Florida lawmakers return to Tallahassee this week for their first in a series of weekly meetings leading up to the 2014 legislative session next spring.
It will be an election-year session with Gov. Rick Scott, three state Cabinet members and many lawmakers keeping an eye on their electoral fortunes as they wade through the 60-day session that begins on March 4.
With a slowly recovering economy producing more state revenue, lawmakers will have an easier path to passing a new state budget. But they face plenty of complicated challenges, ranging from increasing pressure to fund and expand Medicaid, the state-federal health care program for the poor and disabled, to an ongoing debate over education standards, testing and school grades.
As lawmakers begin their first session of committee meetings this week, here are some of the major issues on the 2014 legislative agenda:
The budget
Early estimates show the state should have a budget surplus in the range of $850 million for the 2014-15 fiscal year.
It will make it easier to craft a new $74 billion state budget, while funding new priorities. Scott, after cutting school funding in his first year, has pushed for $1 billion-plus increases in the two subsequent years. This year's budget also contained enough money for a significant pay raise for teachers. Scott and lawmakers are expected to continue to boost school funding, which still remains below the per-student spending achieved before the Great Recession.
Although the state has not opted to expand Medicaid coverage under the federal health care law, analysts project a 5.87 percent increase in Floridians relying on the current program, increasing the rolls by some 200,000 to nearly 3.7 million in total next year. The expansion will cost the state an estimated $400 million a year.
Despite the anticipated increase in state revenue, lawmakers and the governor are asking state agencies to outline a potential 5 percent cut in their spending that will be used in evaluating the next budget. State agencies are scheduled to turn in their 2014-15 budget requests by mid-October.
Tax cuts
Scott is calling for $500 million in unspecified tax cuts in the next budget year. Lawmakers are likely to back tax cuts, although the scope of the cuts and what type of taxes will be reduced will be part of the debate.
On a five-city tour this month, Scott expressed interest in a variety of proposals, including a further reduction in the number of businesses owing the state corporate income tax, lower property taxes, an expanded sales tax holiday and a reduction in the communications services tax that Floridians pay on their cellphone and cable TV bills.
Lawmakers and Scott are also interested in cutting the motor vehicle fees that were raised in 2009 when the state was struggling to balance its budget while facing declining revenues. Repealing the tag fees would cost more than $200 million.
Business groups and real estate agents are interested in eliminating the state sales tax on commercial property leases. They argue that Florida is one of the few governments that tax such arrangements. A full repeal would be costly, although lawmakers might agree to a phased reduction that would lower the 6 percent tax over time.
Common Core
Florida is one of 45 states that have agreed to establish Common Core education standards for math and reading. The standards are scheduled to take effect next fall.
But mounting criticism from conservatives — who view Common Core as a move for more federal involvement in state education — has fueled an effort to block Florida's participation in the program, which would replace the existing FCAT system. Lawmakers are already filing bills to derail or delay implementation of Common Core.
Legislative leaders and Scott say they support Common Core, but appear to be looking for some middle ground. Senate President Don Gaetz, R-Niceville, and House Speaker Will Weatherford, R-Wesley Chapel, want Florida to leave a consortium of states developing testing for the Common Core.
But withdrawing from the consortium raises new questions about how Florida would develop its own Common Core tests and how quickly that could be done.
Former Gov. Jeb Bush remains a strong proponent of the Common Core standards.
Medicaid expansion
Although he has been a longstanding critic of health care reform, Scott surprised lawmakers last spring by endorsing the expansion of Medicaid under the health care law — as long as the federal government paid for the expansion.
The Senate passed an expansion plan in the 2013 session but it died in the House, where leaders have voiced skepticism about the long-term cost and the ability of the federal government to finance the program.
But with pressure from the health care industry, business leaders and other groups, Medicaid expansion — which could bring some $51 billion to the state and cover 1 million uninsured Floridians — will likely return as an issue. Legislative leaders have signaled that they would be more willing to embrace a limited expansion, but so far the federal government has not shown a willingness to let Florida modify the program.
Pension
Florida's $132 billion state pension fund for public employees had a good year. And it currently ranks near the top of major government pension funds in meeting a projected 86 percent of its future obligations.
Nonetheless, Weatherford is expected to use his final year as the House leader to end the traditional pension plan for new employees. He would move the new state workers, school employees and other public workers into a 401(k)-style pension plan. Workers currently in the pension system would not be impacted.
Weatherford notes the state sets aside some $500 million each year for its unfunded liability, which is money that could be used for other state programs. This year, the House backed Weatherford's plan but it came up a few votes short in the Senate. The key to Weatherford's success will remain in the Senate.
Gambling
With a growing number of well-financed interests invested in the issue, gambling legislation is always a heavy lift for the Legislature. Election-year pressure increases the difficulty in making major changes in Florida's gambling laws.
But efforts continue to do something. Out-of-state groups see Florida as a perfect location for at least one "destination" casino operation, bringing a full range of Las Vegas-style gambling to the state. A gambling agreement with the Seminole Tribe is scheduled to end in 2015, prompting some to promote a new deal before the next election.
Others say Florida's gambling regulations are due for an overhaul in a gaming landscape that keeps changing. Lawmakers have ordered a comprehensive study of gambling in the state that will provide a basis for debate in the upcoming session.
But because of the myriad of interests involved — including the big casino companies, local horse and dog tracks and the Seminoles — the best bet is against a sweeping deal. Any move seen as an expansion of gambling will find limited support in the House and face opposition from traditional gambling foes, including the Disney interests.
Self-defense law
With the outcome of the George Zimmerman trial — in which he was acquitted in the shooting of a black teenager — some lawmakers are calling for a serious revision of Florida's 2005 "stand your ground" self-defense law.
Following Trayvon Martin's killing, Scott convened a task force to look at the law, but the panel did not recommend any major changes and none were achieved this year. But Senate Democratic leader Chris Smith of Fort Lauderdale has re-filed legislation that would prevent individuals from "unreasonably escalating" a violent conflict and then claiming self-defense. The bill would also prevent a self-defense shield for individuals who chased someone down or left a safe place.
The bill also requires local law enforcement agencies to develop guidelines on neighborhood watch programs.
The House has agreed to hold hearings on the self-defense law, although the chairman of the panel has said he doesn't support any changes to it.
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