House Journal - April 10, 1996
House Journal
Second Regular Session, 88th General Assembly
FIFTY-FOURTH DAY, Wednesday, April 10, 1996
Speaker Pro Tem Daniels in the Chair.
Prayer by Reverend Cheryl L. Tatham.
We give you thanks, O God of history, that this state and this land are still governed by the
people's representatives. Let the democratic process be seen in its best light during this
period of campaigning, nominating and electing. Help us keep pride and arrogance from
misleading the ways of justice and honesty.
Today, Lord, we recognize in this great Capitol, those men and women who serve and have served
in the military forces of our nation. We give you thanks for their willingness, for their
courage, for their steadfastness. But in the midst of that recognition, we also pray that one
day soon our guns and tanks and weapons of destruction will be beaten into plowshares; our
military men and women will find themselves in occupations of peace; and the nations of the
world will work together for the common good of all humanity. Let it be so, O God, let it be
so.
And now bless those who labor here with your guidance. Give them wisdom, insight, and courage
to do what needs to be done. And reassure them of your presence in their daily living. Amen.
The Pledge of Allegiance to the flag was recited.
The Speaker appointed the following to act as Honorary Pages for the Day, to
serve without compensation: Adair Stokan, Missy Henke, Angela Lottes, Kacie
Kissell, LaChelle Harton, Jessica Tate, Aaron Cole, Katie Wunsch, Tim
Alexander, Drew Boyles, Shawn Wheeler, John Urbanex, Chris Chandler, Steven
Cauley, Michael Eichhorn, Nancy Hoard, Jordan Mahaney, Shanah Sanker, Chris
Michalak, Karee Herman, Denise Will, Sarah Pettus, Laura Barks, Jason Larkins,
Elizabeth Nolen, Jenny Bryant, Celia Shannon, Sarah Farmer, Aminat Danmole,
Andrew Priest, Natalie Bierce, Jennifer Brockman and John Witte.
The Journal for the fifty-third day was approved as corrected.
RESOLUTIONS
Representative Hartzler (124) offered House Resolution No. 744, which was
referred to the Committee on Miscellaneous Bills and Resolutions.
Representative Boucher offered House Resolution Nos. 745 and 746, which were
referred to the Committee on Miscellaneous Bills and Resolutions.
Representative Murray (135) offered House Resolution No. 747, which was
referred to the Committee on Miscellaneous Bills and Resolutions.
Representative Copeland offered House Resolution Nos. 748 through 750, which
were referred to the Committee on Miscellaneous Bills and Resolutions.
HOUSE RESOLUTIONS
HR 598, relating to take your daughter to work day, was taken up by
Representative Ostmann.
House Resolution No. 598
Whereas, upon occasion the members of the Missouri House of Representatives pause to
acknowledge the achievements of today's young citizens who will be tomorrow's leaders; and
Whereas, "Take Our Daughters to Work Day" was established in 1933 to bring young women into
the work place in an endeavor to help them build confidence by showing them the vast array of
career choices available to women today; and
Whereas, the Honorable Mel Carnahan, governor of the great state of Missouri, has proclaimed
April 10, 1996, as "Take Our Daughters to Work Day" in Missouri; and
Whereas, the Missouri Senate and the Missouri House of Representatives will enjoy the honor of
playing hosts to the numerous young women who will participate in the third annual "Take Our
Daughters to Work Day"; and
Whereas, these young women from all across the state will experience the opportunity to
witness first-hand the rapid pace at which the women of the Missouri General Assembly perform
their duties and responsibilities; and
Whereas, while in Jefferson City, these young women will receive a formal introduction in the
Senate and in the House, will participate in a tour of the capitol, and will be the guests at
a special luncheon; and
Whereas, it is the sincere desire of this legislative body that all Missourians support "Take
Our Daughters to Work Day" by inviting young women into the work place to explore the career
opportunities awaiting women today:
Now, therefore, be it resolved that we, the members of the Missouri House of Representatives,
Eighty-eighth General Assembly, unanimously join in extending a most cordial welcome to all
those young women who will participate in this year's "Take Our Daughters to Work Day"; and
Be it further resolved that the Chief Clerk of the Missouri House of Representatives be
instructed to prepare a properly inscribed copy of this resolution for presentation during the
1996 "Take Our Daughters to Work Day".
On motion of Representative Ostmann, Rule 63 was suspended and HR 598 was
adopted.
HR 484, relating to use of chamber, was taken up by Representative
Edwards-Pavia.
On motion of Representative Edwards-Pavia, HR 484 was adopted.
PERFECTION OF HOUSE BILL
HCS HB 1237, relating to economic development, was taken up by Representative
Rizzo.
Representative Rizzo offered HS HCS HB 1237.
Representative Edwards-Pavia requested a division of the question.
HCS HB 1237, with HS and a request for a division of the question, pending,
was laid over.
The Speaker assumed the Chair.
PRESENTATION OF THE COLORS
The Missouri National Guard approached the dais for the presentation of the
Colors.
HR 743, relating to military appreciation day, which was read, was taken up by
the Speaker.
House Resolution No. 743
Whereas, the members of the Missouri House of Representatives are fully cognizant of the vital
role which this nation's armed forces play in protecting and defending America's freedom and
her interests around the world; and
Whereas, April 10, 1996, has been designated Military Appreciation/Recognition Day in Missouri
as an appropriate way to honor all those brave men and women who have given of themselves in
service to America as members of the armed forces stationed in Missouri; and
Whereas, those individuals to be honored on Military Appreciation/Recognition Day include not
only active duty members, but also reserve members, National Guard members, veterans,
retirees, POWs, and MIAs; and
Whereas, during the festivities on this special occasion, the state of Missouri will enjoy the
rare opportunity to acknowledge the sacrifices and the contributions made by two Congressional
Medal of Honor winners, Mr. William E. Hall and Mr. Donald E. Ballard; and
Whereas, William E. Hall served America with courage, pride, and loyalty during World War II
as a Navy pilot with the rank of Lieutenant, Junior Grade; and
Whereas, Donald E. Ballard rendered proud, courageous, and faithful service to his native land
during the Vietnam Conflict as a Navy Hospital Corpsman, Second Class; and
Whereas, it is with deepest gratitude that this legislative body pauses to applaud the
countless ways in which the members of the United States Armed Forces have accepted their
responsibility in times of both peace and war so that this nation could continue to prosper as
the leader of the free world:
Now, therefore, be it resolved that we, the members of the Missouri House of Representatives,
Eighty-eighth General Assembly, unanimously join with all Missourians in paying tribute to
those men and women who have distinguished themselves by carrying on the proud military
tradition of America's armed forces through their patriotism, valor, and commitment to the
highest standards of excellence; and
Be it further resolved that the Chief Clerk of the Missouri House of Representatives be
instructed to prepare a properly inscribed copy of this resolution for presentation on
Military Appreciation/Recognition Day.
On motion of Representative Backer, Rule 63 was suspended and HR 743 was
adopted.
Colonel Power, (USAF) Whiteman Air Force Base, addressed the House.
PERFECTION OF HOUSE BILL
HCS HB 1237, with HS and request for a division of question, pending, relating
to economic development, was again taken up by Representative Rizzo.
Part I of HS HCS HB 1237 was taken up by Representative Rizzo.
Representative Troupe offered House Amendment No. 1.
House Amendment No. 1
AMEND Part I of House Substitute for House Committee Substitute for House Bill No. 1237,
Section 135.207, Page 30, Subsection 2, Subdivision 3, Line 20, by inserting immediately after
the word "designation" the following:
"except that the population requirement prescribed in this subdivision shall not apply to
satellite zones designated pursuant to subdivision (3) of subsection 1 of this section."
On motion of Representative Troupe, House Amendment No. 1 was adopted.
Representative Sallee offered House Amendment No. 2.
Representative Gaskill raised a point of order that House Amendment No. 2 is
not germane to Part I.
The Chair ruled the point of order well taken.
HCS HB 1237, with Part I, as amended, Part II, Part III, Part IV and Part V of
HS pending, was laid over.
On motion of Representative Backer, the House recessed until 2:00 p.m.
AFTERNOON SESSION
The hour of recess having expired, the House was called to order by
Representative Smith.
The Speaker appointed the following to act as Honorary Pages for the Day, to
serve without compensation: Jay Boresi, R.J. DiGerolamo, Chris Lane, Jonathan
Palisch, Stephanie Dillon, Brittany Dillon, Azizat Danmole and Elizabeth
Dougherty.
RESOLUTIONS
Representative Ross offered House Resolution No. 751, which was referred to
the Committee on Miscellaneous Bills and Resolutions.
Representative Howerton offered House Resolution No. 752, which was referred
to the Committee on Miscellaneous Bills and Resolutions.
Representative Alter offered House Resolution No. 753, which was referred to
the Committee on Miscellaneous Bills and Resolutions.
Representative Clayton offered House Resolution Nos. 754 and 755, which were
referred to the Committee on Miscellaneous Bills and Resolutions.
Representatives Gross and Bennett (15) offered House Resolution No. 756
through 763, which were referred to the Committee on Miscellaneous Bills and
Resolutions.
Representative Richardson offered House Resolution No. 764, which was referred
to the Committee on Miscellaneous Bills and Resolutions.
COMMITTEE REPORTS
Mr. Speaker: Your Committee on Miscellaneous Bills and Resolutions, to which
was referred House Resolution Nos. 723, 724, 725, 726, 728, 729, 730, 731,
732, 733, 734, 735, 736, 737, 738, 739, 740, 741, 742, 744, 745, 746, 747,
748, 749, 750, 751, 752, 753, 754, 755, 756, 757, 758, 759, 760, 761, 762, 763
and 764, begs leave to report it has examined the same and recommends that
they Do Pass.
Committee on Budget, Chairman Lumpe reporting:
Mr. Speaker: Your Committee on Budget, to which was referred HB 1249 (Fiscal
Note), begs leave to report it has examined the same and recommends that it Do
Pass.
PERFECTION OF HOUSE BILL
HCS HB 1237, with Part I, as amended, Part II, Part III, Part IV and Part V of
HS, pending, relating to economic development, was again taken up by
Representative Rizzo.
Part I of HS HCS HB 1237, was again taken up by Representative Rizzo.
Representative Scheve offered House Amendment No. 2.
House Amendment No. 2
AMEND Part I of House Substitute for House Committee Substitute for House Bill No. 1237, Page
1, In the Title, Line 2, by inserting after the word "sections" the number "32.105,"; and
Further amend said bill, Page 1, In the Title, Line 3, by inserting after the number
"135.405," the numbers "148.330, 148.350"; and
Further amend said bill, Page 1, In the Title, Line 4, by inserting after the word "sections"
the number "32.115,"; and
Further amend said bill, Page 1, In the Title, Line 12, by deleting the word "twenty-seven"
and inserting in lieu thereof the word "sixty-seven"; and
Further amend said bill, Page 1, Section A, Line 1, by inserting after the word "Sections" the
number "32.105,"; and
Further amend said bill, Page 1, Section A, Line 2, by inserting after the word "sections" the
number "32.115,"; and
Further amend said bill, Page 2, Section A, Line 1 at the top of said page, by deleting the
word "eighteen" and inserting in lieu thereof the word "fifty-six"; and
Further amend said bill, Page 2, Section A, Line 2 from the top of said page by inserting
after the word "sections" the numbers "32.105, 32.115,"; and
Further amend said bill, Page 2, Section A, Line 3 from the top of said page, by inserting
after the number "135.405," the following: "135.500, 135.503, 135.505, 135.508, 135.516,
135.520, 135.523, 135.526, 135.529, 135.600, 135.605, 135.610, 135.615, 135.620, 135.625,
135.630, 135.635, 135.640, 135.645, 135.650, 135.655, 135.660, 135,665, 135.670, 135.675,
135.680, 135.685, 135.690, 135.695, 135.700, 135.705, 135.710, 135.715, 135.720, 135.725,
135.730,"; and
Further amend said bill, Page 2, Section A, Line 5 from the top of said page, by inserting
after all of said line the following:
"32.105. As used in sections 32.100 to 32.125, the following terms mean:
(1) "Affordable housing assistance activities", money, real or personal property, or
professional services expended or devoted to the construction, or rehabilitation of affordable
housing units;
(2) "Affordable housing unit", a residential unit generally occupied by persons and families
with incomes at or below the levels described herein and bearing a cost to the occupant no
greater than thirty percent of the maximum eligible household income for the affordable
housing unit. In the case of owner occupied units, the cost to the occupant shall be
considered the amount of the gross monthly mortgage payment, including casualty insurance,
mortgage insurance, and taxes. In the case of rental units, the cost to the occupant shall be
considered the amount of the gross rent. The cost to the occupant shall include the cost of
any utilities, other than telephone. If any utilities are paid directly by the occupant, the
maximum cost that may be paid by the occupant is to be reduced by a utility allowance
prescribed by the commission. Persons or families are eligible occupants of affordable housing
units if the household combined, adjusted gross income as defined by the commission is equal
to or less than the following percentages of the median family income for the geographic area
in which the residential unit is located, or the median family income for the state of
Missouri, whichever is larger; ("geographic area" means the metropolitan area or county
designated as an area by the federal Department of Housing and Urban Development under Section
8 of the United States Housing Act of 1937, as amended, for purposes of determining fair
market rental rates):
Percent of State or
Geographic Area Family
Size of Household Median Income
One Person 35%
Two Persons 40%
Three Persons 45%
Four Persons 50%
Five Persons 54%
Six Persons 58%
Seven Persons 62%
Eight Persons 66%
(3) "Business firm", person, firm, a partner in a firm, corporation or a shareholder in an S
corporation doing business in the state of Missouri and subject to the state income tax
imposed by the provisions of chapter 143, RSMo, or a corporation subject to the annual
corporation franchise tax imposed by the provisions of chapter 147, RSMo, or an insurance
company paying an annual tax on its gross premium receipts in this state, or other financial
institution paying taxes to the state of Missouri or any political subdivision of this state
under the provisions of chapter 148, RSMo, or an express company which pays an annual tax on
its gross receipts in this state;
(4) "Commission", the Missouri housing development commission;
(5) "Community services", any type of counseling and advice, emergency assistance or medical
care furnished to individuals or groups in the state of Missouri;
(6) "Crime prevention", any activity which aids in the reduction of crime in the state of
Missouri;
(7) "Defense industry contractor", a person, corporation or other entity which will be or has
been negatively impacted as a result of its status as a prime contractor of the Department of
Defense or as a second or third tier contractor. A "second tier contractor" means a person,
corporation or other entity which contracts to perform manufacturing, maintenance or repair
services for a prime contractor of the Department of Defense, and a "third tier contractor"
means a person, corporation or other entity which contracts with a person, corporation or
other entity which contracts with a prime contractor of the Department of Defense;
(8) "Doing business", among other methods of doing business in the state of Missouri, a
partner in a firm or a shareholder in an S corporation shall be deemed to be doing business in
the state of Missouri if such firm or S corporation, as the case may be, is doing business in
the state of Missouri;
(9) "Economic development", the acquisition, renovation, improvement, or the furnishing or
equipping of [existing] buildings and real estate in distressed or blighted areas of the state
when such acquisition, renovation, improvement, or the furnishing or equipping of the
[existing] buildings and real estate will result in the creation or retention of jobs within
the state; or, until June 30, 1996, a defense conversion pilot project located in a standard
metropolitan statistical area which contains a city with a population of at least three
hundred fifty thousand inhabitants, which will assist Missouri-based defense industry
contractors in their conversion from predominately defense related contracting to nondefense
oriented manufacturing. Only neighborhood organizations, as defined in subdivision (13) of
this section, may apply to conduct economic development projects. Prior to the approval of an
economic development project, the neighborhood organization shall enter into a contractual
agreement with the department of economic development. Credits approved for economic
development projects may not exceed [two] five million dollars from within any one fiscal
year's allocation. Neighborhood assistance program tax credits for economic development
projects may be transferred, sold or assigned by a notarized endorsement thereof naming the
transferee;
(10) "Education", any type of scholastic instruction or scholarship assistance to an
individual who resides in the state of Missouri that enables him to prepare himself for better
opportunities or community awareness activities rendered by a statewide organization
established for the purpose of archeological education and preservation;
(11) "Homeless assistance pilot project", the program established pursuant to section 32.117;
(12) "Job training", any type of instruction to an individual who resides in the state of
Missouri that enables him to acquire vocational skills so that he can become employable or be
able to seek a higher grade of employment;
(13) "Neighborhood organization", any organization performing community services or economic
development activities in the state of Missouri and:
(a) Holding a ruling from the Internal Revenue Service of the United States Department of the
Treasury that the organization is exempt from income taxation under the provisions of the
Internal Revenue Code; or
(b) Incorporated in the state of Missouri as a not for profit corporation under the provisions
of chapter 355, RSMo; or
(c) Designated as a community development corporation by the United States government under
the provisions of Title VII of the Economic Opportunity Act of 1964;
(14) "Physical revitalization", furnishing financial assistance, labor, material, or technical
advice to aid in the physical improvement or rehabilitation of any part or all of a
neighborhood area;
(15) "S corporation", a corporation described in section 1361(a)(1) of the United States
Internal Revenue Code and not subject to the taxes imposed by section 143.071, RSMo, by reason
of section 143.471, RSMo.
