Missouri Press Association
Serving Missouri Newspapers Since 1867
Missouri News Network: Statehouse News for MPA Members
This report is written by Missouri School of Journalism students for publication by MPA member newspapers in print and online.
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Missouri News Network stories this week includes coverage of action on a number of important bills as the legislature prepared for it’s mid-session break.
If you have thoughts or questions, contact Fred Anklam at anklamf@missouri.edu.
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THURSDAY
Republicans celebrate legislative wins midway through the session
By Natanya Friedheim, Missouri News Network
JEFFERSON CITY - Flanked by about 50 Republican state lawmakers, Gov. Mike Kehoe stood outside the state Capitol Thursday to applaud the lawmakers’ progress in pushing a conservative agenda.
The celebratory press conference marked the midpoint of the legislative session as the lawmakers dispersed for a week off. Democrats, who have acknowledged a more unified Republican party this year, pushed back on the GOP enthusiasm in individual interviews without a formal news conference of their own.
Party cohesion has greeted Kehoe’s first year in office, a contrast to in-party squabbles that has stalled conservative legislation for several years.
“As I've said all along, I'm a small business guy, and I want results produced,” Kehoe said. “And the folks standing behind me, in my opinion – and I've been around this building several years now – have certainly produced incredible results. I think party unity early in the session has been a big piece of it.”
Chief among their accomplishments lauded Thursday is House bill 495, which gives the state more control of the St. Louis police department. In 2012, voters approved a measure giving city authorities control of the department.
“The men and women in uniform deserve the ability to do their jobs without interference from radical politicians who are soft on crime,” said Republican Majority Floor Leader Sen. Tony Luetkemeyer, R-Parkville.
Republicans are focused on passing “strong, conservative legislation,” Luetkemeyer said.
On Wednesday, House lawmakers passed an omnibus tax reform bill, House bill 798. Over the course of a decade, the bill would introduce a flat state income tax rate. The measure also eliminates capital gains tax and reduces the corporate tax rate by 0.25%.
Just before the press conference, the House passed House bill 903, an effort to reduce personal property tax by reducing assessed value.
“Though we can't do much about the inflation that people are feeling, I think letting people keep more money in their pockets is the right thing to do,” said House Speaker Jon Patterson, R-Lees Summit.
Other Republican legislative successes mentioned Thursday include:
Republicans are also looking to roll back amendments to the state constitution voters approved last November. Two measures have advanced in the Senate to reinstate an abortion ban.
Another bill that passed the House this week, House bill 567, would repeal provisions related to paid sick leave and modify minimum wage increases voters approved last year. Kehoe said minimum wage should be market driven and that the sick leave provision will cause issues for businesses.
In the face of a unified Republican supermajority, House and Senate Democratic leaders said they are focused on defending the new constitutional language.
“It’s a consensus that this body continues to disregard the will of the Missouri voters. It's very disturbing, but the Democratic Party will still fight for the will of the people,” said House Minority Floor Leader Marlon Anderson, D-St. Louis.
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Education bills on school-choice, DEI move through legislature
Molly Gibbs and Scout Hudson, Missouri News Network
JEFFERSON CITY — Gov. Mike Kehoe set the tone for education legislation early, in his State of the State Address. Legislators have followed his lead, pushing through bills on school choice while finding ways to prohibit DEI and remove protections for LGBTQ+ students.
His promise to change the school funding model also prompted action from both chambers. The House and Senate will appointment members to Kehoe's School Modernization Task Force Committee, which is aiming to redefine how public school funding is allotted.
School Choice
House Bill 711, would allow students to attend public schools outside of the district they live in and let districts opt in to the program on a voluntary basis. In his State of the State address, Kehoe said he supports school choice and urged legislators to pass the bill.
Following his direction, legislators passed the bill in the house by a vote of 88-69. All but three democrats voted against the bill, 22 republicans joined them in opposition.
Rep. Kathy Steinhoff, D-Columbia, testified against the bill. When Missouri first introduced a school choice voucher system, it was introduced as a tax credit. It was done so with an understanding that it would not pull money away from public schools. Steinhoff worries the bill would be "devastating" on public school funds.
