November 24, 2010
RCGA Legislative Agenda Advances Business
Climate Issues for 2011
On November
18th the RCGA Board of Directors
approved our 2011 Legislative Agenda, which features policies
aimed at developing and sustaining a world-class economy and
community for the St. Louis region. (Click
here to view the 2011 RCGA Legislative Agenda)
 The Legislative Agenda was developed by the
Public Policy Council, which is a group of senior
government affairs executives from the region’s top businesses
and education institutions, as well as small business leaders who
are interested in civic and political affairs. The
Public Policy Council is chaired  by Ted Powers
(pictured right), Regional Director of Government Affairs for
Anheuser-Busch Companies.
Tom Campbell
(pictured left), RCGA Board Chair for Public
Policy and Managing Partner at Gallop Johnson &
Neuman, presented the proposed Legislative Agenda to the Board,
and described the four main sections that reflect the overall
business interests of our large and diverse membership:
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Due to continuing budgetary challenges,
this will once again be a difficult year for legislators in
Missouri and Illinois. The RCGA agenda focuses on policies
to improve the regional business climate and grow our economy
while reflecting current fiscal realities. Below are our
top legislative priorities in Missouri and Illinois.
Missouri
Priorities
The RCGA's top legislative
priority in Missouri this year is to restore balance and
strengthen the state's employment laws, which have been
adversely affected by numerous court decisions over the past
decade.
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Second, while the RCGA recognizes that
the Missouri Legislature must make difficult choices to balance
the state budget, we will continue to aggressively
support and protect proven programs that stimulate employment and
leverage private investment.
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The RCGA also supports coordinated
policies and programs to spur high-tech
entrepreneurship in Missouri and the creation of
stable and sustainable sources of funding for scientific
research, innovation and investment in growing
industries like biotechnology.
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Illinois Priorities
The two top priorities in
Illinois are restoring state fiscal stability and addressing the
Mississippi River levee situation. There has been
a growing recognition in the business community that the lack of
fiscal responsibility that led to the State's $13 billion
structural deficit has begun to threaten economic growth in
Southwestern Illinois. The RCGA will work with legislators
and state leaders to identify ways of balancing the state's
budget and creating revenue growth that do not place undue
burdens on the business community, impede job creation, or unduly
reduce the effectiveness of essential state programs. The
RCGA is also committed to supporting state, local and federal
efforts to fix the levee system and to protect economic
development opportunities in the Metro East.
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Highlights from
RCGA's 2011
Legislative Agenda
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Promoting an Advantageous and Pro-Economic
Development Business Climate
Encourage responsible stewardship of
state and local finances without placing undue tax burdens on the
business community
Restore balance and strengthen employment
laws to foster job growth
Protect proven tax credit programs that
stimulate employment and leverage private investment
Support policies that encourage a
regional perspective on intra-regional business relocation
decisions
Investing in Innovation and Capital
Formation
Missouri Science and Innovation
Reinvestment Act (MOSIRA)
"Grow Me State" Initiative: Proof of
Concept loan program, Seed Capital Co-Investment Fund, and an
Angel Tax Credit program
Full funding of the Life Sciences
Research Trust Fund
Enactment of incentives for research and
development
Leveraging Regional Assets
Enhance the region's logistics,
distribution and transportation infrastructure capabilities
Support funding for the Army Corps of
Engineers to repair levees in the St. Louis District
Support priority funding for Capital Bill
projects in Southwestern Illinois
Support increased funding for Metro
system operations and expansion, and increased safety and
security
Strengthening Education and Workforce
Development
Protect core funding and stable
allocations for Missouri higher education institutions during the
current budget shortfall
Support funding for the Benton-Stadler
science building at UMSL
Ensure full and timely funding of
Illinois colleges and universities
Support workforce development and job
training programs to better prepare the region for
21st Century jobs
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Jeff Harris of Missouri
Governor's Office Speaks to RCGA Public Policy Council
 On November 12th
Jeff Harris, Policy Director for Missouri Governor Jay
Nixon, spoke to the RCGA's Public Policy Council about
the Governor's efforts to create jobs, reduce government
spending, and improve the efficiency and effectiveness of state
programs.
Harris (pictured left)
explained that Governor Nixon's top priority
continues to be job creation, and that their focus is "all about
supporting and expanding Missouri businesses." He
stressed the need to help existing businesses in the state
expand, and to capitalize on Missouri's assets in biotechnology
and energy. Harris lauded Nixon's creation of the
Training for Tomorrow grant program, which helps
community colleges expand high-tech degree programs to better
prepare Missourians for 21st Century jobs. He
also discussed the Strategic Initiative for Economic
Growth, saying that he hoped it would provide a template
for how the State can create jobs both now and in the future.
Harris also spoke on the need to
be responsible stewards of taxpayer money, noting that
under Nixon's leadership the state government cut its energy use
by 5%, consolidated office space, merged the Water Patrol and
Highway Patrol, and reduced its vehicle fleet. He also
explained their desire to ensure that state economic development
programs are efficient, effective, and appropriately targeted to
provide the greatest return on investment using public money.
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RCGA lobbyists Kim
Tuttle and Tricia Workman (pictured
above) provided the PPC with an overview of the many changes
in the Missouri General Assembly, both due to the General
Election and the recent leadership elections in both
chambers. (Click
here to view our previous RCGAdvocate, which details these
changes.) The new Speaker of the House, Rep.