32.115. 1. The department of revenue shall grant a tax credit, to be applied in the following
order until used, against:
(1) The annual tax on gross premium receipts of insurance companies in chapter 148, RSMo;
(2) The tax on banks determined under subdivision (2) of subsection 2 of section 148.030,
RSMo;
(3) The tax on banks determined in subdivision (1) of subsection 2 of section 148.030, RSMo;
(4) The tax on other financial institutions in chapter 148, RSMo;
(5) The corporation franchise tax in chapter 147, RSMo;
(6) The state income tax in chapter 143, RSMo; and
(7) The annual tax on gross receipts of express companies in chapter 153, RSMo.
2. For proposals approved under section 32.110, the amount of the tax credit shall not exceed
fifty percent of the total amount contributed during the taxable year by the business firm or,
in the case of a financial institution, where applicable, during the relevant income period in
programs approved pursuant to section 32.110.
3. Except as provided in subsection 2 or 5 of this section, a tax credit of up to seventy
percent may be allowed for contributions to programs where activities fall within the scope of
special program priorities as defined with the approval of the governor in regulations
promulgated by the director of the department of economic development.
4. Except as provided in subsection 2 or 5 of this section, the tax credit allowed for
contributions to programs located in any community shall be equal to seventy percent of the
total amount contributed where such community is a city, town or village which has fifteen
thousand or less inhabitants as of the last decennial census and is located in a county which
is either located in:
(1) An area that is not part of a standard metropolitan statistical area;
(2) A standard metropolitan statistical area but such county has only one city, town or
village which has more than fifteen thousand inhabitants; or
(3) A standard metropolitan statistical area and a substantial number of persons in such
county derive their income from agriculture. Such community may also be in an unincorporated
area in such county as provided in subdivision (1), (2) or (3) of this subsection. Except in
no case shall the total economic benefit of the combined federal and state tax savings to the
taxpayer exceed the amount contributed by the taxpayer during the tax year.
5. Such tax credit allocation, equal to seventy percent of the total amount contributed, shall
not exceed four million dollars in any fiscal year. When the four million dollar limit on the
tax credit allocation is committed, the tax credit allocation for such programs shall then be
equal to fifty percent credit of the total amount contributed. Regulations establishing
special program priorities are to be promulgated during the first month of each fiscal year
and at such times during the year as the public interest dictates. Such credit shall not
exceed two hundred and fifty thousand dollars annually except as provided in subsection 6 of
this section. No tax credit shall be approved for any bank, bank and trust company, insurance
company, trust company, national bank, savings association, or building and loan association
for activities that are a part of its normal course of business. Any tax credit not used in
the period the contribution was made may be carried over the next five succeeding calendar or
fiscal years until the full credit has been claimed. Except as otherwise provided for
proposals approved under section 32.111 or 32.117, in no event shall the total amount of all
other tax credits allowed pursuant to sections 32.100 to 32.125 exceed [twenty] twenty-three
million dollars in any one fiscal year, of which six million shall be credits allowed pursuant
to section 135.460, RSMo. If six million dollars in credits are not approved, then the
remaining credits may be used for programs approved pursuant to sections 32.100 to 32.125.
6. The credit may exceed two hundred fifty thousand dollars annually and shall not be limited
if community services, crime prevention, education, job training, physical revitalization or
economic development, as defined by section 32.105, is rendered in an area defined by federal
or state law as an impoverished, economically distressed, or blighted area or as a
neighborhood experiencing problems endangering its existence as a viable and stable
neighborhood, or if the community services, crime prevention, education, job training,
physical revitalization or economic development is limited to impoverished persons.
7. For proposals approved under section 32.111, the amount of the tax credit shall not exceed
fifty-five percent of the total amount invested in affordable housing assistance activities by
a business firm. Any tax credit not used in the period for which the credit was approved may
be carried over the next ten succeeding calendar or fiscal years until the full credit has
been allowed. If the affordable housing units for which a tax is claimed are within a larger
structure, parts of which are not the subject of a tax credit claim, then expenditures
applicable to the entire structure shall be reduced on a prorated basis in proportion to the
ratio of the number of square feet devoted to the affordable housing units, for purposes of
determining the amount of the tax credit. The total amount of tax credit granted for programs
approved under section 32.111 for the first fiscal year shall not exceed two million dollars,
to be increased by no more than two million dollars each succeeding fiscal year, until the
total tax credits that may be approved reaches ten million dollars in any fiscal year.
8. For any year during the compliance period indicated in the land use restriction agreement,
the owner of the affordable housing rental units for which a credit is being claimed shall
certify to the commission that all tenants renting claimed units are income eligible for
affordable housing units and that the rentals for each claimed unit are in compliance with the
provisions of sections 32.100 to 32.125. The commission is authorized, in its discretion, to
audit the records and accounts of the owner to verify said certification.
9. In the case of owner occupied affordable housing units, the qualifying owner occupant
shall, before the end of the first year in which credits are claimed, certify to the
commission that the occupant is income eligible during the preceding two years, and at the
time of the initial purchase contract, but not thereafter. The qualifying owner occupant shall
further certify to the commission, before the end of the first year in which credits are
claimed, that during the compliance period indicated in the land use restriction agreement,
the cost of the affordable housing unit to the occupant for the claimed unit can reasonably be
projected to be in compliance with the provisions of sections 32.100 to 32.125. Any succeeding
owner occupant acquiring the affordable housing unit during the compliance period indicated in
the land use restriction agreement shall make the same certification.
10. If at any time during the compliance period the commission determines a project for which
a proposal has been approved is not in compliance with the applicable provisions of sections
32.100 to 32.125 or rules promulgated therefor, the commission shall revoke the proposal's
certificate of eligibility and all business firms included in the proposal shall be prohibited
from claiming any future tax credits under the proposal and shall remit the amount of tax
credits taken in previous tax years under the proposal to the director of revenue. The
commission shall notify the director of revenue of any such revocation."; and
Further amend said bill, Page 60, Section 135.405, Line 17 from the top of said page, by
inserting after all of said line the following:
"135.500. 1. Sections 135.500 to 135.529 shall be known and may be cited as the "Missouri
Certified Capital Company Law".
2. As used in sections 135.500 to 135.529, the following terms mean:
(1) "Affiliate of a certified company":
(a) Any person, directly or indirectly owning, controlling or holding power to vote ten
percent or more of the outstanding voting securities or other ownership interests of the
Missouri certified capital company;
(b) Any person ten percent or more of whose outstanding voting securities or other ownership
interest are directly or indirectly owned, controlled or held with power to vote by the
Missouri certified capital company;
(c) Any person directly or indirectly controlling, controlled by, or under common control with
the Missouri certified capital company;
(d) A partnership in which the Missouri certified capital company is a general partner;
(e) Any person who is an officer, director or agent of the Missouri certified capital company
or an immediate family member of such officer, director or agent;
(2) "Applicable percentage", one hundred percent;
(3) "Business and industrial development company" or "BIDCO", a Missouri partnership,
corporation, trust or limited liability company, whether organized on a profit or not for
profit basis, that is a nondepository financial institution organized to comply with the
regulatory guidelines established by the Small Business Administration in order to become a
lender whose loans are guaranteed by the Small Business Administration, to provide small
business administration guaranteed loans, and to help meet the financing assistance and
management needs of business firms in the state of Missouri which operate in accordance with
applicable law;
(4) "Business and industrial development company subsidiary" or "BIDCO subsidiary", a business
and industrial development company which is a subsidiary of a Missouri certified capital
company;
(5) "Capital in a qualified Missouri business", any debt, equity or hybrid security, whether
secured or unsecured, of any nature and description whatsoever, including a debt instrument or
security which has the characteristics of debt but which provides for conversion into equity
or equity participation instruments such as options or warrants which are acquired by a
Missouri certified capital company as a result of a transfer of cash to a business which at
the time of transfer, is a qualified Missouri business. For purposes of sections 135.500 to
135.519, all loans made by a business and industrial development (BIDCO) subsidiary, up to an
amount equal to twenty-five percent of the certified capital of the Missouri certified capital
company that is the parent of the BIDCO subsidiary, which would otherwise qualify under the
Missouri certified capital company law as capital in a qualified Missouri business shall be
considered to be capital in a qualified Missouri business of the Missouri certified capital
company that is the parent of the BIDCO subsidiary;
(6) "Certified capital", an investment of cash by an investor in a Missouri certified capital
company;
(7) "Certified capital company", any partnership, corporation, trust or limited liability
company, whether organized on a profit or not for profit basis, that is located, headquartered
and registered to conduct business in Missouri that has as its primary business activity, the
investment of cash in qualified Missouri businesses, and which is certified by the department
as meeting the criteria of sections 135.500 to 135.529;
(8) "Department", the Missouri department of economic development;
(9) "Director", the director of the department of economic development or a person acting
under the supervision of the director;
(10) "Investor", any insurance company that contributes cash;
(11) "Person", any natural person or entity, including a corporation, general or limited
partnership, trust or limited liability company;
(12) "Qualified distribution", any distribution or payment to equity holders of a certified
capital company in connection with the following:
(a) Reasonable costs and expenses of forming, syndicating, managing and operating the
certified capital company;
(b) Management fees for managing and operating the certified capital company; and
(c) Any increase in federal or state taxes, penalties and interest, including those related to
state and federal income taxes, of equity owners of a certified capital company which related
to the ownership, management or operation of a certified capital company;
(13) "Qualified investment", the investment of cash by a Missouri certified capital company or
by a BIDCO subsidiary in such a manner as to acquire capital in a qualified Missouri business;
(14) "Qualified Missouri business", an independently owned and operated business, which is
headquartered and located in Missouri, which has no more than two hundred employees, eighty
percent of which are employed in Missouri, which had gross sales during its most recent
complete fiscal year, if any, of seven million or less, which is in need of capital for
survival, expansion, or new product development. Such business shall be involved in commerce
for the purpose of manufacturing, processing or assembling products, conducting research and
development, or providing services, but excluding retail, real estate, real estate
development, insurance and professional services provided by accountants, lawyers or
physicians. Any business which is classified as a qualified Missouri business at the time of
the first investment in such business by a Missouri certified capital company shall, for a
period of seven years from the date of such first investment, remain classified as a qualified
Missouri business and may receive follow-on investments from any Missouri certified capital
company and such follow-on investments shall be qualified investments even though such
business may not meet the other qualifications of this subsection at the time of such follow-
on investments;
(15) "State premium tax liability", any liability incurred by an insurance company under the
provisions of section 148.370, RSMo, and related provisions.
135.503. 1. Any investor that makes an investment of certified capital shall, in the year of
investment, earn a vested credit against state premium tax liability equal to the applicable
percentage of the investor's investment of certified capital. An investor shall be entitled to
take up to ten percent of the vested credit in any taxable year of the investor. Any time
after three years after the effective date of this act, the director may reduce the applicable
percentage on a prospective basis. Any such reduction in the applicable percentage by the
director shall not have any effect on credits against state premium tax liability which have
been claimed or will be claimed by any investor with respect to credits which have been earned
and vested pursuant to an investment of certified capital prior to the effective date of any
such change.
2. The credit against state premium tax liability which is described in subsection 1 of this
section may not exceed the state premium tax liability of the investor for any taxable year.
All such credits against state premium tax liability may be carried forward indefinitely until
the credits are utilized.
3. The aggregate amount of certified capital for which earned and vested credits against state
premium tax liability are allowed for all persons pursuant to sections 135.500 to 135.529
shall not exceed the following amounts: for calendar year 1996, $0.00; for calendar year 1997,
an amount which would entitle all Missouri certified capital company investors to take
aggregate credits of five million dollars; for calendar year 1998, an amount which would
entitle all Missouri certified capital company investors to take aggregate credits of ten
million dollars; and for any year thereafter, an amount to be determined by the director, and
with the approval of the commissioner of administration, provided that the amount so
determined shall not impair the ability of an investor with earned and vested credits which
have been allowed in previous years to take them, pursuant to subsection 1 of section 135.503.
During any calendar year in which the limitation described in this subsection will limit the
amount of certified capital for which earned and vested credits against state premium tax
liability are allowed, certified capital for which credits are allowed will be allocated in
order of priority based upon the date of filing of information described in subdivision (1) of
subsection 5 of section 135.516. Certified capital limited in any calendar year by the
application of the provisions of this subsection shall be allowed and allocated in the
immediately succeeding calendar year in the order of priority set forth in this subsection.
4. The department shall advise any Missouri certified capital company, in writing, within
fifteen days after receiving the filing described in subdivision (1) of subsection 5 of
section 135.516 whether the limitations of subsection 3 of this section then in effect will be
applicable with respect to the investments and credits described in such filing with the
department. If any Missouri certified capital company does not receive any notice from the
department within such fifteen-day period, then the limitation described in subsection 3 of
this section shall not be applicable with respect to the investment and tax credits which are
described in such filing with
the department.
