Legislative Advocacy Archives - 2008
January 18, 2008
“HOKIE DAY 2008” AT THE GENERAL ASSEMBLY
Richmond, VA, February 6, 2008
This is an important year for Virginia Tech’s requests for operating and capital project support in the 2008-2010 biennial budget. We need Virginia Tech alumni to help by coming together in Richmond for the annual “Hokie Day” to visit with legislators. More information about university needs and priorities will be provided to discuss with your legislators prior to Hokie Day. On February 6, we will gather for breakfast and a briefing in the SunTrust Bank Building downtown, and then move to the “Hill” to show our strong presence of Hokies. Governor Kaine will greet us at some point during the morning. We will return later to the same room at SunTrust for lunch and a debriefing of our earlier visits. Please RSVP to nhagen@vt.edu. If you have specific questions about plans for the day, you may contact Betty Lee at our Alumni Office in Richmond at 804/786-8111, cell 540/798-7695 or by e-mail at bettylee@vt.edu.
8 AM
CONTINENTAL BREAKFAST - SunTrust Bank Building
24th Floor – Executive Dining Room
919 East Main Street
8:30 AM
WELCOME
Tom Tillar – Vice President for Alumni Relations and
Doug Fahl – Chairman, Alumni Board Legislative Advocacy Committee
UNIVERSITY PRIORITIES
University President Charles Steger
BRIEFING – 2008 General Assembly Update
Ralph Byers – Executive Director, Government Relations
Laura Fornash – Director of State Government Relations
9:15 AM
MEETINGS WITH LEGISLATORS and LEGISLATIVE STAFFS
Walk together to Capitol Hill, General Assembly Building
11:30 AM
GROUP PHOTO WITH Governor Kaine (Tentative)
12 PM
RECOGNITION of HOKIES
In Senate and House of Delegates opening sessions
12:30 PM
BUFFET LUNCHEON – SunTrust Bank Building
24th Floor – Executive Dining Room
919 East Main Street
DEBRIEFING
2 PM
OPTION TO CONTINUE PRE-ARRANGED MEETINGS WITH LEGISLATORS
Please plan to join us on February 6th and help support Virginia Tech’s appropriations requests. RSVP to nhagen@vt.edu if you can attend and have not already responded. All meals are hosted for our alumni volunteers.
Thank you,
Tom Tillar
Virginia Tech Alumni Association
January 25, 2008
At the upcoming Hokie Day on February 6, members of the university administration will provide our volunteer alumni with specific background information on our operating and capital budget amendments. As recently reported, state revenues are down and the Governor has announced plans to reduce the revenue estimates for the upcoming biennium. Despite the uncertain revenue forecast, the university continues to advocate for additional operating dollars to reduce the impact of the budget reductions, to support additional new students, to provide for safety and security enhancements, to continue the Commonwealth Research Initiative, and to jump-start the Cyber Arts Initiative and other high priority needs.
In regard to capital funding, there are two different bills introduced this session to provide capital construction funding for higher education. In December, the Governor announced a General Obligation Bond Package for higher education which included a number of projects for Virginia Tech and Cooperative Extension and the Agricultural Experiment Station divisions. Last week, Delegate Lacey Putney, Chairman of the House Appropriations Committee, announced the 21st Century Capital Improvement Plan which proposes a new long term capital construction plan and also includes a number of projects for Virginia Tech. We are grateful of the Governor and legislature’s recognition of the severe capital needs of the entire higher education system. We need your help in communicating to legislators the importance of securing a major capital program for the 2008-2010 biennium.
If you have not already responded that you can attend, please RSVP to nhagen@vt.edu. If you have specific questions about plans for the day, you may contact Betty Lee at our Alumni Office in Richmond at 804/786-8111, cell 540/798-7695 or by e-mail at bettylee@vt.edu.
Here is some information about Virginia Tech’s state funding over the past 8 years. The Base Budget Adequacy, calculated by the state for Virginia Tech, is underfunded by $72 million. Additional comparison charts illustrate university needs from future General Fund appropriations. Also, an article from the Roanoke Times is included regarding proposed legislation that could accelerate funding for the proposed medical school in partnership with the Carilion Clinic organization.
From the ROANOKE TIMES, January 24, 2008
Construction of a Roanoke medical school building planned by Virginia Tech and Carilion Clinic could start sooner than expected under legislation emerging in the House of Delegates. But because the bill radically changes a statewide bond package proposed by Gov. Tim Kaine, the legislation faces uncertainty as it moves through the General Assembly.
Del. Lacey Putney, I-Bedford, is sponsoring a bill that would authorize bonds for the $59 million medical school building and another $350 million worth of building projects at state colleges. House Bill 1547 also authorizes $152 million in debt to finance renovations at Western State Hospital in Staunton and for state park projects.
