The following is a legislative update from Clarkston Nelson, LLC concerning the Missouri General Assembly’s spring legislative session. Use the information within to develop local coverage of issues important to your readers.
Only 6 weeks remain in the 2025 legislative session. This week, the topic of state revenues took center stage in both chambers. While the House finalized the state budget on Thursday, the Senate spent much of its week debating whether to phase out the state’s capital gains tax. Several Senators questioned whether a tax cut of nearly $335 million in the coming fiscal year was prudent, given the uncertainty over federal funding and projected decreases in state revenues. The Senate, nonetheless, Perfected the House legislation, giving first-round approval to substitute language that phases out the state capital gains tax, enhances the circuit breaker property tax credit, and provides enabling language for various local sales taxes.
Senator Mike Moon Delays for Senate President Pro-Tem Schatz Appointment, Ultimately Approved
State Senator Mike Moon spent most of the night Wednesday holding up the confirmation vote of former Senate President Pro Tem Dave Schatz. Governor Kehoe appointed Schatz to the Franklin County Commission earlier this year and during the filibuster, Senator Moon stated he tried to work behind the scenes to express his opposition and concerns with the appointment, however, his voice went unheard. Moon began his filibuster laying out grievances against Schatz, while also sharing emails from people he stated were Franklin County residents that were expressing their concern with the appointment as well. The one-man filibuster lasted nearly 10-hours and after several attempts to set the appointment aside, the Senate ultimately confirmed Schatz and then quickly adjourned until Monday. The final hours of the filibuster were contentious as several Senators became agitated with the tactics of Senator Moon in his filibuster to which some hard feelings were realized on the Senate floor. This disagreement between Senator Moon and some of his colleagues may continue into next week when the Senate returns for session.
State Revenues Decline for March
March revenues were another weak month for Missouri with revenues reporting 2.2% lower than compared to March 2024. This brings the fiscal-year-to-date number to -1.44%, which is about $134 million less than this time a year ago.
MO Attorney General Prevails in Jackson County Property Assessment Lawsuit
On Tuesday, Missouri Attorney General Andrew Bailey announced his office secured a victory for Jackson County taxpayers as the court ruled in favor of the State on every single count in its lawsuit against the Jackson County Tax Assessor. This ruling affirms that Jackson County violated state law by illegally inflating property assessments, leading to undue tax burdens on residents. The Court’s full judgement can be read here.
Budget Update
This week, the full House reviewed and finalized the proposed $48 billion state budget, and the proposals now will go to the Senate for further consideration. While the final House budget proposal invests $200 million more for the state’s K-12 funding formula, it still falls roughly $300 million short of fully funding the foundation formula. Additionally, the House version of the budget also takes out millions of federal dollars meant to go toward childcare subsidies, which was an item that Governor Kehoe included in his requested budget proposal. During the House debate, several amendments were offered by Democrat members, but ultimately failed, seeking to shift money to the school foundation formula and restore payments to childcare providers.
Although the majority of amendments failed, the biggest change approved by House members was a $50 million cut in Medicaid general revenue matches. Overall, the House approved budget is $5 billion less than what Governor Mike Kehoe proposed in his State of the State Address.
The House Budget Committee also dedicated committee time this week to three other budget bills, which includes potential funding for capital improvement projects as well as funding for projects under the American Rescue Plan Act. The Senate will now begin its work on the budget.
Notice of County Planning Board Hearings
On Monday afternoon, the Senate Local Government, Elections, and Pensions Committee gathered to hear HB 233, sponsored by Rep. Sherri Gallick (R-Belton). The bill requires that notices of county planning board hearings be posted on the county’s website, and it repeals the requirement that such notices be posted at least 15 days in advance of the hearing in at least two places in each of the county’s townships. Notices of the hearings shall continue to be published in at least one newspaper in the county, 15 days prior to the hearings. The bill only applies to Cass and Greene counties. Testifying in favor of the bill were a county official from Cass County, the Missouri Coalition for the Environment, and Doug Crews, representing the Missouri Press Association. There was no testimony in opposition. The committee took no action on the bill.
