The Fine Print

J.D.'s revenge or Jeb Bush's fault? The insurance staredown explained

Florida may have a new insurance commissioner on Friday, then again it might not.

But Gov. Rick Scott and members of the Florida Cabinet will hold their third meeting in the last few weeks in a yet-another effort to reach a consensus on who should replace the outgoing Kevin McCarty (pictured left with Scott). As has been well-reported, Scott and Chief Financial Officer Jeff Atwater have been unable to reach agreement on who should replace McCarty. That's created a stalemate because Florida law requires both officials to agree on a replacement.

There are so many ways to view this ongoing drama, which has played out in public largely because of the rushed secretive way that Scott pushed out Florida Department of Law Enforcement Commissioner Gerald Bailey at the end of 2014. In the end the governor and Cabinet were sued over the entire affair which resulted in new policies that were designed to end behind closed doors decisions regarding the hiring and firing of agency officials who report to the Cabinet.

Atwater has painted the standoff as a byproduct of a process that he says was created to make sure that top officials were deliberative in such an important hire.

Ok.

But perhaps it would be good to take a brief history lesson in how we got here, and why in reality, the process now being used has never really been tested before. And along the way, maybe ask the architect of all this what he thinks about his handiwork (he actually kind of blames Jeb Bush.)

It would be tempting to trace all of this back to the Civil War (yes, really) but let's just say that it became recognized that in the '90s that Florida's governor was considered one of the weaker chief executives in the country.That's because the governor shared power with other elected officials - and in some instances had little control over important areas such as education.

Voters in 1998 were asked to approve a sweeping overhaul of Florida government. This proposal by the Florida Constitution Revision Commission  did a number of things that has generated a lot of debate since then. The education commissioner was changed from an elected to an appointed position. A new State Board of Education (appointed by the governor) became responsible for hiring the commissioner. The governor and Cabinet, which used to be the state education board, no longer had that responsibility. The Secretary of State went from an elected position to an appointed position. And the elected positions of Treasurer and Comptroller would be merged into one new one: the chief financial officer.

As the commission was crafting this proposal, the plan was to also remove the agriculture commissioner from the Cabinet but an uproar from agricultural interests nixed this idea. That eventually created flareups because that leaves four voting members when the governor and Cabinet meet - and leading to discussions on how to weight certain votes so a decision can be made.

Flash forward to 2002: State legislators were under the gun to come up with new laws to put all of these above reforms into action (The amendment did not go into effect immediately). The changes in education, particularly in higher education, sparked an enormous firestorm.

When it came to creating the chief financial officer position, a key argument began to quickly emerge: Should the CFO have complete sway over the regulation of both the insurance and banking sectors - and invariably the large amount of campaign donations that would come from those seeking influence over such important parts of the state economy? In the past, the two jobs were split between the comptroller and treasurer. The treasurer was in essence the insurance commissioner. This led to a public tug-of-war between Comptroller Bob Milligan and Tom Gallagher, who was treasurer and planned to run for CFO.

It was state legislators, including a powerful Republican from Polk County, Rep. J.D. Alexander that came up with the compromise: The jobs of insurance commissioner and banking commissioner would be picked by the governor and the new shrunken Cabinet. And furthermore, there was this addition: The job of insurance commissioner would require BOTH the governor and CFO to agree on who they wanted for the job. The law also states that both elected officials must also agree to fire someone from the position.

Since this was created in 2002 there's been only person to hold the job of appointed insurance commissioner: McCarty. And he's been an ultimate survivor - thanks in no part to the bifurcated law that Alexander helped draw up. CFO Alex Sink wanted to fire him, but then-Gov. Charlie Crist refused to go along. Then during the storm over Bailey's departure it came out that Scott wanted him gone. But Atwater at the time refused to concur and McCarty remained in place until he submitted his resignation earlier this year.

Alexander himself tried to change the law that allowed McCarty to remain in place, saying he was wrong in how they crafted it. He pushed a bill to require that the commissioner be subject to a confirmation vote every two years. It failed to pass.

Now here we are - in a situation that has really not happened since the law took effect.

McCarty was supposed to resign effective May 2 - but then he offered to stay on until 45 days after a successor is chosen - to ensure that Florida has someone in place during hurricane season that starts June 1. Scott's own general counsel, however, maintained that McCarty couldn't do this because the governor and Cabinet had accepted his resignation and could not alter that date without - t'dah - a vote where both the governor and CFO agree. Not so fast, maintained Atwater's team: All the governor and Cabinet did was set a schedule to appoint a replacement. They never "formally" accepted it.

So how does Alexander view all this and how his creation has fared? Well, you could say he waxed a bit poetic about it all, but it sounds as if he is calling on Attorney General Pam Bondi and Agriculture Commissioner Adam Putnam to assert themselves more. (So far Bondi and Putnam have called on Atwater and Scott work out their differences.)

