MOScout Daily Update: MNEA Sues To Stop $50M To ESA - Kehoe Cuts - Monheiser Eyes Senate 8 - Bailey Fined - House Dems’ Big Quarter and more…
MNEA Sues to Stop $50M ESA Appropriation
The Missouri National Education Association filed suit yesterday to stop the $50 million appropriation to the Missouri Empowerment Scholarship Act, saying the “scheme to divert general revenues to what are essentially vouchers for the payment of private school tuition for elementary and secondary school students” was unconstitutional. See the suit here.
This is one of Governor Mike Kehoe’s biggest agenda items. Critics had warned it would be challenged in court.
The suit alleges that “The Missouri Empowerment Scholarship Act does not authorize distribution of general revenues for scholarships, either by EAOs or by the State itself. No other Missouri statute provides this authority either.” And thus, the appropriation bill violates the “single subject” clause in the constitution because it combines the “appropriations with the enactment or amendment of general or substantive law.”
“Through the appropriations in HB 12 for the ESA program, the General Assembly impermissibly attempted to amend the ESA statute to permit the transfer of general revenues into the ESA Fund and the transfer of general revenues and dedicated administrative/marketing funds out of the ESA Fund for purposes of ESA scholarships.”
Kehoe Axes Budget
As expected, Governor Mike Kehoe wasn’t timid in using his veto pen. He axed $511 million, saying it was necessary to balance out the legislature’s education funding and capital gains tax cut.
You can read Rudi Keller’s comprehensive reporting on the issue here, or Kurt Erickson’s here.
Two big takeaways…
· No Overrides. Kehoe’s veto list was long (see the vetoes here and the restrictions here). They slice desired projects from all across the state, and they won’t make Kehoe the most popular guy in the building this week. But they’re also mostly smallish ($1-5 million) and parochial projects. There’s nothing to galvanize a real desire among Republicans to take on their own governor. Also, they probably know in their hearts: he’s right. It’s time to tighten the belt a bit…
· Tougher times ahead. State tax revenue has remained relatively stable, but this year it shrank in real terms (that is, it will increase at a rate smaller than the inflation rate). Looking ahead, the Trump Administration’s tariffs and anti-immigration policies are dampening economic growth expectations. And the state has continued to spend beyond its revenues as it whittles down the cash stash from federal COVID handouts. Kehoe’s news release paints a shocking state of affairs for the state’s finances: “Office of Administration’s Division of Budget and Planning estimates a nearly $1 billon shortfall in general revenue starting in FY27.”
Monheiser Eyes Senate 8?
A poll in Senate 8 is testing positive and negative statements about Jennifer Monheiser and Rep. Keri Ingle. It appears to confirm rumors that Monheiser is considering a bid. Monheiser would run as a Republican.
Sen. Mike Cierpiot is termed. Speaker Jon Patterson recently amended his campaign committee to indicate that he’s also considering running.
· Monheiser was in the middle of a battle royale in Jefferson City a few years ago when residents of Raymore, anxious over the possibility her company would construct a landfill nearby, flooded the capitol looking for relief.
Why It Matters
Senate 8 is a potential swing district in 2026.
Waller Says He’s Looking At Everything
Yesterday I cited a Leader news story that Rep. Ken Waller was considering running for Jefferson County Clerk. Waller clarified that yes, he is considering that post. But he’s considering a lot of things – including running for re-election in the House, and running for Senate 22. Don’t fence him in!
A myriad of family considerations are driving Waller’s decision-making process. But he feels that with his relatively high name ID from being previously elected to county-wide spots, he has time to weigh all the possibilities. (Mini-scoop: Waller says that if he doesn’t jump into Senate 22, he will likely endorse Jim Avery. “I just like the guy.”)
Meanwhile
Two other declared candidates for Senate 22 – Rep. David Casteel and Jim Avery – each put $100,000 into their campaign accounts yesterday. It was the last day of the fundraising quarter, so those checks with give their results a nice boost.
· For Avery this was the second $100K check he’s written himself since forming his committee. One reader comments: The beat around Jefferson City is that people aren’t sure that Avery will spend his money. They clearly don't know Jim Avery.
Bailey Fined Over MEC Violations
Attorney General Andrew Bailey was fined $2,250 by the Missouri Ethics Commission for two illegal campaign contributions in his 2024 primary campaign.
· $2,000 from Agape Construction.
· $250 from JMH Law Firm LLC.
The consent order noted that Bailey received “1,880 contributions amounting to $1,729,212.37” during his campaign, calling these contributions “an oversight.”
Rumorville: House Dems Finish Banner Quarter?
Tipster says that “House Dems are set to raise over $280k in this Quarter alone. In the entirety of 2023, they raised $313k.”
The ramp up in fundraising is a good sign for Dems who have failed to capitalize on opportunities in previous cycles.
· Behind the success: “[Minority Leader] Ashley [Aune] has done a really good job of building her team and empowering them…”
Latest Cupps Farm Suit
The troubled Cupps Farm, which is co-owned by Rep. Scott Cupps and his brother Matt, has been sued again. Last year they were sued by Deere and MFA. This time by Jones Twine and Net Wrap Inc for $2,400, who alleges that they haven’t been paid for products they delivered.
Powell to Lead SCOMO
Press release: By order of the Court, Supreme Court of Missouri Judge W. Brent Powell will assume the role of chief justice beginning July 1. His two-year term as chief justice will run through June 30, 2027. He succeeds Judge Mary R. Russell, who remains on the Court.
· Powell began his legal career at the Lathrop & Gage law firm in Kansas City before entering public service as a prosecutor a year later. He worked for the Platte County prosecutor’s office until 2001, when he became an assistant United States attorney for the United States attorney’s office in Kansas City... In 2008, then-Governor Matt Blunt appointed him as a circuit judge in Jackson County. Then-Governor Eric Greitens appointed him to the Supreme Court of Missouri in April 2017, and voters retained him for a 12-year term in November 2018.
$5K+ Contributions
Citizens to Elect David Casteel - $100,000 from David Casteel.
Avery for Senate - $100,000 from James Avery.
Missouri House Democrats Action Fund - $75,000 from Missouri and Kansas Laborers PAC.
Senate Democratic Campaign Committee - $10,000 from Scott Sifton for Missouri.
MO Soybean Association State PAC (MO SoyPAC) - $6,000 from J & J Ventures Gaming LLC (Effingham, IL).
MO Soybean Association State PAC (MO SoyPAC) - $10,000 from Missouri Corn Growers Association.
Missouri Enterprise Fund - $7,500 from Lowe Dressen Miller, LLC.
HBS MO State PAC - $31,650 from HB Strategies.
Lobbyist Registrations
Randy Alberhasky added Missouri Association of Trial Attorneys.
Heath Clarkston, Doug Nelson, and Michael Henderson added Carfax, Inc.
Jessica Fujan added California Nurses Association, and National Nurses United.
Paul Mouton deleted National Realty Advisors, and Petland Inc.
Catalyst deleted Oak Point Partners, LLC.
Phil Scaglia deleted Avis Budget Group, Inc.
Birthdays
Happy birthdays to Cyndi Gamble, Maida Coleman, Connie Johnson, John Bowman, and Charlie Norr.