Missouri Times - March 12, 2018

1

The Missouri Times

MARCH 12, 2018

www.missouritimes.com

SEMO SMELTER TO RE-OPEN

HEMP BILL ADVANCES Approval given as Munzlinger’s bill gains momentum.

PAGE 5

PAGE 10

PAGE 6

INVESTIGATION BEGINS

www.themissouritimes.com

2

Missouri Times The

129 E. High Street, Suite D, Jefferson City, MO | 573-746-2912

pressreleases@themissouritimes.com

@MissouriTimes

Scott Faughn, Publisher | scott@themissouritimes.com | @ScottFaughn Rachael Herndon Dunn, Editor | rachael@themissouritimes.com | @RachaelHernDunn Benjamin Peters, Reporter | benjamin@themissouritimes.com | @BenjaminDPeters Alisha Shurr, Reporter | alisha@themissouritimes.com | @AlishaShurr Riley Herigon, Intern | riley@themissouritimes.com

EDITORIAL Rep. English loved public service

By Scott Faughn, Publisher I’ve had a bit of a heavy heart the past few days with the passing of former Rep. Keith English. Keith was a friend of mine. We talked politics countless times and raised a glass more than we probably needed to. It never mattered that we disagreed, I liked him and I respected him.

The one thing I will always remember about Keith is that he loved being a state representative. Most people appreciate the honor, but Keith loved the job in a unique way. He loved the Capitol, the people who work there, and pretty much everything about public service.

Unlike some who pretend to be put upon by serving in state government, he openly loved the privilege.

I remember him remodeling every office he had in the House himself. He wanted his office to be as nice as possible for the people who came to visit him. He was also one of the most generous people you could know.

His four years in office was spent serving in the minority, but he was known for taking a key vote on a tax cut, being loyally pro-labor, and being one of a few pro-life legislators in the Democratic caucus.

If there is one politician who would give you the shirt off his back, it would be Keith.

He was always a confident guy who appreciated women, but that came to an abrupt halt when he met his bride, Kelly. Keith loved that woman.

There is no way to know why Keith did what he did. I find myself typing this more than I would like, but I wish he would have called me. I’m ashamed of myself that he didn’t feel like he could have.

As these tragic events keep happening the overwhelming feeling inside me is that you wish you could have had a few seconds to talk to the person, tell them you care about them, and try and help.

Yes, I realize we’re in an age where demagogues attacking the legislature seems popular, but I think it’s cruel to disregard the impact transitioning from the demands of serving in the legislature back into the life of a private citizen.

I understand the demagogue would throw a fit at anyone feeling any empathy for a member of the General Assembly, but serving in the legislature is a radical change in many people’s lives who get elected. When that service is over it is a reasonable human emotion to struggle with the transition back to the life you lived before.

Maybe something to come from this tragedy is not to forego criticizing our leaders, but maybe while critiquing them remember these are real people with the same human emotions all of us have.

Give Hawley a chance

A few other things to wrap up an amazing week in Missouri politics.

Look, I understand those who are up in arms about Attorney General Josh Hawley’s investigation into the Governor and his staff ’s deleting government records with their Confide app.

Yes, it was not his best day. While other scandal-ridden politicians like Richard Nixon have exerted executive privilege to hide their actions from investigators, executive privilege doesn’t exist in Missouri law.

That aside, I do not believe that its a coincidence that the day he announces the failure of his investigation into the Confide app is the day he announces his investigation into the Governor’s campaign’s use of the assets of his charity for political purposes.

I think Hawley has taken his job seriously and hasn’t done anything to embarrass the office. I’ve been wrong before, but I do not believe that he is simply a partisan stool pigeon.

It seems to me that the failure of his Confide investigation may be more about how weak Missouri law is on transparency issues. However, the law isn’t weak here. It’s pretty clear, and there isn’t one Missourian that believes that Danny Laub is the unethical patsy the Governor claims he is.

In fact, the first time I was told about Greitens using this charity’s assets for political purposes was by people currently serving in Governor Greitens’ administration. The truth is out there, and I’ll be the first to say I was wrong if the Attorney General proves too partisan, too delicate, or just too incompetent to go after it.

There is no question the state of Missouri is on her knees right now, embarrassed and ashamed by her state government. She desperately needs a leader with the courage to kick down that basement door and come to her rescue. Some may, but I wouldn’t count Josh Hawley out as that leader just yet.

Couple other items: We are always asked to look at other growing states and copy them. Well, it’s getting odd that lots of movies want to be shot about Missouri, but aren’t shot in Missouri. The people who know say it is because we let the film tax credit expire. Well, if we are wanting to model Missouri after growing states like Georgia and North Carolina, why don’t we renew our film tax credits too? Or is that argument only valid for partisan issues?

Congrats to Senator Bill Eigel - the Senator from Tax Cuts’ new proposal is gaining support throughout the business community. It’s always funny to me how not for profits think they know more about creating jobs than business owners who have actually created jobs.

Business owners like Bill Eigel.

3

The Missouri Times

TWEETS OF THE WEEK

Highlights in 280 characters or less.

Jack Suntrup @JackSuntrup Bunch of reporters camped outside Jeff City PD for the first Greitens hearing. No one knows what’s going on inside. It’s cold. No action. Who am I? Why am I here? #moleg

PHOTO OF THE WEEK

Rob Vescovo @RobVescovo I hired a woman as my Chief of Staff, and she is paid more than any man that has ever held the position. She was hired and her pay was determined based on her qualifications and merit. #moleg Sarah Unsicker @SarahUnsicker The Missouri House of Representatives just took a vote to require equal pay for women.

89 Republicans voted against it. #moleg Sean Grove @seantgrove @jwinschel and I donated our daughter’s outgrown diapers for the first time this past weekend.

Learned about these bc of passionate advocacy from @ jeremylafaver in #moleg

HOT LIST

MOVIE NIGHT It’s only suiting that the first movie the paper would sponsor would be The Ideas of March the day before the Ides of March. I don’t think we have a subscriber named Brutus, so come on down early for a meet and greet and a good movie for a great cause.

Please join the Missouri Times Wednesday, March 14 at 6:30 at Cork for a reception and special screening at Capitol City Cinema

of the pop political movie where George Clooney runs for president and, obviously, Ryan Gosling is his campaign manager.

CALEB ROWDEN The Boone County Senator started off last week with a stellar prescence on This Week in Missouri Politics, followed by a week of momentum on his sports betting bill. Looks like a good week for him in the leadership race.

ROB VESCOVO Even former detractors are coming around and applauding the MFL as the leader they hoped he would be.

The more people talk, the more he has risen up as the strong voice many in the House were looking for.

MEDICAL MARIJUANA It looks like medical marijuana may be coming to Missouri one way or another this year as the IP race has truly begun.

4

www.themissouritimes.com

SUNDAY MORNINGS KANSAS CITY - 38 THE SPOT AT 10:00 A.M. ST. LOUIS - ABC 30 KDNL AT 11:00 A.M. SPRINGFIELD - MCN 22 AT 11:00 A.M. MID-MISSOURI - MCN 22 AT 11:00 A.M.

STREAM ONLINE AT TWMP.TV

5

The Missouri Times

Senate gives initial approval to Munzlinger’s industrial hemp bill

by Alisha Shurr

alisha@themissouritimes.com

The Senate is moving forward with Brian Munzlinger’s bill legalizing the cultivation of industrial hemp in the Show-Me State.

SB 547 would establish an industrial hemp pilot program, which would allow the state to issue licenses for industrial hemp cultivation and processing and allow the products to be marketed.

The bill takes advantage of a provision within the 2014 U.S. Farm Bill that allows states to pass their own legislation regarding hemp. “[Hemp] could be an economic engine for Missouri,” said Sen. Jamilah Nasheed.

There certainly is a lot of potential for the product that can be processed into paper, rope, concrete, and hundreds of other productions.

And there are potential economic benefits to

the crop, as it would give farmers another crop when commodity prices have declined in recent years.

Sen. Denny Hoskins introduced an amendment that would protect retailers if pesticides and herbicides were improperly used in the cultivation of hemp.

“Basically, if someone sells a product that is misused, the seller wouldn’t be held liable,” Munzlinger said. Currently, there are no approved pesticides or herbicides for industrial hemp.

The amendment was adopted by a voice vote.

In the legislation, it would limit statewide cultivation acreage to 200 acres. Sen. Bill Eigel called this a “fraction of the total till-able ground” and an “unreasonable restriction.”

