Ed's Notes

            This week of May 20 has been dominated by the horrendous tornado damage in the Oklahoma City area and Moore in particular.  Legislators and staff hunkered down in the Capitol basement during this weather crisis.  Now that the loss of life and property damage is being assessed, it is hoped that the state’s leaders will set aside any political posturing and address the needs of our harmed communities and families.   

            I was honored by the McIntosh County Retired Educator’s Association nominating me to be named as the Oklahoma Retired Educators Association “Friend of Retired Educators” award.  The OREA made this nomination official during their Annual State Conference on May 17 in Tulsa.  In part, this was based on my commitment to keep this county group informed of legislation being considered at the Capitol.  I truly enjoy attending their monthly meetings, as well as, those held in Muskogee, Leflore, Sequoyah, and Pittsburg Counties.  It is inspiring to experience their commitment to improving education in our state even after they have retired from their formal duties.   Folks like these are what keep legislators such as myself motivated to fight battles even though the odds are against us.

            Several of my constituents have made contact with me recently concerning the Corps of Engineers failure to open various area camp sites and boat dock facilities.  My first approach was to contact the Corps offices and was told that since they are a federal agency under the Defense Department, DOD, they have had their funding cut back due to failure of Congress to come up with a budget plan that would reduce the federal budget deficit.  As a result of this failure, the federal government has put into place a budget reduction plan called the Sequester.  Therein lies the problem because the DOD has shifted the cuts to the Corps and the Corps has shifted it to certain camp grounds.  Here is the catch—when I contacted our Congressman’s office, I was told by his staff that this was out of their hands.  Well, my thoughts and response was that Congress found funds to reopen the Sequester closed airports when they wanted to fly out of Washington DC for spring break.  You’ve got it!!  They found the money to open them so they could head out of town.  I realize those wanting to use our local campgrounds for which many have made reunion plans are merely common folks, but surely their vacation and relaxation needs are equal to the members of Congress.  We might add that the cost of camping out is insignificant to the cost of flying all over the nation for their time away from work.

            On a positive note, I co-authored House Bill 1418 with other Democrat and Republican legislators in a demonstration of commitment to those who attend and are part of our area Senior Citizen Nutrition Centers.  Specifically, this bill requires the Department of Human Services to develop rules authorizing the patrons of these centers to be allowed to take home leftover food.  They are also encouraged to seek ways to receive, for distribution to their patrons, donated packaged or nonperishable food as well as natural fresh foods such as fruits and vegetables with no requirements for it to provide overnight storage.  When the legislature is not in session, I attempt to visit these centers and have come to appreciate everyone who works at them, serving our senior citizen members residing in more than ten different communities in District 15.    

            I have often stated that the strength of a society can be measured by their ability to survive the level of hypocrisy demonstrated by their leaders.  Well this session of the 54^th Legislature should provide a great test for the citizens of this state’s ability to remain intact as a result of the leadership’s policies.  Specifically, I am referring to their claims to be committed to “shrink” government by reducing the amount of revenue it has available from which to operate.  We were asked to pass another income tax cut which will have a serious impact on just the top 5 percent of the population.   At the same time we are asked to increase fees on core services provided by the state which impacts our middle income citizens.     My research shows that state revenue from fees, permits and licenses have increased from $403.4 million in 2011 to $597.5 million in 2012.   As one studies this, it is evident that our state services are being paid for by our state’s middle class citizenry.  Not only does this figure demonstrate a lack equity, but it also indicates that our state leaders have acquired a pattern of dependency on our middle income citizens to provide funds for our state’s core services while those in the top income brackets are given a relatively  free pass.                    

 If you would like to have my weekly Notes sent to by email each week, please contact me at the address below.  If you wish to contact me please utilize any of the following: PO Box 98, Porum, OK  74455, by email at ed.cannaday@okhouse.gov , home phone: 918 484 5701, cell: 918 448 5702 or  Legislative Assistant, Gene Fowler, at 1 800 522 8502 or 405 557 7375 and fax 405 962 7624 at the Capitol. Web Site http://www.edcannaday.com  Ed Cannaday

            I was especially pleased to join Senator Boggs in co-authoring HB 1759 which is a bridge and highway naming legislation.  Specifically, it authorizes the “Bridge over Snake Creek on State Highway 9 just west of Stigler shall be designated as the ‘Cost of Freedom Memorial Bridge’.”   This legislation was influenced by our local Haskell County VFW and several community members as we attempted to find a title that would reflect the sacrifices made by our combat veterans.

