The House of Representatives worked hard last year to ensure a balanced budget during an unprecedented economic downturn, charter school reform, and the expansion of Second Amendment rights for Tennesseans. In addition, a strong pro-life constitutional amendment, crime legislation, and pro- jobs principles moved forward last session. With a successful year behind them, the House is now ready to continue studying sound policy in order to continue last year's efforts into this session.

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Tennessee began 2009 with a floundering economy, declining revenues and an unemployment rate that continued to skyrocket, prompting House lawmakers to focus on legislation that would create and attract jobs to Tennessee, ensure the solvency of the state's Unemployment Trust Fund, and eliminate red tape that hindered entrepreneurs from building successful businesses.

One of the first pieces of legislation to see passage this session was a bond bill that approved the funds promised to Volkswagen and Hemlock Semiconductor to move the massive economic development projects forward. The state set an ambitious timeline to move forward, requiring the approval of the General Assembly almost immediately after session began. The bonding provided infrastructure for the megasites where the companies would be located. Analysts say the revenue stream from Volkswagen alone will cover the annual debt service, and exceed it once Hemlock is up and running.

The companies were considered a major coup for the state, and with the announcement later in the year that Wacker Chemical would open in Bradley County, Tennessee saw three major companies relocate some operations in the state in a matter of months.

The three companies together are expected to directly provide about 3,000 jobs total, in addition to countless others in related sectors from vendors and contractors.

Another bill that worked towards the goals of deregulation and job growth was the "Market Regulation Act of 2009." The new law will modernize the state telecommunications policy and promote more competition and choice for Tennessee consumers by allowing existing traditional telephone providers to opt into "Market Regulation" so they will be treated on the same terms as their competitors in the cable, wireless and Internet telephone industries.

The General Assembly also passed innovative legislation last year designed to grow jobs through a program that will provide capital to small businesses. The bill creates the TNINVESTCO Program to provide benefits to small, medium-sized, and start-up businesses that currently do not enjoy the same economic development incentives that have been provided to the larger companies that invest capital in Tennessee.

The legislation authorizes tax incentives for private investors to create a pool of capital totaling $120 million that will be divided among professional investment firms. These Tennessee-based firms then invest the money in small businesses located and headquartered in Tennessee. The money must remain invested in Tennessee for ten years.

Several more measures passed that will have a direct and positive impact on creating jobs in Tennessee:

• The General Assembly this year expanded Tennessee's liquor laws to allow Tennesseans to ship wine directly to their homes, after months of negotiations. The new law stipulates that Tennessee consumers may purchase up to three cases of wine per year through direct shipment from a winery to their home. Wineries will initially have to apply for a $300 license that can be renewed annually for $150. Upon delivery of the wine, proof of legal drinking age must be shown. The new law has potential to bring a large amount of revenue to the state, and can also create jobs and spur entrepreneurship now that shipping wine is not prohibited. In addition, supporters claim in- state wineries will be more successful, thus creating jobs and generating income for fledgling farms.
• The legislature voted this year to save Tennessee's Unemployment Trust Fund from federal intervention, saying that the move was necessary to keep the federal government from completely taking over the nearly insolvent fund. The fund was approaching insolvency this year after the state unemployment rate jumped to nearly 10 percent, and with the highest unemployment in decades the fund was almost drained of resources. The plan that eventually passed will ensure the fund remains solvent, and creates a series of automatic triggers that allow unemployment taxes to decrease if the fund's balance reaches a certain threshold.
• The legislature also changed the state's civil service rules this year, giving the Administration more flexibility to manage the economic downturn. The Tennessee State Employees Association worked with members of the General Assembly to iron out the details that protect employees. The new rules allow for innovative changes that can save the state money, such as moving qualified employees between departments to open positions, facilitating furloughs instead of lay-offs, and in some cases, adjusting the work week to four days by extending the hours per day.

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House members fought this year to have K-12 fully funded. Despite the difficulties lawmakers faced in regards to the budget, legislators fought to ensure that K-12 public schools would receive full funding based on the state's Basic Education Program funding mechanism.