135.505. A Missouri certified capital company shall have a funding period of one year from the
date of receiving certification from the director. All investments in the Missouri certified
capital company shall be made within such three hundred sixty-five day funding period.
135.508. The department may certify profit or not for profit entities which submit an
application to be designated as a Missouri certified capital company. The department shall
review the organizational documents for each applicant for certification and the business
history of the applicant, determine that the Missouri certified capital company's cash,
marketable securities and other liquid assets are at least five hundred thousand dollars,
determine that the liquid asset base for certified companies is at least five hundred thousand
dollars at all times during the company's participation in the program authorized by sections
135.500 to 135.529, and determine that the officers and the board of directors, partners,
trustees or managers are thoroughly acquainted with the requirements of sections 135.500 to
135.529 and have significant experience in managing entities which provide venture capital and
financing assistance in a manner which is similar to that required of a Missouri certified
capital company. No insurance company licensed by or transacting business in Missouri shall,
individually or with or through one or more affiliates, be a managing general partner of or
control the direction of investments of a Missouri certified capital company. Within seventy-
five days of application, the department shall either issue the certification and notify the
department of revenue and the director of the department of insurance of such certification or
shall refuse the certification and communicate in detail to the applicant the grounds for the
refusal, including the suggestions for the removal of those grounds. The department shall be
responsible for the administration of the tax credits authorized by sections 135.500 to
135.529.
135.516. 1. To continue to be certified, a Missouri certified capital company shall make
qualified investments according to the following schedule:
(1) Within two years after the date on which a Missouri certified capital company is
designated as a Missouri certified capital company at least twenty-five percent of its
certified capital shall be, or have been, placed in qualified investments;
(2) Within three years after the date on which a Missouri certified capital company is
designated as a Missouri certified capital company at least forty percent of its certified
capital shall be, or have been, placed in qualified investments;
(3) Within four years after the date on which a Missouri certified capital company is
designated as a Missouri certified capital company, at least fifty percent of its total
certified capital shall be, or have been, placed in qualified investments. A Missouri
certified capital company may not make an investment in an affiliate of the certified capital
company. For the purposes of this subsection, if a legal entity is not an affiliate before a
certified capital company initially invests in the entity, it will not be an affiliate if a
certified capital company provides additional investment in such entity subsequent to its
initial investment;
(4) A certified capital company, at least fifteen days prior to making what it determines to
be an initial qualified investment in a specific qualified Missouri business, shall certify to
the department that the company in which it proposes to invest meets the definition of a
qualified Missouri business pursuant to subdivision (14) of subsection 2 of section 135.500.
The certified capital company shall state the amount of capital it intends to invest and the
name of the business in which it intends to invest. The certified capital company shall also
provide to the department an explanation of its determination that the business meets the
definition of a qualified Missouri business. If the department determines that the business
does not meet the definition of a qualified Missouri business, it shall, within the fifteen-
day period prior to the making of the proposed investment, notify the certified capital
company of its determination and an explanation thereof. If the department fails to notify the
certified capital company with respect to the proposed investment within the fifteen-day
period prior to the making of the proposed investment, the company in which the certified
capital company proposes to invest shall be deemed to be a qualified Missouri business. If a
certified capital company fails to notify the department prior to making an initial investment
in a business, the department may subsequently determine that the business in which the
certified capital company invested was not a qualified Missouri business even though the
business, at the time of the investment, met the requirements of subdivision (14) of
subsection 2 of section 135.500;
(5) All certified capital which is not required to be placed in qualified investments or which
has been placed in qualified investments and can be received by the company, may be held or
invested in such manner as the Missouri certified capital company, in its discretion, deems
appropriate. The proceeds of all certified capital which is received by a certified capital
company after it was originally placed in qualified investments may be placed again in
qualified investments and shall count toward any requirement in sections 135.500 to 135.529
with respect to placing certified capital in qualified investments.
2. A certified capital company may make qualified distributions to its equity owners at any
time. In order to make distributions other than qualified distributions to the equity owners
of a certified capital company, however, a certified capital company must have placed one
hundred percent of its certified capital in investments. Distributions or payments to debt
holders of a certified capital company, however, may be made without restriction with respect
to debt owed to them by a certified capital company. A debt holder that is also an equity
holder of a certified capital company may receive distributions or payments with respect to
such debt without restriction. Once a certified capital company has placed one hundred percent
of its certified capital in qualified investments and has met all other requirements under
sections 135.500 to 135.529, it shall no longer be subject to regulation by the department.
3. No qualified investment may be made at a cost to a Missouri certified capital company
greater than fifteen percent of the total certified capital under management of the Missouri
certified capital company at the time of investment.
4. Documents and other materials submitted by Missouri certified capital companies or by
businesses for purposes of the continuance of certification may be deemed "closed records"
pursuant to the provisions of section 620.014, RSMo.
5. Each Missouri certified capital company shall report the following to the department:
(1) As soon as practicable after the receipt of certified capital, the name of each investor
from which the certified capital was received, the amount of each investor's investment of
certified capital and tax credits computed without regard to any limitations under subsection
3 of section 135.503, and the date on which the certified capital was received;
(2) On a quarterly basis, the amount of the Missouri certified capital company's certified
capital at the end of the quarter, whether or not the Missouri certified capital company has
invested more than fifteen percent of the total certified capital under management in any one
company, and all qualified investments that the Missouri certified capital company has made;
(3) Each Missouri certified capital company shall provide annual audited financial statements
to the department which include an opinion of an independent certified public accountant to
the department within ninety days of the close of the fiscal year. The audit shall address the
methods of operation and conduct of the business of the Missouri certified capital company to
determine if the Missouri certified capital company is complying with the statutes and program
rules and that the funds received by the Missouri certified capital company have been invested
as required within the time limits provided by sections 135.500 to 135.529.
135.520. 1. The division of finance of the department of economic development shall conduct an
annual review of each Missouri certified capital company to determine if the Missouri
certified capital company is abiding by the requirements of certifications, to advise the
Missouri certified capital company as to the certification status of its qualified investments
and to ensure that no investment has been made in violation of sections 135.500 to 135.529.
The cost of the annual review shall be paid by each Missouri certified capital company
according to a reasonable fee schedule adopted by the department. The division of finance
shall report its findings to the department as soon as practicable following completion of the
audit.
2. Any material violation of sections 135.500 to 135.529 shall be grounds for decertification
under this section. If the department determines that a company is not in compliance with any
requirements for continuing in certification, it shall, by written notice, inform the officers
of the company and the board of directors, managers, trustees or general partners that they
may be decertified in one hundred twenty days from the date of mailing of the notice, unless
they correct the deficiencies and are again in compliance with the requirements for
certification.
3. At the end of the one hundred twenty-day grace period, if the Missouri certified capital
company is still not in compliance, the department may send a notice of decertification to the
company and to the directors of the department of revenue and department of insurance.
Decertification of a Missouri certified capital company prior to the certified capital company
meeting all requirements of subdivisions (1) to (3) of subsection 1 of section 135.516 shall
cause the recapture of all premium tax credits previously claimed by an investor and the
forfeiture of all future credits to be claimed by an investor with respect to its investment
in the certified capital company. Decertification of a Missouri certified capital company
after it has met all requirements of subdivisions (1) to (3) of subsection 1 of section
135.516 shall cause the forfeiture of premium tax credits for the taxable year of the investor
in which the decertification arose and for future taxable years with no recapture of tax
credits obtained by an investor with respect to the investor's tax years which ended before
the decertification occurred.
135.523. The department may revoke the certification of a Missouri certified capital company
if any material representation to the department in connection with the application process
proves to have been falsely made or if the application materially violates any requirement
established by the department pursuant to sections 135.500 to 135.529.
135.526. All investments for which tax credits are claimed under the provisions of sections
135.500 to 135.529 shall satisfy the conditions of being registered or specifically exempt
from registration by provisions or regulations under chapter 409, RSMo.
135.529. 1. The tax credit established pursuant to sections 135.500 to 135.529 may be sold or
transferred in accordance with regulations adopted by the department. Any such sale or
transfer shall not affect the time schedule for taking the tax credit, as provided in sections
135.500 to 135.529. Any premium tax credits recaptured pursuant to section 135.520 shall be
the liability of the taxpayer which actually claimed the credit. In approving the sale or
transfer of the credit pursuant to this section, the department may require the transferor or
the transferee or both the transferor and the transferee to execute guarantees or post bonds
with respect to any potential credit recapture. The department shall make and promulgate
emergency rules and regulations consistent with the provisions of sections 135.500 to 135.529
as are necessary or useful to carry out the provisions of sections 135.500 to 135.529,
pursuant to section 536.025, RSMo.
2. No rule or portion of a rule promulgated under the authority of sections 135.500 to 135.529
shall become effective unless it has been promulgated pursuant to the provisions of chapter
536, RSMo.
3. Every final order, decision, license or other official act of the director pursuant to
sections 135.500 to 135.529 is subject to administrative review in accordance with chapter
621, RSMo.
135.600. Sections 135.600 to 135.730 shall be known and may be cited as the "Missouri BIDCO
Act".
135.605. As used in sections 135.600 to 135.730, the following terms mean:
(1) "BIDCO", a business and industrial development company licensed pursuant to
sections 135.600 to 135.730;
(2) "Business firm", a person that transacts business on a regular and continual basis, or a
person that proposes to transact business on a regular and continual basis;
(3) "Department", the Missouri department of economic development;
(4) "Director", the director of the department of economic development or the director's
designee;
(5) "Entity", a general partnership, limited partnership, entity (including not for profit
corporations) or limited liability companies;
(6) "License", a license issued pursuant to sections 135.600 to 135.730 authorizing a Missouri
entity to transact business as a BIDCO;
(7) "Licensee", a Missouri entity which is licensed pursuant to sections 135.600 to 135.730;
(8) "Person", an individual, proprietorship, joint venture, partnership, trust, business
trust, syndicate, association, joint stock company, corporation, cooperative, government,
agency of a government or any other organization.
135.610. 1. The director shall administer sections 135.600 to 135.730. The director may issue
orders and promulgate rules that, in the opinion of the director, are necessary to execute,
enforce and effectuate the purposes of sections 135.600 to 135.730. Any rule promulgated shall
be promulgated in accordance with section 536.024, RSMo.
2. Whenever the director issues an order or license, the director may impose conditions that
are necessary, in the opinion of the director, to carry out sections 135.600 to 135.730 and
the purposes of sections 135.600 to 135.730.
3. Every final order, decision, license or other official act of the director pursuant to
sections 135.600 to 135.730 is subject to administrative and judicial review in accordance
with chapter 621, RSMo.
4. An application filed with the director pursuant to sections 135.600 to 135.730 shall be in
such form and contain such information as the director may require.
135.615. 1. The director may make public or private investigations within or outside this
state that the director considers necessary to determine whether to approve an application
filed with the director pursuant to sections 135.600 to 135.730, to determine whether a person
has violated or is about to violate sections 135.600 to 135.730, to aid in the enforcement of
sections 135.600 to 135.730, or to aid in issuing an order or promulgating a rule under
sections 135.600 to 135.730.
2. For purposes of an investigation, examination or other proceeding pursuant to sections
135.600 to 135.730, the director may administer oaths and affirmations, subpoena witnesses,
compel the attendance of witnesses, take evidence and require the production of books, papers,
correspondence, memoranda, agreements or other documents or records which the director
considers relevant or material to the proceeding.
3. If a person fails to comply with a subpoena issued by the director or to testify with
respect to a matter concerning which the person may be lawfully questioned, the circuit court
of Cole County, on application of the director, may issue an order requiring the attendance of
the person and the giving of testimony or production of evidence.
4. Service of process authorized to be made by the director in connection with a noncriminal
proceeding pursuant to sections 135.600 to 135.730 may be made by registered or certified
mail.
135.620. The director shall establish annually a schedule of fees sufficient to pay for the
department's cost of enforcing the Missouri BIDCO act, sections 135.600 to 135.730. The fees
shall be as follows:
(1) For filing an application for a licensee not less than two thousand five hundred dollars
or more than eight thousand dollars;
(2) For filing an application for approval to require control of a licensee not less than one
thousand two hundred fifty dollars or more than six thousand dollars;
(3) For filing an application for approval for a licensee to merge with another Missouri
entity, an application for approval for a licensee to purchase all or substantially all of the
business of another person, or an application for approval for a licensee to sell all or
substantially all of its business or of the business of any of its offices to another licensee
not less than one thousand two hundred fifty dollars or more than six thousand dollars. Two or
more applications relating to the same merger, purchase or sale may be filed, for the same fee
as for filing a single application;
(4) For annual license renewal, not less than two thousand five hundred dollars or more than
eight thousand dollars, payable at a time prescribed by the director. A license renewal fee
not paid when due is subject to a late fee of twenty-five dollars for each day the renewal fee
is delinquent or one thousand dollars, whichever is less;
(5) For examination of the licensee, not less than forty dollars or more than seventy dollars
per hour for each examiner involved in the examination. If the director examines a licensee or
a subsidiary of a licensee, within ten days after receiving a statement from the director, the
licensee shall pay the fee, plus travel expenses;
(6) A fee for filing an application with the director is nonrefundable and is to be paid at
the time the application is filed with the director;
(7) If any fees or penalties provided for in sections 135.600 to 135.730 are not paid when
required, the attorney general may maintain an action against the delinquent licensee to
recover all fees, together with interest and costs;
(8) A licensee or an affiliate or subsidiary of a licensee that fails to submit a report as
required in sections 135.600 to 135.730 shall pay a late fee of twenty-five dollars for each
day the report is delinquent or one thousand dollars, whichever is less;
(9) Money collected pursuant to this section shall be transmitted to the director of revenue
for deposit in the state treasury to the credit of the department of economic development
administrative fund which is created in section 620.015, RSMo, to be used only for the
operation of the department.
135.625. 1. A licensee shall make and keep books, accounts and other records in such form and
manner as the director may require. Such records shall be kept at such place and shall be
preserved for such length of time as the director may require.
2. The director may require by order that a licensee record of any asset in its books and
records and the asset's valuation at such time.
3. Not more than ninety days after the close of each calendar year or a longer period if
specified by the director, a licensee shall file with the director an audit report containing
all of the following:
(1) Financial statements, including a balance sheet, a statement of income or loss, a
statement of change in capital accounts and a statement of changes in financial position or,
for a licensee that is a Missouri nonprofit corporation, comparable financial statements for
the calendar year prepared at the end of the calendar year, prepared in conjunction with an
audit by an independent certified public accountant or an independent public accountant in
accordance with generally accepted accounting principles;
(2) A report certificate, or opinion of the independent certified public accountant or
independent public accountant who performs the audit, stating that the financial statements
were prepared in accordance with generally accepted accounting principals;
(3) Other information that the director may reasonably require.
