MISSOURI — The Missouri House took action this week to protect land owners from having their property unlawfully seized through the misuse of eminent domain. House members gave initial approval to HB 2005, which is a direct response to the Grain Belt Express project that has the authority to use eminent domain to acquire land in Missouri.
Grain Belt Express is a high-voltage electric transmission line that will run approximately 800 miles from Kansas to Indiana. In 2019, the project was granted the authority to obtain land easements in Missouri through the use of eminent domain.
The bill’s sponsor told his colleagues, “The Grain Belt is a private out-of-state company that is using eminent domain as a public utility. There is very little benefit for the state of Missouri. Only six percent of the power is going to be used here in our state.”
The sponsor said the bill is a response to the land owners who are pleading with the legislature for help. He said the bill, “ensures utility projects in Missouri actually benefit the state of Missouri. It provides just compensation for land owners when their land is being taken from them and it’s being condemned. It also incentivizes negotiations outside the court process.”
HB 2005 would require that any electrical corporation that proposes building a transmission line must provide a minimum of 50% of its electrical load to Missouri consumers to be considered a public service and to be allowed to condemn property to construct the transmission. The bill also specifies that in condemnation proceedings, just compensation for agricultural or horticultural land will be 150% of fair market value, which will be determined by the court. Additionally, the bill states that in a condemnation proceeding for agricultural or horticultural land in which a court appoints three disinterested commissioners, at least one of the commissioners must be a farmer who has been farming in the county for at least 10 years.
The bill now requires another positive vote in the House before moving to the Senate.
Making Prescription Medications More Affordable (HB 1677)
Missourians could see lower prescription drug costs thanks to legislation approved by the Missouri House of Representatives. House members gave first-round approval to HB 1677 with the goal of improving transparency and accountability for pharmacy benefit managers (PBMs) in Missouri.
PBMs are paid third-party administrators of prescription drug coverage for insurers and employers. They provide a wide variety of services including developing and maintaining formularies, processing claims, and negotiating discounts and rebates between payers and manufacturers. PBMs manage plans for millions of Americans.
The bill’s sponsor said the bill “will reduce prescription drug costs” and noted his bill is meant to help Missourians “understand what goes on with the rebate monies that PBMs are handling for their employers.”
The sponsor told his colleagues, “It offers transparency. It shows where the rebate moneys go and as you look at where the rebate money goes, you will determine that these PBMs are actually pocketing some of the rebate moneys that they collect that should be going back to the patients. This is a bill that puts the moneys back in the patients’ hands instead of paying shareholders’ dividends.”
HB 1677 would require PBMs to report the dollar amount of rebates collected from pharmaceutical manufacturers, the dollar amount of rebates that were not passed on, and the dollar amount of all fees and payments received from pharmaceutical manufacturers. The bill also specifies that PBMs must notify health carriers and pharmacies in writing of any potential conflict of interest, including but not limited to common ownership or any other relationship between the PBM and any other health carrier or pharmacy with which the PBM contracts.
Supporters say the legislation will help restore the balance in the health care system and ensure Missourians have sustainable access to medications and choice in where they receive their pharmacy services.
The bill now requires another vote in the House before moving to the Senate.
Missouri House Approves Plan to Legalize Sports Betting (HBs 2502 & 2556)
Missourians would be able to wager on college and professional sports under legislation approved by the House this week. Lawmakers gave approval to HB 2502 to allow legalized sports betting in Missouri in either casinos or through a licensed mobile app.
The bill is the result of a Supreme Court ruling in 2018 that struck down a federal prohibition on sports betting. Since that time, nearly 30 states, including many of Missouri’s neighboring states, have adopted legislation to allow some form of wagering on sporting events. Supporters noted that Missouri needs to legalize sports betting to keep revenues generated by the industry in the state.
One supporter noted, “It’s happening today. We’re not stopping it by not allowing it. It’s just going underground or it’s going across the border. We should be regulating this.”
HB 2502 would implement an 8% tax on sports wagers. Fiscal analysts estimate the tax would generate approximately $10 million annually for the state.
The bill’s sponsor noted that the legislation has the support of all of the state’s professional sports teams and five of the six companies who operate casinos in Missouri.
An amendment added to the bill requires an annual report to assess the social and economic effects of gaming in the state and to obtain information related to compulsive gambling. The provision would require the state to provide resources to assist individuals with a compulsive gambling problem.
The bill now moves to the Senate for consideration.
Representative Chad Perkins
Proudly Serving the 40th House District
Lincoln, Monroe, Pike, & Ralls Counties
Missouri House of Representatives
573-751-4028