Policy Update, June 3, 2016

Thank you for your interest and support. The Indiana Association of United Ways usually provides its Policy Update on "odd Fridays" (1st, 3rd and 5th Fridays). Contact us if you have any questions or comments about content (past, present or desired for the future).

Preschool in the spotlight

Preschool is in the spotlight as policymakers begin thinking about priorities for the coming legislative session and grant opportunities. United Way of Central Indiana will lead a legislative lobbying effort, and Early Learning Indiana is convening many stakeholders to develop a comprehensive pre-k expansion plan. Many local United Ways and early education partners around the state have been involved in conversations about what works best, learnings from other states and from our state's two current pre-K pilot programs, Early Education Matching Grants and On My Way Pre-K.

Here are a few links to recent media coverage:

Pence opts to apply for pre-K grant in Ft. Wayne Journal Gazette, 6/3/16
In an about-face, Pence expresses interest in federal pre-K grant in Indianapolis Star, 6/2/16
Proponents of Preschool Expansion Planning for 2017 in Inside INdiana Business, 5/27/16
Editorial: State of Inequality in Ft. Wayne Journal Gazette, 5/6/16
Editorial: Time is right for state-funded preschool, Bart Peterson, Former Indianapolis Mayor and Senior VP at Eli Lilly, in Indianapolis Business Journal, 4/23/16
Pre-K Expansion: 'We Know It Works' on Inside INdiana Business, 4/8/16

Legislative Study Committees Announced

During the legislative session many interim study committee topics are recommended by the General Assembly. The meetings allow experts in the field and state agencies to share information about the current state of issues in Indiana in preparation for the next legislative session.

In late May, the Legislative Council announced the topics to be studied in the interim before the 2017 session. Here are a few highlights of interest to our members and partners (only a subset of all):

Corrections and Criminal Code will study use of GPS in victim notification in domestic violence cases.
Courts and the Judiciary will study guardianship, civil rights issues related to gender identity and sexual orientation and visitation with a protected person.
Education will study ways to reduce school sexual misconduct and violations in schools.
Employment and Labor will study mis-classification of independent contractor status and payroll fraud.
Fiscal Policy will study tax incentives, food desert grant and loan program and return on investment for early childhood education spending.
Public Health, Behavioral Health and Human Services will study heroin use and treatment, loan forgiveness for certain dentists, multi-state nurse licensure, medical records confidentiality and disclosure in child abuse cases, hospital immunizations, employment first and First Steps.
Public Policy will study certain alcohol issues and daily fantasy sports, including if child support and past due taxes should be intercepted.
Public Safety and Military Affairs will study whether grants from military relief fund should be paid directly to vendors and more about district veteran service officers.
Roads and Transportation will study special group license plates and seat belts on school buses.

Separate panels were already established by law to study alternatives to ISTEP, roads and immigration.

Upcoming committee meetings include:

Senate Select Committee on Immigration Issues - June 15, August 17, September 21 and November 10.
Panel on Alternatives to the ISTEP Program Test - June 14, July 19, August 9, September 13, October 11, November 15.

Check the interim committee calendar for updates.

Proposed Payday Lending Rules

The Consumer Financial Protection Bureau has announced its proposed rule around short-term loans and certain lending practices. The rule aims to correct what many consider abusive and unfair lending practices with

payday loans (loans available for 45 days or less),
longer short-term loans (more than 45 days) that often carry interest rates higher than 36% and/or are repaid directly from the consumer's account or secured with a car title.

Payday lenders and certain industries claim this will shut down their industries and eliminate the "only option" for low-income people who are otherwise unqualified for any lending product. Low-income and consumer advocates praise the rule as a great step forward, and caution that loopholes remain. The rule does NOT include car or home loans, credit cards, student loans, pawn loans or overdraft services or lines of credit.

During the 2016 session of the Indiana General Assembly, IaUW advocated the following desired criteria for financial lending products (see our one-pager). The CFPB proposal works toward some of the same criteria (described below).

Lenders should operate by truth-in-lending principles and should provide full disclosures in plain language about amounts and rates. The proposed rule includes model language and disclosure forms (scroll to bottom).
Interest rates should be capped (no more than 28% or 36% APR including fees). The proposed rule still allows higher interest rates with conditions.
Payback should be not more than a small percentage (5%) of gross income, and lenders should be required to verify the borrower's ability to pay back the combined principal, interest and fees. The proposed rule requires the lender to verify income, other debts and living expenses, but does not assign a specific rate.
Borrowers should be allowed to pay the loan back in installments. The proposed rule does not appear to address specifically.
Lenders should maintain the loan for a length of time before reselling the debt to a debt buyer, and full disclosures should be provided to the borrower. Debt collectors should follow fair debt collection practices.
Borrower may not be permitted to "re-borrow," or "renew the loan" or should be required to have a cooling off period before a subsequent loan. The proposed rule works to limit the practice under certain conditions.
Lenders should report repayments to credit bureaus to improve borrowers' credit scores. The proposed rule prescribes processes and criteria.

Comments will be accepted through September. IaUW is reviewing the details of the rule in order to provide specific comments.

Emergency Food and Shelter Program - Phase 33

Special note to Local Boards and Local Recipient Organizations (LROs) that have been involved in the Emergency Food and Shelter Program (EFSP), also formerly known as FEMA. IaUW, which administers the State Set-Aside process, received early notice that Phase 33 will be coming soon. Because our employment rate has improved, Indiana anticipates receiving $2,077,683, which includes $1,731,119 in Direct Awards to 24 counties and the City of Gary, leaving only $346,564 for State Set-Aside process. The State Set-Aside Committee will make difficult decisions to allocate a reduced pool of funds. Contact us with updates or questions.