"The genius of the American system of government isn't just democracy but of divided government,'' he said in a message. "Consequently, I wanted the CFO to have the lead over mgt of financial services and insurance. We were forced by the governor of the day to give more authority to his office. An unfortunate outcome of a four member Cabinet. At this point, hopefully the other Cabinet officers will weigh with a choice and consensus will prevail."

Alexander explained that "the governor in my opinion has plenty of power, the constitution seems to give principle authority to the CFO in these matters." He added that the decision all those years ago to keep the agriculture commissioner on the Cabinet "complicated" matters and required them that the governor be given a supervote on certain decision.

"The answer is to lose or gain one Cabinet member," he added. "In the order to pass a bill the governor required a larger role. It was part of the compromise, which we knew had this potential. My guess is the pressure will build and this will be resolved."

Guess we will know if that's true by mid-day Friday.

What's in your wallet? GOP edition

(After a bit of a hiatus, Inside the Tally Bubble news is returning for 2015)

VICTORY BRINGS BIG CHECKS TO SCOTT CAMPAIGN AND PARTY STAFF

Campaign reports filed this week from the Republican Party of Florida show that Gov. Rick Scott's campaign manager Melissa Sellers and other top staffers with the RPOF got some hefty paychecks after a hard fought campaign season.

Campaign reports show that for most of the year Sellers was pulling in bi-weekly payments equivalent to just under $152,000 a year.

But on Nov. 18 - the day after it was announced Sellers would take over as chief of staff for Scott starting on Dec. 1 - the party stroked her a check for $17,500 which would equal about 6 weeks salary.

Back on the state payroll Sellers is earning $150,000 a year - or $1,000 less than her predecessor Adam Hollingsworth.

Sellers wasn't the only person who received a sizable check after the elections were over according to new RPOF filings.

Just some of the others include:

Frank Terraferma, director of House campaigns for the party who helped the GOP get a supermajority in the state House, got a check for more than $55,000 in the middle of November. Terraferma, who was among those who testified at the redistricting trial, appeared to be earning the equivalent of about $162,000 a year.

Tim Saler, deputy campaign manager for Scott, received a check for $16,250 on Nov. 18. or about the equivalent of six weeks pay based on what the campaign was paying him over the length of the campaign.

Matt Moon, communications director for the Scott campaign who departed Florida soon after Scott's victory, got the equivalent of 6 weeks pay on Nov. 18 when he received a check for $16,250.

Chris Finkbeiner, a deputy chief of staff for Scott who became policy director for the re-election campaign, also got a check for $16,250 on Nov.18. A week later it was announced he was going to work for well-known (and Scott friend) lobbyist Bill Rubin.

Pablo Diaz, the campaign manager for Attorney General Pam Bondi, received a $25,000 check on Dec. 31.

Others who got bonus checks include Jackie Schutz, now the governor's communications director, Joel Springer, head of Senate campaigns for the party, Ashley Ross, Senate finance director for the party and Kristin Seidel Lamb, House campaigns finance director.

J.D.'s ROLE IN CABINET INTRIGUE (A HISTORY LESSON)

This past week thrust the Florida Cabinet into the limelight amid the revelations that none of the 3 current members - Adam Putnam, Bondi and Chief Financial Officer Jeff Atwater - apparently knew ahead of time that Florida Department of Law Enforcement Commissioner Gerald Bailey was forced to resign by the Scott administration. One of the allegations is that Bailey was told he did not have support of Cabinet members but the three Cabinet members have said that just isn't true.

Immediately after that story came out there were rumblings that Insurance Commissioner Kevin McCarty was also under pressure to resign. When asked about it a spokeswoman for Scott said no announcements were forthcoming, but then said it was good to get "fresh ideas and new leadership." A spokeswoman for Atwater maintained there was "no deal" to get rid of McCarty.

But forcing out the insurance commissioner is a bit tricky thanks to former Sen. J.D. Alexander.

Alexander was in the Florida House at the time legislators were required to craft a way to deal with the new CFO position. (Voters approved a change in 1998 that collapsed the comptroller and treasurer posts on the Cabinet into one job.)

There was much concern that Tom Gallagher, who planned to run for the CFO post in 2002, would have too much power, including the ability to hire and fire the insurance commissioner.

So a compromise was born. The insurance commissioner would report to the governor and Cabinet, but furthermore it would take more than just a majority to hire or fire that person. It would require agreement between the CFO and the governor.

McCarty was hired for the post and approved by then-Gov. Jeb Bush and the Cabinet.

And he's been there ever since.

One key reason is that there hasn't been agreement among top officials on whether to force him out.

While she was in office as CFO Alex Sink made no secret of her displeasure in several instances with McCarty. But McCarty had a strong supporter with Gov. Charlie Crist.

When Scott came into office in 2011 word is he wanted a change. But it was newly-elected Atwater who backed McCarty.

Part of what's been lost in all this is that McCarty has been seen by those who follow the insurance industry as someone who has been good at carrying out the agenda of his bosses - whether it was Crist or Scott.

