"Well Heeled" - My Foot!

Another casualty of Session '12

The Scoop, as you can imagine, follows the news fairly carefully.  Towards the end of session, especially as gaming bills took prominence, over and over again we saw articles claiming “well-heeled lobbyists with their I-Pads” were influencing legislation.  Other articles talked about the high fees earned by these same “well-heeled lobbyists” and their “I-Pads.”

One morning it was simply too much to bear.  I put down my Apple-created tablet, picked up my Botticello wing tips and decided then and there to write and expose this lie.

The fact is that few people who work the legislative session are well-heeled.  The brick sidewalks of Annapolis exact a terrible toll on shoes.  You know you are with an Annapolis regular when you see the scuffed up toe area – scuffed from the uneven bricks.  You know you are with a regular when you see the shoe’s soles worn down to their nub.  You know you are with an Annapolis regular when she is wearing flats because the heel of her fancy shoe was torn off by getting caught in between mortarless bricks.  “Well-heeled?”  Not in this town!

So the next time you read an article about who generates the biggest income during the session, bet on the shoeshine guy at the state house.

Session Scoop: Life Imitates Art



This crowd of "do-gooders" filled the sun-bathed
courtyard, pushing the lobbyists back to the shadows
of the State House steps.



All the great movies operate on many different levels.  If you ever watched Psycho, the Alfred Hitchcock thriller, you know the dual personalities of Norman Bates are revealed first by the constant shadows of Anthony Perkins demented character. 

One spring day this Session, Annapolis also foreshadowed, using another technique involving light and darkness, the days ahead.

It was a beautiful March day. The sky was completely clear, and a thunderstorm the night before had cleared the air.  Despite the calendar’s date of March 1, Spring was in the air.

At about 10:00 a.m. under this stunningly blue sky, 300 people gathered in 65° shirt-sleeved weather.  They were there to “ban the box.”  It was a rally held on Lawyer’s Mall.

“Ban the box” is an important legislative initiative, designed to prevent certain employers from asking on job applications if the applicant had ever been convicted of a felony.  The goal behind the bill is to allow those who have made mistakes and had felony convictions at least the opportunity to be interviewed before the conviction comes out.  Once an interview is scheduled, the employer is still allowed to ask about convictions, and the involved individual therefore has a chance to explain why he or she deserves a second chance.

The 300 people were made up of a diverse group.  Many had obviously spent time in prison.  Others were family members of prisoners, dependents upon them.  A third group was what some would loosely call “do-gooders”.  These were a group of people, well-dressed, who were invested in this social mission.  The entire group rallied, chanted slogans, and generally had a great time in the bright sunshine.

The presence of this crowd on Lawyer’s Mall forced the lobbyists further back towards the State House.  There the lobbyists exchanged cynical remarks about the “do-gooders” and their efforts to get this bill passed.  It was at this point that I realized life had indeed begun to imitate art.  Those seeking to do good were bathed in bright sunshine.  The cynical ones, the lobbyists, were in the dark shadows of the State House.  Even a casual observer would have, from simply a photograph of the scene, decided who was trying to do good, and who was being consumed by the darkness.

Life imitates art.

This Week at the Circus: The Finale



Last one out has to clean up after the elephants!

 It's the finale!

With 83 days down, the circus will fold its tent seven long days from now, precisely at midnight on Monday, April 9. The 90-day run of the 2012 General Assembly session will be over.

Before the streets can be hosed down and safely reopened for the Spring tourist season, a lot of work remains to be done. Big issues, like the budget, must be decided. Smaller issues will also scramble for attention, because after the gavel comes down and the confetti falls, you are out of chances.

This year, a combined 2,579 bills were introduced in the House and Senate. Here are some of the issues left to be decided as the clock ticks down:

Budget!: As we mentioned above, the $35-billion budget still has to be decided. There is a budget conference committee, tasked with working toward a compromise on the multiple budget plans. They definitely have a lot of work to do in a very short time.

