End of Session Report
Dear Friends and Neighbors and welcome to the final weekly session update for the 2019 legislative session.
I hope everyone had a wonderful Memorial Day weekend. It was a quiet weekend of contemplation as my family and I attended events memorializing those men and women who gave their lives for our nation. Let us always also honor those who have served and thank those wearing the uniforms of our military today.
The brief special session has finally come to a close and our state has a strong two-year budget. As a divided legislature there were some hard discussions and negotiations that took place to create that budget.
In a compromise we don’t get everything we want, with the hope that everyone gets something they need. It’s the Minnesota way. This is what you have asked of me in the past and continue to ask of me, to set aside party politics and get done what is right for our communities which is why 82% of all bills I’ve signed onto are bipartisan. One of the biggest accomplishments is the elimination of the spend down provision which has been in place for years and is discriminatory to elderly and people with disabilities. Helping usher the elimination of the spend down was one of the most important pieces of work in my tenure as a State Senator.
In the rest of this newsletter I will go over the bills I worked on that will become law as well as some brief overviews on other important legislation. While session may be over I ask that you still reach out when you have questions, ideas or just want to share what is important to you. It continues to be my greatest honor serving you and our communities and that never stops.
Sincerely,
John
Important Legislative Work
E-12 Education
Our E-12 system will be receiving a 2% increase in their basic funding formula each year in the biennium. While this is not the full 3% funding for each year it is still an impressive investment of nearly 389 million dollars into our system that we can build on as we move forward. (HF 1)
Wage theft
Businesses taking advantage of workers by not treating them fairly or withholding pay will face stiffer penalties as a result of legislation passed this session. The problem is widespread and significant, the Department of Labor and Industry estimates 39,000 Minnesotans are impacted by wage theft per year, resulting in $11.9 million in unpaid wages.
The agreed upon language creates a definition of wage theft in the criminal code. Additionally, it expands the enforcement powers of the Minnesota Attorney General’s office to include wage theft. It is hoped that the enhanced penalties relative to wage theft will deter bad actors from withholding pay that their employees earned. (SF 2)
CCAP program integrity
Inflammatory allegations of fraud in the CCAP program brought it under the microscope this year. Although those claims were dramatically over-inflated, the governor proposed several program integrity measures and improvements to make sure the Department of Human Services has the tools it needs to ensure all program dollars are going to the families who need them and to cut out the fraud that was found.
HAVA
$6.6 million in federal HAVA funds are authorized to be spent by Secretary Simon on election security, and the remaining $163,000 state match is appropriated from the general fund. The Safe at Home program is provided $250,000 in additional funding, and $1.2 million in FY19 is appropriated to reimburse the office for litigation costs relating to the lawsuit against the state regarding wearing political insignia at polling locations. The bill requires the secretary to maintain a list of voters who voted in the presidential nomination primary and provide the list to the chairs of each major political party that has a national convention; this is narrowed from current language which classifies the list as public data.
Election equipment grants
The state government budget included $4 million in election equipment grants, available to counties, cities, towns, and school districts to assist with the purchase of voting equipment.
Tax rate cut
The first income tax rate cut in nearly 20 years will reduce the second tax bracket rate from 7.05% to 6.8% beginning Tax Year 2019. The fourth-tier income thresholds also are adjusted so the wealthiest earners do not see the benefit.
Second bracket income ranges, TY 2019:
Married-joint: $38,771 – $154,020
Married separate: $19,391 – $77,010
Head of Household: $32,651 – $131,190
Single: $26,521 – $87,110
Working Family Credit
Low-income taxpayers that don’t earn enough to reach the 2nd tax bracket does not benefit from the income tax rate cut in the final tax bill, but many will be able to take advantage of an expanded and increased Working Family Credit. Credit amounts and income eligibility thresholds are increased for taxpayers with 0 and 3+ children, and the phaseout rate for all eligible taxpayers is reduced so more taxpayers will qualify.
Hands-free driving begins this summer
A bill passed this session will make it illegal to drive with a phone in your hands. According to the Department of Public Safety, distracted driving was a contributing factor in one in five crashes between the years of 2013-2017. During this timeframe, there have been an average of 59 deaths and 223 serious injuries each year in Minnesota as a result of distracted driving.
State law already bans text messaging, emailing, and using a web browser with a handheld device while operating a motor vehicle as a part of traffic. With the change, all handheld device usage while driving would be prohibited including phone calls, accessing apps, or streaming audio or video content.
Passing stricter hands-free only laws is one way to combat the tragic fatalities and injuries that occur due to distracted driving in the state. Minnesotans deserve roadways that are safe and free of distracted drivers. The ban will begin this August, and the State Patrol intends to initiate a public education campaign this summer to inform drivers of the law change. (SF 91)
Veterans and veterans’ spouses homestead tax exclusion
The homestead valuation tax exclusion allows for all or a portion of the market value of a property owned by a veteran and serving as the veteran’s homestead to be excluded from determining the property’s taxable market value, if the veteran meets a disability threshold. For veterans that have a disability rating of at least 70%, $150,000 of the market value is excluded, and for veterans that have a disability rating of 100%, $300,000 of the market value is excluded. Veterans’ spouses may continue to receive the exclusion for up to 8 years after the death of the veteran.
