MissouriMissouri companies could get aid to produce critical materials and medicines
Starting with costs incurred in 2027, eligible Missouri contractors could seek tax credits or grants to build or equip facilities for critical materials or medicines, subject to approval and available funding.
What it does
Eligible companies may receive tax credits for building or equipping facilities that produce or process listed critical materials or medicines. A project must cost at least $5 million, and approval is required.
Eligible companies may apply for grants of up to $500,000 for project costs incurred before a facility is complete. Payments depend on state appropriations, and the company must meet the program’s eligibility rules.
Argument forCompanies could get help paying for facilities and equipment, which may support production of materials or medicines with supply risks.
Argument againstCompanies may receive tax credits or grants, which could leave less public money available for other state needs.
More detail
The Department of Economic Development may award state tax credits to eligible companies for certain project costs. The company must be a Missouri-registered nontraditional defense contractor with at least $5 million in eligible costs to build, expand, or convert a facility or buy equipment for producing or processing listed critical materials or pharmaceuticals. Contractor costs qualify only under specified Missouri hiring, bidding, and apprenticeship conditions. A company must receive approval after submitting a notice of intent and entering a written agreement with the department. Credits are not refundable; they may be carried forward for up to ten tax years and may be transferred or sold. The yearly total is capped at $40 million, with credits allowed in the order claimed if requests exceed the cap. Eligible costs must be incurred on or after January 1, 2027, for tax years beginning on or after that date.
The department must run a grant program, and approved grants may pay up to $500,000 per application. The grant program covers qualified companies making facilities or acquiring equipment to produce or process listed critical materials or pharmaceuticals. Contractor costs count only if the contractor meets the specified Missouri workforce, open-bidding, and apprenticeship requirements. Grant applications are limited to qualified companies and must cover eligible project costs incurred before the facility is complete. The Missouri Development Finance Board disburses approved awards as a third-party administrator, subject to appropriations. At least $10 million is specified for the fund, but grant payments depend on appropriated money. The program is set to sunset on December 31, 2036, unless the General Assembly renews it; existing obligations may continue after sunset.
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Where it stands
- Introduced
- Passed Senate
- Passed House
- To Governor
- Became Law
Looking ahead
No hearings or votes scheduled.
History
- 2026
- Jul 13Signed by Governor Mike KehoeBecame Law
- May 28Reported Duly Enrolled Rules, Joint Rules, Resolutions & Ethics CommitteeTo Governor
- May 28Signed by Senate President Pro Tem
- May 28Signed by House Speaker
- May 28Delivered to Governor
- May 15Voted Do Pass H Fiscal ReviewMinor
- May 15Reported Do Pass H Fiscal ReviewMinor
- May 15H Third Read and PassedMajor
- May 15Truly Agreed To and Finally PassedMajor
- May 14Bill Placed on H Informal Calendar
- May 14Executive Session Action postponed H Fiscal Review
- May 12Referred H Fiscal Review CommitteeMinor
- May 11Voted Do Pass H Rules - LegislativeMinor
- May 11Reported Do Pass H Rules - LegislativeMinor
- May 5Reported Do Pass H CommerceMinor
- May 5Referred H Rules - LegislativeMinor
- May 4Hearing Conducted H Commerce
- May 4Voted Do Pass H CommerceMinor
- Apr 28Referred H CommerceMinor
- Apr 14H Second ReadMinor
- Apr 13Voted Do Pass S Fiscal Oversight CommitteeMinor
- Apr 13Reported from S Fiscal Oversight Committee
- Apr 13S Third Read and PassedMajor
- Apr 13H First ReadMinor
- Apr 2Reported Truly Perfected S Rules, Joint Rules, Resolutions and Ethics Committee
- Apr 2Referred S Fiscal Oversight CommitteeMinor
- Apr 1SS S offered (Gregory-21)--(6232S.02F)
- Apr 1SA 1 to SS S offered & withdrawn (Moon)--(6232S02.02S)
- Apr 1SA 2 to SS S offered & adopted (Lewis)--(6232S02.01S)
- Apr 1SA 3 to SS S offered (Beck)--(6232S02.03S)
- Apr 1SA 1 to SA 3 to SS S offered & adopted (Gregory-21)--(6232S02.06S)
- Apr 1SA 3 to SS, as amended, S adoptedPassed House
- Apr 1SA 4 to SS S offered & adopted (Nicola)--(6232S02.05S)
- Apr 1SS, as amended, S adoptedPassed Senate
- Apr 1Perfected
- Mar 25Reported from S Economic and Workforce Development Committee
- Feb 25Voted Do Pass S Economic and Workforce Development CommitteeMinor
- Feb 18Hearing Conducted S Economic and Workforce Development Committee
- Feb 5Second Read and Referred S Economic and Workforce Development CommitteeMinor
- Jan 13S First ReadIntroduced
Economy & JobsTaxes & BudgetNational Security