For his part Alexander, who got upset with McCarty over how the state dealt with State Farm and other insurance issues, later came to regret his role in how the insurance commissioner was picked.

He tried to change law to require the commissioner to be subject to a confirmation vote every 2 years, but the proposal did not pass.

"I am big enough to admit I was wrong,'' Alexander said in 2010.

 

 

The roots behind the Rick Scott-Adam Putnam showdown

It shouldn't be a surprise to anyone, especially those in "Scott world" that Agriculture Commissioner Adam Putnam came out so forcefully against Gov. Rick Scott's decision to back the expansion of Medicaid. Putnam called it "naive" and blasted the decision during a speech he gave in Tallahassee.

There are those who already jumping to the conclusion that Putnam is readying himself to a primary challenge against his fellow Republican.

That still appears to be unlikely.

But there has been a feud quietly building up in the last two years.

There are signs - and speculation among those close to Putnam - that he has been viewed as a possible threat ever since the two men came into office in early 2011.

Whatever the reason there is no question that Putnam and his staff have been put on the defensive in back-to-back legislative sessions because each year the governor's office has hinted at the possibility of a veto of Putnam's top legislative priority.

In the first year the Scott administration discussed internally whether to veto a bill that shifted control of the school lunch program away from the Department of Education and over to the Department of Agriculture and Consumer Services.

The main resistance to the legislation came from the State Board of Education (and which had been contemplating banning chocolate milk in schools), but Putnam was able to shepherd the measure through the Legislature and on to Scott's desk without much resistance. Putnam had managed to build up a coalition of support for the legislation and in the end Scott approved the bill.

But that wasn't the end of the tug-of-war between the Scott administration and Putnam's office.

The same year Putnam won control of the school lunch program the Legislature also gave Putnam a larger say over energy issues.

He followed it up in 2012 by pushing what he termed a modest energy bill that restored tax credits for renewable energy projects. That bill, however, ran into fervent opposition, especially from tea party groups and Americans for Prosperity-Florida, which contended the measure created winners and losers.

Scott let the bill become law - but without his signature.

In a letter announcing his decision Scott wrote that he let it become law out of "deference" to Putnam and the legislators pushing it. But he also questioned whether the bill would produce results. "Absent clear documentation that the proposed tax credits have produced a sufficient return or provided significant cost savings for the state's taxpayers, I will request their repeal," Scott wrote.

Putnam referenced the near veto recently - and explained it was why he decided to opt against recommending any major legislation this year.

"We found widespread support in the Legislature and we very nearly had it vetoed," Putnam told Bruce Ritchie of The Florida Current. "So moving forward, we think it's important there is a clear understanding what all of the interested parties' expectations are for future energy development in Florida."

Another warning shot from Scott to Putnam came right after the governor signed his first budget into law. In his veto message Scott openly questioned the "value" of two divisions under Putnam including the Division of Consumer Services. He wrote that Putnam's office had not done a good enough job to justify the money spent on the two divisions and suggested he might eliminate it in the future.

The tension between Scott and Putnam has also been on display during meetings between the governor and the Cabinet. If you watch closely there have been numerous times that Putnam has gingerly waded into some issue, only to cut himself off and not press the item any further. It almost seems as if he wants to say something, but then decides it's not worth the fight.

This coming week will mark the first time that Scott and the three members of the Cabinet - Putnam, Attorney General Pam Bondi and Chief Financial Officer Jeff Atwater - have met publicly since the Medicaid expansion debate began.

Bondi and Atwater have also criticized the decision by Scott to support Medicaid expansion.

Bondi and Scott have for the most part forged a close-working relationship prior to this moment so it's not clear whether this will prove detrimental. Atwater and Scott have had some mild disagreements - particularly in the arena of insurance regulation and Citizens Property Insurance - but the two did work together on pushing changes to the personal injury protection law (PIP).

The biggest question moving ahead is whether Putnam, Bondi or Atwater take time to keep up their opposition to Medicaid expansion and actively lobby against it in the Legislature.

All three members have side-stepped many controversial issues since coming into office in 2011 - refusing to take a stance on numerous items.

Case in point - Putnam was slow wading into the debate over Internet cafes even though the storefront operations have been able to expand by contending they fall under sweepstakes operations (which are regulated by Putnam's office.) It wasn't until after his first session as commissioner that Putnam suggested lawmakers needed to decide if Internet cafes were legal.

But with 2014 right around the corner it will be interesting to see whether or not Putnam - as well as Bondi and Atwater - decide to ratchet up their profiles and battles with the governor.

How can Rick Scott regain momentum in 2013?

Amid the last round of lackluster poll numbers for Gov. Rick Scott political consultant Tony Fabrizio in mid-December wrote a one-page memo where he argued that it was way too early for people to write off Scott's chances for a second term.