135.630. 1. If a person other than a licensee makes or keeps the books, accounts or other
records of such licensee, sections 135.600 to 135.730 applies to such person with respect to
the performance of the services for the licensee and with respect to such books, accounts and
other records to the same extent as if such person were the licensee.
2. If a person other than an affiliate or subsidiary of a licensee makes or keeps any of the
books, accounts or other records of such affiliate or subsidiary, sections 135.600 to 135.730
applies to such person with respect to such books, accounts and other records to the same
extent as if that person were the affiliate or subsidiary.
3. If the director considers it expedient, the director may require any particular licensee to
obtain the approval of the director before permitting another person to make or keep any of
the books, accounts or other records of the licensee.
135.635. Each licensee, each affiliate of a licensee and each subsidiary of a licensee shall
file with the director such reports as required by the director and at such time or times as
the director requires. A report pursuant to this section shall be in such form and shall
contain such information as the director may require.
135.640. A Missouri entity may apply to the director for licensure as a BIDCO. A person other
than a Missouri entity shall not apply for a license.
135.645. 1. After a review of information regarding the directors, officers, partners,
managers and controlling persons of the applicant, a review of the applicant's business plan,
including at least three years of detailed financial projections and other relevant
information, and a review of additional information considered relevant by the director, the
director shall approve an application for a license if, and only if, the director determines
all of the following:
(1) The applicant has a net worth, or firm financing commitments which demonstrate that the
applicant will have a net worth when the applicant begins transacting business as a BIDCO, in
liquid form available to provide financing assistance, that is adequate for the applicant to
transact business as a BIDCO as determined pursuant to subsection 2 of this section;
(2) Each director, officer, partner, manager and controlling person of the applicant is of
good character and sound financial standing; each director, officer, partner and manager of
the applicant is competent to perform his or her functions with respect to the applicant; and
the directors, officers, partners and managers of the applicant are collectively adequate to
manage the
business of the applicant as a BIDCO;
(3) It is reasonable to believe that the applicant, if licensed, will comply with the
provisions of sections 135.600 to 135.730;
(4) The applicant has reasonable promise of being a viable ongoing BIDCO and of satisfying the
basic objectives of its business plan.
2. In determining if the applicant has a net worth or firm financing commitments adequate to
transact business as a BIDCO, the director shall consider the types and variety of financing
assistance that the applicant plans to provide; the experience that the directors, officers,
partners, managers and controlling persons of the applicant have in providing financing and
managerial assistance to business firms; the financial projections and other relevant
information from the applicant's business plan; and whether the applicant intends to operate
as a profit or nonprofit corporation. Except as otherwise provided in sections 135.600 to
135.730, the director shall require a minimum net worth of one million dollars.
135.650. 1. A person may apply to the director for preliminary approval of an application for
a license. Notwithstanding that commitments to invest in the equity of the applicant have not
been obtained and that all directors, officers, partners and managers of the applicant have
not been identified, the director may grant preliminary approval. In issuing an order granting
preliminary approval, the director shall indicate that, for the director to determine that the
requirements of section 135.645 are satisfied, final approval is conditioned on review by the
director of the applicant's completion of fund raising, including the controlling persons, and
review by the director of the completion of the roster of directors, officers, partners and
managers. If an application for preliminary approval has been granted, before granting final
approval of the application for a license, the director may request an updated balance sheet
and such other information considered relevant by the director.
2. If a person files an application under this section, the fee required by section 135.620 is
payable at the time the application is filed with the director.
135.655. If the director denies an application pursuant to sections 135.600 to 135.730, the
director shall provide the applicant with a written statement explaining the basis for the
denial.
135.660. If an application for a license is approved and all conditions precedent to the
issuance of that license are fulfilled, the director shall issue a license to the applicant.
A licensee shall post the license in a conspicuous place in the licensee's principal office.
A license is not transferable or assignable.
135.665. 1. Except as otherwise provided in subsection 2 of this section, a person transacting
business in this state, other than a licensee, shall not use a name or title which indicates
that the person is a business and industrial development company including, but not limited
to, use of the term BIDCO, and shall not otherwise represent that the person is a business and
industrial development company or a licensee.
2. Before being issued a license pursuant to sections 135.600 to 135.730, a Missouri entity
that proposes to apply for a license or that applies for a license may perform, under a name
that indicates that the entity is a business and industrial development entity, the acts
necessary to apply for and obtain a license and to otherwise prepare to commence transacting
business as a licensee. Such entity shall not represent that it is a licensee until after the
license has been issued.
135.670. A licensee shall not misrepresent the meaning or effect of its license.
135.675. A Missouri entity that is licensed under another law of this state or under any
law of the United States may apply for and be issued a license under sections 135.600 to
135.730 unless the transaction of business by that entity as a licensee under another law of
this state or a law of the United States would violate sections 135.600 to 135.730 or would be
contrary to the purposes of sections 135.600 to 135.730.
135.680. 1. After complying with subsection 2 of this section a licensee may apply to the
director to have the director accept the surrender of the licensee's license. If the director
determines that the requirements of this section have been satisfied, the director shall
approve the application unless in the opinion of the director the purpose of the application
is to evade a current or prospective action by the director.
2. Not less than sixty days before filing an application with the director under subsection 1
of this section, a licensee shall notify all of its creditors of its intention to file the
application.
135.685. The name of each licensee shall include the term BIDCO. A licensee shall not transact
business under any other name.
135.690. 1. Each corporate licensee shall have at least five members of its board of
directors, each general partnership licensee shall have at least five general partners, each
limited partnership shall have at least five general partners or a corporate general partner
that has at least five directors and each limited liability company licensee shall have at
least five managers.
2. The manager of each licensee described in subsection 1 of this section shall hold a meeting
not less than once each calendar quarter.
135.695. Within thirty days after the death, resignation or removal of a director, officer,
partner or manager, the election of a director or manager or the appointment of an officer, or
the admission of a partner, the licensee shall notify the director in writing of the event and
shall provide any additional information which the director may require.
135.700. 1. A licensee shall maintain not less than one office in this state.
2. A licensee shall post in a conspicuous place at each of its offices a sign which bears the
corporate name of the licensee.
3. A licensee shall maintain at each of its offices personnel who are competent to conduct the
business of such office.
4. Upon written notice to the director, a licensee may establish, relocate or close an office.
135.705. 1. The business of a licensee shall be the business of providing financial assistance
and management assistance to business firms. A licensee shall not engage in a business other
than the business of providing financial assistance and management assistance to business
firms.
2. In addition to the powers and privileges provided to a licensee by sections 135.600 to
135.730, a licensee has all powers and privileges conferred by its applicable law which are
not inconsistent with or limited by sections 135.600 to 135.730. The powers of a licensee
include, but are not limited to, all of the following:
(1) To borrow money and otherwise incur indebtedness for its purposes, including issuance of
corporate bonds, debentures, notes or other evidence of indebtedness. A licensee's
indebtedness may be secured or unsecured, and may involve equity features including, but not
limited to, provisions for conversion to stock and warrants to purchase stock;
(2) To make contracts;
(3) To incur and pay necessary and incidental operating expenses;
(4) To purchase, receive, hold, lease or otherwise acquire, or to sell, convey, mortgage,
lease, pledge or otherwise dispose of real or personal property, together with rights and
privileges that are incidental and appurtenant to these transactions of real or personal
property, if the real or personal property is for the licensee's use in operating its business
or if the real or personal property is acquired by the licensee from time to time in
satisfaction of debts or enforcement of obligations;
(5) To make donations for charitable, educational, research or similar purposes;
(6) To implement a reasonable and prudent policy for conserving and investing its money before
the money is used to provide financing assistance to business firms or to pay the expenses of
the licensee;
(7) To lend money upon such terms and conditions as it deems reasonable.
135.710. 1. A licensee may determine the form and the terms and conditions for financing
assistance provided by that licensee to a business firm including, but not limited to, forms
such as loans; purchase of debt instruments; straight equity investments such as purchase of
common stock or preferred stock; debt with equity features such as warrants to purchase stock,
convertible debentures, or receipt of a percent at net income or sales royalty based
financing; guaranteeing of debt; or leasing of property. A licensee may purchase securities of
a business firm either directly or indirectly through an underwriter. A licensee may
participate in the program of the small business administration pursuant to section 7(a) of
the Small Business Act, Public Law 85-536, 15 U.S.C. 636(a), or any other government program
for which the licensee is eligible and which has as its function the provision or facilitation
of financing assistance or management assistance to business firms. If a licensee participates
in a program referred to in this subsection, the licensee shall comply with the requirements
of such program.
2. Management assistance provided by a licensee to a business firm may encompass both
management or technical advice and management or technical services.
3. Financing assistance or management assistance provided by a licensee to a business firm
shall be for the business purposes of such business firm.
4. A licensee may exercise the incidental powers that are necessary or convenient to carry on
the business of, or are reasonably related to the business of, providing financing assistance
and management assistance to business firms.
135.715. 1. A licensee shall transact its business in a safe and sound manner and shall
maintain itself in a safe and sound condition.
2. In determining whether a licensee is transacting business in a safe and sound manner or has
committed an unsafe or unsound act, the director shall not consider the risk of a provision of
financing assistance to a business firm. Unless the director determines that the risk is so
great compared with the realistically expected return as to demonstrate gross mismanagement.
3. Subsection 2 of this section does not limit the authority of the director to do any of the
following:
(1) Determine that the licensee's financing assistance to a single business firm or a group of
affiliated business firms is in violation of subsection 1 of this section or constitutes an
unsafe or unsound act, if the amount of that financing assistance is unduly large in relation
to the total assets or the total shareholders equity of the licensee;
(2) Require that a licensee maintain a reserve in the amount of anticipated losses;
(3) Require that a licensee have in effect a written financing assistance policy, approved by
its board of directors, including credit evaluation and other matters. The director shall not
require that a licensee adopt a financing assistance policy that contains standards which
prevent the licensee from exercising needed flexibility in evaluating and structuring
financing assistance to business firms on a transaction by transaction basis.
135.720. 1. A licensee shall not merge with another entity unless:
(1) If the licensee is the surviving entity, the merger is approved by the director;
(2) If the licensee is a disappearing entity, the surviving entity is a licensee and the
merger is approved by the director.
2. A licensee shall not purchase all or substantially all of the business of another person
unless the purchase is approved by the director.
3. A licensee shall not sell all or substantially all of its business or the business of any
of its offices to another person unless that other person is a licensee and the sale is
approved by the director.
4. The director shall approve an application for approval of a merger, purchase or sale, if,
and only if, the director determines all of the following:
(1) That the merger, purchase or sale will be safe and sound with respect to the acquiring
licensee;
(2) That, upon consummation of the merger, purchase or sale, it is reasonable to believe that
the acquiring licensee will comply with sections 135.600 to 135.730;
(3) That the merger, purchase or sale will not have a major detrimental impact on competition
in the providing of financial assistance or management assistance to business firms, or if
there will be such detrimental impact, merger, purchase or sale is necessary in the interests
of the safety and soundness of any of the parties to the merger, purchase or sale, or is
otherwise, on balance, in the public interest.
135.725. If in the opinion of the director, a person violates, or there is reasonable cause to
believe that a person is about to violate any provision of sections 135.600 to 135.730, the
director may bring an action in the name of the people of this state in a circuit court to
enjoin the violation or to enforce compliance with sections 135.600 to 135.730. Upon a proper
showing, a restraining order, preliminary or permanent injunction, or writ of mandamus shall
be granted, and a receiver or a conservator may be appointed for the defendant or the
defendant's assets. The court shall not require the director to post a bond in an action
brought pursuant to section 135.600 to 135.730.
135.730. A person having custody of any of the books, accounts or other records of a licensee
shall not willfully refuse to allow the director, upon request, to inspect or make copies of
such books, accounts or other records."; and
Further amend said bill, Page 82, Section B, Line 10 from the top of said page, by deleting
the following: "Section 67.641" and inserting in lieu thereof the following: "Sections 67.641,
67.1000, 148.330 and 148.350"; and
Further amend said bill, Page 82, Section B, Line 11 from the top of said page, by deleting
the word "eight" and inserting in lieu thereof the word "eleven"; and
Further amend said bill, Page 82, Section B, Line 13 from the top of said page, by inserting
after the number "100.296," the numbers "148.330, 148.350,"; and
Further amend said bill, Page 89, Section 100.296, Line 13 from the top of said page, by
inserting after all of said line the following:
"148.330. 1. Every such company shall, on or before the first day of March in each year, make
a return, verified by the affidavit of its president and secretary, or other authorized
officers, to the director of the department of insurance stating the amount of all premiums
received on account of policies issued in this state by the company, whether in cash or in
notes, during the year ending on the thirty-first day of December, next preceding. Upon
receipt of such returns the director of the department of insurance shall verify the same and
certify the amount of tax due from the various companies on the basis and at the rates
provided in section 148.320, and shall certify the same to the director of revenue together
with the amount of the quarterly installments to be made as provided in subsection 2 of this
section, on or before the thirtieth day of April of each year.
2. Beginning January 1, 1983, the amount of the tax due for that calendar year and each
succeeding calendar year thereafter shall be paid in four approximately equal estimated
quarterly installments, and a fifth reconciling installment. The first four installments shall
be based upon the tax for the immediately preceding taxable year ending on the thirty-first
day of December, next preceding. The quarterly installments shall be made on the first day of
March, the first day of June, the first day of September and the first day of December.
Immediately after receiving certification from the director of the department of insurance of
the amount of tax due from the various companies the director of revenue shall notify and
assess each company the amount of taxes on its premiums for the calendar year ending on the
thirty-first day of December, next preceding. The director of revenue shall also notify and
assess each company the amount of the estimated quarterly installments to be made for the
calendar year. If the amount of the actual tax due for any year exceeds the total of the
installments made for such year, the balance of the tax due shall be paid on the first day of
June of the year following, together with the regular quarterly payment due at that time. If
the total amount of the tax actually due is less than the total amount of the installments
actually paid, the amount by which the amount paid exceeds the amount due shall be credited
against the tax for the following year and deducted from the quarterly installment otherwise
due on the first day of June. If the March first quarterly installment made by a company is
less than the amount assessed by the director of revenue, the difference will be due on June
first, but no interest will accrue to the state on the difference unless the amount paid by
the company is less than eighty percent of one-fourth of the total amount of tax assessed by
the director of revenue for the immediately preceding taxable year. The state treasurer, upon
receiving the moneys paid as a tax upon such premiums to the director of revenue, shall place
the moneys to the credit of a fund to be known as "The County Stock Insurance Fund", which is
hereby created and established.
3. If the estimated quarterly tax installments are not so paid, the director of revenue shall
certify such fact to the director of the division of insurance who shall thereafter suspend
such delinquent company or companies from the further transaction of business in this state
until such taxes shall be paid and such companies shall be subject to the provisions of
sections 148.410 to 148.461.
