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May 13, 2009

LEGISLATIVE ALERT!!

RCGA Urges Missouri Senate to Pass Economic Development Bill

RCGA's top priority for the 2009 legislative session - an economic development bill to create jobs and drive growth in our region - is stalled in the Senate, with only three days left before the session ends. The House has sent several bills to the Senate which include key economic development provisions, but the Senate has failed to act on them. In these tough economic times, we need to do everything possible to encourage more investment and create jobs in Missouri!

We need your help! Click here to see how.

Missouri General Assembly Approves $12 Million Emergency Funding For Metro

Metro can restore some level of transit services to thousands of riders and businesses with the passage of House Bill 22. On March 30th, due to funding shortfalls, Metro was forced to reduce bus and van access to 30% of the employment centers in St. Louis County and significantly reduce the frequency of MetroLink trains. The cuts came at a time when Metro''s performance and ridership were at all-time highs.

Metro originally requested $35 million in federal budget stabilization funds from the State Legislature. This amount would have restored the service lost on March 30th. According to Metro Chief Operating Officer Ray Friem, the $12 million will enable Metro to restore a limited level of transit service to the St. Louis region, recall a portion of the laid-off Metro operators, alleviate overcrowding on key routes, and provide service again to a portion of the destinations abandoned on March 30th.

The success of this appropriation is due in large part to the tireless efforts of Metro President and CEO Bob Baer in educating members of the General Assembly on the importance of a strong transit system to the regional economy. The RCGA also commends Lt. Governor Peter Kinder and Rep. Rachel Storch (D-St. Louis) for their strong advocacy in support of Metro funding, and urges Governor Nixon to sign House Bill 22 and confirm his support for our region''s transit system.

All this being said, Metro still needs a sustainable funding source to bring a level of service to commensurate with the needs of our regional economy. The RCGA, along with several major businesses and education institutions in our region, is a member of the Greater St. Louis Transit Alliance, a growing coalition of organizations working to improve and expand transit throughout the region. The RCGA encourages its member companies to join the Alliance and to help advocate for improved transit in our region.

Missouri Budget Supports St. Louis Projects To Enhance Economic Development and Education.

On May 7th, the Missouri General Assembly agreed to the FY 2010 State budget, which included funding critical to the economic strength of the St. Louis region. For the third consecutive year, the Missouri Life Sciences Research Trust Fund will receive more than $13 million to support research on plant and animal science, medical devices, nanotechnology, diagnostics, and information technology related to human health. Over the last three years, more than $40 million has been dedicated to plant and life sciences research, and this money has funded important research programs at the Donald Danforth Plant Science Center, Washington University and the University of Missouri-St. Louis. However, this amount still falls short of full funding of the Life Sciences Trust Fund, designated by statute as 25% of the tobacco settlement funds or approximately $40 million annually. As in past years, some $28 million from the Life Sciences Research Trust Fund was diverted for other State purposes in FY 2010. As indicated by the volume of grant applications to the Life Sciences Research Board, there is a strong demand for additional funding of new innovations in bioenergy and biotechnology. The RCGA will continue to advocate for full funding of the Life Sciences Research Trust Fund and an end to the diversion of money for other purposes.

The General Assembly directed $12 million in HB 22 to the design, construction and upgrade of trade zone facilities in Missouri that will focus on developing markets for Missouri products. This funding is expected to be used to support the activities of the Midwest-China Hub Commission, an outgrowth of the region's "Big Idea" to promote trade between St. Louis and China. The "Big Idea" aims to place St. Louis as the Heart of America hub for Chinese trade and cargo as well as a key location for Chinese investment and headquarters of Chinese firms.

The new budget also makes it possible for the University of Missouri-St. Louis to renovate its aging science building to more adequately train our region's future workforce. House Bill 22 contains an appropriation of $28 million from the federal budget stabilization funds for the new building. This major renovation has been a long-time priority for the UMSL campus and for the RCGA. It will provide new lab space, equipment and teaching facilities to the university's science program.

The RCGA recognizes and thanks Senate Appropriations Committee Chairman Gary Nodler (R-Joplin) and House Budget Committee Chairman Allen Icet (R-Wildwood) for their leadership and support for these appropriations, which will provide long-term economic benefits to the St. Louis region and Missouri.

