2013 LEGISLATIVE ISSUES/AGENDA

BEACH RENOURISHMENT

• Maintain federal role in prioritizing funding for Beach Nourishment and Shore Protection Programs.
• Fully Reimburse Broward County for Federal Share of all outstanding projects with an unpaid federal share.
• Lift Statutory Restrictions on Funds for Acquisition of Non-Domestic Sand for Re-nourishment.

ENERGY

• Permit streamlining for oil, gas, wind, solar and other forms of technology
• Parity for existing incentives amongst various energy technologies
• Encouraging policy makers and regulators to promote stability and certainty for the energy industry
• Solar is a vital part of America’s growing energy portfolio, while creating nearly 120,000 jobs nationwide. The Department of Energy’s recent report, Revolution Now – The Future Arrives for Four Clean Energy Technologies, highlights how solar developments, including those in wind and other clean air technologies, continue to stimulate energy transformation and reduce costs through well-designed investments in research and development (R&D)

FEDERAL TAXATION

• Lower Corporate Tax Rate
  Reducing the corporate tax rate to 25 percent or lower would make the United States’ tax system more competitive with our major trading partners.

• Lower Taxes for Flow-Through Businesses
  Almost 70 percent of manufacturers are organized as “flow-through” entities. A new system should not increase the tax burden on these businesses to pay for other tax reform measures.

• Permanent R&D Incentives
  It is critical that any tax reform plan recognize the important role of research and technology investment in the growth of U.S. jobs and innovation. R&D incentives should be incorporated in the tax on a permanent basis.

• Taxation of Investment
  An effective way to spur business investment and make the tax system more competitive is through robust capital cost recovery. The cost capital investments should be recovered in the year made.

• The Medical Device Excise Tax
  As part of health care reform, Congress passed a 2.3% excise tax on most types of medical devices which took effect January 1, 2013. The excise tax will adversely impact innovation and R&D investment for all medical technology companies, and disproportionately impact small-to-midsize companies, which drive innovation, scientific discovery and job growth.

CHARITABLE TAX DEDUCTIONS

Congress is threatening to eliminate the charitable deduction as we know it — at the expense of millions of people in need. Specifically, lawmakers on both sides of the aisle are talking about imposing a cap or limit on the value of the charitable tax deduction as part of a bigger effort to raise additional revenue and/or “simplify” the tax code.

The charitable deduction is a unique element of the federal tax code that encourages Americans to selflessly invest in their communities. Capping or limiting the deduction is not the solution to current budget concerns.

Philanthropy spurs innovation, aids the most vulnerable, provides relief in crises, supports education and health, advances cures and scientific breakthroughs, enhances the arts, and makes investments that fuel economic growth. For every $1 a donor receives in tax relief, communities garner as much as $3 in benefits. It is highly unlikely government could find a more effective way to leverage private investment in vital community services.

The charitable deduction works. It encourages Americans to give a portion of their income to charitable causes without getting anything back, benefiting communities across the country as well as the larger economy. In many cases, donors also experience a sense of well-being from helping. Limiting or capping the deduction will reduce charitable giving, which will hurt Americans most in need. Nonprofits already struggling to balance increased demands for services with reduced income need more support, not less.

We are actively reaching out to members of Congress and encouraging them to preserve the charitable deduction so as to ensure a thriving charitable sector that has adequate resources to address needs in our communities and invest in the mounting challenges confronting society.

Here are a few statistics: nonprofit organizations put $1.1 trillion into the economy every year in the form of human services; 1 in 10 Americans work for a nonprofit, and the sector accounts for 13.7 million jobs; and a significant majority of Americans (67 percent) are opposed to capping or limiting the charitable deductions, while 62 percent say they would likely reduce their charitable giving by a significant amount (25 percent or more) if the deduction is capped or limited.

The message is clear: Americans want to protect the charitable deduction. We urge Congress to maintain the deduction in its current form and protect the critical role philanthropy plays in strengthening our economy and communities.

HEALTHCARE

• Support initiatives to fully implement the affordable care act to cover all Uninsured Floridians – The Florida Legislature must readdress the opportunity to insure 1 million Floridians between 100-138% of the federal poverty line, many of whom are hard-working people still unable to afford health insurance.
• Protect Medicaid and Medicare funding –Florida’s providers’ Medicaid and Medicare funding continues to be cut year after year at a Federal and State level.  Congress is urged to protect Medicaid and Medicare funding as they find ways to address the budget issues.
• Encourage Congress to revisit cuts made to the Medicaid Disproportionate Share (DSH) Hospital Payment – The Supreme Court ruling effectively made Medicaid coverage in the ACA voluntary for States. Since Florida has not expanded eligibility, high levels of uninsured remain.
• Continue & Renew Florida’s Low Income Pool Program and increase the $1 billion cap to be more on par with similar state programs – These funds have been used to compensate for high levels of low income and unfunded patients and are needed until these people have insurance.
• Support funding for Graduate Medical & Nursing Educational Programs – Increases in the population having health insurance, there will be more people seeking medical care. There remains a shortage of physicians in primary care specialties and nurses with advanced degrees. Federal funding for qualified institutions and students needs to be increased.
• We need to increase the number of Residency slots available for doctors in South Florida – Although Florida has an ample number of medical schools, there aren’t enough residency slots available to keep the graduates here. Federal funds need to be allocated with a formula which is based on the state’s growing population.

