By Otto Fajen
MNEA Legislative Director
CAPITOL ACTION DAYS
Capitol Action Days are part of the Association's plan to promote positive policy for public education. MNEA's Capitol Action Days occur regularly on Wednesdays during legislative session and concluded this week on May 7. For more information, please visit https://www.mnea.org/CAD
LEGISLATURE APPROVES BUDGET
The House and Senate approved the conference committee versions of the state budget bills on May 9. This includes the operating budget bills (HB 2 to HB 13) along with HB 17 (capital improvements and other projects), HB 18 (maintenance and repair), and HB 19 (capital projects). The bills will be printed in final form and presented to the Governor.
HB 2 is the K-12 education budget bill. The Senate-approved version of HB 2 fully funds the school aid formula based on the DESE recommendation of an increase of $497 million. Conferees approved the Senate position to fully fund the school aid formula. The Association supports the conference committee’s action to fully fund the formula.
The Governor did not originally propose to fully fund the formula. While Article IV, Section 26 of the Missouri Constitution prohibits the Governor from reducing any appropriation for public schools by line item veto, the Governor can withhold appropriated funds, including public school funds, in the case where state revenues are less that the estimated amount on which the appropriations were based.
The conferees also approved the House provision from HB 12 to include the Governor's proposed $50 million general revenue (GR) appropriation to the State Treasurer for the state's tax credit voucher. The Association opposes the GR expenditures to the state's tax credit voucher program in HB 12 and appreciates the support of legislators who voted in opposition to this provision. HB 12 was narrowly approved in both chambers. The House passed the bill by a vote of 84-55, while the Senate approved the bill by a vote of 19-14.
HB 3 is the higher education budget bill. The conferees approved the higher 3% core increase for all public institutions, including community colleges, four-year institutions, and the state technical college.
HOME SCHOOL ACTIVITIES BILL
The House approved the conference (CCS) version for HCS/SS/SB 63 (Ben Brown) on May 8. The bill is now Truly Agreed and Finally Passed and will be prepared in final form and presented to the Governor for his approval or veto. The bill would allow home school students to participate in activities sanctioned by statewide activity organizations, such as MSHSAA. The CCS removes the language of HB 1386 (Ben Keathley) pertaining to recovery high schools.
RETIREMENT INVESTMENT PROVISIONS
The House approved SS#2/SCS/HB 147 (Barry Hovis) on May 8. The bill is now Truly Agreed and Finally Passed and will be prepared in final form and presented to the Governor for his approval or veto. The bill also has provisions that pertain to school retirement systems. The bill includes HB 657 (Bill Owen) to enact additional provisions regarding the investments of all Missouri public pension systems, including PSRS and PEERS, regarding proxy voting and their fiduciary investment priority. The bill also includes HB 977 (Barry Hovis) to require that public pension systems comply with various federal restricted investments lists. Both added provisions are consistent with current PSRS/PEERS policies and operational practices. Sen. Rusty Black offered Senate Substitute #2 on May 6. The SS#2 version is consistent with PSRS/PEERS policies.
CAPITAL GAINS TAX CUT
The House approved the SS version of HCS/HBs 594 & 508 (Chad Perkins) on May 7. The bill is now Truly Agreed and Finally Passed and will be prepared in final form and presented to the Governor for his approval or veto. The SS version includes several additional tax provisions, including increases to the income tax credit for property taxes or rent paid by qualifying seniors (the so-called Circuit Breaker tax credit). The Association remains concerned that the overall fiscal impact of this tax cut will reduce the legislature's ability to invest in public education and other essential services.
OMNIBUS HIGHER EDUCATION BILLS
House and Senate conferees approved CCS versions for HCS/SB 150 (Jill Carter) and HCS/SS/SB 160 (Brad Hudson) on May 7. Each bill is an omnibus higher education bill. The House amended many provisions to each of the bills. While not identical, these bills are now hosts to broadly overlapping sets of higher education provisions. Conferees agreed to keep all of the House provisions added to SB 150, while several House provisions were removed from SB 160. The remaining provisions in SB 160 are the original bill on discrimination on student organizations, the provision regarding discrimination based on hairstyles, the provision requiring policies against antisemitism, the provision against student hazing, and the language to allow Missouri State University to offer certain doctoral degrees. The Senate also approved the CCS for SB 160 on May 7.
OMNIBUS K-12 EDUCATION Bill
House and Senate conferees approved a conference committee version on HCS/SS/SCS/SB 68 (Mike Henderson) on May 7. The Senate also approved the CCS on May 7, and the bill now awaits final House action. The House adopted a massive HCS version of the bill after adopting thirteen amendments. The Senate version requires local educational agencies to report school safety incidents to DESE. The Senate bill also requires school districts to adopt policies restricting student use of cell phones and other personal electronic communication devices during the school day. The HCS version of the cell phone provision is similar to HCS/HBs 408 et al (Jamie Gragg) and requires restriction of cell phone use during instructional time and mealtime. The conferees agree to retain most of the House provisions added to the bill.
OPEN ENROLLMENT
The House Legislative Review Committee approved a new HCS#2 version of SS/SB 266 (Travis Fitzwater) on May 6. The original bill would create standards for virtual schools or programs to administer statewide assessments. HCS#2 adds the Senate version of the open enrollment provisions of HB 711 (Brad Pollitt). HB 711 would create a program of public school open enrollment. The Association believes that public school choice plans with state funding may harm students and our public schools unless essential criteria are in place for implementing, monitoring, and evaluating their effectiveness. The Association opposes HB 711 based on this concern. The HCS#2 version raises additional concerns by removing transportation support for low-income students and allowing open enrollment to charter schools.
Find past issues of the Legislative Update at www.mnea.org/legupdate.