Missouri House Bill HB2126

Missouri 2022 Regular Session

• Introduced: 1/5/22
• Refer: 2/1/22
• Report Pass: 2/24/22
• Refer: 2/24/22

Caption

Reauthorizes the Meat Processing Facility Investment Tax Credit Act until December 31, 2028, with modifications

Impact

The bill is expected to enhance the competitiveness of Missouri's meat processing industry by incentivizing modernization and expansion. Supporters argue that by providing financial incentives, the state can encourage improvements in processing capacity and efficiency, which could ultimately lead to job creation and economic growth in rural areas where many of these facilities are located. This could also improve safety and productivity standards within the industry, benefiting consumers through higher quality meat products.

Summary

House Bill 2126, titled the 'Meat Processing Facility Investment Tax Credit Act', aims to extend the tax credit provisions for investments in meat processing facilities until December 31, 2028. This legislation allows taxpayers who own meat processing facilities in Missouri to claim a tax credit for modernization or expansion of their facilities. This includes various improvements such as construction of new buildings, upgrading utilities, and acquiring new equipment specifically designated for meat processing.

Contention

Notable points of contention around the bill include concerns about the financial implications for the state budget, as increased tax credits can lead to reduced tax revenue. Critics may argue that these incentives prioritize specific industries over others, potentially leading to unequal economic benefits across different sectors. Additionally, there may be skepticism about whether the tax credits would sufficiently motivate businesses to invest in improvements, especially in a competitive market. The discussion may also revolve around the need for accountability measures to ensure that the credits lead to real growth in production and employment.