Capitol Briefing: Month of December 2014
Lawmakers Prefile Measures for First Regular Session of the 98th General Assembly

JEFFERSON CITY—During December, lawmakers continued preparing for the upcoming legislative session of the 98th General Assembly, which begins on Wednesday, Jan. 7 at noon. Many legislators prefiled bills throughout the month, indicating their priorities for next year. Committees also met throughout the final month of interim to address current issues in the state and to draft final reports to the Legislature.

Prefiled Bills

Lawmakers are allowed to prefile legislation as early as July 1. However, since bills don’t receive assigned number until Dec. 1, most members wait until the last month of the year to prefile measures for the next session. More than 170 Senate bills have already been filed for the 2015 session.

School Transfer Debate to Continue

Last year, one of the most debated measures in the Legislature was Senate Bill 493, which sought to address the student transfer issue and school accreditation. Those efforts were spurred by the Normandy school district in St. Louis becoming unaccredited in 2013. Under current law, students in an unaccredited district may transfer to an adjoining accredited district, with the former district being responsible for paying tuition and transportation costs. This resulted in hundreds of students leaving the Normandy district, putting pressure on receiving schools.

Senate Bill 493 addressed the problem through a number of provisions. The bill was the result of a bipartisan agreement, and was approved by members of both parties. However, that bill was ultimately vetoed by the governor. With Senate Bill 493 vetoed, Missouri is now in the same position it was a year ago.

Legislators have vowed to once again take up this issue in 2015. Senator David Pearce, R-Warrensburg, prefiled the first measure of the year, Senate Bill 1, which addresses the school transfer issue, along with how schools receive accreditation, the establishment of classroom ratios, and revises the intervention powers of the State Board of Education, among other provisions.

Senator Maria Chappelle-Nadal, D-St. Louis, has filed similar legislation, Senate Bill 22, which also seeks to address the school transfer issue, among others.

Law Enforcement Procedures

Many legislators have prefiled bills in response to the events in Ferguson this year, in which an African-American teenager was shot and killed by a St. Louis area police officer. The Ferguson community was engulfed by riots for weeks, eventually culminating with the governor declaring a state of emergency and deploying the National Guard. Members from both sides of the aisle questioned how the situation was handled, and ways to avoid such occurrences in the future.

In response, numerous bills have been filed addressing law enforcement procedures and how officer-involved deaths are investigated. Senator Jamilah Nasheed, D-St. Louis, has indicated she will file two measures during the 2015 session addressing this issue. One bill states that deadly force can be used by a law enforcement officer only when, and if, all other methods of apprehension or restraint have been attempted, the officer has warned the subject, and the officer has reasonable belief that the suspect is attempting to escape and possesses a deadly weapon.

It also places a more stringent requirement on the use of deadly force against an unarmed person, stating that if the unarmed person is 20 or more feet away from the officer in question, the officer will be suspended from duty without pay immediately until an investigation is complete.

The second bill would require law enforcement agencies to create and put into permanent record policies regarding the investigation of deaths involving any commissioned officer. This measure also allows the attorney general to investigate any officer-involved death at his or her discretion, with the ability to give or withhold prosecution. This legislation would only apply to officer-involved deaths occurring after Aug. 28, 2015.

Senate Bill 21, sponsored by Sen. Chappelle-Nadal, modifies and enacts provisions relating to law enforcement officers. Under the bill, if the governor declares a state of emergency due to civil unrest, he or she would be required to contract with a third party human rights organizations to monitor the activities of law enforcement and to report abuses of human, civil or constitutional rights to the Attorney General’s office.

The legislation would also require law enforcement officers to wear video cameras on their uniforms and preserve the recordings for at least 30 days, along with mandating that officers on duty at protests wear clearly visible and accurate identification tags, among other provisions.

Senate Bill 120, sponsored by Sen. Gina Walsh, Bellefontaine Neighbors, would require law enforcement agencies in Missouri to adopt written policies for investigating officer-involved deaths. The bill also stipulates that victims of officer-involved deaths have the right to be informed about the process of filing an affidavit seeking prosecution of a crime and the process of inquests.