4. On or before the first day of September of each year the commissioner of administration
shall apportion all moneys in the county stock insurance fund to the general revenue fund of
the state, to the county treasurer and to the treasurer of the school district in which the
principal office of the company paying the same is located. All premium tax credits described
in sections 135.500 to 135.529, RSMo, shall only reduce the amounts apportioned to the general
revenue fund of the state and shall not reduce any moneys apportioned to the treasurer of the
school district in which the principal office of the company paying the same is located.
Apportionments shall be made in the same ratio which the rates of levy for the same year for
state purposes, for county purposes, and for all school district purposes, bear to each other;
provided that any proceeds from such tax for prior years remaining on hand in the hands of the
county collector or county treasurer undistributed on the effective date of sections 148.310
to 148.460 and any proceeds of such tax for prior years collected thereafter shall be
distributed and paid in accordance with the provisions of such sections. Whenever the word
"county" occurs herein it shall be construed to include the city of St. Louis.
148.350. 1. Every such company or association shall, on or before the first day of March in
each year, make a return, verified by the affidavit of its president and secretary or other
authorized officers, to the director of the department of insurance stating the amount of all
premiums received on account of policies issued in this state by such company, whether in cash
or in notes, during the year ending on the thirty-first day of December, next preceding. Upon
receipt of such returns, the director of the department of insurance shall verify the same and
certify the amount of tax due from the various companies on the basis and at the rate provided
in section 148.340, and shall certify the same to the director of revenue together with the
amount of the quarterly installments to be made as provided in subsection 2 of this section,
on or before the thirtieth day of April of each year.
2. Beginning January 1, 1983, the amount of the tax due for that calendar year and each
succeeding calendar year thereafter shall be paid in four approximately equal estimated
quarterly installments and a fifth reconciling installment. The first four installments shall
be based upon the tax assessed for the immediately preceding taxable year ending on the
thirty-first day of December, next preceding. The quarterly installment shall be made on the
first day of March, the first day of June, the first day of September, and the first day of
December. Immediately after receiving from the director of the department of insurance,
certification of the amount of tax due from the various companies, the director of revenue
shall notify and assess each company the amount of taxes on its premiums for the calendar year
ending on the thirty-first day of December, next preceding. The director of revenue shall also
notify and assess each company the amount of the estimated quarterly installments to be made
for the calendar year. If the amount of the actual tax due for any year exceeds the total of
the installments made for such year, the balance of the tax due shall be paid on the first day
of June of the following year, together with the regular quarterly installment due at that
time. If the total amount of the tax actually due is less than the total amount of the
installments actually paid, the amount by which the amount paid exceeds the amount due shall
be credited against the tax for the following year and deducted from the quarterly installment
otherwise due on the first day of June. If the March first quarterly installment made by a
company is less than the amount assessed by the director of revenue, the difference will be
due on June first, but no interest will accrue to the state on the difference unless the
amount paid by the company is less than eighty percent of one-fourth of the total amount of
tax assessed by the director of revenue for the immediately preceding taxable year. If the
estimated quarterly tax installments are not so paid, the director of revenue shall certify
such fact to the director of the department of insurance who shall thereafter suspend such
delinquent company or companies from the further transaction of business in this state until
such taxes shall be paid, and such companies shall be subject to the provisions of sections
148.410 to 148.461.
3. Upon receiving such money from the director of revenue, the state treasurer shall receipt
one-half thereof into the general revenue fund of the state, and he shall place the remainder
of such tax to the credit of a fund to be known as "The County Foreign Insurance Tax Fund",
which is hereby created and established. All premium tax credits described in sections 135.500
to 135.529, RSMo, shall only reduce the amount of moneys received by the general revenue fund
of this state and shall not reduce any moneys received by the county foreign insurance tax
fund.".
Representative Marshall (133) raised a point of order that House Amendment No.
2 is a House Substitute and not a true House Amendment.
Representative Smith requested a parliamentary ruling.
The Parliamentary Committee ruled the point of order not well taken.
Representative Scheve moved that House Amendment No. 2 be adopted.
Which motion was defeated.
Representative Rizzo offered House Amendment No. 3.
House Amendment No. 3
AMEND Part I of House Substitute for House Committee Substitute for House Bill No. 1237, In
the Title, page 1, line 2, by deleting the figure "620.1023"; and
Further amend said substitute, In the Title, page 1, line 11, by deleting the word "twenty-
seven" and inserting in lieu thereof the word "twenty-six"; and
Further amend said substitute, Section A, page 1, line 2, by deleting the figure "620.1023";
and
Further amend said substitute, Section A, page 2, line 1, by deleting the word "eighteen" and
inserting in lieu thereof the word "seventeen"; and
Further amend said substitute, Section A, page 2, line 4, by deleting the figure "620.1023";
and
Further amend said substitute, Section 620.1023, pages 78-80, by deleting all of said section
from this substitute.
On motion of Representative Rizzo, House Amendment No. 3 was adopted.
Representative Scott offered House Amendment No. 4.
House Amendment No. 4
AMEND Part I of House Substitute for House Committee Substitute for House Bill No. 1237, page
41, section 135.230, subsection 5, line 9, by deleting entire subsection 5 and subsection 6
Representative Scott moved that House Amendment No. 4 be adopted.
Which motion was defeated.
Representative Skaggs offered House Amendment No. 5.
House Amendment No. 5
AMEND Part I of House Substitute for House Committee Substitute for House Bill No. 1237, page
47, section 135.247, line 6, by inserting immediately after the figure "59," the following:
"and hotels and motels, as defined by SIC 7011,"
On motion of Representative Skaggs, House Amendment No. 5 was adopted.
Representative Hartzler (124) offered House Amendment No. 6.
House Amendment No. 6
AMEND Part I of House Substitute for House Committee Substitute for House Bill No. 1237, page
30, section 135.207, line 20, by inserting immediately after the word "designation" the
following:
(4) "Any community with a total resident population of less than 15,000 may qualify under the
provisions of sections 135.200 to 135.256, if there are at least 1,000 community residents
within a proposed enterprise zone."; and
Further amend said bill, page 30, section 135.207, line 21, by deleting the figure "(4)" and
inserting in lieu thereof the figure "(5)".
Representative Hartzler (124) moved that House Amendment No. 6 be adopted.
Which motion was defeated by the following vote:
AYES: 065
Alter Ballard Barnett 4 Bartelsmeyer Bennett 15
Boatright Broach Brown Burton Childers
Cierpiot Cooper Edwards-Pavia Enz Foster
Froelker Gaskill Graham Hand Hartzler 123
Hartzler 124 Hegeman Hendrickson Hohulin Hoppe
Howerton Kasten Keeven Kelley 47 Klumb
Koller Kreider Legan Levin Linton
Lograsso Long Loudon Marble Marshall 133
Mitchell Murphy Naeger Nordwald Oetting
Pouche Prost Pryor Richardson Ridgeway
Robirds Ross Sallee Schwab Scott
Secrest Shields Sombart Steen Summers
Surface Vogel Whiteside Wieland Williams 159
NOES: 088
Akin Backer Barry Bland Bonner
Boucher Bray Canuteson Carter Champion
Chrismer Clayton Copeland Crum 112 Daniel 42
Daniels 41 Davis Days Donovan Dougherty
Elliott Evans Farmer Farnen Fiebelman
Fitzwater Foley Franklin Garnett Gibbons
Goward Gratz Green Griesheimer Gross
Hagan-Harrell Hall Harlan Heckemeyer Hickey
Hosmer Jacob Kauffman Kissell Liese
Luetkenhaus Lumpe Marshall 26 May 108 Mays 50
McBride McClelland McLuckie Montgomery Morgan
Murray 69 Murray 135 O'Connor O'Neill O'Toole
Ostmann Overschmidt Pauley Relford Reynolds
Rizzo Scheve Schilling Sears 1 Shear 83
Sheldon 104 Shelton 57 Skaggs Smith Stokan
Stoll Tate Thomason 163 Thompson 37 Treadway
Troupe Van Zandt Wannenmacher Wiggins Williams 121
Witt Wooten Mr. Speaker
PRESENT: 000
ABSENT WITH LEAVE: 009
Auer Crump 152 Ford Gunn Kelly 27
Lakin Leake Ribaudo Ward
VACANCY: 001
Representative Backer offered House Amendment No. 7.
House Amendment No. 7
AMEND Part I of House Substitute for House Committee Substitute for House Bill No. 1237, Page
30, Section 135.207, Lines 1 and 2, by deleting the bracket before the word "of" and after the
word "one".
On motion of Representative Backer, House Amendment No. 7 was adopted.
On motion of Representative Rizzo, Part I of HS HCS HB 1237, as amended, was
adopted.
Part II of HS HCS HB 1237 was taken up by Representative Rizzo.
Representative Schilling offered House Amendment No. 1.
House Amendment No. 1
AMEND Part II of House Substitute for House Committee Substitute for House Bill No. 1237, page
84, section 67.641.2, line 1, by replacing the period with a comma at the end of said line and
inserting immediately following the words "and in no event shall any moneys be transferred
from the state to any convention and sports complex fund for the development, maintenance or
operation of any facility for which state moneys have not been initially appropriated by the
1998 fiscal year."
Representative Legan offered House Substitute Amendment No. 1 for House
Amendment No. 1.
House Substitute Amendment No. 1
for
House Amendment No. 1
AMEND Part II of House Substitute for House Committee Substitute for House Bill No. 1237, page
84, line 1, by replacing the period with a comma at the end of said line and inserting
immediately following the words "and in no event shall any moneys be transferred from the
state to any convention and sports complex fund for the development, maintenance or operation
of any facility for which state moneys have not been initially appropriated by July 1, 1998."
Representative Carter suggested the absence of a quorum.
The following roll call indicated a quorum present:
AYES: 002
Cierpiot Hickey
NOES: 000
PRESENT: 152
Akin Alter Backer Ballard Barry
Bartelsmeyer Bennett 15 Bland Boatright Bonner
Boucher Bray Broach Brown Burton
Canuteson Carter Champion Childers Chrismer
Clayton Cooper Copeland Crum 112 Daniel 42
Daniels 41 Davis Days Donovan Dougherty
Edwards-Pavia Enz Evans Farmer Farnen
Fiebelman Fitzwater Foley Foster Franklin
Froelker Garnett Gaskill Gibbons Goward
Graham Gratz Green Griesheimer Gross
Hagan-Harrell Hall Hand Harlan Hartzler 123
Hartzler 124 Heckemeyer Hegeman Hendrickson Hohulin
Hoppe Hosmer Howerton Jacob Kasten
Kauffman Keeven Kelley 47 Kelly 27 Kissell
Klumb Koller Kreider Lakin Leake
Legan Levin Liese Linton Lograsso
Long Loudon Luetkenhaus Lumpe Marble
Marshall 26 Marshall 133 May 108 Mays 50 McBride
McClelland McLuckie Mitchell Montgomery Morgan
Murphy Murray 69 Murray 135 Naeger Nordwald
O'Connor O'Neill O'Toole Oetting Ostmann
Overschmidt Pauley Pouche Prost Pryor
Relford Reynolds Richardson Ridgeway Rizzo
Robirds Ross Sallee Scheve Schilling
Schwab Scott Sears 1 Secrest Shear 83
Sheldon 104 Shelton 57 Shields Skaggs Smith
Sombart Steen Stokan Stoll Summers
Surface Tate Thomason 163 Thompson 37 Treadway
Troupe Van Zandt Vogel Wannenmacher Whiteside
Wieland Wiggins Williams 121 Williams 159 Witt
Wooten Mr. Speaker
ABSENT WITH LEAVE: 008
Auer Barnett 4 Crump 152 Elliott Ford
Gunn Ribaudo Ward
VACANCY: 001
Representative Legan moved that House Substitute Amendment No. 1 for House
Amendment No. 1 be adopted.
Which motion was defeated by the following vote:
AYES: 052
Akin Bartelsmeyer Boatright Bray Burton
Champion Childers Crum 112 Elliott Enz
Farnen Fiebelman Foster Froelker Gaskill
Graham Hegeman Hohulin Hosmer Howerton
Kasten Kelley 47 Klumb Legan Levin
Linton Lograsso Long Loudon Marble
Marshall 26 Marshall 133 McBride Mitchell Montgomery
Murray 135 Naeger Oetting Pryor Richardson
Robirds Sallee Schilling Schwab Scott
Shields Smith Steen Surface Thomason 163
Whiteside Williams 159
NOES: 103
Alter Backer Ballard Barnett 4 Barry
Bennett 15 Bland Bonner Boucher Brown
Canuteson Carter Chrismer Cierpiot Clayton
Cooper Copeland Crump 152 Daniel 42 Daniels 41
Davis Days Donovan Dougherty Edwards-Pavia
Evans Farmer Fitzwater Foley Franklin
Garnett Gibbons Goward Gratz Green
Griesheimer Gross Hagan-Harrell Hall Hand
Harlan Hartzler 123 Hartzler 124 Heckemeyer Hendrickson
Hickey Hoppe Jacob Kauffman Keeven
Kelly 27 Kissell Koller Kreider Lakin
Leake Liese Luetkenhaus Lumpe May 108
Mays 50 McClelland McLuckie Morgan Murphy
Murray 69 Nordwald O'Connor O'Neill O'Toole
Ostmann Overschmidt Pauley Pouche Prost
Relford Reynolds Ridgeway Rizzo Ross
Scheve Sears 1 Secrest Shear 83 Sheldon 104
Shelton 57 Skaggs Sombart Stokan Stoll
Summers Thompson 37 Treadway Troupe Van Zandt
Vogel Wannenmacher Wieland Wiggins Williams 121
Witt Wooten Mr. Speaker
PRESENT: 000
ABSENT WITH LEAVE: 007
Auer Broach Ford Gunn Ribaudo
Tate Ward
VACANCY: 001
House Amendment No. 1 was withdrawn.
Representative Thompson (37) offered House Amendment No. 1.
House Amendment No. 1
AMEND Part II of House Substitute for House Committee Substitute for House Bill No. 1237, page
82, section 67.641, line 15, by deleting the word "three" and inserting in lieu thereof the
word "seven"; and
Further amend said bill, page 83, section 67.641, subsection 2, line 21, by deleting the word
"three" and inserting in lieu thereof the word "seven"; and
Further amend said bill, page 84, section 67.641, subsection 3, line 6, by deleting the word
"three" and inserting in lieu thereof the word "seven"; and
Further amend said bill, page 85, section 67.641, subsection 3, line 4, by deleting the word
"three" and inserting in lieu thereof the word "seven".
Representative Thompson (37) moved that House Amendment No. 1 be adopted.
