2013 Legislative Priorities

L e g i s l at i v e P r i o r i t i e s

The Lee’s Summit Chamber of Commerce, the third largest chamber in the Kansas City metropolitan area, represents 1,000 business and professional organizations that employ a combined total of more than 30,000 people living in and around the city of Lee’s Summit.

The Chamber is intensely focused on the economic prosperity of the business community by fostering and promoting significant job growth, increased revenues, superior infrastructure and an exceptional quality of life.

Mission Statement

We create opportunities for businesses to succeed through networking, advocacy, and business and professional development.

Legislative Advocacy & Public Policy The Lee’s Summit Chamber is actively engaged in and committed to representing the business community at all levels of government. Our legislative program is interconnected to all aspects of the Chamber’s activities.

The Chamber offers immediate access to the expertise of our adept Governmental Relations staff.

The participation of the Governmental Relations Committee and the Legislative Committee is critical to ensuring economic success and prospertiy and quality of life for businesses and residents alike. The mission of those volunteer leaders is to to review, debate and make recommendations to the Chamber’s Executive Committee and Board of Directors.

The Chamber is continually monitoring legislation and political affairs at all levels of government.

We strive to effectively communicate relevant information to assist our members in making the appropriate day-to-day and long-term decisions that impact their business.

Table of Contents State Legislative Priorities Economic Development

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Transportation

4

Education

5

Health Care

6

Missouri Government Directory

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Economic Development

Support a comprehensive economic development strategy that includes tax credit restructuring that incentivizes private investment, quality business development and job creation targeting: 1) data centers considering locating or expanding in the State of Missouri, 2) investments made by Angel Groups, 3) workforce training and, 4) the development and the Missouri Innovation Campus in Lee’s Summit. Additionally restructure the Second Injury Fund to reduce/eliminate employers’ financial liability. Reform Missouri’s Unemployment Insurance Trust Fund.

Background: Missouri continues to lag drastically behind nationally in net jobs created and has one of the highest unemployment rates of any state, especially in the Midwest.

Unemployment hovers near 7.8% and job creation numbers reflect Missouri in the lower 20% of states. Lee’s Summit is poised to attract and leverage significant private investment, create high paying jobs and establish a breakthrough model for preparing the future workforce for the jobs of tomorrow. For the past four years, the Missouri General Assembly, has been unable to reach consensus on Economic Development and Tax Credit Reform legislation.

Additionally, the General Assembly has not addressed the impending liabilities associated with the Second Injury Fund and the Unemployment Insurance Trust Fund.

Without legislation that comprehensively restructures economic incentive programs, and reduces employers’ current and future financial liability, the current climate will continue to inhibit leveraging of private investment and job growth.

Impact: The concurrent restructuring of economic development incentives and the Second Injury Fund, along with the establishment of a strategy to finance the Unemployment Trust Fund, would allow the city of Lee’s Summit to experience significant private investment in building and equipment infrastructure and experience major-scale growth in quality jobs.

Action Needed: Advocate for a comprehensive Missouri pro-growth strategy that includes the following: • Restructures economic development incentives, specifically targeting emerging job creation industries (i.e., data centers) • Leverages private investments made by Angel Groups • Expands workforce training and the development of the Missouri Innovation Campus in Lee’s Summit • Restructures Missouri’s Second Injury Fund • Reforms the Unemployment Insurance Trust Fund.

Transportation

Support a smart, sustainable long-term statewide transportation funding plan that enhances public safety and spurs economic activity.

Background: In 2010-11, the Missouri Department of Transportation conducted a major restructuring of the agency and its goals and objectives due to the unprecedented transportation funding crisis and highlights the urgent need to resolve Missouri’s transportation funding 4

shortfall. Currently, MoDOT is operating with half of the funding they’ve had for the previous five years, reducing staff by more than 2.300 and adopting an austerity program that is focused on maintenance and not new construction.

During the summer of 2012,, The Blue Ribbon Citizens Committee on Missouri Transportation Needs, created by House Speaker Tilley, held public meetings across the state examining current and future transportation needs and exploring possible solutions. The committee is to submit a report of their findings and their responses to the General Assembly.

Impact: Missouri continues to be among the states with the largest losses in manufacturing and construction jobs. Better infrastructure will make Missouri and local communities increasingly competitive in the global marketplace, attracting new businesses, providing new jobs and leveraging investment. A comprehensive transportation plan will have an immediate and powerful impact on the economy in every region of the state creating thousands of construction jobs as well as good paying jobs while improving public safety.

Action Needed: Passage of legislation that creates a comprehensive, sustainable transportation funding strategy that addresses Missouri’s immediate and long-term transportation infrastructure needs.

Education

Support K-12 and post-secondary education funding that provides access to high quality, affordable education and training for children, young and aging adults; advocating for full funding of the Foundation Formula and prudent alternative funding opportunities and advocating for equitable distribution of state appropriations between the public university and community college sectors.

Background: Education is an important cornerstone for the future of Missouri’s economy, requiring a sustainable, long-term financial strategy to address current and future needs. The latest rendition of the Foundation Formula, Missouri’s primary method of distributing money to public schools, was adopted in 2006. The Foundation Formula, with its seven-year phase-in, is the major source of basic state support for public schools. Currently, Missouri school districts receive more than $3 billion per year through the formula. With the current economic downturn, issues detrimental to K-12 education could arise if the scheduled phase-in continues without the ability to fully fund the formula. Additionally, post-secondary education funding remains stagnant affecting the ability of Missouri’s institutions of higher learning to provide access to high quality and affordable education and training.