As such, he filed an amendment that increased the statewide limit to 2,000 acres. A

minimum of 10 acres and a maximum of 40 acres per license holder was set with the bill.

“Generally don’t start with the moon,” Munzlinger said. “Let’s get this off the ground.”

Currently, there are 34 states that have legal-

Kentucky as an example as they are one of the leaders in the cultivation of the crop.

In their first year, less than 40 acres of Kentucky farmland was planted in industrial hemp and as the years have progressed they increased the acreage.

“These pilot programs take off relatively slow,” said Onder.

The acreage limitation in Missouri is tied to the 2014 Farm Bill. This prevents the legislator from having to alter it as the need arises and set’s guidelines while the program gets off the ground.

The legislation needs another vote by the Senate before moving to the House, who have already passed their own version of the bill.

“[Hemp] could be an economic engine for Missouri,” said Sen. Jamilah Nasheed. ized industrial hemp, with 19 activity grow the crop. The Show-Me State is really looking to

House sends industrial hemp, homeowners’ association bills to Senate

by Alisha Shurr

alisha@themissouritimes.com

The House sent several bills to the Senate including a bill regarding industrial hemp and a bill preventing homeowners’ associations from banning political signs.

In a bipartisan effort, the House voted 1414 to legalize the cultivation of industrial hemp in the Show-Me State.

HB 2034, sponsored by Rep. Paul Curtman, takes advantage of a provision within the 2014 U.S. Farm Bill that allows states to pass their own legislation regarding the cultivation of industrial hemp for commercial, research or pilot programs.

“This is a substantial step in economic freedom,” Curtman said during perfection of the bill.

Under the Controlled Substances Act of 1970 — which classified all forms of cannabis as a Schedule I drug — it is illegal to cultivate industrial hemp in the United States. However,

it is not illegal for hemp to be imported into the country.

Supporters say that allowing Missouri farmers to grow hemp will help boost the economy, open up the hemp market, bring jobs to the state and give agriculturalists another cash crop.

Those backing the bill point out that hemp isn’t marijuana. While the two come from the same cannabis species, Cannabis sativa, but are from different subspecies making them “scientifically and genetically different.” Hemp is bred specifically for fiber and oil use and, with less than .3 percent THC, is non-psychoactive.

“You can smoke it all day and you won’t get high,” Curtman pointed out, “you will only get sick.”

The close relationship between hemp and marijuana worried Rep. Allen Andrew, who voted against the bill. He pointed out that a small amount of marijuana is far more profitable than hemp. When both plants look similar, and it is difficult to tell the difference between the two, Andrew wanted to know what

is stopping farmers from planting a portion of their field with the more lucrative crop?

Planting the two crops close together would render both crops useless, according to Curtman. The close relationship between hemp and marijuana enable the plants to cross-pollinate, which would ruin both crops.

Andrews had a list of reasons he was opposed to the legislation, saying hemp would be difficult to police, costly to enforce and is “can of worms we can not put a lid back on.”

The House also approved a bill that would prohibit homeowners’ associations from outright banning political signs.

Rep. Kurt Bahr’s HB 1887 is a “simple bill dealing with freedom.”

“I believe in freedom, I believe in the first amendment freedoms,” Rep. Jay Barnes said during perfection. “This gentleman’s bill is a wonderful way to protect our first amendment freedoms to political speech.”

The legislation allows homeowners’ associations to adopt reasonable rules regarding political signs such as time, place, and size.

However, an outright ban on political signs is not allowed. The association cannot remove or impose a fine without written notice of a reasonable rule violation.

During perfection, one Democrat questioned who defined “reasonable” and if leaving it up to homeowners’ associations was too much leeway.

Supporters, which include the ACLU of Missouri, say the bill enacts rules similar to existing First Amendment doctrine.

The bill passed in a 137-5 vote.

Lyle Rowland’s HB 1572, which modifies provisions relating to driver’s license for those who are deaf or hard of hearing also was sent to the Senate.

In a 144-1 vote, the House voted to enable individuals who are deaf or hard of hearing the ability to have a notation on their driver’s license.

HB 1366, which allows city buses to transport students to schools, was also passed after the PQ was moved to end debate.

www.themissouritimes.com

6 THE GENERAL ASSEMBLY

House investigation into Greitens begins

by Benjamin Peters

benjamin@themissouritimes.com

Anyone hoping for fireworks or any juicy news or revelations coming out of the House Special Investigative Committee’s organizational meeting on Tuesday night must’ve been severely disappointed. In the simplest of terms, Rep. Jay Barnes sought to make it clear that the committee’s stance to reporter inquiries was, and would from that point on, be “no comment.”

In a less-than-four-minute meeting, the committee investigating Gov. Eric Greitens unanimously voted to hold a closed meeting at the Jefferson City Police Department on Wednesday morning, with no discussion from the committee.

Barnes said that their goal was to uncover facts, and that keeping all of the proceedings open would undermine those attempts. He said that they had a responsibility to protect the identities of witnesses testifying, and asked reporters to respect their privacy.

With more than ten TV news cameras in the hearing room, Chairman Barnes made it very clear that media members would need to work with Trevor Fox in House Communications to make their requests, but also told the media that one pool camera would allowed for stations to access for footage in future hearings.

He also said that at the end, the panel will issue a public report and records after it has finished its work, but also cautioned reporters that efforts to garner information from committee members would be a wasted effort.

“You are not going to get any comment from me,” Barnes said. “You are wasting your time trying.”

The Missouri Times

7 THE GENERAL ASSEMBLY

‘Asbestos Bankruptcy Transparency Act’ perfected Barnes-led opposition falls on deaf ears in Republican-controlled House

by Benjamin Peters

benjamin@themissouritimes.com

The Missouri House of Representatives has given initial approval to a bill seeking to modify statute in regard to tort actions in asbestos cases.

Rep. Bruce DeGroot’s bill, HB 1645, or the “Asbestos Bankruptcy Transparency Act,” as it has been called, is his attempt to address issues related to damages in asbestos cases. It is similar to the bill he filed in the 2017 legislative session, but has some subtle changes.

“This bill has changed from last year,” DeGroot said of the bill. “It’s a fair bill, it prevents double dipping and ensures that every plaintiff has their day in court.”

In short, the bill intends to prevent a plaintiff from filing an asbestos claim against a solvent defendant while not filing or disclosing claims against defendants who are deemed insolvent and working with bankruptcy trusts.

It prevents a “double recovery” or “double dipping” of compensation, while trying to ensure that the compensation is fair while allowing the trusts to remain solvent for a longer period of time.

DeGroot also says that the provisions regarding discovery will help defendants in their attempt to determine who is responsible for

the disease.

But along the bill’s path to perfection, it has taken several turns, with opponents hitting it from a number of sides, the most recent one being a letter from the Kaufman Fund, which called on the General Assembly to vote against the bill.

Opponents of the bill maintain that it will delay cases because of the provisions providing an increase to discovery as well as motions to stay. Furthermore, they argue that the requirement to file a trust claim is complicated and time-consuming, putting an unnecessary burden on the claimants.

Speaking with Rep. Kevin Corlew on the bill, Rep. Curtis Trent asked if anything in the bill would increase costs or delays, to which Corlew responded it would not.

The two men also discussed the legal remedies left to those affected by mesothelioma, with Corlew saying that the bill would not prevent anyone from filing to either of the two tracks. Under current law, they have two routes: the bankruptcy trust route, the second is suing, where applicable, a non-bankrupt company.

Both the opponents and supporters of this bill have been preparing for the showdown for weeks, but once the bill hit the floor, Rep. Jay Barnes took the center stage.

Barnes wasted little time before launching into his arguments against the bill, telling his colleagues that those affected by asbestos were basically facing a death sentence.

“It’s not about double dipping, or protecting the trust funds,” Barnes continued. “The purpose of the bill is to prevent people who have been injured in this way from getting to a jury.”

Barnes says that the best evidence in an asbestos case is the plaintiff, and when they die, that goes away.

He spoke about some of the provisions of the bill with which he took exception, saying that under the bill’s language, it required a claimant to file everything in 30 days before even exercising their constitutional rights.

“Nowhere else do we require a person to waive attorney-client privilege,” Barnes argued, telling his colleagues that the process required plaintiffs to begin from a disadvantaged starting point. To illustrate this, he shared the viewpoint of how a firefighter affected by asbestos would have to proceed.

“In order to find out what the underlying trusts are, they have to file a lawsuit to get discovery to find out which products in the fire even were,” Barnes said. “You don’t get discovery answers for 90-120 days at best.”

