By DICK ALDRICH
Missouri News Horizon
JEFFERSON CITY, Mo. – A House committee approved an auto manufacturing incentives bill that the governor’s staff said goes outside the call of the special legislative session.
But, Gov. Jay Nixon said, the legislature has the momentum to accomplish “a real difference for Missouri’s automotive industry.”
The House Job Creation and Economic Development Committee without dissent passed an amendment to its automotive jobs bill that would include incentives for data centers – computer information storage centers now under development in Columbia, Joplin and other Missouri cities.
“While I am pleased the legislature has recognized the urgency of this issue, we must keep our focus squarely on the critical issues outlined in the call,” the governor said in a statement released Monday evening.
The data-center amendment, authored by committee chairman, Rep. Tim Flook, R-Liberty, would fund the automotive jobs incentive act with an existing economic development program, known as the Quality Jobs Act.
Prior to the committee hearing, committee members were given a memo from Nixon’s Chief of Staff John Watson. The memo said that any effort to draft data center legislation on to the automotive jobs bill would be outside the call of the special session and make the bill liable to court challenge.
“(B)y subjecting the legislation that is the purpose of the special session to likely legal challenges and the resulting uncertainty, our common objective of expanding our automotive industry throughout the state will have been nullified,” Watson wrote.
Flook said including data centers in the bill – along with funding the tax incentives through the quality jobs act -Â would separate the jobs bill from the controversial pension fund legislation that the governor supports as a funding mechanism for the for the automotive incentive bill.
“This is not a challenge to the governor,” Flook said. “I want to have a discussion about this and pass the bill over to the Senate. If [the Senate] comes our way on this issue, then fine, if not, then we’ve at least had the discussion.”
If the data center proposal ran into significant opposition, Flook said he would withdraw the language.
“I would not let this language kill the [automotive incentive] bill,” Flook said. “I want to put this out there, and at the worst, we still will walk away with something.”
Assistant Minority Leader, Rep. J.C. Kuessner, D-Eminence, was seen conferring with a governor’s office staff member immediately after the hearing. Kuessner said he supports letting the full House debate the data center proposal, and said he did not believe Flook’s amendment would scuttle the special session.
“I think it’s good we have the discussion and I believe Rep. Flook is sincere about the legislation,” said Kuessner. “We are willing to let them have the debate.”
Flook’s amendment passed a voice vote without opposition. The overall bill passed the committee by a 14-1 vote with one abstention. Rep. Mike Corcoran, D-St. Louis, voted against the bill because Flook’s amendment was nearly 40 pages long.
“That’s too long to digest in 10 minutes in the middle of a committee hearing,” Corcoran said.
Pension Bill Progress
In the State Senate Monday, committee on voted unanimously to pass a pension reform proposal sponsored by Sen. Jason Crowell, R-Cape Girardeau. Senate leadership said it would wait to decide how to move forward with Crowell’s bill until the final form of House pension and auto manufacturing bills is known.
Crowell has long said, and Monday was supported by testimony from Kelvin Simmons, commissioner of the Missouri Office of Administration, that asking state employees to make a contribution toward their retirement plans is necessary for the long-range health of the pension program and the state’s fiscal outlook.
After several hours of testimony, a House Committee voted to pass its own version of pension reform, which does not include a consolidated investment board for the state’s two largest pension systems. Crowell, whose bill does include such a merger, said consolidation would add about $150 million in added savings over the life of the bill.
The House bill offered an additional contrast in that it includes a provision endowing the state auditor’s office with the authority to audit a new, merged pension board, said the Joe Martin, State Auditor Susan Montee’s chief of staff.
Martin testified at Monday’s Senate hearing that Montee’s office would “like to see those audit provisions in any type of senate-reform bill passed.”
Crowell testified that, while he had added audit authority in a pension reform bill he carried during the regular legislative session, including such provisions exceeded the bounds of the governor’s call.
Step in Line or Out of Bounds
In other special session news, House Speaker Pro Tem Bryan Pratt, R-Blue Springs, said Speaker Ron Richard removed him from the powerful House Rules Committee because he opposes the automotive incentive bill.
“It is frustrating that because I want to vote against giving Missouri taxpayer dollars to keep large corporations in business, I am no longer allowed to serve on that committee,” Pratt said in a statement released by his office.
But Richard’s office put out a statement that told a different story.
According to Richard’s office, Pratt was taken off the committee because he was not going to be present for Monday night’s votes on the automotive incentive bill and the House’s version of the state employees’ pension bill.
“The Speaker has made a commitment to the Governor and to the people of Missouri to do everything possible to help create and protect quality jobs in our state. Â Given the state of the national economy, it is important to get this legislation to the floor for an up or down vote, and we have had to make several committee changes to expedite this goal,” wrote spokesperson Kristi Blanchard in response to questions from reporters.
-Rebecca Townsend contributed to this report
Radio Story
June 28, 2010
ANCHOR INTRO: The chairman of a House committee says he wants to go
beyond the governor’s call for the special session of the legislature.
Dick Aldrich reports from the State Capitol.
06-28-10-mnh wrap on data storm
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