Streamlining Government Adds Transparency and Enhances Service

This week the Missouri House Third Read and Passed two pieces of legislation that are designed to further streamline the political process. These acts also offer solutions to the unintended consequences associated with term limits and initiative petitions that have been revealed over time.

On Thursday HJR 4, sponsored by Rep. Neth (R-17) was given final approval. HJR 4, if approved by the voters would change the way legislators could serve their terms of office in the General Assembly. In keeping with the voters’ wishes from when term limits were enacted, the Joint Resolution maintains the total limit of 16 years that a citizen could serve in the General Assembly; however it makes one significant change so that a legislator may divide those years between the House and Senate however they decide. Furthermore, it prohibits legislators from running if they do not have enough years left to fill the full term. For example; if someone has already served 14 years in the General Assembly, they could not run for a four-year Senate term, but they could run for a final two-year term in the House.

As term limits currently stand, a legislator has a limited amount of time to not only learn the process but also learn the history of how and why certain legislation either makes it or not. In the legislative process, knowledge is power—especially institutional knowledge. Unfortunately time has shown that much of the institutional knowledge no longer lies with the legislators, but instead it lies with the high-paid lobbyists of special interest groups and entrenched bureaucrats. That knowledge and power belongs to the people through their elected representatives. HJR 4 would enable legislators who wish to continue effectively serving their constituents to do so in the same amount of time they are already afforded, but not be distracted by looming term limits for each body.

Another piece of legislation that received final approval this week was HCS HB 117, sponsored by Rep. Dugger (R-141). HCS HB 117 streamlines the process by adding transparency and accountability to the initiative petition process—further protecting the people’s right to petition their government. In recent years, the initiative petition process has been infiltrated by out-of-state special interest groups with unlimited funds to skirt the legislative process in Missouri.

Since 2004, the number of initiative petitions filed has skyrocketed from merely 16 to over 140 in 2012. Of the petitions filed in 2012, 61 were submitted by three different groups and they only covered three different topics. This is a new tactic being used—submit multiple versions of the same measure hoping one will stick. This practice floods the streets with wildly varying information on the same topic, is an abuse of the system and creates costly unnecessary work wasting valuable state time and resources. It is unacceptable. In addition, the number of lawsuits involving initiative petitions has skyrocketed over the past six years, from four in 2006 to fifty in 2012.

This legislation improves transparency and addresses fraud by requiring the following:

·        A copy of the Statement of Committee Organization filed with the Missouri Ethics Commission would be submitted with a proposed initiative petition

·        Proposed initiatives would be posted on the Secretary of State’s website within two business days of filing

·        A public comment period would be held after initial certification

·        The Joint Committee on Legislative Research would hold a public hearing solely for the purpose of taking public testimony within 30 days of certification to place the measure on the ballot

·        Signature gatherers must disclose “paid” or “volunteer” status

·        Prohibits those convicted of forgery from gathering signatures

·        Making those who knowingly sign a name other than their own guilty of a misdemeanor

Increasing transparency and stopping fraud are vital to the success of the governmental process. The citizens of this great state deserve to know what is happening and who is responsible for doing it.

Improving the Economy & Creating More Jobs in Missouri

This week the Missouri House perfected and printed several pieces of legislation relating to economic development.  The Republican-led legislature continues to look at measures that will facilitate the growth of our economy and encourage the creation of more jobs for our fellow Missourians.

Supporting Missouri’s Export Industry

Did you know that Missouri exports over $14 billion worth of goods each year according to the most recent estimates?  Our state, regional, and local economies literally depend on the ability of Missouri businesses to find foreign markets to sell items grown and produced on Missouri farms or in Missouri manufacturing centers.  When our local businesses thrive, they employ our neighbors, they invest in their family’s future, and they help fund critical local public services – roads, schools, public health initiatives, firemen, police officers, and the like.

