Capitol Resources Report: Week 3 Legislative Session Update

Legislative Update: 2.3.25

Mississippi Legislative Update: Floor Debates to Heat Up

Last week there was a whirlwind of activity at the Mississippi State Capitol, with lawmakers working around the clock to meet the fast-approaching committee deadline on Tuesday. With critical bills moving through both chambers, issues such as higher education funding, Medicaid expansion, tax reform, and sports betting have dominated discussions. Here’s a breakdown of some of the key legislative developments shaping the state’s policy landscape.

Governor’s State of the State Address: Cut taxes, Focus on Energy

Standing on the south steps of the Capitol, Governor Tate Reeves delivered his State of the State Address, highlighting economic growth, tax reform, education, and energy investments. He touted $32 billion in private sector investments since 2020, pointing to major projects like Amazon Web Services’ $10 billion data center expansion and Compass Datacenters’ $10 billion investment in Meridian.

Reeves renewed his call to eliminate the state income tax, urging the Senate to act after the House passed HB 1  He framed the cut as a “once-in-a-generation opportunity”, arguing it would put more money back in Mississippians’ pockets. On healthcare, he stood firm against Medicaid expansion, dismissing it as “welfare expansion” despite growing pressure from business and medical leaders.

Education remains a priority, with Reeves celebrating Mississippi’s top-ranking math and reading gains while calling for stronger academic accountability. He urged universities to focus on career-driven degrees that lead to high-paying jobs. Additionally, he emphasized Mississippi’s energy future, spotlighting the recent groundbreaking of a $1.2 billion power plant and pushing for a diverse energy strategy that includes natural gas, nuclear, solar, and wind.

Closing on a note of urgency, Reeves challenged lawmakers to act boldly, stating that now is the time to “make Mississippi stronger, more competitive, and more prosperous.” You may read the transcript here, and you can watch the address here.

Medicaid Expansion Placeholder Bills Advance

Legislative leaders appear inclined to wait for clarity on potential federal Medicaid changes under the incoming Trump administration before rushing forth with efforts to expand health coverage through the federal private health insurance  exchange or Medicaid programs. Expansion advocates argue that increased coverage would provide critical health services for low-income Mississippians, while opponents cite fiscal concerns.  Lawmakers in both chambers, though, have introduced legislation to make a number of changes, large and small, to the Medicaid program; and those bills can be further amended. Key bills include:

  • The full House approved and sent to the Senate  HB 1148 by Rep. Missy McGee, who chairs the House Medicaid Committee.
  • And, Senate Medicaid chairman Kevin Blackwell could take up in the Senate Medicaid Committee this week SB 2867.

Changes to Certificate of Need (CON) Laws Advance in House

The House has passed  HB 922a measure that would significantly roll back Certificate of Need (CON) requirements for certain healthcare services and raise the financial thresholds that trigger CON approval. Under this bill, birthing centers, chemical dependency facilities, intermediate care centers, and psychiatric residential treatment facilities would no longer require a CON. By 2029, additional exemptions would apply to hospital-based dialysis facilities, MRI services, and invasive diagnostic imaging services.Proponents of the bill argue that reducing CON requirements will encourage investment in healthcare services and increase accessibility. The legislation also raises the financial thresholds for major medical equipment, clinical health services, and nonclinical health services, aiming to cut regulatory burdens. Additionally, the appeals process for denied CON applications would be streamlined, with decisions required within 120 days.

Opponents caution that loosening these requirements could increase costs for Medicaid by expanding access to services for low-income patients. The bill passed the House in a bipartisan 107-5 vote and now moves to the Senate for further consideration.

Homelessness and Public Safety Measures Considered

The House Judiciary A Committee has advanced HB 1203which would restrict where homeless individuals can sleep and require permits for panhandling in roadways. Supporters argue that these measures address public safety concerns, while critics warn they may criminalize poverty rather than address its root causes. Similar measures have been proposed in cities across the state, reflecting a broader national trend in homelessness policy

Higher Education Taskforce and DEI Ban Proposal

The Mississippi Senate is considering SB 2515, which would eliminate Diversity, Equity, and Inclusion (DEI) offices at public universities while also establishing a task force to evaluate the efficiency of the state’s higher education system. The proposal has reignited concerns about potential university consolidations, though supporters argue the initiative is focused on improving enrollment rates, funding distribution, and workforce preparedness. The task force would consist of lawmakers, university leaders, and members of the Institutions of Higher Learning Board, with findings expected by the end of the year.