Focus On Illinois: Two Weeks Remain -- Budget And Capital Bill Remain Unresolved

The Illinois legislative session is scheduled to adjourn on May 31st, but the RCGA's top priority -- passage of a comprehensive capital bill remains unsettled. It has been 10 years since Illinois passed a major capital bill for infrastructure improvements. Earlier this year, Governor Quinn signed a $3 billion capital bill to help fund some highway and transit projects, but several critical projects in our region still await funding. The capital bill will start construction on several key projects transportation projects in Southwestern Illinois to augment the region's economic growth, such as funding for the I-159/I-117 ramp in Collinsville and the Gateway Connector from I-255 to I-70. The capital bill will also aid construction of a new science building at Southern Illinois University-Edwardsville. The Legislature is still working on a identifying a funding source for the capital bill, and proposals have been floated to increase the state income tax, create new casinos, and raise cigarette taxes. The RCGA will continue to follow the revenue proposals to determine its impact on Southwestern Illinois

The House of Representatives continues to deliberate over legislation to create STAR Bonds to enable construction of 900-acre University Town Center in Glen Carbon to be located between I-255, I-270, I-162 and I-159. Senate Bill 1909, which passed the Senate and is being handled by Rep. Tom Holbrook (D-Belleville) in the House, would allow the development to capture the state and local sales tax for the financing of infrastructure improvements for the retail and entertainment district. The proposed project would generate $15.5 million in sales tax during the 5-year construction period and create 3,000 permanent jobs. Rep. Holbrook introduced an amendment to exempt the project from receiving sales tax from Madison County Transit, Metro-East Park and Recreation District and the new Metro East Levee Improvement district. The RCGA supports the passage STAR bonds legislation and the construction of this new entertainment destination for the Metro East.

Final 2009 RCGA Legislative Breakfast in Jefferson City Thanks RCGA Government Affairs Presidential Sponsors

The RCGA hosted its final 2009 breakfast for Missouri legislators on May 6th at the Doubletree Hotel in Jefferson City. This breakfast, sponsored by the Presidential sponsors of the RCGA Government Affairs program (see logos below) brought together business leaders and legislators from across the State. Over the course of the RCGA Legislative Breakfast series, more than 200 legislators and business executives came together to informally meet and get to know each other. The RCGA thanks its sponsors for this year and looks forward to even more success in 2010!

(from left) RCGA Public Policy Council Chairman John Sondag of AT&T, Rep. Gina Walsh (D-Riverview Gardens), Rep. Scott Dieckhaus (R-Washington) and Rep. Sue Schoemehl (D-Oakville) enjoy coffee at the Doubletree Hotel in Jefferson City.

(seated from left) Rep. Dwight Scharnhorst (R-Eureka), Tina Shannon of AmerenUE and Rea Landers of Rep. Scharnhorst office get ready to start their day at the Capitol.

(from left) Brad Oxenhandler of Edward Jones, Rep. Cole McNary (R-Chesterfield), Corey Luetkemeyer and Max Fisher of Edward Jones meet at the RCGA Legislative Breakfast.

UPCOMING EVENT

May 20: RCGA 17th Annual Illinois House-Senate Softball Game at 5:30 p.m. in Lincoln Park in Springfield. Come watch the "Battle of the Legislative All-Stars" and see if the Illinois Senate can defend their bragging rights against their rival chamber. For more information on the game, please contact Sherri Bailey at sbailey@stlrcga.org or (314) 444-1134.

The Illinois Senate team is all smiles after defeating the House 6-3 and claiming the 2008 trophy. More than 200 Capitol observers came out to Lincoln Park to watch game organized by the RCGA.

The RCGAdvocate is published periodically to inform RCGA members and government officials about important public policy matters at the state, federal and local levels. It seeks to provide timely, in-depth coverage on regional issues, and, at times, to call RCGA members to action. We welcome your comments and suggestions.

Richard C.D. Fleming ~ President & CEO ~ (314) 444-1100 ~ dfleming@stlrcga.org
Chip Casteel ~ Senior V.P. of Public Policy ~ (314) 444-1107 ~ ccasteel@stlrcga.org
Susan Stauder ~ V.P. of Infrastructure & Public Policy ~ (314) 444-1155 ~ sstauder@stlrcga.org
Eric Schneider ~ Senior Director of Public Policy Research ~ (314) 444-1148 ~ eschneider@stlrcga.org
Kevin Riggs ~ Director of Illinois Government Affairs ~ (314) 444-1108 ~ kriggs@stlrcga.org
Christine Snively ~ Project Manager of Public Policy ~ (314) 444-1144 ~ csnively@stlrcga.org

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Metro Transit System

$12 million appropriation will restore service to some areas, reduce overcrowding of routes and rehire bus drivers.

On March 30th, Metro reduced transit access to 30% of employment centers in St. Louis County.

Additional funding for Metro will be neccessary to maintain appropriate service level of the St. Louis region.