Electric Vehicle Policy Changes Coming Soon

With Missouri’s gas tax set to rise in October, it may be easy to overlook a mix of policy and program changes that will affect electric vehicle (EV) drivers.

The same bill that raised the gas tax will also raise the annual fuel decal fee that EV owners pay by 20 percent each year for five years. This means that the EV fee will rise from $75 to $150. Lawmakers are increasing this charge because EVs cause wear and tear on the state’s roads (just as gas-powered vehicles do), but EV drivers don’t pay into the state’s road-maintenance fund through gasoline taxes. Show-Me Institute researchers have estimated that the average driver of a gas-powered car in Missouri pays $250 per year in fuel taxes. A $150 fee would still have Missouri’s EV drivers paying only 60 percent of what other drivers (on average) pay. Nonetheless, it would be one the highest fees for EV drivers in the country.

The bill also establishes a new Electric Vehicle Task Force to study ways to ensure EV drivers pay fairly for road maintenance, such as through a per-kilowatt hour charge on electricity used to charge their EV. The Task Force will also attempt to ensure that non-EV drivers do not end up subsidizing EV drivers, as well as study what role actors typically not part of the transportation sector, like electric utilities and the Public Service Commission, play in the process.

The bill slates several government officials and industry representatives to be on the Task Force, and also stipulates that:

The task force may hold public meetings at which it may invite testimony from experts, or it may solicit information from any party it deems may have information relevant to its duties . . . .

I hope the Task force solicits input from ordinary citizens in addition to experts so that their voices are heard as well. The Task Force should also consider what other existing policies might be affecting drivers of both gas-powered vehicles and EVs (specifically, the federal ban on electric vehicle charging stations, gas stations, and nearly all other commercial activity at interstate rest stops).

Getting EV policy right is important. EV drivers should contribute their fair share for road maintenance just like drivers of gasoline-powered vehicles—with neither subsidizing the other. The transportation landscape in Missouri is changing, with more and more EVs hitting the road. Policymakers should remember that government’s role isn’t to promote or hinder the adoption of EVs, but rather to ensure a level playing field.

In-Person Event: Critical Race Theory in Missouri (Kansas City)

Patrick Ishmael, the Show Me Institute’s director of government accountability, sent Sunshine Law requests to Missouri schools to find out which schools are teaching Critical Race Theory. Parents, students, and taxpayers deserve to know what their schools are teaching. In October, come hear Patrick present the findings of the Show-Me Curricula Project and get a donut and coffee on us. Please RSVP to save your spot!

Register

This event is brought to you by Show-Me Institute and Show-Me Opportunity

Webster Groves Has Some Decisions to Make

Webster Groves is considering the region’s latest giant, taxpayer-subsidized, “savior” type development. By that I mean the type of mixed-use megaplex that will somehow instantly “save” the city.

The fact that the developers have requested eminent domain should disqualify it from the start. From the article about the proposal (emphasis added):

The developers have asked the city for the power to use eminent domain to force property owners to sell, but said they are not considering it now.

So they want the power of eminent domain, but as of now they say they don’t plan to use it. Until they deal with a property owner who does not feel like selling, of course. Just the threat of eminent domain impacts the entire process negatively.

They also want tax subsidies:

They need approval for $35 million in tax incentives, plus an extra sales tax.

So, a big TIF, plus a CID or TDD (to be determined), so that average people throughout the region can subsidize this development.

I don’t know if there is a real market for new apartments, condos, shops, etc. in this part of Webster Groves. There may well be. But if the project has to have huge tax subsidies and the threat of eminent domain, then I would doubt it.

The TIF commission should deny the TIF and the Webster Groves City Council should refuse the eminent domain and oppose any CID, TDD, etc. Then the developer can talk with the property owners and move forward or not.

The Devil Is Certainly in the Details

The American Rescue Plan (ARP) contains the latest federal stimulus package for public education, of which Missouri is set to receive $1.9 billion. The plan doesn’t dictate how the funds must be spent, in contrast to the education stimulus packages of the Great Recession. It does contain one pesky detail, though. Before funds can be spent, the state education agency, known as the Department of Elementary and Secondary Education (DESE) in Missouri, must engage in “meaningful consultation.” with stakeholders.

As a parent of three, I consider myself to be a key stakeholder in their education. And the guidance from the U.S. Department of Education lists students and families first and second on the list of those to include in the meaningful consultation. Did DESE consult any parents? It’s hard to say, but there is no direct indication that they did. In its application for ARP funds, DESE claims to have involved:

  • The Commissioner’s Advisory Committee
  • The Education Roundtable
  • The Commissioner’s Teacher Advisory Committee
  • “Leaders of education organizations.”

In addition, DESE claims it surveyed all superintendents and over “100 additional stakeholders.”

If by “stakeholders” the U.S. Department of Education meant those inside the education establishment, then DESE nailed it. If, on the other hand, it meant the actual stakeholders—namely families—we may have missed the mark. Not surprisingly, considering who was surveyed, DESE’s application states, “. . . survey respondents indicated support for teachers, particularly in the area of improving teacher pay.”

At least one state is taking this guidance seriously. Governor Ige of Hawaii vetoed a proposal to use stimulus money to give teachers bonuses of $2,000 precisely because the process did not include the consultation of stakeholders. Will Governor Parson do the same if DESE doesn’t reach beyond the education establishment in its decision making?

