MO SJR2

Repeals section 27(a) of article IV of the Missouri Constitution and replaces it with three new sections (23(a), 27(a), and 27(c)) relating to spending limits and budget reserves.

Establishes an "appropriations growth limit" equal to the greater of zero or the sum of annual inflation (measured by Consumer Price Index) plus annual population change in Missouri.

Limits total state general revenue appropriations to not exceed the previous fiscal year's appropriations by more than the appropriations growth limit, except when the governor declares an emergency and the legislature approves by two-thirds vote in each house.

Creates two reserve funds: a Cash Operating Reserve Fund (67% of initial balance) and a Budget Reserve Fund (33% of initial balance) to manage surplus revenues and provide for budget stabilization.

Requires excess revenues and funds exceeding reserve fund limits to be transferred to permanent reduction of state income tax rates, with the commissioner of administration notifying the director of revenue to adjust tax rates accordingly.