Sen. John Hoffman (SD36) Update: May 7, 2018

Hello Neighbors and friends. Welcome to the week 10 newsletter of the 2018 Legislative session.  I hope you had a great weekend and addressed all your to do list activities.  I know I still have a long list to get to and am even late in getting this past weeks newsletter out for you.  We had a busy and active week voting on the Senate Tax plan, discussing clean water, DWI penalties and working on Opioid crisis response. We only have a couple of weeks left to get our work done this session and I am committed to working together to get our work done. Have a great week.

Sincerely,

Senator John Hoffman 

Senate DFL present a plan for tax relief

Senate DFLers stood unified for a number of tax bill amendments this week all aimed at the same goals: more tax relief for middle-income Minnesotans, converting expensive tax cuts for the wealthy into more money for K-12 school safety, and long-term budget stability.

Senate DFL members offered several amendments to provide tax relief for middle-income Minnesotans. One amendment would divert the estate tax cut funds to the Working Family Credit program. The bill gives an $82 million estate tax cut to just 350 Minnesotans with large inheritances. Minnesotans expect more. Investing in the Working Family Credit provides more tax relief for more working families. The Working Family Credit offsets a portion of the significant state and local taxes that low-and moderate-income people pay. It is a proven program that encourages and supports work, helps working families across the state, and is one of the best tools the Legislature has to lift families out of poverty.

School safety is a priority for the Senate DFL. An amendment was offered to convert expensive estate tax cuts into more money for K-12 school safety. This amendment would convert the existing safe-school levy to an all-aid program, make charter schools eligible, and increase amount of pass-through revenue available to districts – all in the name of safe schools funding. These dollars are specifically earmarked for school counselors, police officers, sheriffs, gang-resistance education and anti-drug programs, student and staff safety, school nurses and psychologists, chemical defense counselors, and other facility enhancements that all enhance our students’ safety. DFLers know investing in our children’s safety is a better use of state tax dollars than estate tax cuts for a small population of the state’s wealthiest.

The tax cut trigger mechanism in this bill is irresponsible budgeting. This idea would automatically trigger a tax cut and has the potential to cost Minnesota at least $186 million a year. If implemented, this provision will put us on the path to unpredictable finances. Tax cuts and new spending must be balanced in order to protect Minnesota’s economy from future instability. This trigger mechanism is a risky way to budget and a disingenuous way to provide tax relief.

Unfortunately, all the DFL amendments were rejected by Senate Republicans. They used procedural gimmicks when they didn’t want to take a vote or continue to debate tax priorities. This Senate tax bill just simply isn’t real relief for those who need it.

The future of legislation addressing elder abuse is unknown

Legislation addressing elder abuse was scheduled to be heard this week in the Finance Committee. In an unexpected turn, the chair of the committee abruptly pulled the bill from the agenda once the hearing began after expressing concerns with the legislation and with the delay of new analysis on its potential costs. Although the information was made available in time for the committee to review it during the public hearing, the chair decided to adjourn the committee without hearing the bill, leaving its future unknown.

New fiscal analysis shows that the bill will cost about $18 million, almost $8 million more than lawmakers originally anticipated. This funding would provide more staff at the Department of Health to investigate reports of maltreatment and conduct regular surveys of long-term care facilities. It would increase capacity in the Office of the Ombudsman for Long-Term Care for staff to advocate for seniors and ensure their rights are protected, and it would provide additional judges at the Department of Human Services to address an increase in appeals that vulnerable adults would now be able to file when they disagree with the outcome of maltreatment investigations.

Although this bill, which was originally brought forward by Senate Republicans, does not include all of the recommendations of the Governor’s nonpartisan consumer work group convened by the AARP, it does include many important changes that will help strengthen rights for vulnerable adults and seniors and create a more effective and robust system for investigating and responding to incidences of abuse. DFL Senators have been working to improve the bill as it has been making its way through the committee process. Now this progress has been stopped in its tracks.

