Hartford Business Journal

16 Hartford Business Journal • January 27, 2020 • www.HartfordBusiness.com By Matt Pilon mpilon@hartfordbusiness.com I n Connecticut's two-year bud- get cycle, legislative sessions in even-numbered years are only three months long, creating a relatively tight window that typically tempers lawmakers' and interest groups' policy aspirations. "Going into a short session, obvi- ously your expectations of being able to accomplish a lot are a little different than in a long session," said Joe Brennan, CEO of the Connecti- cut Business & Industry Association. However, this year's short session, which begins Feb. 5, might be dif- ferent, even though it's an election year that could make some state lawmakers skittish about voting on controversial issues. With last year's two-year budget still in relatively good shape — the current fiscal year is trending toward a modest $30-million deficit, while a $184-mil- lion surplus is projected for fiscal 2021 — lawmakers may not have to tackle fiscal emergencies like they've done for much of the last decade. That opens up breathing room for more significant policy proposals, and there will be plenty, including highway tolls. If Gov. Ned Lamont can't get his 10-year, $19-billion trucks-only tolling and infrastructure plan ap- proved during a special session be- fore Feb. 5, the issue could suck up a lot of oxygen in the coming months. Tolls aside, businesses are still di- gesting last year's new laws, including a minimum-wage hike and creation of a relatively generous paid family and medical leave program, said Andrew Markowski, Connecticut state direc- tor for the National Federation of Independent Businesses (NFIB). "Coming on the heels of … last year, a lot of members are asking me 'what's next?' " Markowski said. "They're just hoping for a year of status quo, no un- certainty, and they just want to digest and absorb what's happened." CBIA will keep its legislative agenda relatively modest this ses- sion, said Brennan, who is hopeful that tax increases won't be part of the discussion. CBIA's agenda includes some busi- ness-friendly tweaks to state tax policy, advocating for expanded workforce- training programs, and continuing to push the state to outsource more of its services to the private sector. Whether modest or moonshot, here are five policy issues to watch during the upcoming short session: Wrangling healthcare costs After insurer opposition forced Lamont to abandon a controversial proposal last year to establish a state-subsidized health plan for busi- ness and individuals, some lawmak- ers are trying to revive the issue. Democratic senators announced Jan. 21 they will pursue a public option- style plan again this session. There could also be bipartisan sup- port for legislation that would: allow prescription drugs to be imported from outside the U.S., and create a reinsurance program meant to stabi- lize rising premiums in the individ- ual health insurance market, which could cost at least $20 million. In addition, a state task force that spent the last year analyzing high- deductible health plans will have a list of policy recommendations, some potentially contentious, ready for the start of the session. A draft version lists various cost- sharing reforms, increased consumer protections for patients being sued over medical debts, and capping growth rates of statewide healthcare spending. Lamont recently signed an execu- tive order to establish annual health- care spending caps, called "bench- marks." Connecticut is following the lead of Massachusetts, which has been setting those limits for the past six years. The Lamont administration said it expects to file several healthcare cost-containment bills this session. Another bite at the apple Employers have plenty of concerns about the state's pending paid family and medical leave program, which will be funded by employee payroll deductions beginning in 2021. The law will apply to any employer with one or more workers, and Brennan said the CBIA will continue to push for exemptions for smaller companies, but not a full repeal. "We're not against it in principle, we're against it in operation," he said of the law. Besides employers concerned about how they will find workers to replace employees on months-long leaves, there are worries that the payroll deductions won't cover the planned benefits. If that happens, Lamont has said the LEGISLATIVE PREVIEW CBIA CEO Joe Brennan (left) conducts a recent panel discussion with state legislators previewing the upcoming 2020 legislative session. To his right are Sen. Norm Needleman (D-Essex) and Rep. Laura Devlin (R-Fairfield). PHOTO | CONTRIBUTED PHOTO | HBJ FILE On The Clock Despite a short legislative session, interest groups pushing major policy agendas in 2020

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