Impact: The lack of commitment by the State of Missouri to funds its own foundation formula and basic program reimbursements such as transportation has forced school districts to seek revenues from their local communities.

After years of budget reductions resulting in loss of jobs and programs in or public schools, there are few options left to districts other than consideration of increases in local property taxes under the current structure. Missouri ranks second in the U.S. with the highest percentage (65%) of 5

school funding coming from the local communities, while ranking next to last in the percentage (31.5%) of funding coming from the state. Education Week Magazine recently gave Missouri a C- grade when it comes to education funding. Additionally, in researching states across the country for the fairness in school funding, Rutgers University found Missouri to be one of only three states to be deficient in all three of its categorical indicators for school funding.

Action Needed: Passage of legislation that: 1) addresses the shortfalls of the current Foundation Formula funding, 2) provides for the availability of increased funding mechanisms at the state and local levels for school districts, and 3) provides for restoration and equitable distribution of state appropriations between the public university and community college sectors. A long-term sustainable funding strategy must include multiple policy and legislative changes to lessen the stress on the state budget and provide an opportunity for the state to appropriately fund education and other services vital to Missouri’s success.

Therefore, the Chamber supports: • legislation that promotes the recommendations of the Missouri Tax Credit Review Commission, including an annual review of state tax credits and implementation of changes that only support those programs that show a real economic return to the State of Missouri • legislation that allows greater diversification of local school district funding, including enabling legislation that would provide opportunities for alternative revenue sources be added to the current structure that relies almost solely on property tax • legislation that will plug the leakage of internet sales tax revenue from our state

Health Care

Support funding for MOHealthNet that ensures the ongoing viability of all health care providers who provide care to the uninsured and underinsured Missourians and that MOHealthNet is structured to maximize all available resources outside Missouri general revenue, including federal matching dollars and Missouri’s FRA program.

Background: A healthy workforce and a healthy community are critical to the economic vitality of the Lee’s Summit community. Uninsured residents are a huge burden on our health care providers, and an added cost to anyone with health insurance. The Affordable Health Care Act (AHCA) is now law. Expanding Medicaid under AHCA is a choice of the Missouri legislature. Lack of expansion would result in added revenue loss to Missouri hospitals equaling over $400 million annually.

Impact: • Medicaid expansion would cover an additional 220,000 Missourians • Create 24,000 jobs in its first year, generating $977 million in wages • Federal funds totaling $8.2 billion would come into Missouri over 6 years, with less than $300 million funding required from the State 6

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The program will provide better health care coverage for 220,000 people, eventually decreasing their cost of care through prevention and patient care management.

Action Needed: Advocate and support legislative action to: • Maximize coverage under the Medicaid program to those newly eligible under the ACA by utilizing the federal funds contributed by employers and workers that are available to the State of Missouri • Encourage local control over health care decisions, keeping the workforce and management local • Reward improved health outcomes without jeopardizing viability of local health care providers.

State Government Directory Missouri Governor

Missouri State Capitol

State Senators

State Representatives Continued

Jeremiah W. (Jay) Nixon Room 216 1(573)751-3222

S. Kiki Curls - District 9 Room 434 1(573)751-3158 shalonn.curls@senate.mo.gov Ed Emery - District 31 Room 431 1(573)751-2108 ed.emery@senate.mo.gov Will Kraus - District 8 Room 418 1(573)751-1464 will.kraus@senate.mo.gov Paul LeVota - District 11 Room 421 1(573)751-3074 paul.levota@senate.mo.gov

State Representatives

201 W. Capitol Avenue Jefferson City, MO 65101 www.mo.gov

Gray Cross - District 035 Room 112 1(573)751-1459 gary.cross@house.mo.gov Jeff Grisamore - District 034 Room 311 1(573)751-1456 jeff.grisamore@house.mo.gov Joe Renions - District 037 Room 101D 1(573-751-9469 joe.runions@house.mo.gov Sheila Solon - District 031 Room 305B 1(573-751-8636 sheila.solon@house.mo.gov

Rick Brattin - District 055 Room 114C 1(573)751-3783 rick.brattin@house.mo.gov Mike Cierpiot - District 030 Room 302B 1(573)751-0907 mike.cierpiot@house.mo.gov 7

Local Government Directory mayor

Lee’s Summit City Hall

Randall L. Rhoads (816)524-8245 randy.rhoads@cityofls.net

220 SE Green Street Lee’s Summit, MO 64063 cityofls.net

DISTRICT ONE

DISTRICT THREE

Kathy Hofmann (816)536-3393 hofmannk@kc.rr.com

Ed Cockrell (816)350-2523 cockrelled@yahoo.com

Rob Binney (816)289-1929 rob.binney@me.com

Derek Holland (816)309-8008 derek.holland@me.com

DISTRICT TWO

DISTRICT FOUR

Allan S. Gray II (816)695-8845 agrayd2@gmail.com

Bob Johnson bjohnsond4@gmail.com (816)225-6126

Brian Whitley (816)213-9366 bwhitleyd2@gmail.com

Dave Mosby (816)246-1315 davehmosby@gmail.com

220 SE Main Street • Lee’s Summit, MO 64063 816.524.2424 • lschamber.com • lschambervote4biz.com