Missouri Lawmakers Return to the Capitol
After a prolonged legislative spring break due to COVID-19, Missouri lawmakers returned to Jefferson City this week to consider and pass HB 2014, the FY20 supplemental appropriations bill and HB 2456, a bill which extends several health care-related reimbursement allowance taxes.
Senate Appropriations Committee Approves $6 billion COVID-19 Supplemental Bill, Votes to Extend Sunset on Reimbursement Allowance Taxes
On Tuesday, April 7, the Senate Appropriations committee quickly approved HB 2456 before considering the governor’s amendments to HB 2014—amendments which primarily addressed the COVID-19 epidemic through an infusion of federal funds.
During the budget amendment presentation, the Office of Administration Budget Director Dan Haug shared the importance of the amendments and indicated that while it is unclear if the full amount of the federal funds would be available, approval of these amendments ensures sufficient spending authority to accept the funds and quickly put them to use.
Two governor’s amendments pertaining to higher education were introduced and approved:
- $200 million in spending authority would have allowed the MDHEWD to distribute federal funds available through the CARES Act to institutions of higher education. This amendment would have become necessary if higher education institutions’ funding through the CARES Act’s Education Stabilization Fund were provided through the state rather than directly to the institutions. However, an April 9 letter from US Department of Education Secretary Betsy DeVos to institutions and subsequent certification and agreement document indicates these funds will go directly to institutions.
- $304 million in federal funds for public institutions of higher education for necessary expenditures incurred due to COVID-19. This amendment would provide MDHEWD and other public higher education institutions the ability to draw federal funds from any future legislation that could be used to assist institutions. The fund total is equivalent to the March through June allotment amounts for Missouri’s public institutions.
Lawmakers raised concerns on the wide discretion HB 2014 provides to the executive branch without the normal checks and balances by the Missouri legislature. However, Senate Appropriations Chairman Dan Hegeman (R-Crosby) indicated an agreement was reached prior to the hearing in which the Office of Administration would provide monthly accounting to the General Assembly on where the federal funds were directed across the state and for what purpose. While lawmakers recognized the need for additional flexibility for the executive branch during this time, there were additional concerns on how this may impact the FY21 budget discussion.
Toward the conclusion of the hearing, Senator Jamilah Nasheed (D-St Louis) introduced an amendment that would prohibit federal funds from supplanting general revenue funds for Harris-Stowe State University and Lincoln University. The amendment was accepted by the committee though the overall impact of the amendment is unclear.
General Assembly Sends Two Bills to the Governor
On Wednesday, April 8, the House and Senate voted to truly agree and finally pass HB 2014 and HB 2456 and delivered both bills to the governor. Both chambers adjourned until the week of April 13 but it is unclear when lawmakers will actually return to the Capitol.
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