HCS#2 SS SB 362 -- RESIDENTIAL TREATMENT AGENCY AND CHILD PLACING
AGENCY TAX CREDITS

SPONSOR:  Stouffer (Sutherland)

COMMITTEE ACTION:  Voted "do pass" by the Committee on Ways and
Means by a vote of 11 to 0.

This substitute authorizes, effective January 1, 2006, an income
tax credit for 50% of a donation made to a qualifying residential
treatment agency or child placing agency.  A residential
treatment agency can apply for the tax credit in an aggregate
amount that does not exceed 40% of the payments made by the
Department of Social Services to the agency in the preceding 12
months.  A child placing agency can apply for the tax credit in
an aggregate amount that does not exceed 40% of the agency's
costs in the preceding 12 months for the placement of children
born in Missouri and the placement of children in the custody of
the department.  Both tax credits are fully transferable and may
be carried back three years or forward up to four years.

FISCAL NOTE:  Estimated Effect on General Revenue Fund of an
Income of $0 to a Cost of Unknown in FY 2006, FY 2007, and FY
2008.  Unknown costs could exceed $100,000.  No impact on Other
State Funds in FY 2006, FY 2007, and FY 2008.

PROPONENTS:  Supporters say that the bill is a unique way to fund
the care for children.  There are 1,200 to 1,400 children in
residential treatment at any one time.  A donor can get a federal
and state tax deduction for the donation and also receive the
state tax credit.

Testifying for the bill were Senator Stouffer; Missouri Baptist
Children's Home; and Missouri Children Agencies.

OPPONENTS:  There was no opposition voiced to the committee.

Karla Strobel, Legislative Analyst

Missouri House of Representatives
93rd General Assembly, 1st Regular Session
Last Updated August 25, 2005 at 1:21 pm