Date: 10/15/2009

Final
Discussion on Legislation

INTERIM COMMISSION TO STUDY FISCAL STABILITY

Votes: View--> Action Taken:
Senate Joint Resolution LLS No. R10-0291.01 "Reque
To have legislation drafted on: a mechanism that
To have legislation drafted on: a mechanism that
To have legislation drafted on: a rainy day fund
To have legislation drafted on: changes that woul
To have legislation drafted on: changes to the st
To have legislation drafted on: options for expan
To have legislation drafted on: the establishment
To have legislation drafted on: the repeal of the
PASS
PASS
PASS
PASS
PASS
PASS
PASS
PASS
PASS



01:30 PM -- Discussion on Legislation


Commission Reconvened

Senator Heath, Chairman, began the afternoon session by discussing commission legislation. Senator Heath commented that he had asked staff to draft three measures for commission discussion purposes that would be acted upon on November 4, 2009, and November 5, 2009. One measure would refer a question to voters in 2010 to establish a 23-person, nonmember (of the General Assembly) commission that would look at fiscal policies contained in Colorado's Constitution. The commission would be made up of seven Senate appointments, seven House of Representative appointments, seven appointments from the Governor's Office, and two appointments by the judiciary branch of state government. Once recommendations are made by the new commission, voters would decide on the recommendations in the 2012 General Election.

Senator Heath continued by discussing a second measure that would provide more funding options for higher education by making changes to the mix of in-state and international students that attend institutions of higher education in Colorado. The legislation is aimed at providing greater access for international students to institutions of higher education in Colorado while providing more tuition revenue for institutions.


02:04 PM

The committee continued the discussion on legislation that would create a constitutional revision commission. Senator Heath discussed the single-subject issue in terms of its application to the commission. He noted that any recommendations from the commission that are sent to voters may contain multiple-subject measures that pertain to changes in fiscal policy.

The discussion shifted to a third measure on a comprehensive tax study (Attachment C). Senator Heath discussed the potential benefits of an independent, nonpartisan study that may offer the state options for funding services and making the tax structure more fair.

09Longterm1015AttachC.pdf

After a brief discussion on the a tax study measure, the commission took up "major themes" that were discussed earlier in the morning that could be the subject of additional commission legislation. Senator Heath noted that some of these themes included a rainy day fund, federal waivers, and options for transportation and capital construction funding. The committee also discussed the need for legislation that would stimulate investment with measured outcomes.

The discussion shifted back to the benefits of a comprehensive tax study, the need for a rainy day fund, and a permanent funding source for transportation. Commissioner Knox discussed the importance of a tax study to determine the fairness of Colorado's tax system and make assessments about Colorado's revenue structure. Senator Brophy commented on the ongoing efforts of the General Assembly to establish a rainy day fund. In addition, Representative Gerou noted the need for legislation that would provide a permanent funding source for capital construction and transportation. She continued by stressing the need to maintain state buildings and institutions because they are important state assets and investments.

The committee continued the discussion on the need to define the core provisions of state government. Senator Brophy commented that the state is in a very difficult budget position, but it is not the job of the commission to solve budget problems. He continued by noting that funding for K-12 education is adequate and discussed state-funding for health care. The commission continued the discussion on whether the state has enough to fund state services, including providing excellent services in higher education and access to health care.

.
02:49 PM

The commission discussion changed to the topic of revenue-raising measures. Senator Heath commented that once the recovery begins, a measure that requires a tax study may shed some light on the best way to raise revenue and be fair to all taxpayers. The discussion continued on state expenditures and the provision of state services.

The discussion briefly shifted to TABOR and the growth of total government spending. Senator Morse noted that current state revenue does not keep pace with caseload-driven expenditures. As the discussion ensued, Representative Court commented on the need to focus on preventative state policies that yield long-term savings to the state.

The commission discussion shifted to 2009 legislation that addressed the budget shortfall. Representative Ferrandino commented on the Joint Budget Committee legislation that made transfers from cash funds to the General Fund, legislation that reduced services, and other measures that were enacted to balance the state's budget in FY 2008-09. Commissioner Fagan continued the discussion by commenting on the need for legislation that looked at regulatory reforms to achieve cost savings for the state. He closed by discussing the need for legislation that would enhance public-private partnerships that would look to the nonprofit sector to gain more efficiencies in providing state services and ultimately save the state money.


03:39 PM

Recess.


