Did the Missouri AG approve the State Auditor's fiscal note summary for Gerald Peterson's 20-026 initiative petition amending Chapter 147 of the Revised Statutes (corporate franchise tax)?

Plain-English summary

On January 25, 2019, AG Eric Schmitt approved the State Auditor's fiscal note summary for Gerald Peterson's initiative petition 20-026, a proposed statutory amendment to Chapter 147 of the Revised Statutes of Missouri. The summary reads:

State governmental entities expect no additional costs and estimate additional annual revenues ranging from $2.9 billion to $4.5 billion. Local governmental entities expect no costs or savings.

Under § 116.175.4, RSMo, the AG's review reaches only the fiscal note summary's legal content and form. The letter states expressly that this statutory review "should be construed" neither as an endorsement of the petition nor as any view on its objectives. It does not address the accuracy of the revenue estimate or the substantive merits of the petition.

Currency note

This opinion was issued in 2019. Subsequent statutory amendments, court decisions, or later AG opinions may have changed the analysis. Treat this page as historical context, not current legal advice. Verify current law before relying on any specific rule, deadline, or remedy mentioned here.

Common questions

What did the AG actually approve here?

Only the legal content and form of the State Auditor's fiscal note summary, the short statement of estimated cost or revenue that appears on the ballot. The AG did not pass on whether the estimate is accurate or on the petition itself.

What does the summary's estimate say?

That state government expects no additional costs and additional annual revenues of $2.9 billion to $4.5 billion, with no costs or savings for local government. The petition amends Chapter 147, RSMo, Missouri's corporate franchise tax chapter. That estimate is the Auditor's; the AG reviewed only its legal content and form.

Background and statutory framework

§ 116.175, RSMo requires the State Auditor to prepare a fiscal note and fiscal note summary for each initiative petition. § 116.175.4 requires the AG's review of the summary for legal content and form.

Mo. Const. art. III, §§ 49-53 establish Missouri's initiative process.

Chapter 147, RSMo is Missouri's corporate franchise tax chapter, which this petition proposed to amend.

Citations

• § 116.175, RSMo (fiscal note and fiscal note summary requirement)
• § 116.175.4, RSMo (AG review of fiscal note summary)
• Chapter 147, RSMo (corporate franchise tax, historical)
• Mo. Const. art. III, §§ 49-53 (initiative process)
• Initiative petition 20-026 (proposed amendment to Chapter 147, submitted by Gerald Peterson)

Source

• Landing page: https://ago.mo.gov/other-resources/ag-opinions/
• Original PDF: https://ago.mo.gov/wp-content/uploads/attachments/31-2019.pdf?sfvrsn=2

Original opinion text

Best-effort transcription from a scanned PDF. Minor errors may remain, the linked PDF is authoritative.

ATTORNEY GENERAL OF MISSOURI

Eric Schmitt
Attorney General
JEFFERSON CITY
P.O. Box 899
65102
(573) 751-3321

January 25, 2019

OPINION LETTER NO. 31-2019

The Honorable Nicole Galloway
Missouri State Auditor
State Capitol, Room 121
Jefferson City, MO 65101

Dear Auditor Galloway:

This office received your letter of January 16, 2019, submitting a fiscal note and fiscal note summary prepared under § 116.175, RSMo, for an initiative petition submitted by Gerald Peterson, (20-026). The fiscal note summary that you submitted is as follows:

State governmental entities expect no additional costs and estimate additional annual revenues ranging from $2.9 billion to $4.5 billion. Local governmental entities expect no costs or savings.

Under § 116.175.4, RSMo, we approve the legal content and form of the fiscal note summary. Because our review of the fiscal note summary is mandated by statute, no action that we take with respect to such review should be construed as an endorsement of the initiative petition or as the expression of any view regarding the objectives of its proponents.

Very truly yours,

ERIC S. SCHMITT
Attorney General

OP-2019-0021