Missouri Lawmakers are passing a bill to renew the critical Medicaid funding hours before a deadline set by Governor Mike Parson.

The house voting 140 to 13 in favor of extending a tax on hospitals, nursing homes and other medical groups that was set to expire this coming September.

That tax is used as leverage in bringing in billions in federal Medicaid funding.

Governor Parson threatened $722 million in budget cuts if lawmakers failed to pass the bill renewing the tax by today.

Typically, this bill passes with no issue, but this year a number of lawmakers tried blocking the bill to have funding for Planned Parenthood removed.

However, that effort failed and the bill on the Governor’s desk does not block the money.

***More information on this and other budget items:

(JEFFERSON CITY, MO) – Today, Governor Mike Parson signed Fiscal Year 2022 (FY22) state operating budget bills that invest in critical infrastructure projects, support stronger communities, fund workforce development priorities, and increase pre-pandemic K-12 and higher education spending levels.

“When the 2021 legislative session began, Missouri was still experiencing some of the hardest days of the global COVID-19 pandemic, which affected every state agency and Missourian,” Governor Parson said. “Yet, the Missouri General Assembly stayed the course and delivered a balanced budget that responsibly allocates taxpayers’ hard-earned money.”

The Missouri FY22 state budget is approximately $35.6 billion, including $10.5 billion in general revenue. Additionally, Governor Parson issued 26 line-item vetoes, totaling nearly $115 million. To view the complete list of budget vetoes, click here.

“Missouri’s financial situation is vastly different from what we faced in 2020, and we applaud the General Assembly for recognizing this historic opportunity to make critical investments in the future of our state,” Governor Parson said.

Key investments in infrastructure projects keep the state moving forward and have helped establish Missouri as a top destination for business expansion. Improving Missouri’s infrastructure will continue to remain a top priority for Governor Parson and his administration. The FY22 budget bills include:

• $154.4 million for State Road Fund construction projects.
• $60.2 million in bonding authority for state park improvement projects.
• $21 million for maintenance and repair projects at State Highway Patrol facilities.
• $15 million for low-volume road maintenance and repair.
• $10 million to increase broadband access in underserved areas.
• $6.3 million for port capital improvement projects.

Governor Parson understands that education and workforce development initiatives must work hand-in-hand to prepare Missouri’s next generations for the demands of the future. The FY22 budget will provide more Missourians with the education and training necessary to develop a skilled workforce by investing:

• $252.7 million and 121 staff from various state agencies to support the newly created Office of Childhood.
• $20.2 million over FY22 spending levels to four-year institutions of higher education.
• $13.2 million to support the A+ Schools Scholarship Program.
• $10 million for community colleges.
• $8.5 million to fully fund the foundation formula.
• $8.4 million for early childhood special education programs.
• $3.9 million to support the Bright Flight program.
• $2.7 million to support the Fast-Track Workforce Incentive Grant Program.
• $2 million for State Technical College.
• $2 million to grow Missouri’s new and emerging high-tech industry.
• $750,000 for 12,000 additional students to take the ACT Work Keys and Career Readiness Assessment.
• $200,000 for the Main Street Program.

During the 2021 State of the State Address, Governor Parson called on lawmakers to fund projects that strengthen the health and safety of communities all across the state. The FY22 budget will make real progress in strengthening communities by allocating:

• $166.3 million to increase development disability service provider rates.
• $15 million to establish six new crisis stabilization centers and further support existing ones.
• $8.3 million to expand the Behavioral Healthcare Home Program.
• $5.3 million for 50 additional Community Mental Health and Substance Use Disorder Liaisons.
• $3.6 million and 53 staff members to address waitlists in Missouri’s Public Defender system.
• $1 million in grants for violent crime prevention, community engagement, and law enforcement mental health support.
• $21.5 million to recruit and retain quality Department of Corrections employees.
• $6 million for county jail reimbursements.
• $2.5 million to further support recidivism reduction programs.
• $2.6 million and 11 State Highway Patrol Troopers to assist in violent crime investigations across the state.
• $1.1 million for the Operation Legend Grant Program.
• $1 million for the state’s witness protection fund.
• $575,000 to provide grant funding for law enforcement officer safety equipment.

“We applaud the work of the General Assembly for not only a balanced budget but for renewing the Federal Reimbursement Allowances program,” Governor Parson said. “With billions of dollars in jeopardy and millions of livelihoods at stake, the majority of legislators put narrow political interests aside and passed an FRA renewal bill that protects Missouri’s most vulnerable populations and builds on our pro-life principles. Without their efforts, we would be announcing unprecedented budget restrictions rather than these historic investments. To all those who helped get FRA across the finish line: we appreciate your work.”

To view the FY 2022 state operating budget bills, click here.