13.A.
City Council Meeting - FINAL
- Meeting Date:
- 05/21/2019
- Co-Submitter:
- Sarah Langley
- From:
- Cliff Bryson, Labor Standards Manager
Information
TITLE
Discussion/Direction: Current Issues Before Arizona Legislature and Federal Issues.
STAFF RECOMMENDED ACTION:
Information Only
EXECUTIVE SUMMARY:
On Friday May 17, 2019 the state legislative completed its 124th day of the session. To date, 258 bills have been submitted to the Governor with Governor Ducey signing 237 bills into law. The Governor has vetoed 7 bills with one bill receiving a lot of support throughout the session HB2473 (State Liquor Board; Membership) being one of seven bills being vetoed. The active bills will continue to decline as the Senate, House and Governor’s office continue complete the FY2020 state budget.
As far as the state budget, Senate Leadership plans to begin introducing budget bills as early as Monday May 20, 2019. From January of 2019 through March of 2019 there was a 6.2% increase or $598 million-dollar growth in state revenues compared to 2018 during the same time range. The Governor wants to place roughly ½ billion dollars into rainy day fund after many have estimated the state will have a 1 billion surplus. This is after a slight decline in revenues in January of 2019. There is still a lot of support for passing tax cuts consistent with federal tax adjustments and/or paying down state debt that added up during the recession. There is continual support to increase education spending. During the 2019 session, several bills were introduced directing general fund revenues to infrastructure that continue to be part of the budget discussion. For example, I-17, I-10 Widening study, Globe Bridge Project, tribal roads & Bridges, airports and statewide funding for county and municipal road systems.
General Bill Overview:
SB1225 (Appropriation; Developmental Disabilities Services Providers) introduced by Sen. Allen which would appropriates funding for social service providers in the city of Flagstaff with a match base clause continues to be at the discussion table in the budget. The city is continuing to work with the state to provide legal language on reporting requirements (AHCCCS).
HB2115 (Landlord Tenant; State Preemption) state preemption bill preempting cities and towns from enacting any regulations related to landlord-tenant issues. HB2115 as amended will exclude those regulations/ordinances addressing landlord tenant issues by a city and town adopted before December 31, 2018. HB2115 is awaiting Senate Committee of the Wholes and vote.
SB1001 (Highway Safety Fee) repeals the $32 Highway safety fee passed in 2018 to eliminate the HURF transfers to Highway Patrol is still being held in House Rules Committee.
SB1147 S/E (Tobacco Products; Vapor Products) strike everything bill and an unnecessary preemption of local public health and safety regulations, passed amended on May 15.
HB2473 (State Liquor Board; Membership) which would have provided more local representation on the state local board was vetoed by the Governor on May 14.
HB2672 (Vacation Rentals; Short-Term Rentals; Regulation) providing regulations on short-term rentals and providing penalties for violations was transmitted to the Governor.
Wayfair: The first amended language reviewed included all toggles excluding the feedstore toggle. An additional amendment was received with a 5-year moratorium instead of a 7-year moratorium. The senate amendment was reviewed containing language for all toggles. There was no language regarding offsetting funding from cities, which is positive for the cities and towns. The Senate wants to bundle conformity and Wayfair, but House wants standalone bills (Conformity, Wayfair, Digital Goods). Further discussions are continuing with Wayfair within the budget process.
Federal Legislative Update:
Draft House Energy and Water bill which includes language making appropriations for energy and water development and related agencies for the fiscal year ending September 30, 2020, and for other purposes to introduced on May 13 2019. The bill provides substantial increases for the Army Corps budget.
As far as the state budget, Senate Leadership plans to begin introducing budget bills as early as Monday May 20, 2019. From January of 2019 through March of 2019 there was a 6.2% increase or $598 million-dollar growth in state revenues compared to 2018 during the same time range. The Governor wants to place roughly ½ billion dollars into rainy day fund after many have estimated the state will have a 1 billion surplus. This is after a slight decline in revenues in January of 2019. There is still a lot of support for passing tax cuts consistent with federal tax adjustments and/or paying down state debt that added up during the recession. There is continual support to increase education spending. During the 2019 session, several bills were introduced directing general fund revenues to infrastructure that continue to be part of the budget discussion. For example, I-17, I-10 Widening study, Globe Bridge Project, tribal roads & Bridges, airports and statewide funding for county and municipal road systems.
General Bill Overview:
SB1225 (Appropriation; Developmental Disabilities Services Providers) introduced by Sen. Allen which would appropriates funding for social service providers in the city of Flagstaff with a match base clause continues to be at the discussion table in the budget. The city is continuing to work with the state to provide legal language on reporting requirements (AHCCCS).
HB2115 (Landlord Tenant; State Preemption) state preemption bill preempting cities and towns from enacting any regulations related to landlord-tenant issues. HB2115 as amended will exclude those regulations/ordinances addressing landlord tenant issues by a city and town adopted before December 31, 2018. HB2115 is awaiting Senate Committee of the Wholes and vote.
SB1001 (Highway Safety Fee) repeals the $32 Highway safety fee passed in 2018 to eliminate the HURF transfers to Highway Patrol is still being held in House Rules Committee.
SB1147 S/E (Tobacco Products; Vapor Products) strike everything bill and an unnecessary preemption of local public health and safety regulations, passed amended on May 15.
HB2473 (State Liquor Board; Membership) which would have provided more local representation on the state local board was vetoed by the Governor on May 14.
HB2672 (Vacation Rentals; Short-Term Rentals; Regulation) providing regulations on short-term rentals and providing penalties for violations was transmitted to the Governor.
Wayfair: The first amended language reviewed included all toggles excluding the feedstore toggle. An additional amendment was received with a 5-year moratorium instead of a 7-year moratorium. The senate amendment was reviewed containing language for all toggles. There was no language regarding offsetting funding from cities, which is positive for the cities and towns. The Senate wants to bundle conformity and Wayfair, but House wants standalone bills (Conformity, Wayfair, Digital Goods). Further discussions are continuing with Wayfair within the budget process.
Federal Legislative Update:
Draft House Energy and Water bill which includes language making appropriations for energy and water development and related agencies for the fiscal year ending September 30, 2020, and for other purposes to introduced on May 13 2019. The bill provides substantial increases for the Army Corps budget.
INFORMATION:
No Additional Information