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During the session interim, the Legislative Hotline will be distributed monthly. In addition to state issues, we will include relevant information on federal and local affairs. The Legislative Hotline will return to a weekly distribution when Session resumes in January of 2006.

To view the legislative information below, click on the subject of interest to go directly to that area or scroll down to view the entire document.

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FEDERAL
Stem Cell Debate Stalls in U.S. Senate
HEA Reauthorization
Patient Safety
Bush Administration Proposed Medicaid Cuts

STATE
New Director of State Government Affairs
Solutions for America

Local
Current Residents in the EBDI footprint
Residential Development--Projected Phase 1 Program
855 N. Wolfe Street/First Life Sciences Building
EBDI Educational Initiative
East Baltimore Workforce Pipeline Initiative

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STAFF CONTACT INFORMATION

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FEDERAL ISSUES

Stem Cell Debate Stalls in U.S. Senate

Despite an understanding that a vote on stem cell legislation would take place in the Senate prior to the annual August recess, Congress adjourned without a vote. Supporters of HR 810, which passed the House in May and would permit federal funding to be used for stem cell lines derived from discarded IVF embryos, had hoped for a "clean vote" (without amendment) on the bill. In order for that to occur in the Senate, a unanimous consent agreement must be obtained to avoid post-cloture germane amendments. Discussions on such an agreement centered on the package of bills related to stem cell research. Opponents of embryonic stem cell research sought to include a number of bills addressing both human cloning and somatic cell nuclear transfer, as well as so-called chimeras. As the clock ticked down toward adjournment, representatives from both sides of the debate objected to the inclusion of various bills, and it became clear that no agreement would be reached.

However, on the last day of Session, Senate Majority Leader Bill Frist took to the floor of the Senate to address his views on stem cell research. In doing so, he indicated his general support for HR 810, but said he had concerns regarding the details. He also indicated that he would continue to work on an agreement that would bring this bill, as well as competing measures, to the floor of the Senate for a vote. It is our understanding that Senator Frist has used this recess period to consult with stem cell researchers around the country.

It is expected that a vote on stem cell legislation will occur. In the near-term, however, that may not be likely as the Senate is compelled to turn its attention toward the confirmation of the Supreme Court nominee. It is important to note that two of the most vocal champions of embryonic stem cell research in the Senate, Arlen Specter and Orin Hatch, will be heavily involved in the confirmation. Specter chairs the Senate Judicary Committee, and Hatch is the former chairman and has also been very active in confirmation debates in the past.

HEA Reauthorization

After several years of delay and a marathon mark-up that lasted three days, the House Committee on Education and Workforce approved its Higher Education Act reauthorization bill (HR 609). The bill is much improved from its original version, yet the higher education committee still has several serious concerns. The measure as reported by the committee eliminates some of the more objectionable features to universities in areas such as accreditation, transfer of credit, academic diversity, and reporting requirements. However, the bill continues to involve the federal government in pricing decisions.

Changes made to Title IV financial aid programs included changes to the Pell program and many loan programs. The Pell Grant authorization level is increased by $200, annual borrowing limits for federal student loans are increased, the variable rate is maintained on non-consolidated loans, and students have a choice between variable or fixed interest rates on consolidated loans. Scholarships were extended in professions of national need such as math and science and the Perkins Loan program was continued.

In particular, Johns Hopkins advocated loan flexibility for our undergraduate and graduate students, including extension of the "experimental sites" designation, which gives our admissions office and students regulatory relief as well as savings. Congressman Chris Van Hollen (D-MD), a member of the committee, offered the amendment, which continued the experimental sites through the Department of Education.

Patient Safety

On July 29, 2005, President Bush signed the Patient Safety and Quality Improvement Act of 2005, sponsored by Senator James Jeffords (I-VT). The bill includes numerous provisions regarding the certification of patient safety organizations (PSOs), and the collection and reporting of patient safety data voluntarily submitted by health care providers. It also imposes civil monetary penalties for violation of patient privacy protections. The Congressional Budget Office (CBO) estimates that implementation of this bill will cost $58 million over the FY 2006-2010 time period. In addition, CBO projects annual monetary fines of $500,000.

