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Speaker White, Lt. Gov. Hosemann unveil tax cuts, other proposals as 2025 legislative session starts

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mississippitoday.org – Michael Goldberg and Taylor Vance – 2025-01-06 16:38:00

Mississippi’s top legislative leaders on Monday unveiled details of their different plans to cut state taxes and potentially expand Medicaid coverage to the working poor, likely two of the main issues that will be debated at the Capitol over the next three months of the 2025 legislative session. 

Republican Lt. Gov. Delbert Hosemann said he intends to push a proposal through the Senate to trim the state’s income and grocery taxes, while House Speaker Jason White wants to abolish the income tax altogether and slash the grocery tax in half.

Hosemann, the leader of the Senate, at a Monday Stennis Capitol Press Forum proposed immediately lowering the state’s 7% sales tax on grocery items to 5% and trimming the state’s 4% income tax down to 3% over the next four years. 

Mississippi is already phasing in a major income tax cut. After rancorous debate in 2022, lawmakers agreed to a plan that will leave Mississippi with a flat 4% tax on income over $10,000, one of the lowest rates in the nation, by 2026.

Under Hosemann’s proposal, the income tax would be further reduced by .25% over the next four years and leave the state with a flat 3% income tax rate by 2030. 

“I think continuing our elimination of the income tax, I think we can afford to do that over a period of time,” Hosemann said. “And we can still fund our transportation system and our education system.”

White, a Republican from West, said at a Monday press conference in his Capitol office that he wants to phase out the income tax completely over the next eight to 10 years and reduce the grocery tax from 7% to 3.5% over an unspecified number of years. 

“I think it all needs to go, and I think you’ll see legislation from the House that does.” White said of the income tax. “Now, you’ll see legislation that makes it go in an orderly fashion over a period longer than four years.” 

White said state economic growth, which averages 2% to 3% a year when measured over many years, would cover the tax cuts and elimination.

Mississippi has the highest tax on groceries in the nation, at 7%. The state collects the grocery tax along with all other sales taxes, but remits 18.5% back to cities. For many municipalities, the sales tax on groceries is a significant source of revenue. 

Hosemann and White said separately on Monday that their plans to cut the grocery tax would include making municipalities whole. White said a potential way to do that is to allow towns and cities to enact additional sales taxes at the local level. 

Another component of the first-term speaker’s tax plan is ensuring that the Mississippi Department of Transportation has a dedicated revenue stream available to fund new road infrastructure projects, which could include raising the state’s 18.4% gas tax, one of the lowest in the nation. 

Any tax cut plan would go to Republican Gov. Tate Reeves’ desk for approval or rejection. Reeves has previously said his priority is eliminating the income tax, but he generally supports all types of tax cut packages as long as they do not raise any other tax. 

Both want to tackle Medicaid Expansion again

White and Hosemann both said negotiations around Medicaid expansion could be delayed as legislative leaders wait to hear from a new Trump administration-led Centers for Medicare and Medicaid Services what changes might be coming down the pike, and whether the agency would approve a work requirement for Medicaid recipients. 

“We’re going to pump the brakes and figure out where a Trump administration is on these issues,” White said. “Anybody that doesn’t want to do that, I think you’re not being honest with where the landscape is.”

House Speaker Jason White outlines his priorities for the 2025 legislative session Credit: Michael Goldberg/Mississippi Today

Hosemann and Senate Medicaid Chair Kevin Blackwell, R-Southaven, have both told Mississippi Today they would not consider an expansion plan that didn’t include a work requirement.

Hosemann said Monday that he has already contacted CMS about the prospect of the federal agency approving a work requirement. But “like the army, the sergeant really runs the place,” Hosemann said, meaning the provision’s approval could rest in the hands of the agency’s future administrator.

President-elect Donald Trump has selected Dr. Mehmet Oz, a TV personality and celebrity physician, to be the administrator of CMS. Conservative think tanks and congressional Republicans have floated several potential changes to Medicaid, including slashing funding for the program and introducing federal legislation to bolster or require work requirements. 

White said his caucus would continue to push for expansion despite possible cuts to the program. 

“I just don’t think Congress and the Trump administration is going to go and try to find a way to try to kick 40 state’s people off of coverage for low income workers,” White said.  

As the state continues conversations with CMS and waits for the U.S. Senate to confirm Oz, Hosemann expects the state Senate to introduce a “dummy bill,” or a placeholder containing only code sections required to expand Medicaid without approving specific details. 

White expects the starting point for negotiations between the House and Senate will be a compromise bill both chambers appear to support before the proposal fizzled and died. The compromise proposal would have expanded Medicaid coverage to individuals who make roughly $20,000, or 138% of the federal poverty level, but only if the federal government signed off on a work requirement for recipients. 

