By Melissa Dunson
mdunson@joplinglobe.com
An economic-development bill that is predicted to create thousands of jobs in Missouri is headed for Gov. Matt Blunt’s desk again.
The special legislative session that Blunt called ended Thursday afternoon as the House gave the final OK to a pared-down economic-development bill.
Local connections
Both LaBarge Inc. and EaglePicher Technologies in Joplin have used the program in the past to create jobs and influence corporate decisions to bring jobs to the area.
For EaglePicher Technologies, the Quality Jobs legislation played a part in the company’s decision to add lithium-ion battery production in Missouri as opposed to across the state line at a plant in Pittsburg, Kan. The company is using the legislation to create 105 jobs over the next five years.
The legislation passed Thursday will benefit EaglePicher by giving more tax relief over a greater number of years. Currently, the company is scheduled to use the incentive from 2008 through 2011.
The Joplin LaBarge plant will use the Quality Jobs Act to create nearly 100 new jobs over the next several years. The company already has 35 who qualify it for tax credits under the program.
Signature expected
Rep. Ron Richard, R-Joplin, said the fiscal impact of House Bill 1, an expansion of the Quality Jobs Act, remains unchanged from the House version of $51 million for the first two years and $69 million in the third year, despite an attempt in the Senate to raise the tax-credit limit from $40 million to $50 million.
The House vote was 125-19, with 84 Republicans and 41 Democrats voting “yes,” and one Republican and 18 Democrats voting “no.” Five Republicans and 11 Democrats did not vote. House members from the Joplin area all voted “yes” except for Ed Emery, R-Lamar, and Bryan Stevenson, R-Webb City, who did not vote.
Richard said he does not anticipate a problem with the revised bill, which was pared from $200 million in the regular session to the $51 million price tag during the special session, and that he thinks Blunt will sign the legislation.
“He’s so happy, he’s probably dancing on his desk,” Richard said of Blunt.
Sen. Gary Nodler, R-Joplin, echoed Richard’s sentiments. He said he doesn’t believe the Senate’s “fingerprints” on the bill will have an effect on it, and that the governor shouldn’t have any qualms about signing the final version.
“I think the changes we (the Senate) made were nonsubstantial,” he said. “It was an exercise in long-windedness.”
Jessica Robinson, spokeswoman for Blunt’s office, said Thursday that the governor plans to sign the bill, unless a fatal flaw in the language is found.
The portions of HB1 dealing with the Quality Jobs Act and new market credits were passed with an emergency clause that puts the programs into effect as soon as the governor signs the bill. Most of the other provisions would take effect Jan. 1.
HB2, a measure dealing with bridge repairs, also was passed with an emergency clause. The bill will allow the Missouri Department of Transportation to award a single contract — estimated at between $400 million and $600 million — to repair the state’s bridges over the next five years and maintain them for an additional 25 years.
Debate
Richard said the House spent 2 1/2 hours debating the modified economic-development bill that came from the Senate early Thursday. It was passed without changes to the Senate version.
The Senate version passed late Wednesday night on a 25-7 vote after more than 10 hours of debate. Nodler said the final result was not significantly different from the House version of the bill, or from the objectives Blunt outlined for the special session.
The Senate added six amendments, most adjusting the bill’s wording and definitions. One amendment added stipulations for areas to which some of the economic incentives would apply, including creating a commission to consider projects. The commission would have at least two school board members from the affected districts.
As during the House debate last week, several proposed amendments in the Senate were declared out of order in terms of the governor’s narrow call for the special session. Among those were measures to penalize businesses that are found to have hired illegal workers in the past or present, and to extend to school buses the fuel-tax credit given to aircraft, trains and agricultural vehicles.
An amendment seeking to use any increased general revenue created by the tax incentives for child-care subsidies was declared out of order. Also rejected was an amendment that sought to tie certain aspects of the bill to making the eligibility requirements for the new Mo HealthNet program no more restrictive than the state Medicaid program as of January 1, 2005.
The Associated Press contributed to this report.
Veto background
Gov. Matt Blunt vetoed the economic-incentive bill that the General Assembly passed earlier this year, saying it was loaded with “excessive spending” provisions that would have cost Missouri too much, and that it created business incentives for questionable causes. The biggest part of the bill expands tax credits for businesses that add jobs with at least average wages and health benefits, and for those that locate in economically distressed areas, and provides more credits for redevelopers who buy up large sections of land in impoverished areas.