Condensed County Financial Statement
On Monday afternoon, the Senate Local Government, Elections, and Pensions Committee gathered in executive session and voted “do pass” on Senate Committee Substitute for HB 352, sponsored by Rep. Peggy McGaugh (R-Carrollton). The vote was 5-1. SCS HB 352 requires a condensed county financial statement to be published each year on or before June 30th in local newspapers in all counties of the first, second, third, or fourth classification. The committee substitute added six provisions relating to: Fire Protection ordinances; LAGERS Retirement; deteriorated or abandoned property; public library fiscal years; regional planning commissions; and Circuit Clerks’ pay increase. The original bill language includes publication of the name and current gross annual salary of each elected or appointed county official. Another portion of HB 352 deals with political subdivisions that fail to submit their required annual financial statements and that fail to pay fines. The bill allows for the reduction or elimination of fines under certain circumstances. The legislation, supported by the Missouri Press Association, was passed in HB 1606 in 2022 but was tossed out by the Missouri Supreme Court in 2023 because of other problems with that bill.
On Wednesday morning, the House Local Government Committee gathered to consider passage HB 532, sponsored by Rep. Ann Kelley (R-Lamar), an omnibus bill regarding public officials, cities, counties, and political subdivisions. Contained in the bill is language, supported by Missouri Press Association, that would condense the county financial statement published in newspapers in all counties of Missouri. The bill also would allow county collectors to hold land auctions due to delinquent property taxes using electronic media online as well as in-person. An amendment was added to the bill for a public safety tax for Lexington and Lake Lotawana. The amendment was rolled into a House Committee Substitute for HB 532 and voted do pass by a vote of 13-1. The substitute took out sheltered workshop language and added special sales tax for municipalities.
On Monday evening, the House Special Committee on Intergovernmental Affairs heard SB 2, sponsored by Sen. Sandy Crawford (R-Buffalo). SB 2 requires a condensed county financial statement to be published each year on or before June 30th in local newspapers in all counties of the first, second, third, or fourth classification. The bill language includes publication of the name and current gross annual salary of each elected or appointed county official. Another portion of SB 2 deals with political subdivisions that fail to submit their required annual financial statements and that fail to pay fines. The bill allows for the reduction or elimination of fines under certain circumstances. Testimony in support of the bill was offered by the Missouri Association of County Auditors, the Missouri Association of County Clerks & Election Authorities, the Missouri Municipal League, and Doug Crews of the Missouri Press Association. The committee took no action on the bill.
Trafficking, Offenses Against Children
On Wednesday morning, the Senate Judiciary and Civil and Criminal Jurisprudence Committee met to hear House Committee Substitute for HB 615, as amended, sponsored by Rep. Jeff Coleman (R-Grain Valley). Currently, a statement made by a child under the age of 14 that would otherwise be inadmissible in court, including a visual and an aural recording of a verbal or nonverbal statement of that child, is admissible in court, according to the legislation, in matters relating to offenses under Chapters 565, 566, 568, or 573, RSMo. HCS HB 615 changes the age from 14 to children under 18. The bill also adds that a visual and an aural recording of a verbal or nonverbal statement of a "vulnerable person,” as defined in the bill, is also admissible when relating to an offense under Chapters 565, 566, 568, or 573. The bill also modifies the offense of enticement of a child by increasing the victim's age from less than 15 years old to less than 17 years old. Also, the bill modifies the penalty provisions for the offense of patronizing prostitution. HCS HB 615 establishes the "Human Trafficking and Sexual Exploitation Fund.” The money in the Fund will be distributed to the county where a human trafficking offense occurred. The county would allocate $10,000 toward local rehabilitation of human trafficking victims and $2,500 toward local education programs for convicted human trafficking offenders, and to increase the number of law enforcement officers to enforce human trafficking laws. HCS HB 615 provides that a person who pleads guilty to or was found guilty of certain sexual offenses as specified in the bill will be required to pay $10,000 in restitution per identified victim and $2,500 for each county in which the offense or offenses occurred, payable to the State to be deposited into the "Human Trafficking and Sexual Exploitation Fund.” Upon receipt of money from the Fund, a county must allocate funds for disbursement according to the bill's requirements. Testimony in support of the legislation was offered by the Missouri Network Against Child Abuse, noting the bill is one of their top priorities and has been for several years, and the Missouri Association of Prosecuting Attorneys, saying significant funding should be going to victims. Testimony in opposition to the bill was presented by TJ Kirsch, a Jefferson City attorney, representing the Missouri Association of Criminal Defense Lawyers, criticizing the bill as unconstitutional because it does not maintain the right to confront witnesses in court. He encouraged the committee to review a U.S. Supreme Court decision on this issue. The committee took no action on the bill.