 

It’s no secret that the best way to help someone is to make sure they have a job – and our exporters are doing great work to ensure the jobs are there.  Sometimes, though, our state gets a little in the way with burdensome taxes that inhibit the full potential of our private sector.  Your Republican-led legislature has taken notice and is taking steps to help get out of the way and encourage the private sector to do what it does best – provide a strong quality of life for Missourians.

 

There are a variety of proposals before the House that are aimed at helping our freight forwarders, those who get our products from Missouri soil to their final destination worldwide, realize their full potential.  We’re taking steps now to make sure we make the smartest and most economical decisions that will remove barriers to exporting, support Missouri farm and manufacturing industries, and encourage prosperity.

 

House Moves to Incentivize Data Storage Industry

In the age of computers and mass storage of information, a new industry has emerged that has a strong presence across the United States, employs thousands, and is proving incredibly beneficial to local, state, and national economies.  That industry is the Data Storage Industry and as the name implies they house servers which store massive amounts of information for businesses, not-for-profits, and government entities.  They are basically incredibly high-tech warehouses. 

 

What’s the House of Representatives’ Proposal?

 

The Republican-led legislature moved to allow a state and local sales and use tax exemption for qualifying investments from the private sector.  There’s a catch, though, designed to safeguard the public’s dollars: not a single exemption will be allowed until the private investment is made and the exemption is limited to the net fiscal benefit of the state over the next 10 year period.  It’s a great way to get companies to come to Missouri while guaranteeing the investment. 

 

Why Would We Want Them?

 

The industry currently is one that is valued at $30 billion in the US, $100 billion worldwide, and it’s growing at a remarkably fast pace – 8% annually.  That means if we can get their business in Missouri, they’ll not only add jobs up front but will continue to do so in the long-term. 

 

Who Else Would Benefit?

 

The investment in the facilities required would alone be a boon to the local economy, so cities and counties would stand to see increased economic activity.  The construction costs are $1,300 per square foot, so the construction companies and their employees stand to gain tremendously.  Keep in mind that your average warehouse construction costs are only $50 per square foot, so the difference is stark and significant.  Beyond the initial construction jobs, the industry employs tech-savvy employees and the average salary is $75,000 per year.  If Missouri had only a 5% share of the industry, that would mean $56 million in annual payroll and the benefits like health insurance that come with it.  

 

Is Missouri Even A Viable Candidate?

 

Yes.  Our low cost and abundant energy – a major consideration for the industry – makes us an attractive state to set up shop.  On top of that, we have the availability of fiber communications and strong IT talent in our workforce.  We must act quickly though, as our neighboring states are already incentivizing the industry.  Iowa, Nebraska, and Oklahoma have already landed major investments from companies like Microsoft, Yahoo, and Google.

 

Missouri’s Angel Investors Play a Big Role in Economy

Each year the private sector takes huge risks on emerging business ideas.  The successful ones have huge payoffs for everyone.  They create new jobs, economies grow, and local and state governments benefit from increased revenues and fewer of their citizens relying on social safety net systems.  But “Angel Investors”, folks who invest their hard earned money in new business ideas, sometimes pick a losing product or market.  Missouri’s Republican-led legislature knows that the private sector is better-suited to handle many of the problems a society might face.  However, if the risk is too great the private sector reacts by holding back its potential.  We’ve taken notice and we think we have a strong proposal to encourage angel investors to take risks and support continued job creation, investment, and growth.

 

Representative Noel Torpey (R-Lee’s Summit) has filed HB 191 which affords a small tax credit to qualified angel investments.  The seed capital that the investors provide then flows to the new business to take their product or service idea to the market so it can be successfully sold.  It’s a small tax credit that will have a large impact.  When businesses are successful, they increase payrolls, they provide health coverage and other insurances, and they and their employees pay taxes.  On top of that, they provide an avenue for increased consumer spending which catalyzes even more growth.  In the long run the small investment that the State commits will have exponential growth potential.