HCS SS SCS SB 255, 249 & 279 -- FEDERAL STANDARDS FOR OVERTIME
WAGES

SPONSOR:  Loudon (Muschany)

COMMITTEE ACTION:  Voted "do pass" by the Special Committee on
General Laws by a vote of 5 to 3.

This substitute re-enacts the federal overtime standards in
effect prior to the passage of Proposition B (2006) regarding the
minimum wage increase, including the exemptions for firefighters,
commissioned employees, and flex-time pay rate employees; repeals
the indexing provision that adjusts the Missouri minimum wage to
movements in the federal Consumer Price Index; and makes the
federal standards for hourly wage for employees earning
gratuities applicable in Missouri.

The substitute contains an emergency clause.

FISCAL NOTE:  Estimated Income on General Revenue Fund of
$1,193,597 in FY 2008, $1,362,643 in FY 2009, and $1,529,844 in
FY 2010.  Estimated Income on Other State Funds of $8,072,600 in
FY 2008, $8,314,778 in FY 2009, and $8,564,222 in FY 2010.

PROPONENTS:  Supporters say that the bill is necessary to correct
the changes that were made to overtime pay requirements by the
Proposition B ballot measure in the last general election.  The
change drastically increased the overtime employers pay to flex-
time employees.  The effect of the overtime change has reduced
public safety since municipalities cannot pay the huge overtime
costs for firefighters working large numbers of hours in one week
with time off the next.  Municipalities are faced with cutting
employees or not paying the overtime.  Private employers also
object to the overtime standards for commissioned employees.
Without hourly standards, employees will only work during peak
sales times; and employers cannot retain sufficient staff for
off-peak sales times.  The new overtime requirements cost the
State Highway Patrol an additional $8 million annually.

Testifying for the bill were Senator Loudon; State Highway
Patrol; Missouri Sheriffs Association; Missouri Hospital
Association; City of Harrisonville; Mike Gantner; Scott Seppelt;
Fire Chief Terry Loehrer; Missouri Ambulance Association;
Missouri State Council of Firefighters; Missouri Municipal
League; Missouri Association of Counties; James Kottmeyer; St.
Louis County Municipal League; Missouri Chiefs of Police; St.
Louis Police Officers' Association; Bruce Williams; Missouri Fire
Service Alliance; Monarch Fire Protection District; Creve Coeur
Fire Protection District; Metro West Fire Protection District;
West County EMS and Fire Protection District; and Missouri
Retailers Association.

OPPONENTS:  There was no opposition voiced to the committee.

Missouri House of Representatives
94th General Assembly, 1st Regular Session
Last Updated July 25, 2007 at 11:21 am