Whatever the reason for this about-face, Minnesotans deserve to know the future of this important legislation. With an available budget surplus this year, the Legislature has the ability to make important investments in efforts as critical as protecting seniors and vulnerable adults. Minnesotans simply cannot wait any longer. (SF 3437)

Penny-A-Pill legislation undergoes changes

Bipartisan legislation was introduced early this session to raise money to combat the opioid overdose epidemic that claimed the lives of hundreds of Minnesotans last year. The legislation would have charged pharmaceutical companies a “penny-a-pill” for every opioid painkiller they sold. This proposal would have raised an estimated $20 million in continued funding for prevention and treatment programs.

Although the bill continues to have bipartisan support, it was almost completely derailed when it was tabled in the Finance Committee after immense pressure from the pharmaceutical industry. The Finance Committee finally took up the bill again earlier this week but the author came prepared to make a substantial change. The penny-a-pill fee on manufacturers was eliminated and replaced by a registration fee on opiate manufacturers and wholesalers. The bill still raises $20 million per year to fund opioid treatment and prevention programs.

Proponents of the change argue that funding is still coming from the industry, not from taxpayers, and this change improves the chances that the legislation will ultimately pass. While the reasons for the change are concerning, the bill remains far stronger than the version in the House which is funding entirely by state dollars, letting the industry of the hook entirely.

Minnesota Department of Health data shows the state had 395 opioid deaths in 2016, an 18% increase over 2015. Of those 395 deaths, 194 were linked to prescription opioids. It is deeply concerning that this critical legislation—which has bipartisan support—has faced such opposition away from public view. The pharmaceutical lobbyists have failed to provide any public testimony and have instead chosen to wage their campaign to avoid accountability in the shadows.  Advocates argue that drug manufacturers need to pay their fair share for the harm their products have caused and alleviate some of the financial burden borne almost entirely by taxpayers to address the crisis. There have been lawsuits filed across the country contending that drug companies knew how addictive opioids were, but still pushed for them to be widely prescribed.  While the penny-a-pill fee is no longer in either bill, the Senate is holding strong on getting a bill across the finish line that requires the pharmaceutical industry to finally take responsibility and contribute just a small sliver of their sky-rocketing profits. (SF 730)

Sulfate standard for wild rice sparks debate

The Senate voted this week to nullify the state’s current wild rice water quality sulfate standard, which limits sulfate discharges into waters where wild rice grows. Developed in 1973, the current 10 mg/L standard has rarely been enforced. The bill also prevents a more recently developed equation-based standard from taking effect.

The newly-passed bill prohibits the Minnesota Pollution Control Agency from adopting, modifying, or proceeding with rules pertaining to the standard without going through a new rule making process. An amendment adopted on the Senate floor appropriates $500,000 for the study of alternative solutions to restore and improve wild rice harvests.

The bill has strong support among communities in northern Minnesota, who worry about high costs related to tougher water discharge standards. Supporters say the bill puts a stop to current activities and allows time for industry, municipalities, government, and other stakeholders to work on a solution that can move forward. Opponents, including environmental organizations and Native American tribes, maintain the bill ignores the scientific research behind the Minnesota Pollution Control Agency’s work, and will inevitably result in litigation.

The bill passed in a 38-28 vote and goes back to the House before it goes to Governor Dayton. The Governor has not publicly stated whether he will sign or veto the measure. (HF 3280)

Moratorium on ditch-mowing permits extended another year

The Senate heard a bill this week that extends the moratorium on MnDOT issuing permits to mow ditches and bail hay in highway rights-of-way for one more year. This will allow current mowing and bailing practices to continue while a convened group of stakeholders representing county engineers, farmers, wildlife habitat advocates, and MnDOT officials continue to work on recommendations for ditch mowing. There was no strong opposition to the bill—the stakeholders involved believe their working group has made progress toward an agreeable solution that balances road safety, farming practices, and wildlife and pollinator habitat preservation. Some critics are concerned pollinator and wildlife management will continue to be at risk, and have advocated for a pilot project on ditch management in the MnDOT Metro District.

