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Join us at the 2016 annual meeting!
Your voice matters! We expect yet another huge crowd at the 2016 Arise annual meeting. Arise members will gather Saturday, Sept. 10, 2016, from 9:30 a.m. to 3 p.m. at Aldersgate United Methodist Church in Montgomery to choose our 2017 issue priorities. New proposals will compete with existing priorities for five slots on our 2017 issue roster. Click here to RSVP today!
Both member groups and individual members can help choose next year's priorities. Member groups in good standing can bring up to six representatives who can cast seven votes each, for a total of up to 42 votes per group. Individual members can cast five votes each. A member can vote as an individual or a group representative, but not both. Attendance is free, though we ask you to bring $10 for lunch if you are able.
Click here to RSVP today. If you have questions about the event or your membership status, call us at 334-832-9060. We hope to see you there!
Order your copy of The Alabama Tax & Budget Handbook today!
Arise has done it again! We’ve created the most accessible, awe-inspiring and mind-blowing guide to Alabama’s finances since 2005 – the last time we published The Alabama Tax & Budget Handbook.
The 10th anniversary edition has everything you always wanted to know about where state dollars come from and where they go, complete with eye-catching new charts and graphs! (Not to mention cartoons! Who doesn’t love cartoons?)
Order it. Binge-read it. Impress others with your mastery of budgets, tax thresholds, structural deficits and what they all mean in the real world. It’s all yours at the bargain price of free!
2016 legislative update: Medicaid cuts loom, payday reform falls just short as Alabama Legislature ends 2016 regular session
The Alabama Legislature’s 2016 regular session, which ended Wednesday, was more notable in many ways for what didn’t happen than for what did.
Lawmakers did not agree on a revenue solution to prevent devastating Medicaid cuts that would reduce health care access for hundreds of thousands of children, seniors, and people with disabilities in Alabama. Despite enormous public support, payday lending reform didn’t cross the finish line in the House. State education funding still hasn’t returned to where it was in 2008. And proposals to expand affordable housing and reform Alabama’s death penalty system gained little traction at the State House.
Still, progress was real on several of Arise’s priority issues. With minutes left in the session, lawmakers passed a bill to expedite voting rights restoration for thousands of Alabamians. Payday lending reform made it further in the Legislature than it ever has before, with a reform bill sailing through the Senate 28-1. And the new #IamMedicaid campaign continues to remind lawmakers and the public of the real human faces behind Alabama’s Medicaid debate.
Here is a recap of what happened on each of Arise’s issue priorities this session – and the action that may yet lie ahead on them this year.
State budgets: Deep Medicaid cuts in Alabama moved much closer to reality Tuesday when a bill that would have averted most of them died in a Senate committee. HB 569 would have used BP oil spill settlement money to help free up $70 million to go toward Medicaid’s $85 million shortfall, but the bill died when the Senate’s General Fund (GF) budget committee adjourned without voting on it. Committee chairman Sen. Trip Pittman, R-Montrose, ended the meeting after his colleagues voted 9-6 to side with a proposed substitute by Sen. Arthur Orr, R-Decatur. Orr’s plan would have reduced the amount of road money in the bill and distributed those funds to all areas of Alabama instead of just coastal areas. The substitute also would have increased the share of settlement money used for debt repayment, fully repaying the Alabama Trust Fund (which receives state revenue from oil and gas drilling) for money that the state borrowed to avoid massive GF cuts in recent years.
The Legislature may return later this year for a special session to address the Medicaid shortfall, but Gov. Robert Bentley said “everybody’s got to rest a little bit” before he makes that decision. Even though the regular session is over, lawmakers are expected to continue a series of weekly hearings on Medicaid’s funding structure and importance to the state’s health care system. Meanwhile, Alabama moves ever closer to a future when deep Medicaid payment cuts could prompt many pediatricians to leave the state and could imperil many of the rural hospitals and doctor’s offices upon which Medicaid patients and privately insured Alabamians alike depend. The cuts could end Medicaid coverage for outpatient dialysis and adult prescriptions and eyeglasses as well. Also on the chopping block could be the Program of All-Inclusive Care for the Elderly (PACE) in Mobile, which saves the state money by allowing participating seniors to live independently in their own homes instead of being sent to a nursing home.