Ethics Legislation

In 2010, Missouri lawmakers approved ethics legislation that required public reporting of campaign contributions more than $500 within a limited time frame and strengthened the Missouri Ethics Commission’s ability to investigate complaints. The law, however, was tossed out by the Missouri Supreme Court for violating the single subject provision law that requires acts within a bill to be connected. 

With that law now invalidated, Missouri is one of only four states without limits on campaign contributions, according to the National Conference of State Legislators.
This month, lawmakers signaled their intent to address ethics reform in the upcoming session with a handful of prefiled bills.

Senate Bill 11, sponsored by Majority Floor Leader Ron Richard, R-Joplin, would modify the law relating to the ethical behavior of public officials and lobbyists, including instituting a two-year cooling off period before former members of the General Assembly can become lobbyists; stipulates lobbyists must report all entities they represent to the third degree, even if they are not directly compensated by such entities; and bars lobbyists’ expenditures for travel, food, beverage, and entertainment when it occurs outside of the state, among other provisions.

Senate Bill 97, sponsored by Sen. Paul LeVota, D-Independence, would increase the number of members on the Missouri Ethics Commission to eight, versus the current six; requires the Attorney General’s office to provide special investigators to carry out investigations and audits; and imposes campaign contribution limits.

Senate Bill 48, sponsored by Sen. Scott Sifton, D-Affton, institutes a gift ban for the members of the General Assembly and their candidate committees, in addition to their family, employees and staff.

Taxation

Throughout the latter part of the year, the Missouri Senate Interim Committee on Tax Administration Practices, chaired by Sen. Will Kraus, R-Lee’s Summit, investigated the procedures and policies used by the Department of Revenue to collect taxes on individuals and businesses.

Those meetings resulted in Senate Bill 18, prefiled by Sen. Kraus. The bill would require the Department of Revenue to notify sellers if there is a change in sales tax law interpretation. If the department fails to notify a seller of the change, the seller would not be liable for the additional taxes to be collected until the seller is notified. Additionally, DOR would be required to update its website with information regarding modifications in sales tax law.

Members have also prefiled numerous measures that would make changes to Missouri’s tax code, including creating new deductions and exemptions.

Senate Bill 4, sponsored by Sen. Eric Schmitt, R-Glendale, would reduce the individual income tax rate by lowering the top rate to 5 percent.  Additionally, the legislation would also create a larger business income deduction. Taxpayers would be able to deduct 50 percent of their business income once fully phased-in. Both provisions would be phased-in over a period of years, beginning in 2017.

The bill also contains safeguards that prevent the cuts from taking effect unless general revenue has increased enough from prior years. If revenue does not increase, the reductions do not go into effect for that year.

Senate Bill 40, sponsored by Sen. LeVota, creates a Missouri earned income tax credit for individuals who qualify for the federal earned income tax credit. The tax credit would be an amount equal to 20 percent of the federal tax credit, and will be refundable. No tax credits will be authorized after 2021. The Department of Revenue is required to prepare a report on issuances of the tax credit. The department shall also contract with a nonprofit group to provide notice of the tax credit to eligible taxpayers.

Senate Bill 57, prefiled by Sen. Bob Dixon, R-Springfield, would create a sales and use tax exemption for fitness facilities, gymnasiums and dance studios for the amounts paid for classes or membership. Additionally, the legislation creates a sales and use tax exemption for all  machinery, equipment, computers, electrical energy, gas, water and other utilities, including telecommunication and internet services, used in new data storage center facilities. The bill also extends the same exemption to existing data storage centers.

Senator Dixon also filed Senate Bill 15, which would create the Office of Taxpayer Advocate. The Taxpayer Advocate will be appointed by the governor with the advice and consent of the Senate. The Taxpayer Advocate will have the authority to work with taxpayers regarding tax issues and will have access to information held by any state agency regarding the taxpayer's tax issue. The office must submit to the governor and General Assembly a regular report detailing the operations of the office as well as any suggested legislation for improving Missouri's tax laws. Senate Bill 15 would also amend the Missouri Taxpayer’s Bill of Rights to include a right to fair and consistent application of Missouri tax laws, along with creating the Study Commission on State Tax Policy.