"Its not hard to see that we are taking money from public schools," she said. "This is so much bigger than a reserved open enrollment bill."
Senate bill 215 also seeks to expand school choice. It modifies a provision that allows students from unaccredited districts to transfer to an accredited school district in the same or an adjoining county. Under the bill, students from all school districts, regardless of accreditation status, would be able to transfer to a school district within or next to the county in which they reside.
A proposal to issue a tax credit for families that wish to educate their children outside of the public school system is making its way through the Senate. SB 195, would establish the "Missouri Parental Choice Tax Credit Act," and let a taxpayer claim a tax credit against their state tax liability equal to the amount spent on educating a student at a nonpublic school. The bill considers tuition, textbooks, tutoring and other non-consumable items a part of the expense.
Curriculum
A bevy of bills aim to remove diversity, equity and inclusion from student curriculum and teacher training. Senate Bill 115 would prohibit teaching any “any divisive concepts,”. Specifically: critical race theory and the 1619 Project, which reframes America’s history around the role and consequences of slavery.
Senate Bill 115 also contains a provision to create the "Sunlight in Learning Act" which would require certain training, instructional, and curricular materials be posted on a public or charter school's website. The bill has passed a committee and awaits Senate floor action.
Other bills, seek to add to the curriculum taught in public schools. HB 116, establishes the "Media Literacy and Critical Thinking Act," meant to teach Missouri's youth how to interact with traditional and social media. The bill is on the House calendar for consideration.
Senate Bill 56 would not allow students, teachers or employees to ascribe to or be instructed with DEI principles. The bill also prohibits educators from answering questions related to DEI. This bill is in committee with no hearing scheduled yet.
LGBTQ+
Senate Bill 212 has been passed by the Senate Education Committee and would require all school locker rooms and bathrooms to be designated male or female, and student use would be based on their sex assigned at birth. Effectively the bill bars transgender students from using the bathroom of their choice.
Schools would have to provide alternate options for students who assert their gender is different from the biological sex they were assigned at birth, but a parent or guardian must provide written consent for their student to use these accommodations.
The number of transgender athletes in Missouri’s high school athletics is unknown. At the national level the NCAA president estimated there are “less than 10” transgender athletes in college sports.
Parent’s Rights
The “Parent’s Bill of Rights” has returned to the Missouri legislature in SB 115 and HB 744. If passed, the bills would give parents more access to their children’s curriculum. Similar bills were introduced in the 2023 and 2024 legislative sessions but both attempts ultimately failed. HB 744 has had a committee hearing but has not been voted on.
Several bills in both chambers parrot the Parent’s Bill of Rights and propose more interfacing between parents, educators and administrators.
Sen. Rick Brattin, R-Harrisonville, has also proposed a joint resolution, which if passed would go to the voters for final approval. SJR 6 says the government can't deny a parent's fundamental right to participate in and direct the education of their child. That resolution has passed the committee he chairs.
Safety
Senate Bill 68 and HB 1074 would require local education agencies to report school safety incidents and threats to the Department of Elementary and Secondary Education. The House bill is in committee.
A provision of SB 68 also requires school districts and charter schools to develop a policy regarding student use of personal electronic devices. That bill has passed the Senate and is in the House.
Senate Bill 166, mandates that schools have a cardiac emergency response plan. This bill has bi-partisan support as legislators push for the safety measure and has been approved by the Senate Education Committee.
School Funding
Kehoe announced he would not fully fund the Foundation Formula, the equation that determines federal funding for the state’s public schools, in his State of the State speech. The current formula was written 20 years ago, and Kehoe ordered the creation of a task force to rewrite the formula.
The House has selected two delegates for the task force, but the Senate has yet to announce its appointments. In the two chambers, several bills angle at factors of the equation: attendance, transportation and grade level equivalency.