HIGHER EDUCATION

• Pell Grant Funding
  Do not reduce or eliminate certain elements of the Pell Grant Funding to students who choose to take online courses.

• In-State Tuition Eligibility
  Allow individuals who were brought to the United States when they were babies or young children and have lived here all their lives to be eligible for in-state tuition rates.

• State Authorization Requirements & Credit Hour Definition
  Support efforts to repeal the federally imposed state authorization requirements and credit hour definition.

• Graduate Medical Education
  Support efforts to address the severe physician shortage in the United States by increasing the number of federally supported GME training positions in Florida.

PORT EVERGLADES ISSUES

U.S. Army Corps of Engineers’ (ACOE)
Deepening and widening the navigation channels at Port Everglades (PEV)
The Panama Canal expansion will double canal capacity by 2015 and allow for the transit of larger and wider vessels, with a 160 foot beam, 1200 foot LOA and 50 foot of draft. The Port Everglades Pilots Association view the larger ships from the perspective of navigation safety and endorse the need to widen the Port’s Entrance Channel so that huge cruise ships and lightly loaded Post Panamax vessels coming to Port Everglades from Europe, the Mediterranean and South America, can safely enter the port. Currently post-Panamax ships, those too wide to fit through today’s Panama Canal, account for 16 percent of the world’s container fleet. In the 15 years following the opening of the Panama Canal they are expected to make up 27 percent of the world’s container fleet, and account for 62 percent of the fleet’s capacity. It is clear that those ports that are readied to handle the larger ships will reap the most benefits, and these benefits will translate into more cargo at the terminal as well as in more jobs related to the handling and distribution of the cargo, as well as other business related transactions.

U.S. Customs and Border Protection (CBP)
Radiation Portal Monitors (RPM) Full Funding (PEV)
Port Everglades has been told that we must pay for most of the federally mandated Radiation Portal Monitors (RPM) infrastructure and for future maintenance of the RPM’s at our new FEC Intermodal Container Transfer Facility (ICTF), as well as potentially assume responsibility for maintenance and replacement of the existing CBP RPM equipment. When the RPM program started, the federal government spent $623 million for 1,459 Radiation Monitoring Portals (RPMs) at every port of entry. The lifecycle of many of these RPMs is coming to an end (2015) at the same time as increasing global trade is requiring ports, like ours, to expand, and additional, relocated and replaced RPMs will need to be funded. The current 2013 fiscal year federal funding level of $94 million, to be divided among the major U.S. ports, means the major financial burden for additional federally mandated port security and the maintenance of in-place federally mandated port security infrastructure is being shouldered by the ports themselves.  Our economy, our safety, and our national defense depend largely on how well we can construct and maintain a security infrastructure at our ports. DHS, not individual ports, must assess budget needs for replacement, installation and maintenance of RPMs for these federal mandated security features, and secure the full funding for same.

U.S. Department of Agriculture (USDA)
Agricultural Quarantine Inspection Station Funded construction and staffing (PEV & FLL)
Port Everglades, based on the volume of our produce imports, should have a Broward County fully staffed Agricultural Quarantine Inspection Station. The USDA runs the Animal and Plant Health Inspection Service (APHIS) which defends America’s animal and plant resources from imported agricultural pests and diseases. Produce currently imported to Port Everglades – (approx. 35% of all imported containerized tonnage at the Port) is more than double the volume of PortMiami’s produce imports. The Agricultural Quarantine Inspection Station is located in Miami.

U.S. Department of Agriculture (USDA) Fresh Perishables Pilot Program
Support pilot and expand trade in perishables (PEV)
A pilot program to bring fresh grapes and blueberries from Peru and Uruguay into Port Everglades and PortMiami will begin in October 2013. Currently, due to decades-old regulations, grapes, blueberries and other fresh perishables are first brought into the United States through North Atlantic seaports (usually Philadelphia) that have cooler climates and shipped by rail or truck down to southern states. Shipping directly to South Florida would shave off nearly six days at sea plus trucking time, saving approx. $4,000 per container — which is approximately 10 percent of the current cost for delivery of perishables in South Florida. If successful, the program could be expanded to include additional cold-treated perishables. Port Everglades supports the pilot and recognizes it is a critical step towards expanding trade in perishables through Florida’s seaports.

SAFETY AND SECURITY

Port Everglades by the Numbers
2013 Port of the Year- a world wide international honor conferred by Seatrade Insider.

#1 seaport in Florida by revenue – $143 million

#1 container port in Florida (#12 in U.S.) by volume – 930,000 TEUs in CY2012

#1 port for exports in Florida – $14 billion

#2 Foreign-Trade Zone (for exports) in the U.S.