Senate Bill 25, sponsored by Sen. David Sater, R-Cassville, creates an income tax credit for individuals able to claim a dependency deduction for a qualifying child on their federal income taxes. The amount of the tax credit depends on the taxpayer's filing status and Missouri adjusted gross income. The maximum amount is $300 per child. The tax credit is nonrefundable, nontransferable, and cannot be carried backward or forward.

Senate Bill 32, sponsored by Sen. Mike Cunningham, R-Rogersville, would create a sales and use tax exemption for used manufactured homes. Senator Mike Parson, R-Bolivar, also prefiled legislation creating an exemption for vehicles that are at least 10 years old from state and local sales tax on the titling of motor vehicles. The exemption would not apply to motor vehicles with a sales price of more than $15,000.

Revisiting Macks Creek Law

In the mid-1990s, the Missouri Legislature passed what is known as Macks Creek Law, which limits cities and towns in the state from collecting more than 45 percent of their total revenue from speeding tickets. The measure was named after the town of Macks Creek, once known for being a notorious speed-trap for Missouri motorists. Macks Creek was found to be collecting more than 80 percent of its revenue from traffic tickets. The law ended the practice.

This year, Sen. Schmitt prefiled Senate Bill 5, which modifies Macks Creek Law. Under the legislation, local municipalities would only be allowed to fund 10 percent of their budgets with revenue generates by traffic tickets or fines. Any revenue collected above that threshold would be sent to the Department of Revenue, which would then annually distribute the funds to the schools of the county in the same manner other penalty proceeds are distributed.

Agriculture

Lawmakers in the upper chamber prefiled a number of bills in December to bolster Missouri’s agricultural industry. Senator Brian Munzlinger, R-Williamstown, sponsored Senate Bill 12, an omnibus bill addressing a number of agricultural issues. Key among the provisions is the Dairy Revitalization Act, which would:

  • Require the University of Missouri to conduct research annually on the estimated state sales tax revenue generated from dairy products. Such estimated sales tax revenue shall be provided to the Department of Agriculture. Further, the act creates the Missouri Dairy Industry Revitalization Fund. General revenue appropriated to the Fund shall be expended as set forth in this act;
  • Require the Department of Agriculture to establish a dairy producer insurance premium assistance program for producers who participate in the federal margin protection program for dairy producers. Participating producers shall be reimbursed for 70 percent of their federal premium payment.
  • Establish the Missouri Dairy Scholars Program, which shall make available 80 scholarships at $5,000 each toward tuition at any college or university in Missouri for students in agriculture-related degree programs who make a commitment to work in the agriculture industry; and
  • Require the University of Missouri's commercial agriculture program to conduct an annual study of the dairy industry and develop a plan for increasing dairy industries in Missouri. The plan shall be delivered to certain members of the General Assembly as set forth in this act.

Senate Bill 12 would also modify the Missouri Livestock Marketing Law and modify provisions relating to certified commercial pesticide applicators and weigh limitations on vehicles hauling milk and livestock.
Senator Parson has also filed similar legislation. Senate Bill 139 would also create the Missouri Dairy Revitalization Act of 2015.

MO HealthNet

Legislators prefiled a handful of measures regarding MO HealthNet, Missouri’s Medicaid program. Senate Bill 9, sponsored by Sen. Rob Schaaf, R-St. Joseph, would modify the duties and powers of the Joint Committee on MO HealthNet.

Under the bill, the committee would study the efficacy of Missouri’s Medicaid program, as well as the resources needed to continue and improve the MO HealthNet program over time.

The committee shall receive and obtain information from the departments of Social Services, Mental Health, Health and Senior Services and Elementary and Secondary Education as applicable, regarding the projected budget of the entire MO HealthNet program including projected MO HealthNet enrollment growth, categorized by population and geographic area.

Senator Gary Romine. R-Farmington, has filed a similar measure, Senate Bill 38.