Deleting Newspaper Notices From Self-Storage Auctions
The House Economic Development Committee gathered Tuesday morning to hear HB 668, sponsored by Rep. Dane Diehl (R-Butler). The bill modifies the public notice requirements by an operator of a self-service storage facility for the auction sale of personal property of an occupant in default. HB 668 allows the storage facility operator to advertise the auction in the classified section of a newspaper prior to the sale, OR the operator may instead advertise in any other commercially reasonable manner, such as online. The advertisement is “commercially reasonable” if at least three independent bidders attend the sale. Missouri Press Association opposes the legislation. Rep. Diehl said the legislation is focusing on updating times and technology. He said self-storage operators have better opportunities to advertise in any manner, including the internet and social media.
Testifying in favor of the bill was the general counsel for StorageMart, a company headquartered in Columbia. He said that during 2024, StorageMart received only about 26 percent of the delinquent amount from the auctions. Online auctions allow transparency, he said. “Our business is increasingly online, and we’re asking for further flexibility,” he said. Rep. Louis Riggs (R-Hannibal) said he is unsure how this change would help rural areas, because not all rural areas have internet service. Randy Scherr, representing the Missouri Self Storage Owners Association, said storage operators are losing money on the auctions, and technology is moving in a different direction.
Testifying against the legislation was Chad Stebbins, executive director of the Missouri Press Association, who estimated the total circulation of Missouri newspapers is 948,000 subscribers, resulting in 2.3 million people who read those newspapers. He said many residents don’t use computers or have internet service, and some parts of Missouri do not have reliable access to the internet. The bill would require people to “go to the notice, instead of the notice coming to them” in newspapers. Also testifying in opposition to the bill was Dennis Warden, publisher of the Owensville Gasconade County Republican and two other community newspapers. He recognized the complete transparency of newspapers, since newspaper readers are “nosy.” He also noted mopublicnotices.com, the website operated by the Missouri Press Association for public notices that are published in newspapers and also posted on the website at no cost. Rep. David Casteel (R-High Ridge) asked Warden, “How long do you think newspapers will be printed?” Warden said he can’t predict the future, but noted one of his newspapers and two others in his area had started within the last 10 years. Warden answered several questions with the point that independent publishing of the public notice is important for “due process” in the sale of the delinquent stored property. Rep. Sherri Gallick (R-Belton), chair of the committee, noted that she was not receiving all her mail, and pointed out that postal issues could hurt newspapers. The committee took no action on the bill.
The Senate Emerging Issues Committee gathered Tuesday morning to vote in executive session on SB 513, sponsored by Sen. Justin Brown (R-Rolla). The “do pass” vote by the committee was 3-1. The bill modifies the public notice requirements by an operator of a self-service storage facility for the auction sale of personal property of an occupant in default. SB 513 allows the storage facility operator to advertise the auction in the classified section of a newspaper prior to the sale, OR the operator may instead advertise in any other commercially reasonable manner, such as online. The advertisement is “commercially reasonable” if at least three independent bidders attend the sale. Missouri Press Association opposes the legislation.
Water Exportation Outside State Boundaries
The House Committee on Conservation and Natural Resources convened Monday afternoon to discuss SB 82, sponsored by Senator Jamie Burger (R-Benton). The bill specifies that it is unlawful for any person to withdraw from any water source inside the boundaries of the state of Missouri for export of more than 30 miles outside the state unless a water export permit issued by the Department of Natural Resources is held or a special exemption has been granted. Additionally, the bill establishes a 120 day review process with a public comment period for the State Soil and Water Districts Commission and requires all permit holders to annually file a publicly available report detailing the volume, withdrawal rates, and end use of all exported water. Finally, the bill also outlines the process for renewing issued permits and establishes a civil review process for the Attorney General to investigate and prosecute complaints against permit holders. The Missouri Rural Crisis Center, Missouri Farm Bureau, Missouri American Water, the Nature Conservancy, Missouri Soybean Association, Missouri Cattlemen's Association, and Missouri Corn Growers testified in support of the bill saying it would help preserve Missouri water rights and protect Missouri agricultural interests from out of state competition. The City of Kansas City testified for informational purposes about existing agreements between the city and out of state water users for water exportation.