            As we move toward the end of the first session of the 54^th Legislature, the state’s budget has still not come out from behind closed doors.  The Republican leaders are keeping the Democrats and most of their own Party members out of the decision making process.   As a result of this secrecy, our state agencies are operating without any sense of direction that will be impacted by their 2013/14 revenue available in this budget.   We hear that the Rainy Day Fund is full and that there will be money allocated for fixing and remodeling parts of the Capitol.  In addition we hear that we will see an income tax cut that may not go into effect until 2015.  There have been pay raise bills for several agencies within the Department of Public Safety and Department of Corrections, but that bill has had Senate amendments removed and it will go to a Joint Conference Committee where we do not know about its future.  It is rumored that its cost would have been over $24.5 million annually.

This year the budget ideas began with ideas of factoring in the Department of Education’s estimated $200 million requested to implement reforms was combined with higher educations request for close to $100 million increase was factored in on top of the Department of Human Services $80 million increase. However all of these agencies were living in a fantasy world of hopes and dreams.  The actual budget outline that we received shows a total of $287 million increases.  Therefore, we see that Common Education is receiving only a $74 million increase.  While this sounds generous, it fails to factor in a potential loss of $50 to $100 million due to SQ 766 or the loss of ad valorem intangibles that will be factored in June.  This loss will very likely send our schools back to 2009 funding levels, failing to consider the 30% increase in student enrollment during that time.

            House Speaker Shannon, R. Lawton, stated that he, the Governor, Senate President Pro Tem of the Senate  and the Chairmen or Vice Chairmen of Appropriations of each Chamber have met at least once a week to go over the budget.  They must have been sworn to secrecy because none of their efforts have become part of a discussion by the rest of the state government.  Perhaps Rep. Mike Reynolds,  Republican from Oklahoma City captured it best when he stated, “You’re not even here to push a button, I guess.  I don’t know why you’re here.   I don’t know why any of us are here, because leadership has already decided.”  I share his frustration as we realize that the funding of our core services of state agencies are at the mercy of the secret meetings without the voices of the elected members having any input other than a yes or no vote on the final budget product.

            One issue that demonstrates confusion on the legislative process is that we are voting on the Senate Amendment to House Bill 2032 that would create .25% decrease in income tax in 2015.  My concern is that we are voting on this before we even look at our budget for this year.  We are years behind on pay increases for state employees and they are asking why are we ignoring their needs and attempting to pass legislation that will only give state employees  a $20 to $80 tax cut per year.  Of course the state leaders say that this will stimulate our economy so that we will increase our business activity and therefore income tax revenue. Wow!! I can just visualize our local economy growing as these folks spend this enormous annual tax cut bonus.   That won’t even take a family of four out to eat and leave a moderate tip.  The question is that if it does not work and no increase in revenue occurs how do you recover this misjudgment?  It will take a super majority vote by both House and Senate of three-fourths majority to return the tax to previous levels.  In some ways my experience this year on the budget makes me feel that I am not being able to represent my constituents and their concerns.  This view has been expressed by all Democrats and those Republicans who are not in the four specific leadership positions.  If this is the case, then the citizens of this state are not having a voice in the current and future direction of this state.  In other words, we are merely pretending to govern much like I might pretend with my grandchildren in various childhood activities attempting to demonstrate adult responsible behavior while knowing that it is just “pretend.”

             If you would like to have my weekly Notes sent to by email each week, please contact me at the address below.  If you wish to contact me please utilize any of the following: PO Box 98, Porum, OK  74455, by email at ed.cannaday@okhouse.gov , home phone: 918 484 5701, cell: 918 448 5702 or  Legislative Assistant, Gene Fowler, at 1 800 522 8502 or 405 557 7375 and fax 405 962 7624 at the Capitol. Web Site http://www.edcannaday.com  Ed Cannaday

             It was good to have lunch and visit with KIBOIS Director Carroll Huggins and staff members Tom Marlatt, Larry Hall, Charla Sloan, Kenny Barnhart and, (my predecessor as Dist. 15 State Rep. Ray Miller).  As a Board Member of this organization, I appreciate the major contributions they make to District 15 and the entire region of eastern Oklahoma. 

