Legislative Column for Jan. 17, 2020
It’s been a busy week at the State Capitol. The first full week of the 2020 legislative session found senators hunkering down in committee hearings to begin considering the bills introduced this year. The Appropriations Committee, of which I’m a member, heard budget requests from a number of state agencies. This process will continue for weeks, as there’s a lot to consider when crafting a $30 billion state budget. I also had the opportunity to present Senate Bill 530 before the Government Reform Committee. This bill makes it clear that the “gray box” gambling machines springing up across our state are illegal. I am optimistic that this bill will see debate on the floor this week.
Amid a full schedule of hearings and activities in the Senate chamber, the General Assembly gathered in a joint session to listen to the governor outline his policy and budget priorities for 2020 in his annual State of the State Address. Building on the success of workforce development and transportation investment initiatives begun in 2019, the governor set a steady course for continued prosperity in Missouri. He spent some time reminding us of the positive outcomes from our efforts last year. Many of those accomplishments are quite remarkable.
Declaring that the state of our state is strong, the governor said that Missouri now ranks seventh in the nation for small business job growth. We are the No. 2 state for apprenticeships. Our unemployment rate is just 3.1 percent, and has remained below the national average for 40 straight months. All told, there are 40,000 more Missourians working than when the governor took office.
The governor justifiably expressed pride in Missouri’s record of attracting new businesses and expanding existing facilities. Agri-business giant Bunge is moving its global headquarters to Missouri. Bayer announced they would add 500 jobs in St. Louis. Pfizer invested $230 million in our state. Boeing secured a contract to produce the TX trainer aircraft here. Briggs and Stratton relocated jobs to Poplar Bluff. Dollar Tree is building a $110 million distribution center in Warrensburg. The recently built Nucor steel plant in Sedalia will hire 250 workers.
Topping the list of job-creating developments in the past year is General Motor’s announcement that it would spend $1.5 billion to update their Wentzville plant for new truck production. Meanwhile, the National Geospatial Intelligence Agency, currently located in South St. Louis, is building a new billion-dollar complex in an economically distressed area of north St. Louis. Not to be overlooked is the decision by USDA to relocated two Washington, D.C., divisions to Kansas City. This is a big deal – not just for the 500 jobs the move will bring but it’s the first time that the U.S. government agency charged with overseeing agriculture has located a significant office near farms and farmers.
Another major focus of this governor’s administration is infrastructure investment. In 2019, the Legislature appropriated $50 million for a cost-share program that would help support transportation improvements in local communities. The results exceeded our expectations. The governor said that $50 million will lead to nearly $150 million in new projects. The total economic impact from the measure is estimated to be $350 million. It was definitely money well spent.
The governor’s 2020 budget also includes money to pay local counties for jail costs and increased funding for school transportation programs. He also asked the Legislature to approve significant investments in early childhood education, services for those with developmental disabilities and a program to prepare high school students to move onto trade schools.
One of the governor’s proposals touched closely on a measure I’m advocating. He called for the state to create a new cash operating fund. The money for this account would come from sales tax collections on internet sales. Missouri does not currently collect sales tax online unless the merchant has a facility in the state. A recent U.S. Supreme Court decision cleared the way for online sales taxes nationwide. I have sponsored a bill to add Missouri to the list of 35 states that have crafted laws mirroring the court’s Wayfair decision. As it stands now, local brick-and-mortar businesses are at a competitive disadvantage because they have to collect sales tax but the big online sellers don’t. Also, local communities miss out on millions of dollars that could fund schools, fire departments and other essential services.
As always, I appreciate it when groups from around Missouri and from our community back home come to visit me at the Capitol. If you would like to arrange a time to come and visit me in Jefferson City, or if you ever have any questions, please don’t hesitate to contact my Capitol office at (573) 751-1882.