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State budget cuts and the Legislative Special Session C
The state of Florida is facing a $1.5 billion shortfall that will be addressed during the September 18th special session. Upon learning of the shortfall, the Governor called on all state agencies to propose 10% across the board budget cuts. While the required cuts will likely be less than 4%, by providing up to 10% in cuts the legislature will have more flexibility when determining how to make up the short fall.
Last week the state agencies submitted their budget cuts to the Governor and while FAC is still analyzing the cuts we know certain proposals will either cut funding to local governments or increase the fees paid by local governments. One such proposal from the Department of Agriculture is proposing to cut the already approved funding for the Small County Technical Assistance Program (SCTAS) which would eliminate technical grants and scholarships to Florida's small counties. In addition, the Agency for Healthcare Administration (AHCA) recommends increasing the Medicaid Nursing Home Care limitation from $55 to $189 per person per month. Currently, counties are required to participate for 35% of the total cost of Medicaid payments for nursing home and intermediate care facilities in excess of $170 per month, with the exception that a county's contribution not exceed $55 per person per month. This equates to a $134 increase to the county participation limit per resident per month. A complete list of cuts and fee increases can be accessed by clicking here.
This will be a difficult session as the legislature looks for ways to cut and it is likely that the assault on local governments will continue. The FAC team is ready to work with the legislature to prevent additional burdens, on top of HB1B and the proposed constitutional amendment, from being placed on the backs of local governments.