The Education Trust Fund (ETF) budget drew many fewer headlines than the GF this year, but state education funding is still about 15 percent below its pre-recession level of 2008, adjusted for inflation. (Even the 2008 funding level was insufficient to meet many of Alabama’s educational needs.) The 2017 ETF budget includes a 33 percent boost in pre-K funding and provides a 4 percent pay raise for most K-12 teachers. Universities and two-year colleges also received slight increases.
Payday lending reform: Alabama’s payday reform movement enjoyed an unprecedented breakthrough in the Legislature this year when a reform bill passed 28-1 in the Senate, but the plan came up just short of final passage. SB 91, sponsored by Orr, was on the House calendar Tuesday but never reached the floor for a vote after a long day of filibusters. Orr’s bill would have given Alabama payday borrowers a more realistic path out of debt by slashing interest rates, allowing installment payments and giving borrowers at least six months to repay. (Current state law allows payday loans to carry interest rates of up to 456 percent a year.) Arise will work with Alabama Appleseed and other advocates to build on this year’s momentum and growing public support as the reform movement continues into 2017.
Voting rights: Alabama will speed up the voting rights restoration process for thousands of people if Bentley signs a bill that the Legislature passed Wednesday. With just minutes left in the session, the House passed SB 186, sponsored by Sen. Linda Coleman-Madison, D-Birmingham, and sent it to the governor. The clock struck midnight just before the Senate could consider another voting rights bill – HB 268, sponsored by Rep. Mike Jones, R-Andalusia – which would have clarified what counts as a “crime of moral turpitude” that bars someone from voting in Alabama. Other proposals to expand voting access, including multi-day voting and same-day voter registration, died in committee.
Death penalty reform: A bill to establish a state Innocence Inquiry Commission for death penalty cases – SB 237, sponsored by Sen. Dick Brewbaker, R-Montgomery – cleared the Senate this year but died Tuesday when the House Judiciary Committee didn’t vote on it. Other proposed reforms to Alabama’s death penalty system, including a three-year moratorium on executions, went nowhere. The U.S. Supreme Court on Monday ordered further review of Alabama’s capital sentencing scheme, which allows judges to override a jury’s sentencing recommendation. A state circuit judge in March declared Alabama’s judicial override system unconstitutional, but the state has appealed that ruling.
Tax reform: Alabama’s tax system will remain upside down for another year, as the Legislature declined to consider measures to end the state grocery tax or close corporate tax loopholes. A bill to increase the state property tax won Senate committee approval but went no further. A proposed 75-cent cigarette tax increase won the endorsement of the Alabama Health Care Improvement Task Force but was never introduced in the Legislature. Lawmakers did, however, enact new tax breaks for small businesses and for increased use of state port facilities. The Legislature also passed a bill – SB 208, sponsored by Orr – to require annual reports on whether tax incentives are producing their intended economic effects.
“Ban the box” legislation: SB 327, sponsored by Sen. Quinton Ross, D-Montgomery, won Senate committee approval on April 7 but never reached the Senate floor. The bill would have removed the criminal history checkbox from state job and license applications, removing a potential barrier to employment for thousands of Alabamians looking to rebuild their lives and provide for their families after serving their time for a criminal offense.
Housing Trust Fund (HTF): A bill to increase the state mortgage recording fee and distribute some of the revenue to the state HTF died in a House committee. HB 341, sponsored by Rep. Patricia Todd, D-Birmingham, would have created a dedicated state funding source for the HTF, which could create thousands of jobs while addressing Alabama’s need for more than 90,000 affordable homes for residents with extremely low incomes.
By Chris Sanders, communications director. Posted May 6, 2016.
Arise Daily News Digest 6-29-2016
AL.COM - Alabama eighth most patriotic state? One study says so.
AL.COM - Gov. Bentley tours Hyundai plant, sees robots and humans at work.
AL.COM - Court sets date to hear suspended Alabama Chief Justice Roy Moore's request to dismiss charges.
AL.COM – Contributor Matthew Tyson: Democrats should be poised for victory in 2018, but can they capitalize?
AL.COM - Judge seeks recusal guidance on AEA lawsuit against PEEHIP.
AL.COM – Contributor Reggie Pulliam: The government has stopped listening to the people.
AL.COM – Contributor Bucky Wood: The people demand stronger ethics reform to root out political corruption.
AL.COM - State, Mobile leaders call for open trade with Cuba.
AL.COM – Contributor Clete Wetli: The GOP doubles down on beating dead horses.
SENATE SKETCHES - “Senate Sketches,” State Sen. Hank Sanders’ weekly message to his constituents.