Opponents of the work requirement, including legislative Democrats, argue the bureaucracy of requiring monthly or semi-annual proof of employment further strains low-income people already facing a slew of socioeconomic barriers. Gov. Tate Reeves opposes expansion, and any expansion bill in 2025 will likely need the help of the minority party to achieve a veto-proof majority. 

PERS, CON laws, sports betting among issues on table

Hosemann also said he plans to push for legislation that: 

  • Addresses chronic absenteeism in public schools 
  • Makes the Public Employees Retirement System financially sustainable
  • Establishes last dollar tuition free community colleges 

White also said he plans to advocate for bills that: 

  • Reform certificate of need laws to state medical centers 
  • Improve transparency around pharmacy benefit managers 
  • Restore suffrage to people previously convicted of nonviolent felony offenses
  • Reinstate Mississippi’s ballot initiative process 
  • Legalize mobile sports betting 
  • Expands  public education savings accounts for students located in D and F-rated school districts, putting the state’s portion of the students’ education funding into ESAs and allow the parents to use the money for allowable education expenses including private school tuition.

This article first appeared on Mississippi Today and is republished here under a Creative Commons license.

Mississippi Today

Photos: Lawmakers gavel in for 2025 Mississippi legislative session

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mississippitoday.org – Vickie King – 2025-01-07 15:23:00

The Mississippi Legislature returned to the State Capitol on Tuesday for the start of the legislative session in Jackson.

House Speaker Jason White brings the House of Representatives to order at the beginning of the new legislative session at the State Capitol, Tuesday, Jan. 7, 2025 in Jackson. Credit: Vickie D. King/Mississippi Today
A children’s choir entertains at the the State Capitol before the start of the new legislative session, Tuesday, Jan. 7, 2025 in Jackson. Credit: Vickie D. King/Mississippi Today
Members of the House of Representatives at the start of the new legislative session at the State Capitol, Tuesday Jan. 7, 2025, in Jackson. Credit: Vickie D. King/Mississippi Today
Rep. C. Scott Bounds, R-Philadelphia, during the start of the new legislative session at the State Capitol, Tuesday, Jan. 7, 2025 in Jackson. Credit: Vickie D. King/Mississippi Today
House of Representatives look over bills during the first day of the new legislative session, Tuesday, Jan. 7, 2025 in Jackson. Credit: Vickie D. King/Mississippi Today
House Reps chat during the first day of the new legislative session, Tuesday, Jan. 7, 2025 in Jackson. Credit: Vickie D. King/Mississippi Today
Visitors to the House of Representatives pledge allegiance to the flag during the first day of the legislative session at the State Capitol in Jackson, Tuesday, Jan. 7, 2025. Credit: Vickie D. King/Mississippi Today
House of Representative members during the first day of the new legislative session at the State Capitol, Tuesday, Jan. 7, 2025 in Jackson. Credit: Vickie D. King/Mississippi Today
House members pledge allegiance to the flag during the first day of the legislative session at the State Capitol, Tuesday, Jan. 7, 2025. Credit: Vickie D. King/Mississippi Today
The legislative session began Tuesday, Jan. 7, 2025 at the State Capitol in Jackson. Credit: Vickie D. King/Mississippi Today

This article first appeared on Mississippi Today and is republished here under a Creative Commons license.

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Mississippi Today

Billionaire Tommy Duff forms Republican PAC as he weighs gubernatorial run

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mississippitoday.org – Taylor Vance – 2025-01-07 11:40:00

Billionaire Tommy Duff, as he considers a run for Mississippi governor in 2027, has formed a political action committee to help elect Republicans to city and legislative offices this year, likely to increase his influence as a political powerbroker.

Jordan Russell, a longtime Republican operative who has led several federal and state campaigns, is director of the PAC, which was formed in December. 

Russell told Mississippi Today in a statement that Duff founded the PAC to support conservative candidates and advance policies that promote “opportunities, freedom, faith-based values and prosperity across Mississippi.” 

“We are planning a significant investment in multiple races in our state to ensure strong, conservative leadership at every level of government,” Russell said. 

Duff, a Hattiesburg resident and the co-wealthiest Mississippian along with his brother Jim, has been involved in state politics for decades, but mostly behind the scenes as a megadonor and philanthropist. He recently finished an eight-year stint on the state Institutions of Higher Learning Board, first appointed by former Gov. Phil Bryant. 

READ MORE: Will a Mississippi billionaire run for governor in the poorest state?

He’s travelled around the state in recent months meeting with political and business leaders, potentially laying the groundwork for a gubernatorial run. Duff also appeared at last year’s Neshoba County Fair and made the rounds at the state’s premiere political gathering. 

