Contact:  Darlene Schlicher (615) 741-6336 or email:  darlene.schlicher@capitol.tn.gov
or Kara Watkins at (615) 741-1975

 (NASHVILLE, TN), July 19, 2010 -- Several Republican legislators are headed to Arizona later this month to deliver a resolution to Governor Jan Brewer showing Tennessee’s support for their new immigration law.  The Republican lawmakers, led by Representative Joe Carr (R-Murfreesboro) and Senator Bill Ketron (R-Murfreesboro), will also meet with sponsors of the Arizona law and attend an educational seminar which details provisions of the new law.

Carr and State Senator Jim Tracy (R-Shelbyville) were lead sponsors of House Joint Resolution 1253, which passed the Tennessee General Assembly earlier this year commending Arizona for their bold move on immigration policies. That resolution became law without the governor’s signature on June 22.  The Arizona act, which codifies at the state level the existing federal law with regard to illegal immigrants being in the country unlawfully, allows law enforcement officials to require citizenship documentation on any citizen that is detained or arrested.  Carr and Ketron are planning to introduce similar legislation in Tennessee next year.

 “We have a couple of purposes for this trip,” said Senator Ketron.  “We want to speak with the sponsors of the bill about some of the details of this new law.  Plus, we want to get a closer look at how the matter is being handled since it was passed, including what educational tools are being utilized to help law enforcement implement these measures.” 

“We also want to show Arizona that Tennessee is in support of their new law,” added Representative Carr.  “The resolution in support of this new law was overwhelmingly passed by the House of Representatives and our State Senate.  Individual states and cities across the country are tired of the inaction by the federal government to do their job in protecting our borders.”

Arizona spends over $2.7 billion every year on illegal immigrants.  The estimate for the cost of illegal immigration in Tennessee is $453 million, while the nationwide cost is estimated to be $113 billion.

Ketron and Carr said the trip, which may include up to 8 Republican legislators, would not be paid for at government expense.  The lawmakers will leave on July 30 and return on July 31.

 
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(NASHVILLE, TN), July 13, 2010  – Senate Speaker Pro Tempore Jamie Woodson (R-Knoxville) has been chosen as Chairman of Tennessee’s First to the Top Advisory Council.  The Council is a broad-based group of Tennesseans and national experts which will provide strategic guidance and direction to state policymakers overseeing Tennessee’s $501 million Race to the Top grant. 

Woodson was chosen to lead the Council as members met in their inaugural meeting today in Nashville led by Governor Phil Bredesen.  In addition to Woodson, the 14-member Council also includes former U.S. Senate Majority Leader Bill Frist, Nashville Mayor Karl Dean, and State Board of Education Executive Director Gary Nixon, among other education leaders.

"Speaker Pro Tempore Woodson has been a leader in education reform for many years," said Governor Bredesen.  "I have a lot of confidence in her ability to lead this important group, which will play a significant role in implementing our First to the Top reforms."

“I am honored and humbled to lead such a distinguished group of educators and key partners in education,” said Woodson.  “The reforms put forth in the First to the Top initiative have the potential to transform education outcomes in this state for generations to come.  The members of this Council have proven they are committed to improving education in Tennessee, and I am excited about the opportunity to work with them to ensure effective implementation of these bold new initiatives.” 

The Advisory Council will:
Provide strategic guidance on all aspects of the grant, including implementation, planning, and evaluation;
Help communicate the bold First to the Top proposals in their communities, the state, and the nation;
Promote sound decision-making by working with the First to the Top leadership responsible for executing the grant; and
Ensure continuous alignment between the state’s reform plans and the ambitious goals to accelerate student achievement across Tennessee.

     The next meeting was set for Wednesday, Sept. 8, 2010 at 1:00 PM CDT.

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(NASHVILLE, TN), July 8, 2010 -- The state's budget and education reform dominated the 2010 legislative year, as the 106th General Assembly adjourned to become a part of Tennessee history. Although the economic downturn limited the number of initiatives approved this year, the 2010 legislative session will also be remembered for passage of several important measures like money-saving legislation overhauling the way the state contracts for goods and services, a new law to curb drunk driving by increasing the use of interlock devices, job creation initiatives and several measures continuing the state's war against violent crime and child sex offenders.

Passage of the $29.8 billion budget came after an unprecedented 22 consecutive months of negative revenue collections until May. The "no new taxes" budget, which funds state government for the 2010-2011 fiscal year beginning July 1, prioritizes education, jobs, public health and safety, and makes provisions for recovering from one of the worst natural disasters in Tennessee history.

