"The Voice of Missouri Business®" Weekly Report April 21-25, 2025

By Ray McCarty and Matthew Smith

April 25, 2025 - Here is a quick recap of some of our activities on your behalf this week. We have three weeks remaining in the 2025 Regular Legislative Session.

Proposition A - Minimum Wage and Paid Sick/Domestic Violence Leave Revisions (AIM supports)

By now you know Associated Industries of Missouri has joined other business groups in supporting bills aimed at reducing the burden on employers due to the passage of Proposition A. See our separate article with the most current status HERE and more detailed information and links to other articles HERE. The next opportunity for the Supreme Court to rule on our pending case challenging the election is April 29. The law goes into effect on May 1, just two days later! Watch your inbox for an update late in the day on April 29.

Tort Reform Bill Defeated in Missouri House (AIM supports)

The Missouri House took up HB 952 (Overcast) that would have prevented double recovery of costs by a plaintiff that receives payments from the defendant's insurer. While this is a commonsense measure supported by Associated Industries of Missouri, the bill was rejected by a vote of 37-107. We understand there may have been some opposition for reasons unrelated to the bill and other opposition from plaintiffs' attorneys. We will report back to you if the bill is reconsidered in the next three weeks, but without reconsideration of the vote, the bill is dead.

Protecting Private Businesses from Burdensome Requirements

Associated Industries of Missouri opposed SB 662 (Brattin) in a hearing of the Senate Families, Seniors and Health Committee. This bill would require the Department of Social Services to request a waiver from the United States Department of Agriculture, essentially asking permission to ban certain items (candy and soda) from the list of eligible foods that may be purchased with SNAP benefits (food stamps). AIM opposes this bill because of the impact on front line workers at retail establishments. SB 662 would require grocery stores to determine which products are considered "candy" and "soda." Telling the difference may not be as easy as you may think. For example, although alcohol may not be purchased with SNAP benefits anyway, beer may be considered "food" because it is derived from grain. This would be a costly government mandate on grocery and convenience stores. These retailers would risk being out of compliance with an ambiguous and confusing state law and would also face the wrath of customers. Despite our opposition, the bill was approved by the Senate committee this week. We do not expect this bill to make it to the finish line in the last three weeks of session, but the provisions of the bill may be amended onto another bill.

Protecting the Unemployment Trust Fund (AIM supports)

We previously told you about HB 202 (Casteel), which would require unemployment benefit recipients to show up for a scheduled job interview or skills test or risk losing their unemployment benefits. This bill would incentivize those currently on unemployment benefits to find gainful employment and rejoin the workforce. It would also prevent those who are not serious about finding work from draining the unemployment fund. The Unemployment Trust Fund is funded by employers and should be reserved for payments to individuals that are unemployed through no fault of their own. This bill was heard in the Senate Economic Development and Workforce Committee, where AIM testified in support. The next step is for it to be voted out of committee and be sent to the Senate floor for debate.

Protecting Private Business from Local Regulations

We also told you previously about HB 344 (Keathley), that would preempt local laws, ordinances, orders, rules, or regulations enacted by a county, municipality, or other political subdivisions regarding the sale of tobacco products, alternative nicotine products, or vapor products. This bill addresses local rules, like a proposed rule by Kansas City to ban flavored tobacco products, that could cripple thousands of sellers of legal products in Missouri. The vast majority of sales of alternative tobacco products are flavored products. We believe that any such regulations should be set at the state level to provide uniformity across the state. This bill was heard in the Senate General Laws Committee this week and AIM testified in favor. The next step is for the bill to be voted out of the Senate and then debated on the Senate floor.

Closing Loopholes for Frivolous Lawsuits

AIM also testified in favor of HB 437 (Hardwick), which seeks to close a loophole exploited by plaintiffs' attorneys after we passed legislation allowing insurance companies sufficient time to review settlement demands. Currently, trial lawyers are taking advantage of a loophole that allows them to send a settlement proposal, retract the offer, and receive payment in excess of policy limits by claiming the insurer acted in "bad faith." AIM supported this bill in the Senate General Laws Committee. The next step for this bill is to be voted out of committee and then debated on the Senate floor.

We intend to provide these legislative updates to you on a weekly basis on Fridays as we track the progress of these and other bills affecting Missouri businesses.