Missouri REALTORS®,
In the final hours of the 2nd Regular Session of the 101st General Assembly, the House truly agreed and finally passed Senate Substitute for House Committee Substitute for House Bill 1662.
Rep. Craig Fishel (R. Springfield) introduced the bill prohibiting deeds recorded on or after August 28, 2022, "from specifically referencing restrictions relating to a person's race, color, religion, or national origin." Additionally, it provided a method for an owner to release the prohibited covenants with a certificate of release provided in the act.
While current Missouri statutes make those covenants void and unenforceable, they persist in the record because there is no way to easily remove them. Interestingly enough, that statute, found at 442.403 RSMo, was passed in 1993, 45 years after the decision in Shelley v. Kraemer – a U.S. Supreme Court decision that found state action to enforce such covenants was a violation of the Fourteenth Amendment.
In the Senate, the bill was offered as a Senate Substitute with the addition of several related sections. This included language limiting Homeowner Associations' ability to ban solar panels and sale signs entirely, and language that prohibits building codes from blocking the use of refrigerants that the federal Clean Air Act approves. The most contentious portion dealt with cities' jurisdiction over certain low-impact home-based businesses. Most, if not all, the additions had passed at least one body by significant majorities. The home-based business piece passed the House with 98 votes as a stand-alone bill. The final amendment, offered by Sen. Roberts, was twice the size of the initial substitute and included "clear title legislation" supported by St. Louis REALTORS®. This amendment was designed to assist in reducing the amount of vacant and abandoned properties in the city of St. Louis.
In addition, the Senate Substitute included language prohibiting counties, cities, towns, or villages from imposing or enforcing an eviction moratorium unless specifically authorized by state law. All references to eviction moratoriums were dropped after it became apparent that several members of the Democratic Caucus were prepared to filibuster the bill. That was a good call by Sen. Andrew Koenig, especially in a Senate that had been under significant stress since day one session.
Our House sponsor endured significant pressure just to let the bill die because of the home-based business language. As you can imagine, cities were very upset, but he stood strong.
Another major issue was the attempt in the Senate to pass a much-modified House Joint Resolution (HJR) 79. Missouri REALTORS®, with the approval of the Advocacy Committee and the Executive Committee, stayed neutral on the amended HJR. Still, after several hours of debate, it was placed on the informal calendar in the Senate and not taken up again.
In the coming week, as bills become available, I will share with you an in-depth report on the entirety of this year’s session.
Sincerely,
Sam Licklider
Chief Lobbyist, Missouri REALTORS®