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WEDNESDAY
House bill promises corporate tax cuts, flat income tax rate
By Jake Marszewski, Missouri News Network
JEFFERSON CITY — A 4.7% flat income tax rate and corporate tax cuts were among major tax changes passed through the House on Wednesday.
House Bill 798 is an omnibus tax reform bill. The bill’s sponsor, Rep. Christopher Warwick, R-Bolivar, supported it on the House floor, claiming that tax cuts put dollars back into taxpayers’ pockets.
“Taxpayers can continue to stimulate with the economy through their income tax deduction,” Warwick said. “Our revenues are generating enough to lower that overall percentage for them.”
The current income tax rate for corporations is 4%. Under the new provisions, it would be lowered to 3.75%.
Among other things, the bill also eliminates the Missouri Working Family Tax Credit, which “provides tax relief to 180,000 working families in the state,” said Rep. Kemp Strickler, D-Lee’s Summit.
The bill also removes penalties for denied tax credits if the amount is repaid in 60 days and exempts capital gains from being taxed. It must pass the Senate before these provisions go into effect.
The bill drew heavy contention from the other side of the aisle. Strickler said part of House Democrats’ frustrations were due to the Republicans’ unwillingness to discuss certain details of the bill. He urged his colleagues to speak against the bill.
“The body was not told that the tax cuts would have about a $1 billion impact for revenue,” Strickler said. “Ask the questions. Do the inquiries. If you don’t know what’s in the bill or if you’re a little concerned about a number like $1.3 billion, then let’s ask.”
Strickler was referring to the $1.3 billion fiscal note attached to the bill that estimated the impact on revenue, which the state would have to make up. Democrats questioned the state’s ability to make that money back.
Rep. Chad Perkins, R-Bowling Green, defended the bill. He claims that the state can make the money back.
“It’s been said numerous times that the fiscal note on this bill is $1.3 billion, but that’s assuming everything in here hits exactly how it’s supposed to,” Perkins said. “That being said, over the last five years, the state general revenue has grown by $2.6 billion dollars over and above the inflationary rate.”
Others rebuffed the bill for providing further tax cuts for the rich, including Rep. David Tyson Smith, D-Columbia.
“We talk about helping the economy, but we always make sure the wealthy get a break,” Smith said. “If we’re gonna do this, let’s make sure to start at the bottom so that the people who are hurting get a break.”
Republicans pushed back in support of the tax cuts. Rep. Tim Taylor, R-Bunceton, spoke on how tax cuts would help smaller corporations.
“Corporations are always touted as ‘great big corporations,’ but these tax cuts go right down to the mom running a business in Boonville, Missouri,” Taylor said. “That’s who we’re talking about, not the big ones, but also the little ones and everything in between.”
After debating with House Democrats until order had to be called, Perkins elaborated on other benefits to his bill, including certain tax credits for family resources.
“A no vote here is a no vote for food pantries and a no vote for diaper banks,” Perkins said. “I would hate to go back to my constituents and vote no. My folks would be appalled by that, and I’m frankly offended.”
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St. Louis Police Department faces takeover from the state
By Hannah Taylor, Missouri News Network
JEFFERSON CITY — A bill removing city control over the St. Louis Police Department gained final approval by the Missouri General Assembly on Wednesday.
House Bill 495 received a 113-39 vote with seven members voting “present.” Democrats from the community were vocal in their opposition during final debate.
“I absolutely hate that you all are taking control of our local police department,” said Rep. Kimberly-Ann Collins, D-St. Louis. “We know what’s best for the city of St. Louis. It’s absolutely disrespectful.”
Collins then asked to address the sponsor, Rep. Brad Christ, R-St. Louis, repeating how disrespectful the provisions of the bill are to her and her community.
St. Louis will no longer control the Police Department, instead, a newly created board of police commissioners will control the city’s law enforcement.
The board will be made up of the St. Louis mayor, Tishaura Jones, four members appointed by Gov. Mike Kehoe and a member of a local business. Kehoe can appoint one person himself and the others based on recommendations by the mayor and representatives of the local police.
An emergency clause also passed, meaning implementation will happen as soon as Kehoe signs the legislation into law.
