Volume 1, Issue 13 – The Week of April 22, 2019
Exploring the Senate’s Plan to Fund State Government
It’s taken several months to reach this point, but the Missouri Senate has approved its version of the state’s operating budget for the upcoming fiscal year. The 13 appropriation bills that form the foundation of the state budget started out in the Missouri House of Representatives and after much debate and deliberation, they were sent to the Senate. These bills were then carefully scrutinized by the Senate’s Appropriations Committee, being changed along the way, before being voted out of the chamber by the full Senate this week.
The $29.75 billion budget approved by the Senate is comprised of state revenue, federal dollars and other revenue sources. It funds the entirety of state government, including a wide range of state departments, agencies and programs for the upcoming fiscal year beginning July 1. Legislators try their best to ensure the budget properly reflects the priorities of their constituents and helps make Missouri a better place to live, work and raise a family.
Below, you’ll find an overview of the 13 appropriation bill approved by the Missouri Senate:
- House Bill 1 – Provides funding to pay for public debt.
- House Bill 2 – Provides funding for the Department of Elementary and Secondary Education. The Foundation Formula, which is used to determine how much funding our k-12 schools should receive, was fully funded this year. To be fully funded, an additional $61 million was allocated over last year’s budget.
- House Bill 3 – Provides funding for the Missouri Department of Higher Education, which oversees colleges and universities across the state. The Senate’s version of HB 3 provides a core funding increase of $1 million for several of our state’s public colleges and universities, including Harris-Stowe State University. As part of the governor’s initiative to develop a highly skilled workforce for the future, HB 3 also provides funding for the MoExcels Workforce Initiative and the Fast Track Workforce Initiative. These programs will foster education and training programs that lead to real job opportunities.
- House Bill 4 – Provides funding for the Missouri Department of Revenue (DOR) and the Missouri Department of Transportation (MODOT). Included in the Senate’s version of HB 4 is $350 million made up of a combination of general revenue and funds to be generated from a proposed bonding plan to support the repair and construction of 250 aging bridges across the state.
- House Bill 5 – Provides funding for the Office of Administration and state employee fringe benefits.
- House Bill 6 – Provides funding for the departments of Agriculture, Natural Resources and Conservation, which help maintain the natural world around us.
- House Bill 7 – Provides funding for the Department of Economic Development, which oversees numerous job training assistance and job retention programs. House Bill 7 also appropriates funding to the Department of Insurance, Financial Institutions and Professional Registration and to the Department of Labor and Industrial Relations.
- House Bill 8 – Provides funding for the Department of Public Safety. This appropriation bill includes funding for State Emergency Management Agency (SEMA) grants for flood recovery, prevention and mitigation, as well as de-escalation training opportunities for law enforcement.
- House Bill 9 – Provides funding for the Department of Corrections. The consolidation of Crossroads and Western Missouri correctional facilities is expected to help save the state money.
- House Bill 10 – Provides funding for the Department of Mental Health and the Department of Health and Senior Services. These departments cover a range of medical services including mental health services, women’s health services, opioid addiction prevention and treatment and more.
- House Bill 11 – Provides funding for the Department of Social Services (DSS). This is one of the larger appropriations bills, since DSS administers MO HealthNet, our state’s Medicaid program. While also providing health care coverage to those in need, DSS also oversees a range of services promoting the safety and well-being of Missouri’s families and children.
- House Bill 12 – Provides funding for statewide elected officials, the judiciary, the state public defender’s office and the Missouri General Assembly.
- House Bill 13 – Provides funding for real property leases, related services, utilities, systems furniture, structural modifications and related expenses for several departments of state government and the divisions.
Again, it is important to note that this is the Senate’s version of the budget. Since there are some differences between the Senate and House versions of the budget, the House will need to agree to any changes before the budget is truly finalized. If the Missouri House does not agree to the Senate’s changes, members of both chambers will work to reach a compromise on these funding issues in a conference committee. After a compromise has been reached, the budget will be sent to the governor for consideration.
While we are looking ahead to the next fiscal year, I think it is also important to realize that the fiscal year we’re in has not yet come to an end. With just over two months left in Fiscal Year 2019, the state still has significant payments to make, including average monthly expenditures of:
- Approximately $275 million for the DESE Foundation Formula;
- Approximately $300 million for Medicaid and other public assistance payments;
- Approximately $90 million for monthly state payroll; and
- Approximately $65 million in monthly payments to our state’s public colleges and universities.
That being said, as of April 24, year-to-date general revenue collections for the state showed about a two percent growth rate from the previous fiscal year.
Thank you for your interest in the legislative process. I look forward to hearing from you on the issues that are important to you this legislative session. If there is anything my office can do for you, please do not hesitate to contact my office at (573) 751-3599.