The legislation follows the five-year plan passed last year to phase in economic recovery through these tough times without raising taxes. Over the last three years, the state budget has been reduced by over $1.5 billion, with almost all agencies having a reduction in their 2010-11 fiscal year base funding. Overall, this budget reflects a .5 percent decrease in total spending from the 2009-10 fiscal year.

Some of the toughest reductions, however, in the state’s TennCare Program were offset by $310 million hospital coverage assessment which provides funds for additional special hospital payments. The assessment must be renewed annually.

To continue reading, download the full report here. (PDF)

 (NASHVILLE, TN), July 8, 2010  -- The Tennessee General Assembly approved legislation in the recently-adjourned 2010 legislative session that addresses a problem that has arisen between the rights of purchase money security interest (PMSI) holders and the rights of city and county governments with tax liens on property.  The bill, sponsored by Senate Majority Leader Mark Norris (R-Collierville), stems from a Tennessee Court of Appeals decision arising out of Williamson County which threatened to have a chilling effect on companies extending credit for equipment purchases to Tennessee businesses.

“Historically, lenders had considered purchase money security lenders to have a super priority as is the case in federal and state tax liens,” said Leader Norris.  “The Williamson County case determined that this was not the situation as it relates to personal property tax liens due to an ambiguity in Tennessee law.   This legislation makes the law clear so credit is not unnecessarily restricted to entrepreneurs and small businesses.”

A purchase money security interest (PMSI) is a property interest created by operation of law, by a filing with the Secretary of State. The interest is over assets to secure the performance of an obligation, usually the payment of a debt. It gives the beneficiary of the security interest certain preferential rights in the disposition of secured assets. Such as a holder of the security interest is entitled to seize, and usually sell, the property to discharge the debt that the security interest secures.

The legislation, Senate Bill 2809, requires secured parties to withhold the amount of taxes due when property is repossessed and sold.  The new law also requires local governments to notify secured parties of their responsibility to pay past-due taxes on the secured equipment.  In addition a secured party’s liability is limited to four tax years.  A county official or assessor is required to respond to a secured party’s request for information within 15 days via certified mail.  These protections remove uncertainty for lenders so they know their tax liability when a business defaults.
 
“The objective is to keep open lines of credit that are being made to businesses in Tennessee, particularly in the construction industry which has been hit very hard during the recession,” added Norris.  “We were faced with the challenge of setting forth the means by which these liens could be enforced in such a way that would not be unfair to the lenders.  In order to do this, concerned parties sat down for almost two months to facilitate a fair solution to the problem.  I commend the lenders, the equipment leasers and sellers, and the county tax assessors who worked for two months to come up with a fair solution to this problem,” Norris concluded.

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Contact:  Darlene Schlicher (615) 741-6336 or email:  darlene.schlicher@capitol.tn.gov
 
(NASHVILLE, TN), July 6, 2010  -- State Senator Mike Faulk (R-Church Hill) and Representative Mike Harrison (R-Rogersville) said today they been advised by state officials that a Energy Efficiency and Conservation Block Grants (EECBG) has been awarded to Sneedville.  The city will receive $95,850 for replacement of blowers at the Wastewater Treatment Plant.

“This grant is very welcome to help the city conserve energy and increase efficiency,” said Senator Faulk.  “I am very pleased it has been awarded.”

“Many cities are struggling to find funds to improve infrastructure,” added Rep. Harrison.  “This grant will be a tremendous boost to help make the improvements needed.”

The EECBG grants fund a variety of energy efficiency and conservation programs in local communities across the state, wastewater plant improvements, retrofits of the lighting, HVAC, window and insulation of many existing government buildings. Other communities will replace inefficient lighting in traffic signals or street lights, and one grant will fund the installation of solar panels.

The second round of the EECBG program statewide is expected to produce more than 27 million kilowatt-hours (kWh) of energy savings annually, resulting in a cost-savings of approximately $2.5 million per year for Tennessee communities.  

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 (NASHVILLE, TN), July 7, 2010 – State Senator Ken Yager (R- Harriman) and Representative Dennis Ferguson (D-Midtown) announced today the Roane Choral Society will receive $3,650 in grant money from the Tennessee Arts Commission.   The grant was awarded through the Commission’s Rural Art Project Support category.