All of that led to Barnes’ amendment to

the bill, which he titled the “Goose-Gander Amendment.”

“I took everything in his bill that applies to the complainants, and I applied the same rule to defendants in the case,” Barnes said. “It applies the same to defendants as would be applied to plaintiffs who will die an excruciating death.”

Rep. Dean Plocher brought up the same scenarios, saying it also applies to contractors, workers, taking a significant amount of time to bring everything forward through discovery.

“Isn’t that what they want?” he asked Barnes, referring to the companies. “The cards are stacked against the dying victim, are they not?”

“Exactly,” Barnes responded. “This is only a burden on the dying.”

“What we’re saying is we would rather have our constituents die then get their day in court?” Rep. Steven Roberts asked Barnes.

Barnes replied it was a scenario that pitted Missouri citizens against out-of-state defendants.

“A lot of these companies… they’re not Missouri companies,” Barnes said. “They’re not Missouri companies.”

At that point, at 4:42 p.m., Majority Leader Rob Vescovo moved the previous question, and the amendment failed with a 59-88 vote.

Shortly after, the PQ was once again used to force the vote on the bill itself, which passed with a voice vote.

House committee hears three intoxicating liquor bills

by Alisha Shurr

alisha@themissouritimes.com

Three bills regarding alcohol were presented to the House General Laws Committee on Tuesday night. The legislation included allowing underaged adults who work of a licensed retailer to carry liquor to a customer’s vehicle, allowing retailers to transport products to and from a warehouse, and requiring intoxicating liquor to physically come into the possession of a licensed wholesaler.

Rep. Jack Bondon’s HB 2364, which he calls the Three-Tier Verification Act, ensures that wholesalers uphold their responsibilities under the intoxicating liquor distribution system.

“My three tier verification bill simply prevents wholesalers from neglecting their responsibilities,” said Bondon. “The bill has nothing to do with the producer or the retailer. This bill is about the wholesaler being held accountable for their job in the three-tier system.”

The three-tier distribution system — which consists of the producer, the wholesaler, and the retailer — has been operating for nearly a

hundred years in the alcohol industry to ensure regulatory compliance and product safety.

It was set up this way because each tier has its own specific responsibility to ensure compliance and to verify the quality and safety of the product, according to Bondon.

“Until very, very recently in our state, the wholesalers operated under the understanding that in order to meet their obligation as a wholesaler, product always went to the wholesaler’s warehouse,” Bondon said. “However, some wholesalers have begun to skirt their responsibilities by allowing the original producer to ship the product directly to the retailer and the wholesaler simply pre-registers the product and pushes out an invoice to the retailer. They have never seen the product and therefore they could have no possible way to verify the number of cases, the items, what’s in the shipment, the quality of the products, [and other obligations].”

Bondon’s bill requires that the wholesaler, or the middle tier of the system, comes into physical possession of the product. According to Bondon, the vast majority of wholesales do this.

“It strikes me as odd, that what you are saying as the assumed obligations of the second tier would have never been written down that they had to do these things,” Rep. Jon Carpenter said. “We have the whole three-tier system but no one ever thought to say that the second tier must do x, y, and z.”

“It is certainly clear under both law and rule, that they are to verify the product is registered with the state, that the number of cases being shipped is the right number of cases, that the item being shipped is the right item being shipped,” Bondon responded.

Carpenter wondered then wouldn’t the wholesale be violating the law by not inspecting the product. In his opinion, Bondon thought so.

“I think a crafty lawyer could argue that they registered it with the state, they think it is the right number of cased, they are sure it is the right product,” Bondon said.

His bill will make it clear that the wholesaler is to take physical possession of the product, unloads the product, and fulfills their obligation. It was pointed out several times that the vast majority of wholesalers do this, and it has

been in statute since 1993 that beer producers be required to do this.

Rep. Lyndall Fraker presented legislation that would allow retailers to transport products to and from a designated central warehouse.

“HB 2409 allows retailers of intoxicating liquors to warehouse and self-deliver products to and from a central warehouse to their owns stores within the state,” Fraker said. “This applies to retail stores that have multiple Missouri location that sell wine and spirits, this bill does not involve beer.”

This allows retailers to manage and control their liquor storage, according to Fraker. The bill just removes the one county line regulatory striction current in place.

“It does not impact the three-tier system,” said Jeff Brooks, a lobbyist for Walmart. “The warehouse and the store has to be controlled by the same retailer.”

The committee also heard testimony on Rep. Craig Redmon’s HB 2258, which allows a person at least 18-years-old who works in a business licensed to sell intoxicating liquor to carry any liquor purchased to a customer’s vehicle.

www.themissouritimes.com

8 THE GENERAL ASSEMBLY

MLB, casinos back differing sports betting bills

by Alisha Shurr

alisha@themissouritimes.com

There are several bills filed in the General Assembly that would legalize sports betting, but SB 1009 and SB 1013 seem to be getting the most attention. One is backed by Major League Baseball, along with the Kansas City Royals and St. Louis Cardinals, the other is backed by Penn National Gaming and the Missouri Gaming Association.

While both pieces of legislation have the same intent, legalizing sports wagering, the bills differ on taxation, regulation, and a fee to the sport’s governing body.

“If sports betting is going to become reality in Missouri, we fully support Senate Bill 1013,” said Bryan Seeley, ‎senior vice president of Investigations & Deputy General Counsel for ‎Major League Baseball. “It installs some of the strongest consumer protection and sports integrity requirements found in any betting market, and it is the only bill under consideration in Missouri that protects our fans and our games.”

Under the bill presented by Sen. Denny Hoskins, the governing bodies of sports would receive 1 percent of all bets. This administrative fee pays for the sport’s governing body’s cost of maintaining the integrity of its sporting events.

“Casinos are going to be able to profit from the product we put forward,” said Seeley. “It’s reasonable for casinos to compensate the leagues for the additional costs we will incur from increased integrity monitoring and investigations and the huge risks our business will be taking on – as any scent of scandal will damage us, not the casino – and to compensate us for the casinos benefiting from our product, which is simply a fair business practice.”

The casinos commissioned a report that notes after paying taxes to the state and after

remitting a fee to the sports leagues, casinos are set to make anywhere from $130 million to almost $400 million in revenue from sports betting, a major new windfall the casinos will enjoy while taking none of the risks the sports leagues will endure, according to Seeley.

Jeff Morris, vice president of public affairs & government relations for Penn National Gaming, said casinos will be working on thin profit margins concerning sports waging. 95 percent of all money wagered at a sportsbook is paid to winning bettors, leaving 5 percent to pay taxes and other expenses.

He used Nevada as an example why the 1 percent fee would not be economical for casinos. Earlier this month, bettors in Nevada placed $158.6 million in bets on the Super Bowl, but the sportsbooks’ total win only amounted to $1.1 million, a hold percentage of just 0.7 percent. Under the leagues’ proposal, sportsbooks would have to pay the leagues one percent of $158.6 million, or roughly $1.6 million, more than wiping out all income from the event.

“The most egregious provision is the socalled ‘integrity fee’ that would pay the leagues 1 percent of the total amount wagered, or roughly 20 percent of revenues after winnings are paid out to bettors,” Morris said. “No jurisdiction in the world has an integrity fee. Sports wagering has operated successfully for close to 70 years in Nevada without one.”

The integrity fee is the main provision in Hoskins bill the Missouri Gaming Association is opposed to.

“The regulatory framework is going in the right direction, we may differ on some of the details, but we do agree it needs to be regulated by the [Missouri] Gaming Commission,” said Mike Winter with the Missouri Gaming Association.

According to Kevin Uhlich, senior vice

president for the Kansas City Royals, SB 1013 “contains the necessary, powerful combination of extremely strong integrity protections and mandated requirements for casinos to work closely with our league to monitor betting for potential manipulation.”

Hoskins’ bill also creates penalties for those found guilty of match-fixing and any action associated with the corruption of a sporting event. No athlete, coach or official would be able to bet on their own game. It also sets requirements for real-time recordkeeping and data sharing, age verification, and combating false or deceptive advertising.

PNG raises concerns with two provisions they refer to as “intrusive”: the ability for sports leagues to opt-out of forms of betting and the use of the league’s’ official data.

“We oppose the leagues’ unilateral authority to deny video and game data to any entity or person or restrict, limit, or exclude wagering on sporting events by sports book operators, with no requirement to justify or explain these actions,” said Morris.

He calls the provision that sportsbook operators only utilize data and associated video provided by the leagues, “an attempt to create a new revenue stream for the leagues.”

