Simone Lawson
Missouri Amendment 1, also known as the Property Tax Exemption for Childcare Establishments Measure, is a proposed amendment to the Missouri Constitution that will be put to a statewide vote on August 6, 2024. The amendment seeks to address the issue of high childcare costs and the shortage of childcare providers in the state. If passed, Amendment 1 would allow the Missouri General Assembly to exempt childcare businesses from property taxes, with the aim of increasing the availability and affordability of childcare for Missouri families.
| Characteristics | Values |
|---|---|
| Date of Vote | August 6, 2024 |
| Type of Vote | Primary Election |
| What it Entails | Allowing the Missouri General Assembly to pass a property tax exemption for childcare facilities |
| Affected Parties | Childcare providers, local governments, families, the workforce, and society |
| Anticipated Impact | Increase in childcare availability and accessibility, potential loss of revenue for the state's Blind Pension Fund |
| Previous Attempts | Missouri Amendment 1, General Assembly Compensation Measure (1940) was defeated |
| Supporting Arguments | Reduce providers' costs, improve quality of childcare, address the state's childcare provider shortage, benefit families and society as a whole |
| Opposing Arguments | Potential unknown financial impact on local governments, loss of revenue for the state's Blind Pension Fund |
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What You'll Learn
Childcare centres and tax exemptions
Missouri Amendment 1, a ballot measure introduced in the 2023-2024 legislative session, proposes a property tax exemption for childcare establishments. The amendment seeks to amend Article X, Section 6 of the Missouri Constitution, which outlines specific property tax exemptions. The proposed amendment would allow the Missouri General Assembly to exempt childcare providers from paying taxes on personal property. This specifically applies to care provided outside of the child's family home.
The motivation behind Amendment 1 is to address the chronic shortage of childcare in Missouri, which has been a bipartisan priority in Jefferson City. The high costs of childcare, coupled with its labour-intensive nature, have made it challenging for young families across the state. By reducing providers' costs through tax exemptions, there is a potential to lower fees for parents and improve the overall quality of childcare. Additionally, it is believed that more parents may be able to join the workforce if childcare becomes more accessible and affordable.
Missouri is not alone in its approach, as states like Texas and Florida have already implemented tax exemptions for childcare centres. A 2023 investigation revealed that almost half of Missouri's children under the age of five live in childcare deserts, highlighting the urgency of the situation. While there are concerns about potential revenue losses for local governments, supporters of the amendment argue that the benefits to society as a whole outweigh the potential financial impacts.
The amendment has gained support from lawmakers and voters alike, with the Missouri House and Senate passing it with overwhelming majorities. It will be put to a statewide vote on the August 2024 ballot, requiring a simple majority for approval. If passed, Amendment 1 will empower the General Assembly to create tax breaks for childcare providers, making childcare more accessible and beneficial to families, the workforce, and society at large.
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Missouri's political system
Missouri Amendment 1, which will be put to a vote in August 2024, is a proposed change to the state constitution that would allow the General Assembly to pass a property tax exemption for childcare providers. The amendment is a response to the chronic shortage of childcare in Missouri, which has seen almost half of all Missouri children under the age of five living in childcare deserts, according to a 2023 investigation. The high cost of childcare, exacerbated by a lack of access to early childhood education programs, has also been a significant issue, with families paying an average of $656 per month.
The proposed amendment would not automatically eliminate property taxes for childcare centres but would instead give state lawmakers the power to create tax breaks for these establishments. These property tax exemptions would only apply to the care of children outside their family homes. It is hoped that by reducing providers' costs, the amendment will lead to cheaper childcare with better quality and wider availability. There are also potential benefits for the state's economy, with a 2021 study by the US Chamber of Commerce Foundation concluding that a lack of childcare costs Missouri $1.35 billion annually, including $280 million in lost tax revenue.
However, there are concerns about the financial impact of the amendment on local governments, with some counties and cities expressing uncertainty about the potential costs. The state's Blind Pension Fund is also estimated to lose up to $400,000 annually if the amendment passes. Despite these concerns, the amendment has gained bipartisan support, with lawmakers recognising the potential benefits of tackling the state's childcare provider shortage. The process of getting Amendment 1 on the ballot also demonstrates the importance of Missouri's legislative bodies in the political system, with the Missouri House of Representatives and the Missouri State Senate both playing crucial roles in proposing and approving constitutional amendments.
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Legislative session requirements
Missouri Amendment 1, the Property Tax Exemption for Childcare Establishments Measure, was introduced to the 2023-2024 legislative session in the state legislature. The amendment was voted through in the Senate (33-0) on March 23, 2023, and in the House (91-27) on May 12, 2023. Seventy Republicans and 21 Democrats voted for the amendment, while 25 Republicans and two Democrats voted against it.
