May 22, 2012

Legislature sends budget to governor (AUDIO)

The legislature has finished is plan; for paying for state programs and services in the next fiscal year…Governor Nixon will decide if any of the proposals need to be tossed out.

Senate Appropriations Chairman Kurt Schaefer admits the long budget process is something like hitting yourself in the head with a hammer—-it feels so good when you stop…

                                  AUDIO: Schaefer :18

Legislators have voted to spend more than $24-bilion But they’ve kept a teeny bit in reserve–about $6.4 million..

                                  AUDIO: Schaefer  :02

Governor Nixon wanted the legislature to cut higher education spending by $106 million from this fiscal year’s budget.  But the legislature rejected that idea and has appropriated the same amount for next year as was budgeted this year.    

Schaefer says the improving economy should eliminate the need for Governor Nixon to withhold funds–as he has done in the first three budgets of his administration.

The fiscal year starts July first.

 

Budget Conference Committee sends proposal back to House, Senate

The House-Senate Budget Conference Committee has wrapped up its work, leaving it up to the two chambers whether to approve the fiscal year 2013 spending plan and send it to the Governor.

Budget Conference Committee Co-Chairmen Kurt Schaefer (center of image) and Ryan Silvey (right). Photo courtesy: Missouri House Communications

As part of an agreement that ended a deadlock in the Senate, the Committee proposes dividing $3 million between seven institutions instead of the $2 million that had been allocated just to Southeast Missouri State University. The institutions and the amounts they will get are: Missouri Western State University – $516,559, Southeast Missouri State University – $885,969, Northwest Missouri State University – $515,476, Missouri Southern State University – $346,521, University of Central Missouri – $580,377, Lincoln University – $49,663 and Truman State University – $105,435.

Senate Budget Committee Chairman Kurt Schaefer (R-Columbia) told the conference committee that under the agreement, the Senate added to veterans home funding legislation a requirement that the Joint Education Committee develop a funding formula for higher education by 2015.

The Committee agreed to propose restoring $25 million to the Blind Medical Subsidy Fund, which the House had recommended cutting in its original budget proposal. The Committee added language to treat it like the State Children’s Health Insurance Program (SCHIP) children’s Medicaid program, limiting the program to those earning up to three times the poverty level and requiring copays or premiums for some income levels.

This answered the concerns of House Budget Committee Chairman Ryan Silvey (R-Kansas City), who didn’t like that it was open to people of all income levels. “The only means test that they employed was do they make too much to qualify for Medicaid? If so, you’re on the program. Now they’ll have to obviously means test those that are on the program and if you make over 300 percent, which by the way is over $57,000 a year for a family of three, if you’re making more than that then you’re not going to qualify for the program.”

In a statement, a Governor’s Office praises the restoration of money to the fund but opposes the proposed limitations. A Jay Nixon spokesman says, “the attempt to place additional limitations on eligibility through the budget process does not change existing law – and is invalid. We will ensure that this program continues to serve all 2,800 needy, blind Missourians who depend on it.”

See the budget bills

The Committee’s plan would language that would have pulled funding from the Sue Shear Institute for Women in Politics at the University of Missouri-St. Louis, but left a section that says institutions participating in political activity can not receive state funding.

Schaefer says that just reflects current law, “which is that no money going to higher education should be used for political activity. Whether it’s the Sue Shear Institute or anything else, if it’s public money that’s being used through public education to fund political activity, that already was basically against the law anyway.”

The Committee proposed restoring $3 million to the tourism budget, leaving it about $200,000 below what it was before the Senate cut it in its original budget proposal. The Committee also settled on $750 thousand for regional autism projects. The House had originally proposed $1 million dollars for those, with the Senate having proposed no funding.

Earlier in the week its members opted to go with the House’s proposal that all state workers making under $70,000 a year would receive a 2 percent raise beginning July 1.

Its proposal now goes back to the House and Senate for consideration. Per the Constitution, the budget must be delivered to the Governor by Friday.

Veterans bill logjam cleared in Senate (AUDIO)

A logjam on a veterans homes bill has been broken in the state senate, opening the way for approval of the new state budget.

Cape Girardeau Senator Jason Crowell had been blocking votes on any bill since an all-night filibuster ended early Tuesday morning, protesting  plans by the Speaker of the House to give Southeast Missouri State University an extra two million dollars the school had not asked for.

Southeast Missouri State will get some extra money, but most of the extra money will be spread among several other schools.

Approval of the bill provides millions of dollars more for veterans homes and services.  That, in turn, lets budget-writers fill in some important blanks in the budget that has to be approved by Friday evening.  Legislative leaders now hope that work can be finished tomorrow, allowing lawmakers to have a three-day weekend before the push to adjournment next week..

AUDIO: Sens. Lager & Crowell 2:26

Senate floor leader expects debate to resume today (AUDIO)

The spotlight is on the state senate as the clock winds down on approval of a new state budget.       On the day after a key bill for budget discussions got caught in the middle of a dispute between the speaker of the house and a veteran state senator, the senate met three times for only a few minutes and called it a day. 

Majority leader Tom Dempsey, who sets the work schedule, thinks the time was better spent working out disagreements..

Speaker Steven Tilley wants 2.3-milion extra dollars in the budget for Southeast Missouri State University.  Cape Girardeau Senator Jason Crowell wants it out and will block a vote on every bill in the senate until the money is removed. 

Both men represent the school. 

The dispute is holding up a vote on a veterans home funding bill.  Budget negotiators say that bill needs to pass so they know whether to cut the budget by another 30-mililon dollars or leave the money in the spending package.  Senate President pro-tem Rob Mayer isn’t so sure the bill needs to be passed before the budget is finished. He says past legislatures sometimes have passed bills for programs or buildings after a budget containing money for the project is passed.

Legislative rules indicate something needs to happen today to assure lawmakers will hit their Friday evening deadline for passing the new budget.

 

AUDIO: Dempsey press conference 3:48

House passes plan to resume taxing of out-of-state vehicle purchases

The House has approved an attempt at resuming collection of taxes on vehicles purchased out-of-state, after a state Supreme Court ruling halted it earlier this year.

Representative Caleb Jones (Photo courtesy, Missouri House Communications)

The Court ruled that Missouri should not have been collecting sales tax on vehicles bought outside Missouri. An amendment offered by Representative Caleb Jones (R-California) would take a new approach by redefining a sale. “It simply states that the consummation of a sale of a motor vehicle out-of-state is deemed consummated whenever it is registered here by the owner at the Department of Revenue.”

Representative Craig Redmon (R-Canton) says cities and counties must be allowed to resume collection of those taxes.

“In my district (in northeast Missouri), on the low side if we don’t get this reenacted, in one year that district’s going to lose $420,000. On the high side, that’s going to be one million, three hundred thousand. That’s doing 80 cars a week at $10,000 a car. That’s a huge financial impact to our state if we don’t do something.”

Representatives Nick Marshall (R-Platte City) and Stanley Cox (R-Sedalia) say the proposal, by redefining when a sale is closed, is an innovative end-run around the Constitution, and say the tax should be put to a vote of the people.

The language was amended to SB 591, which was sent back to the Senate for consideration on a vote of 122-21.