Last week, at a mid-session news conference held by Missouri Legislative Black Caucus, Rep. Mark Sharp, D-Kansas City, said that state control of local government forces has been ineffective. The Kansas City Police Department is run by a board of commissioners similar to the one proposed for St. Louis.
Sharp serves on the Crime and Public Safety Committee, which heard the bill in January. He also said Kansas City and St. Louis are the only two major cities in the country facing oversight from the state.
“Every week, it seems like we are coming in here to this chamber to debate issues that are continuously taking power away from our local officials,” Sharp said.
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Missouri business groups ask Supreme Court to overturn minimum wage increase
By Johnny Martin and Finnegan Belleau, Missouri News Network
Business leaders argued Wednesday before the Missouri Supreme Court that a new law increasing the minimum wage and guaranteeing paid sick leave should be overturned.
The coalition of business groups and leaders claim the law, which was approved by 57% of state voters in November, violates constitutional restrictions on ballot initiatives.
They argued that measures before voters can only address a single issue, but this one included both the minimum wage increase and paid sick leave.
The measure, called Proposition A, increased the state’s minimum wage from $12.30 an hour to $13.75 in January and will raise it to $15 in 2026.
The new law also gives workers up to seven paid sick days per year starting in May. Businesses with annual receipts greater than $500,000 must provide one hour of paid leave for every 30 hours worked.
The plaintiffs filed a lawsuit in December challenging the proposition. In addition to disputing the number of issues allowed, they argued that the summary explaining the ballot initiative was misleading and ignored crucial details, including domestic violence leave and exempt employers.
They also claimed the fiscal note summary on the ballot insufficiently described the measure’s economic impact. The state auditor prepares this short document to include the financial concerns affecting Missouri communities.
Attorney Marc Ellinger, who represented the business groups, emphasized Wednesday that the plaintiffs are not proposing that Proposition A is unfair to Missouri businesses.
Instead, their arguments center on claims that voters did not understand the measure because of the way it was presented on the ballot, he said.
“Voters were misled because when they go into the polling place, they need to see one thing on their ballot,” Ellinger said. “That’s the official ballot title, which has two components, the fiscal note summary and the summary statement.”
Andrew Crane, who represented the state attorney general’s office, argued that paid leave and minimum wage were close enough in topic to be included in the same measure.
“Those things completely relate to one subject, which is employee compensation,” Crane told the judges. “That subject is not impermissibly broad.”
Attorney Loretta Haggard also spoke in favor of Proposition A, asking the court to uphold the election.
“The contestants asked this court to overturn the will of the voters to exercise their fundamental right of the initiative based on technical issues that could have been, but were not raised before the election,” Haggard said.
On Tuesday, the Missouri House initially approved a bill that would repeal the sick leave law and modify the minimum wage provisions.
If passed, House Bill 567 would delay the minimum wage increase to 2028 and remove guaranteed paid sick leave entirely.
“It essentially leaves minimum wage how it passed, but it does strike the entire paid sick leave provision,” said Kara Korches, president and CEO of the Missouri Chamber of Commerce and Industry, about the House bill during a press conference after the hearing.
Five small business owners in Missouri, including Columbia’s Yellow Dog Bookshop owner, submitted a brief before Wednesday’s hearing in support of Proposition A.
“In contrast to the special interest groups and trade associations attempting to block Proposition A, these business owners see great value in paying workers a higher minimum wage and ensuring workers have paid sick time,” according to a news release about the brief.
The release added that an estimated 400,000 Missourians have already seen the results of Proposition A with pay increases, and at least 700,000 workers will begin to earn paid sick time on May 1.
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Senate bill would eliminate a tax worth 6% of the state's revenue by 2030
By Molly Gibbs, Missouri News Network
JEFFERSON CITY — Senate Bill 370 would phase out the corporate income tax by 0.8% each year until it is completely eliminated in 2030. The tax accounts for roughly 6% of the states general revenue.
Bill sponsor Sen. Mike Moon, R-Ash Grove, said the bill will ultimately lower prices, raise wages and encourage businesses to move to Missouri.