Gas Tax: This failry unpopular bill did not cross over Rowe Boulevard in either direction yet. With gas already at $4 a gallon, and heading toward $5 per gallon by the Summer, many are hoping it doesn't make a last hurrah in the next week.

Medical Marijuana: We spoke about this one earlier in the Session. This bill didn't get out of committee, and will not likely make any more progress this year.

Wind Farms: In the on-going quest to find sustainable energy sources, Governor O'Malley is casting his lot with the off-shore wind farm team. At this point fees to residential users and cuts to large commercial energy users has the bill remaining in committee. Just Friday morning, there was a rally on Lawyer's Mall regarding the wind bill, and we'll see if that puts any 'wind' in this bills sails in this final week.

Fantasy Sports: Did you win a couple bucks in your online fantasy football league this year? Though fantasy sports have been around for almost 30 years, the explosion in the last decade or so is something Maryland law has never taken into account, therefore it's technically illegal to participate in those games in the state. This has passed the house and will be in hearing for the Senate on Wednesday. If it passes the Senate, fantasy sports will be exempt from the prohibitions of gambling and betting in Maryland.

Ethics: The House passed a bill creating a task force to look into the possibility of requiring state officials who are convicted of a criminal act to forfeit or temporarily lose their State of Maryland pension and retirement benefits. The committee will report back in November, and this will likely be a discussion for next year's Session.

Public-Private Partnerships: This would allow state contracts to be awarded through negotiation, rather than the required procurement/bid process that is currently in place. It would create more opportunity for the decision making process to be influenced outside of the bid process. This is still in committee this week, and will have a hard time making it to vote prior to midnight on Monday.

Death Penalty: The bill to repeal Maryland's Death Penalty didn't make it out of committee, essentially giving the death penalty repeal a death blow for 2012.

Health Enterprise Zones: HB439 creates Health Enterprize Zones. These are small areas with "measurable and documented disparities and poor health outcomes." The Department of Health and Mental Hygeine can designate an area as a HEZ. Practitioners who practice in one of these HEZs would be eligible for grants, funding, and access to state health programs. This passed the House, and is due to be heard on Tuesday in the Senate Finance committee.

Just because the Session is winding up, doesn't mean the Scoop is. We'll have video blog for you later this week, and some information on the odd calendar that they keep here in the General Assembly.

This Week at the Circus - 3/26: Walking the tightrope (en masse)

no safety net here, ladies and gentlemen!

It's crossover week at the circus! Picture a high wire extending across Rowe Boulevard, between the House and Senate buildings. On this tightrope are 188 precariously perched politicians, attempting to ferry their pet projects across to the other side.

This week is critical to the bill passage process.  If you get your bill out of committee, and if it survives on the floor of the House or Senate, it is ready to “crossover” to whichever chamber has not heard it yet.  Bills that “crossover” in a timely fashion are guaranteed consideration by the other body.  Cross-over too late and your bill could die from inactivity. 

On the tightrope, sometimes wavering, are the following insurance bills:

SB 82/HB 279 - Increases the Uninsured Division’s bodily injury limits from $20,000/$40,000 to $30,000/$60,000.

SB 256/HB 876 – Exempts insurers from issuing a notice for commercial policy renewals if the premium is greater than $1,000 and increases by 3% or $300.

SB 309/HB149 – Requires motor scooters to be titled and insured.

SB 531/HB 1095 – Requires insurers to recalculate premium on policies within the 45-day underwriting period if information was not disclosed or incorrectly recorded on the initial application.

SB 938/HB 1059 – Allows an insurer to rescind a policy or binder if the applicant’s initial premium payment is made by a check that is dishonored and returned by a financial institution as unpaid due to insufficient funds.

SB 604/HB 715 – Seeks to overturn a 2006 Court of Appeals decision, Maurer v. Penn National Mutual Casualty Insurance.  The legislation would allow insurers to consent to settlements without waiving their rights to raise liability or damage defense.

SB 907/HB 356 – Shifts the responsibility for liability insurance on all rental vehicles to the insurance carrier of the renter.

