Employee ownership language clears Senate, nearing final passage
A House bill to encourage more employee ownership of Missouri businesses has passed the Senate.
House Bill 2030 continues to receive strong bipartisan support, clearing the Senate by a vote of 28-2.
Because the bill was amended from the House original, it now must go back to the House for at least one additional vote before it can be sent to the governor.
The bill, sponsored by Rep. Denny Hoskins, a Republican from Warrensburg, would entice Missouri business owners to sell to their employees by providing a 50 percent tax credit on capital gains from the sale. At least 30 percent of the company would need to be transferred to employees for the tax credit to kick in.
Supporters of the bill, including the Missouri Chamber of Commerce and Industry, say it’s important to make employee ownership an attractive option when Missouri businesses are being sold. Otherwise, Missouri risks having local businesses being sold out of state or being absorbed by competitors.
Providing a path to employee ownership helps the state keep jobs. Many employee-owned businesses have thrived under this arrangement, including Burns & McDonnell, which has lobbied in support of House Bill 2030 and a similar Senate bill sponsored by Sen. Ryan Silvey, a Republican from Kansas City.
For more information, contact Tracy King, Missouri Chamber vice president of governmental affairs, at firstname.lastname@example.org or by phone at 573.634.3511.