Fabrizio used an interesting analogy: If President Barack Obama could win Florida a second time so could Scott. Download 12-19-12 Memo on Q Poll

 "Anyone who dismisses Governor Scott and his chances does so at their own peril. Governor Scott has nearly a year longer to reverse negative numbers similar to what the President had, therefore it seems irresponsible and hasty to count the governor out from making an equal, if not stronger, turn around."

Democrats this past weekend loudly announced that Scott's defeat will be their primary focus in the next cycle. The challenge of the Democrats, however, will be the ability of the party to have the resources to compete with what could be a very expensive race. And make no mistake: There are some in "Scott world" who are not troubled by former Gov. Charlie Crist as the nominee. That's because this will allow the campaign team to draw a clear contrast, especially when it comes to comparing how the state's economy fared under Crist and how it has fared under Scott.

It could also be argued that some of Scott's recent policy initiatives on tuition, voting and now teacher pay raises are aimed squarely at muting Crist on those same issues. Crist for example in 2009 signed the bill that gave universities in Florida the ability to raise tuition up to 15 percent a year until Florida's tuition rates reach the national average. Contrast that to Scott's firm insistence that tuition be held flat.

But the central question remains: What can Scott do on his own to turn things around in the coming year and heading into 2014?

The plain fact is that governors - unlike the president - have a much more limited fashion in which to engage with the public and convince them they are doing a good job.

One way is completely out of Scott's control: Show leadership through a crisis such as a natural disaster. Part of the enduring legacy - for example - of former Gov. Jeb Bush is the way he dealt with the wave of hurricanes that hit the state.

The difficulty for Scott rebuilding his brand and image in the second half of his term is that in many ways he's already been like three different governors.

Thanks to three different chiefs of staff he has approached governing, his agenda and his interaction with the press in distinct ways.

The first phase of Scott's governorship - where he was surrounded by people who helped his campaign including defacto chief of staff Mary Anne Carter - the governor staked out positions that excited the base of GOP voters who propelled him in the Republican primary and helped him get a narrow win over Democrat Alex Sink. He unveiled a budget that cut funding for education, he rejected billions in federal aid for high speed rail, he clashed with the Florida Legislature and his staff had a bunker mentality with the press.

The second phase under Steve MacNamara included a decision to have Scott engage in a two-way strategy with the press: Open up more to the mainstream media while also appearing on conservative talk radio shows to keep the base engaged. Also put in place was a more calculated strategy of trying to work with the Legislature. Take on the winnable battles like auto insurance reforms, avoid direct engagement (like in casino gambling) on issues that have an uncertain chance of success. Scott jettisoned parts of his campaign agenda such as pushing tough new laws on immigration. He became more accommodating to legislative initiatives and even embraced some of them such as the creation of Florida Polytechnic University. And Scott tried to undo the damage caused in the first phase by pushing for a funding increase in education.

Now with current chief of staff Adam Hollingsworth we have the third phase. Yet another strategy with the press. There are attempts to appear less rigid and more open to dialogue with opponents (hence the "discussions" over Obamacare with Washington D.C. or the dinner with top officials with the Florida Education Association.) And there's even a full 180-turn on hot topics such as voting where Scott - who signed the law that cut early voting days and defended it court - is now advocating an expansion of early voting beyond what was previously in place.

Moving ahead then here's the avenues left for Scott to try to change his trajectory with voters (outside the hope that the economy will continue to grow and that Scott will get the credit.)

SCOTT'S LEGISLATIVE AGENDA: Like it or not Scott's third year in office will in many ways revolve around what he accomplishes this spring. He will be judged by how much of his agenda is accepted or rejected by the GOP-controlled Legislature. Scott this week will present a budget that in many ways will attempt to highlight his new priorities, such as a flat across the board pay raise for teachers, a freeze on university tuition hikes and a cut in sales taxes for the purchase of equipment used in manufacturing. (More on this later this week)

But it should not be assumed that top lawmakers will bend to Scott's wishes as evidenced by the initial lackluster enthusiasm given Scott's teacher pay raise proposal. And we still don't have a clear idea on what will happen to the implementation of Obamacare, especially on expansion of Medicaid that is now an optional part of the federal health care overhaul. If Scott rejects expansion - which appears likely given his recent statements - will lawmakers buck him and dare the governor to veto it?

Scott's trump card, of course, is that he has the ability to shoot down any legislative proposals that he dislikes and he can use that as leverage to get what he needs.

Given Scott's recent populist turn on voting and teacher pay raises it will be interesting to see if he uses the veto pen as a way to distinguish himself from the Legislature. For example what does the governor do if a bill raising insurance rates for the 1.3 million customers of Citizens Property Insurance were to cross his desk on the eve of this year's hurricane season?

KEEP UP OPPOSITION TO THE PRESIDENT: In some ways Scott was actually better served by having President Barack Obama getting re-elected than having Republican Mitt Romney win. The down side to Obama's re-election is that the president and his allies have the capacity to assist the campaign of someone like newly-minted Democrat Crist. But Obama in the White House gives Scott - and the Republicans in general - something to rail about heading into 2014. You can see the narrative: "I stood up to the president on government controlled health care, we improved the economy without his help, we will not go along with his agenda on guns." You get the picture. And if Obama's numbers go underwater again then Scott gets to link Crist to the president.