The amendment will be put to a vote on the August 2024 ballot. Proposed amendments to the Missouri constitution are put to a statewide vote, and a simple majority is required for the amendment to pass and be added to the state constitution.
The amendment would allow the Missouri General Assembly to pass a property tax exemption for childcare facilities. This would not automatically eliminate property taxes for childcare centres but would give state lawmakers the power to create those tax breaks. The tax exemption would only apply to the care of children outside their family homes.
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Property tax law
Missouri Amendment 1, on the ballot for August 2024, is a proposed constitutional amendment to allow the General Assembly to pass a property tax exemption for childcare establishments. If passed, the amendment would give state lawmakers the power to create tax breaks for childcare providers. These tax exemptions would only apply to the care of children outside of their family homes.
The amendment was introduced to the 2023-2024 legislative session in the state legislature. On March 23, 2023, the Senate voted 33-0 to pass the amendment, and on May 12, 2023, the House voted 91-27 in favour. Seventy Republicans and 21 Democrats voted for the amendment, while 25 Republicans and two Democrats voted against it.
The property tax exemption is intended to address the shortage of childcare providers in Missouri, which has been a bipartisan priority in Jefferson City. A 2023 investigation found that almost half of all Missouri children aged five and under live in childcare deserts, and a 2021 study concluded that the lack of childcare costs Missouri's economy $1.35 billion annually, including $280 million in lost tax revenue. The tax exemption might also improve the quality of childcare and make it more affordable for parents.
However, there are concerns about the financial impact of the amendment on local governments. While it is estimated that the state's Blind Pension Fund could lose $400,000 a year, the overall financial impact on local governments is unknown. Some, like Kansas City, have stated that the proposal's financial impact is uncertain, while a community college in St. Charles County predicted revenue losses.
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Childcare costs
Missouri Amendment 1, which will be voted on by Missourians in the upcoming November elections, is a proposed constitutional amendment that focuses on addressing the state's childcare challenges by providing property tax exemptions for childcare establishments. The amendment seeks to empower the Missouri General Assembly to create tax breaks for childcare providers, with the aim of making childcare more affordable and accessible for families.
The high cost of childcare in Missouri has been a significant concern for many families, with a 2021 study by the US Chamber of Commerce Foundation estimating that the lack of childcare costs the state's economy $1.35 billion annually, including $280 million in lost tax revenue. The same study found that families in Missouri paid an average of $656 per month for childcare services. The proposed Amendment 1 aims to alleviate some of these financial burdens on families and make childcare more widely available.
By exempting childcare providers from paying taxes on their personal property, Amendment 1 is expected to encourage the establishment and operation of more childcare businesses in the state. This, in turn, could lead to increased competition and potentially drive down childcare costs for parents. Additionally, with more childcare options available, more parents may be able to join or return to the workforce, contributing positively to Missouri's economy.
However, there are also concerns about the potential impact of Amendment 1 on local government finances. While the exact financial implications are unknown, it is estimated that the state's Blind Pension Fund could lose approximately $400,000 in revenue annually. Some local governments, such as Kansas City, have expressed uncertainty about the financial impact of the proposal, while a community college in St. Charles County predicted revenue losses.
Amendment 1 has been introduced as a ballot measure in response to Missouri's chronic shortage of childcare providers. A 2023 investigation revealed that nearly half of all Missouri children under the age of five live in childcare deserts, with an insufficient number of available seats in childcare facilities. The amendment aims to address this shortage by incentivizing the establishment of more childcare businesses through tax exemptions.
In conclusion, Missouri Amendment 1 aims to tackle the state's childcare challenges by providing property tax exemptions for childcare providers. While the amendment has the potential to increase the availability and affordability of childcare for families, there are also considerations about its financial impact on local governments. Missouri voters will have the final say on this proposed constitutional amendment in the upcoming election, deciding on the best path forward for their state's childcare landscape.
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Frequently asked questions
Missouri Amendment 1, also known as "Clean Missouri", is a ballot measure that proposes amending Article X, Section 6 of the Missouri Constitution to exempt childcare establishments from property taxes.
Missouri Amendment 1 is being proposed to address the state's childcare provider shortage and to reduce the costs for parents. The amendment seeks to achieve this by reducing the costs for childcare providers, potentially improving the quality and availability of childcare in the state.
Missouri Amendment 1 was introduced during the 2023-2024 legislative session and passed in the Senate (33-0) and the House (91-27) with a simple majority. It will be on the ballot for a statewide vote on August 6, 2024, and will need a simple majority to pass and be added to the state constitution.
