that South Carolina has the highest income
tax rate of all states in the southeast and 12th highest in the nation. His proposed budget for the fiscal year
starting July 1 calls for nearly $140 million in tax savings, as well as an additional $22 million in tax exemptions
for retired veterans, firefighters and law enforcement officers. Under his proposal, the state's general fund
budget would grow to $8.06 billion, an increase of $113.8 million, or 1.4 percent, over the current spending
plan. Other highlights of McMaster's proposed budget include:
• Nearly $111 million in additional funding for education, including $5 million for a school safety
program, $5 million for school bus leasing and $500,000 for Clemson University’s Call Me MISTER
teacher retention and recruitment program.
• $44 million in increases for economic development and workforce training.
• A $20 million contribution for a new state forensics lab.

• $14 million for statewide voting machine replacement and maintenance.
• $10 million for opioid response efforts
• $2 million in renovations at the Richard M. Campbell Veterans Nursing Home in Anderson County.
PLENTY TO DO ON 2018 LEGISLATIVE AGENDA: The Post and Courier Editorial Board writes: “Lawmakers
have a lot on their plates as they return to Columbia. Addressing the nuclear disaster should come first, but
it’s certainly not the only South Carolina need awaiting legislative action. And in an election year, all eyes will
be on the Statehouse.”
10 ISSUES S.C. LEGISLATORS WILL FACE IN 2018: The State looks at 10 pressing issues facing SC lawmakers
in 2018 noting that legislators “are notorious for doing as little as possible in elections years.” Issues include:
electricity/nuclear energy, ethics reform, water regulations, taxes, education funding, and concealed carry
permitting. More here.
South Dakota
GOV. DAUGAARD STRESSES WORKFORCE DEVELOPMENT, BIPARTISANSHIP IN FINAL STATE OF THE
STATE ADDRESS: The Governor outlined some of the things he would like to see this session, like further
developing the state’s workforce. Daugaard says there is a shortage of workers in the state and a low number
of those with post-secondary education. Other items on Daugaard’s agenda include: extending the sunset
law on non-meandered waters for three years, loosening restrictions on micro-breweries, and re-allocating
money to grant programs.
DAUGAARD – SOUTH DAKOTA SEEKING MEDICAID WORK REQUIREMENT: South Dakota is going
to ask the Trump administration to allow the state to require some Medicaid recipients to work to qualify
for the government-funded health coverage for the poor, Gov. Dennis Daugaard said Tuesday in his
State of the State address. The change would apply to about 4,500 low-income, able-bodied parents
who are not caring for a child under the age of 1, Daugaard told state lawmakers gathered for the first
day of the 2018 legislative session. The governor proposed piloting the new requirement in Minnehaha
and Pennington counties.
TENNESSEE
5 ISSUES TO WATCH IN THE NEXT SESSION: Opioids, welfare reform, juvenile justice and corrections,
education, and short-term rentals. For more in-depth coverage of these issues, see here.
TENNESSEE LAWMAKERS HEAD INTO SESSION WITH ELECTIONS LOOMING: Tennessee lawmakers return
Tuesday for a session colored by upcoming elections and Gov. Bill Haslam's final lap before he hits his term
limits. Four Democrats and 13 Republicans in the House aren't seeking re-election, including Harwell, who is
running to succeed Haslam alongside four other leading Republicans and two Democrats. Three Senate
Republicans have already left. Republican Senate Majority Leader Mark Norris will be gone once the U.S.
Senate confirms him as a federal judge, and another Republican and Democrat won't seek re-election.