SB 745/HB 1017 – Frees IWIF from further State government control, and creates the Chesapeake Employers’ Insurance Company.  This would be a non-stock, non-profit corporation organized under Maryland law that continues to pursue IWIF’s mission.

SB 1006 – Creates a variable commission structure for MAIF.

HB 1068 – Creates a homeowner’s cancellation notice requirement.

HB 1180 – Requires insurance companies to report new business to the Motor Vehicle Administration.

HB 1383 – Prohibits an insurer from excluding coverage solely because the subject of the risk or the policyholder’s address is located in a certain geographic area of the State.

Some of these bills should look familiar. We've mentioned many of them in past Circus posts, while they were in hearing. Now we're following them as they cross from the Senate to the House, or vice versa.

Session Scoop: This Week at the Circus - March 19 - 23



All good circus events include a loud vendor circulating in the stands.  This week committee chairs take the place of hot dog vendors, but the cry of the week is not about “red hots” (or hot dogs for the uninitiated, and frankfurters for you New Yorkers), it’s about votes.  “Votes, get your votes here” will be heard all week.



"They call me Red Hot.
This is my brother, Frank."



That’s because Tuesday (the first day of Spring) is “Committee Reporting Courtesy Date.”  Committees will try to vote on dozens of accumulated bills this week.  It is a courtesy date because next week, on Monday, is “Opposite Chamber Bill Crossover date.”  If bills are passed out of a committee after march 26^th , they are not guaranteed a vote in the other chamber.

Bills that the Scoop will watch for votes include SB 82 (raising the Uninsured Division limits), SB 406 (changing the time for submitting an Uninsured Division claim), SB 1006 (changing MAIF’s commission structure), HB 472 (creating a lead paint injury compensation fund), HB 149 (motor scooters - the House counterpart to SB309), and HB 1180 (enhanced insurance company reports to the MVA).

As late as it is in session, there are still bills being heard.  Here's what we've been keeping an eye on this week:

SB 1027: Waiver of Mandatory Deductible- This bill would require insurance companies to waive the $250 mandatory deduction if the insured is receiving disability payments from State or federal government or from a pension plan and they file a claim under the uninsured motorist coverage of their policy.

SB 960- Unfair Claim Settlement Practices – Refusal to Pay a Claim- This alters the wording of the current definition of “unfair claim settlement practice.” Often, homeowner’s insurance claims are denied based on the report of an expert, regardless of the homeowner’s ability to provide additional information to support their claim. This bill would require an insurer to consider all information provided in making a decision on a claim, even if it contradicts the expert’s report.

SB 256/HB876- Commercial Policies – Notices of Premium Increase- This bill exempts insurers from issuing a notice of a policy premium renewal at least 45 days prior to the policy’s renewal date if the renewal policy premium is greater than $500 and increases by 5% or less.

And of course, the budget is still out there. This week, the House will debate budget bills.

After this week, there's just two full weeks of Session 2012 remaining, before it adjourns on April 9. It's going to get wild.

This Week at the Circus: March 12 - 16



This way to Annapolis!

With only four weeks remaining, the pace is picking up at the Assembly. This week, the full Senate will pass a budget (still no gas tax) and send it over to the House for consideration.

Freed of the budget issue, watch as the Senate unveils its yearly version of a clown car. It will be amazing just how many bills will escape committee this week and perform on the Senate floor starting next week.

In preparation for that show, the Scoop will be in committee hearings watching to see just how many bills make it into that car. Among the bigger issues...

SB 732- Low-cost Automobile Insurance/Prince Georges County: This bill would create a Low-Cost Insurance Program in Prince Georges County and would require MAIF to create a new, low-cost policy in order to insure those residents who apply and qualify.

SB1006- MAIF Producer Commissions: This bill will allow MAIF to determine a commission between 10% and 15% to be paid to the Producers who sell MAIF policies. Currently, the maximum commission MAIF may pay is 10%.