Dr. Marguerite Roza of the Edunomics Lab at Georgetown University suggests that this consultation clause presents a great opportunity for districts to do “participatory budgeting.” That doesn’t mean making budget meetings open to the public or posting the budget online for review. It simply means actually involving the community in budget decision making. As Roza states: “One question is whether it was ever possible to use a federal rule to change the process by which thousands of districts decide how to spend billions in school funds. Old habits die hard. And, let’s be honest, there are a lot of vested interests when it comes to school spending.”

It’s not about the ABC’s—It’s about the K

In education, as with the economy, recovery from the pandemic is happening at different paces for different groups. In fact, the education recovery, regardless of how steep the upward slope is overall, is already shaped like a “K.”

The downward leg of the K is made up of several types of students, including those who were not able to quickly transition to a virtual education of even modest quality. These students probably sat out the end of the 2019–20 school year and at least part of the following one. Incredibly, as of summer 2021, nearly one-quarter of Missouri students still did not have access to high-speed internet.

The bottom leg also has students—as much as 3.5 percent of enrollment in Missouri—who simply didn’t show up for the 2020–21 school year. We’re not sure where they are or how they’re doing. Finally, we have many students who have simply struggled for the last year and lost critical time in their education—from kindergartners needing to launch, to third graders needing to read fluently, to high-school students heading out into college or careers. These same students are likely among the most disadvantaged to begin with.

Of course, there are many examples of students who thrived last year and are in the top leg of the K. They may have attended private schools that knew tuition-paying parents were not going to settle for online learning for very long. They may have been public school students who found virtual learning to be a great fit. They may be in families that realized how great the homeschool experience could be as kids can work at their own pace with no limits.

It goes without saying that policymakers in Missouri—both the legislature and the Department of Elementary and Secondary Education (DESE)—need to focus like a laser on the bottom leg of the K. We need high-quality diagnostic assessments that will honestly inform students and parents about any academic growth lost to the pandemic. Then, we need to make public funds available to families so that they can find the academic resources their children need, from tutoring, to part-time learning hubs or pods, to private schools. We need to empower parents and fund everything they need.

How to Open a Life-Changing Restaurant with Brandon Chrostowski

Susan Pendergrass is joined by Chef Brandon Edwin Chrostowski. In 2007, Brandon founded EDWINS Leadership & Restaurant Institute.

EDWINS gives formerly incarcerated adults a foundation in the culinary and hospitality industry while providing a support network necessary for their long-term success.

Listen on Apple Podcasts 

Listen on Sticher 

Listen on SoundCloud

Nevada 911!

St. Louis Mayor Tishaura Jones is seeking to improve the city’s troubled 911 response system by consolidating the heretofore separate fire and police 911 systems. This is a good move, and I think it will result in service and cost benefits for the city’s residents.

911 call centers are ripe for consolidation in Missouri. A number of cities and counties throughout the state have already done this. There are obvious technological and staffing efficiencies with larger 911 systems, without any of the desire for the personal connections that can come from a smaller entity. No one cares if the 911 operator yells “Norm!” and is happy to speak to you when you call; people just want a fast, professional response.

While there is a slight difference between cities merging their municipal centers with other cities (or counties) and the City of St. Louis combining its own two call systems, I think the similarities dominate. Hopefully, we will see many more service-sharing agreements like this around the state.

That’s One Way to Do It—but It’s Certainly Not the Only Way

What is more likely to give families relief—administrative action or the court system? Missouri’s attorney general has opted for the latter. The attorney general filed a lawsuit in an effort to prevent families from having to send their children back to school in masks. This lawsuit would make it illegal for a school district to have a mask mandate. How likely is that approach to have an effect within the necessary time frame?

A lot of families have found out just this week whether their children will have to wear masks full time when they head back to school. And a lot of families on both sides are very angry. I believe that these families should not be forced to put their children in physically upsetting circumstances—whether that’s mandatory masking or optional masking—and that they need options to move their children to a different educational environment as quickly as possible. The school year is starting or has already started. The court system is slow.

Florida and Arizona have expanded existing scholarship programs to qualify families who have strong preferences on masking policy. Missouri could do the same. We have a new empowerment scholarship account that will become law in days. That program could provide the structure and federal stimulus funds—of which Missouri has received billions for education—could provide the means to put scholarships in the hands of families.  Unconventional times call for unconventional solutions.

Let’s Sunset Occupational Licenses

As this Wall Street Journal article points out, the COVID-19 pandemic shines a new light on occupational licensing requirements At a time when unemployment is still higher than before the pandemic and job openings are plentiful, do we really want unnecessary licensing requirements getting in the way of people getting back to work?

Occupational licensing adds educational requirements, fees, and other hurdles that make it harder to get a job. We see onerous requirements negatively affecting workers across the country, such as hair braiders in Louisiana (highlighted in the Journal article) who need 500 hours of training to receive a full cosmetologists license to exclusively braid hair. Lawmakers at the federal level have expressed a desire to increase competition in the workforce by reining in occupational licensing, but it is state lawmakers and licensing boards that set the standards and regulations.

Missouri lawmakers took a big step forward with occupational licensing reciprocity, but there is still more that could be done. One policy that I believe would prove beneficial for Missouri workers: Lawmakers should introduce a five-year sunset for all occupational licenses and licensing boards. With a sunset, all licenses and boards must be evaluated and approved by lawmakers every five years. The hope is that unnecessary regulations, and maybe even unnecessary licenses, will be identified and eliminated. Reducing the burden of occupational licensing will create opportunities for workers and consumers, lower prices, and increase economic growth.

Support Us

The work of the Show-Me Institute would not be possible without the generous support of people who are inspired by the vision of liberty and free enterprise. We hope you will join our efforts and become a Show-Me Institute sponsor.

Donate
Man on Horse Charging