MOScout Daily Update: VLTs Out of House - Fitz Dings Marijuana Process - Inflation Hits Budget - AI’s Strange Bedfellows and more…
Inflation Hits Highway Patrol
In yesterday’s Senate Appropriations Committee, Missouri State Highway Patrol’s Budget Director, Matthew Broniec, while explaining the fleet funding increase request, pointed to higher prices:
“For comparison on that, the 2017 Charger, we were paying $22,666. And right now for Durango, we're paying $42,881.”
That’s nearing a doubling (about 90%) in the last decade.
Why It’s Important
We’re going to be seeing this all across the budget. Last year’s state tax receipts were flat, and this year revenues are flat (up about 1% right now with projections to decline). When expenditures are unchanged, like the education foundation formula for next year, it’s a cut in terms of real buying power.
Marijuana Audit
State Auditor Scott Fitzpatrick released an audit of the state’s marijuana program, citing examples of questionable practices during the application process. See the report here.
Fitz mentioned just days ago that his office had received a lack of cooperation from the department, leading to a lengthy auditing process. That was evident as nearly a third of the 77-page report is a detailed (and sometimes redundant) rebuttal from the department defending the integrity of their program.
Among the findings…
The DCR allowed applicants to create their own unique identifier (UA) to be used on uploaded supporting documents during the scoring process, which allowed applicants to base their UA on the company's name, potentially disclosing the identity of the applicant to the scorers... While only 15 percent of the overall population of applications (348 of 2,257) received licenses, applicants with identifying UAs benefited from the lack of anonymity, with 83 percent (10 of the 12 applications reviewed) being granted licenses.
What It Means
The marijuana industry has shown themselves as a potent fundraising and lobbying force. Fitzpatrick fearlessly shining this spotlight on shortcomings could bring some embarrassment to them… and might give him political trouble down the road.
Hardwick VLTs Passes the House
Rep. Bill Hardwick’s VLT bill passed out the House, even clearing the 82-vote hurdle with a vote to spare.
The Senate outlook is not good…
· Democrats giving line by line scrutiny to even near-consensus bills.
· Pro tem Cindy O’Laughlin is on the record as particularly unenthusiastic.
But…
Getting the bill out of the House in February means there’s plenty of time on the game clock…
No AI for CPAs in MO?
Yesterday during Senate debate on Sen. Curtis Trent’s SB 1233, the body adopted an amendment from Sen. Doug Beck stating that “it shall be the unlawful practice of public accounting for any certified public accountant or certified public accounting firm to perform public accounting with the use of artificial intelligence.”
It passed 16-12 (with 6 absent) with an unusual collection of folks, Dems together with some of the most conservative Republicans: Sens. Beck, Ben Brown, Jill Carter, Patty Lewis, Karla May, Tracy McCreery, Mike Moon, Angela Mosley, Joe Nicola, Maggie Nurrenbern, Steven Roberts, Adam Schnelting, Nick Schroer, Barbara Washington, Stephen Webber, and Brian Williams.
· It shows how concerns about the new AI technology are defying partisan lines.
Meanwhile
Southwest Baptist University announced that “to better prepare students aspiring to work within the data science field, Southwest Baptist University is excited to announce that its Bachelor of Science in Data Science degree has become the Bachelor of Science in Artificial Intelligence and Data Science Degree.”
Mega EcoDevo Bill
Rep. Brad Christ’s HB 3231 had a hearing yesterday in the House Commerce Committee.
It’s an ambitious bill, one which could do wonders for St. Louis’ downtown. And Christ is probably the best person to handle the bill – he’s well-liked, and he’s also shown some tough love to St. Louis.
The bill has a lot going on with a “Innovation District,” a “master scorecard” and a “Rural Missouri Development Fund,” there just might be something for everyone.
But two potential pitfalls that surfaced in the hearing…
· The $50 million fiscal note could be tough in this environment.
· AFL-CIO’s Jake Hummel testified that he had some concerns how the bill handles prevailing wages.
Special MTC Board Meeting Coming
Noticed up for Friday 9AM… a “Special MTC Board Meeting.”
Folks have been watching the Missouri Technology Corporation because the board has been searching for a replacement CEO since the resignation of its current leader.
Rumored to be a top candidate: Sen. Travis Fitzwater. If it happened before Tuesday, when candidate filing opens, his Senate 10 seat will be a hot race to watch.
Meanwhile
Less than a week until filing opens, and “running commercials” is not far from legislators’ minds…
The Incredible Cost of Power Plants
In yesterday’s House Utilities Committee, Ameren’s Zach Monroe, testifying for informational purposes only, and talking about the long lead time to build a new nuclear power plant, dropped this nugget: “The permitting costs when you have to do all the studies required to apply for the permits are in the hundreds of millions of dollars.”
· An astounding figure, but it jives with Duke Energy’s pre-construction costs: $225 million.
And
That makes the point underlined by former Public Service Commissioner Scott Rupp in a recent op-ed in the Missouri Times all the more remarkable…
· Missouri enters today’s energy conversation with something many states no longer have: electric costs that remain among the lowest in the nation for families and businesses. Independent data from the Edison Electric Institute shows that Missouri customers are paying well below both the Midwest and national averages…
· What’s often overlooked is that this isn’t a short-term blip. Over the past five years, Missouri’s electric rates have risen more slowly than in much of the country. The sharp increases that dominate national headlines have been concentrated in a handful of states, especially on the coasts. Missouri hasn’t followed that path.
· Low costs like that don’t happen by accident. They reflect years of steady planning and decisions made long before they appear on a monthly bill.
No One Likes Masked Intimidation
Rep. David Dolan’s HB 2848 received unanimous approval in the House Judiciary Committee.
A person commits the offense of masked intimidation if the person intentionally harasses, intimidates, or threatens any other person while hiding or concealing his or her face with a mask
· Liberals think it’s about ICE, and conservatives think it’s about Antifa.
eMailbag on Secker
The letter against Louise Secker is laughable. They have no facts to disqualify her. Just stoking rumors because she outraised her opponent 9-1 in the last quarter. Louise will be a rockstar in the House.
Measles in Missouri?
With warnings of a measles “exposure” at St. Louis Lambert Airport, one lobbyist suggests my next Hallway question should be “will measles make its way to the Capitol by May?”
$5K+ Contributions
Association of MO Electric Cooperatives (AMEC PAC) - $12,500 from Sho-Me Power Electric Cooperative.
Association of MO Electric Cooperatives (AMEC PAC) - $5,500 from Laclede Electric.
Save Missouri Hemp PAC - $6,000 from Advance Amusement Group.
Lobbyist Registrations
Steve Ahlers added Trent Watson.
Dustin Backes added Varidon.
Blenda Dos Santos added Missouri Hemp Association.
Brad Thielemier added Cotton Producers of Missouri.
Tim Johnson added Google LLC and Its Affiliates.
Jay Reichard added Missourians for Fair Regulations.
Happy Birthday
Happy birthdays to Alex Eaton, Lynne Schlosser, Rodney Schad, and Ron Gladney.