Proposes a constitutional amendment relating to the creation of a sovereign wealth fund for the state of Missouri
Summary
HJR 189 proposes a constitutional amendment to create the “Show-Me Prosperity Fund,” a permanent public endowment housed in the state treasury. The stated purpose of the fund is to provide long-term fiscal stability and, eventually, eliminate state-imposed taxes without reducing the real value of the fund’s principal. The fund could receive appropriations from the General Assembly as well as gifts, donations, grants, and bequests.
Under the proposal, the state treasurer would invest the fund using a total-return strategy, and no money could be appropriated from it until the treasurer notifies the General Assembly that net investment earnings from the prior fiscal year are sufficient to replace the revenue from the taxes identified in the resolution. Any such notification would also need approval by concurrent resolution within the first 60 days of the next regular session. The measure limits annual withdrawals to 2% of the fund’s average market value over the previous five fiscal years and bars use of the principal except as specifically authorized in the amendment.
Impact
If adopted, the resolution would amend Article IV of the Missouri Constitution to create a new permanent state fund and establish constitutional rules governing its management, investment, and use. It would direct any appropriations from the fund toward eliminating the individual income tax, state sales and use tax, state corporate income tax, and then other state-imposed taxes in a priority order to be set by law. It also preserves legislative authority to raise taxes or appropriate other funds if the endowment cannot meet state obligations, and it allows future use of earnings for replacing federal funds or issuing resident dividends after the listed taxes are eliminated. The amendment would also require periodic audits and public reporting of the fund’s balance and performance.
Sentiment
The available context shows no committee transcript or recorded votes, so there is no documented floor or committee debate to gauge detailed sentiment. Based on the bill’s reported status of “Do Pass (H),” the measure appears to have received favorable treatment in the House committee process. The resolution’s framing suggests an optimistic, pro-growth, and fiscally transformative approach, emphasizing long-term stability and tax elimination.
Contention
The main points of contention are likely the scale and feasibility of the proposal: it would create a large permanent endowment intended to replace major tax sources, which raises questions about whether investment earnings could realistically sustain state revenue needs. Another likely concern is the restriction on appropriations until earnings are deemed sufficient, since that could delay or complicate implementation and create uncertainty about state finances. Supporters would likely focus on long-term tax relief and fiscal independence, while skeptics would likely question investment risk, revenue replacement assumptions, and the practical ability to fund core state services if the endowment underperforms.