In addition to fully funding K-12 education across the state, lawmakers also worked to expand public charter school enrollment to all "at-risk" students, giving more Tennessee students more educational opportunity than ever before. House members maintained throughout the legislative session that the measure was needed now more than ever, as several schools in more urban parts of the state are failing.

Public charter schools are public schools that are given flexibility to operate without the constraints of some of the rules and regulations normally imposed on traditional schools. In exchange for this flexibility, they are held accountable for performance through a charter, which is an agreement between the local school system and the charter school. The charter school requires a strenuous approval process by the school system and an equally tough renewal process of the charter. Tennessee has stringent accountability measures that ensure the schools are performing well.

There are four main components of the new public charter school legislation:

• Eligibility - Currently, public charter school enrollment is limited to failing students and those from failing schools. The legislation permits "at-risk" children to attend public charter schools in those systems that have 14,000 or more students and three or more schools which do not meet adequate yearly progress benchmarks. In addition, school boards can opt by a two-thirds vote to allow students who are deemed "at-risk" to be eligible to attend.
• Caps - Currently, public charter schools are limited to 50 statewide, with a cap of 35 in Memphis and 20 in Metro Nashville. The bill clarifies that converted charter schools do not count against the cap. In addition, the number of charter schools allowed was raised to 90 statewide.
• Renewal process - Currently, the charter agreement between the local school system and the charter school is renewed every five years. This measure would change the renewal period from five to ten years, with an interim report every five years. It also establishes the required documentation needed during the renewal process.
• Funding - Currently, a public charter school receives the per pupil expenditure of state and local dollars. Although it mentions appropriate federal dollars, interpretations vary from one local school system to the next. This legislation defines the state and local charter school facilities' funding responsibilities and clarifies the local school systems must allocate all appropriate federal funds, including Title I funds to the charter schools.

Prior to the passage of the legislation this year, Tennessee had some of the strictest charter school laws in the country, prompting United States Secretary of Education Arne Duncan to point out that Tennessee stood to lose out on approximately $100 million in stimulus funds due to the regulations. Lawmakers moved the bill forward in the waning days of session, eventually passing it with an overwhelming 79 to 15 vote.

Successful legislation was also sponsored that will give home schoolers equal footing with their public school counterparts. The law requires the state, along with local governments, to recognize home school and church-related diplomas, giving them the same rights and privileges extended to those who earn public school diplomas.

Thirdly, members pushed for passage of an Interstate Compact for students whose parents are in the military. The compact will assist students in a military family in moving from one school system to another. Fourteen states currently participate in the compact in order to keep military families from falling through the cracks when they are transferred to a new school system. Tennessee has approximately 26,000 students who could be affected by the compact. Four specific areas are addressed in the compact: enrollment, placement, eligibility, and graduation requirements. Research shows that most military children will transfer between six to nine different school systems while in kindergarten to twelfth grade.

The General Assembly also approved a measure this year that will create the Tennessee Math and Science Teacher Service Loan-Scholarship Program for college students who are seeking licensure to teach mathematics or science in the Tennessee public school system. The first $1.5 million of the program will be funded through private means, and the program won't be implemented until that goal is reached.

In order to be eligible students must score at least a 27 on the ACT, specifically in the fields of mathematics and science. They must enroll as a full- time student, and major in one of the two fields. Finally, students must agree to teach in Tennessee public schools one year for each year of funding from the scholarship. USA Today has reported that a lack of math and science teachers in high school across the country has caused alarm in some school districts. The measure aims to increase the number of math and science teachers in Tennessee public schools, giving Tennessee a competitive edge on the international stage.

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The budget process got a late start this year after the United States Congress passed a stimulus bill sending nearly $6 billion to Tennessee over two fiscal years. With a constitutional deadline of June 30th, lawmakers reached a consensus on June 17th that eliminated some previously proposed bonding plans and tax increases, which were of concern to some representatives.

Originally concerned about the excessive amount of bonding the Governor proposed in the original budget, the legislature was able to substantially reduce the debt the state will incur for bridge repairs and various building projects at several state universities.

