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Legislative
Updates
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March 26, 2010 The House finished their version of the Budget Wednesday afternoon. The Senate Appropriations Committee will begin reviewing the house version next week. It is expected that much deeper cuts occur in the Senate. The House presented their budget based on receiving an additional $300 million from the federal government in FMAP money (additional Medicaid funds). Even with this federal money the Senate will need to cut an additional $300 million. On a parallel track, HB 2016, which re-appropriates money (mostly federal) that has not been spent, was heard by the Senate Appropriations Committee. Senators are looking at this money with an eagle eye, hoping to find ways to supplant general revenue with the funds. Most of the re-appropriated funds are earmarked for specific purposes, which limits flexibility in supplanting general revenue. The Supplemental Appropriations bill, HB 2014, passed the House and was sent to the Senate. Of particular note is that HB 2014 calls for cutting the elementary and secondary education budget in the remainder of the fiscal year. The House members debated at length whether all districts should bear some of the pain of the cuts, or whether the "hold harmless" districts should also experience some cuts. The final vote exempted the "hold harmless" districts from the needed cuts. The Senate did review HB 2014 on Wednesday and took out this amendment. A battle will occur in the House/ Senate conference committee. On Thursday The House erupted into a pushing and shoving match with future Majority Leader Jones and future Minority Whip Roorda going after each other on budget items. They were thrown out along with Representative Skaggs. Numerous school groups were in the gallery. News this week includes: Overhauling the State Budget Among the higher profile concepts was an effort to reduce the current tax credit system. The Department of Economic Development has proposed consolidating 59 tax credit programs to 6 basic areas. In addition, DED would not cap the programs. They would authorize only $314 million in tax credits down from $650 million. The two major budget programs are $186 million for historic tax credits and $105 million in development of low income housing. DED would oversee all six programs. There would be no entitlements. Overall the amount of credits authorized each year would be pegged to 70% of the credits redeemed last year. That produces the $314 million cap. Famer’s Market SB 1015 creates a state permit for individuals who sell items at farmer's markets in more than one local jurisdiction. The state permit is not required, but may be used to take the place of locally-required permits in those areas. The Department of Health and Senior Services must administer the permits and must have an on-line application process. The department may charge a processing fee not to exceed $25 per application. Permits are valid for 3 years and may be renewed. The permit does not exempt the holder from complying with any other applicable food safety laws. Janet Murray- Randolph County and Joe Hainline-Jefferson County graciously offered testimony in opposition to the legislation. Both did an excellent job in explaining the duplication of effort and the lack of funding from the state for local public health to do additional inspections for farmer’s markets.
HJR 48 The Senate spent Wednesday evening debating SJR 25. As expected the Democrats successfully debated the bill at length. SJR 25-upon voter approval, this constitutional amendment provides that no federal law shall compel a patient, employer, or health care provider to participate in any government or privately run health care system, nor prohibit a patient or employer from paying directly for legal health care services. This amendment does not affect laws or regulations in effect as of January 1, 2010, affect which health care services a health care provider is required to perform, affect which health care services are provided by law, or prohibit care provided under worker's compensation. I like to compare this to letting Missourians pay the Highway fuel taxes and sending the funds to other states. Majority Leader plans to bring the proposal back after the Budget debate. Fair Tax HJR 56 was changed to include the cap of 7% similar to SJR 29. Exemptions now include:
All tax credits are eliminated except Senior Citizen property tax relief. Taxes are phased out (2013-1018). The Missouri Budget Project still estimates at least a 8.775% rate will be needed even with changes. Prebates are still in place for $2800 per person per household up to $11,000 per household. Smoking The chances for this to stay in the Senate are virtually 0. HJR 87 Next Week |
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