HB 1603 -- REPUBLICATION OF A SECTION IN STATUTE

SPONSOR:  Lager

COMMITTEE ACTION:  Voted "do pass by consent" by the Committee on
Job Creation and Economic Development by a vote of 18 to 0.

This bill reenacts one section of law regarding a tax credit
received by eligible small businesses.  The tax credit is equal
to the guaranty fee required by the United States Small Business
Administration to obtain guaranteed financing and to programs
administered by the United States Department of Agriculture or
the Farm Service Agency.  Senate Bill 894 of 2002 amended this
section but was found to violate the single subject requirement
of Article III, Section 23, of the Missouri Constitution.  The
bill will republish the section allowing a tax credit equal to
the required fee.

FISCAL NOTE:  No impact on state funds in FY 2005, FY 2006, and
FY 2007.

PROPONENTS:  Supporters say that this section was repealed by the
General Assembly in 1999; but in 2000, the bill was found to be
unconstitutional.  As a result, the section has remained
effective despite the fact that the Revisor of Statutes had to
remove it from the statutes.  The Revisor has no authority to
republish sections unless the General Assembly passes a bill
doing just that.  The bill is necessary to republish this section
so that the statutes accurately reflect Missouri law.

Testifying for the bill was Representative Lager.

OPPONENTS:  There was no opposition voiced to the committee.

Alice Hurley, Legislative Analyst

Missouri House of Representatives
92nd General Assembly, 2nd Regular Session
Last Updated September 23, 2004 at 11:16 am