HB1335- Carrying and Displaying Proof of Insurance: This would require all Maryland drivers to carry proof of insurance with them when operating a vehicle. It would also require all Maryland police officers to demand to see proof of insurance from any driver they detain for a violation.

SB 785- Prohibiting Use of Credit History in Rating Insurance Policies: Insurance providers would no longer be able to take credit history into account when rating someone for insurance. (Note: MAIF does not take credit history into account for this purpose).

SB938- Rescission of Policy or Binder: This would allow an insurance company to cancel a policy, retroactive to its effective date if the check used to pay the initial premium is fraudulent or returned for non-sufficient funds.

In addition to the Senate voting on the budget, the House Budget Appropriations Committee will hold their decision meetings for the budget hearings they held last week.

That's what we'll have our eye on this week...when we're not hanging around State Circle enjoying the amazing weather that's expected over the next several days, that is.

This Week at the Circus: March 5 - 10



We're gonna need a bigger hat.



With only five weeks left in the 2012 legislative session, the Assembly will now try to perform its annual magic trick. Watch in the coming weeks as members make the state's one billion (yes, with a b) structural deficit disappear.

Here's what we'll be watching, in addition to our wallets:

HB1180: MVA Reporting- Requires insurance providers to submit immediate electronic notification of new policies or cancelled policies to the MVA. The current law only requires carries to submit cancellation information and gives a 30 day window. (Note: MAIF already follows this procedure of immediate electronic notification).

HB566: Impound of Vehicle with Lapsed Security (Insurance)- This law would prohibit police from impounding vehicles found to be operated without the required amounts of insurance, as long as the operator could provide evidence that there is, in fact, coverage in force.

HB15: Maryland Medical Marijuana Act- This would make it legal for Maryland residents who have been diagnosed with “debilitating medical conditions” by a certified medical practitioner to use medical marijuana. If this passes, expect an epidemic of glaucoma and post-traumatic stress disorder diagnoses in Maryland.

In addition to HB15, HB1024 would create a Medical Marijuana Commission and HB1158/SB995 would create a Medical Marijuana Oversight Committee.

SB455/HB526: Special Appointments- This law would change the employment status of certain employees with the Maryland Correctional Enterprises and Attorney General Offices, switching them from Special Appointments (at-will) to skilled service (grade and step). It specifies that Assistant Attorney Generals would be Special Appointment.

MAIF’s House Budget Hearing- Already heard by the Senate, MAIF’s Budget will be reviewed by the House this week.

HB784/SB249: Millionaires Tax- Raises the State income tax rate for those making in excess of $1,000,000 per year to 6.25%.

HB1051:  Services Tax- Redefines which services qualify as “taxable services.” Parking Facilities, Tanning and Massage Service…even “Escort Service” (yes, it’s in the bill) all qualify as taxable.

And the most interesting thing on tap this week (unless we lost people back at HB15) is the Creation of State Debt sessions. Each year, both the House and Senate set aside one Saturday to hear “Bond Bills.” These are bills from around the state requesting funding for various projects. This Saturday, the House will hear 90 bills between 9am and 3pm, with one carrying over to Monday, and the Senate will hear 100 bills, with 10 carrying over to Monday’s schedule. These requests range from a new roof for a visitors center, to athletic fields at the University of Maryland, to National Aquarium Infrastructure, to renovation of a Dinosaur Park. Around Annapolis, this day is known as The Beg-a-thon.

And that's what we're keeping an eye on this week.

A Vote of Conscious

The storm clouds hovering over the national political climate today could make even a young Candide pessimistic.

Cable television shows thrive on pitting the extremes of each party against one another.  These debates denigrate into virtual name calling.  Adding to the public’s cynicism is the unfolding reality of strict party line votes in the U. S. House of Representatives and Senate.  Bipartisanship, some say, is on the scrap heap of history.  Legislators divide by party, and march in lock-step in opposite directions, responding only to the cadence of their political leaders.

