Capitol Resources Report: Weekly Legislative Update 3.3.25

Weekly Legislative Update: 3.3.25

The fate of hundreds of bills in the Mississippi Legislature rests with a deadline for committee consideration by close of business Tuesday, even as House and Senate leaders are focused on behind-the-scenes talks around a potential tax-cut package.

General bills, which do not deal directly with spending or taxing, must be approved by the other chamber by Tuesday (House bills must be approved by Senate committees, and Senate bills must be approved by House committees).

Leaders appeared to be holding back on advancing many of general bills while they were discussing the differences in the tax cut proposals put forth by each chamber. (Last week’s report has an in-depth comparison of proposals). 

 Meanwhile, lawmakers last week spent considerable time dealing with spending and tax-related legislation.

Casino Proposal for Jackson Stalls in the House

A proposal to allow a casino in downtown Jackson stalled in the House, as lawmakers from casino-heavy districts voiced concerns over competition. The bill, HB 1879 which would have permitted a single casino operator to build a $500 million resort within the Capitol Complex Improvement District, failed to secure enough support to advance.

Supporters argued that the project would create jobs, boost tourism, and revitalize Jackson’s struggling economy. However, opponents, particularly lawmakers from areas like Natchez and Vicksburg, feared it would undercut existing casinos. Private investors remain interested, and similar legislation may resurface in the future.

House Expands Private School Tax Credits Despite Opposition

The Mississippi House has approved an expansion of the Children’s Promise Act, a program that directs state tax credits to private schools and nonprofits. Under the new legislation, the cap on tax credits available to private schools would rise from $9 million to $16 million in 2025, with the potential to reach $40 million in 2027.

Supporters argue that demand for these tax credits exceeds supply and that they help fund vital services like foster care and special needs programs. However, opponents, including public school advocates, warn that the expansion diverts taxpayer dollars from public schools with little oversight on how private schools spend the money. The bills now head to the Senate, where there continues to be ongoing debates about education funding priorities.

Mississippi House Passes Employer Health Tax Credit Bill, Moves to Senate for Debate

HB 1667 passed by the Mississippi House this week, proposes an income tax credit for small employers, those with fewer than 50 employees, who offer Individual Coverage Health Reimbursement Arrangements (ICHRA) instead of traditional health insurance plans. In the first year, qualifying employers can claim a tax credit of up to $400 per covered employee, provided their ICHRA contributions meet or exceed prior benefit levels or previous health plan contributions. In the second year, the credit reduces to $200 per covered employee. Employers utilizing this credit must report to the Department of Revenue every three years, detailing whether they continue to offer ICHRAs or have reverted to traditional plans. The bill is now set for debate in the Mississippi Senate.

Key Healthcare Bills Facing Deadlines

Several important healthcare bills are moving through the Legislature, with key deadlines approaching. Two bills deal with the state’s Certificate of Need laws.  HB 922, pending in the Senate, would remove certain services from CON requirements for some behavioral health facilities, adjust oversight procedures, and change how these applications are reviewed and approved.   SB 2681, pending in the House, would more narrowly focus changes to address specific facilities in need of relief. 

Two Medicaid Tech bills, HB 1148 and SB 2867, would make various adjustments to the state’s Medicaid program, with the Senate version carrying a range of changes. These include changes to eligibility for certain, updates to how some services are reimbursed, and efforts to secure federal funding. The bills also address postpartum care, payments to hospitals, and advisory committees that help guide Medicaid policies.

Senate Approves Redistricting Plan, Special Elections Expected

The Mississippi Senate has approved a new legislative redistricting plan, moving the state closer to finalizing court-mandated changes to district boundaries. If approved by the full Legislature and a federal court, the plan will result in 10 special elections this November.

The redistricting effort comes after a 2024 federal court ruling that required adjustments to legislative maps to ensure fair representation. As part of the changes, two new majority-Black districts have been created in DeSoto and Forrest counties, increasing opportunities for broader voter representation. While several district lines have been modified, lawmakers worked through multiple revisions to develop a plan that meets legal requirements and maintains continuity for communities.

The measure now moves to the House for further consideration. The House previously passed its own version of the redistricting plan earlier in the session, which also included adjustments to existing districts. Both chambers continue working toward finalizing a plan that meets federal guidelines while maintaining stability in Mississippi’s legislative process.

Cheers, Mississippi! Governor Reeves Signs Direct Wine Shipping Bill into Law

Mississippi wine lovers celebrated this week!  Governor Tate Reeves has officially signed SB 2145 into law, making it easier than ever to enjoy specialty wines that aren’t available in local stores. Starting July 1, 2025, residents can have up to 12 cases per vineyard shipped directly to their door each year. With this move, Mississippi joins 47 other states in embracing direct wine shipments.

Mississippi PBM Legislation Update

Both the House and Senate have passed legislation aimed at addressing pharmacy benefit managers and prescription drug costs in Mississippi. House Speaker Jason White has made it clear that he is committed to working with independent pharmacists, the Board of Pharmacy, and, importantly, the business community to develop a solution that balances much-needed support for independent pharmacists with protecting employers and consumers.

Earlier this session, the House passed HB 1123 and the Senate has passed SB 2677 Speaker White has expressed his commitment to working with Senate leaders to craft the most impactful reform possible. He highlighted that the House’s priority is to support independent pharmacists while also ensuring that Mississippi businesses and consumers are not burdened with higher health insurance costs.

Speaker White has said that Representative Hank Zuber and Senator Hob Bryan, chairman of the Senate Public Health and Welfare Committee, are collaborating on a final bill that aims to be a win-win for both independent pharmacists and the business community. With both bills having passed their chambers with strong bipartisan support, discussions are ongoing to finalize a reform package that works for all stakeholders.

The House bill is now in Bryan’s committee, while the Senate bill is under review in the House State Affairs and Accountability, Efficiency, and Transparency committees.  Read more here

Financial Literacy Classes Could Soon Be Mandatory for Mississippi Students

Mississippi lawmakers are pushing forward legislation that would require students to demonstrate financial literacy before graduating high school. Under SB 2147, students in grades six through twelve would take financial education courses, with the requirement taking full effect by 2031.

The curriculum would cover essential life skills such as budgeting, credit management, and saving, knowledge that lawmakers say is crucial for preparing students for adulthood. The bill has passed the Senate and is moving through the House with strong bipartisan support. If signed into law, it would establish a financial literacy trust fund to ensure proper implementation across the state’s public schools.

Mississippi Strengthens Ties with Israel Through Legislative Caucus

Mississippi lawmakers have officially formed the Mississippi-Israel Legislative Caucus, reinforcing the state’s long-standing partnership with Israel. The caucus aims to promote collaboration in fields such as cybersecurity, artificial intelligence, and medical research, with potential breakthroughs in areas like autism treatment.

Officials highlighted the economic and academic ties between Mississippi and Israel, which have already resulted in $47 million in trade. This initiative comes as Mississippi invests in new artificial intelligence and cybersecurity centers, making the state a key player in high-tech innovation. With bipartisan leadership, the caucus seeks to expand research exchanges and economic opportunities, underscoring Mississippi’s commitment to international collaboration.

Next Deadline:

Tuesday, March 4:  Deadline for COMMITTEES TO REPORT general bills and constitutional amendments originating in OTHER HOUSE.  Full deadline calendar can be found here