Monday, September 21, 2009

Capitol News for September 23rd, 2009

+ State's Economic Development Director resigns [Entered: 09/18/2009]The state official in charge of creating jobs in Missouri resigned on Sept. 14.The letter of resignation from the director of the Department of Economic Development, Linda Martinez, was submitted and accepted by Gov. Jay Nixon, but neither Nixon nor Martinez were available to explain why she resigned only eight months after receiving her post.However, Martinez wrote to Nixon, "I am sorry we have been unable to meet and therefore we have been unable to discuss and reconcile our different views on how to move the state that we both love forward." Get the extended story here. [ http://www.mdn.org/2009/STORIES/MRESIGN.HTM ]

+ Supreme Court files motion to suspend law license of embattled former lawmaker [Entered: 09/18/2009] Despite reports from several news agencies that embattled former state Rep. Steve Brown, D-St. Louis County, had refused to turn in his law license, the Supreme Court confirmed Sept. 14 that it had received Brown's petition for voluntary suspension.Art Magulis, Brown's attorney, said he sent the petition, along with Brown's license, to the court's disciplinary council office on Sept 9. The Supreme Court made a motion to suspend his license on Sept. 11. Although the court has received Brown's petition, the suspension is not automatic, and the chief disciplinary council will still have to review the petition and make a recommendation before any final action is taken. Brown resigned from the Missouri House of Representatives last month after pleading guilty to federal obstruction of justice charges relating to the unsuccessful congressional race of former state Sen. Jeff Smith, D-St. Louis City.Brown's sentencing date is set for Nov. 20.

+ Missouri legislators didn't overturn any vetoes made by the governor [Entered: 09/18/2009]In the annual veto session held in Jefferson City on Sept. 16, Missouri lawmakers upheld all vetoes made by Gov. Jay Nixon following the 2009 legislative session. By a straight party-line vote, Missouri's House upheld the Democrat governor's veto of a measure to require the administration give legislators keys to the top of the Capitol.The dome-key measure was the only veto for which even a motion was made at the veto session.The override motion failed 86-71 -- well short of the 109 votes need for a two-thirds majority to override a governor's veto.The bill's original sponsor, state Rep. Jason Smith, R-Salem, said it also contained more important financial oversight provisions that outweighed worries about issuing extra keys to the Capitol's dome area.Four of Nixon's vetoes were brought to the House floor, with three withdrawn after brief debate.In the Senate, not a single motion for an override was made as the lieutenant governor read off the list of bills vetoed by the governor. Get the extended story here. [ http://www.mdn.org/2009/STORIES/NOVETO.HTM ]

+ State sees increase in student loan defaults [Entered: 09/18/2009]The Missouri Department of Higher Education showed a 40 percent increase of student loan defaults.The department released figures that showed 4,617 borrowers from across the state are in default on their student loans -- up 40 percent since 2008.State officials attributed this increase to the current economic climate and high unemployment rates."When people lose their jobs or are working less, they typically have to prioritize things like housing and food. Sometimes they're not able to make a payment like a student loan payment -- that might lead to create a default," said Paul Wagner, deputy commissioner of the state's higher education department.Get the extended story here. [ http://www.mdn.org/2009/STORIES/LOAN.HTM ]

+ Missouri taxpayers will contribute $171 million to state pension fund next year [Entered: 09/18/2009]The pension board for state workers decided Sept. 17 that the state will need to kick $276 million into the pension fund for state employees next year -- a $20 million increase over the current budget year, according to the state budget office.The payment is the result of the national economic downturn that cut the investment returns on the retirement fund.While large, the amount approved by the pension board is a bit lower than the original $303 million estimate, thanks to a change in accounting practices.Money for the pension fund is derived from two sources: state contributions and investment earnings. Get an extended story here. [ http://www.mdn.org/2009/STORIES/MOPEN.HTM ]

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