MANY LAWMAKERS ARE LEAVING TENNESSEE GENERAL ASSEMBLY: Big changes are in store
for the 132-member Tennessee General Assembly next year with at least 21 current lawmakers
having already announced plans to retire or having already departed, and more are expected to
decide later. Their reasons range from seeking higher offices to federal appointments,
disenchantment or more pressing needs at home. The most high-profile figure is House Speaker
Beth Harwell, a Nashville Republican who was elected seven years ago as the first female speaker
in Tennessee history. Harwell is running for governor.
TEXAS
VALDEZ KICKS OFF BID FOR GOV: LUPE VALDEZ, the former Dallas County Sheriff, formally launched her
Democratic bid for governor, touting a campaign aimed at representing all Texans and listing a broad range
of topics she plans to address as election season gets underway. Valdez, 70, announced late last year she was
entering an already crowded and potentially competitive primary field. Ten Democrats are vying to face off
with REPUBLICAN GOV. GREG ABBOTT in the November general election, including Valdez and ANDREW WHITE,
the son of late Gov. Mark White. The eventual Democratic Party nominee faces long odds to unseat Abbott,
who has a $40 million-plus war chest for re-election.
RACES TO WATCH: Keep your binoculars on these races, each of which could be a bellwether of this election
year: STATE SEN. KONNI BURTON of Colleyville and STATE REPS. VICTORIA NEAVE of Dallas and TONY DALE of
Cedar Park. A Democratic electorate — or an anti-Republican one — could be bad news for Republicans like
Burton and Dale. The three, taken together, will be useful in the political autopsies that take place after
November’s general election. All other things being equal (they’re not equal: Neave will try to survive any
political repercussions from drunkenly driving her car into a tree last June), the incumbents should all be taking
the oath of office again in a year. But political winds are dangerous to down-ballot candidates like those
running for the Texas Legislature.
VIRGINIA
REPUBLICANS TO MAINTAIN CONTROL OF HOUSE OF DELEGATES – APPEALS COURT DENIES DEM
MOTION TO KEEP THOMAS FROM SWEARING IN: The U.S. Court of Appeals for the Fourth Circuit entered
an order at 9:50 a.m. Wednesday denying a Democratic-aligned law firm’s longshot emergency motion to
prevent REPUBLICAN DEL.-ELECT BOB THOMAS from assuming the 28th District seat today. The three-judge panel
did not provide a written ruling. Thomas defeated DEMOCRAT JOSHUA COLE, a pastor from Stafford, by 73 votes
in the race to succeed Republican House Speaker Bill Howell. Republicans will have a 51–49 edge in
Richmond’s lower chamber barring any last-minute developments.
VA DEMOCRAT SHELLY SIMONDS CONCEDES TIED NEWPORT NEWS RACE: SHELLY SIMONDS, the
Democratic candidate for a Virginia House of Delegates seat, conceded the election to REPUBLICAN DAVID
YANCEY on Wednesday, marking the end of a wild election that came down to picking names from a

bowl. Last week, state officials determined the tied vote for the 94th District seat by drawing Yancey’s
name, thus ensuring Republicans would retain control of the House of Delegates. The unusual election
results had caught national attention. While Yancey was initially declared the winner of the November
election, a recount deemed Simonds the victor by one vote. But when a court reviewed the recount,
Yancey’s lawyers found a single ballot they believed should have been counted for the Republican. The
court agreed to accept it, and the race became a tie.
COX ELECTED SPEAKER OF THE HOUSE: In a 98-0 vote, the Virginia House of Delegates elected KIRK COX, a
Colonial Heights Republican, as the next House speaker, enacting a long-planned succession of power. The
House elected Cox in a 98-0 vote, with no vocal opposition after a contentious election season in which
Republicans lost 15 seats in the House but survived a series of recounts, lawsuits and a tiebreaker to keep a
51-49 majority.
GENERAL ASSEMBLY CONVENES, FORECASTS MAJOR ISSUES: Last session, legislators filed 3,201 pieces of
legislation. But that number could be higher this year because delegates and senators are allowed to pre-file
an unlimited number of bills during long sessions that occur in even-numbered years. Major issues to be
considered this session include: electric utility regulation, taxes, minimum wage, election reform, the Patrick
County hospital, Interstate 73, treatment of animals, hunting on Sundays, and gourmet shops.
WASHINGTON
4 ISSUES TO WATCH IN THE NEXT SESSION: How Democrats will wield power, education funding, capital
budget vs. water policy, and whether the legislature will be able to adjourn on time without requiring a special
session. For more in-depth coverage of these issues, see here.
INSLEE LASHES BACK AT SESSIONS ON MARIJUANA: GOV. JAY INSLEE expressed a defiant attitude toward
U.S. ATTORNEY GENERAL JEFF SESSIONS, who announced Jan. 4 the rescinding of Obama-era guidelines that
assisted the legalization of nonmedical marijuana in Washington, seven other states and the District of
Columbia. Inslee, flanked by WASHINGTON STATE ATTORNEY GENERAL BOB FERGUSON, SEN. ANN RIVERS, R-LA
CENTER, AND REP. DAVID SAWYER, D-TACOMA, voiced vehement opposition to Sessions’ announcement, calling
out President Donald Trump’s administration for going against what Inslee called progress.
INSLEE TALKS CARBON PRICING, TRUMP, AND OPEN STATE GOVERNMENT: In an interview with The
Seattle Times last week, GOV. JAY INSLEE discussed his new carbon plan, which would tax carbon and use
some of the revenue to help fund K-12 education. He also discussed the Trump administration and open
government at the Legislature. Read the transcript here.
DEMS TAKE ON NEW LEADERSHIP ROLES IN LEGISLATURE: Hanging in SHARON NELSON’S new office is a
popular print depicting a group of ducks crammed into a small, open boat in dark, stormy seas — a version
of the allegorical “Ship of Fools.” It’s a reminder for Nelson, the Washington state Senate’s new Democratic
majority leader, to question her decisions. Along with new Democratic budget writer SEN. CHRISTINE ROLFES
and other leaders, Nelson — elected to the Senate in 2010 after a few years in the House — must navigate a
Democratic Legislature operating with the thinnest of margins. Nelson leads a Senate with a one-vote majority,

