Why Missouri Needs Early Literacy Reform with Cory Koedel and Avery Frank

Posted on by Susan Pendergrass

Susan Pendergrass is joined by Cory Koedel, director of education policy at the Show-Me Institute, and Avery Frank, policy analyst at the Show-Me Institute, to discuss Missouri’s early literacy crisis. They walk through the need for a universal reading screener, the evidence behind third grade retention, why banning three cueing matters, how teacher preparation programs must change to align with the science of reading, what successful states like Mississippi have done, what Missouri’s current laws get wrong, and more.

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Timestamps

00:00 The Literacy Crisis in Missouri
04:42 Strategies for Improvement
09:37 The Role of Testing and Accountability
14:21 Retention Policies and Their Impact
19:08 Legislative Solutions and Future Prospects

Produced by Show-Me Opportunity

The Data Center Debate Continues in Festus

Posted on by Scott Tanner

Amidst great debate, a city commission in Festus recently moved forward with plans for a new data center development.

Festus is not alone in its debate. Nationwide, there have been significant disputes about whether communities should want data centers in their backyards. While data centers can bring investment to a community, there are concerns about electricity, water usage, and sound.

Of the hundreds of citizens participating in the recent Festus hearing, one gentleman’s comments captured my attention. The St. Louis Post-Dispatch reported:

He urged local governments to turn any revenue gain due to the new facility into lower property taxes for the general public. He also said a data center should pay for any increase in utility rates due to the extra energy usage it requires. And, he said, the city should not offer the data center any tax incentives.

I have to wonder—has this gentleman read this article I recently published?

Jokes aside, his comments convey a few key points that I think are important to keep in mind when considering a data center project in a community.

#1: Lower taxes help drive economic growth, so a reliable course of action is to return extra revenue to taxpaying citizens.

New data center revenue ought to be returned to taxpayers through lower tax rates, easing pressure on the entire tax base. Property tax abatements should not be handed out.

#2: Find innovative solutions for electricity needs.

Last year, a major energy omnibus bill, Senate Bill 4, included a provision that protects average ratepayers from “any unjust or unreasonable costs from service to such customers [such as data centers].” This should help shield average ratepayers from rate hikes to meet this new energy demand, but some burden will likely still fall on them.

While it is a state-level solution, Missouri should explore consumer-regulated electricity (CRE), which would allow new data centers and other large customers to be served by separate, independent grids. This idea could be beneficial for both ratepayers and developers. You can read more about CRE here.

#3: Remember what data center developers are prioritizing, and do not hand out subsidies.

Lastly, the actions of the biggest data center customers have made their priorities clear.

Money does not seem to be a big factor for these enormous developers. They instead seem focused on energy availability, speed to operation, and long-term stability. A clear example of this is Microsoft pouring an enormous amount of money into restarting Three Mile Island for its data centers.

Instead of handing out subsidies, a municipality could evaluate its own permitting rules. Reducing red tape could both accelerate speed to operation and signal that the community is a dependable, long-term location.

Festus will certainly not be the last community to have a heated debate about data center development. Keeping these key principles in mind, however, may help communities have productive debates on this topic.

Missouri’s Reading Crisis: 42% of Fourth-Graders Can Barely Read

Posted on by Cory Koedel

Missouri is in a reading crisis. Forty-two percent of the state’s fourth-graders can barely read, the worst results in twenty years. When students reach third grade without strong reading skills, they fall behind in every subject and many never catch up. Other states have taken steps to reverse declining reading scores, and Missouri can too, but only if state leaders act with the urgency this crisis calls for. Reform cannot wait. The materials linked below outline the evidence-based model policy Missouri needs to begin reversing its reading decline.

The Early Literacy Reform Model Policy Packet includes:

• An infographic with key facts about Missouri’s reading crisis
• Frequently asked questions for policymakers
• Full model policy language for early literacy reforms
• A detailed policy brief with research and state comparisons
• Contact information for policy experts

Read the full Early Literacy Reform in Missouri Model Policy Packet here.

New Observations Confirm Skepticism of Creative Class Urbanism

Posted on by Scott Tanner

In a recent Vox column, Rachel Cohen Booth argues that many American cities pursued a “creative‑class” strategy in the 2000s and 2010s: they built dense housing aimed at young, child‑free professionals—studios, one‑ and two‑bedroom apartments—betting millennials would form the stable middle of urban life. According to Booth, the bet is unraveling as those millennials age into their 30s and 40s and begin having children. Because the housing stock never adapted—family‑sized apartments, townhouses, or starter homes remained rare—many of these families are leaving cities, and large urban counties have seen notable declines in their population of children under five.

Long-time readers of this site will not be surprised. I argued in 2018 that Kansas City’s “creative‑class” investments—downtown luxury apartments, entertainment districts, and infrastructure built for young urbanites—did not amount to a sustainable strategy for long‑term growth and retention. I observed that many millennials preferred the suburbs: affordable housing, space, good schools, and stable services.