Repeated: Frequent links on New Overtime Rule

The information about the new overtime rules had some of the most frequently linked areas in our last issue. Therefore, we are repeating the links.

General information about the rule:

Overtime for White Collar Workers: Overview and Summary of Final Rule, US Dept. of Labor, 5/18/16.
Frequently Asked Questions and Answers, U.S. Dept. of Labor, 5/18/16.

Key helpful documents for nonprofits:

Special edition from National Council of Nonprofits, Nonprofit Advocacy Matters, 5/18/16.
Overtime Final Rule and the Nonprofit Sector by Dept. of Labor, 5/18/16.
Guidance for Nonprofits Paying Overtime under the Fair Labor Standards Act by Dept. of Labor, 5/18/16.

Personal letter to my fellow advocates, Part I of II (part II in next issue):

Later this month, I am leaving IaUW to serve as executive director with Indiana Library Federation (ILF), the state association for librarians, academic libraries, public libraries and their trustees.

Leaving IaUW after 25 years in the United Way family is not easy. I live and breathe the work. However, the ILF allows me a new opportunity to learn, grow and serve our state in a different way. My passion for libraries and their important roles in community mirrors my passion for our members and human service partners. Our efforts will continue to intersect, and I am confident I will still work with many of you around the state in my new role.

IaUW President Maureen Noe, Policy Manager Maggie Snyder and I are working on a smooth transition for IaUW policy work. While some projects may need to take a lower priority in the interim, know that IaUW is committed to strong advocacy and impact programs.

Maggie Snyder, Policy and Community Impact Manager, will continue to support our members and partners. Maggie may be reached at 317-921-2004.

I have enjoyed working with you in our mutual passion for quality education, fair tax policy, human service supports, healthcare access, 2-1-1, volunteerism, and so much more.

Thank you for allowing me to be a part of your work. -- Lucinda Nord

ATTN: Addiction Treatment Advocates

Weigh in on issues important to you!

Submitting comments during rulemaking periods is an important way to shape policy. State and federal agencies appreciate specific comments about possible impacts and ways to improve proposed rules. Below are a few open comment periods in Indiana. Note the special attention on opioids and e-liquids in upcoming rulemaking.

State Board of Dentistry will hold a hearing on 6/10/16 at 9:15 to discuss proposed rule about requirements for prescribing opioids for pain management. See LSA #15-378.
FSSA, Office of Medicaid will modify Medicaid reimbursement rule for covered inpatient hospital services. See LSA # 15-418. Hearing on 6/13/16 at 9am.
IN Medical Licensing Board will hold a hearing on 6/23/16 at 2pm to discuss standards and protocols regarding the prescribing of abuse deterrent formulations for opioids. See LSA # 15-415, as well as requirements for the prescribing of opioid controlled substances for pain management by physician assistants in LSA#15-420.
FSSA, Division of Mental Health and Addictions will consider minimum standards for opioid addiction treatment programs. See LSA #16-1, or proposed rule. Deadline: 6/30/16.
Alcohol and Tobacco Commission will hold a hearing on July 6 at 1pm to discuss the proposed rule to require e-liquid manufacturers to report a list of their products and maintain a list of ingredients for each batch of those products See LSA # 15-290.
State School Bus Committee, DOE, will hold a hearing on rules related to child alert systems, contents of first aid kits and optional rear stop arms. See LSA #15-426. Hearing on 9/6/16 at 9am.

IaUW Public Policy

IaUW is a nonpartisan organization that works to advance policy principles and compromise solutions for the common good. We focus on policies that are aligned with the impact work in local communities conducted by our 60 United Ways and United Funds.

Education, so that children are prepared for and succeed in school;
Income/Financial Stability, so that individuals and families may achieve and sustain financial stability;
Health, so that individuals may access quality healthcare; and
Strong Communities, where a statewide 2-1-1 network and a strong charitable sector help communities thrive.

Our policy priorities are developed and guided by our Public Policy Committee and our IaUW members, based on their work in Hoosier communities.

Review our public policy documents, including fact sheets, testimony and bill summaries.

Frequently Requested Links / Documents

iauw.org - Learn about the Indiana Association of United Ways, current trainings and conferences and the ways we support local United Ways/Funds, partners and communities.

IaUW Policy / Advocacy info - Review and download IaUW Policy Priorities, Third House calendar, bill lists, fact sheets, talking points and testimony.

Federal Advocacy Action Center - Contact your member of Congress provided through our partnership with United Way Worldwide.

IaUW Policy Update Archive - Read prior issues, special articles and key documents produced by IaUW related to public policy and advocacy.

Community Report Card - Check out key indicators in Education, Income and Health for your neighborhood, county or region.

IN211.org - Search for human service information available through the referral database or by calling 2-1-1. Download reports about resources, needs, gaps and trends from Indiana 211 Partnership.

NRN Calendar - Register for high-quality and affordable training for nonprofit staff and volunteers by the Indiana Nonprofit Resource Network.

Funding and Other Opportunities - Explore current requests for proposals, funding and recognition opportunities.

Indiana General Assembly - Check the hearing or floor schedule, watch a live or recorded hearing or floor session and look up your legislators.

Congress.gov - Look up bills introduced or passed in Congress.