NATIONAL LEGISLATION
Line Item Veto
The House passed H.R. 4890, the Legislative Line Item Veto Act of 2006, and it has been introduced in the Senate. This legislation amends the Congressional Budget and Impoundment Control Act of 1974 to authorize the president to propose the cutting of any dollar amount of discretionary budget authority or the repealing, in whole or in part, of any item of direct spending.
It also requires the president to send Congress a special message regarding a proposed repeal. It requires any rescinded budget authority or items of direct spending to be dedicated only to deficit reduction, and not to be used as an offset for other spending increases.

Communications
 S.B. 2686, the Communications, Consumer's Choice, and Broadband Deployment Act of 2006 is in the Committee on Commerce, Science, and Transportation. The bill includes the Internet and Universal Service Act of 2006, which requires each communications service provider to contribute to support universal service (the provision of communications service in rural, insular, and high-cost areas). It outlines requirements for distribution of universal service support to eligible communications carriers. The bill directs the Federal Communications Commission to base universal service contributions on one or more of the following methods: revenue from communications service, working phone numbers or network capacity. This could affect businesses' phone bills if the legislation is passed, and if the FCC changes its method for collecting universal service fees.

Right to Repair
The Commerce, Trade and Consumer Protection Subcommittee passed H.R. 2048, the Motor Vehicle Right to Repair Act, on a a nearly party-line 14-13 vote. The legislation would require automobile manufacturers to disclose to car buyers and repair shops information needed to diagnose, service, repair or maintain their vehicles.

MISSOURI LEGISLATION
Group Health Insurance
 Missouri Gov. Matt Blunt signed into law HB 1827. For health insurance plans issued to an association covering both small and large employers, this bill allows the difference in premium rates charged between similar classes of business to exceed 20 percent if the Director of the Department of Insurance determines it will be in the public's interest. The director may also approve additional classes of business if the plan is underwritten and rated as a single employer, has a uniform health plan design, guarantees issuance to all members and complies with all other federal and state insurance requirements. The bill also reduces the membership requirement for policies issued to associations from 100 to 50 members.

KANSAS LEGISLATION
Tax Credits
Kansas Gov. Kathleen Sebelius signed into law SB 324, which increases the Rural Business Development Tax Credit and the Kansas Community Entrepreneurship Tax Credit from 50 percent to 75 percent, not to exceed $2 million.  The law is applicable to all taxable years beginning after December 31, 2004. The bill moves the Kansas Community Entrepreneurship Fund to the Kansas Center for Entrepreneurship and allows the fund to receive contributions of cash or property other than used clothing in an amount or value of $250 or more. The center would be permitted to create a revolving loan fund.

The bill also changes the eminent domain requirements for tax increment financing (TIF) and sales tax and revenue (STAR) bond statutes to require that any property acquired by use of eminent domain that is sold, transferred or leased to a developer for a specific redevelopment project could only be used for that specific approved project. Any transfer by the redevelopment project developer of property acquired by eminent domain would require a two-thirds majority vote of the city's elected governing body.

Income Tax Credits
Kansas Gov. Kathleen Sebelius signed SB 432 into law. This allows income tax credits for employers who hire returning members of the Kansas Army and Air National Guard or members of a Kansas reserve unit who were federally activated and deployed after August 7, 1990. Due to the parameters of this bill, it only applies with a new hire and not to someone previously working for the employer.

Estate Tax
Kansas Gov. Kathleen Sebelius signed SB 365 into law. This legislation separates the Kansas estate tax from federal tax law, effective for the estates of those dying on and after January 1, 2007. Estates valued at $1 million and below would be exempt from the tax. For tax year 2007, rates would range from 3 to 10 percent. For tax year 2008, rates would range from 1 to 7 percent. And for tax year 2009, rates would range from 0.5 to 3 percent. The tax would sunset, effective for the estates of those dying on and after January 1, 2010.