wrung from the Democratic victory in November’s 45th District Senate election. Her House counterpart,
Democratic SPEAKER FRANK CHOPP of Seattle, has a similarly slim two-vote majority. Lawmakers are tasked with
finding an agreement to satisfy the Washington state Supreme Court’s latest K-12 education-funding order
— which could potentially cost $1 billion. And Democrats and Republicans remained deadlocked over a
$4 billion capital-construction budget and rural water-use legislation. Senate Republicans last year blocked
passage of the capital budget when Democrats didn’t approve their water-use bill.
WEST VIRGINIA
STATE REVENUE COLLECTIONS BREAKS 59-MONTH LOSING STREAK: For the first time in 59 months —
since 2012 — West Virginia tax collection for December lacked one thing: red ink. The collection of $367.54
million topped estimates for the month by $16.8 million, or 5 percent. After years of revenue shortfalls and
mid-year spending cuts, the state passed the midpoint of the 2017-18 budget year in the black, with year-
to-date collection of $1.968 billion exceeding estimates by $2.7 million. Year-to-date collection also is more
than $106 million higher than the same point in 2017, when the state had collected but $1.86 million in tax
revenue and was on pace to finish with a $165 million budget shortfall. More here.
GOVERNOR, LAWMAKERS OPTIMISTIC ABOUT COOPERATION IN CHARLESTON: The West Virginia
Legislature will gavel in the first day of its 60-day regular session on Wednesday, January 10, with education
and tax reform legislation already taking shape. Justice has said he foresees a more “harmonious” legislative
session in his second go-round. Senate President Mitch Carmichael agreed, saying he is more optimistic and
sees a better working relationship with the governor this session. At last week’s West Virginia Press
Association Legislative Lookahead, lawmakers addressed issues they expect to come up during this year’s
session. While lawmakers from the House Committee on Finance and the Joint Committee on Tax Reform
said they do not anticipate legislation to change personal income or consumer sales tax, they do expect to
introduce a bill to eliminate the business inventory tax – a tax on business equipment. More here.
WYOMING
INTERESTING RACES IN 2018: So far, the biggest Republican names being floated for the race to replace
GOV. MATT MEAD have yet to make any announcements. SECRETARY OF STATE ED MURRAY, STATE TREASURER
MARK GORDON AND HOUSE SPEAKER STEVE HARSHMAN, a Casper Republican, have declined to say whether or
not they will enter the race. With Murray, Gordon and Harshman all undecided — or at least yet to make a
public announcement and start campaigning — the field belongs to the Democratic candidate MARY THRONE,
a former state lawmaker, and three political novices in the Republican field: BILL DAHLIN, HARRIET HAGEMAN
AND REX RAMMELL.

BGR State & Local Update (1.10.18)

Recomendados

Recomendados

Mais conteúdo relacionado

Mais procurados

Mais procurados (20)

Semelhante a BGR State & Local Update (1.10.18)

Semelhante a BGR State & Local Update (1.10.18) (20)

Último

Último (20)

BGR State & Local Update (1.10.18)