            It was a real pleasure to have Lindsey Duvall who is a Senior at Checotah High school as Page this week.  She had the opportunity to hear some very intense debates on income tax, as well as, participate in their own Page debates on drug use and failing to receive unemployment.  As I observed her questioning and debate in their mock session, was so proud of her being my Page.

            I co-authored SB 432 which allows students to use the OHLAP scholarship to pay tuition for certification in post-secondary vocational technical programs offered at technology centers or institutions in the Oklahoma State System of Higher Education.  This program must be identified by the Department of Commerce to qualify for students’  receiving this scholarship award.  This will be a good step in expanding the post-secondary educational opportunities other than traditional higher education options.  

            Another bill that I co-authored was SB965 which expands membership on the Oklahoma Water Resource Board to increase from one member representing four regions identified as Southeast, South Central, East Central and North East Regions  to four members.    As water becomes a greater factor in our economic growth, we must have a greater voice in the area of our state that provides the source of this economic factor.

As I indicated in Journal 23, I would address the US Supreme Court’s hearing arguments concerning the water rights of Oklahoma and Terrant Regional Water District, a water agency that provides water to several metropolitan areas of North and Central Texas.  The reason that this is brought to the highest court in the nation is based on the following.  The US Constitution’s Commerce Clause (Article I,  Sec. 8) generally prohibits a state from blocking the movement of goods across state lines, unless Congress specifies otherwise.  In this case the Supreme Court Justices are considering whether Congress did that in 1980 by ratifying the Red River Compact which took Texas, Oklahoma, Arkansas and Louisiana more that 20 years to negotiate.  The Tulsa World   writers captured the essence of this case when they stated the following;  “ Justices seemed at times perplexed and ultimately worn out by the vagaries of the Red River Compact, which divides the basin into “reaches” and “sub-basins” and allots water among the states in various ways—sometimes with specific reference to state boundaries and sometimes not.”   This appears to be the case as the different sides line up to fight the “good fight” over a very valuable commodity—Water.

 After reading the arguments before the Court, it seems that the Justices will have to resolve the existing conflict between state sovereignty and the precise enforceable authority of the Compact.  In addition, I am of the opinion that the final solution will have to factor in the tribal treaty rights of the Choctaw and Chickasaw before there can be any final resolution to this issue.   We will have to wait until  this summer or fall to find what the Supreme Court decides about this issue. This issue may have been “above the pay grade” of the Justices since they seemed uncertain of the issues and failed to address others that needed addressing.  An example of the latter is they failed to deal with individual property owners’ water rights unless they and the states assume that all water belongs to the state and  must be appropriated to them by a permit.  As a property owner with five (5) ponds on our farm, I do not see the water in them belonging to anyone except the property owner.  If that is not the case, then I would like to have the owner of that water compensate me for the lack of water in them for the last two years.   If I were a betting person, I would wager a sizable amount that the Court will attempt to “wash their hands of this issue” and remit it back to the 10 Circuit Court from which it originally was sent.  If that occurs, I guess you could say that the Court would be  “playing Pontius Pilot” in that maneuver.   If this occurs it would confirm what former Attorney General Larry Derryberry stated in a recent Save Our Water meeting at Eufaula that this issue may not be resolved for several years into the future.  This is somewhat ironic since it took 20 years to create the compact and then possibly 40 years to determine what part if any is enforceable. 

Next week’s Journal will address the “income tax cut plan and budget proposals that have been kept secretively isolated from public view.