“They already stand to benefit greatly from increased viewership of their product, as has been the case overseas where sports betting is legal, with soccer’s English Premier League: its franchises are among the most lucrative in all of sports,” Morris said.

Instead of Hoskins’ bill, PNG and the Missouri Gaming Association are supporting Sen. Caleb Rowden’s SB 1009, which is built upon the framework of Nevada’s statute.

“It’s a bill we think does put a proper regulatory framework in place, it does require that any of the sports waging be done through a licensed casino, and the tax rate of 6.25 percent,

we believe, is a more realistic tax rate for sports wagering,” said Winter.

“It includes reasonable tax rates and fees so that Missouri has the opportunity to maximize the revenue potential of sports wagering. This bill also includes significant provisions to ensure the integrity of sports betting and gives the Missouri Gaming Commission complete control of regulatory oversight, which it has done successfully for 25 years,” Morris said.

But MLB baseball doesn’t feel Rowden’s bill offers the same strike regulations and protections.

“Senate Bill 1009 does not even come close to meeting the high standard necessary to shield baseball and its fans from potential corruption,” Seeley said. “For instance, if Senate Bill 1009 were to become law, a player could walk into a casino and place a bet on a game he is playing in later, and the casino would not be obligated to report this to us. Senate Bill 1009 and its lack of safeguards, lack of required reporting, lack of data collection and lack of required collaboration with the sports leagues would open the market to fraud and abuse.”

The MLB is not advocating for the passage of sports betting legislation but wants to ensure that consumers are protected and the integrity of the game is safeguarded.

PNG is pushing for a fair and viable sports wagering law will also reduce participation in illegal, unregulated, and untaxed operations.

“It’s important to note that sports betting can become an attractive amenity at the state’s casinos but should not be expected to drive significant gaming or tax revenues. It will help drive visitation to the facilities where customers may purchase additional food and beverages, stay in a hotel room, or play other casino games,” said Morris.

Both Senate bills have had a hearing, but no further action has been taken.

House perfects Justus’ prevailing wage repeal bill

by Benjamin Peters

benjamin@themissouritimes.com

The Missouri House of Representatives is moving forward with proposed changes to the state’s prevailing wage, though not without some bump and grind along the way.

Rep. Jeff Justus’ bill, a House Committee substitute for HB 1729, 1621, 1436, seeks to repeal the state’s prevailing wage law, though other bills filed in the House simply seek to modify it.

Supporters of the bill argue that by repealing the law, the market would set the wage rate, which in turn would lead to more qualified and competitive bids for public works projects.

“This is not a kick for anybody, this is for the taxpayers, those who are paying,” Justus said.

A number of representatives rose on Tuesday afternoon to debate the bill, with members of both parties rising in opposition.

Rep. Doug Beck spoke in defense of prevailing wage, saying that the proposed bill would push down wages for every worker in the state, and calling it “foolish.”

“You are telling them you want them to make less money,” Beck said, calling it a vote to cut their pay.

He said that by removing the prevailing wage, Missouri was not gonna get a better deal, that eliminating the prevailing wage had not been proven as an effective change anywhere.

Opponents of the legislation say that the issue is with the law, as it does not require contractors to report the wages paid to their work-

ers, which leads to incomplete or compromised data being used to set the wage rate.

“If you don’t want to make it mandatory to report, that’s just laziness to me,” Rep. Karla May said. “This bill is not solution. All it does is drives wages down and open the door for discrimination.”

Speaking on the issue of mandatory reporting, Reps. Dan Houx and Rocky Miller spoke from their perspectives as businessmen.

“Do you know how else we end with a true wage? We get rid of prevailing wage,” Rep. Rocky Miller said.

Some argued that the requirements for reporting wages is complicated and complex, oftentimes keeping contractors from taking prevailing wage jobs or reporting wages.

Democratic Reps. Mark Ellebracht and Doug Beck argued that the reporting process wasn’t too complicated and offering up proposed solutions.

“Rather than require the reporting, we incentivize it,” Ellebracht suggested. “Imagine a General Assembly that respects an honest day’s work.”

He pointed to the state of Indiana as an example, who repealed their prevailing wage, which he said showed little change in terms of competition, but instead raised the cost of projects by $60,000. He then called for a roll call vote on the bill itself.

At 3:42 p.m., Vescovo raised the previous question, bringing the bill to a vote.

The bill was perfected with a vote of 86-63.

9

The Missouri Times

THE GENERAL ASSEMBLY

House Committee hears Haahr’s tax bill

by Alisha Shurr

alisha@themissouritimes.com

The tax plan presented by Rep. Elijah Haahr to the Ways and Means Committee on Monday appears to be a solid start in the House. In the standing-room-only hearing that lasted two hours, HB 2540 was discussed and analyzed by a multitude of stakeholders.

The Speaker Pro Tem called the legislation his answer to what the tax code would look like after a redesign. His answer also happens to be 429 pages long with a 59-page fiscal note.

“I began this exercise by looking at three different goals: building a tax code that would spur economic activity in the state, promote balanced disparity across the board, and generate revenue for our core state functions including infrastructure and transportations,” Haahr said.

During the hearing he said he was open to making changes, calling the bill a starting point for House discussions. The Governor has proposed a tax plan and the Senate is moving forward on a bill championed by Sens. Bill Eigel and Andrew Koenig.

The legislation Haahr presented sets itself apart from other tax plans in the General Assembly by the proposed income tax rates. HB 2540 would reduce the state’s highest personal income tax rate from 5.9 percent to 5.0 percent and the corporate income tax from 6.25 percent to 5.0 percent.

“We would make our income tax rate the same as our business tax rate, thereby avoiding people trying to game the system by changing the way they earn money,” said Haahr. “Whether you are a business or an individual, you would be taxed the same way.”

These provisions will make Missouri more competitive, according to Matthew Panik who is the Vice President of Governmental Affairs at Missouri Chamber of Commerce and Industry Currently, Missouri has 10 different tax income brackets. With this bill, two brackets would be eliminated and then the brackets would be adjusted each year based on inflation.

It was pointed out that the current tax brackets have never been adjusted for inflation, which is why the top tier currently starts at $9,000. As such, Rep. J. Eggleston wondered if going to a flat tax would be a way to go. Haahr was not opposed to the idea.

With cutting taxes, it means less general revenue generated by taxes, a point the concerned some. A few testifying against the bill thought reducing revenue could have a negative impact on education and children.

“Basically, when you don’t have revenue, the money doesn’t go into education,” Jim Moody with the Civic Council of Greater Kansas City said. The civic council is an organization comprised of the CEOs of major corporations.

“Our CEOs think the workforce is not adequately educated in Missouri and that is where

they get their employees from. They would like to see more money go into elementary and higher education,” said Moody.

Kids Win Missouri voiced concern that the hit to general revenue would have a negative impact on children in the state.

A point of concern when cutting taxes is making sure Missouri does not become the next Kansas. But Haahr points out that Kansas did drastic cuts without including a provision to generate revenue, but his plan does.

The legislation would have Missouri join the Streamlined Sales Tax agreement, which would phase out the federal income tax deduction for those with more than $150,000 in income, would eliminate the circuit breaker tax credit for renters, would eliminate the sales and use tax allowance, would eliminate the three factor apportionment for corporations, and increase vehicle fees.

A key component of the bill is generating revenue for road and bridges in Missouri.

Haahr’s bill does this by putting vehicle user fees in line with inflation and other states.

Haahr noted the state’s current vehicle license and registration fees were put in statute in 1984, and have not changed in more than 30 years.

His bill would update fees from their 1984 value to present day value.

“When you renew your driver’s license over a six-year period of time, it’d be about $7 [more],” said Haahr. Which calculates out to be just over an additional dollar a year, according

to Haahr.

“The one part that concerns me, you have in there that every three years moving forward, there would be another calculation and another fee raise automatically,” Eggleston said. The adjustment would be based on inflation.

The three-year readjustment was a provision Haahr would be willing to part with, along with a fee increase on vehicle inspections.

The fact that the bill goes the route of increasing vehicle fees to fund transportation infrastructure instead of a gas tax sets it apart from the other tax plans.

“The gas tax, in my opinion, is kinda a relic of a bygone era,” Haahr said. “It’s just not a good generator of funds to fuel roads and bridges in the state.”

Increased fuel economy in vehicles and electric vehicle not even using gas creates a problem with using a gas tax to generate revenue, according to the bill sponsor.