Which motion was defeated by the following vote:
AYES: 007
Bland Carter Daniel 42 Days Murphy
Shelton 57 Thompson 37
NOES: 145
Akin Alter Backer Ballard Barnett 4
Barry Bartelsmeyer Bennett 15 Boatright Bonner
Boucher Bray Broach Brown Burton
Canuteson Champion Childers Chrismer Cierpiot
Clayton Cooper Copeland Crum 112 Crump 152
Daniels 41 Davis Donovan Dougherty Edwards-Pavia
Elliott Enz Evans Farmer Farnen
Fiebelman Fitzwater Foley Foster Franklin
Froelker Garnett Gaskill Gibbons Graham
Gratz Green Griesheimer Gross Hagan-Harrell
Hall Hand Hartzler 123 Hartzler 124 Heckemeyer
Hegeman Hendrickson Hickey Hohulin Hoppe
Hosmer Howerton Jacob Kasten Kauffman
Keeven Kelley 47 Kelly 27 Kissell Klumb
Koller Kreider Lakin Leake Legan
Levin Liese Linton Lograsso Long
Luetkenhaus Lumpe Marble Marshall 26 Marshall 133
May 108 Mays 50 McBride McClelland McLuckie
Mitchell Montgomery Morgan Murray 69 Murray 135
Naeger Nordwald O'Connor O'Neill O'Toole
Ostmann Overschmidt Pauley Pouche Prost
Pryor Relford Reynolds Richardson Ridgeway
Rizzo Robirds Ross Sallee Scheve
Schilling Schwab Scott Sears 1 Secrest
Shear 83 Sheldon 104 Shields Skaggs Smith
Sombart Steen Stokan Stoll Summers
Surface Tate Thomason 163 Treadway Troupe
Van Zandt Vogel Wannenmacher Whiteside Wieland
Wiggins Williams 159 Witt Wooten Mr. Speaker
PRESENT: 000
ABSENT WITH LEAVE: 010
Auer Ford Goward Gunn Harlan
Loudon Oetting Ribaudo Ward Williams 121
VACANCY: 001
Representative Kreider offered House Amendment No. 2.
House Amendment No. 2
AMEND Part II of House Substitute for House Committee Substitute for House Bill No. 1237, page
84, section 67.641.2, line 1, by replacing the period with a comma at the end of said line and
inserting immediately following the words "and any county of the state of Missouri shall be
eligible for such convention and/or sports complex funds."
Representative Rizzo offered House Substitute Amendment No. 1 for House
Amendment No. 2.
House Substitute Amendment No. 1
for
House Amendment No. 2
AMEND Part II of House Substitute for House Committee Substitute for House Bill No. 1237, page
84, section 67.641, line 1, by replacing the period with a comma at the end of said line and
inserting immediately after the words:
"and any county of the state of Missouri shall be eligible for such convention and/or sports
complex funds, as long as a local match is provided by the county"
On motion of Representative Rizzo, House Substitute Amendment No. 1 for House
Amendment No. 2 was adopted.
Representative Scott offered House Amendment No. 3.
House Amendment No. 3
AMEND Part II of House Substitute for House Committee Substitute for House Bill No. 1237, page
82-85, section 67.641, by removing all brackets and underlined language in said section.
Representative Rizzo raised a point of order that House Amendment No. 3 is
amending previously amended material.
Representative Smith requested a parliamentary ruling.
The Parliamentary Committee ruled the point of order not well taken.
Representative Scott moved that House Amendment No. 3 be adopted.
Which motion was defeated by the following vote:
AYES: 062
Akin Alter Ballard Barnett 4 Bartelsmeyer
Boatright Broach Burton Champion Childers
Crum 112 Edwards-Pavia Elliott Enz Evans
Farnen Fiebelman Fitzwater Foster Froelker
Gaskill Graham Hartzler 124 Hegeman Hohulin
Hosmer Howerton Kelly 27 Klumb Legan
Linton Long Loudon Marble Marshall 26
Marshall 133 McBride Mitchell Montgomery Murphy
Murray 135 Naeger Nordwald Prost Pryor
Richardson Robirds Sallee Schilling Schwab
Scott Secrest Smith Sombart Steen
Summers Surface Thomason 163 Whiteside Wieland
Wiggins Williams 159
NOES: 089
Backer Barry Bennett 15 Bland Bonner
Boucher Brown Canuteson Carter Chrismer
Cierpiot Clayton Cooper Copeland Crump 152
Daniel 42 Daniels 41 Davis Days Donovan
Dougherty Foley Franklin Garnett Gibbons
Goward Gratz Green Griesheimer Gross
Hagan-Harrell Hall Hand Harlan Hartzler 123
Heckemeyer Hendrickson Hickey Hoppe Jacob
Kauffman Keeven Kelley 47 Kissell Koller
Kreider Lakin Levin Liese Luetkenhaus
Lumpe May 108 Mays 50 McClelland McLuckie
Morgan Murray 69 O'Connor O'Neill O'Toole
Oetting Ostmann Overschmidt Pauley Pouche
Relford Reynolds Rizzo Ross Scheve
Sears 1 Shear 83 Sheldon 104 Shelton 57 Shields
Skaggs Stokan Stoll Tate Thompson 37
Treadway Troupe Van Zandt Vogel Wannenmacher
Williams 121 Witt Wooten Mr. Speaker
PRESENT: 000
ABSENT WITH LEAVE: 011
Auer Bray Farmer Ford Gunn
Kasten Leake Lograsso Ribaudo Ridgeway
Ward
VACANCY: 001
On motion of Representative Rizzo, Part II of HS HCS HB 1237, as amended, was
adopted by the following vote:
AYES: 101
Backer Barry Bartelsmeyer Bennett 15 Bonner
Boucher Bray Brown Canuteson Carter
Chrismer Cierpiot Clayton Cooper Copeland
Crum 112 Crump 152 Daniel 42 Daniels 41 Davis
Days Donovan Dougherty Farmer Farnen
Fiebelman Fitzwater Foley Franklin Garnett
Gibbons Goward Gratz Green Griesheimer
Gross Hagan-Harrell Hall Hand Harlan
Hartzler 123 Heckemeyer Hendrickson Hickey Hoppe
Jacob Kauffman Keeven Kelley 47 Kissell
Klumb Koller Kreider Lakin Levin
Luetkenhaus Lumpe May 108 Mays 50 McBride
McClelland McLuckie Mitchell Montgomery Morgan
Murray 69 Nordwald O'Connor O'Neill O'Toole
Oetting Ostmann Overschmidt Pauley Pouche
Prost Reynolds Rizzo Ross Scheve
Sears 1 Shear 83 Sheldon 104 Shelton 57 Shields
Skaggs Sombart Stokan Stoll Thomason 163
Thompson 37 Treadway Troupe Van Zandt Vogel
Wannenmacher Williams 121 Williams 159 Witt Wooten
Mr. Speaker
NOES: 051
Akin Alter Ballard Barnett 4 Boatright
Broach Burton Champion Childers Edwards-Pavia
Elliott Enz Evans Foster Froelker
Gaskill Graham Hartzler 124 Hegeman Hohulin
Hosmer Howerton Kelly 27 Legan Liese
Linton Long Loudon Marble Marshall 26
Marshall 133 Murphy Murray 135 Naeger Pryor
Relford Richardson Robirds Sallee Schilling
Schwab Scott Secrest Smith Steen
Summers Surface Tate Whiteside Wieland
Wiggins
PRESENT: 001
Bland
ABSENT WITH LEAVE: 009
Auer Ford Gunn Kasten Leake
Lograsso Ribaudo Ridgeway Ward
VACANCY: 001
Part III of HS HCS HB 1237 was taken up by Representative Rizzo.
Representative Harlan offered House Amendment No. 1.
House Amendment No. 1
AMEND Part III of House Substitute for House Committee Substitute for House Bill No. 1237,
page 86, section 67.1000, line 21, by inserting after the word "classification" the following:
"or any third class city with a population of at least twelve thousand inhabitants but not
more than fifteen thousand inhabitants located in a county of the third classification, which
contains a medium security state correctional facility.
On motion of Representative Harlan, House Amendment No. 1 was adopted.
Representative Sears (1) offered House Amendment No. 2.
House Amendment No. 2
AMEND Part III of House Substitute for House Committee Substitute for House Bill No. 1237,
Page 87, Line 17 from the top of said page, by inserting after all of said line the following:
"Section 1. 1. Except in any city not within a county or any county of the first
classification with a charter form of government with a population of nine hundred thousand or
more inhabitants or in any county of the first classification with a charter form of
government and containing part of a city with a population of three hundred thousand or more
inhabitants, the governing body of any county or any municipality may impose, by ordinance or
order, a sales tax on all retail sales made in such county or municipality which are subject
to taxation pursuant to the provisions of sections 144.010 to 144.525, RSMo, for economic
development.
2. For purposes of this section, the term "economic development is limited to the following:
(1) Operations of economic development or community development offices, including the salary
of employees;
(2) Provision of training for job creation or retention;
(3) Provision of infrastructure and site for industrial development or for public
infrastructure projects; and
(4) Refurbishing of existing structures and property relating to community development.
3. The maximum rate for a sales tax pursuant to this section shall be as follows:
(1) One-half of one percent for municipalities with a population of three thousand five
hundred or less;
(2) One-quarter of one percent for municipalities with a population of not less than three
thousand five hundred one and of not more than twenty-five thousand;
(3) One-eighth of one percent for municipalities with a population of not less than twenty-
five thousand and one;
(4) One-half of one percent for counties with a population of twenty-five thousand or less;
(5) One-quarter of one percent for counties with a population of not less than twenty-five
thousand one and of not more than fifty thousand; or
(6) One-eighth of one percent for counties with a population of not less than fifty thousand
and one.
4. The tax authorized by this section shall be in addition to any and all other sales taxes
allowed by law, except that no ordinance or order imposing a sales tax pursuant to the
provisions of this section shall be effective unless the governing body of the county or
municipality submits to the voters of the county or municipality, at a regularly scheduled
county, municipal or state general or primary election, a proposal to authorize the governing
body of the county or municipality to impose a tax. Any sales tax imposed pursuant to this
section shall not be authorized for a period of more than five years.
5. Such proposal shall be submitted in substantially the following form:
Shall the (city, town, village or county) of ............. impose a sales tax of .............
(insert amount) for the purpose of economic development in the (city, town, village or
county)?
*Yes * No
If a majority of the votes cast on the proposal by the qualified voters voting thereon are in
favor of the proposal, then the ordinance or order and any amendments thereto shall be in
effect on the first day of the second quarter after the director of revenue receives notice of
adoption of the tax. If a majority of the votes cast by the qualified voters voting are
opposed to the proposal, then the governing body of the county or municipality shall not
impose the sales tax authorized in this section until the governing body of the county or
municipality resubmits another proposal to authorize the governing body of the county or
municipality to impose the sales tax authorized by this section and such proposal is approved
by a majority of the qualified voters voting thereon; however no such proposal shall be
resubmitted to the voters sooner than twelve months from the date of the submission of the
last such proposal.
6. All revenue received by a county or municipality from the tax authorized pursuant to the
provisions of this section shall be deposited in a special trust fund and shall be used solely
for economic development purposes within such county or municipality for so long as the tax
shall remain in effect.
7. Once the tax authorized by this section is abolished or is terminated by any means, all
funds remaining in the special trust fund shall be used solely for economic development
purposes within the county or municipality. Any funds in such special trust fund which are not
needed for current expenditures may be invested by the governing body in accordance with
applicable laws relating to the investment of other county or municipal funds.
8. All sales taxes collected by the director of revenue pursuant to this section on behalf of
any county or municipality, less one percent for cost of collection which shall be deposited
in the state's general revenue fund after payment of premiums for surety bonds as provided in
section 32.087, RSMo, shall be deposited in a special trust fund, which is hereby created, to
be known as the "Local Economic Development Sales Tax Trust Fund".9. The moneys in the local
economic development sales tax trust fund shall not be deemed to be state funds and shall not
be commingled with any funds of the state. The director of revenue shall keep accurate records
of the amount of money in the trust fund and which was collected in each county or
municipality imposing a sales tax pursuant to this section, and the records shall be open to
the inspection of officers of the county or municipality and the public.
10. Not later than the tenth day of each month the director of revenue shall distribute all
moneys deposited in the trust fund during the preceding month to the county or municipality
which levied the tax. Such funds shall be deposited with the county treasurer of each such
county or the appropriate municipal officer in the case of a municipal tax, and all
expenditures of funds arising from the local economic development sales tax trust fund shall
be by an appropriation act to be enacted by the governing body of each such county or
municipality. Expenditures may be made from the fund for any economic development purposes
authorized in the ordinance or order adopted by the governing body submitting the tax to the
voters.
11. The director of revenue may authorize the state treasurer to make refunds from the amounts
in the trust fund and credited to any county or municipality for erroneous payments and
overpayments made, and may redeem dishonored checks and drafts deposited to the credit of such
counties and municipalities.
12. If any county or municipality abolishes the tax, the county or municipality shall notify
the director of revenue of the action at least ninety days prior to the effective date of the
repeal and the director of revenue may order retention in the trust fund, for a period of one
year, of two percent of the amount collected after receipt of such notice to cover possible
refunds or overpayment of the tax and to redeem dishonored checks and drafts deposited to the
credit of such accounts. After one year has elapsed after the effective date of abolition of
the tax in such county or municipality, the director of revenue shall remit the balance in the
account to the county or municipality and close the account of that county or municipality.
The director of revenue shall notify each county or municipality of each instance of any
amount refunded or any check redeemed from receipts due the county or municipality.
13. Except as modified in this section, all provisions of sections 32.085 and 32.087, RSMo,
shall apply to the tax imposed pursuant to this section."; and
Further amend said bill, by amending the title and enacting clause accordingly.
On motion of Representative Sears (1), House Amendment No. 2 was adopted.
Representative Naeger offered House Amendment No. 3.
House Amendment No. 3
AMEND Part III of House Substitute for House Committee Substitute for House Bill No. 1237,
page 87, section 67.1000, Line 17, by inserting immediately after said line the followings:
71.012. 1. Notwithstanding the provisions of sections 71.015 and 71.860 to 71.920, the
governing body of any city, town, or village may annex unincorporated areas which are
contiguous and compact to the existing corporate limits of the city, town, or village as
provided in this section. The term "contiguous and compact" does not include a situation
whereby the unincorporated area proposed to be annexed is contiguous to the annexing city,
town or village only by a railroad line, trail, pipeline or other strip of real property less
than one-quarter mile in width within the city, town or village so that the boundaries of the
city, town or village after annexation would leave unincorporated areas between the annexed
area and the prior boundaries of the city, town or village connected only by such railroad
line, trail, pipeline or other such strip of real property. Notwithstanding the provisions of
this section, the governing body of any city, town, or village in any county of the third
classification which borders a county of the fourth classification, a county of the second
classification and the Mississippi River may annex areas along a road or highway up to two
miles from existing boundaries of the city, town or village.
2. (1) When a verified petition, requesting annexation and signed by the owners of all fee
interests of record in all tracts of real property located within the area proposed to be
annexed, is presented to the governing body of the city, town, or village, the governing body
shall hold a public hearing concerning the matter not less than fourteen nor more than sixty
days after the petition is received, and the hearing shall be held not less than seven days
after notice of the hearing is published in newspapers of general circulation qualified to
publish legal matters.
