Legislative Session About To Get Less Complicated, Money-Wise?

(2/17/09) This legislative session could be about to get a little less complicated, money-wise.

Word from several reliable sources is that the governor’s budget people have had a good look now at the federal stimulus package and it brightens the outlook in some significant ways for the state.

We don’t have all the details, but here’s what our sources believe the governor is ready to do:

* Help lawmakers find the money to pay for the homeowner tax relief grants that were due cities and counties last year but which he withheld. If that happens, it would remove the necessity for cities and counties to send out “delinquent” tax notices to homeowners to recover the balance - an average of $300 per homeowner.

* Drop his heavily-opposed plan to add a 1.6 percent fee on hospitals and insurance companies to help fund Medicaid. Additional federal money due the state under the stimulus package would take care of that.

* Reduce his revenue estimate, as he’s been expected to do for some time, but this time the step wouldn’t have as much sting because of additional federal dollars.

Repeating: this hasn’t been confirmed, and everything at the Capitol at this time of year is always subject to change - sometimes many times. But it comes from very good sources in positions to know.