It was pointed out, that a gas tax puts the burden of funding the state’s transportation infrastructure on everyone who uses it, including out of staters. On the other hand, user fees put the entire burden on Missourians.

The provision in the bill enabling Missouri to join the Streamlined Sales and Use Tax Agreement has business interests split. According to Haahr is would put Missouri-based retailers on equal footing with online stores.

Streamlining would put Missouri’s definition in line with 23 other state — six which

board Missouri. While the Missouri Chamber of Commerce and Industry is in support of joining the agreement, the Missouri Retailers Association opposes this part of the bill saying it will add complexity.

“If you took the Streamline part out of this, which I think is only a $10 million gain to the system, we can just wait on the U.S. Supreme Court to decide on the case that is before them now and may end up getting all of the benefit and none of the risk,” said Ray McCarty, president of Associated Industries of Missouri, who found some technical issues within the Streamline provision in the bill.

Eliminating the sales and use tax allowance as a way to generate revenue was also a point of contention. Under current statute, a vendor is allowed to retain 2 percent of the amount of sales or use tax to the state if the vendor timely remits the amount due on or before the due date.

Several who testified for information purposes — such as the Missouri Restaurant Association and the Associated Industries of Missouri — spoke of the necessity of maintaining the tax allowance.

“That is the only compensation the state gives to retailers and employers who are filling out all the forms,” said McCarty. “It is also compensation for them acting as tax collection agents for the state. And very often if they make a mistake in how the taxes are collected they have to pay out of their own pockets.”

The committee took no action on the bill.

10 EXECUTIVE BRANCH

www.themissouritimes.com

Legal defense fund for Greitens created

by Benjamin Peters

benjamin@themissouritimes.com

Should Gov. Greitens resign?

New polling shows voters think so

by Benjamin Peters

benjamin@themissouritimes.com

A new set of polling conducted by The Missouri Times shows that roughly half of Missouri’s voters have an unfavorable opinion of Gov. Eric Greitens, and more think he should step down from office.

A survey of 868 likely Missouri general election voters in 2018 shows that 27 percent of those polled had a favorable opinion of the embattled Republican Governor, who has been indicted on a charge of felony invasion of policy. But 51 percent of those polled cited an unfavorable opinion, and even more noteworthy, 53 percent of those same polled citizens said they believed Greitens should resign from office. 33 percent said they did not believe he should step down, while another 15 percent said they were unsure.

Of those polled, 52 percent of the women asked whether their opinion of the Governor was favorable said it was not, compared to a nearly equal percentage of 50 percent of men who also cited unfavorable opinions.

51 percent of Republicans still said they had a favorable opinion, while just six percent said the same. 76 percent of Democrats and 27 percent of Republicans held an unfavorable opinion, along with 55 percent of independent voters.

The margin of error for this poll, conducted between February 25 and 26, is +/- 3.3 percent.

The poll also took a closer look by turning

to voters in Senate District 17, one of the last true purple districts in the state and the site of the next special election.

In the November 2016 general election, Clay County voters supported Greitens by a narrow margin, who won the county with 48.9 percent of the vote, compared to Democratic challenger Chris Koster’s 47.6 percent.

But the numbers in SD 17 seem to mirror that of the statewide polls.

Of the 560 likely voters surveyed, with a +/- 4 percent margin, once again, 27 percent showed favor to Greitens. Similarly, 50 percent said they were unfavorable, with 23 percent having no opinion.

The numbers in regard to whether the Governor should resign also showed similar numbers to those of the statewide numbers, with 55 percent saying yes and 31 percent saying no.

One week later, those numbers seem to be confirmed by another poll, this time from Missouri Scout, conducted by Pulse Opinion Research.

Of 800 likely voters, 46 percent said the Governor should resign, compared to 37 percent who disagreed with that sentiment.

53 percent of those polled cited unfavorable opinions toward the embattled Governor, while 29 percent said they still felt favorably.

It marks the second set of polling in the past two weeks in which the Governor has failed to receive more than one in three Missourians’ approval.

If there’s any indicator that the Governor is preparing for a long and drawn out process regarding the investigation into the allegations surrounding him, an almost assured test would be to check for a legal defense fund.

And, as it turns out, such a fund has recently been created and registered with the Secretary of State’s Office.

Documents filed on Friday, March 2, show that supporters of Gov. Eric Greitens have filed the paperwork to establish a nonprofit corporation, which is titled the “ERG Defense Fund,” with ERG referencing Eric Robert Greitens, the current Republican governor of Missouri.

Such a fund would be created in order to finance the legal costs that will be accrued by the Governor, who has been indicted on a felony charge of invasion of privacy.

The ERG Defense Fun looks to be established as a 527 organization, meaning it can raise unlimited funds from organizations, individuals, or corporations, but must register with the IRS and disclose both contributions and expenditures.

The fund lists five people on its board: Sean Droke, Director and President Ron Weiser, Director Shane Mayes, Director Tom Reedy, Treasurer Nancy Reinkemeyer, Secretary

PHOTO/FACEBOOK Droke previously served on Greitens’ campaign leadership team and on the inauguration committee.

Weiser’s listed address is from Ann Arbor, Michigan, where he serves as the chairman of the Michigan GOP. He also served as the former finance chairman for the Republican National Committee.

Mayes is the CEO of Onshore Outsourcing, and has been reported to have allowed the Republican governor to use a private jet while touring the state for his tax cut plan.

The move comes just a short while after the law firm representing the Governor in a criminal investigation hired a lobbyist to work in the Capitol.

Aaron Baker of Axiom Strategies disclosed to the Missouri Ethics Commission back in February that he is lobbying on behalf of Dowd Bennett, who is representing the governor.

Graves Garrett forms legal expense fund for the Governor’s staff

by Benjamin Peters

benjamin@themissouritimes.com

Graves Garrett, the law firm representing some members of the Governor’s Office, has announced the formation of a legal expense fund to aid in paying for legal expenses for some official staff members of the Governor’s Office.

The new nonprofit, called the Missouri Legal Expense Fund, was created on March 6 in compliance with Section 527 of the U.S. Internal Revenue Code (26 U.S.C. § 527), which makes it a tax-exempt structure.

The fund will be used to receive contributions and pay for the legal representation of official staff members of the Office of the Governor in connection with any legal inquiries, criminal charges pursued by the St. Louis Circuit Attorney’s Office, investigations conducted

by the Missouri General Assembly, or any other related inquiries, investigations or proceedings.

Graves Garrett will provide legal representation to official staff members whose expenses are paid by the fund.

The fund’s three directors are Eric O’Keefe, a Wisconsin resident and national political activist, and Missouri attorneys Terry Brady and William Greim.

O’Keefe helped to lead the legal fight against the Wisconsin John Doe investigation, launched by the Milwaukee County District Attorney against Governor Scott Walker and his political allies.

The investigation ended in a defeat for the prosecutors in the Wisconsin Supreme Court, which called the investigation “unconstitutional” and criticized prosecutors for using “theories of law that do not exist.”

O’Keefe will serve as President of the Fund.

The Missouri Times

11 EXECUTIVE BRANCH

Does the Governor have executive privilege?

by Benjamin Peters

benjamin@themissouritimes.com

The results of the Attorney General’s investigation may have vindicated Governor Eric Greitens and his office from the assertions made about their use of the Confide app, but the investigation has now raised some eyebrows about the powers of the Governor.

That’s because in the attorney general’s report, it stated that the Republican governor was not interviewed in the matter. The reasoning for this? His office was exercising the option to use executive privilege.

Loree Anne Paradise, spokeswoman for the attorney general’s office, told the Kansas City Star that the Governor’s Office asserted executive privilege before investigators were even in a position to even request an interview with Greitens.

But, that news left a number of longtime politicos and Governor Office staffers scratching their heads, wondering where the “executive

privilege” provision came from.

“I didn’t know there was such a thing as executive privilege in Missouri law,” former Attorney General’s Office veteran Chuck Hatfield tweeted.

“I searched and wished for executive privilege when I was in the Governor’s office,” Jane Dueker, former Democratic chief of staff for Gov. Bob Holden, tweeted. “I guess I should have just made it up too.”

“I searched and wished for executive privilege when I was in the Governor’s office. I guess I should have just made it up too,” Jane Dueker tweeted.

“Never heard of it either,” Brad Ketcher, former chief of staff to Gov. Mel Carnahan, replied on Twitter. ”Me either. On limited matters there was attorney-client privilege when the counsel was involved, but I never heard any reference to executive privilege,” Roy Temple, former Missouri Democratic Party chair and a former chief of staff to Gov. Mel Carnahan, tweeted.