SCOTT'S MEDIA STRATEGY: Largely unnoticed by the general public Scott's media strategy has in fact been altered with the entrance of new communications director Melissa Sellers. That's not to say that everything has been smooth sailing (witness the brouhaha over the return of Scott's dog Reagan.) But the press office's new strategy does appear to be one of cooperation (when it benefits the Scott agenda) and less direct confrontation. This means giving some in the press access in the hopes it will create a story that bolsters the governor.

This doesn't mean, however, that the press office is passive. Far from it.

The governor's office appears to be engaged in trying to get Scott's message out (which is amplified by the Republican Party of Florida, whose media operation is lead by former communications director Brian Burgess). It is then left to some of the agencies to push back against stories that the Scott administration does not agree with. Several agencies, for example, in recent months have put out press releases sent to all media outlets that attempt to debunk stories and even editorials that have appeared. (The changes at the Department of Environmental Protection being a key example.)

Meanwhile, the governor's press office is tracking media coverage even more closer than ever before. Emails show that the governor's entire staff is now getting "news alerts" that include snippets of stories and even tweets by capitol press corps reporters just moments after they hit the web and Twitter.

So will it all add up?

It's hard to say.

Part of the difficulty for those working for Scott is some of the missteps in the first two years have been self-inflicted. Democrats may not like some of Scott's policy initiatives but some of them have polled well with the general public i.e. drug testing for welfare recipients.

Those who have dealings with Scott will tell you up front that he studies details and takes times to understand complex policy issues.

But in many ways he has had to "grow up" in public and has drawn attention in ways he probably didn't intend (such as the incident with the King of Spain). In other instances, his staff did not appear to anticipate the political fallout over a decision (i.e. the cutting of the education budget, the signing of the Cuba-crackdown bill.)

The balancing act in the months ahead is whether Scott can find success with the Legislature and the economy and finally reverse his flat-lining poll numbers. Because even during a campaign there's only so much love money can buy.

Will Rick Scott and lobbyists be among today's primary losers?

While today's primary election in Florida lacks the drama of a high-stakes statewide race like two years ago there will be much to ponder once the smoke clears by Wednesday morning.

Most of the true intrique will of course surround the numerous proxy battles - and their role in the future leadership of the Florida Senate. Here's a previous overview on that.

But there are also a whole slew of other trends/stories worth paying attention to that could have ramifications in this year's general election, next year's legislative session and the 2014 elections when Gov. Rick Scott will seek a second term.

1. Will the "toxic" brand that Democrats seem to attach to Scott really play out? Several Democratic primaries - include at least two state Senate seats and a North Florida congressional seat - have included various allegations that one of the Democrats in the race is too cozy or too comfortable with Scott and his agenda. Former Sen. Al Lawson - who is running for Congress against Rep. Leonard Bembry - went so far as to ask people to give him money to help fight "lies" that he voted for Scott over Alex Sink.

If this strategy of trashing your opponent as a ally of Scott doesn't work in a primary election then how big a factor is it in the general election or heading into 2014?

2. What happens if Rachel Burgin defeats Tom Lee in the state Senate GOP primary in Hillsborough County?

Senate leaders backed former president Lee, but that didn't stop some lobbyists from helping out Burgin against their old foe. Lee's trangressions are many to some lobbyists, including his push to force them to disclose how much they were getting paid to lobby the Legislature. One of the attacks against Lee dredged up an old divorce and questioned his character.

One could be tempted to conclude it's just one race and the outcome shouldn't have an outsized impact in the halls of the Capitol.

But when asked recently if there would be any consequences, incoming Senate President Don Gaetz said this: "I don’t think that any vengeance has to be planned for these Democratic lobbyists. I think the stink of dirty personal attacks will hang on them and they are making their own problems."

And Gaetz added that he thought that some of those who did help Burgin went "way, way over the line."

3. Will today's election effectively end the Senate presidency battles? No one knows for sure what the pledge cards look like, but if Mike Weinstein and Jim Frishe and some other Republican state senate candidates go down then there will be much speculation that Jack Latvala's bid to become Senate president in 2016 is doomed.

Latvala is an old-hand at political intrique so it would probably be a bit premature to write his obituary. He may hope that his alliance with Andy Gardiner may help him in the long run. The problem, of course, is whether or not he has to deal with people who change their minds on backing him if he has a bad day today.

4. Will Alex Diaz de la Portilla become the ultimate shadow warrior in the Legislature?

The former state senator's political skills should never be underestimated. But it could be quite fascinating if he gets elected to the House along with his brother Renier. (Miquel Diaz de la Portilla is already in the Senate.) It would not be far-fetched to envision scenarios where Alex DLP quickly begins forming alliances in leadership fights and special interest lobbying battles.