Missouri’s corporate income tax is currently 4%, one of the lowest in the nation, according to the Tax Foundation. Six states, including Ohio and South Dakota in the Midwest, have no corporate income tax. That means, out of states with the tax, Missouri is tied for the second-lowest rate in the nation. North Carolina has the lowest rate at 2.25%.
Still, Moon and proponents of the bill say lowering the tax rate and eventually completely eliminating it would give the state a “competitive advantage” as companies consider moving to Missouri.
Sen. Barbara Washington, D-Kansas City, asked Moon and witnesses how this bill would attract companies, help individuals and affect the state budget.
“Kansas is at 6.5% ... we’re already lower,” she said. “And we’re already losing companies to Kansas, a lot.”
Byron Keelin, president of Freedom Principle MO, a right-leaning advocacy group, told Washington that Missouri’s taxes drive companies out of the state. He said eliminating the corporate income tax would lower the overall tax burden on companies.
Washington continued, asking Keelin how the bill would help the “regular, every day person.”
Keelin, who was testifying in support of the bill, said it is a “common misconception” that companies pay corporate income taxes. Most of the tax burden is passed to consumers through higher prices and lower wages, he said.
If implemented, SB 370 will remove hundreds of millions of dollars from the general revenue fund. According to the fiscal note, the state will lose $80.4 million in fiscal year 2026.
As the tax continues to lower, losses will increase. When the tax is fully eliminated in fiscal year 2031, the state will lose $893 million general revenue for that year.
Moon said he was not concerned when Washington asked how the state would make up for these losses.
“I know personally, when I don’t have as much disposable income, or income in general, I stop spending on unnecessary things,” he said.
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TUESDAY
Bill threatens MU's exclusive authority to grant doctoral degrees
By Natanya Friedheim, Missouri News Network
JEFFERSON CITY -
A bill that would allow public universities other than the University of Missouri to confer certain graduate degrees passed out of the Senate education committee Tuesday despite misgivings of the committee chair.
Current law deems the University of Missouri System, which has four campuses, the state’s only “public research university.” Among public universities, UM System schools alone can grant doctor of philosophy degrees or professional degrees, such as those in dentistry, law or medicine. Missouri’s other public universities can partner with the University of Missouri to offer degree programs.
“Missouri has the most restrictive statute in the nation when it comes to the issuance of engineering degrees or research doctorates,” John Hutchinson, a higher education consultant, said at the hearing.
The bill’s supporters, including Missouri State University President Richard Williams, argue stripping MU’s special privilege will allow other public universities to expand graduate programs without authorization from MU.
“This is relieving restrictions so we can all be nimble,” Williams said. He added that Missouri State University has no plans to start a medical school or become a major research institution.
Critics fear the bill could lead to tuition increases. Others argue it could increase public spending.
“I think as it’s written, it’s a terrible bill because it would be a massive cost,” Sen. Rick Brattin, R-Harrisonville, education committee chair, said in an interview.
Brattin noted that other universities would have to invest significant money to build out advanced degree programs similar to those offered at MU.
“So that’s why I’m like, this isn’t free market — this is taxpayers having to build up all that infrastructure,” he said.
Jim Spain, MU’s vice provost for undergraduate studies, was among those who spoke against the proposed change. During the hearing Tuesday, Brattin nodded his head as Spain explained his opposition.
“There’s been a fair bit of discussion this morning about workforce development,” Spain said at the hearing. “The greatest workforce development need is at the community college and the four-year degree level, not at the Ph.D. level.”
Supporters argue the bill does not authorize additional funding, just the ability for other universities to offer degrees.
The measure heads to the Senate floor next, then must pass the House. Brattin apprehensively brought the bill up for a vote in committee, saying he expects it to be amended.
“It’s supposedly going to be a completely different bill,” he said in an interview after the hearing.
This year’s bill sponsor, Sen. Lincoln Hough, R-Springfield, introduced a similar measure last year. That bill made it out of a committee but never to the Senate floor.