“I recall you—and others— looking for this privilege. Maybe it’s there; maybe not.” Jim Layton said on Twitter.

The interesting part is that no one seems able to locate anything in Missouri statute discussing executive privilege. In fact, locating any mentions in Missouri Supreme Court cases, or an appeals court for that matter, seems to be near impossible. But there has been at least one instance in which a governor attempted to use executive privilege as a defense.

In 2008, former Gov. Matt Blunt cited executive privilege while asking the courts to dismiss a defamation and wrongful termination suit filed by former legal counsel Scott Eckersley. Jackson County Circuit Judge Michael Manners wrote in his ruling that allowing Blunt to use the executive privilege defense could help “mask official misconduct.”

Blunt appealed the judge’s decision in 2009, asking the appeals court to bar the defamation claim, with his legal team arguing that judicial precedent provides an absolute executive privi-

lege against alleged defamatory remarks “made in a judicial, executive, or legislative proceeding.”

In the end, that lawsuit was settled, with Eckersley receiving about $500,000 from the state without any acknowledgement of wrongdoing.

Opponents of Greitens and Hawley alike point to the fact that the Attorney General’s Office did not push back upon the issue of whether the Governor could exercise executive privilege in this matter.

“He wasn’t even willing to challenge the Governor’s ability to hide behind ‘executive privilege.’ This wasn’t a real investigation,” Meira Bernstein, McCaskill’s spokeswoman, said in a statement. “How can any of his (Hawley’s) investigations be taken seriously after this?”

In short, it means there is little in terms of legal precedence to look to in the matter, and as such, is an issue that will eventually fall on the courts to decide.

The Mission Continues distancing itself from founder

by Benjamin Peters

benjamin@themissouritimes.com

As the circle continues tightening around the embattled governor of Missouri, it seems that some of those most closely tied to Gov. Eric R. Greitens are jumping ship to distance themselves from the tumultuous times the Governor is facing.

The Mission Continues, a charity organization started by Greitens in 2007, released a letter last week following news that Missouri Attorney General Josh Hawley’s office would be opening an inquiry into the charity, and it seems that the nonprofit might not be so pleased with the Republican governor right now.

Greitens left the charity in 2014, and two years later, was elected to the office of governor, but not before questions concerning his ties to the charity arose.

The Associated Press reported in October 2016 that Greitens had raised more than $2 million for his campaign from donors or entities that had also contributed significant amounts to The Mission Continues, and obtained a charity donor list.

The Mission Continues reports that in November of 2016, it was notified by the Missouri Ethics Commission that the Greitens campaign had allegedly used a donor list for political purposes.

Greitens denied that they had been working with a donor list during the campaign.

After a complaint was filed with the Missouri Ethics Commission, and Greitens had won the general election, he settled with the com-

Read the full email online at missouritimes.com mission, acknowledging that the campaign did, in fact, receive a donor list and did not report it on a disclosure form.

As part of the deal, the campaign revised its filings to show that former campaign manager Danny Laub contributed the list as an in-kind

contribution. The campaign was fined $1,000 but only required to pay $100.

But the recent allegations against the Governor, involving an extramarital affair and alleged blackmail, as well as a probe into his office’s use of a text-deleting app, have sparked more sus-

picions, leading to several investigations and inquiries at various levels of law enforcement.

One of the latest related to the Governor is the AG’s inquiry into The Mission Continues.

“The Attorney General’s Office has an open inquiry into the charitable activities of The Mission Continues, pursuant to the AGO’s enforcement responsibilities under the consumer protection and charitable registration and reporting laws,” Loree Anne Paradise, Hawley’s chief of staff, said in an email to the St. Louis Post-Dispatch.

And since the news of that inquiry, the nonprofit has since responded with a letter.

“We want to take this opportunity to speak directly to you about concerns raised regarding the unauthorized use of our resources for Eric Greitens’ political activities. Perhaps the most disappointing aspect of the Greitens campaign’s action is the disruption it has created. It distracts from the work you and our team have done together to serve communities and veterans,” the letter, signed by Spencer Kympton, President of The Mission Continues, reads.

The letter goes to state that The Mission Continues did not “provide, nor authorize any use of, our donors’ information” to the Greitens campaign. It also says that the list in question seems to have been transmitted without their knowledge or permission.

Kympton goes on to say that they had not been contacted by the Attorney General’s Office regarding the inquiry, but “if contacted, we will work to support the attorney general’s inquiry regarding the misuse of our resources by the Greitens campaign.”

www.themissouritimes.com

12 CAPITOL CONVERSATIONS

New Madrid: Old Noranda facility reopening?

by Benjamin Peters

benjamin@themissouritimes.com

After months of waiting, Missouri’s bootheel may finally see the jobs promised as part of the first special legislative session in the summer of 2017.

On Friday, March 9, Governor Eric Greitens, U.S. Congressman Jason Smith, and Rep. Don Rone head to St. Jude Industrial Park in New Madrid for the “announcement of a job creation project.”

“We fought hard to bring quality jobs back to this community, and now I’m excited to join the people of New Madrid again for a major jobs announcement on Friday!” Greitens posted on Twitter That job creation announcement is expected to be the reopening of the old Noranda facility.

Magnitude 7 is expected to relaunch the old Noranda aluminum smelter, providing roughly 300 jobs.

A Swiss company, Magnitude 7, purchased the smelter in bankruptcy after Noranda closed in 2016, with about 900 people losing their jobs.

The loss of the smelter had a devastating effect on the area’s economy, with the average household income dropping by about $6,000 in New Madrid County.

But to get the smelter reopened, and to lure

in another steel mill, Missourians were told that a measure would need to be enacted by the legislature, allowing for large power users to negotiate lower electric rates. Ameren, the

electricity provider of southeast Missouri, was one of the first to come to the table to again negotiate utility offerings for what could, and now - would, become one of the company’s largest

customers.

The need for such legislation was apparently so dire that Gov. Eric Greitens called the Missouri General Assembly back in for a special session just one week after the end of the regular legislative session.

The Governor made headlines when he led a parade of people through the Capitol in support of the steel mill bill, plastering the doors of legislators with notes.

Much work had to be done to find language that could meet the needs of the companies and not stretch too far. One of the most significant points of the process came with an amendment from Rep. Jay Barnes, who figuratively cut the bill in half, eliminating the language in an attempt to guarantee its passage through the Senate.

And on May 26, 2017, both chambers had signed off on the bill. But, it wasn’t until June 15, 2017, that the Governor signed off on the bill. Since then, the people in the bootheel have been waiting for news of the reopening of the smelter, as well as word on whether the company seeking to build a steel mill would commit to the area.

But now, about nine months later, it seems they will be getting at least one answer, in the form of an announcement scheduled to take place at 2 p.m. in St. Jude Industrial Park.

YOU’RE INVITED TO

MOVIE NIGHT

PROTECTING WATERSHEDS Our focus on the environment extends beyond the quality of our water, guiding the role we play in protecting our environment, caring for natural resources, and acting as stewards of biodiversity.

From our enviornmental grant program to our support for river clean-ups, Missouri American Water is committed to protecting our vital water resources.

WE KEEP LIFE FLOWING

TM

THE IDES OF MARCH Wednesday, March 14, 2018 7:00 p.m.

Capitol City Cinema (beside Cork) 126 E. High St. 6:00 p.m.

Meet the Missouri Times team before the movie at Cork WE WILL ANNOUNCE OUR CHARITY PARTNER ON TWITTER MONDAY!

13

The Missouri Times

CAPITOL CONVERSATIONS

MEC could soon lack quorum due to expired terms

by Benjamin Peters

benjamin@themissouritimes.com

At a time when ethics has once again become a hot topic in the Missouri State Capitol, the one commission tasked with ruling on ethics violations and rules in the Show-Me State may soon be unable to do so.

That’s because the Missouri Ethics Commission has three members with terms set to expire.

Bill Deeken, a Republican from Jefferson City, and Democrats Eric Dirks of Kansas City and Nancy Hagan of Springfield all have an expiration of the terms scheduled on March 15, 2018.

“Their four-year terms are expiring on March 15th,” MEC Director James Klahr said.

“Under our statute, which is somewhat unique,

St. Louis officially suspended from housing program due to SB 43

by Benjamin Peters

benjamin@themissouritimes.com

St. Louis has officially been suspended from participating in the Fair Housing Assistance Program.

The news of the suspension should come as no surprise, following the passage of the employment discrimination bill, SB 43, last year, with changes to statute placing the state in a position of noncompliance.