Kaine included the Roanoke medical school project in a proposed $1.6 billion bond package that would require approval from the legislature and by voters in a November referendum. Kaine's proposal relies on general obligation bonds, which require voter approval.
Putney's proposal would not need a green light from voters because the bonds would be issued by state building authorities. And, he noted, lawmakers already had approved planning money for the college building projects listed in his bill. Putney said he also plans to attach an emergency clause to his bill so that it would take effect as soon as it gets signed into law. "I think it will be an economic stimulus to get these projects going early," said Putney, chairman of the House Appropriations Committee.
But Kaine spokesman Gordon Hickey said the governor's proposal "is much more robust" and guarantees funding for all projects in the package. "This proposal is big on planning and not very big on doing," Hickey said of Putney's bill. Putney introduced the bill Friday and legislative staffers outlined it at a committee meeting Wednesday.
In addition to approving $550 million worth of projects, the bill also proposes funding for "detailed planning" of future projects. Putney said the bill lists projects over a six-year horizon, allowing for thorough planning and vetting, better cost estimates, and the flexibility to respond to changing economic conditions. "Many of us have felt for a long time that we need to have an order to the process of funding capital projects," Putney said. "There's been a general feeling that we can do better in the planning and management of capital programs."
Putney pointed to cost overruns of more than $300 million on projects approved by voters in a 2002 referendum, which authorized $900.5 million in debt for college building projects. But legislators have acknowledged that factors including increased fuel and building material costs have played a role.
Roanoke's delegates said they approve of Putney's bill, partly because it could speed up the medical school project. The 150,000-square-foot building would be located in the Riverside Center for Research and Technology on South Jefferson Street and house a medical college, research institute and about 50 laboratories. The project has won favorable reviews from lawmakers in both parties.
February 28, 2008
Approximately 90 alumni and students participated in Hokie Day on February 6th in Richmond. They visited many legislators, were greeted by Governor Kaine on the Capitol steps, and were introduced in both houses as they opened sessions at noon. No other university has as strong a showing for its legislative advocacy as does Virginia Tech.
Update on General Assembly deliberations relative to Virginia Tech Operating and Capital Appropriations
Last Thursday, the Virginia House of Delegates and Senate adopted their amendments to the "caboose bill" for the current, year ending June 2008, and the 2008-2010 biennial budget.
As is customary, each house will reject the amendments of the opposite chamber and send the amendments into a conference committee for development of a conference report. The budget discussions have been dominated by the current and projected budget deficits. For fiscal year 2007-2008, the deficit is projected to be $339 million while forecasts estimate a shortfall of $1 billion for the 2008-2010 biennium.
For higher education funding, the two bodies took different approaches to handling the deficit and projected shortfalls. For Virginia Tech, the House maintained an increase in operating support of $3.5 million each year that was provided in the Governor’s Budget in December. The Senate reduced this funding in half. With regard to the Commonwealth Research Initiative, the Senate reduced the funding by 50 percent in the first year and an additional 25 percent in the second year of the biennium, while the House provided full funding of $7 million for the first year of the biennium only.
The House also proposed a Tuition Moderation Incentive Fund to provide incentives to the institutions to moderate tuition increases. The Senate did not propose any restrictions on tuition increases. Both reports maintained an increase in financial aid funding of $400,000 for undergraduate financial aid at Virginia Tech.
Neither House nor Senate budget proposals recommended further budget reductions to higher education for the remainder of this fiscal year or for the 2008-2010 biennium, despite the governor’s recommendation of a 2 percent reduction announced on February 12.
Even though the money committees differed on their operating support for higher education, they have developed similar capital proposals. Appropriations Committee Chairman Lacey Putney introduced HB1547, the 21st Century Capital Improvement Program, which provides a six year capital construction plan for higher education, museums, corrections, parks and recreation, and mental health facilities. It also creates a new process for project pre-planning, approval and funding. In 2008-2009, the university would receive funding for the Virginia Tech-Carilion Clinic medical school and research institute and pre-planning funds for the Sciences Research Laboratory I, the Engineering Signature Building, and the Human and Agricultural Bioscience Facility, Phase I. In the second year of the biennium, the legislation provides pre-planning funding for the deteriorated section of Davidson Hall.
Senate Finance Committee Chairman Charles Colgan introduced SB795, which also creates a six-year capital funding plan. Virginia Tech projects in the Senate plan include full funding for the medical school and research institute and planning money for the deteriorated section of Davidson Hall, Signature Engineering Building, a chiller plant, and the Sciences Research Laboratory I. Both bills will be referred to a conference committee to resolve their differences in planning and funding mechanisms.
