NOTE: THIS IS A SUBSTITUTE BILL, MEANING THE LANGUAGE OF THE ORIGINAL BILL HAS BEEN REPLACED. THE DEGREE TO WHICH THE SUBSTITUTE BILL TEXT DIFFERS FROM THE PREVIOUS VERSION OF THE TEXT CAN VARY GREATLY.
Legislation-Joint Resolution -
Referred to Committee
March 25, 2009
Vote to pass a joint resolution that submits a constitutional amendment to the voters that limits state general revenue appropriations for any fiscal year to an amount not exceeding the annual rate of inflation plus the annual percentage change in the population of Missouri.
-Exempts revenue from the spending cap requirements if it is derived from increases in taxes or fees that were approved by the voters, as required by the state constitution because the annual revenues were in excess of $50 million adjusted annually by the percentage change in the personal income of Missouri or one percent of the total state revenue for the second fiscal year prior to the legislature's action, whichever is less (Sec. A).
-Authorizes general revenue appropriations in excess of the spending cap if the Governor declares an emergency and the legislature approves the appropriation of funds for the emergency by a two-thirds vote (Sec. A).
-Establishes the Taxpayer Protection Stabilization Fund, and requires the Commissioner of Administration to transfer all revenue in excess of the spending cap by more than one percent of total state general revenue appropriations to the fund, where it shall remain until the Commissioner determines that sufficient revenue exists for a reduction in at least one quarter of one percent of all state individual income taxes (Sec. A).
-Authorizes the legislature to appropriate funds from the Taxpayer Protection Stabilization Fund by a two-thirds vote in any fiscal year if total state general revenue appropriations exceed projected net general revenue collections (Sec. A).
-Transfers 67 percent of the revenue in the Budget Reserve Fund to the Cash Operating Reserve Fund, in which the Commissioner of Administration is authorized to transfer amounts to the General Revenue Fund or any other state fund without other legislative action if the Commissioner determines that such amounts are necessary for the cash requirements of the state (Sec. A).
-Specifies that the remaining 33 percent of the balance in the Budget Reserve Fund may only be appropriated by the legislature if the Governor declares an emergency and the legislature approves the appropriation of funds for the emergency by a two-thirds vote (Sec. A).
-This is a substitute bill sponsored by the House Budget Committee.
NOTE: AN AMENDMENT TO THE CONSTITUTION REQUIRES APPROVAL BY A SIMPLE MAJORITY IN THE HOUSE AND THE SENATE, AND THEN APPROVAL BY A SIMPLE MAJORITY OF VOTERS DURING AN ELECTION.