Voter Ballot Initiative Moves Forward

The House Constitution committee has advanced House Concurrent Resolution 30to restore Mississippi voters’ ability to place initiatives on the ballot, a right that was struck down by the state Supreme Court in 2021. While the proposal would allow citizens to introduce new state laws, it notably excludes any measures related to abortion. Lawmakers are debating the structure of signature requirements, with some expressing concerns about fairness and the ongoing federal case regarding Mississippi’s Supreme Court districts.

Sports Betting Expansion Moves Forward

The push to legalize mobile sports betting gained traction this week as the House Gaming committee approved  HB 1302 , the Mississippi Mobile Sports Wagering Act. The bill ensures that all digital wagering platforms are tied to brick-and-mortar casinos, a move aimed at maintaining economic benefits for the state’s existing gambling industry. With estimates suggesting that illegal online betting is costing the state millions in lost tax revenue, supporters argue that regulation is both a financial and consumer protection necessity.

Proposed Legislation Could Limit Oversight of Mississippi Taxpayer Funds

SB 2847 passed out of the Accountability, Efficiency, Transparency committee. The bill could potentially weaken the state auditor’s authority to oversee taxpayer funds. State Auditor Shad White has voiced strong opposition, dubbing the proposal the “Mississippi Corruption Act of 2025.” White argues that reducing the auditor’s oversight power could lead to significant unaccounted-for taxpayer dollars, citing his office’s discovery of $335 million in government waste last year alone. The bill, introduced by Sen. David Parker, would prevent the auditor from examining how non-profits and for-profit entities use state funds and remove the ability to pursue legal action against those misusing taxpayer money. White warns that this legislation would undermine efforts to safeguard public resources and could result in job losses within his office.

Mississippi Senate Advances Bill to Make Insurance Commissioner an Appointed Position

A bill that would make Mississippi’s Insurance Commissioner an appointed position under the governor’s authority is moving forward in the state Senate. SB 2024 introduced by Senate Insurance Committee Chairman Walter Michel, has cleared his committee and could soon be debated on the Senate floor. The bill proposes that the commissioner be appointed for a six-year term with Senate approval, rather than elected by voters.

Current Insurance Commissioner Mike Chaney, who has held the position since 2007, has long supported this change, arguing it would remove politics from insurance regulation. He believes Mississippi should follow the lead of most other states, where the position is appointed. However, the bill does not address whether the role of State Fire Marshal, which the commissioner also holds, would remain combined with the position.

A similar bill, House Bill 1180, has been introduced in the House by Rep. Jerry Turner, chairman of the House Insurance Committee. However, it faces a more complex path, having been referred to both the House Apportionment and Elections Committee and the House State Affairs Committee. If passed, this change would not take effect until Chaney’s term ends or the office is vacated.

Senate Finance Committee Passes Bill to Allow Direct Wine Shipments

The Senate Finance Committee narrowly passed SB 2145 in a 10-9 vote. The bill, authored by Sen. Walter Michel and presented by Sen. Jeremy England, would lift Mississippi’s ban on direct wine shipments.   The legislation now moves to the Senate floor for debate, where potential changes, including limits on the amount of wine per household, could be made.

Mississippi’s Sweetest Legislation Yet!

The Mississippi House is adding a little flavor to state law with HB 287 which would officially designate the sweet potato as the state vegetable. With Mississippi ranking among the top sweet potato producers in the nation, lawmakers are embracing the homegrown favorite and giving it the recognition it deserves. If passed, the bill would make it clear that when it comes to vegetables, Mississippi’s love for sweet potatoes is as deep as the Delta soil. Stay tuned to see if this delicious decision makes its way through the Senate!

Remembering Paul Gallo and Bill Denny

Mississippi recently lost two influential figures.

Longtime radio host Paul Gallo, a towering voice in Mississippi media, passed away on January 19. With a career spanning over five decades, Gallo was known for his passionate discussions on state politics, his deep connection with his listeners, and his dedication to telling the stories of Mississippians. His impact on talk radio and public discourse will be remembered for years to come.

Former State Representative Bill Denny, who served eight terms in the Mississippi House, passed away at age 94. A veteran and banking executive, Denny played a key role in legislative redistricting and infrastructure funding during his tenure. Colleagues recall him as a dedicated public servant who helped shape many critical policies over his three-decade career.

Next Deadline

Tuesday, February 4 – Committees must report general bills and constitutional amendments originating in their own chamber.

This update provides a snapshot of the legislative action and issues moving through Mississippi’s Capitol as the session kicks into high gear. Stay tuned for additional developments and updates throughout the week  .Full deadline calendar can be found here