Standards of Review for Agency Interpretations
The House Committee on Judiciary convened Wednesday afternoon to discuss SB 221, sponsored by Senator Nick Schroer (R-O’Fallon). The bill seeks to modify the standards for review for a state agency's interpretation of statutes, rules, regulations, and other subregulatory documents. Specifically, a court or administrative hearing officer shall interpret the meaning and effect of such statutes, rules, regulations, and documents de novo, rather than de novo upon motion by a party if the action only involves the agency's application of the law to the facts and does not involve administrative discretion. Further, after applying customary tools of interpretation, the court or officer shall exercise any remaining doubt in favor of a reasonable interpretation that limits agency power and maximizes individual liberty. Associated Industries of Missouri supported the bill. No opposing testimony was presented.
The committee then turned its attention towards HB 663, sponsored by Representative Ben Keathley (R-Chesterfield). The bill is the House companion to SB 221, highlighted above. A state public advocate supported the bill. No opposing testimony was presented.
Redaction of Certain Court Records Information
On Wednesday morning, the Senate Judiciary and Civil and Criminal Jurisprudence Committee conducted a hearing on SB 691, sponsored by Sen. Karla May (D-St. Louis). Currently, certain information shall be excluded from pleadings, attachments, exhibits, judgments, orders, or other records of the court, but shall be included in a confidential information sheet filed with the court, which shall not be subject to public inspection or availability. SB 691 adds to the provision to include information concerning a witness in a criminal case that is confidential as otherwise provided by law or rule, and any other information redacted for good cause by order of the court. The bill also provides that home addresses of the parties, victims, witnesses, and attorneys of the parties shall be redacted from court documents and the public access of records on CaseNet. Sen. May said while some people may worry about public access to the information, the legislation balances transparency with the need for safety and confidentiality of individuals. The bill is to “ensure our court system is just and safe for all citizens,” she said. There was no public testimony presented on the bill, and the committee took no action.
Missouri Port Authority Modernization
The Senate Committee on Transportation, Infrastructure and Public Safety convened Monday afternoon to discuss SB 715, sponsored by Senator Kurtis Gregory (R-Marshall). The bill is the Senate companion to HB 1346, sponsored by Representative Mike Steinmeyer (R-Sugar Creek) and expands provisions for private investment opportunities for Missouri Ports. Supporting testimony was presented by Port KC who stated the underlying statute the ports are governed by has remained largely unchanged for 50 years and this legislation would streamline the process in regard to growth, logistics and increasing the workforce. Additional supporting testimony was provided by the Missouri Chamber of Commerce, and Industry, Missouri Port Authority Association and JE Dunn Construction. No opposing testimony was presented to the committee.
Election Bill Reinstates Presidential Preference Primary
On Monday afternoon, the full House perfected by voice vote HCS HB 126 & 367, as amended, sponsored by Rep. Rudy Veit (R-Wardsville). The bill needs another House vote before it moves to the Senate. The bill reinstates the presidential preference primary election, to be held statewide on the first Tuesday in March of each presidential election year. A person who files to be included on the presidential primary ballot is not prohibited from filing as a party candidate for nomination to another office. All costs of the presidential preference primary, except for proportional costs for any political subdivision or special district holding an election on the same day, will be paid by the state. The bill also extends the no-excuse in-person absentee voting period from two weeks to six weeks before the date of an election. A House floor amendment changed the filing date for candidates in a political subdivision or special district so it would not conflict with a holiday. The amendment also added election offenses, such as threatening to harm, harass, or stalk an election judge, challenger, watcher, or employee or volunteer of an election authority, or a member of that person’s family. Another floor amendment deals with designated challengers and watchers for each polling place, appointed by the chair of the county committee of each political party named on the ballot. Another floor amendment prohibits public funds in a retirement system from being used to support or oppose ballot measures or the nomination or election of any candidate for public office.