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House bill would give MoDOT funding oversight to the legislature
By Fletcher Mantooth, Missouri News Network
JEFFERSON CITY — MoDOT’s funding came into question Tuesday evening with a bill being heard by the House Transportation Committee.
As it currently stands, funds from the federal government and a motor vehicles tax are diverted directly to MoDOT, which then goes into projects and other spending.
House Bill 1409, sponsored by Rep. Don Mayhew, R-Crocker, would divert those funds into a road fund overseen by the legislature.
“There is no MoDOT money,” Mayhew said. “It’s the people’s money. All this bill does is put that money into funds that can be properly monitored and overseen by the very folks who the people rely on to do that job.”
This bill comes from concerns that MoDOT is not being transparent with its spending and that the Missouri Highways and Transportation Commission, which currently oversees MoDOT, is appointed by the governor and not the people.
Opponents of the bill worry that this was an attempt to gut MoDOT. Members of the committee raised concerns that the bill would require the legislature to appropriate the funds collected to MoDOT, which could interfere with longer-term projects.
“Giving the power to politicians is not the direction I think we should go. I think we should leave that to the professionals and the engineers,” said Rep. Michael Burton, D-Lakeshire.
Further concerns were raised regarding the constitutionality of the bill. The motor vehicles tax that contributes to MoDOT funding is currently enshrined within the Missouri Constitution. Opponents were concerned that the bill would contradict the language in Article IV Section 30 the constitution, which expresses that the revenue go directly into the state roads fund under the oversight of the Missouri Highways and Transportation Commission.
According to the Missouri Constitution, these funds “shall not be included within the definition of ‘total state revenues’ as that term is used in Section 17 of Article X of this constitution nor be considered as an ‘expense of state government’ as that term is used in Section 20 of Article X of this constitution.”
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MONDAY
House again signals support for open enrollment in public schools
By Shane LaGesse, Missouri News Network
JEFFERSON CITY — State representatives gave initial approval Monday for House Bill 711, continuing a yearslong push for open enrollment in Missouri’s public schools.
The bill would enable public school districts to opt into an open-enrollment program that allows students to transfer to another participating district.
Supporters of HB 711, which is similar to legislation that has been passed in the House every year since 2021, repeatedly voiced that open enrollment would increase parental control and offer more flexibility in education and extracurricular activities for Missouri’s public school students.
The bill’s sponsor, Rep. Brad Pollitt, R-Sedalia, also noted that the bill offers a greater ability for public schools to compete with other educational institutions regarding the broader issue of school choice.
“Each year, school choice bills are filed and debated, and this will continue for the foreseeable future. This may be the only chance for a choice bill that you vote on (that) is concentrated on keeping students within the public school system,” Pollitt said in his explanation of the bill.
Still, the bill faced pushback from numerous representatives who voiced concerns that it could cause significant upheaval to the public school system and would disproportionately affect some districts across the state, causing them to shed students.
“To our rural districts, if you think this is not going to impact you and your districts are not going to merge, you are in some kind of dream land, because that is what will happen,” Rep. Jo Doll, D-St. Louis, said in opposition to the bill.
The bill would allow districts to limit the number of outgoing transfer students to 3% of the previous year’s enrollment.
However, several representatives noted that limit, as well as other guardrails included in the bill, could be changed in the future.
“I get that this may be the best out of the choice bills that are out there, but the bigger thing is it opens the door,” Rep. Kathy Steinhoff, D-Columbia, said in opposition to the bill. “All of these guardrails can be swept away once this bill passes.”
Several representatives also raised concerns about access to transportation for students who transfer schools through the program, as well as its application to students in special education programs.
Additionally, the House approved an amendment to the bill, increasing the number of years a transferring student must commit to a school from one to two years.
The bill must now pass a final vote in the House before moving to the Senate for further debate.
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Utility rates bill passes House committee
By Sterling Sewell, Missouri News Network
JEFFERSON CITY — A Senate bill, which consumer groups say would raise utility rates, was passed by a Missouri House committee Monday.