Lawmakers pushed to reduce the amount of bonding amid concerns that the debt service on the nearly $350 million would be problematic in the future. The bonding for bridges was instead spread out over four years, requiring reauthorization from the General Assembly each fiscal year, and gives lawmakers discretion as analysts predict the economy will continue to decline next year.

In another attempt to slow the rate of spending, members insisted on tightening the requirements regarding supplemental appropriations. Prior to this change, the Administration could ask the General Assembly for an expansion request, also called supplemental appropriations, which are recognized and acknowledged through a signature of the Senate and House Finance Committee Chairmen and sent back to the Administration who dispenses the funds. New language included in the budget bill states that these requests, when made during the legislative session, must also be included in the proposed budget submitted by the Governor.

Lawmakers also inserted a provision that directs the Governor to work with the commissioners of the various state departments to find another $55 million in reductions if tax receipts fall short for the month of June. Overall, the final product of the budget is $35 million less than what the Governor originally proposed and restored some of the funding that was cut from the Department of Mental Health and the Department of Children's Services. The final product did, however, leave intact the Governor's original plan of eliminating 717 state jobs, mostly in the Department of Mental Health, although 200 lay-offs will be delayed until 2010.

This year, the state faced a $1.5 billion shortfall after state revenues continued to decline each month. Leaders said the final version of the budget was not perfect, but was a true compromise between some members who wanted more reductions and others who wanted to spend more to further proposed state projects.

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Senate Joint Resolution 127, the constitutional amendment that will restore the Tennessee Constitution's neutrality on the subject of abortion, overwhelmingly passed both the House and Senate last year. Lawmakers have pushed the amendment to the state's constitution for several years, only to have it die in a subcommittee. The Senate passed the measure with a 24-8 vote, while the House passed it with a 77-21 vote. Legislators have contended that there exists a powerful and pivotal passage in Tennessee's constitution which states that power is inherent to the people, and therefore, Tennesseans should have a say on the matter of abortion, not activist courts.

SJR 127 is in response to the 2001 Tennessee Supreme Court decision in Planned Parenthood v Sundquist, when the court created a right to unregulated abortion, giving Tennessee some of the most liberal abortion laws in the country. The decision also prohibited the Tennessee legislature from enacting common-sense regulations governing abortions that other states are able to enact and still comply with the United States Supreme Court's opinion in Roe v Wade. The constitutional amendment will restore the right of Tennesseans to repeal or enact laws governing abortions within federal limits through their elected representatives.

Having now passed the 106th General Assembly with a simple majority, the measure must now pass the 107th General Assembly by two-thirds before appearing on the ballot, at the earliest, in 2014.

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For three weeks in a row last year, several members on the Elections Subcommittee of State and Local Government killed common-sense voter protection legislation along party lines. The members blocked two of the measures in the subcommittee for several years, while the third bill to be killed would have ensured military votes are counted.

A report released in 2008 showed that Tennessee had a poor record of mailing absentee ballots on time to men and women serving overseas in the armed services. Military personnel would often receive the absentee ballots after the deadline had passed to return them. Following in several other states' footsteps, the House member's proposal would have set up parameters by which soldiers could fax absentee ballots to election commissions, ensuring that their vote was counted. Some legislators blocked the measure, and the bill was the first to die on a party line tie vote.

The second measure that was bottled up in the subcommittee was one that would have required proof of citizenship to register to vote. The final voter protection bill to fail on a tie vote along party lines would have required photo identification to vote, which the sponsors argued was needed to combat voter fraud and ensure that every legal vote counts. Despite strong public support for the measures and bi- partisan support in the Senate, all three were defeated. The legislation will be revived next year.

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A bill that House members have worked on for several years saw passage this year in a bi-partisan manner. A coalition of members pledged to fight for the issue as part of their "Tennessee Trust" platform, unveiled in 2006 as a contract with voters to advance conservative ideals.

The legislation prohibits Tennessee cities from declaring themselves a "sanctuary city," or enacting policies that protect illegal immigrants. The law is meant to be a pre-emptive strike to guard against the adoption of such policies by cities in the state. Thirty- eight cities across the United States have been recognized as sanctuary cities, but many sources have identified over 200 city or county governments nationwide as having practiced such policies.