“We are delighted that this local organization has received grant money,” said Senator Yager.  “These funds will go a long way in helping this fine group continue to provide musical enrichment to our community,” added Rep. Ferguson. 

The Tennessee Arts Commission’s matching grants are made possible in part through the sale of specialty license plates.  The Commission will award over 850 community grants for the 2011 fiscal year, totaling $7.3 million. The allocation process involves a review by citizen advisory panels made up of Tennesseans with expertise in appropriate disciplines and a final review by the full 15-member Tennessee Arts Commission. 

The Tennessee Arts Commission is a state agency that funds and supports quality arts experiences, ensure the citizens of Tennessee have access to and participate in the arts.  Additional information is available at www.arts.state.tn.us.

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(NASHVILLE, TN, July 7, 2010) -- Local businesses and consumers will get a boost from Tennessee’s “Sales Tax Holiday” set to begin on Friday, August 6 at 12:01 a.m. according to State Senator Ken Yager  (R – Harriman).  The holiday ends Sunday, August 8 at 11:59 p.m.

 “This holiday will stimulate much needed sales to local businesses, while providing citizens sales tax relief,” said Senator Yager.  “As a teenager growing up in a working class family, I worked all summer to buy clothes for the new school year.  I know how hard it is for parents to meet these needs in times of economic hardship.  I encourage all the citizens of the 12th district to take advantage of the 2010 Sales Tax Holiday.  And wherever you can, please shop at home to help the local economy."

During the designated three-day weekend, consumers will not pay state or local sales tax on select clothing with a price of $100 or less per item, school and art supplies with a price of $100 or less per item, and computers with a price of $1,500 or less.
 
Clothing includes shirts, dresses, pants, coats, gloves, hats and caps, hosiery, neckties, belts, sneakers, shoes, uniforms and scarves.  School supplies include items used by a student in a course of study.  It also includes binders, book bags, calculators, tape, chalk, crayons, erasers, folders, glue, pens, pencils, lunch boxes, notebooks, paper, ruler, and scissors.

For more information or for details on exempted items, visit the Sales Tax Holiday Web site at http://tn.gov/revenue/salestaxholiday/ or call 1-800-342-1003.
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(NASHVILLE, TN), July 7, 2010 –  Governor Phil Bredesen recently signed legislation sponsored by State Senator Doug Overbey (R-Maryville) to  prevent potentially catastrophic cuts to Tennessee hospitals as a result of budget cuts proposed earlier this year in the state’s 2010-2011 budget.  

Hospitals asked the General Assembly to enact a coverage assessment in order to raise $230 million.  Money raised will be used to draw down federal funds available through a temporary Medicaid match program officially approved by the Centers for Medicare and Medicaid Services (CMS) on June 30.

“I am pleased the General Assembly passed this legislation and the governor has signed it  into law,” said Senator Overbey.  “Without this legislation, many of our hospitals, particularly those in rural areas, would have faced severe consequences and possibly closure.”

“The hospital coverage assessment will restore $659 million in proposed cuts to the TennCare program by allowing hospitals to temporarily “step into the state’s shoes” to fund a significant portion of the program,” said Craig A. Becker, president, Tennessee Hospital Association (THA).

“We appreciate the strong leadership of Senator Doug Overbey and his sponsorship of the bill in the Senate,” Becker continued. “We also would like to thank House sponsor Joe Armstrong for his unwavering support and all the other legislators who signed on to the bill and voted for it.”

Language in the legislation, Senate Bill 3528, ensures that any assessment imposed by this legislation would not be passed along to patients.  The assessment is based on 3.52 percent of a hospital’s net patient revenue according to its 2008 Medicare cost report.  Local government hospitals, critical access hospitals, freestanding rehabilitation hospitals, long-term acute care hospitals and pediatric research hospitals are not included in the assessment, as well as state mental health institutes.

 “As with all TennCare providers, the Tennessee Association of Mental Health Organizations’ (TAMHO) membership recognizes that the most important legislation passed this year was Senate Bill 3528,” said Charles Blackburn, Executive Director of TAMHO in a letter to Overbey. 

Twenty-six other states have a similar assessment plan to provide funding for their Medicaid programs and twelve additional states are currently considering such a plan. 

A few examples of the cuts that would be restored include those to critical access hospitals, the Graduate Medical Education program, a $10,000 cap on inpatient and the 8-visit limit imposed on outpatient services, therapies, and office visits.  Money raised by the fee will provide funds for the medically needy program and payments to reimburse hospitals for a portion of their uncompensated TennCare. 

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