Kraus: Tax Credit Reform Legislation

As the General Assembly looks for ways to cover as much as a $500 million shortfall for this budget year, we are forced to look in every nook and cranny for savings. From my perspective, we are fortunate to have an opportunity to take such a close look at how Missouri does business. In doing so, we can reinvent how government works for you, the taxpayer.

Because of the budget situation, one of the areas to focus on this year will be tax credit reform. Missouri has over 60 tax credit programs. Most tax credits were started with good intentions, but many have either outlived their usefulness or become ineffective. I was honestly surprised to see we had tax credits for both charcoal producers and wood energy. I was disappointed to learn that we had some tax credits that were focused on a single development or business.

This summer, a commission met to go over each of the state’s tax credit programs and offer recommendations for how each should be handled going forward. The commission was made up of elected officials and business leaders from across the state. While some of their recommendations will take time to enact, on the whole, the commission’s suggestions were solid.

This week, I introduced four tax credit reform bills related to those recommendations. One bill, Senate Bill 256, would eliminate several tax credit programs entirely. The second bill, SB 259, would put sunsets on tax credits that would previously continue to exist, meaning that legislators have to reapprove each specific tax credit program every few years. The third and fourth bills, SB 257 and 258, would put restrictions and a spending cap on the two largest tax credit programs — low income housing and historic preservation.

While some tax credit programs can, and have, yielded positive benefits for Missouri, it is my duty as your senator to make sure your tax dollars are spent wisely. Programs that are not efficient or effective deserve a closer look. I hope my colleagues in the General Assembly will be willing to move this legislation forward to have a positive impact on Missouri’s bottom line.

At the Capitol

Last week, your state Capitol was shut down as Jefferson City was blanketed with 18 inches of snow. It made for a short week. This week, however, we are up and running at full speed again. Many constituents from District 8 made their way to this office, and I was delighted to be able to sit down and spend a few minutes with them and listen to their concerns.

Upcoming Elections

The following elections are scheduled in Eastern Jackson County. I encourage you to remember the dates for your area and get out and vote!

Date	Election
Feb. 22	Kansas City Mayor/City Council Primary Election
Mar. 22	Kansas City Mayor/City Council General Election
Apr. 5	Municipal Elections for the following: Kansas City (Earnings Tax Question) Blue Springs Grain Valley Greenwood Lake Lotawana Lake Tapawingo Levasy Lone Jack Oak Grove Raytown Sibley

Bridge Closings in Jackson County

The Missouri Department of Transportation (MoDOT) will hold a stakeholders meeting to explain details of several bridge closings in Jackson County. It will be held from 1:00 to 3:00 p.m. on Wednesday, Feb. 16, at the Jackson County Maintenance Facility, Route 490 west of the I-70 overpass between Grain Valley and Oak Grove.

The closures will affect emergency services, schools and commerce. Bridges scheduled to close in the future include: Route H over Sni-A-Bar Creek; two others on Route H, north of Oak Grove; two bridges near Blue Ridge and Route 350; and bridges on Route 7 near Lake Lotawana and Route 150 east of Greenwood.

If you cannot make the meeting and have questions, you can call Mark Stock, MoDOT Area Engineer, at 816-622-0519 or visit MoDOT’s website at http://www.modot.org/kansascity/safesound.htm.