Senate Bill 35, sponsored by Sen. Wayne Wallingford, R-Cape Girardeau, would require that when the Department of Social Services receives information, including from a MO HealthNet managed care plan, that a MO HealthNet participant resides out of state, such participant's MO HealthNet services shall be terminated as provided for under law. The termination of benefits shall be effective on the last day of the calendar month.

Senate Bill 85, sponsored by Sen. Ed Emery, R-Lamar, would authorize certain social workers and licensed professional counselors to provide behavioral health services to participants of the MO HealthNet program.

Senate Bill 90, sponsored by Sen. LeVota, would expand Medicaid in Missouri to cover persons aged 19 or older, but younger than 65, who are not otherwise eligible for MO HealthNet services, who qualify for MO HealthNet services under the provisions of the Affordable Care Act (ACA) of 2010, and who have income at or below 133 percent of the federal poverty level plus 5 percent of the applicable family size.

This act also provides that the reimbursement rate to MO HealthNet providers for MO HealthNet services provided to individuals qualifying under the provisions of this act shall be comparable to commercial reimbursement payment levels with trend adjustment for comparable services. The higher commercial comparable rates shall only apply for services provided to individuals qualifying under this act.

Committee Work

The Joint Committee on Government Accountability held its first-ever meeting on Dec. 11. The committee was established in 2004 by state statute allowing the committee to look for inefficiencies and misconduct in state government. This is the first time the President Pro Tem and House Speaker felt the need for the committee to be empaneled.  The focus of meetings in the future will most likely concentrate on why the National Guard was in the St. Louis region but not in Ferguson during the heated protests following the Aug. 19 shooting death of Michael Brown by Ferguson Police Officer Darren Wilson, who was not indicted by a Grand Jury in November.

The committee can issue subpoenas and has full investigatory authority, and will meet throughout the year and seeks to answer how state funds were spent and investigate how the situation in Ferguson was handled, including the claims that the National Guard did not or was not able to provide as much help to the first responders.

The committee will release a report at the end of its investigation.  

The Joint Committee on Child Abuse and Neglect met on Dec. 3. In 2012, the committee was established pursuant to Section 21.771 in Senate Bill 628 and Senate Bill 636. Chairman is Sen. Kurt Schaefer, R-Columbia. The committee examines how agencies at all levels in the state handle cases of child abuse and neglect. The body has been split into several subcommittees that will each study a set of issues related to such cases. The December meeting allowed the committee members to update the status of several projects and finish any 2014 time sensitive filings and reports.

The Joint Committee on Solid Waste Management District Operations was established in Senate Concurrent Resolution 17 and most recently met on Dec. 3 to work on a draft of a final report which is due to the General Assembly for submission by Dec. 31; at that time the Joint Committee will be dissolved.

The Sentencing and Corrections Oversight Commission held its meeting on Dec. 30, via phone conference to finalize is 2014 budget.

To see a list of upcoming Senate hearings, visit the Missouri Senate’s official website at www.senate.mo.gov and click on the “Hearings” link on the right side of the page.

The Missouri Senate’s Capitol Briefing will be distributed and posted weekly throughout session. 

For more legislative news, please visit the Senate newsroom at www.senate.mo.gov/newsroom, where you will find various audio and video programs and other informational services, such as:

  • Missouri Legislative Update – A video program produced throughout the legislative session and interim that provides an overview of news in the Missouri Senate and House of Representatives.  The program features news interviews with lawmakers conducted by Missourinet’s Bob Priddy and stories on issues concerning Missourians.
  • This Week in the Missouri Senate – A weekly, audio program that wraps up the week’s news in the Missouri Senate.  Programs are posted online every Friday in .mp3 format.
  • The Senate Minute– A condensed, one-minute audio report of current Senate news.  Programs are posted in .mp3 format and are available through podcast.
  • Daily Audio/Video Clips – Throughout the year, the Senate Newsroom posts broadcast-quality audio and video highlights from Senate committee hearings, floor debate, press conferences and other legislative events.  Please note: Clips linked to this Capitol Briefing are only available for the legislative week referenced in the publication.