The bill passed 53-13 and now heads to the House for floor debate. (SF 3569)

Legislature passes bill banning skimmers

A bill that outlaws the placement of “skimmers,” which are devices placed on card readers on gas pumps, ATMs, and self-checkout lanes at grocery stores this week passed both the Senate and House. It now heads to the Governor’s office to be signed into law.

The bill creates a felony crime for accessing or attempting to access an ATM, gas pump, or similar device without authorization and placing or attempting to place a device that collects payment information. It establishes a gross misdemeanor crime for accessing or attempting to access point-of-sale devices without authorization in a way that creates a risk to public safety.

Rising use of “skimmers” by criminals has resulted in more cases of identity theft and fraudulent purchases. The bill was supported by the Financial and Retailers Protection Association, the Minnesota Bankers Association, and the Dakota County Sheriff. (HF 817)

Clarifying Minnesota’s exoneration compensation laws

The Minnesota Imprisonment and Exoneration Remedies Act (MIERA) became law in 2014 to set up a framework for compensating people who had served prison time after wrongful convictions. After a recent Supreme Court decision this fall, it became apparent that a few clarifying updates were necessary to the law to ensure that, in the few instances of wrongful convictions, complainants would be eligible for compensation after being incarcerated for crimes they did not commit.

This legislation clarified portions of the definition of exoneration, set new limits for monetary damages for each year of incarceration for exonerated persons, and makes it so a claimant doesn’t have to wait until the next legislative session to receive their award. The legislation passed the Senate this week on a vote of 54 to 10. Similar language is included in the House version of the supplemental finance bill. (SF 2778)

Strengthening snowmobiles, ATVs, and boats DWI laws

Following the tragic death of an eight-year-old boy in Chisago County, struck by a drunk snowmobiler whose driver’s license had been revoked three times for DWI offenses, the Senate passed a bill this week that would make DWI offenses while operating recreational vehicles subject to the same penalties as DWI offenses committed in a motor vehicle.

Supporters of the bill say that recreational vehicle DWI laws have not been updated in over 20 years, and with the changes in recreational vehicles making them heavier, faster, and potentially more dangerous, it is time to update DWI penalties. Critics have concerns that the penalties in the bill go too far. It’s possible someone could be required to use ignition interlock on their vehicle for a DWI offense on a recreational vehicle, so the penalty might be too harsh.

The legislation passed on a vote of 59 to 7. Similar language is included in the House version of the supplemental finance bill. (SF3638)

Senate passes DWI and drug laws

The Senate passed a bill this week containing provisions that update Minnesota drug and DWI laws.

The bill adds several new drugs to the state schedule of controlled substances, which is a ranked classification of drugs’ medicinal use and potential for addiction or abuse. The bill also created a crime for minors to possess or sell kratom, an opioid-like substance that’s sold in health food and herbal medicine stores. Kratom has been the subject of some controversy lately but is not included on the federal drug schedule.

The bill also expands the definition of “intoxicating substance” in DWI law, following a Supreme Court decision that excluded inhalants, such as DFE (an ingredient in air-compressed dust cleaning products), and the tragic death of three Minnesotans in Wisconsin, after their car was hit head-on by a driver who had been drinking and using inhalants.

Additional measures were added on the floor by amendment. One provision allows people who have DWI convictions to opt in to ignition interlock to avoid forfeiture of their vehicle. The other exempts people with previous DWI convictions from having to re-take a driver’s license exam before having their license is reinstated. Officials from the Department of Public Safety have noted the re-examination is often unnecessary, and is a poor use of resources.

This legislation passed by a vote of 62-4 and will next be considered on the House floor. (SF 2578)

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