Booth’s column helps explain why. The urban‑core housing boom may have been good at attracting people in their 20s and early 30s. But when that cohort started families, cities lacked housing and civic infrastructure suitable for children and long‑term residence. As a result, the creative‑class gamble has begun to backfire. Cities may keep a veneer of vibrancy and high rents, but underneath many are losing the people who once anchored stable communities—workers, taxpayers, parents, consumers.

That matters for Missouri cities such as Kansas City (and for other mid-size urban areas nationwide). A city’s strength does not come only from bars, nightlife, or trendy apartments. It comes from stable families, long‑term homeownership or stable renting, good schools, reliable infrastructure, and civic engagement grounded in predictable community roots. The creative‑class theory always rested on uncertain assumptions about life‑cycle stability.

As I pointed out in 2018, and as current national trends affirm, there is no magic bullet to make downtown living the default for most families. A better path remains broad and neutral: keep taxes reasonable, maintain infrastructure, support quality schools, and enable stable, moderately priced housing—suburban or urban—that families actually want.

Creative‑class strategies may look shiny on paper and flashy in media. But when they fail to adapt to one of life’s key transitions—from young adult to parent—their long‑term contribution to stable growth may have been nothing more than a short‑lived boom.

Kansas City Homicide Rate May Be National Leader for 2025

Posted on by Scott Tanner

A story in the November 20 issue of The Washington Post examines homicide rates in large cities across the United States, and finds that “the rate of homicides has fallen dramatically for nearly four straight years.” This is good news, of course, but the piece cautions readers that it is difficult to know why—there are plenty of contributors to crime.

The piece focused on five cities: Baltimore, Philadelphia, Chicago, Indianapolis, and Los Angeles, and detailed each city’s experience of homicides.

But what is noteworthy for Kansas Citians is that, based on the Post’s reporting of “crime data from 52 of the country’s largest police departments,” it appears that Kansas City may have the highest homicide rate for 2025—notwithstanding a reduction from previous years.

The homicide rate indicates homicides per 100,000 population; it is a useful tool for comparing cities with different total populations. While Kansas City’s total homicides in 2025 will likely be lower from the peak of 182 in 2023, when adjusted for population, it appears we may be on top. (St. Louis will likely have an even higher rate, but was not included in the Post’s analysis due to its size.)

This should serve as a reminder to all Missourians that it is not enough to reduce crime, though that is welcome. We must adopt policies that demonstrate results year over year rather than congratulate ourselves for drops that may have nothing to do with public policy. And if Kansas City does indeed end 2025 with the highest homicide rate in the country (out of the 52 cities selected for the study), it’s a reminder that public safety—and specifically homicide—must become a greater concern.

Watch: Help Build Missouri’s Legacy of Liberty

Posted on by Show-Me Institute Staff

As 2025 comes to an end, we reflect on the progress made this year, from expanding MOScholars and strengthening property rights, to improving telehealth access and supporting Missouri’s entrepreneurs. Despite challenges, including rebuilding after the May 16th tornado, our mission remains the same, ensuring every Missourian has the freedom and opportunity to prosper. As we look to the next twenty years, we invite you to stand with us. Support the Show-Me Institute and help build a lasting legacy of liberty for Missouri. 

Click Here to Support Liberty in Missouri

It’s Time to Hold DESE Accountable

Posted on by Mike Ederer

A version of the following commentary appeared in the Columbia Missourian.

For years, the Show-Me Institute has scrutinized the Missouri Department of Elementary and Secondary Education (DESE) —not out of malice, but out of a desperate desire to see our students succeed. The state’s commitment to education is vast, in terms of both a constitutional mandate and billions of dollars. Yet, as we examine the latest DESE budget request, it’s impossible to ignore the contrast between the department’s boldness when asking for money and its apparent bashfulness about what it will deliver to Missouri’s students. This disconnect reveals a fundamental weakness at the heart of the agency and a failure to act in a way that provides clear, student-focused leadership and results-based accountability.

In its FY 2027 budget request, DESE is seeking just under $9 billion, $7.5 billion of which comes from Missouri’s public coffers, to execute its mission. A large portion of the budget revenue is distributed to districts through the Foundation Formula. Other big-ticket items are the state institutions for students and adults with disabilities, subsidizing childcare for eligible families, and offsetting district transportation costs. Beyond this, there is a laundry list of programs managed by DESE and funded by the state, such as virtual education, teacher of the year awards, and summer enrichment programs. “And while there is a thousand-page accompanying document that explains what each budget line item is, there isn’t any real explanation for why the money is being requested or how it furthers education in Missouri.

Ideally, the budget request should correspond to the Strategic Plan created by DESE, with each line item of the budget request connected to a stated goal of the agency. Unfortunately, the two documents are only very loosely connected, and the disconnect demonstrates a lack of transparent, performance-driven accountability.

