Public Affairs Committee Report
By Heath Clarkston
Jefferson City Council Election on April 8th
Jefferson City will hold an election on one-half of their Council seats on April 8th in the municipal election. For the election, only two wards will have contested races, and they include ward 3 and ward 4. A new entrant into city politics is Shane Kampeter who is running unopposed in ward 5.
The final candidate list is as follows:
First Ward: Jeff Ahlers (incumbent)
Second Ward: Aaron Mealy (incumbent)
Third Ward: Derek Thomas and Erica Choinka
Fourth Ward: Julie Allen and Kathryn Harness
Fifth Ward: Shane Kampeter
Missouri Legislative Update
The 2025 Missouri Legislative Session is over one-third of the way completed and unlike the past few years, the legislature is functioning well and moving numerous key priorities through the process. In January, Governor Mike Kehoe and leadership from both legislative chambers called for a robust package of bills that included tax cuts, crime and public safety, education reforms, energy development, and business development. Since the beginning of session, we have seen these topics advance in both chambers.
This month, the Missouri House began working on the fiscal year 2025 state operating budget which is proposed at $53.7 billion. In the 2025 budget, this combination of state and federal funds will cover constitutionally mandated programs such as public education, law enforcement, and the state Medicaid program. The budget will be a bit more difficult this year as our state is no longer receiving a high level of funding from the federal government and is considering a reduction or elimination of the state income tax for future years.
HBA – Green Building Code Preemption Legislation Advances
Legislation continues to advance that was filed on behalf of the Home Builders Association of Kansas City continues to move forward in the process in the House of Representatives. The House Rules-Administrative Committee convened Thursday, February 20th to consider passage of HB 939, sponsored by Representative Mike Jones (R-Kansas City). The bill prohibits counties and municipalities from enacting any ordinance, regulation or other policies that require owners, builders or developers to implement green energy efficiency building design and construction practices for family dwellings if it threatens the affordability of the construction, maintenance repair or renovation. The committee passed the bill by a 7-2 vote.
Constitutional Amendment for Assessed Valuation of Residential Property
Legislation is currently moving through the Missouri House of Representatives as House Committee Substitute for HJR 4, sponsored by Rep. Jeff Coleman (R-Grain Valley). Upon voter approval, beginning Jan. 1, 2027, this proposed Constitutional amendment provides that the true value of all residential real property that has been maintained by the homeowner will be deemed to be the same value determined at the most recent previous assessment of the property. In a new assessment or reassessment of the residence, the assessed valuation of such property may be increased, provided that the increase does not exceed the change in the Consumer Price Index or two percent per year, whichever is less. Such a limited increase may be exceeded to reflect value added to the property because of new construction or improvements.
Taxes for Short-Term Rentals
The House Committee on Ways and Means convened on Monday, February 17th for a public hearing on HB 1086, sponsored by Representative Chris Brown (R-Kansas City). The bill seeks to simplify taxing on short-term rentals. The bill requires that when a single-family home is leased, in whole or in part, for 30 consecutive days or less, such a home will not be considered “transient housing”. The sponsor’s intent with the legislation is to ensure consistency across the state with short-term rentals by ensuring assessors may not modify residential properties to commercial properties. Supporting testimony was presented several vacation rental property owners who stated five counties have changed the assessment of their properties to commercial and it has negatively impacted their financial stability. Opposing testimony was presented by the Missouri Hotel Lodging Association who stated if you own a property that you collect sales tax on for rental purposes it is now a commercial property, and statewide policies should not favor one industry over another.
Real Estate Brokerage Service Contracts – NAR Lawsuit Compliance
HB 596, sponsored by Representative Chris Brown (R-Kansas City) states a written agency agreement must be signed before any real estate broker engages in any acts from section 339.010 RSMo. The sponsor spoke briefly on the bill and reminded the committee that this is a compliance bill and is in response to a recent class action lawsuit (Burnett vs. National Association of Realtors). This legislation is moving quickly through the process and was passed in the House Committee by a unanimous vote. A companion bill is also moving in the State Senate.