Legislative Update - 2024, Week 18

GOVERNOR SIGNS VOUCHER/CHARTER EXPANSION BILL INTO LAW

Governor Parson signed SS#2/SCS/SB 727 (Andrew Koenig) into law on May 7. The Association opposed the bill and appreciates the many Association members who conveyed their opposition and urged Governor Parson to veto the bill.

SB 727 expands the existing tax credit voucher enacted in 2021 and authorizes the establishment of charter schools in any district in Boone County without sponsorship by the local school board. The bill contains many other provisions, most of which will go into effect on the normal effective date of August 28, 2024. The provisions requiring public vote in certain districts on school calendars with a four-day week will become effective for the 2026-27 school year.

 

LEGISLATURE PASSES BUDGET BILLS

The House agreed to the Senate Substitute versions of the budget bills on May 10, completing passage of next year's state budget just hours prior to the 6 pm deadline for passing those bills. Those bills will be printed in final form and delivered to the Governor for his consideration. The Governor has line-item veto authority regarding the various items in each of the budget bills.

The Senate Substitute for HB 2002 (Cody Smith) for K-12 education contains some changes from the SCS. The additional $120.6 million in increased formula funding is appropriated from lottery funds as contained in the House version of the budget. The Senate substitute also reduces Title II and Title IV federal funding appropriations by $6 million each.

 

SENATE PASSES FRA HEALTHCARE PROVIDER TAX

The Senate passed SS/SB 748 (Lincoln Hough) on May 9. The bill would extend the healthcare provider tax (also known as federal reimbursement allowance or FRA) for five years. Extension of the FRA provider tax is an essential part of successfully passing the state budget. The combined budget impact of the FRA and federal matching funds is more than $4 billion, and the House and Senate versions of the budget both assume that these funds will be available to fund Medicaid services. This bill now proceeds to the House for its consideration. The House is expected to pass the bill next week.

 

INITIATIVE PETITION

The Senate briefly debated a motion to adopt the House version of SS#4/SJR 74 (Mary Elizabeth Coleman) on May 9. However, the motion was withdrawn before a vote. The Association opposes the joint resolution and remains concerned that the resolution will make it more difficult for Missouri citizens to bring forward and gain approval on measures of interest brought by the initiative petition process.

HJR 86 (John Black) was reported to the floor on May 9. This is another resolution seeking to make it more difficult to amend the Constitution through the initiative petition process and includes similar "ballot candy".

The Senate seems likely to bring up one of these two IP measures next week. Senate Democrats have staunchly opposed this measure, particularly versions with the so-called ballot candy. Meanwhile, "Freedom Caucus" members have blocked Senate progress this session on key issues such as FRA and the budget to leverage a vote on an IP measure. It is unclear how this issue will be resolved next week in the Senate, but the strong positions held on each side make it likely that is the last issue and perhaps the only issue discussed by the Senate next week.

 

SENATE SELECT COMMITTEE ON EMPOWERING MISSOURI PARENTS AND CHILDREN

The committee heard SB 1440 (Mary Elizabeth Coleman) on May 7. The bill prohibits public and private K-12 schools and institutions of postsecondary education from being members of any statewide athletic activities association that allows students to use performance-enhancing drugs.