5. Which interest group emerges from the primary stronger, or weaker? A backstory in several primaries is the money that groups engaged in ongoing public policy fights, whether it's gambling or private school vouchers for low-income families, wound up putting into play.

A win by Mack Bernard over Jeff Clemens, for example, in a Palm Beach County state senate seat would continue to dilute the influence that the state's teacher union has when it comes to fighting back against vouchers.

Additionally, it will be worth noting if certain attacks regarding key legislative issues - like property insurance, for example in the Frishe-Jeff Brandes state senate race  - prove harmful at all.

 

 

 

Scott's dinner conversation with J.D., Don Gaetz and Andy Gardiner

Gov. Rick Scott - after flying to Eustis to roll out his budget proposal at an event set up by Tea Party leaders - spent dinner with Sen. J.D. Alexander, Sen. Don Gaetz and Senate Majority Leader Andy Gardiner.

Here's the main things that they talked about during the conversation that began in the famed Florida Room of the mansion before it shifted to the State Dining Room.

* Gaetz and the governor talked with the others about the recent decision of Vision Airlines to come to Florida.

* Gaetz expressed his disappointment to Scott regarding some recent Visit Florida ads airing in Palm Beach County. Gaetz told Scott the ads featured Northwest Florida officials. He said he didn't understand the logic of targeting people from Palm Beach County to come north to the beach. Scott seemed surprised by the ads as well.

* Alexander, the Senate budget chief, told Scott that he had had the chance to meet the new Department of Management Services Secretary Jack Miles and that he had the right professional qualifications for the job.

* Alexander also said that he just been taking a first glance at Scott's budget proposal. He was urged to "just pass it." Later in the night that theme would be repeated when one of Scott's top aides would suggest to all three senators that the nation will be watching to see if the Legislature enacts Scott's "fiscally conservative" budget.

* There was some general conversation about Scott's flight to and from Eustis being waylaid because of bad weather. Scott also talked about the crowd that showed for the event. He briefly mentioned that those in the Tea Party - who he said included Democrats and independents - don't want to be "disappointed' by those they have supported. Scott also noted that he has had bigger crowds at Tea Party events than at Republican Party of Florida organized events.

* Gaetz said lawmakers were likely to start looking this year at the operations of the Florida Housing Finance Corporation, which is responsible for providing money to help developers build low-income housing. Alexander said he has begun questioning why the corporation needs any more money right now when there are plenty of empty houses in Florida due to the recession. Scott noted that he did not recommend any additional funding for them.

* Scott and Alexander started talking about property insurance. The governor repeated his vow to make changes this year to Citizens Property Insurance Corp., the state-created carrier of last resort. "Everyone understands we need to fix Citizens this year,'' Scott said.

* During dinner, Scott repeated a line from his budget rollout where he said "we shouldn't have fiefdoms" in state government. This came from a discussion on why on Florida's highways there were separate weigh stations for Department of Transportation and interdiction stations for the Department of Agriculture.

* Scott expressed his amazement that the state does not have a unified e-mail system for all of state government.

* Scott also said he is a "few days" away from naming someone in state government to take control of economic development efforts. This was part of an overall discussion where Alexander asked questions about whether or not Scott has been successful in talking to companies moving here, and what kinds of things he is hearing about those who may, or may not, move to Florida.

Alexander also asked about Scott's proposal to have more control over economic development incentive dollars. Alexander asked if Scott would be opposed to some sort of provision that states that if a certain company promises a large number of jobs then Scott has the authority to use the dollars without additional legislative approval. Scott said he could go along with that concept and said he had no problem with having thresholds in place.

* Gardiner briefly mentioned to Scott concerns about the use of psychotropic drugs on foster children. He relayed how Sen. Ronda Storms cared very much about the issue and that she would be pursuing it again this coming session. Gardiner also said that Storms had already met the new head of the Department of Children and Families and "hugged him.'

* Gardiner also urged the governor to help Florida retain - and even attract - Major League Baseball teams to Florida. Scott, who once was a part owner of the Texas Rangers, said he wants to make sure the state doesn't lose any more teams and that he wants to "put a focus" on many things the state can to help its sports teams and have people come to the state because of the teams.

 

 

Rick Scott's long list of challenges

A beaming Governor-elect Rick Scott and his wife, Ann, showed up at the governor’s mansion on Monday night where they joined Gov. Charlie Crist and First Lady Carole Crist for a symbolic menorah lighting ceremony.

Scott helped 11-year-old Mendy Oirechman light the candles of a large menorah that was placed up against one of the front windows and he later held hands with Crist as they briefly danced with some of the rabbis in attendance.

The ceremony, which was started under former Gov. Jeb Bush, was a tangible sign of some of the many social responsibilities that come with being governor. But it also could be seen as a prelude of many of the large and small challenges that will confront Scott once he is sworn into office in early January.