The omnibus bill, which passed the Senate two weeks ago by a bipartisan vote, has been on a fast track through the Missouri General Assembly. Monday’s action sets the bill up to be considered by the full House.
On Monday, the House Utilities Committee heard and passed the bill in the same meeting. This marks a break from House norms as bills usually are voted on at a separate committee meeting following a hearing at which testimony is given.
Utilities Committee Chair Rep. Bob Bromley, R-Carl Junction, said that many of the provisions of the bill have already been passed through the House in previous years and that he did not feel multiple meetings were needed for a vote.
Two key provisions of the bill, proposed by Sen. Mike Cierpiot, R-Lee’s Summit, have faced criticism.
The first would change the current policy for utility rates, allowing gas and water companies to request rate increases for consumers based on estimates of future costs. This rate policy is referred to as “future test year.”
The other provision would allow energy companies to seek to charge consumers for “construction work in progress” or CWIP. This means that energy companies could earn revenue on natural gas power plants as they are being built and before they are operational.
There is an additional provision that could allow CWIP charges for any new plant approved by the Missouri Public Service Commission. This could include nuclear power plants.
The CWIP proposal drew the most attention during Monday’s hearing.
Cierpiot pointed to consumer protections connected to CWIP charges. In the bill, the commission could deny companies’ applications for CWIP charges. Additionally, if the plant being paid for with CWIP charges never goes into operation, consumers would receive a refund, including interest, he said.
Cierpiot has received tens of thousands in campaign donations for energy and utility organizations to his campaign and Political Action Committee.
Cierpiot, as well as others who testified in favor of the bill, said that the CWIP legislation would incentivize increased construction of power plants in the state.
Jason Klindt, senior director of external affairs at Evergy, said this increased construction could make it so Missouri energy companies wouldn’t need to buy power from outside of the state. Evergy is the energy supplier for Kansas City and a large portion of the western part of the state.
Klindt noted that because of high energy demand nationally and low supply, the cost to buy power has greatly increased.
“Having the ability to control your own generation and being able to not have to buy off the market is going to be incredibly important for not having those opportunities where you have to buy at a ‘nuts’ price,” Klindt said.
Warren Wood, a representative for Ameren Missouri, said if Missouri energy companies increased capacity in the state, businesses would also be attracted to the state.
“The key criteria that’s not met is the broad capacity to bring these customers to the state,” Wood said. “They very much want to be here. We have a good, low electric rates. They see the reliability of the system and they want to be here but they are saying ‘When are you gonna have the capacity online?’”
Earlier this year, Ameren, which is the largest energy provider in the state, proposed 15% increases to utility rates that on average would cost consumers an additional $17 per month. The increased rate has yet to be approved by the Public Service Commission.
This past December, the Public Service Commission reported that 170,000 Missourians were behind on their Ameren payments.
William Wallace, president of Missouri Veterans Endeavor, said many veterans struggle to make utility payments.
“One debt that literally all of our homeless veterans have is utility debt,” Wallace said. “Utility debt is a huge, huge contributor to homelessness.”
Wallace and others who spoke against the bill worried about the effect of increased CWIP charges on utility rates, saying that increased rates could have be detrimental for individuals with disadvantages.
John Coffman, the utilities counselor for the Consumers Council of Missouri, said that this bill would lead to the largest utility rate increase in Missouri history. In a news release from the council, the nonprofit estimates that combined gas, electric and water rates could increase by $1,115 annually per household if the legislation is passed.
The figure presented by the Consumers Council of Missouri was called into question by Wood, Ceirpiot and Klindt during each of their testimonies. Wood said during his testimony that building costs passed onto consumers through CWIP would account for a small percentage of consumers’ rates.
Rich Germinder, a senior advisor to the Missouri Public Service Commission, emphasized that Missouri is in need of more energy production following shortage reports from Midcontinent Independent System Operator and Southwest Power Pool, which operate grids in Missouri and other states.
“We are seeing historic load growth projections that it is important for us to get our hands around, and we have a duty to respond,” Germinder said.