ALABAMA POLITICAL REPORTER - Could Court’s Overturning of Virginia Governor’s Conviction be the Precedent that Frees Siegelman?
ALABAMA POLITICAL REPORTER - Reactions to Supreme Court Decision Against Regulating Abortion Clinics
ALABAMA POLITICAL REPORTER - Alabama Public Wants Case Against Chief Justice Moore Dismissed
YELLOWHAMMER NEWS - Roby: Benghazi report shows U.S. government ‘failed its people and lied to the public’.
YELLOWHAMMER NEWS - Alabama congressman lays out how to stop Obama’s executive branch from cooking the books.
DECATUR DAILY - TVA electric rate hike predicted.
DECATUR DAILY - The Decatur Daily: Economy causing political turmoil.
TUSCALOOSA NEWS - The Tuscaloosa News: Continue the effort to end 'dark money'.
ANNISTON STAR - The Anniston Star: Bad news for supporters of Brexit vote.
ANNISTON STAR - The Anniston Star: Looking for respect, honor in Congress.
MONTGOMERY ADVERTISER - Columnist Steve Flowers’ Inside the Statehouse: ‘Power corrupts’.
MONTGOMERY ADVERTISER - Contributor Marsha Raulerson: Wake up, Alabama.
MONTGOMERY ADVERTISER - Contributor U.S. Rep. Martha Roby: Illegal immigration is real problem.
WASHINGTON POST - For conservatives, high court’s term was a letdown.
WASHINGTON POST - Defying Republican orthodoxy, Trump trashes trade deals and advocates tariffs.
WASHINGTON POST - Republicans may have just forfeited half their Senate pickup chances.
WASHINGTON POST - Efforts to fight Zika fail as lawmakers play politics with looming health crisis.
WASHINGTON POST - Columnist Dana Milbank: Two years, $7 million, still no smoking gun on Clinton and Benghazi.
NEW YORK TIMES - Latest Plan to Cut Medicare Drug Payments Leaves Senators Skeptical
NEW YORK TIMES - Gun Control Wall, Bolstered by Republicans, Shows a Crack
THE GUARDIAN - US law professor exposes system that makes a profit from poverty.
The new proposed federal payday lending rules are a good start, but they need to be even stronger
Consumer protection took a big step forward in June 2016, when the Consumer Financial Protection Bureau (CFPB) proposed important new federal rules governing high-cost consumer lending products, including payday and auto title loans. The proposals came after years of public comments and input gathered at CFPB events across the nation. (Click here to learn more about the proposed rules.)
Alabamians played a key role in the development of these new regulations. The CFPB held its very first field hearing on payday lending in Birmingham in 2012, and President Barack Obama met with Arise and other state advocates in Birmingham in March 2015 before delivering a speech calling for consumer-friendly reforms of payday and title lending.
These loans come at a high cost in Alabama, where they can carry interest rates of 456 percent a year (payday loans) and 300 percent a year (title loans). The CFPB has broad power to regulate these loans, but importantly, it does not have the authority to reduce rates. Only states can do that.
Arise will continue to work for state-level payday and title lending reform alongside its partners in the Alliance for Responsible Lending in Alabama (ARLA). In the meantime, these new federal rules represent a critical opportunity to improve the landscape of short-term lending in Alabama. Read policy analyst Stephen Stetson's fact sheet to learn what the new rules would do, why they need improvement, and how you can help strengthen them.
CFPB action on payday and title loans a good start, but Alabama still needs state-level reforms
ACPP policy analyst Stephen Stetson issued the following statement Thursday, June 2, 2016, after the Consumer Financial Protection Bureau (CFPB) announced new proposed federal rules on payday and title loans:
“Today’s CFPB announcement is an important step in the right direction for payday and title loan borrowers in Alabama, but it’s not enough. The new federal rules would strengthen consumer protections by requiring lenders to verify borrowers’ ability to repay for many loans. But the rules contain many exceptions, and they may not go into effect for quite some time.
“The new rules also would not change the extremely high annual interest rates that Alabama allows those loans to carry: up to 456 percent a year for payday loans, and up to 300 percent a year for title loans. Alabama needs to build on these rules at the state level by closing loopholes and encouraging more affordable short-term loans for borrowers.
“Far too many Alabamians are struggling under the crushing weight of high-interest debt, and they need a better way to climb out of it. Real reform of payday and title lending in Alabama would be good for consumers, good for the economy and good for our entire state.”