JEFFERSON CITY — This week, the Missouri Legislature sent to the governor House Bill 137, a measure ending the practice commonly known as “pay-to-play.” State Senator Gina Walsh, D-Bellefontaine Neighbors, co-sponsored similar legislation in the Senate.
In 2009, language was passed requiring state fee offices to institute a competitive bidding process, and language was added directing that special consideration would be given to nonprofit groups that would invest the money back into the community. In response, the Missouri Department of Revenue created a system that awards points to a bidder if they agree to give a portion of their profits back to the state — essentially establishing a pay-to-play system within the bidding process.
“House Bill 137 accomplishes several goals: it clarifies the law’s original intent of removing politics from the bidding process; it reinforces the idea that we primarily want to see local, nonprofits running these offices and investing their profits back into the communities they serve; and it further prevents dark money political organizations from participating in the bidding process,” said Sen. Walsh.
“Dark money” refers to money donated to political nonprofit organizations that are able to receive unlimited contributions, but which are not required to disclose the sources of their funding.
Under HB 137, the Department of Revenue must follow bidding procedures as defined in state law, and no points will be awarded for a return-to-the state bid offer. The measure also clarifies who is given special consideration in a fee office bid. It includes 501(c)(4) organizations, except those dark money political action entities. Additionally, special consideration will be given to organizations and entities that reinvest a minimum of 75 percent of their net proceeds to charitable organizations in Missouri.
“Putting an end to the practice of pay-to-play has been a priority of mine all session,” Sen. Walsh said. “It’s especially important in this economy to reinvest in our state whenever we can. This week, my colleagues and I showed our commitment to Missouri’s nonprofit organizations and our communities by voting to send HB 137 to the governor.”
The Legislature also approved an emergency clause within HB 137 so that the provisions of the bill may immediately go into effect, rather than having to wait until August 28, 2015 — the day most new laws passed during this session will go into effect.
For more information on Sen. Walsh’s legislative actions, visit her official Senate website at www.senate.mo.gov/walsh. |