Jefferson City, Mo. – The Missouri House Budget Committee has rejected a proposal by Governor Jay Nixon to use federal stimulus money to attract more employers to the state.
The governor had wanted to use $200 million to set up two funds for business incentives.
But Republican House Budget Chairman Allen Icet only allotted $100 million to the plan, and Monday night that money was diverted to projects in the districts of budget committee members from both parties.
Democrat Rachel Storch of St. Louis was one of a few committee members who preferred the original plan.
"We're kind of tying one hand behind our back when it comes to our ability to lure in some of these companies," Storch said. "We should be doing everything we can to make Missouri an attractive place for them to come. They do consider these incentives when they're making their decisions about which states to headquarter in."
Lawmakers allocated some of the money to the University of Missouri system for building maintenance and to mass transit in Kansas City.