Kilgore's Dirty Bill

Delegate Terry Kilgore (R-Gate City) has a dirty bill (HB1300) that will strip the Virginia Air Pollution Control Board critical authority to clean up our air. Under the current law, the Board can decide whether to require large polluters to make actual reductions in NOx and SO2 pollutants or allow trading of pollution credits outside the community where the pollution is being generated. This bill would deny the Air Board the authority to require actual pollution reductions.

HB1300 is currently in the Senate Agriculture, Conservation, and Natural Resources Committee. Please contact committee members and urge them to vote No on this dirty bill. More information and an easy-to-use contact link is found at the Virginia Chapter of the Sierra Club.

Smoke Filled Rooms

Last week Governor Tim Kaine and Speaker of the House Bill Howell announced a compromise deal to dramatically curb smoking in restaurants. Yesterday the House of Delegates passed a bill curbing smoking, but with several amendments that could flick its butt out the window.

Delegate Terry Kilgore (R-Scott) offered several smoke and mirror amendments that the House added to the legislation, however the Governor and Senate may not accept them:

• Instead of a separately ventilated smoking room, restaurants could just close a door,
• Facilities which do not admit minors would be exempt,
• A restaurant hosting a private function where the whole facility is booked could permit smoking at that function.

Senator Ralph Northam, D-Norfolk, the sponsor of the Senate bill, said he would not support any of Kilgore's amendments when the House version comes to the Senate. It is also possible Governor Kaine could strip out the amendments. The bill, with the amendments, passed the House 61-38. Without the amendments passage would be a very close call.

The Republican amendments represent a bit of a GOP smack down for the Speaker's leadership who stood with Governor in announcing the compromise. And, could it be that some House Republicans simply want to deny a victory to the Governor who has made the smoking ban a priority!

That said, this is one of those bills that seems to divide as much along geography as it does along party lines. Many delegates from tobacco growing areas, of both parties, opposed the bill.

Several years ago while visiting in a county neighboring Delegate Kilgore's, we stopped at a restaurant for lunch. Upon entering, we picked up the stench of tobacco smoke although the place was mostly empty at the time. As it filled with patrons - most looked like farmers or tradesmen - we noticed the vast majority lit up, some several times, over their salisbury steak, BBQ, or burgers. The dining room quickly became a smoke filled haze. With two children and all of us wanting to get some fresh air, we finished up our lunch (which was very good) and headed outside. It was then I saw the sign above the door:

If you want to ban smoking, you can kiss my butt.

That was 8-10 years ago and since then public acceptance of a smoking ban in restaurants has grown. According to some polls 75% of Virginians support a ban. Our economy has changed. Our understanding of the health risks of tobacco have grown. Virginia's demographics have shifted. It is time to pass the bill, without the Kilgore amendments.

Yes, Virginia has changed. But, aren't those tobacco leaves in the beautiful design on the ceiling in the General Assembly chambers?

Hey Richmond: I told you so

Hate to say "I told ya so," but I and many others told the 2008 session of the General Assembly that their toothless reforms of the payday loan predators wouldn't do any good. Now, Senator Phillip Puckett (D-Russell Co.), one of the key supporters of that compromise legislation, says:

"They [payday lenders] are circumventing what we tried to do. That sends the wrong message, not a very good-faith effort on their part - and I'm one of the guys that fought for them."

To dodge the regulations that they "agreed" to, payday lenders have created a new product called an open-ended line of credit which has no limits on interest rates or administrative fees. Interest rates can top 300% a year and the fees can be oppressive. Of course, you have to be a wily and wise consumer to spot all this in the fine print.

The bastard cousins of payday lenders are the car title lenders. Virtually unregulated under Virginia law, car title lenders entice people with ads showing them buying new clothes or taking a vacation... just bring in your car title (and a set of keys for the day we repossess your wheels) and walk out with a fist full of green! Car title lenders charge interest of 25-30% per month. If the borrower pays only the minimum he gets to keep the car, but his debt can double in six months. Fail to pay the minimum and you'll be walking.

Senator Puckett was shortsighted and too trusting of the wolves last year, but has now seen the light and wants the General Assembly to take action. Senator Mark Herring (D-Leesburg) introduced SB 1490 that would cap car title lenders and anyone making loans under the opened-ended credit laws to a 36% APR. It is in the Commerce and Labor Committee. More info.

But, just a year after the payday loan battles ended with a wimpy law, and in a session where the budget is sucking all the media and legislators' attention, there may not be much will to act. Terry Kilgore (R-Scott Co.), chair of the House Commerce and Labor Committee which handles such bills, was noncommittal. Senate Majority Leader Richard Saslaw (D-Fairfax), who is cozy with payday lenders, has introduced a bill providing more cover for the industry. He would prohibit a company from offering both payday and open-ended laws - so his buddies will just offer the usurious open-ended ones.

Not taking any chances, the industry has lavished cash on legislators. According to the Virginia Public Access Project, Loan Max, the biggest of the title loan lenders, has donated $530,000 since 2002, about equally split between the parties. The three biggest payday lenders have ponied up $370,700 over the same period.

Hey Richmond! We'll be saying "I told you so" again in 2010 if you shirk your duty this year. We may talk to members of the House of Delegates in November! Do the right thing - put a cap of 36% and reasonable limits on fees (better yet, require they be computed as part of the APR). SB 1490 seems like a good place to start.