(2) At the public hearing any interested person, corporation or political subdivision may
present evidence regarding the proposed annexation. If, after holding the hearing, the
governing body of the city, town, or village determines that the annexation is reasonable and
necessary to the proper development of the city, town, or village, and the city, town, or
village has the ability to furnish normal municipal services to the area to be annexed within
a reasonable time, it may, subject to the provisions of subdivision (3) of this subsection,
annex the territory by ordinance without further action.
(3) If a written objection to the proposed annexation is filed with the governing body of the
city, town, or village not later than fourteen days after the public hearing by at least two
percent of the qualified voters of the city, town, or village, or two qualified voters of the
area sought to be annexed if the same contains two qualified voters, the provisions of
sections 71.015
and 71.860 to 71.920, shall be followed.
3. If no objection is filed, the city, town, or village shall extend its limits by ordinance
to include such territory, specifying with accuracy the new boundary lines to which the
city's, town's, or village's limits are extended. Upon duly enacting such annexation
ordinance, the city, town, or village shall cause three certified copies of the same to be
filed with the clerk of the county wherein the city, town, or village is located, and one
certified copy to be filed with the election authority, if different from the clerk of the
county which has jurisdiction over the area being annexed, whereupon the annexation shall be
complete and final and thereafter all courts of this state shall take judicial notice of the
limits of that city, town, or village as so extended.
On motion of Representative Naeger, House Amendment No. 3 was adopted.
Representative Sears (1) offered House Amendment No. 4.
Representative Rizzo raised a point of order that House Amendment No. 4 is not
germane to the bill.
Representative Smith requested a parliamentary ruling.
The Parliamentary Committee ruled the point of order well taken.
On motion of Representative Rizzo, Part III of HS HCS HB 1237, as amended, was
adopted.
Part IV of HS HCS HB 1237 was taken up by Representative Rizzo.
Representative Long offered House Amendment No. 1.
House Amendment No. 1
AMEND Part IV of House Substitute for House Committee Substitute for House Bill No. 1237, page
89, section 100.296, line 5, by removing the bracket at the beginning of said line and
Further amend said bill, page 89, line 13, by removing the bracket after the word "capacity."
On motion of Representative Long, House Amendment No. 1 was adopted by the
following vote:
AYES: 091
Akin Alter Ballard Barnett 4 Barry
Bartelsmeyer Bennett 15 Boatright Bonner Broach
Brown Burton Champion Childers Chrismer
Cierpiot Cooper Crum 112 Donovan Edwards-Pavia
Elliott Enz Evans Foster Froelker
Garnett Gaskill Gibbons Goward Graham
Gratz Griesheimer Gross Hall Hand
Hartzler 123 Hartzler 124 Hegeman Hendrickson Hohulin
Hoppe Hosmer Howerton Kauffman Keeven
Kelley 47 Kelly 27 Kissell Klumb Koller
Legan Levin Linton Lograsso Long
Loudon Luetkenhaus Marble Marshall 26 Marshall 133
McBride McClelland Mitchell Murphy Murray 135
Naeger Nordwald Oetting Ostmann Pauley
Pouche Pryor Richardson Robirds Ross
Sallee Schilling Schwab Secrest Shields
Sombart Steen Summers Surface Treadway
Vogel Wannenmacher Whiteside Wieland Wiggins
Mr. Speaker
NOES: 062
Backer Bland Boucher Bray Canuteson
Carter Clayton Crump 152 Daniel 42 Daniels 41
Davis Days Dougherty Farmer Farnen
Fiebelman Fitzwater Foley Franklin Green
Hagan-Harrell Harlan Heckemeyer Hickey Jacob
Kreider Lakin Leake Liese Lumpe
May 108 Mays 50 McLuckie Montgomery Morgan
Murray 69 O'Connor O'Neill O'Toole Overschmidt
Prost Relford Reynolds Rizzo Scheve
Sears 1 Shear 83 Sheldon 104 Shelton 57 Skaggs
Smith Stokan Stoll Tate Thomason 163
Thompson 37 Troupe Van Zandt Williams 121 Williams 159
Witt Wooten
PRESENT: 000
ABSENT WITH LEAVE: 009
Auer Copeland Ford Gunn Kasten
Ribaudo Ridgeway Scott Ward
VACANCY: 001
Representative Tate offered House Amendment No. 2.
House Amendment No. 2
AMEND Part IV of House Substitute for House Committee Substitute for House Bill No. 1237, Page
1, In the Title, Line 3, by inserting after the number "135.405," the numbers "274.030,
274.220, 274.230,"; and
Further amend said bill, Page 1, In the Title, Line 12, by deleting the word "twenty-seven"
and inserting in lieu thereof the word "thirty-one"; and
Further amend said bill, Page 1, Section A, Line 1, by inserting after the number "135.405,"
the numbers "274.030, 274.220, 274.230,"; and
Further amend said bill, Page 82, Section B, Line 10 from the top of said page, by deleting
the word and number "and 67.1000" and inserting in lieu thereof the following: ", 67.1000,
274.030, 274.220 and 274.230"; and
Further amend said bill, Page 82, Section B, Line 11 from the top of said page, by deleting
the word "nine" and inserting in lieu thereof the word "thirteen"; and
Further amend said bill, Page 82, Section B, Line 13 from the top of said page, by inserting
after the number "100.296," the following: "274.030, 274.220, 274.230, 274.310,"; and
Further amend said bill, Page 89, Section 100.296, Line 13 from the top of said page, by
inserting after all of said line the following:
"274.030. 1. Eleven or more persons, except corporations excluded from engaging in farming
pursuant to the provisions of section 350.015, RSMo, a majority of whom are residents of this
state, engaged in the production of agricultural products, may form a nonprofit cooperative
association without capital stock, under the provisions of this chapter, for the following
purpose or purposes: To engage in any activity in connection with the marketing or selling of
the agricultural products of its members or with the harvesting, preserving, drying,
processing, canning, packing, grading, storing, handling, shipping or utilization thereof or
the manufacturing or marketing of the by-products thereof; or in connection with the
manufacturing, selling or supplying to its members of machinery, equipment or supplies; or in
the financing of the above enumerated activities; or in any one or more of the activities
specified herein.
2. Five or more owners or operators of a family farm or a family farm corporation as those
terms are defined in section 350.010, RSMo, all of whom are residents of this state, engaged
in the production of agricultural products, may form a nonprofit cooperative association
without capital stock, pursuant to the provisions of this chapter, to engage in the production
of livestock.
274.220. 1. An association may organize, form, operate, control, have an interest in, or be a
member of [any other] a corporation or [corporations, without capital stock,] other entity and
engage in preserving, drying, processing, canning, packing, storing, handling, shipping,
utilizing, manufacturing, marketing or selling of the agricultural products handled by the
association, or the by-products thereof.
2. If such corporations are warehousing corporations, they may issue legal warehouse receipts
to the association against the commodities delivered by it, or to any other person and such
legal warehouse receipts shall be considered as adequate collateral to the extent of the usual
and current value of the commodity represented thereby.
3. In case such warehouse is licensed or licensed and bonded under the laws of this or any
other state or the United States, its warehouse receipt delivered to the association on
commodities of the association or its members, or delivered by the association or its members,
shall not be challenged or discriminated against because of ownership or control, wholly or in
part, by the association.
274.230. Any association may, upon resolution adopted by its board of directors, enter into
all necessary and proper contracts, and arrangements with [any other cooperative] a
corporation, [association or associations, formed in this or in any other state] person or
other entity, for the [cooperative and] more economical carrying on of its business or any
part or parts thereof. Any two or more associations may, by agreement between them, unite in
employing and using or may separately employ and use the same personnel, methods, means and
agencies for carrying on and conducting their respective business.
274.310. 1. The department of agriculture shall provide assistance to persons engaged in
agricultural production in the following areas:
(1) Cooperative marketing of agricultural products;
(2) Cooperative processing of agricultural products;
(3) Development of regional and niche markets for the marketing of agricultural products; and
(4) Dissemination of the most modern information and technology related to agricultural
production, processing and marketing.
Such assistance shall have as its primary focus the provision of assistance to small,
independent family-owned or operated agricultural producers or processors.
2. An annual report on the activities engaged in, number of persons served and evaluation of
project effectiveness shall be submitted by the department of agriculture to the general
assembly, no later than December 1, 1996, and each year thereafter by December first.".
Representative Leake offered House Substitute Amendment No. 1 for House
Amendment No. 2.
House Substitute Amendment No. 1
for
House Amendment No. 2
AMEND Part IV of House Substitute for House Committee Substitute for House Bill No. 1237, Page
1, In the Title, Line 3, by inserting after the number "135.405," the numbers "274.030,
274.220, 274.230,"; and
Further amend said bill, Page 1, In the Title, Line 12, by deleting the word "twenty-seven"
and inserting in lieu thereof the word "thirty-one"; and
Further amend said bill, Page 1, Section A, Line 1, by inserting after the number "135.405,"
the numbers "274.030, 274.220, 274.230,"; and
Further amend said bill, Page 82, Section B, Line 10 from the top of said page, by deleting
the word and number "and 67.1000" and inserting in lieu thereof the following: ", 67.1000,
274.030, 274.220 and 274.230"; and
Further amend said bill, Page 82, Section B, Line 11 from the top of said page, by deleting
the word "nine" and inserting in lieu thereof the word "thirteen"; and
Further amend said bill, Page 82, Section B, Line 13 from the top of said page, by inserting
after the number "100.296," the following: "274.030, 274.220, 274.230, 274.310,"; and
Further amend said bill, Page 89, Section 100.296, Line 13 from the top of said page, by
inserting after all of said line the following:
"274.030. 1. Eleven or more persons, except corporations excluded from engaging in
farming pursuant to the provisions of section 350.015, RSMo, a majority of whom are residentsengaging in
of this state, engaged in the production of agricultural products, may form a nonprofitientsengaging in
cooperative association without capital stock, under the provisions of this chapter, for theentsengaging in
following purpose or purposes: To engage in any activity in connection with the marketing orentsengaging in
selling of the agricultural products of its members or with the harvesting, preserving,entsengaging in
drying, processing, canning, packing, grading, storing, handling, shipping or utilizationnentsengaging in
thereof or the manufacturing or marketing of the by-products thereof; or in connection withentsengaging in
the manufacturing, selling or supplying to its members of machinery, equipment or supplies; or
in the financing of the above enumerated activities; or in any one or more of the activities
specified herein.
2. Five or more owners or operators of a family farm or a family farm corporations those terms
are defined in section 350.010, RSMo, all of whom are residents of this state, engaged in the
production of agricultural products, may form a nonprofit cooperative association without
capital stock, pursuant to the provisions of this chapter, to engage in the production of
livestock.
274.220. 1. An association may organize, form, operate, control, have an interest in, or be a
member of [any other] a corporation or [corporations, without capital stock,] other entity
and engage in preserving, drying, processing, canning, packing, storing, handling, shipping,
utilizing, manufacturing, marketing or selling of the agricultural products handled by the
association, or the by-products thereof.
2. If such corporations are warehousing corporations, they may issue legal warehouse receipts
to the association against the commodities delivered by it, or to any other person and such
legal warehouse receipts shall be considered as adequate collateral to the extent of the usual
and current value of the commodity represented thereby.
3. In case such warehouse is licensed or licensed and bonded under the laws of this or any
other state or the United States, its warehouse receipt delivered to the association on
commodities of the association or its members, or delivered by the association or its members,
shall not be challenged or discriminated against because of ownership or control, wholly or in
part, by the association.
274.230. Any association may, upon resolution adopted by its board of directors, enter into
all necessary and proper contracts, and arrangements with any other cooperative, corporation,
[association or associations, formed in this or in any other state] person or other entity,
for the [cooperative and] more economical carrying on of its business or any part or parts
thereof. Any two or more associations may, by agreement between them, unite in employing and
using or may separately employ and use the same personnel, methods, means and agencies for
carrying on and conducting their respective business.
274.310. 1. The department of agriculture shall provide assistance to persons engaged in
agricultural production in the following areas:
(1) Cooperative marketing of agricultural products;
(2) Cooperative processing of agricultural products;
(3) Development of regional and niche markets for the marketing of agricultural products; and
(4) Dissemination of the most modern information and technology related to agricultural
production, processing and marketing.
Such assistance shall have as its primary focus the provision of assistance to small,
independent family-owned or operated agricultural producers or processors.
2. An annual report on the activities engaged in, number of persons served and evaluation of
project effectiveness shall be submitted by the department of agriculture to the general
assembly, no later than December 1, 1996, and each year thereafter by December first.".
On motion of Representative Leake, House Substitute Amendment No. 1 for House
Amendment No. 2 was adopted.
HCS HB 1237, with Part I, as amended, Part II, as amended, Part III, as
amended, adopted, Part IV, as amended and Part V of HS, pending, was laid
over.
The Speaker resumed the Chair.
APPOINTMENT OF CONFERENCE COMMITTEES
The Speaker appointed the following Conference Committees to act with a like
committee from the Senate on the following bills:
SCS HCS HB 1002: Representatives Lumpe, Lakin, Franklin, Childers and Kauffman
SCS HCS HB 1003: Representatives Lumpe, Lakin, Franklin, Childers and Kauffman
SCS HCS HB 1004: Representatives Lumpe, Lakin, Green, Wannenmacher and Legan
SCS HCS HB 1005: Representatives Lumpe, Lakin, Green, Wannenmacher and Wooten
SCS HCS HB 1006: Representatives Lumpe, Lakin, Tate, Cooper and Graham
SCS HCS HB 1007: Representatives Lumpe, Lakin, Tate, Cooper and McClelland
SCS HCS HB 1008: Representatives Lumpe, Lakin, Franklin, Childers and Kauffman
SCS HCS HB 1009: Representatives Lumpe, Lakin, Troupe, Kelley (47) and Murray (135)
SCS HCS HB 1010: Representatives Lumpe, Lakin, Carter, Donovan and Shields
SCS HCS HB 1011: Representatives Lumpe, Lakin, Troupe, Kelley (47) and Murray (135)
SCS HCS HB 1012: Representatives Lumpe, Lakin, Green, Kauffman and Legan
Representative Smith resumed the Chair.
COMMITTEE REPORTS
Committee on Civil and Criminal Law, Chairman Hosmer reporting:
Mr. Speaker: Your Committee on Civil and Criminal Law, to which was referred
HB 1331, begs leave to report it has examined the same and recommends that the
House Committee Substitute Do Pass.
Mr. Speaker: Your Committee on Civil and Criminal Law, to which was referred
HB 1638, begs leave to report it has examined the same and recommends that the
House Committee Substitute Do Pass.
Mr. Speaker: Your Committee on Civil and Criminal Law, to which was referred
SB 491, begs leave to report it has examined the same and recommends that it
Do Pass by Consent with House Committee Amendment No. 1.
House Committee Amendment No. 1
AMEND Senate Bill No. 491, Page 2, Section 578.012, Line 14, by deleting the opening bracket
"[" immediately before the number "3"; and
Further amend said bill, Page 2, Section 578.012, Line 15, by deleting the closing bracket "]"
immediately after the word "mammal.".