The bill defines "patient safety work product" as any data, reports, records, memoranda, analyses, and written/oral statements assembled or developed by a provider for reporting to a PSO or produced by a PSO. The patient safety work product does not include a patient's medical record, billing and discharge information, or any other part of an original patient/provider record. A patient safety work product shall be privileged and is not subject to federal, state, or local civil, criminal, or administrative proceedings against a provider. However, a court may make a determination in a criminal proceeding that the patient safety work product includes information related to a criminal act and may require the disclosure of the information if it is not available from any other source.

The patient safety work product is confidential and shall not be disclosed. However, this restriction does not apply to efforts to carry out patient safety activities and the disclosure of non-identifiable patient safety work products. An employer may not take adverse action against an individual based upon the fact that in good faith the employee reported information to a patient safety organization.

The penalty for violating the confidentiality of patient information shall not be more than $10,000 for each violation. However, the penalty can be imposed in addition to a penalty under the Health Insurance Portability and Accountability Act (HIPAA). Finally, the Secretary shall facilitate the creation of and maintenance of a network of patient safety databases that will provide an interactive evidence-based management resource for providers, patient safety organizations, and other entities.

Bush Administration Proposed Medicaid Cuts

As the federal Medicaid Commission, which includes Maryland's Health Secretary Tony McCann, examines how to reduce the federal Medicaid budget by $10 billion over the next five years as required by the FY 2006 budget resolution, the Bush Administration introduced a package of legislative changes identifying how it plans to reduce spending. The package includes:

• efforts to limit "intergovernmental transfers" or ways states shuffle federal Medicaid money to maximize their federal matching dollars
  
• reducing payments for outpatient drugs
  
• reducing case management costs
  
• reducing administrative overhead
  
• tightening rules on asset transfers which allow wealthier seniors to qualify for Medicaid coverage for nursing home care

Earlier this summer, the National Governors Association (NGA) and members of Congress refused to participate in the Medicaid Commission, resulting in much doubt about whether its findings would carry weight with the Administration or Congress. The commission met for the first time late last month and is expected to complete its recommendations by September 1, 2005.

It should be noted that the Administration's proposal does not call for giving states greater flexibility in designing their Medicaid benefits, which could allow states to increase co-payments or premiums. NGA endorsed the idea, but critics contend it would reduce access to care and result in a back-door reduction to providers. In addition, NGA opposed cracking down on intergovernmental transfers, trimming administrative costs, and reducing funding for case management because these efforts would result in higher patient care costs.

STATE ISSUES

New Director of State Government Affairs

Johns Hopkins Institutions welcomes the newest edition to the State Lobbying team, Tom Lewis as the Director of State Government Affairs. Tom brings with him an extensive background in State politics and is widely respected in Annapolis circles. He has worked in State government since 1983 and for the past 11 years served as Chief of Staff to two House Speakers, former Speaker Casper R. Taylor and current Speaker Michael E. Busch. If you have a moment please stop by Government, Community, and Public Affairs to welcome Tom aboard, or feel free to contact him at (443) 287-9900.

Solutions for America

Johns Hopkins, in conjunction with the Maryland Independent College and University Association (MICUA), hosted a meeting on Wednesday, July 13, at Johns Hopkins's office of Government, Community and Public Affairs to learn more about the Solutions for America project and discuss Maryland's involvement. Coordinated by the American Council on Education (ACE), Solutions for America is a nationwide effort to develop a compelling message in support of higher education and to communicate the vital importance of public funds for higher education institutions and their students.

Working with national and local partners, ACE intends to launch a national media campaign this fall. The current timeline calls for television spots for the fall 2005 NCAA football season. In addition, ACE will work with local partners to develop materials and systems to support a grassroots campaign.

