Dems hold strategy session
Toolbox
By Louis Porter Vermont Press Bureau - Published: December 6, 2009
MONTPELIER – It's still early December, but the legislative pot is already on to boil. Democratic House members met in the Statehouse Saturday to plan for the upcoming session while Democratic senators met in Berlin at the Comfort Inn.
Democratic leaders, who control both bodies of the Legislature by wide margins, emphasized the opportunity lawmakers have to deal with looming problems, mostly fiscal ones. But the fiscal and political tasks facing legislators of all parties are large.
Administration and legislative officials have worked to patch up their relationships after a contentious session last year in which legislators overrode Gov. James Douglas' veto to put in place their own budget, but underlying differences remain.
Meanwhile, the state is facing a potential deficit next year of well over $200 million. Roughly $100 million of federal stimulus money will help out, as will recent concessions by the state employees union (if ratified by members). However, there is still a large looming deficit that will have to be dealt with over the next few months.
At the same time, legislators will have to keep an eye on future years. If they fill the gap with "one-time" money rather than ongoing cuts or revenue, the deficit in fiscal year 2012 could be as much as $260 million – without federal stimulus money (unless a second round is given out). Even if the entire gap is filled with ongoing solutions – unlikely to happen – that year's budget will be nearly $100 million short.
Part of what the Democratic senators talked about was the 2010 race for governor and how to handle issues that arise from that contest. Three Senate Democrats – Senate President Pro Tem Peter Shumlin, Sen. Susan Bartlett and Sen. Doug Racine – are in the contest for their party's nomination.
"This upcoming session will be extremely difficult for our caucus," said Sen. John Campbell, D-Windsor. As majority leader – and as a Senate leader who is not running for governor – it will likely fall largely to Campbell to navigate those shoals. He has asked the candidates who are senators to put the needs of their campaigns second to "what is in the best interests of the Senate and the state of Vermont" during the lawmaking session.
"We have a lot of work to do," Campbell said.
Over the next few months, lawmakers will deal with a wide range of difficult money problems – many of which the Douglas administration lays at the door of lawmakers for not cutting spending deeply enough last year.
"We advocated finding a balance between cuts and compassion. That is why we overrode the governor's budget," Shumlin said. Taking federal stimulus money meant that Vermont and other states could not reduce state-supported programs. That could mean difficult times, unless there is more stimulus money on the way from the feds, Shumlin said.
"I personally believe there will be more federal money coming," Shumlin said. "If there isn't additional federal funding coming, we are going to have a problem that I don't quite know how to solve."
A commission is working to draft recommendations for changes to retirement programs for state workers and teachers. Those potential changes – which will not apply to already retired or soon-to-retire workers – have raised the ire of beneficiaries, something State Treasurer Jeb Spaulding noted when he talked to the Democratic House members Saturday.
"It's not something I want to do. I run for election too," Spaulding said.
Several members of the House Democratic caucus – and Spaulding – said they are concerned about the heated rhetoric and information being put out by opponents of the possible retirement changes. Meanwhile lawmakers, administrative officials and others are also trying to figure out how to deal with another looming hole – this one in the state's unemployment trust fund.
Sen. Ann Cummings, D-Washington, said dealing with that problem will likely involved cuts in benefits and increased taxes on employers.
"There is no way to get out of this without hurting everyone," Cummings said. "The fund has been putting out more money than it has been taking in since 2001."
The state will keep paying unemployment claims, but that will likely require starting to borrow from the federal government before lawmakers go back into session in early January.
"This issue has been ignored for a long time," said Racine, who said that benefits in Vermont for unemployed workers are not particularly generous. "There has been very lax enforcement."
Speaker of the House Shap Smith reminded members that their colleagues – of all parties – deserve respect for their work. That was a point driven home recently as he has met with lawmakers in other places, Smith said.
"What a wonderful group of people there are in the Legislature," Smith said.
Not all the planning and discussion for what House and Senate committee will tackle this year involved finances.
Health care committees will examine the results of federal health care reform and the state's looming benchmark for insurance coverage that is unlikely to be met.
Transportation committees will work to deal with the Lake Champlain bridge, sending text messages while driving and bonding for highway projects.
Natural resources, energy and environment committees may address the possible licensee extension for the Vermont Yankee nuclear plant, whether all terrain vehicles should be allowed on state land and the cleanup of Lake Champlain.
Changes to the workers' compensation insurance program may also be considered.
The Senate and House Judiciary Committees will also consider a courts-restructuring proposal developed over the last few months by a study commission. House Republicans do not have a caucus scheduled.
"It is obviously going to be challenging. It is going to be a session like nobody has ever seen before," said Rep. Patti Komline, R-Dorset, the House minority leader. "Hopefully everyone can focus on doing the right thing for Vermonters, not the political thing, especially given all the races in contention."
Senate Republican leaders said Friday they may schedule a meeting of their members by the start of the session. House Progressives have not yet scheduled a caucus either, but Rep. David Zuckerman came to the Democratic caucus Saturday.
"We have tremendous challenges around the budget," Zuckerman said. "I hope we don't saddle our working class and unemployed Vermonters with all of the burden."
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