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Nearly a dozen states this year considered measures declaring state sovereignty, amid what many believe to be an increased level of fiscal irresponsibility on the federal level, and over-reaching by the federal government. Lawmakers in Tennessee expressed concern that the federal government has handed down a series of unfunded mandates and directives that are dangerously close to violating the Ninth and Tenth Amendments of the United States Constitution.

House Joint Resolution 108 affirmed, "Tennessee's sovereignty under the Tenth Amendment to the Constitution of the United States and to demand the federal government halt its practice of assuming powers and of imposing mandates upon the states for purposes not enumerated by the Constitution of the United States."

The Ninth Amendment reads, "The enumeration in the Constitution, of certain rights, shall not be construed to deny or disparage others retained by the people." The Tenth Amendment specifically provides, "The powers not delegated to the United States by the Constitution, nor prohibited by it to the States, are reserved to the States respectively, or to the people."

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• Legislative Manual - The House has, for many years, published a weekly "Legislative Manual" that contains a short summary of each piece of legislation, and made a copy available to all 99 members. Because the cost for producing the books is $90,000, and because the information is more accurately available online, House members proposed to end the publication for cost-saving reasons.
• Texting while driving - Legislation that prohibits sending or reading text messages while driving passed this year. Lawmakers discussed the possibility that texting while driving may fall under the current "distracted driving" statute, but ultimately determined that the legislation would clarify the law and allow law enforcement some discretion and can be prosecuted.
• Cracking down meth - The passage of House Bill 284 will make it significantly more difficult to acquire the necessary ingredients used to make methamphetamine. If more than 20 grams of certain items used to make meth are purchased during one month, the manufacture of meth is presumed.
• Honoring National Guardsmen - The General Assembly honored our National Guardsmen this year by passing a bill that requires the Adjutant General to notify the Governor in the event of the death of any Tennessee National Guard member that is called into active military service and who is stationed outside the United States. In any month in which one or more notifications of death are given to the Governor, the Governor will be required to proclaim a day of mourning and order the state flag to be flown at half mast to honor the deceased Tennessee National Guard member or members.
• The right to hunt and fish - The General Assembly completed its portion of the constitutional amendment process for House Joint Resolution 149, which would add the right to hunt and fish to the state's constitution. HJR 149 has already been passed by a majority in the 105th General Assembly, and this year passed by two-thirds. Now the measure will appear on the ballot in a referendum in 2010.
• Registry and Ethics Commission Merger - Lawmakers voted to merge the Tennessee Ethics Commission and the Registry of Election Finance, keeping the boards independent but under one umbrella named the Bureau of Ethics and Campaign Finance. The move will keep all ethics operations intact but will improve efficiency and save taxpayers more than $300,000 annually.
• De-funding of Planned Parenthood - Legislation was passed this year that directs funds originally sent to Planned Parenthood for family planning services to state health departments first. In the past, approximately $1.1 million in Title 10 funds were provided to Planned Parenthood for women's health- related services in Shelby and Davidson Counties. If the state health department cannot provide the services, the services can still be outsourced to a private agency.
• Strengthening of sex offender laws - Legislation that would prohibit sex offenders from being or remaining within 1,000 feet of certain places where children are likely to gather was approved. The bill exempts a parent who is attending certain events, unless the victim is present. The bill applies to schools, licensed day care centers, child care facilities, public parks, playgrounds, recreation centers or athletic fields when children under age 18 are present. Current law sets a parameter of 500 feet as the distance sex offenders are prohibited from going near school property. The legislation would expand that distance to 1,000 feet, and adds other places where children are likely to gather.

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The House will reconvene at Noon on January 12, 2010.

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207 War Memorial Building
Nashville, TN 37243

rep.joshua.evans@capitol.tn.gov

Phone: 615.741.2860

513 Memorial Blvd, #312
Springfield, TN 37172

joshua@repjoshuaevans.com

Phone: 615.948.1376