JEFFERSON CITY — A proposal designed to expand child care options in Missouri is facing strong headwinds as state lawmakers work against a deadline of 6 p.m. Friday.
The child care tax credit package, as it is often called, is supported by Republicans and Democrats, Republican leadership in the House and Senate, and Republican Gov. Mike Parson.
But opposition by senators in the hard-line Missouri Freedom Caucus threatens to derail the legislation for a second year in a row.
“I continue to be opposed to the child care tax credits that Sen. Arthur is proposing,†Missouri Freedom Caucus leader Sen. Bill Eigel, R-Weldon Spring, told the Post-Dispatch on Monday.
People are also reading…
Kansas City Democrat Sen. Lauren Arthur and St. Joseph Republican Rep. Brenda Shields are sponsoring the legislation.
Under the proposal — a top legislative priority of the Missouri Chamber of Commerce — tax credits would be made available to employers who help cover child care costs, child care providers for improving or expanding facilities, and individuals or organizations that make charitable contributions to child care providers.
For each tax credit category, the state could issue no more than $20 million annually, and each taxpayer could receive no more than $200,000 in tax breaks.
“I think that the Chamber of Commerce and some of the other business entities have put a lot of effort into trying to create a narrative that government can fix the some of the biggest industries in the state, and in this case, they’re talking about how we take care of our kids,†said Eigel, who is running for governor.
“I don’t think that government intervention is required at this point,†he said.
But as of Monday, with just under a week left in the legislative session, Eigel and Arthur said they are still negotiating over the child care tax credit package.
“Sen. Eigel is pretty intent on only letting the bill go if there is some version of a property tax cut, and we’ve had a lot of discussion on what might be acceptable,†Arthur told the Post-Dispatch. “So far, we haven’t been able to agree upon anything.â€
Arthur said she is worried a property tax cut could hurt local governments’ ability to fund services like law enforcement, fire departments and public schools.
And while Arthur said she is unwilling to accept a “reckless†compromise that could damage local communities, “I think I do a disservice to the people who have supported the child care tax credit bill to not listen with an open mind,†she said.
Of negotiations, Eigel said, “There are some discussions going on about possibly cutting personal property taxes, and so I’m engaging in those conversations and then we’ll see where we go,†Eigel said.
He later added, “I would say it’s very early in those discussions, though.â€
Senate Majority Leader Cindy O’Laughlin, R-Shelbina, said she hasn’t been involved in the negotiations, but should an agreement be reached, she would be willing to bring the tax credit package up for debate by the full chamber.
“One of the Senate’s positives,†she said, “is that you can get with people who have differing opinions, try to find common ground and try to get something done. So if they can come to some sort of of an agreement, I’m very willing to bring it up.â€
House Majority Leader Jon Patterson, R-Lee’s Summit, said passing the child care tax credit package is something he would like to get done.
But, he said, “I don’t know that we’ll be able to. There’s a lot of moving parts with that. But there is definitely wheeling-and-dealing going on right now to see if we can get that done.â€
The governor has highlighted the tax credit package in his past two State of the State addresses. Should the Legislature pass the measure, he is poised to sign it.
“Governor Parson would like to see the General Assembly approve his child care assistance package and side with the over 85 percent of Missourians who believe early childhood learning supports a child’s success, parents’ success, and business success,†Parson spokesman Johnathan Shiflett said in an email.
This legislation is and .