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Legislative Updates


   
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May 21, 2007
TO:  MTC Members

FROM:  Dale Amick - MTC Legislative Consultant

The travel and tourism industry was a big winner in the 2007 Missouri legislative session that concluded May 18.

A 21-billion-dollar budget passed by the legislature included the largest budget in the history of the Division of Tourism. The legislature approved 20.6 million dollars for the agency, the amount recommended by Gov. Matt Blunt and over two million dollars higher than the current Division budget.

The legislature also approved a sunset extension from 2010 to 2015 for the tourism supplemental fund, the base mechanism through which the Division is funded.

And the legislature adopted changes in the school opening law that should help tourism and travel in Missouri. Under the new legislation, school cannot open sooner than 10 days prior to Labor Day. However, a school board can open school ten days prior to Labor Day if it holds a public meeting on a proposed earlier start date, then a majority of the board votes for that new date at the public meeting.

The bill goes into effect on August 28, but will actually impact school scheduling until the 2008-09 school year, since most schools will have already begun when the bills takes effect. It will be up to local school district patrons to convince their school boards to not waive the 10-day restriction.

The legislature approved changes in how new guest taxes for tourism promotion can be implemented. The proposed new law would allow second, third and fourth class counties to impose tourism taxes by a vote of residents, but no more prior authorization would be needed from the legislature for each individual tax.

The legislature also passed a major economic development bill that includes up to 10.5 million dollars annually in tax credits for movie film production in Missouri. In addition, the bill allows for a sales tax exemption for aviation fuel used in transoceanic flights directly to Missouri. The Division of Tourism believes the sales tax exemption is a major first step in attracting an international direct flight into Missouri.

The price tag of the economic development bill is well over 100 million dollars annually, leaving the possibility the governor may veto it.

Missouri Travel Council successfully lobbied to remove language from a bill that would have permitted cities with lodging taxes to divert a portion of those taxes to be used for non-tourism purposes.

In the closing days of the session, the legislature failed to pass changes in overtime rules on minimum wage passed by voters last November. The overtime changes would have allowed for reduced base pay for certain service workers and commission employees.

Overall, the 2007 legislative session was one of the most successful sessions for Missouri tourism. To view a complete final legislative status report, visit the Missouri Travel Council website at "www.missouritravel.com".

Dale Amick
Legislative Consultant
Missouri Travel Council

Missouri Travel Council
204 East High Street
Jefferson City, Missouri  65101
Phone:  (573) 636-2814
Fax:  (573) 636-5783

Info@MissouriTravel.com

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