Because of its collaborative and effective system of public and private higher education institutions, Maryland was selected by the American Council on Education as a pilot state to launch Solutions for America. Over 60 representatives from 29 public and private Maryland higher education institutions attended the July 13 meeting, including Linda Robertson, Vice President for Government, Community, and Public Affairs at Johns Hopkins Institutions; Tina Bjarekull, President of MICUA; Brit Kirwan, Chancellor of the University System of Maryland; and H. Clay Whitlow, Executive Director of the Maryland Association of Community Colleges.

The group agreed to work together to further develop an executive-level steering committee for the Maryland campaign and support the national initiative. Johns Hopkins, as a significant beneficiary of the State's support, will continue to play an integral role in the launching of this initiative.

LOCAL ISSUES

Current Residents in the EBDI footprint

To date, the relocation process is proceeding as expected. About 220 of the 376 households in Phase 1 have been relocated. All 376 Phase 1 household relocations are scheduled to be completed by the end of calendar year 2005. EBDI staff will continue to work with relocated families for three years after their relocation.

In addition to relocation benefits toward a new home, both relocated homeowners and renters have the first right of opportunity to return to the revitalized East Baltimore community once the housing is complete. Incentives for relocated households to return to the new community range from $2,500 for renters to $5,000 for homeowners. These incentives are in addition to their initial relocation benefits.

Relocated families have moved to various neighborhoods in the City. The majority of families have relocated to the eastern neighborhoods of Cedonia-Frankford, Belair-Edison, Hamilton, Harford-Echodale, and Patterson Park. Ten households have relocated to Baltimore County.

Residential Development--Projected Phase 1 Program

The lead developer of the residential portion of the project, Forest City, has pledged to deliver at a minimum the first 300 housing units by August 2007. It is important to note that the projection is for one-third low income (as defined as 50% or less of area median income), one-third workforce, and one-third market rate housing.

855 N. Wolfe Street/First Life Sciences Building

Both the construction design process and demolition are proceeding on track. Sheeting, shoring and excavation began at the beginning of August. Foundation work is scheduled to begin October 2005 with steel erection commencing January 2006. If the project stays on schedule the facility should be completed and occupied by August 2007.

EBDI Educational Initiative

While it is not scheduled to be in Phase 1 of the project, a community campus in the revitalized community is planned. To that end, a pilot program is scheduled to begin in 2006, although a facility will not be ready for at least three years. The vision is for a new, state-of-the-art community campus that is home to a model pre-K-through-8 school. Also included is a community center active beyond the school day, offering recreational and cultural activities as well as an array of adult education and public health services that will enrich the entire community.

East Baltimore Workforce Pipeline Initiative

The Casey/Hopkins/EBDI Partnership is working on developing moderate-term and long-term initiatives to link East Baltimore residents to jobs in the areas of health care, hospitality, and construction, in addition to general skill building. EBDI is also operating a number of immediate-term initiatives to draw upon the already skilled workforce in the East Baltimore community.

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STAFF CONTACT INFORMATION
Please contact the Government Relations staff if you would like additional information. Your input assists us greatly in evaluating and formulating the position of Johns Hopkins on all legislation.

Government, Community, and Public Affairs
Johns Hopkins Institutions
901 S. Bond Street, Suite 540
Baltimore, MD 21231
phone 443-287-9900
fax 443-287-9898

FEDERAL
Beth Felder	bfelder@jhu.edu
Jim Kaufman	jkaufma@jhmi.edu
Maggie McIntosh	mmcintosh@jhu.edu
STATE
Heather Barthel	hbarthel@jhmi.edu
Sheila Higdon	shigdon@jhmi.edu
Tom Lewis	tomlewis@jhu.edu
Bret Schreiber	bschreiber@jhu.edu
LOCAL
Deidra Bishop	dbishop@jhu.edu
Joseph Smith	josephsmith@jhu.edu
Staff
Mickey Geisler	mgeisler@jhu.edu
Cathy Ximenez	cximenez@jhmi.edu