The session is going very quietly. Not very many bills are moving. The pace is being driven by the major concern for the budget.

What we hear: (What we hear is just that – what we hear from under the gold dome– from good sources but not final until announced):
1) They whole focus currently is on the FY2011 Supplemental

2) Indications are that the budget withholds enacted by Gov Perdue dating back to August may be sufficient to carry the FY2011 meaning that there may not be any additional cuts between now and June 30, 2011 especially in Medicaid.

3) The mood is more somber than anyone can remember noting that the FY2012 budget will have to take an additional Billion cut due to stimulus money going away

4) The FY12 Medicaid Budget is in a very positive position to be in where there are no proposed cuts to hospitals and a 1% cut to physicians, nursing homes and a few others but no additional big cuts.

5) Regarding the Tax Reform Package moving, there is much consternation about whatever this package will move this session. Indications are that there will be hearings and talk but probably not any movement unless the legislature gets down to the end of the session and the gap needing filling still has not had any revelations to cover the shortfall

6) The provider tax reopening initiative still appears to be dead for this session

7) The supplemental budget will be finished by about Feb 10 or so then FY2012 will become front and center stage

8) Indications are that the RFP for CMO’s may be postponed while the state does due diligence on the affectivity of CMO’s and how they fit into the future of
healthcare in Georgia. This is a major event if true!

9) There is a major negativity to any tax increases being employed

10) There are 600 less lobbyists registered this year than last year.

What we are told by legislators:
1) This is the time to sit back accept the good for hospitals as offered in the FY2012 budget and make no waves

What we know:
1) Representative Mickey Channell in conjunction with the Senate have begun hearings on the Tax Reform package indicating that they want to understand more about it should they ever need to move on it.

Action Item:
1) Stay in regular contact at least weekly and come the Capitol to visit them.

We would appreciate any feedback you are having from the field from your legislators.