During the half-hour ceremony, he was reminded of Florida’s insurance problems when he was asked whether he planned to follow Crist’s footsteps. Crist went to Jerusalem and placed a prayer in the Wailing Wall where he asked God to spare Florida from hurricanes.  Rabbi Schneur Z. Oirechman politely asked whether or not the mezuzah that now sits on the door jamb into Crist’s office would remain once Scott becomes governor. Crist back in 2007 took some heat from groups such as the ACLU for placing the religious symbol in his office.

But there are many other large challenges that are looming for the rookie governor whether it's the state budget mess, the dismal economy, Medicaid and even the brewing leadership battle for the Republican Party of Florida.

The complete rundown on Scott's challenges can be found here at the Florida Tribune.

Crist's demise leaves an uncertain legacy

With polls showing that he continues to lag behind rival Marco Rubio, the hour that Gov. Charlie Crist spent with David Gregory at Tuesday night’s U.S. Senate debate might be his final time in the national spotlight.

Crist, who had successfully climbed from the ranks of the state senate into the governor’s mansion, is now confronted with the prospect that his political career for now is over. His decision to bolt the Republican Party and run as an independent means that he will have few options after this year.

His political ascent was marked by several twists and turns and it is hard to imagine that the man now preaching about independence and moderation once accused Democrats of dirty tricks in getting then-Gov. Lawton Chiles elected over Jeb Bush back in 1994.

But as Crist exits the stage, he leaves behind an uncertain – and largely incomplete – legacy as Florida’s governor. Crist became the first governor to voluntarily give up the post after one term in the 40-plus years that governors have been allowed to seek re-election.

Lance deHaven-Smith, a professor of public administration and policy at Florida State University, said Crist’s legacy actually depends on how the election turns out next week.

“Crist tried to move his party and the state back toward the middle after eight rather polarizing years under Jeb Bush,'' notes deHaven-Smith said in an e-mail. “He did not accomplish much policy-wise compared to many other governors, but he contributed to significant improvements in the state’s civic culture.  If he is elected to the Senate, Florida is likely to see a continuation of this moderation in public office for both parties.  If he loses, well, his legacy of compromise and pragmatism may be short-lived."

David Colburn, a professor of history at the University of Florida and a long-time scholar of state politics, said that Crist clearly tried to work with both political parties and was not ideological in how he approached problems. An example of this, of course, was Crist's decision to embrace the federal stimulus in order to help ease Florida's budget woes.

“I think it is easy to dismiss Crist as a politician who is only interested in getting and holding office and that there really is not much to him,’’ Colburn said in an e-mail.  “Clearly he is not ideological and he made clear to more than one state political leader that "he was not Jeb Bush." By that he meant that he was willing to work with both parties to find solutions to critical issues facing Florida and that he did not dismiss government's role in improving the quality of life for Floridians.”

But Colburn also made it clear that Crist is unlikely to leave the same kind of impact that other governors left.

A full look at Crist's uncertain legacy can be found here at the Florida Tribune.

10 things in the state budget you may not know about

Gov. Charlie Crist could act sometime Thursday on the $70.4 billion budget that state lawmakers adopted during their spring session.

Many salient facts about the budget have been reported including that it's bigger than what Crist himself proposed, that it includes money for items only if Congress kicks in extra federal help, and that it contains many projects pushed by the two budget chiefs in the Legislature.

But there's always some interesting odds and ends that haven't gotten much attention. Some of these spending items are perennials and have been in the state budget for years and are unlikely to get vetoed by the governor.

Still it's a testament to what can get wedged into a 444-page document.

1. School funding study - $100,000. The budget sets aside $100,000 to hire an “entity located outside the state of Florida” to study the state’s school funding formula and review it for the “sole purpose of recommending any improvements to the existing formula that would better reflect the varying characteristics of each of the 67 school  districts.” This study – which is due by Jan. 1, 2011 - is also supposed to assess the “equity” of the current school funding formula.This is a big deal for South Florida lawmakers still upset with a 2004 change to the state’s school funding formula that used to steer more money to urban school districts to cover higher living expenses. Legislators especially from Miami-Dade County want someone outside the state to look at whether the revamped formula is fair. This could be the prelude to another big fight next year over school funding.

2. Some college students helped, some college students hurt. There has been publicity surrounding the proposed changes to Bright Futures - the popular merit based scholarship program paid out of Lottery ticket sales. But less noticed was a decision by state lawmakers to actually increase the amount of financial aid set aside for needy college students.

Legislators for example cut by $1 a credit hour the money available for Bright Futures. This cut, however, could even be a bit larger since $25 million is contingent on getting extra money from the federal government to help with Florida's Medicaid bill. The move comes at the same time lawmakers increased tuition by 8 percent and universities are authorized to raise tuition even higher. But lawmakers also helped out Bright Futures students attending community colleges that offer four-year degree programs. 

Funding for two financial aid programs that help students at private schools - including the Florida Resident Access Grant - was cut by 4.1 percent.

