House Approves Constitutional Spending Limit

8 years 1 month 5 days ago Thursday, January 19 2012 Jan 19, 2012 Thursday, January 19, 2012 12:39:00 PM CST January 19, 2012 in News
By: Associated Press

JEFFERSON CITY - Missouri House members approved a proposed amendment Thursday to the state Constitution that limits increases in state spending.  The measure would cap annual spending increases at 1.5 percent of the revenue collected in the previous year plus the rates of inflation and population change. Additional money would be used for debt and two state reserve funds. Eventually it would permit an income tax cut.

House members on Thursday approved the measure 105-54, which sends the proposal to the Senate.  Majority House Republicans say the spending limit is a priority.

Supporters say it would make budget decisions more sustainable and soften the severity of cuts in tight years. Critics argue it would curtail lawmakers' ability to make decisions.
Approval by the Legislature would put the measure to a statewide vote.

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