In a letter written in July of last year, the U.S. Department of Housing and Urban Development wrote to the administration of Gov. Eric Greitens, saying that signing SB 43 would make Missouri law no longer “substantially equivalent” to federal law, with the HUD’s Bryan Greene writing that Missouri must fix the new law to meet the federal rules by March 1st if the state wished to continue participating in the program.

As March rolled in, the legislature has not opted to address the issue so far, though some representatives have sponsored legislation seeking to address the issues deriving from the passage of SB 43.

On March 3, Anna Maria Farias, the assistant secretary for fair housing, wrote to the St. Louis Civil Rights Enforcement Agency (SLCREA) to inform them that the city’s participation in the program would be suspended through May 15.

The letter says that, if during that period the issues are resolved, the suspension will be withdrawn. However, if it is not addressed by the May 15 deadline, then HUD will proceed to withdraw SLCREA from the program.

a number of folks on boards and commissions can actually serve beyond their term. That’s not true for our commission. When the legislature created the Missouri Ethics Commission, they specifically had a provision that said commissioners cannot serve on expired terms.”

What that means for the MEC is that the three expirations could leave the commission without a quorum, and unable to issue any decisions.

Klahr says they have been in touch with the boards and commissions office, as well as the Governor’s Office, saying that they’re aware of both the timing and the process.

“There’s also a fairly-well laid out process in Statute 105.955 that spells out the procedure for appointments,” Klahr said. “There’s an awareness there, and we’re hoping to get at least one

appointment made and confirmed by the Senate by the 15th or as soon as possible after the 15th.

“Our statutes require there to be at least four commissioners to conduct the business of the commission, in terms of taking complaints and taking other matters, advisory opinions… there are some things that we have to have four commissioners to be able to do.”

If there is not four, then the MEC is left in a position where their hands are tied in the matter, so to speak, but Klahr says that it is not the first time they have run into this type of scenario.

He says it has actually happened at least once since he has been director, and in that instance, he said, the commission essentially took no action on the matter brought before them but notified the person who had filed the complaint so

as to allow them to refile the complaint so that it could be taken up again at a later time.

“If there’s no quorum, then no actions can be taken, and certain complaints would have to be, if anything, potentially refiled,” he said.

So, the scenario, as it stands right now, needs appointments from the Governor, as well as the advice and consent of the Senate, potentially leaving the MEC in the same position as the State Board of Education if nothing is done.

But, also worth noting here is that the commission requires an equal number of Republicans and Democrats, meaning that the Governor would be required to put forward one Republican and two Democrats to fill the seats that would be vacant. Furthermore, each member must be selected from a different congressional district.

Coalition fighting to preserve NAFTA grows as Trump puts pressure on Canada, Mexico

by Alisha Shurr

alisha@themissouritimes.com

As President Donald Trump dangles steel and aluminum tariffs as a bargaining chip for a quick deal with Canada and Mexico, more than 100 agriculturalists, businesses, and organizations have joined a coalition fighting to preserve and modernize the North American Free Trade Agreement.

“We have large trade deficits with Mexico and Canada. NAFTA, which is under renegotiation right now, has been a bad deal for U.S.A. Massive relocation of companies & jobs. Tariffs on Steel and Aluminum will only come off if a new & fair NAFTA agreement is signed,” Trump tweeted on Monday morning.

He added, “Also, Canada must ... treat our farmers much better. Highly restrictive. Mexico must do much more on stopping drugs from pouring into the U.S. They have not done what needs to be done. Millions of people addicted and dying.”

Robert Lighthizer, the top negotiator for NAFTA, said the U.S. formally offered to exclude Canada and Mexico from the tariffs of 25 percent on imported steel and 10 percent on imported aluminum if the countries can work out a NAFTA deal.

“The president’s view was that it makes sense that if we get a successful agreement, to have them be excluded,” Lighthizer told reporters in Mexico City following the seventh round of Nafta talks. “It’s an incentive to get a deal.”

With Mexico’s presidential election, several providences in Canada having elections, and U.S. midterm elections all this year, it makes sense for the U.S. to want the negotiations that

began last year to hurry along.

NAFTA is an incredibly vital part of Missouri’s economy, with agricultural being the number one industry in the state. As such, many in the Show-Me State have joined Americans For Farmers & Families to fight for preserving and modernizing NAFTA. Members from the state include Missouri

a fact we should not forget.”

In 2016, Missouri’s total food and agricultural exports totaled $2.2 billion with $1.4 billion going to NAFTA partners, with top exports including soybean, corn, rice, and meat such as beef and pork. Exports to free trade agreement markets accounted for 64 percent of all Missouri exports, totaling $8.9 billion.

“Agriculture is a shining star when it comes to American trade and that shouldn’t be forgotten” explained Shane Kinne, Missouri Corn Growers Association director of public policy.

“Farm Belt voters supported President Trump by a three-to-one margin in the last election and they are counting on him to improve NAFTA in the modernization negotiations,” said John Bode, president and CEO of the Corn Refiners Association and a member of AFF’s leadership committee. “Truth be told, some farmers are still farming today only because of NAFTA. It must be modernized, but preserved. With several of President Trump’s cabinet members having expressed their support for updating the agreement, we are confident the President will use his considerable experience as a negotiator to make NAFTA better.”

“We have been active participants in this discussion and look forward to continuing to work with the administration and leaders in Congress to ensure the growers, producers, processors, transporters, retailers and consumers we represent have their voices heard,” added Chris Novak, CEO of the National Corn Growers Association and another member of AFF’s leadership committee. “This issue is simply too important for us to sit on the sidelines.”

“The president’s view was that it makes sense that if we get a successful agreement, to have them be excluded,” Robert Lighthizer said.

Grocers Association, Missouri Retailers Association, Missouri Agribusiness Association, Kansas City Southern, St. Louis Agribusiness Club, AgXplore, American Petroleum Institute - Missouri, Burns and McDonnell, Missouri Cattlemen’s Association, Missouri Chamber of Commerce, Missouri Corn Growers, Missouri Dairy Association, Missouri Farm Bureau, Missouri Petroleum Council, Missouri Pork Association, Missouri Soybean Association, Missouri Rice Research and Merchandising Council, and Upper Mississippi, Illinois and Missouri Rivers Association.

“While politicians and pundits wage debate, the families and workers who rely on those deals often go unrecognized as the attention shifts to deep-pocketed corporations and special interest groups,” Gary Reichel, who runs a cattle operation in Missouri, writes in an editorial. “This is the case for NAFTA. While it’s true this is a very important piece of international trade policy, it is equally true that NAFTA is a huge help for working men and women across the country and right here in Missouri. That is

5

www.themissouritimes.com

14

THINGS THAT HAPPENED LAST WEEK

1. Scott Rosenblum, who represented a stripper who was convicted of felony privacy, joins the Greitens defense team 2. House committee investigation into the Governor’s indictment begins.

3. Feds suspend St. Louis HUD program 4. Reporters camp out outside Jefferson City Police Department, where the committee held it’s second meeting 5. Alzheimers Association of Greater Missouri lobbies Capitol Read on these and more online at www.missouritimes.com.

Email your news to pressreleases@themissouritimes.com

Atlanta | Charlotte | Chicago | Dallas | Hamburg Hong Kong | Irvine | Jefferson City | Kansas City | London Los Angeles | New York | Paris | Phoenix | San Francisco Shanghai | Singapore | St. Louis | Washington, D.C. www.bryancave.com

15

The Missouri Times

CAMPAIGNS

Missourians for Patient Care’s initiative petition for medical marijuana takes a lead in fundraising

by Benjamin Peters

benjamin@themissouritimes.com

The continuing push for the legalization of medical marijuana is getting more competitive.

An initiative campaign just a few weeks ago announced that they have raised more than $250,000. Now, that same group has increased that number even more.

The Missouri Patient Care Act is a state statutory ballot initiative that would allow patients with a qualifying medical condition to legally use medical marijuana with the written consent of a doctor.

And on Friday, Missourians for Patient Care (MPC) announced that they have raised another $280,000, which they claim “places a clear lead change among several initiative petitions vying for the November 2018 ballot box.”

The Missouri Patient Care Act, sponsored

by MPC, says they hold a “distinct advantage in requiring 62,999 fewer signatures” than the constitutional mandate from New Approach Missouri.

“MPC now holds a nearly two to one fundraising advantage since January 1 compared against single donor loans with interests

charged to the Find the Cures committee,” a news release states.

