House angry over Senate proposal for special session

TALLAHASSEE — Five days after Gov. Rick Scott and legislative leaders announced a grand bargain for a special session set to begin today, the deal appears to have fallen apart.

Senate President Joe Negron, R-Stuart, sent a memo to members Tuesday, proposing changes to the agreement he reached with Scott and House Speaker Richard Corcoran, R-Land O’Lakes, who responded with a harsh rebuke of his proposals.

Negron suggested using increased revenues from property taxes from new construction to boost funding for education and using reserves to reduce budget cuts to hospitals. He also proposed overriding many of the $410 million in line-item vetoes Scott issued Friday as part of the deal.

Corcoran issued a severe critique of Negron’s ideas, declaring them essentially dead in his chamber.

“The House is not raising taxes,

not softening accountability rules, and not borrowing against reserves to pay for corporate giveaways,” Corcoran said in a released statement. “And without question, the House will not allow funding for our schoolchildren to be held hostage to pork barrel spending and special interest demands.”

Under the terms of the deal disclosed Friday morning, lawmakers were to use money from projects vetoed by the governor to pay for increases for schools, tourism marketing and a new economic development program, all top priorities for Scott. In exchange — although he didn’t fully commit to doing so — Scott was to sign a controversial education bill backed by Corcoran and another measure supported by Negron that boosted funding for higher education.

But Scott’s veto list wasn’t released until Friday evening, and it revealed many cuts to local, or member, projects pushed by senators.

“‘Member projects’ aren’t about members. They’re about the people we serve,” Senate Majority Leader Wilton Simpson of Trilby tweeted. “We won’t stop fighting for worthy projects that Floridians need, want and deserve.”

Negron said he hadn’t signed off on the details of the deal, even though he joined Scott and Corcoran for the announcement Friday.

“I have made no agreement that would dictate an outcome for this Special Session. Nor have I made any agreement to limit the subject matter to the issues listed in the Governor’s proclamation,” Negron wrote the memo.

On Tuesday, Senate budget chief Jack Latvala, R-Clearwater, filed legislation that would use revenues from property taxes on newly constructed buildings to pay for $143 million out of the $215 million increase to public schools, a key part of the deal. Corcoran considers that a tax increase, even though the tax rate would remain the same. He has adamantly opposed passing a budget with a tax increase.

Latvala also sent a letter to senators Tuesday saying they’ll abide by a constitutional requirement that all budget bills be public for 72 hours before a final vote. That means any changes would lead to an extension of the planned threeday session, forcing Corcoran’s hand.

Some senators were already leery of the massive education bill pushed by Corcoran.

The bill calls for $234 million to entice charter schools to compete against chronically failing public schools. School administrators and teachers union officials from across the state have bashed the bill as a “giveaway” to charter schools at the expense of traditional public schools.

Sen. Rene Garcia, R-Miami, sent a letter to Negron on Tuesday, suggesting lawmakers be given the chance to change the education bill.

“I am not comfortable supporting any compromise that does not create a fair system for our publicly operated K-12 education institutions within this state,” Garcia wrote.

Scott and Corcoran have been battling all year long over Visit Florida, the state’s tourism marketing arm, and Enterprise Florida, the main economic development agency. Corcoran has slammed such programs as “corporate welfare” and moved to cut Visit Florida’s budget by two-thirds, to $25 million.

The agreement to come back for a special session would keep Visit Florida at its current year budget of $76 million, and spend $86 million on a “growth fund” that would go toward infrastructure projects and job training programs. The fund couldn’t be used to issue payments to a specific company for creating jobs, as Enterprise Florida traditionally does.

In his memo Tuesday, Negron cited concerns that one-time funds freed up by Scott’s line-item vetoes could hurt Florida’s bond rating if they were used for permanent programs.

He also floated a plan to reduce cuts to hospitals, many of which are worrying about the $520 million in state and federal funding reductions in the budget already signed by Scott. Negron’s plan would use money from reserves to reduce the state’s portion of the cuts from $200 million to $100 million.

The impact on local hospitals is huge. Florida Hospital’s chain of facilities is facing a $52 million cut — with $46 million coming from its main hospital in Orlando — and Orlando Health stands to lose $20 million.

The frustrations of Senate leaders indicate that what Corcoran has called the GOP’s “war for the soul of the party” is far from over.