Happily, these clouds have not yet enveloped our state General Assembly.  In Annapolis, the spectrum of views remains broad, and the leadership is quick to concede that their members are not lemmings.  Instead, leadership in Annapolis means learning how to herd cats.  This rampant individuality was on full display in the vote on HB 438 (The Marriage Equality Act).  Regardless of how you feel on the issue, this was no party line vote.  Those types of votes are labeled “leadership calls,” and they demand strict loyalty from the party ranks.  Despite the importance that both parties leadership placed on The Marriage Equality Act, this was a declared “vote of conscious.”

A vote of conscious frees each individual delegate or senator to vote as they feel compelled to vote – with no recriminations or retaliation from party leadership.  These types of votes recognize that the individual’s compass and their constituent’s views are guiding the outcome, not the cadence of leadership.

It is reassuring that the sun still shines on “votes of conscious” here in Annapolis.  It is a better system because diversity of views is allowed to thrive, and the opinion of the constituents still matter.

This Week at the Circus



The 90-day General Assembly session has passed the halfway point. Potentially divisive issues including legislative redistricting and several bills on social issues dominated the first half, but are now resolved.

This week, the Scoop will be watching carefully as elected Delegates and Senators take on the budget and a host of insurance issues. But don't worry, they aren't working on the gas tax yet (insert your own joke here).

Here's what we're watching this week:

HB 569 / SB 624 - Motor Scooters: This is a bill by the Motor Scooter retailers to defeat efforts to require insurance on scooters.

HB 356 / SB 907 - Rental Vehicles: Making your own policy primary instead of the rental company's policy.

HB 87 / SB 152 - Budget Reconciliation and Financing Act:  Transfer of funds from IWIF to the General Fund/Income tax deduction/Teacher pension subsidy shifts from State to counties/Digital Product Tax Reform (music, books, movies)

HB 1017 / SB 745 - IWIF Reform: Proposing that the Injured Workers Insurance Fund convert from a quasi-State entity to a private insurance company called the Chesapeake Employers' Insurance Company.

In addition to those, MAIF's budget hearing will be held this week.

Then there's the Host of Insurance related Legislation we mentioned earlier, being heard in the the House Economic Matters Committee:
HB 861 - Unfair Claims Practices
HB 876 - Commercial Insurance
HB 1059 - Rescission of Policy or Binder (bad check)
HB 1095 - Discovery of Material Risk Factor (misrepresentation)
HB 1094 / HB 1097 - Fraud language
HB 1105 -Bundling Prohibition (homeowners and auto)

Definitely a busy week on tap down on State Circle.

Session Scoop 2012: Tick Tock

Three minutes.
Plenty of time to testify...

Politicians are universally acclaimed for their ability to talk more and more while saying less and less. For those who don't think that is a good attribute, a visit to the Senate Judicial Committee may, at first blush, warm your heart.



In this committee, which is equipped with high-tech multi-directional microphones and recording devices, and where every Senator has a laptop open in front of them, they have a very low-tech solution for regulating testimony...a seven-dollar kitchen timer.



...and make it back to the microwave
to stir your Mac & Cheese.



The timer is set for three minutes, and conspicuously activated the moment someone is called to testify. By the time that person gets to the podium and says their "thank you's," the time is down to 2:30.



150 seconds later, it beeps and the testimony is done.

One small flaw. The timer is not applied to the politicians. They are allowed to speak as long as they like on a bill which impacts you...you get three minutes to reply.

Imagine that.

Session Scoop 2012: We're Back, Baby



"they're baaaa-aack"



Session Scoop is back on line - a little late due to some personnel changes and an exceptionally busy start to the legislative session. But not to worry, there is plenty of session left, as Annapolis entertains the state legislators until midnight, April 9.

As always, Session Scoop will focus on insurance and driver safety issues. But we'll try to once again provide you with an unique view of the ways of "Inside Annapolis." We are aiming for at least two entries every week, sometimes more. So check back frequently.

This week, you will see posts on issues surrounding older drivers, as well as the state-of-the-art technology...ten-dollar digital kitchen timer...used by the Senate Judicial Proceedings Committee.

As always, we are interested in what you are interested in; so let us know.