JEFFERSON CITY — A decision by the Republican leader of the Missouri Senate to jettison the Legislature’s most experienced budget writer after he voted against redrawing the state’s congressional maps last week comes at a pivotal time for the state’s finances.
With state revenues expected to flatten and a once-healthy surplus disappearing, Senate President Cindy O’Laughlin on Friday dumped Sen. Lincoln Hough from his position as chairman of the powerful Senate Appropriations Committee.
The move came just 20 minutes after the Senate had adjourned from a special session where Hough was opposed to a plan to change congressional boundaries designed to create an additional safe Republican district to help President Donald Trump during the 2026 mid-term elections.
In explaining her surprise decision, O’Laughlin, R-Shelbina, said Hough’s ouster was not retribution for his objections to the new map or the way the Republican supermajority muscled the measure through the upper chamber with no debate.
“He is one of the most talented senators l’ve met and the change has nothing to do with votes as some have conjectured,” O’Laughlin said in a statement.
Rather, she said with Hough term limited and leaving office after 2026, she wanted a succession plan in place heading into next year’s legislative session. It is presumed the vice-chairman of the budget panel, Sen. Rusty Black of Chillicothe, will be elevated to the chairmanship.
“In my view we need an appropriations chair who can get acclimated to the job before the turnover occurs. It has been my plan to appoint a chairman who can gain experience and continue on after the seats change next year,” O’Laughlin said in a statement.
In an interview Monday on the Missourinet radio network, Hough, R-Springfield, called O’Laughlin’s statement “completely disingenuous.” The Senate president, for example, has not moved to replace any of the other term-limited senators from their committee chair slots, he said.
The dispute overshadowed an emerging budget shortfall that could mean significant cuts to the state’s $50 billion budget next year with an inexperienced Senate budget writer at the helm.
Republican Gov. Mike Kehoe’s administration is already preparing for the potential squeeze, calling on state agencies to draw up contingency plans for the possibility of 20% reductions in spending.
In August, Office of Administration spokesman Shayne Martin told the Post-Dispatch that the governor’s budget office wants to see what the potential cuts will look like when state agencies submit their spending requests to Kehoe in two weeks. Agencies were told to look at cuts ranging from 10% to one-fifth of the current spending level.
“What you are referring to is the core reduction exercise and it has been done in many different administrations and is common in state government budget preparation process,” Martin said. “The core reduction exercise asks agencies to run different scenarios and is a best practice for good budgeting.”
The scenario is raising alarm bells among budget experts, who say schools, mental health service providers and social service programs could see cuts.
“While it’s true that other administrations have had budget struggles, I think the next year will be unique due to several dynamics,” said Amy Blouin, president and CEO of the Missouri Budget Project. “First, federal cuts will converge with any state cuts and it’ll feel like a one-two punch for every entity that provides services using public funds.”
A third factor is the state’s dwindling surplus, which had built up through the post-pandemic economy and cushioned the effect of tax cuts that were approved by the Republican-controlled House and Senate. Kehoe cited the tax cuts in June when he vetoed more than $500 million in spending.
“We’ve been living on borrowed time,” said Blouin, whose organization provides independent research and analysis on state budget policy.
Compounding the state’s financial challenges is Trump’s budget reconciliation measure, which includes cuts to Medicaid and the food stamp program known as SNAP.
“The cuts will not only reduce services that all Missourians rely on and which help our communities thrive, but they will have a severe impact on the economy in the state,” Blouin said.
Get Government & Politics updates in your inbox!
Stay up-to-date on the latest in local and national government and political topics with our newsletter.
* I understand and agree that registration on or use of this site constitutes agreement to its user agreement and privacy policy.
Kurt Erickson | Post-Dispatch
Jefferson City reporter
Get email notifications on {{subject}} daily!
Your notification has been saved.
There was a problem saving your notification.
{{description}}
Email notifications are only sent once a day, and only if there are new matching items.
Followed notifications
Please log in to use this feature
Log In
Don’t have an account? Sign Up Today