04:00 PM --
Commission Action on Legislation
BILL:Discussion on Legislation
TIME: 04:44:22 PM
MOVED:Ferrandino
MOTION:To have legislation drafted on: a rainy day fund that is capped at 15 percent of the General Fund.
SECONDED:
VOTE
Brophy
Yes
Court
Yes
Gerou
Yes
Morse
Yes
Boigon
Conway
Cooke
Coors
Fagan
Hume
Knox
Lynne
Neilson
White
Ferrandino
Yes
Heath
Yes
Final YES: 6 NO: 0 EXC: ABS: 0 FINAL ACTION: PASS


BILL:Discussion on Legislation
TIME: 04:47:08 PM
MOVED:Morse
MOTION:Senate Joint Resolution LLS No. R10-0291.01 "Request For Comprehensive Tax Study".
SECONDED:
VOTE
Brophy
Yes
Court
Yes
Gerou
Yes
Morse
Yes
Boigon
Conway
Cooke
Coors
Fagan
Hume
Knox
Lynne
Neilson
White
Ferrandino
Yes
Heath
Yes
Final YES: 6 NO: 0 EXC: 0 ABS: 0 FINAL ACTION: PASS


BILL:Discussion on Legislation
TIME: 04:47:54 PM
MOVED:Morse
MOTION:To have legislation drafted on: the establishment of a Constitutional Revision Commission.
SECONDED:
VOTE
Brophy
No
Court
Yes
Gerou
No
Morse
Yes
Boigon
Conway
Cooke
Coors
Fagan
Hume
Knox
Lynne
Neilson
White
Ferrandino
Yes
Heath
Yes
Final YES: 4 NO: 2 EXC: 0 ABS: 0 FINAL ACTION: PASS


BILL:Discussion on Legislation
TIME: 04:54:07 PM
MOVED:Ferrandino
MOTION:To have legislation drafted on: changes that would allow more flexibility for higher education funding.
SECONDED:
VOTE
Brophy
Yes
Court
Yes
Gerou
Yes
Morse
Yes
Boigon
Conway
Cooke
Coors
Fagan
Hume
Knox
Lynne
Neilson
White
Ferrandino
Yes
Heath
Yes
Final YES: 6 NO: 0 EXC: 0 ABS: 0 FINAL ACTION: PASS


BILL:Discussion on Legislation
TIME: 04:56:56 PM
MOVED:Gerou
MOTION:To have legislation drafted on: a mechanism that would provide a permanent funding source for capital construction.
SECONDED:
VOTE
Brophy
Yes
Court
Yes
Gerou
Yes
Morse
Yes
Boigon
Conway
Cooke
Coors
Fagan
Hume
Knox
Lynne
Neilson
White
Ferrandino
Yes
Heath
Yes
Final YES: 6 NO: 0 EXC: 0 ABS: 0 FINAL ACTION: PASS


BILL:Discussion on Legislation
TIME: 05:02:29 PM
MOVED:Gerou
MOTION:To have legislation drafted on: a mechanism that would provide a permanent funding source for transportation.
SECONDED:
VOTE
Brophy
Yes
Court
Yes
Gerou
Yes
Morse
Yes
Boigon
Conway
Cooke
Coors
Fagan
Hume
Knox
Lynne
Neilson
White
Ferrandino
Yes
Heath
Yes
Final YES: 6 NO: 0 EXC: 0 ABS: 0 FINAL ACTION: PASS



BILL:Discussion on Legislation
TIME: 05:05:40 PM
MOVED:Court
MOTION:To have legislation drafted on: the repeal of the Colorado Commission of Higher Education.
SECONDED:
VOTE
Brophy
Yes
Court
Yes
Gerou
Yes
Morse
Yes
Boigon
Conway
Cooke
Coors
Fagan
Hume
Knox
Lynne
Neilson
White
Ferrandino
Yes
Heath
Yes
Final YES: 6 NO: 0 EXC: 0 ABS: 0 FINAL ACTION: PASS


BILL:Discussion on Legislation
TIME: 05:07:35 PM
MOVED:Ferrandino
MOTION:To have legislation drafted on: options for expanding public/private partnerships through nonprofit organizations to achieve cost savings for the state.
SECONDED:
VOTE
Brophy
Yes
Court
Yes
Gerou
Yes
Morse
Yes
Boigon
Conway
Cooke
Coors
Fagan
Hume
Knox
Lynne
Neilson
White
Ferrandino
Yes
Heath
Yes
Final YES: 6 NO: 0 EXC: 0 ABS: 0 FINAL ACTION: PASS


BILL:Discussion on Legislation
TIME: 05:09:51 PM
MOVED:Ferrandino
MOTION:To have legislation drafted on: changes to the state's regulatory framework that would review regulatory practices on a periodic basis to achieve a more efficient, less duplicative, less costly environment for businesses, institutions, and the people of Colorado.
SECONDED:
VOTE
Brophy
Yes
Court
Yes
Gerou
Yes
Morse
Yes
Boigon
Conway
Cooke
Coors
Fagan
Hume
Knox
Lynne
Neilson
White
Ferrandino
Yes
Heath
Yes
Final YES: 6 NO: 0 EXC: 0 ABS: 0 FINAL ACTION: PASS



05:11 PM

The Chairman asked staff to send legislative drafts of the above measures to commission members by the close of business on Monday November 2, 2009.


05:14 PM

Adjourn.