The final tax bill removes the eight-year limit on surviving spouses continuing to receive the homestead market value property tax exclusion and allows it indefinitely, until the property is sold or transferred, or the surviving spouse remarries. The application deadline also is changed from July 1 to December 15. (HF 5)
Also included in the state government bill was a provision that would make information sharing about veterans and veterans’ spouses who qualify for the exclusion between county veterans service officers and the county assessor easier. (SF 10)
Keep In Touch
It is my greatest honor to represent you the citizens of Brooklyn Park, Champlin and Coon Rapids here at our great state capitol. In addition to representing you, I absolutely enjoy it when you come visit.So come on down, reach out and tell me what matters to you so I can continue working on your behalf. You can reach me by email at sen.john.hoffman@senate.mn, phone by 651-296-4154 or just stop by. I am at 95 University Avenue Suite 2231 in the Minnesota Senate Building
Sincerely,
Senator John Hoffman
If you have any questions or concerns feel free to call my office at 651-296-4154 or by e-mail at jhoffman@senate.mn
Now that session is over, here are some of the bills I worked to make laws this session.
Bills I Authored that will become Law
Care Coordination
Children with complex medical conditions can require a multitude of services to live their best possible life. It is important that hospitals inform the individuals and organizations that for the child’s care team of what occurred at the hospital and what care will be needed afterwards. Legislation I passed will guarantee exactly that, so that no miscommunication or lack of communication causes a child harm. Instead, proper information to all of those involved will protect and provide the best opportunities for children with complex medical conditions in Minnesota.
Minnesota One Stop for Communities
I acquired funding to assist Minnesota One Stop for Communities. This is an organization that assists parents in navigating the various public systems, particularly when child services comes to their door. Their mentors are parents who have been through this process as well, so they understand the fears and concerns and how to address the situation to keep families together.
Housing Access Grants Modification
The Housing Access Grants Minnesota provides are granted to organizations that assist people with disabilities to get access to housing. Due to a language issue thousands of people would have no longer qualified to receive this vital service. I worked to strike and replace the language causing the issue so that our citizens who qualify for this service continue to qualify for it.
Vet Loan Forgiveness
Among the challenges our farmers face is having qualified professionals available who can care for the large animals on their farm. I worked successfully to grant the Large Animal Veterinarian Loan Forgiveness Program an appropriation. This encourages individuals to take on this challenging degree path and work in rural areas. If they do they will get the benefits of loan forgiveness payments each year for up to five years.
Champlin TIF Five Year Extension
TIF (Tax Increment Finance) designated land allows a city to estimate the future tax value of land after planned development. The city then invests in the development, and over a set amount of time can use the newly generated higher taxes of the property to pay itself back for its investment. I had originally had the Mississippi Crossings location designated a TIF district in 2014 for five years. Unfortunately, MnDOT had to utilize the location as a staging ground while building highway 169 from 2016 to 2018, so no developing could occur. Working with local officials I had the designation extended five additional years so that Champlin can fully develop the land and develop the beauty that is our city of Champlin.
Bills I worked on in Committee as well as Co Authored and/or both.
Marital rape exemption
A bill that removes from statute the exemption from criminal sexual conduct if those involved were cohabitating as a couple or were married, commonly known as the marital rape exemption, made its way through the Legislature this year.
The bill has been brought forward by a number of advocates. A testifier in committee told her story of her husband drugging her then filming himself raping her while she was unconscious. He served only limited jail time on invasion of privacy after he used the marital rape exemption as a defense.
The bill passed unanimously in the House and Senate and was signed into law by the governor. (SF 235/HF 15)
15% Reduction in TEFRA parental fees
TEFRA is medical assistance coverage for children under 19 that are certified to have a disability and need a level of care similar to that provided in a hospital or nursing home. Only the child’s income is counted under the TEFRA option, but parents must pay a fee based on a sliding income scale.
Elimination of the spenddown in FY2023
People with disabilities whose income is too high to qualify for medical assistance are currently required to spend down their income on health care expenses to well below the income threshold for medical assistance for people who do not have a disability. The current spenddown level is 81% of the federal poverty guideline. Over the course of the next five years that cap will continue to rise, allowing those with disabilities to keep more of their money to use as they want and need.
DWRS competitive workforce factor
A competitive workforce factor starting at 4.7% is added to the disability waiver rate system (DWRS) so that providers of services for people with disabilities can pay their staff higher wages. This is designed to fix the 7% reduction experienced by some providers after the federal government refused to match the state’s prior rate increases, and it also helps make wages for direct support professional more competitive.
Licensing assisted living facilities and protecting seniors
The bill represents an agreement between consumer advocacy organizations and industry representatives completed after several months spent negotiating over a regulatory oversight system that could garner broad support.
This legislation was originally sparked by reports detailed in the media of horrific abuse and neglect of seniors living in assisted living facilities, and the state has continued to receive hundreds of new reports each week in the absence of these new reforms. Minnesota is currently the only state in the country where assisted living facilities are not required to be licensed.The legislation includes a licensing framework that authorizes the Department of Health (MDH) to inspect and fine facilities for violations; includes clarification and strengthening of the rights of individuals living in assisted living settings; and sets new requirements and protections for electronic monitoring (also known as granny cams). It also contains full funding to implement the reforms, including money for licensing and enforcement staff and systems upgrades at MDH and Department of Human Services, 17 new positions at the Ombudsman for Long-Term Care, and new data analysis.
The consumer protections in the bill will give seniors and their families the information and tools they need to receive safe and quality care, including a new assisted living bill of rights, prohibitions on retaliation, and stronger protections against service terminations and evictions that can uproot seniors at their most vulnerable and leave families scrambling. (HF 90)