Modifies provisions relating to the "Economic Eistress Zone Fund"
Summary
HB 1219 repeals and reenacts Missouri’s Economic Distress Zone Fund statute. The bill creates a dedicated fund in the state treasury to be used by the Department of Public Safety to provide grants or funding to IRS-registered 501(c)(3) organizations that serve residents in areas with high crime and deteriorating infrastructure, with the stated purpose of deterring criminal behavior in those areas. The fund may receive appropriations and private or other contributions, and interest or income earned on the fund must remain in the fund.
The bill also defines the qualifying areas of “high incidents of crime and deteriorating infrastructure” using objective criteria: a city with a homicide rate at least seven times the national average, a poverty rate above 20 percent, and a school district where at least 80 percent of students qualify for free or reduced-price lunch. Any state appropriations above $3 million that remain unspent at the end of the biennium would revert to general revenue, and the section is set to terminate on August 28, 2028. The Department of Public Safety is directed to promulgate rules to implement the program.
Impact
HB 1219 would amend section 650.550, RSMo, by replacing the existing Economic Distress Zone Fund provisions with a new grant funding structure and eligibility definition. It would affect the state treasury, the Department of Public Safety, and nonprofit organizations serving designated high-crime, high-poverty communities. The bill also creates a sunset date in 2028 and imposes a reversion rule for unspent appropriations above $3 million, which limits long-term fiscal exposure and keeps unused state funds in general revenue.
Sentiment
Based on the bill text and the absence of recorded committee testimony or votes in the provided materials, the overall sentiment appears policy-driven and supportive of targeted anti-crime and community-assistance funding. The measure is framed as a public safety and neighborhood stabilization tool rather than a broad spending expansion. Because no transcripts or vote history are available, there is no documented opposition or support to characterize beyond the bill’s stated purpose.
Contention
The main points of potential contention are likely to be the bill’s narrow eligibility criteria and the use of state funds for nonprofit organizations rather than direct government programs. The definition of qualifying areas—especially the homicide-rate threshold, poverty rate, and school lunch metric—could be viewed as either appropriately objective or overly restrictive, depending on perspective. Fiscal concerns may also arise from creating a dedicated fund and authorizing appropriations, although the $3 million reversion cap and sunset date may address some of those concerns.