If you would like to have my weekly Notes sent to by email each week, please contact me at the address below.  If you wish to contact me please utilize any of the following: PO Box 98, Porum, OK  74455, by email at ed.cannaday@okhouse.gov , home phone: 918 484 5701, cell: 918 448 5702 or  Legislative Assistant, Gene Fowler, at 1 800 522 8502 or 405 557 7375 and fax 405 962 7624 at the Capitol. Web Site http://www.edcannaday.com  Ed Cannaday

            I would start this Journal with a story that impacts numerous members of District 15—public employees and their retirement systems.  This came from a conference call initiated by the Oklahoma Education Association with its members.   The indication that was left is that Governor Fallen and State Treasurer Miller would like to combine all state retirement systems under one administrative agency.  This is supposedly designed to improve the state’s bond rating and cut costs in administering these retirement programs, saving an estimated $50 million.  The second part of the equation is to convert the teachers’ retirement system from “Defined Benefit” to “Defined Contribution.”   This will make those retirees whose system is changed to be dependent on the volatile stock market.  This will take place only after a very intense battle.   I believe that these moves are an example of the proverbial nose of the camel under the tent.  We must be vigilant or we will experience the demise of our retirement systems as we know them.

            As we see educators in our school districts being branded as undeserving of special recognition who should not be rewarded for their efforts to motivate and educate our youth, one should spend time with a National Board Certified Teacher.   I had such an opportunity to visit with Dawn Childress, a recent National Board Certified Teacher teaching at Vian Elementary School.  I found that she is exceptional in many ways.   National Board Teachers have been provided incentive pay for their extra work and newly acquired skills.  However, the funding for this program has been discontinued for newly certified teachers.  It is within this context that I want to brag on Dawn Childress in that she has been certified this year as a National Board Teacher without the hope of any direct financial rewards.   This lack of funding is due to the state’s leaders disregard of the value of this training and positive impact in both the classroom and the school.   For Mrs. Childress to complete this training and bring her skills to the students of Vian is truly impressive. 

I was pleased to join Senator Mark Allen and Representative John Bennett in co-authoring Senate Bill 71 which will have the Dept. of Public Safety to issue an “annual” vehicle permit to a transportation company or manufacturer of portable buildings solely for the movement of oversize portable buildings.  This permit is vehicle specific in that it cannot be transferred from one vehicle to another in the fleet.  The dimensions of this oversized load shall be 12 feet in width with no more than a 3 inch eave overhang or 14 feet in height.  It has come to my attention that the issuance of an annual permit rather than those merely for a trip will save our local transporters and manufactures both time and money.  

                        I was shocked when we considered SB 330 by Rep. Sears, R-Bartlesville, which would give the Film Industry incentive rebates for 35 percent of any expenditure made by a film company.  This will increase the total cap from $5 to $10 million.  While this may be seen as a potential growth approach, I am hesitant to buy our economic growth on the backs of my constituents.  The movie industry is not compatible with moral and economic values of District 15.  This is another example of hypocrisy when the author told me he would not hear legislation I had filed to allow volunteer fire departments to be exempt from paying a tax on each bingo card that they use to raise money to fund services for our rural communities.

            SB 237 by Rep. Quinn created a Statewide Virtual Charter School Commission.  Each student will bring with him/her a 1.333 weight where our regular public school students only have a 1.222 weight.  I amended it to prevent money from going to out-of-state providers but this was tabled due to the possible conflict with the US Constitution’s Interstate Commerce Clause.  It passed 61 to 34 but there is concern that, while it will give needed oversight at the state level,  we are not clear that it will prevent this new entity to be discretionary in their enrollment requirements.  Some would call this “cherry picking” but whatever it’s called they are a “for profit” entity so we can assume that they are not going to accept a student to educate that will cost more than the student brings with him/her to that virtual charter school.

            In my next Journal I will attempt to discuss in detail the case argued before the US Supreme Court which addresses the conflict between Oklahoma and Texas on the latter’s use of the Red River Compact as a means of gaining access to our state’s water that is located in southeastern Oklahoma.  In early readings it appears to be a conflict between state geographic sovereignty versus Compact Authority.            

 If you would like to have my weekly Notes sent to by email each week, please contact me at the address below.  If you wish to contact me please utilize any of the following: PO Box 98, Porum, OK  74455, by email at ed.cannaday@okhouse.gov , home phone: 918 484 5701, cell: 918 448 5702 or  Legislative Assistant, Gene Fowler, at 1 800 522 8502 or 405 557 7375 and fax 405 962 7624 at the Capitol. Web Site http://www.edcannaday.com  Ed Cannaday