Bill > HB264

This bill creates incentive programs for public employees in Missouri by amending existing state law to allow public employers to provide retention and performance-based payments without those payments being considered unconstitutional bonuses. Specifically, the bill permits public employers, including school districts, to offer personnel payments up to 20% of an employee's base wage or salary for retention or exceptional performance, with two key conditions: first, the payment policy must be formally adopted and approved at least one year before the achievement, and second, the payments can be made no more than annually. The payments must be based on specific, written criteria predetermined and approved by the employer. The bill explicitly excludes employees whose salaries are set by statute from these provisions. For school districts, the bill requires that any such retention or performance payments be outlined in a written policy approved by the school board, with clear predetermined criteria. This legislation aims to provide public employers with more flexibility in compensating and retaining talented employees while maintaining transparency and preventing arbitrary bonus distributions.

https://house.mo.gov/Bill.aspx?bill=HB264&year=2025&code=R