Active or Retired Officers’ Information Closed
On Wednesday afternoon, the full House third read and passed HB 138, as amended, sponsored by Rep. Doyle Justus (R-Troy). The vote was 151-1, and the bill now moves to the Senate. The bill clarifies that the Department of Revenue cannot release the home address or any other information that identifies a vehicle owned or leased by any person who is an active or a retired county, state, or federal parole officer, federal pretrial officer, a peace officer, a person vested under the Missouri Constitution with judicial power, a member of the federal judiciary, or a member of such person's immediate family contained in the department's motor vehicle or driver registration records. House floor amendments previously added to the bill include a special $25 license plate for the Conservation Heritage Foundation and a National Women’s Soccer League special license plate.
Sunshine Bill Exempts Minors, Campers, Plants, Animals, Utility Customers
On Wednesday afternoon, the full House third read and passed House Committee Substitute for HB 145 & 59, as amended, sponsored by Rep. Bill Falkner (R-St. Joseph) and Rep. Bruce Sassmann (R-Bland), legislation that originally deals with records of minor children and of state park campers. The vote was 138-15, and the bill now moves to the Senate. The HCS adds a new Sunshine Law exemption to allow the closure of “any portion of a record that contains individually identifiable information of a minor 17 years and under held by a public governmental body, such as a city, town, village, or park board.” The HCS also adds individually identifiable customer information for visitors who make camping, lodging, or other shelter reservations for a municipal park, county park, state park or historic site to the list of records that are exempt from disclosure under the Sunshine Law, unless the records are requested by or authorized for release by the visitor. A previous floor amendment added a new Sunshine Law exemption, closing: “Records to protect the specific location of a plant or animal species considered endangered, threatened, critically imperiled, imperiled, or vulnerable when the known location may cause the species to be at an increased risk of peril.” Another floor amendment which applies to St. Louis County and St. Louis City was added to the following current exemption: “Individually identifiable customer usage and billing records for customers of a municipally owned utility or a utility operated by any political subdivision created by Article VI, Section 30(a) of the Constitution of Missouri, unless the records are requested by the customer or authorized for release by the customer, except that a municipally owned utility shall make available to the public the customer's name, billing address, location of service, and dates of service provided for any commercial service account.”
Income Tax Deduction for Capital Gains
The Senate dedicated floor time Tuesday and Wednesday afternoon to debate HB 594, sponsored by Representative Chad Perkins (R-Bowling Green). For all tax years beginning on or after January 1, 2025, the bill authorizes an income tax deduction for 100% of all income reported as capital gains for federal income tax purposes. During debate, the sponsor offered a substitute to include SB 547, modifies provisions relating to law enforcement sales taxes; SB 510, authorizes collected transient guest taxes to be used for the operating costs of a community center; SB 169, authorizes Ste. Genevieve and Perry Counties to impose a transient guest tax; SB 104, adds the village of Sunrise Beach and the cities of Hannibal, Moberly, Nevada, and Joplin to the list of cities authorized to impose a sales tax for the purposes of public safety; and SB 64, seeks to adjusts the “circuit breaker” tax credit annually to account for inflation. After two days and nearly 10 hours of debate, the Senate provided its first of two necessary approval votes.
House-Rules-Legislative
4/7/25 4:30 PM or upon adjournment (whichever is later)
Committee Hearing, HR 4
Executive Session:
HB838 Schulte - Modifies provisions relating to the disclosure of information contained in vital records
House-Special Committee on Intergovernmental Affairs
4/7/25 4:30 PM or upon adjournment (whichever is later)
Committee Hearing, HR 6
Executive Session:
SB2 Crawford - Modifies provisions relating to financial statements of certain local governments
House-Government Efficiency
4/8/25 12:00 PM or upon morning recess (whichever is later)
Committee Hearing, HR 7
HB1570 Black - Modifies provisions for state department purchasing
Senate-Families, Seniors and Health
4/9/25 8:00 AM
Committee Hearing, SCR 1
SB598 Gregory - Modifies provisions relating to the disclosure of vital records