TALLAHASSEE — Florida lawmakers are headed for overtime after opening th final scheduled week of this year’s regular legislative session tonight without a budget deal.
Gov. Charlie Crist and state Education Commissioner Eric Smith, meanwhile, disclosed they had changed their minds and submitted an incomplete application for federal stimulus money, which is needed to balance the budget, at the urging of federal officials.
Leaders of both Republican-controlled legislative chambers remained deadlocked on key budget issues including taxes, fees, spending cuts and Seminole Indian gambling. Formal budget negotiations by joint conference committees cannot begin until House and Senate leaders come to terms on those basic issues.
“You’re at a time where, at least from my standpoint, this now requires an extended session,” said Senate President Jeff Atwater.
“That would probably be four, five, six days to have a really well thought-through process.”
The deadline for settling all budget issues is midnight Tuesday to get an on-time finish to the 60-day session on Friday. That’s because the Florida Constitution requires a 72-hour cooling off period before final passage.
Atwater, R-North Palm Beach, said his talks with House Speaker Larry Cretul, R-Ocala, have been productive, although they still haven’t reconciled their differences.
Cretul did not make himself available to reporters, but 2010-12 Speaker-designate Dean Cannon, R-Winter Park, acknowledged lawmakers cannot finish on time.
“If they can reach agreement on the top-line revenues and expenditures, then probably some sort of extension would be necessary, but first you’ve got to cross that first bridge,” he said.
Cannon was part of the discussions, which began soon after each chamber passed its version of the budget on April 17, but he said he hasn’t been involved since Thursday, deferring to Cretul.
The House has passed a $65.1 billion budget for the fiscal year starting July 1. The Senate version is nearly $550 million higher.
Both contain $1.1 billion in education stabilization stimulus money that’s not yet a sure thing. Florida first must get a waiver from U.S. Education Secretary Arne Duncan because state financial support for public schools has declined since 2006.
Crist and Smith had resisted submitting an application for the stabilization money because the federal government has not yet supplied waiver guidelines promised by mid-April but not expected now until the end of this week.
They delayed the application even though federal officials said Florida could turn it in without waiting for the waiver guidelines. That changed Friday when Smith again conferred with federal education officials, Crist said.
Crist signed and submitted the application that afternoon, leaving most questions related to the waiver blank. Crist’s only explanation Monday for the reversal was “we felt it was the right time.”
Florida also appears poised to leave 444 million dolalrs in stimulus money for unemployment compensation on the table. To get those dollars for modernizing state unemployment compensation systems, the Legislature would have to expand benefits for jobless workers.
A Senate committee has approved the required legislation, but business groups oppose those changes and the House has made no move to pass it, nor has the chamber included the modernization money its version of the budget.
“Taking it is important. I know the people need it,” Crist said. “I wish it would be reviewed again.”
Employers are afraid the expanded benefits would raise the taxes they pay into the compensation system once the stimulus money is used up. When that happens, the benefits could be rolled back, supporters say.
