Press Release


For Immediate Release - February 14, 2003
Contact: Jerry Dowell - (573) 751-6858

The Cauthorn Report

Jefferson City, MO - This week in the Capitol, amid a backdrop of ever-widening budget shortfalls, Senator John Cauthorn, R-Mexico and his Senate colleagues gave first-round approval to a measure requiring the state to utilize performance-based budgeting practices. Stemming primarily from fiscal reform legislation drafted by Cauthorn, Senate Bill 299 requires budget officials to develop and implement a system establishing goals and objectives; provide detailed measures of program and fund performance against attainment of planned outcomes; and provide ongoing program evaluation.

"We're spending an awful lot of time in the chamber on the budget," Cauthorn, chairman of the Senate's influential Governmental Accountability and Fiscal Oversight Committee, said. "Shortfalls, deficits, tobacco money, other revenue sources, cutting expenses - it's all on the table right now and that's why this bill is so important. At a time when we're over $300 million in the hole for the current year, and looking to approach the billion dollar mark next year, enacting legislation that puts checks, balances and accountability on the budgetary process makes a heck of a lot of sense."

Cauthorn advanced his idea through the Senate last year, only to have it stall in the then Democrat-controlled House. This year, the measure has moved through the Senate much earlier in the session and needs only a final vote before it can go to the House. And, as Cauthorn notes, the House has new leadership.

If passed in the House as Cauthorn expects, the Senate's fiscal reform act would have all state departments and agencies conduct performance-based budget reviews at least once every five years beginning in 2005.

Also this week, Sen. Cauthorn readily agreed to co-sponsor two comprehensive transportation measures. Senate Bill 481 would place a number of accountability measures within the Department of Transportation.

"Voters spoke pretty clearly last year on the need for more accountability at MoDOT when the gas-tax ballot issue was overwhelmingly defeated," Cauthorn said.

The Transportation Accountability Act prohibits highway commissioners from campaigning or fundraising a feature that will de-politicize the department's top management panel. The act also establishes an independent "Transportation Inspector General," who would have the power to conduct investigations and audits relating to MoDOT and other agencies receiving highway revenues. The Inspector General would conduct performance audits of MoDOT's financial operations every three years.

Senate Joint Resolution 17 would ask voters to decide on a constitutional amendment that would ensure all revenue earmarked for MoDOT actually goes to transportation-related projects.

"Right now, a lot of gas-tax revenue is flowing through MoDOT right out the door to other state agencies," Cauthorn said. "This legislation would ensure that the tax money you pay at the pump goes to fix our crumbling roads and bridges instead of funding government bureaucracy."

Both measures have just begun the legislative process, but Cauthorn expects each will successfully emerge by session's end.

"I don't think I'd find one Missourian who thinks our roads and bridges are in good shape," Cauthorn said, "and I know I won't find a lawmaker willing to make that claim."

Earlier this week, Sen. Cauthorn denounced Governor Holden's opposition to a Cauthorn agribusiness development bill. Cauthorn described the governor's criticism as a "futile exercise in rhetoric" designed to deflect scrutiny from a Holden-backed plan funneling nearly $30 million of Missouri taxpayers' money to subsidize a baseball park.

"I've been working on a bill that expands markets and opportunities for Missouri's Ag producers and processors," Cauthorn said, "while our state's chief executive officer is bouncing checks to build ballparks."

Cauthorn's Ag measure, Senate Bill 84, would allow operators of new-generation co-ops and ethanol producers to take advantage of an existing tax credit incentive plan on a quarterly, rather than annual, basis. The incentive program has an overall cap of $6 million, with no more than $1.5 million allowed on any one project.

"For the life of me, I don't know why the governor someone with purported strong ties to rural Missouri has so much trouble understanding the benefits of my bill," Cauthorn said. "My bill allows farmers who invest in new generation cooperatives increased flexibility when using their tax credits."

While Cauthorn is working to advance his Ag development bill, Holden's administration has signed off on a plan handing out $29.45 million in tax credits to subsidize construction of an elaborate ballpark for the St. Louis Cardinals. "I have fought for our family farmers and for expanded opportunities for rural Missouri" Cauthorn said. "I guess the governor and I have different priorities."