#2 petroleum port in Florida –104.8 million barrels

#3 cruise port in the world – 3.7 million multi-day passengers

$0 Broward County tax revenue used to support seaport operations, maintenance, or capital improvements.

Fort Lauderdale-Hollywood International Airport by the Numbers
# 3 fastest growing airport since 2000

#21 busiest airport (in terms of passenger traffic in 2012) in the US

#13 in domestic origin and destination passengers

# 15 busiest international air gateway.

60 U.S. cities and 36 international cities have nonstop flights

2 mile ride to Port Everglades for cruise passengers

23 million passengers annually

$10 billion dollars in economic activity in 2012

$0 Broward County tax revenue used to support airport operations, maintenance, or capital improvements.

U.S. Customs and Border Protection (CBP)
Increased staffing levels and permanent funding (PEV & FLL)
U.S. Customs and Border Protection (CBP) enforce the import and export laws and regulations of the U.S. federal government and conducts immigration policy and programs. Fort Lauderdale-Hollywood International Airport (FLL) is the fastest growing airport in the U.S., yet FLL is one of the largest airports not to have 24/7 utilization of its CBP processing facility. In order to keep pace with existing need (not projected growth) FLL needs 24/7 CBP service. The major existing level of cargo and cruise activities (not considering projected growth) at Port Everglades requires increases to the CBP budget and authorized headcount. CBP should not be permitted to obligate sponsors (FLL) to be responsible for undetermined future operating expenses, over which the sponsor has no say, nor control of such expenses.

U.S. Customs and Border Protection (CBP)
Radiation Portal Monitors (RPM) Full Funding (PEV)
Port Everglades has been told that we must pay for most of the federally mandated Radiation Portal Monitors (RPM) infrastructure and for future maintenance of the RPM’s at our new FEC Intermodal Container Transfer Facility (ICTF), as well as potentially assume responsibility for maintenance and replacement of the existing CBP RPM equipment. When the RPM program started, the federal government spent $623 million for 1,459 Radiation Monitoring Portals (RPMs) at every port of entry. The lifecycle of many of these RPMs is coming to an end (2015) at the same time as increasing global trade is requiring ports, like ours, to expand, and additional, relocated and replaced RPMs will need to be funded. The current 2013 fiscal year federal funding level of $94 million, to be divided among the major U.S. ports, means the major financial burden for additional federally mandated port security and the maintenance of in-place federally mandated port security infrastructure is being shouldered by the ports themselves. Our economy, our safety, and our national defense depend largely on how well we can construct and maintain a security infrastructure at our ports. DHS, not individual ports, must assess budget needs for replacement, installation and maintenance of RPMs for these federal mandated security features, and secure the full funding for same.

U.S. Customs and Border Protection (CBP)
CBP should not be permitted to obligate sponsors (FLL) to be responsible for undetermined future operating expenses, over which the sponsor has no say, nor control of such expenses.

Transportation Security Administration (TSA), Department of Homeland Security (DHS),
TSA’s Electronic Baggage Screening Program (EBSP) full funding (FLL)
A significant amount of airport infrastructure modification and construction is required for mandated optimal baggage screening systems (EBSP) designed to replacing aging machines. The cost for these mandated airport security enhancements and infrastructure improvements at FLL is estimated to be $130 million dollars. In the past TSA entered into reimbursable agreements through which it generally funded 90 percent of the costs of modifying airports for the installation of an optimal system, with airports or airlines funding the remaining 10 percent of the projects’ cost. GAO has reduced TSA funding to 75%.

Transportation Security Administration (TSA)
Staffing and/or technology full funding (FLL)
Transportation Security Administration (TSA) no longer wants the responsibility for security of checkpoint exit lanes, yet such security is required, FLL supports TSA required staffing of checkpoint exit lanes or full funding to implement technology based alternatives.

SEQUESTRATION

Urge Congress and the administration to work together to craft a bipartisan balanced deficit reduction plan that replaces the sequester cuts and preserves the life-saving research funded by the National Institutes of Health and other federal research funding agencies.

TRANSPORTATION ISSUES

1. Public transportation funding
   • Complete funding for The Wave modern streetcar ($50 million – upcoming Major Capital Investment Small Starts application)
   • Help defray additional cost to Broward cities for quiet zone safety features on the All Aboard Florida intercity passenger rail. ($2 million)
   • Unfunded Multimodal Surface Transportation Priorities:

Rank	Capital	Annual O&M
Top 10	$1,613,176,000	$35,837,000
Top 15	$2,176,186,000	$45,778,000
Top 20	$2,247,358,000	$50,204,000
All	$4,098,938,000	$84,928,000

 

2. Allow flexibility in the use urban transit funds to support transit O&M
   • Does not require additional federal funding
   • Lessens regulatory burden
   • Encourages local agencies to optimize the balance between size and sustainability
   • County, SFRTA, MPO and State would likely support this effort
3. Allow flexible use of Federal Aid funds for “off-system” roadways that connect with Federal Highway System
   • Does not require additional funding
   • Lessens regulatory burden
   • Helps build the “last mile” to promote economic development