On May 4, 2021, the Missouri State Senate voted 32-0 to pass a constitutional amendment expanding the types of securities and financial instruments the state treasurer can invest state funds into. It will appear on the ballot for the election on Nov. 8, 2022. The constitutional amendment would add municipal securities that receive one of the five highest ratings from a nationally recognized rating agency to the list of securities into which state funds can be invested. The constitutional amendment would also allow the legislature to pass laws allowing the treasurer to invest in other financial instruments and securities that are deemed reasonable and prudent.
The Missouri House of Representatives previously passed the amendment on March 11, 2021, by a vote of 156-1. State Rep. Aaron Griesheimer (R-61) was the amendment’s lead sponsor.
In Missouri, the state treasurer is responsible for determining how much state revenue is not needed for operating expenses and invests those remaining funds with the goal of accumulating interest income for the state. The current state treasurer is Scott Fitzpatrick (R), who was appointed to the position by Gov. Mike Parson and elected to his first full term in 2020.
Since 1985, Missouri voters have approved 69% (51 of 74) of legislatively referred constitutional amendments. The state legislature is expected to adjourn its 2021 session on May 14 and could refer additional amendments to the 2022 ballot during next year’s legislative session.