With just nine weeks remaining, the ballot committees are pushing hard to find finishing resources to fuel tens of thousands of signatures that remain to be verified for each of the ballot committee petitions in circulation.

“Our singular focus is on providing patients with a reliable yet regulated industry as quickly as possible,” Travis Brown, the Signature Collections Leader for Missourians for Patient Care, said. “One hundred percent of our petitioners’ time is dedicated to the laser focus on certifying this measure to the ballot.”

Axiom Strategies wins 6 Reed Awards The full-service political consulting agency again led all entrants in awards for direct mail KANSAS CITY, MO – Axiom Strategies, the nation’s largest Republican political consulting agency, earned six Reed Awards at the annual conference hosted by Campaigns & Elections magazine this week.

Axiom led all firms with wins across five direct mail categories, receiving honors for the Best Mail in a Republican State Legislative Election, the Best Mail for a Statewide or Local Issue Advocacy/Public Affairs Campaign, the Best Mail for a Ballot Initiative, the Toughest Republican Direct Mail and the Toughest Overall Direct Mail. Axiom also took home the top honor for Best Television Ad on a Shoestring Budget, produced along with media partners at Madison McQueen.

“Our clients – and opponents – learn quickly that the people who execute the deliverables at Axiom are craftsmen of their trade,” said Axiom founder Jeff Roe. “Whether you’re backing a local ballot initiative or running for President of the United States, we’ve been there, and we have an array of award-winning, effective messaging products to add to your arsenal.”

“From our strategists to our designers to

our door-to-door campaigners, the team we’ve built at Axiom proves over and over again they’re the best in the country at what they do – that’s getting results and winning cam-

paigns.”

This is the second consecutive year Axiom has led all firms in awards for direct mail and their 12 Reed Awards for mail since 2015

are the most of any company in the country.

During that time, Axiom has won 16 total Reed Awards across all categories. The Reeds are known as “the most exacting awards in political campaigns” and are judged by industry experts based on both the quality and measured success of the work.

See the six latest Reed Awards from Axiom: Best Mail in a Republican State Legislative Election Winner: Phillip Huffines “Intro Booklet” Best Mail for a Statewide or Local Issue Advocacy/Public Affairs Campaign Winner: Protect Dallas Kids “Not Safe” Best Mail for a Ballot Initiative Winner: Reform California “Gas Tax Monster” Toughest Republican Direct Mail AND Toughest Overall Direct Mail Winner: Missouri Senate Campaign Committee “Bad Company” Best Television Ad on a Shoestring Budget Winner: Missouri Senate Campaign Committee “Just Vote for Mike”

Lobbyist Moves Courtesy of the Gate Way Group

Changes on: 03/08/2018 Changes on: 03/03/2018 Ronald D Berry Mark E Farnen Added ST LOUIS AREA Added DIAPER BANK PARIS ROAD PLAZA LLC Changes on: 03/07/2018 Changes on: 03/02/2018 Bryant Lemay William A Gamble Added WOLFPAC Added BF ASCHER CO Michael Monetta INC Added WOLFPAC Doug Amacher Bradley Westmoreland Deleted Added GENENTECH MSDC MANAGEMENT LP INC A MEMBER OF THE Doug Amacher ROCHE GROUP Deleted Sherry L Doctorian MSD PARTNERS LP Added Jeffery N Brooks TRANSPARENTBUSINESS Deleted BF ASCHER CO CORPORATION INC Michael David Grote Cynthia Gamble Added CAROL JONES Deleted BF ASCHER CO Michael David Grote INC Added Kathryn Gamble RAISE UP MISSOURI Deleted BF ASCHER CO Changes on: 03/06/2018 INC Shannon Cooper William A Gamble Added CAROL JONES

Deleted B Nancy L Giddens F ASCHER CO INC Added CAROL JONES David Michael Jackson Emily J Van Schenkhof Deleted BF ASCHER CO Added INC CHILDRENS TRUST FUND Sarah Topp Scott Dieckhaus Deleted BF ASCHER CO Added INC PALM STRATEGIC GROUP Changes on: 03/01/2018 LLC James F Bennett Thomas J Campbell Added Deleted AECOM ERIC GREITENS CO DOWD Jeffrey W Craver BENNETT Deleted CYPRESS Jeffery N Brooks STATE ADVOCACYLLC

Added B Leslie Serene Pritchard F ASCHER CO INC Deleted MISSOURI Edward L Dowd Jr FAMILY HEALTH COUN Added CIL ERIC GREITENS CO DOWD Changes on: 03/05/2018 BENNETT Richard M Aubuchon Cynthia Gamble Added RSB III LLC

Added B Brian Bernskoetter F ASCHER CO INC Added CAROL JONES Kathryn Gamble Ashlee Berry

Added B Added ST CHARLES F ASCHER CO INC REALTORS ASSOCIATION Michael R Gibbons Scott Dieckhaus Added Added SHI INTERNATIONAL TORCH ELECTRONICS LLC CORP William D Glover David Michael Jackson Added Added B WILLIAM GLOVER F ASCHER CO INC J Scott Marrs Sarah Topp Added SMARSH CO Added B F ASCHER MULTISTATE ASSOCIATES CO INC INC Gary Wiegert George L Oestreich Added COALITION Added FOR LIFE ST LOUIS MISSOURI PRIMARY CARE Tricia Workman ASSOCIATION Added Salvatore Panettiere SHI INTERNATIONAL Added TACTICAL CORP MEDICAL SOLUTIONS INC Greg Yielding Jewell D H Patek Added Added ADVANTAGE MISSOURI RICE COUNCIL BUSINESS DEVELOPMENT Michael David Grote Jewell D H Patek Added Added DAVID HUMPHREYS SHI INTERNATIONAL Michael David Grote CORP Added NOTARIZE INC Jewell D H Patek David Winton Added Added ADVANCE MISSOURI DAVID HUMPHREYS Randy J Scherr Chris Hankins Added CAROL JONES Deleted JUSTICE FOR Sheryl Schmidt JAKE Added FAMILIES FOR Bridget Ohmes HOME EDUCATION INC Deleted ST CHARLES Michael G Winter COUNTY ASSOCIATION Added CAROL JONES OF REALTORS Lon D Lowrey Evan Rosell Deleted ASTHMA AND Deleted MISSOURI ALLERGY FOUNDATION ATTORNEY GENERALS OF AMERICA ST LOUIS OFFICE CHAPTER Wendy M Watson Richard W Moore Deleted LEGGETT Deleted PLATT INCORPORATED RICHARD MOORE Aaron Baker George L Oestreich Deleted DAVID HUMDeleted RED CROSS PHREYS PHARMACY INC Changes on: 02/28/2018 George L Oestreich Aaron Baker Deleted PHARMACEUAdded ERIC GREITTICAL SPECIALTIES INC ENS Changes on: 03/04/2018 Ward W Cook Lana Ladd Baker Added Added HEALTH CARE POWELL GARDENS FOUNDATION OF GREATChris Liese ER KANSAS CITY Added ELDORADO

www.themissouritimes.com

16

Paid for by Missouri REALTORS®, John Sebree, CEO.

Support the Missouri First-Time Homebuyer Initiative Here’s how the program works:

Most Americans still dream of owning their own home. Homeownership strengthens communities, provides stability for families and helps build financial strength.

But saving enough money for a down payment and closing costs is too hard for many Missourians—especially for young people and those looking to buy their first home.

Low paying jobs, the cost of living and high student loan payments are tough obstacles to overcome. Many people don’t know where to start.

That’s why we need the Missouri FirstTime Homebuyer Initiative—a new idea to help prospective homebuyers save for their first home.

• Individuals could deposit up to $1,600 ($3,200 for couples) annually into a savings account to go toward a first home purchase.

We should be doing more to help first-time homebuyers— not with government handouts but by providing incentives to encourage people to save more of their own money towards the cost of a home.

That’s why we need to ask our legislators to approve the Missouri First-Time Homebuyer Initiative.

• The maximum amount that can be deposited over the life of the account is $25,000; the maximum total amount in the account is limited to $50,000.

• Parents or grandparents can contribute to this account as well.

• An amount equal to 50% of the annual contribution may be deducted from the contributor’s taxable gross income and any gain within the account would not be subject to state income taxes.

• Money from the savings account would have to be used toward the purchase or construction of a first home.

Ask Your Legislator to Support the Missouri First-Time Homebuyer Initiative (HB 1796) Today! MissouriFirstHome.com MO_FTHB_MOTimes_9.75x11.indd 1

1/4/18 12:39 PM