According to the DESE Strategic Plan for 2023–2026, DESE’s vision is to improve lives through education via the four pillars of (1) early learning and literacy, (2) success-ready students and workforce development, (3) safe and healthy schools, and (4) educator recruiting and retention. To accomplish this, DESE has given itself the following five performance measures and three-year targets.

  1. The percentage of students entering kindergarten ready to learn (from 54% to 60%).
  2. The percentage of students scoring proficient or advanced on the English Language Arts state assessment (from 43.5% to 50%).
  3. The percentage of students pursuing gainful employment after graduation (from 91% to 94%).
  4. The three-year average of initial teacher certificates issued (from 3,662 to 3,850).
  5. The three-year average annual teacher retention rate (from 89.9% to 91.2%).

Setting aside the fact that according to its Strategic Plan Scorecard it hasn’t hit any of the targets yet, this very short list of performance measures reflects an agency that is more focused on process and inputs than on measurable student outcomes. Where are the performance measures for math, science and social studies? What are the outcome goals for students with disabilities? Is all of the work of the 215 employees of the Office of Childhood to be measured by just the percentage of students entering kindergarten “ready to learn”? How does one even measure “gainful employment”? At the very least it seems like an easy number to game. How can we possibly measure the appropriateness of a 369-page, $9 billion budget request based on just these five items?

As they return to Jefferson City after the first of the year, it is time for the Missouri legislature to demand more from an agency asking for $9 billion. To hold DESE accountable and ensure taxpayer dollars are serving students first, the legislature should, at a minimum, require DESE to publicly issue an annual report that explicitly links every major budget request line item to a specific, measurable goal in its strategic plan. If a request does not directly advance a key student outcome, it should be subject to maximum scrutiny. And there should be repercussions for missing targets year after year.

The state constitution vests the responsibility for education in the legislature, not DESE. It is high time the legislature exercises its authority and forces DESE to replace its bureaucratic double-speak with real, measurable results for Missouri’s children. Our students deserve a budget that reflects a true commitment to their future, not one that simply preserves the machinery of a struggling bureaucracy.

What Should St. Louis County Do about Its Budget Shortfall?

Posted on by Mike Ederer

The two largest counties in Missouri are both having difficulties. Over in Jackson County, the assessment system is still a mess, the county executive was just recalled by the voters, and the Chiefs and Royals are being coy about their future plans, which may involve leaving the county (or state).

In St. Louis County, parts of the county are still recovering from the tornado, the county executive is under indictment (everyone is innocent until proven guilty), and county government’s 2026 budget forecast says there is an $80 million budget shortfall. The last part is the focus of this post.

Every government budget can be cut, and in every government budget there is enough waste and fat to be trimmed to make a difference. That said, cutting government spending is hard (I wish it weren’t). County governments in Missouri are not bloated bureaucracies wasting money hand over foot. They tend to operate fairly efficiently, at least by government standards. So, while making cuts should be the highest priority for the budget shortfall, I doubt that there is $80 million in waste and fraud to be trimmed. Some tough choices are going to have to be made. So, beyond cutting all the waste that it can, what should St. Louis County do?

First, if you are in a hole, stop digging. St. Louis County continues to inexplicably grant tax abatements and other subsidies that never live up to their promises. If these subsidies worked—and by “worked” I mean generated long-term revenues that outweighted the short-term costs—then St. Louis County wouldn’t be in this predicament in the first place. St. Louis County needs to stop giving away taxpayer money as part of a delusion that government planning grows the economy. And yes, this includes getting rid of the senior property tax freeze among other subsidies.

Privatization and outsourcing some services are always an important option for local governments. St. Louis County’s options here are limited, in that the county doesn’t operate any public utilities and it already provides many services via outsourcing. (This is, of course, all a good thing.) The biggest mistake county government has made in recent years is the debacle with the animal shelter. The county should never have taken the animal shelter back in-house. St. Louis County officials should admit their mistake and once again outsource management of the animal shelter.

One of the reasons St. Louis County is in this situation is that it has gone over a decade without a qualified county auditor catching mistakes and making suggestions for fiscal improvements. Hopefully, the recently hired county auditor can change that.

Now let’s talk about the revenue side. Nobody likes tax increases, but sometimes they are necessary. If the county were to consider raising taxes, what taxes should it either institute or increase?

St. Louis County voters have rejected a use tax several times, most recently in April, 2022. A use tax (which is a sales tax on online purchases) is probably the best tax option for the county from a revenue perspective. Two other options could be imposing a small county gas tax to help fund roads or a modest property tax increase. Both of these would be politically complicated.

Beyond all of this, cuts will have to be made. Those may be cuts to services people like, such as the police department or highway projects. But elected officials are there to make hard choices.

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