But lawmakers did give a slight increase for need-based financial aid provided to both public and private school students. The maximum amount per award would go from $2,069 to $2,235.

Legislators also passed HB 5201 to accompany the state budget. This would make permanent changes to Bright Futures - including making the scholarship amount a flat rate in the budget instead of tying it tuition hikes - and would increase eligibility requirements over the next four years. This same bill also contains language that establishes the doctor of pharmacy program for the University of South Florida at the polytechnic campus in Lakeland. (It would not be all that surprising if Crist vetoes this bill.)

3. Anti-abortion counseling-$2 million. Legislators expect Crist to veto HB 1143, the health care bill that includes the requirement that women get an ultrasound if they are seeking an abortion during the first trimester. They have purposely held the bill back so there is time to mount a campaign to convince Crist to support it. What's lost in the dust-up is that more than a year ago Crist intervened and saved the state's crisis counseling program from getting cut. This program - which was started while Jeb Bush was in office - provides money for pregnancy support centers and advertising for billboards that direct people to a hotline. Lawmakers this year spared it from any cuts. There was a provision added that states 85 percent of the money will be used for "direct client services, website maintenance and Option line."

4. Insurance Commissioner Kevin McCarty's summer homework. McCarty has been a constant target of some lawmakers the last few years especially after he urged Crist to veto last year's property deregulation bill. This year the Office of Insurance Regulation did lose 10 positions in the new budget, but its funding level was close to last year's spending. Lawmakers, however, have demanded that McCarty produce by Sept. 1 a detailed report of all residential property insurance rate filings submitted during the last fiscal year. The report has to include lots of information including the name of the OIR actuary who reviewed the rate filing and the days it took for regulators to act on the filing request. This move comes in the wake of grumbling that McCarty's office opposed some of the insurance proposals floating around this past session even though his office was approving rate hikes.

5. Motorcycle safety awareness-$250,000. This is a reduction in funding from last year, but the budget this year directly orders the Department of Highway Safety and Motor Vehicles to provide this money to just one group: American Bikers Aiming Toward Education of Florida Inc. This is a group that lobbies on behalf of bikers and led the charge to repeal the requirement that bikers 21 or older must wear a helmet. The president of the organization says his group should get the money because it has a motorcycle safety awareness program in place that has helped reduce motorcycle deaths in Florida.

6. Banning assault rifles. The Sun-Sentinel first reported that there was a push to block Chief Financial Officer Alex Sink from using any money to purchase assault rifles for her fraud investigators. This led to a mocking ad from the Republican Party of Florida that prompted Sink to accuse the party of making fun of law-enforcement officers. Just to bring it full circle the final version of the budget included the provision that Sink's office cannot purchase "assault-type weapons."

7. Cancel this lease, we mean it. Last year the Legislature wanted to get a better handle of how land the state owned and how much office space it leased. Lawmakers weren't totally satisfied with the response they got from the state's main landlord - the Department of Management Services. This year's budget goes out of its way to specify how, when and where certain state offices are to be closed due to budget cuts. The budget orders the closing of 10 driver license offices around the state stretching from Fort Walton Beach to Vero Beach. But there's also language that lists the address and locations of other state offices in Key West, Chipley and Tallahassee that are to have their leases ended. Lawmakers also ordered the cancellation of a lease payment for a copier in a Key West office and for postage meters in several locations.

8. Unlicensed activity media campaign - $600,000. This has been in the budget for years, but it gets scant discussion. The state sets aside money to "publicize the dangers" of unlicensed real estate activity and unlicensed accountants. The money to battle unlicensed real estate activity can be used to pay for media production and advertising materials from a non-profit corporation that represents the largest number of licensed real estate professionals. The money to educate the public about unlicensed accountants will be spent in consultation with a company that represents the largest number of licensed CPAs.

9. Florida International University/Department of Health-$32.5 million. This has already gotten some publicity as a project associated with Rep. David Rivera, R-Miami and the powerful budget chief. But what's interesting is that the state plans to borrow money to construct and manage the building.

10. Free orange juice - $240,000. Of course what would a Florida welcome station be like if there wasn't free orange juice available to visitors. The Department of Citrus is authorized to spend this much for "citrus juice" to be handed out at the state's four welcome stations located in Escambia, Hamilton, Nassau and Jackson counties in North Florida.

Sink doesn't get any help from fellow Democrats

Senators sitting on the Senate Banking and Insurance Committee had a chance on Wednesday to help out Chief Financial Officer Alex Sink.

Sink is one of those who wants to give more power and authority to the state's insurance consumer advocate, Sean Shaw. The idea is that Shaw - who reports to the CFO - should be able to intervene in insurance rate filing cases and force state regulators to receive his suggestions and recommendations.

But the amendment doing that was voted down on a narrow 5-4 vote. Guess what? It was three Democrats joining with two Republicans who killed it. The four senators who liked the idea were all Republicans.

Despite that the bill, however, got a rough hearing. Read more about it here.