Missouri’s governor enters negotiations on cutting taxes

Posted February 20, 2014 at 12:48 pm

by Emma Nicolas and Arianna Poindexter

Gov. Jay Nixon and legislative leaders say negotiations are under way to reach agreement on a bill that would cut taxes.

Last year, Nixon vetoed an income tax cut bill, and he repeated his objections to the idea in his State of the State address to lawmakers earlier this year.

But at a news conference Thursday, Feb. 13, Nixon said he was negotiating with the bill’s sponsor on a tax-cut bill he could sign.

Nixon cited a list of requirements that must be met in order for him to sign off on the tax cut bill, including full funding of the public school formula before any tax cuts take effect.

Legislative staff estimate the current proposal before the Senate would cut taxes by more than $900 million when fully implemented.

Nixon also repeated his call for the legislature to restrict tax credits for real estate developers for projects involving lower-income housing and preservation of historic buildings.

Earlier in the week during Senate debate, Sen. Ryan Silvey, R-Kansas City, proposed to delay tax cuts until the state fully funds more allocations for public schools.

“How can you say that we would be reducing the money to schools if we commit that we’ve already funded the schools,” Silvey said.

The bill’s sponsor, Sen. Will Kraus, R-Jackson, said he’d be willing to consider the change.