Duff and his brother turned a small, struggling company into Southern Tire Mart, the nation’s largest truck tire dealer and retread manufacturer. They created Duff Capitol Investors, the largest privately held business in Mississippi, with ownership in more than 20 companies, including KLLM Transport, TL Wallace Construction and Southern Insurance Group.

Duff has recently said he’s still weighing a run for governor, but his creation of a PAC that could garner support from many down-ticket Republicans would appear to be a concrete step in that direction. Duff’s entrance into a gubernatorial race would likely cause numerous potential candidates — particularly those who have looked to him for large campaign donations — to wave off.

While statewide elections are still two years away, municipal elections will take place this year and several special legislative races will happen as well. 

Rep. Charles Young, Jr., a Democrat from Meridian, died on December 19, and Rep. Andy Stepp, a Republican from Bruce, died on December 5. Sen. Jenifer Branning, a Republican from Philadelphia, was sworn into office yesterday for a seat on the Mississippi Supreme Court. Special elections will take place later this year to fill these vacancies. 

A federal three-judge panel also ruled last year that the Legislature  must create new state Senate and House maps with Black-majority districts and conduct special elections in 2025 under those newly created districts. 

The court ordered legislators to create a majority-Black Senate district in the DeSoto County area in north Mississippi and one in the Hattiesburg area in south Mississippi. The panel also ruled the state must create a majority-Black House district in the Chickasaw County area in northeast Mississippi. 

However, the Legislature will also have to tweak many districts in the state to accommodate for the new Black-majority maps. State officials in court filings have argued that the redrawing would affect a quarter of the state’s 174 legislative districts.

This article first appeared on Mississippi Today and is republished here under a Creative Commons license.

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Mississippi Today expands politics team for 2025 legislative session

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mississippitoday.org – Adam Ganucheau – 2025-01-07 10:19:00

Mississippi Today is proud to announce the expansion of its politics team, dedicated to providing readers with in-depth reporting on the 2025 legislative session and key political issues shaping our state.

This team will rove the halls of the Mississippi Capitol in 2025, providing insightful daily updates, robust analysis, and in-depth coverage of state politics. The team will also produce investigations that aim to provide accountability to our state’s most powerful leaders.

Geoff Pender, a seasoned journalist with decades of experience covering Mississippi politics, continues his role as the politics team editor. Pender will guide the team as they tackle critical stories and offer insightful commentary on the decisions affecting Mississippians.

“We have a great team in place, a mix of old hands and fresh eyes, and one I believe will enhance Mississippi Today’s already unrivaled coverage of Mississippi government, politics and policies that impact us all,” Pender said.

Newcomers to the politics team — Simeon Gates and Michael Goldberg — join team veteran Taylor Vance to bring unique expertise to readers.

Simeon Gates, who has been with Mississippi Today since 2024, moves to the politics team to focus on education policy issues, highlighting how debates and decisions at the Capitol affect Mississippi’s schools, teachers and students. Gates is a Pearl native and alumna of University of Southern Mississippi.

Michael Goldberg joined Mississippi Today on Dec. 30, 2024, after more than two years with The Associated Press. Goldberg, who covered two Mississippi legislative sessions with the AP, will be posted at the Capitol daily. Goldberg is a California native and is an alumnus of Western Washington University and University of Southern California.

Taylor Vance, who has served on the Mississippi Today politics team since 2023, will continue to cover the Legislature and focus on elections and the political dynamics shaping the state’s future. Vance, a Grenada native, is an alumnus of the University of Mississippi.

PODCAST: Expanded Mississippi Today politics team talks 2025 legislative session

Mississippi Today Senior Political Reporter Bobby Harrison, who has been on the politics team since 2018, is transitioning to a new role in the newsroom that will be announced in coming days. Harrison will continue publishing his weekly political analysis in conjunction with newspaper partners across the state.

The politics team will continue producing its weekly podcast, “The Other Side,” and beginning this week, videos of episodes will be available to watch on our YouTube channel.

To follow Mississippi Today’s politics team and its coverage of the 2025 legislative session, you can do two things:

  1. Subscribe to our free weekly newsletter. There, the team will recap the previous week, forecast the upcoming week, and produce short videos and other written nuggets that you can’t find anywhere else.
  2. Bookmark our 2025 Legislative Guide, which includes resources you need to engage with lawmakers and follow their action this year. This page will also update whenever a new legislative story from Mississippi Today publishes.

Thank you for reading, and don’t hesitate to email us if you have any questions or tips.

This article first appeared on Mississippi Today and is republished here under a Creative Commons license.

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