Mr. Speaker: Your Committee on Civil and Criminal Law, to which was referred
SB 527, begs leave to report it has examined the same and recommends that it
Do Pass by Consent.
Mr. Speaker: Your Committee on Civil and Criminal Law, to which was referred
SB 830, begs leave to report it has examined the same and recommends that it
Do Pass by Consent.
Mr. Speaker: Your Committee on Civil and Criminal Law, to which was referred
SB 835, begs leave to report it has examined the same and recommends that the
House Committee Substitute Do Pass by Consent.
Mr. Speaker: Your Committee on Civil and Criminal Law, to which was referred
SB 850, begs leave to report it has examined the same and recommends that it
Do Pass by Consent.
Committee on Education - Higher, Chairman Scheve reporting:
Mr. Speaker: Your Committee on Education - Higher, to which was referred SCS
SB 694, begs leave to report it has examined the same and recommends that it
Do Pass by Consent.
Committee on Judiciary and Ethics, Chairman May (108) reporting:
Mr. Speaker: Your Committee on Judiciary and Ethics, to which was referred SCS
SB 668, begs leave to report it has examined the same and recommends that it
Do Pass by Consent with House Committee Amendment No. 1.
House Committee Amendment No. 1
AMEND Senate Bill 668, Page 1, Section 302.225, Line 11, by inserting after the word
"violation" the following:
"or any violation where no points are to be assessed pursuant to section 302.302".
Committee on Municipal Corporations, Chairman Shelton reporting:
Mr. Speaker: Your Committee on Municipal Corporations, to which was referred
SB 811, begs leave to report it has examined the same and recommends that it
Do Pass by Consent.
Committee on Retirement, Chairman Hagan-Harrell reporting:
Mr. Speaker: Your Committee on Retirement, to which was referred SB 900, begs
leave to report it has examined the same and recommends that the House
Committee Substitute Do Pass by Consent.
INTRODUCTION OF HOUSE BILL
The following House Bill was read the first time and 1,000 copies ordered
printed:
HB 1645, introduced by Representative Evans, et al, relating to income
taxation.
MESSAGES FROM THE SENATE
Mr. Speaker: I am instructed by the Senate to inform the House of
Representatives that the Senate has taken up and adopted SCR 25.
SENATE CONCURRENT RESOLUTION NO. 25
WHEREAS, the salaries of probation and parole officers do not reflect the value of their
services or education to the State of Missouri; and
WHEREAS, the safety of probation and parole officers is being placed in jeopardy because of an
increasing caseload, a greater number of violent offenders and inadequate equipment; and
WHEREAS, the turnover rate of probation and parole officers is significantly higher than the
turnover rate of other corrections officers;
NOW, THEREFORE, BE IT RESOLVED by the members of the Missouri Senate of the 88th General
Assembly, the House of Representatives concurring therein, that a joint interim committee be
appointed to study the salary structure, safety, retention, case management and other related
issues involving probation and parole offices and report its findings and recommendations to
the General Assembly no later than December 15, 1996.
Mr. Speaker: I am instructed by the Senate to inform the House of
Representatives that the Senate has taken up and passed SCS SB 759, entitled:
An act to repeal sections 375.1250, 375.1252, 375.1255, 375.1257, 375.1260,
375.1262, 375.1265, 375.1267, 375.1269, 375.1270 and 375.1275, RSMo 1994,
relating to risk-based capital requirements for insurers, and to enact eleven
new sections relating to the same subject.
In which the concurrence of the House is respectfully requested.
Mr. Speaker: I am instructed by the Senate to inform the House of
Representatives that the Senate has taken up and passed SCS SB 777, entitled:
An act relating to court costs.
In which the concurrence of the House is respectfully requested.
COMMUNICATIONS
April 10, 1996
Honorable Steve Gaw
Speaker, Missouri House of Representatives
State Capitol Building
Jefferson City, MO
Dear Mr. Speaker:
We, the undersigned members of the Missouri House of Representatives, find H.B. 1551 to be of
a controversial nature and request that it be removed from the Consent Calendar.
/s/ Bubs Hohulin
/s/ Jim Howerton
/s/ Jess Garnett
/s/ Paul Wieland
/s/ Greg Canuteson
April 10, 1996
Chief Clerk, Doug Burnett
Dear Doug,
We the undersigned find HB 1582 of controversial nature and request the bill be removed from
the House Consent Calendar.
/s/ Gracia Y. Backer
/s/ Paula J. Carter
/s/ Marilyn Williams
/s/ Cindy Ostmann
/s/ Carson Ross
April 10, 1996
The Honorable Steve Gaw
Speaker of the House
State Capitol, House Post Office
Jefferson City, MO 65101
Dear Mr. Speaker:
We, the undersigned, believe House Bill 1612 to be of such a controversial nature that it
should be removed from the Consent Calendar.
/s/ John Hickey
/s/ Jim O'Toole
/s/ Tim Harlan
/s/ Philip Wannenmacher
/s/ Brent Evans
Fifty-fourth Day-Wednesday, April 10, 1996
April 10, 1996
The Honorable Gracia Backer, Chairman
House Rules Committee
State Capitol
Jefferson City, MO 65101
Dear Gracia:
We, the undersigned, hereby request that House Bill 1634, be removed from the House Consent
Calendar.
Thank you for this consideration.
/s/Joseph Treadway
/s/Don Kissell
/s/Stephen Stoll
/s/Emmy McClelland
/s/Mary C. Kasten
The following members' presence were noted: Ward, Auer and Gunn.
ADJOURNMENT
On motion of Representative Backer, the House adjourned until 10:00 a.m.,
Thursday, April 11, 1996.
CORRECTIONS TO THE HOUSE JOURNAL
Correct House Journal, Fifty-Third Day, Tuesday, April 9, 1996, page 18, line
16, by inserting in front of the letters "SB", the letters "SCS".
Pages 3 and 4, roll call, by showing Representative Akin voting "aye" rather
than "absent with leave".
Pages 6 and 7, roll call, by showing Representative Farmer voting "no" rather
than "absent with leave".
Pages 7 and 8, roll call, by showing Representatives Luetkenhaus and Liese
voting "aye" rather than "absent with leave".
Pages 9 and 10, roll call, by showing Representative Akin voting "aye" rather
than "absent with leave".
COMMITTEE MEETINGS
BUDGET
Thursday, April 11, 1996, 9:00 am. Hearing Room 9. Executive session on
previously heard bills.
Fifty-fourth Day-Wednesday, April 10, 1996
COMMERCE
Thursday, April 11, 1996, 8:30 am. Hearing Rooms 1 & 2. Executive session may
follow.
To be considered - HR 716, SB 640
CORRECTIONAL & STATE INSTITUTIONS
Thursday, April 11, 1996. Side gallery upon morning adjournment.
Executive Session
FEES AND SALARIES
Monday, April 15, 1996, 1:30 pm. Hearing Room 1. Executive session.
To be considered - SB 802
LOCAL GOVERNMENT AND RELATED MATTERS
Thursday, April 11, 1996. Side gallery upon adjournment. Executive session.
PUBLIC HEALTH AND SAFETY
Tuesday, April 16, 1996. Hearing Room 9 upon morning adjournment.
Executive session to follow.
To be considered - SB 703, SB 916
RULES, JOINT RULES, BILLS PERFECTED AND PRINTED
Thursday, April 11, 1996, 8:30 am. Hearing Room 8.
To be considered - HB 1551, HB 1634, HB 1612, HB 1582
TRAVEL COMMITTEE
Thursday, April 11, 1996, 8:30 am. Hearing Room 5.
WAYS AND MEANS
Thursday, April 11, 1996. Side gallery upon morning adjournment.
Executive Session
WORKERS COMPENSATION AND EMPLOYMENT SECURITY
Thursday, April 11, 1996, 9:00 am. Side gallery. Executive session to follow.
To be considered - SB 855
WORKERS COMPENSATION AND EMPLOYMENT SECURITY
Monday, April 15, 1996, 8:00 pm. Hearing Room 5. Executive session possible.
Amended
To be considered - SJR 31, SB 868
Fifty-fourth Day-Wednesday, April 10, 1996
HOUSE CALENDAR
FIFTY-FIFTH DAY, THURSDAY, APRIL 11, 1996
HOUSE BILLS FOR SECOND READING
HB 1645
HOUSE BILLS FOR PERFECTION
1 HCS HB 1363 - Mays (50)
2 HCS HB 1186, with HS, as amended, pending - Hoppe
3 HCS HB 1237, with Part I, as amended, Part II, as amended, Part III, as
amended, Part IV, amended & Part V, pending - Rizzo
4 HB 1241 - Witt
5 HCS HB 1185 - McClelland
6 HB 839 - Luetkenhaus
7 HB 1411 - Loudon
8 HCS HB 1149,1150 & 1240 - Jacob
9 HCS HB 894 - Bray
10 HCS HB 1199, 1357 & 1393, Reynolds - Kissell
11 HB 1380 - Lumpe
12 HCS HB 1557 & 1489 - Days
13 HCS HB 987, 1155, 1158 & 1219 - Jacob
14 HCS HB 1403 - Dougherty
15 HB 1247 - Shelton (57)
16 HCS HB 1588 - Overschmidt
17 HB 944, HCA 1 - Smith
18 HB 1154 - Murray (69)
19 HCS HB 1540 - Green
20 HB 993 - Williams (121)
21 HB 854 - Bland
22 HB 1312 - Tate
23 HCS HB 843 - Daniels (41)
24 HB 1133 - Witt
25 HB 855 - Bland
26 HCS HB 830 & 1082 - Carter
27 HB 1228, HCA 1 - Harlan
28 HB 1279 - Tate
29 HCS HB 1398, 1339, 1488 & 1114 - Hagan-Harrell
30 HCS HB 829 & 1254 - May (108)
31 HB 1414, HCA 1 - Smith
32 HCS HB 960 - Rizzo
33 HB 1436, HCA 1 - Dougherty
34 HB 1399, HCA 1 - Leake
35 HCS HB 1112 - Koller
36 HCS HB 1204 - Wiggins
37 HB 816, HCA 1 - Backer
38 HCS HB 961 - Boucher
39 HB 1535 - Kissell
40 HCS HB 1132, 1049, 779, 1051 & 1544 - Heckemeyer
41 HCS HB 1429 - Liese
42 HCS HB 1143 - Witt
43 HB 856, HCA 1 - Bland
44 HB 1310 - Tate
45 HCS HB 1175, 1120 & 797 - Gratz
46 HCS HB 912 & 1108 - Treadway
47 HB 1579, HCA 1 - Skaggs
48 HB 1562 - Witt
49 HCS HB 1374 - Scheve
50 HB 801, HCA 1 - Schilling
51 HB 1443, HCA 1, HCA 2 - Prost
52 HB 1289 - Liese
53 HCS HB 1278 & 1277 - May (108)
54 HB 1590, HCA 1 - Harlan
55 HB 1145 - Shear (83)
56 HCS HB 1115 - Montgomery
57 HCS HB 1206 & 1484 - Hosmer
58 HB 1575 - Loudon
59 HB 1180 - Williams (159)
60 HB 1080, HCA 1 - Troupe
61 HCS HB 1430 & 1165 - Hosmer
62 HCS HB 1000 - Treadway
63 HCS HB 840 & 841 - Luetkenhaus
64 HB 833, HCA 1 - Dougherty
65 HCS HB 1465 - Hoppe
66 HB 1245 - Farmer
67 HCS HB 867, 893 & 1401 - Morgan
68 HCS HB 1103 - Smith
HOUSE BILLS FOR PERFECTION - INFORMAL
HB 1402 - Williams (121)
HCS HB 1172 - Jacob
HB 1243, HCA 1 - Farmer
HB 962, as amended - Lumpe
HB 1156 - Scheve
HOUSE JOINT RESOLUTIONS FOR THIRD READING
HJR 42 - Hosmer
HJR 49 - Tate
HJR 58 - Lumpe
HOUSE BILLS FOR THIRD READING
HCS HB 1249 - O'Toole
HB 782, (Budget Fiscal 3-20-96) - Stokan
HCS HB 1372, (Budget Fiscal 4-3-96) - Mays (50)
HS HCS HB 1320, 981, 1042, 1109 & 1250, (Budget Fiscal 4-9-96) - O'Connor
HS HB 852, (Budget Fiscal 4-9-96) - Canuteson
HS HCS HB 1174 & 1309 - May (108)
SENATE BILLS FOR SECOND READING
SCS SB 759
SCS SB 777
BILLS IN CONFERENCE
HCS SS SB 687, as amended, E.C. - Lumpe
SCS HCS HB 1002, as amended - Franklin
SCS HCS HB 1003, as amended - Franklin
SCS HCS HB 1004 - Green
SCS HCS HB 1005, as amended - Green
SCS HCS HB 1006, as amended - Tate
SCS HCS HB 1007 - Tate
SCS HCS HB 1008 - Franklin
SCS HCS HB 1009, as amended - Troupe
SCS HCS HB 1010, as amended - Carter
SCS HCS HB 1011 - Troupe
SCS HCS HB 1012 - Green
HOUSE CONCURRENT RESOLUTIONS
HCR 10, (4-3-96 pgs. 13 & 14) - Rizzo
HCR 5, (3-28-96 pgs. 12 & 13) - Thompson (37)
HCR 11, (4-4-96 pgs. 3 & 4) - Marble
HOUSE RESOLUTIONS
HR 305, (2-29-96, p. 16) - Sombart
HR 353, (2-29-96, pgs. 16 & 17) - Vogel
HR 332, (2-29-96, pgs. 15 & 16) - Gratz & Vogel
HR 347, (3-28-96, pgs.11 & 12) - Prost
COURTESY RESOLUTIONS
HR 723 - McClelland
HR 724 - Mays (50)
HR 725 - Mitchell
HR 726 - Akin
HR 728 - Hartzler (124)
HR 729 - Williams (121)
HR 730 - Ross
HR 731 - Ross
HR 732 - Ross
HR 733 - Backer
HR 734 - Backer
HR 735 - Shear (83)
HR 736 - Ridgeway
HR 737 - Ridgeway
HR 738 - Ridgeway
HR 739 - Ridgeway
HR 740 - Richardson
HR 741 - Richardson
HR 742 - Richardson
HR 744 - Hartzler (124)
HR 745 - Boucher
HR 746 - Boucher
HR 747 - Murray (135)
HR 748 - Copeland
HR 749 - Copeland
HR 750 - Copeland
HR 751 - Ross
HR 752 - Howerton
HR 753 - Alter
HR 754 - Clayton
HR 755 - Clayton
HR 756 - Gross
HR 757 - Gross
HR 758 - Gross
HR 759 - Gross
HR 760 - Gross
HR 761 - Gross
HR 762 - Gross
HR 763 - Gross
HR 764 - Richardson
HOUSE BILLS TAKEN FROM COMMITTEE PER CONSTITUTION
HB 1463 - Shields
HB 1454 - Hall
HB 1455 - Hall
SENATE BILL TAKEN FROM COMMITTEE PER CONSTITUTION
SB 727 -