Steven Tilley (R-Perryville), and President Pro
Tem of the Senate, Sen. Rob Mayer (R-Dexter), have not
yet named their committee chairmen for 2011, but many capitol
observers believe that Rep. John Diehl (R-Town &
Country) will be tapped as the House Rules Chair and
Rep. Ryan Silvey (R-Kansas City) will be named
the House Budget Chair.
Tuttle and Workman also spoke on
legislative issues that are expected to be the focus of much
attention and debate next session, such as
Right-to-Work, a new version of Construction Work in Progress
(CWIP), a plan to replace the state income tax with an expanded
sales tax, and Congressional redistricting.
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About Jeff Harris
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Policy Director for Missouri Governor Jay
Nixon (2009 - present)
Served in the Missouri House representing
the 23rd District, which includes part of the city of
Columbia (2002 - 2008)
Former House Minority Leader
Graduate of Vanderbilt University (B.A.)
and Cornell University (J.D.)
Lives in Columbia with his wife
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Focus on Illinois:
Legislators Return to Capitol for Veto Session
The Illinois General Assembly
returned to Springfield on November 16th
for Veto Session, which is scheduled through
December 1st. Rather than simply being limited
to consideration of gubernatorial vetoes, the Illinois
legislature is also allowed to pass other legislation during
their Veto Session. The legislature discussed several
controversial topics, such as the state pension system, income
tax increases, and expansion of gaming.
Some lawmakers hope to pass tough bills while their "lame
duck" colleagues are still in office, as the newly
elected legislators will not be sworn in until January
12th.
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One issue that has attracted much attention and
debate is funding of the state pension
system. Last spring the House passed SB
3514 sponsored by Senate President John Cullerton
(D-Chicago), which would have allowed the issuance of
bonds to produce revenue for the 2011 pension payments. The
Senate did not vote on the amended version of the bill.
Another contentious issue is
Governor Pat Quinn's proposed increase of the income tax from 3%
to 4%. This bill passed in the Senate, but was
never brought to a vote in the House. Sen. Cullerton has
stated that any bills increasing the state income tax would now
have to start in the House. Speaker Michael Madigan
(D-Chicago) said that the bill must have bipartisan
support to be voted on, which does not appear likely as the
Republican Caucus has strongly opposed the
measure.
Another revenue enhancement proposal is to expand
gaming in Illinois by establishing land-based casinos in
certain areas and allowing slot machines at race tracks.
This has attracted some support because it increases revenue
without raising taxes.
While many of the issues debated during
Veto Session appear to be stalled, both chambers did pass SB
3342, sponsored by Sen. James Clayborne
(D-Belleville) and Rep. Tom Holbrook
(D-Belleville), which allows the Bi-State
Development Authority to extend the terms of their bonds from 30
years to 40 years. This bill, which was supported
by the RCGA, is intended to help the Bi-State Development
Authority improve its cash flow management.
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Metro East Officials File
Lawsuit Against FEMA
On November 15th Metro East officials
filed a lawsuit in federal court against the Federal Emergency
Management Agency (FEMA), FEMA's director, and the U.S.
Department of Homeland Security to invalidate flood maps that
FEMA plans to issue next year. The new maps would designate
part of the American Bottom a special flood hazard area, which
would require property owners to buy expensive flood
insurance. The American Bottom flood plain is
currently home to more than 7,000 businesses employing 50,000
people, as well as 150,000 residents.
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The lawsuit was filed on behalf of
Madison, Monroe and St. Clair Counties, the Southwestern Illinois
Flood Prevention District, the Leadership Council Southwestern
Illinois, and several other entities. The suit
alleges that:
- FEMA failed to produce
information that justifies its decision to de-accredit the levee
system,
- FEMA denied appeals of their
decision,
- FEMA has proceeded to de-accredit
the levees despite Corps of Engineers reports that say the levees
will "perform as expected," and
- FEMA did not follow the law or
its own regulations, which require consultations with local
officials and notice that would have allowed local officials to
submit information about levee conditions before making their
decision.
RCGA Legislative Agenda statement on
Levee Restoration:
Support urgent funding for the Army Corps
of Engineers to repair levees in the St. Louis District.
Support legislation to improve Metro East levees to federal
standards through the efforts of the Flood Prevention District
Council. Support federal legislation to provide relief to
residents and businesses within the region relative to unduly
expensive flood insurance and development requirements and
restrictions, and legislation to reduce adverse economic impact
from the special flood hazard area designation in the American
Bottom.
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I-64 Construction Project
Wins National Award
The Missouri Department of
Transportation's I-64 St. Louis Project has been selected as the
Grand Prize Winner of the 2010 America's Transportation
Awards, presented by the American Association of State
Highway and Transportation Officials, the American Automobile
Association, and the U.S. Chamber of Commerce.
MoDOT was recognized for their
work in completing the I-64/U.S. Route 40 project in St. Louis
both ahead of schedule and $11 million under
budget. MoDOT launched a substantial public outreach
effort and ad campaign to help businesses and individuals survive
the highway closure. After the I-64 project was finished, a survey
found that 95% of the public was satisfied with how the project
was handled.
More than 40 projects from across the
country were entered in the America's Transportation Awards
competition. MoDOT will receive a $10,000 cash award, to be
used to support a charity or academic scholarship program of its
choice.
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