MOScout Daily Update: Huge Scharf Checks - Multiplier Magic - Gallagher Passes - Kunce Ad and more...
Quick Friday update…
$1.5M Headed for Scharf?
Two huge checks were recorded yesterday by the Club for Growth Action - Missouri Federal Committee.
The Club for Growth has endorsed Will Scharf in the attorney general’s race, and it seems pretty clear that’s the reason because the contributions.
$500,000 was from the national Club for Growth Action organization, and $1 million came from The Concord Fund, which is related to Leonard Leo, said to be a close friend of Scharf.
What It Means
This is in line with the imagined trajectory of this race. Attorney General Andrew Bailey has tried to sue everyone possible to raise his name ID. Meanwhile, Scharf is expected to flood the race with national money.
For folks trying to find an analog in a recent race. Is this US Senate 2022 where Eric Schmitt used his office effectively to grab free press and raise his profile to distinguish himself from the field? Or is this US Senate 2018 where Josh Hawley swamped Kurt Schaefer with national money?
Multiply to Make Film Tax Credit Numbers Add Up
Missouri Department of Economic Development touts “On Fire,” as “the first feature film to receive funding through Missouri's Show MO Motion Media Tax Credit, also known as the Show MO Act.”
But from a pure bang-for-your-buck, it’s hard to see how the incentive makes sense. “In-Missouri spending for the production of "On Fire" totaled nearly $6.9 million over 19 days of filming that predominantly took place in St. Louis. During production, which included a day filming in Jefferson City, more than 550 Missourians were employed in roles ranging from day-players to crew members. The film received $2.75 million in tax credits…”
If the entire $6.9M were salaried (it wasn’t) and therefore taxed at Missouri’s 6% rate, that’d only bring $.4 million of the $2.75 million credits back in the coffers. And I assume a fair chunk of the spend was taxed rather at the 4.2% sales tax rate.
How is this possibly justified? The answer the magical “multipler effect.” It goes something like this: That is the money spent booking a hotel room goes to the hotel owner who decides to spend the extra income putting extra Missouri-grown flowers in the vases of the hotel lobby and then the florist takes that extra money when he goes to lunch and has an extra slice of cake as dessert, and then the diner owner…
Does money get circulated in the economy? Of course. But that doesn’t mean that money government directs is endowed with gets some extra “multipler.”
While I’ve heard conservatives justify their favorite incentives using the wand of the multiplier effect, they never seem to give the same properties to say food stamps. Then suddenly they’re looking at the other side of the equation – the taxpayer who has less money in their pocket to spend. Is the multiplier effect not canceled out by the divider effect from the taxpayers who fronted the subsidies to the film producers?
Kunce Ad Targets IVF
Democrat Lucas Kunce released a 30-sec ad on Twitter swinging at Senator Josh Hawley over the IVF issue. The ad only has Kunce at the very end saying he approves the message. The rest of the ad features a woman looking into the camera describing her struggle to get pregnant and the joy of motherhood, finishing with “I want Josh Hawley to look me in the eye and tell me that I can’t have the child that I deserve.”
· The Hill reports on a recent Alabama House race in which Dems won after running on IVF. “The state House district is an unusual one, with purplish political leanings in a largely red state. Political observers tuned into the race to see if the issues of IVF and abortion might sway voters in the unique Alabama district.”
Gallagher Passes
Lobbyist Harry Gallagher passed away. He was an institution in Jefferson City. From his obituary…
· Harry Gallagher was born in Lawrence, KS, on March 1, 1932, to Margaret and Harry Gallagher, Sr., of Tonganoxie, KS. He passed away March 27, 2024…
· [H]e became active in Kansas City politics, managing numerous political campaigns, including the mayoral campaign of Dr. Charles Wheeler in 1971. Harry was elected to the Missouri State House of Representatives in 1972, where he was Vice Chairman of the Subcommittee on Economics for Zero Based Budgeting…
· After he left elected office, he became the Executive Assistant for Jackson County Executive Mike White in 1975, specializing in legislative affairs.
· As businesses came to Harry wanting his advice for passing legislation in the Missouri General Assembly, he gradually built what would become Gallagher Consultants, among the first independent lobbying firms in Jefferson City. He built a robust lobbying practice that enjoyed tremendous success over 45 years. He was involved in nearly every major piece of legislation in Missouri during those decades, launched many careers of political consultants, and advised many senior elected officials, including every Governor of the State of Missouri. He chaired the Missouri Insurance Coalition Legislative Committee for many years, was the President of the Mortgage Bankers Association of Missouri for several decades; and represented 30 to 50 clients every year…
· After working 12-hour days until he was 85 years old, Harry sold Gallagher Consultants in 2018 to the Lathrop GPM firm and became Chairman Emeritus of Lathrop GPM Consulting, LLC.
· Visitation will be at 12:00 pm with the Celebration of Life service at 1:00 on Monday, April 1, at Country Club Christian Church, 6101 Ward Parkway, Kansas City, MO. Burial will follow at Johnson County Memorial Gardens, 11200 Metcalf, Overland Park, KS.
· Memorial gifts can be directed to the Tonganoxie Community Historical Society, PO Box 785, Tonganoxie, KS, 66086-0785.
$5K+ Contributions
Club for Growth Action - Missouri Federal Committee - $1,000,000 from The Concorn Fund (Vienna, VA).
Club for Growth Action - Missouri Federal Committee - $500,000 from Club for Growth Action (Washington, DC).
American Dream PAC (pro-Kehoe) - $25,000 from GSLAA PAC.
American Dream PAC - $25,000 from CV Eureka LLC.
American Dream PAC - $5,700 from Tom Bradley.
Sierra Club Missouri Political Committee - $7,000 from Ross Hunt.
HOMEFRONT PAC (pro-Webber) - $75,000 from Missouri and Kansas Laborers' PAC.
The Wonderdog PAC (pro-Kurtis Gregory) - $5,001 from JB PAC.
Clay County Democratic Central Committee - $15,000 from Clay Dems Political Action Committee.
Lobbyist Registrations
Jonathan Falk added Student Press Law Center.
Ryan Rowden added Pharmaceutical Research And Manufacturers of America (PhRMA).
Birthdays
Happy birthdays to Rep. Kemp Strickler, Will Scharf, Sean Grove, Zach Brunnert, Ellen Brandom, Nathan Beard, and Neal St. Onge.