Both House and Senate reports addressed pay increases for faculty and staff. The House proposed a 2 percent pay increase effective Nov. 25, 2008, and also created a reserve fund for a pay increase in 2009 should revenues meet or exceed projections. The Senate proposed a 2.5 percent pay increase in December 2009.
The university submitted a number of important budget amendments including safety and security enhancements as a result of April 16, funding to start the performing arts initiative, reimbursement for the expenses incurred during the quarantine at the Equine Medical Center last spring, a request for additional unique military activities funds to cover new uniform expenses, and two research initiatives: one for a food, fiber, and health initiative for Cooperative Extension and the Agricultural Experiment Stations, and one for enhanced research in bioinformatics and genomics. Unfortunately, the budget deficit and upcoming shortfalls eliminated any chance of funding for these amendments. However, the Senate budget does include $200,000, a portion of the request for the recovery efforts at the Equine Medical Center.
Budget conferees began negotiations on the budget on Monday. A conference report is due on Tuesday, March 4, and the session is scheduled to adjourn on Saturday, March 8.
March 28, 2008
Conference Report Provides Little New Funding for Higher Education
On March 13, the House of Delegates and Senate approved a $77 billion budget for the 2008-2010 biennium which will take effect on July 1. The General Assembly adjourned almost a week late after the conferees could not agree on a final budget by the original adjournment deadline.
With revenues estimated to be down over $1.3 billion for the next three years, little new funding was available. Most state agencies received an additional 5% budget reduction in the conference report. Fortunately, higher education was protected from further budget reductions beyond what was taken in October, which for Virginia Tech was 6.25%, or about $12 million. Despite the revenue shortfall, the conference report included a salary increase of 2% in both years of the biennium effective November 25, 2008 and 2009.
Virginia Tech received an additional $4.5 million each year of the biennium in general fund operating support, which totals approximately 7% of the new funds allocated to higher education in the biennial budget. This included $1.7 million for base budget adequacy, $2.8 million to continue a portion of the Commonwealth Research Initiative, and $200,000 to reimburse the University for some of the expenses from last year’s quarantine of the Marion duPont Scott Equine Medical Center. The university will also receive the state’s share of the salary increase, which is split 40% from the state and 60% from the university, and $400,000 for undergraduate student financial aid.
The budget continues other statewide research initiatives specifically the Commonwealth Technology Research Fund at $1 million each year of the biennium, which supports a number of University research projects, and the Virginia Coastal Energy Research Consortium which includes faculty members from the University’s Advanced Research Institute in Alexandria.
Separate conferees were appointed resolve the differences between the House and Senate capital proposals. The conferees could not agree in time for adjournment, and a special session was called to begin work on a compromise immediately after the adjournment of the regular session. Delegate Lacey Putney, chairman of the House Appropriations Committee, proposed the 21st Century Capital Improvement Plan which provides a six year capital construction plan for higher education, museums, corrections, parks and recreation, and mental health facilities. It also creates a new process for project pre-planning, approval and funding. In this bill, University would receive funding in 2008-09 for the medical school and research institute, and pre-planning funds for the Sciences Research Laboratory I (Geosciences), the Engineering Signature Building, and the Human and Agricultural Bioscience Facility, Phase I. In the second year of the biennium, the legislation provides pre-planning funding for the deteriorated section of Davidson Hall. Senator Charles Colgan, Chairman of the Senate Finance Committee, introduced a capital plan which also creates a six year capital funding plan. Virginia Tech projects in the Senate plan include full funding for the medical school and research institute and planning money for the deteriorated section of Davidson Hall, Signature Engineering Building, and a chiller plant.
Other items taking effect on July 1 include over 50 pieces of legislation dealing with mental health as a result of the April 16 tragedy. Many of the bills were recommendations of the Virginia Tech Review Panel and dealt with the reform of the mental health system in the Commonwealth. A few bills were specific to higher education, including the requirement for institutions to have an emergency notification system and a threat assessment team, modeled after what the University has already put in place.
Senator Edwards and Delegate Nutter carried identical legislation on behalf of the University to allow for the transfer of land from the University to the Virginia Tech Foundation to for the development of Phase II of the Corporate Research Center. The legislation was passed unanimously by both houses and signed by the Governor.
The reconvened session will be held on Wednesday, April 23. The General Assembly will vote on any budget amendments or vetoes proposed by the Governor. It is also anticipated that the conference report for the capital bills will be finalized and ready for a vote while the legislature meets for the reconvened session. For additional information on the 2008 General Assembly session, please contact Laura Fornash, Director of State Government Relations (Fornash@vt.edu.)