Malcolm Rivera
Wyoming's Constitutional Amendment A, also known as the Local Government Stock Investing Amendment, was introduced as House Joint Resolution 9 on March 4, 2021, and approved by the House and the Senate on March 23, 2021, and April 1, 2021, respectively. The Amendment allows the Wyoming State Legislature to enable local governments to invest funds in stocks and equities. Prior to the Amendment, the state legislature could only invest funds designated as permanent funds and public employee retirement system funds in stocks. Wyoming's Constitution can be amended through a legislative process or a state constitutional convention, requiring a simple majority vote for approval.
| Characteristics | Values |
|---|---|
| Name | Constitutional Amendment A, Local Government Stock Investing Amendment |
| Date | March 4, 2021 |
| House Joint Resolution | 9 |
| House Vote | 43-16 |
| Senate Vote | 25-5 |
| House Vote on Amended Version | 46-13 |
| House Vote Date | March 23, 2021 |
| Senate Vote Date | April 1, 2021 |
| Purpose | To allow the Wyoming State Legislature to provide by law for local governments to invest funds in stocks and equities |
| Voter Requirement | Two-thirds (66.67%) vote in both the Wyoming State Senate and the Wyoming House of Representatives |
Explore related products
What You'll Learn
Legislative vs convention-referred constitutional amendment
In the context of Wyoming's Constitution, Constitutional Amendment A refers to a specific proposal to amend the state's founding document. Wyoming, like other states in the US, has a process in place for amending its constitution, which can be initiated through two primary methods: legislative action or via a constitutional convention. Here's an overview of the two processes:
Legislative Amendment Process:
The Wyoming Legislature has the power to propose amendments to the state constitution. This process begins with the introduction of a joint resolution in the state senate or house of representatives. If the joint resolution passes by a simple majority in both chambers, the proposed amendment is then put before the voters of Wyoming in the next general election. If a majority of voters approve the amendment, it becomes part of the state's constitution. This method is often used for specific and targeted changes to the constitution.
Convention-Referred Amendment Process:
Alternatively, amendments can also be proposed through a constitutional convention. This process starts with a call for a convention, which can be initiated by either a resolution passed by the legislature or a petition signed by a specified number of registered voters. If the call for a convention is successful, delegates are chosen, and they meet to discuss and propose amendments. These proposed amendments are then referred directly to the voters for approval. A convention-referred amendment bypasses the legislature and allows for more direct citizen involvement in the amendment process. This method is typically employed for more comprehensive or fundamental changes to the constitution.
In the case of Constitutional Amendment A in Wyoming, it appears that this particular amendment was proposed through the legislative process. It was introduced as House Joint Resolution No. 1 during a legislative session. The specific details of Amendment A would depend on the content of that resolution and the subsequent vote by Wyoming citizens. The legislative process is generally used for more straightforward and discrete changes, whereas a convention-referred process is often reserved for more significant revisions or overhauls of the constitution.
The distinction between the two processes lies in the level of citizen involvement and the scope of changes considered. The legislative process involves the elected representatives proposing amendments, with final approval resting with the voters. On the other hand, a convention-referred process empowers citizens to take a more direct role in proposing amendments, often resulting in a broader range of proposed changes. The choice between the two methods depends on the nature of the desired amendments and the level of citizen engagement desired.
Wyoming's constitutional amendment process, whether through the legislature or a convention, ensures that any changes to the state's foundational document reflect the will of its citizens. Both methods provide a mechanism for adapting the constitution to changing circumstances and values while maintaining a system of checks and balances to prevent hasty or unilateral changes. Understanding these processes is crucial for citizens to actively participate in shaping the laws and principles that govern their state.
Understanding Virginia's Constitutional Amendment 1
You may want to see also
Voter approval
Wyoming's Constitution provides two mechanisms for amending the state's constitution: a legislative process and a state constitutional convention. Wyoming requires a simple majority vote (50% plus 1) for voters to approve constitutional amendments. A two-thirds vote is required during one legislative session for the Wyoming State Legislature to place a constitutional amendment on the ballot. This was the case with Constitutional Amendment A, which was introduced as House Joint Resolution 9 on March 4, 2021, and was approved in the House on March 23, 2021, by a vote of 43-16. The Senate approved an amended version of the measure on April 1, 2021, in a vote of 25-5, which was sent back to the House for concurrence. The House concurred with the Senate's amendments on April 1, 2021, in a vote of 46-13.
Constitutional Amendment A, also known as the Local Government Stock Investing Amendment, allows the Wyoming State Legislature to provide by law for local governments (county, city, township, town, school district, or other political subdivision) to invest funds in stocks and equities. Prior to the approval of this amendment, the state legislature could only invest funds designated as permanent funds and public employee retirement system funds in stocks.
Another example of a constitutional amendment that required voter approval was the Wyoming Constitutional Amendment A of 2024, which related to property tax relief. Known as Constitutional Amendment A, the measure would allow the Cowboy State's legislature to place residential property into its own property class and make owner-occupied primary residences its own subclass. This would allow lawmakers to change taxation levels for residential property without impacting taxes on agricultural or commercial lands.
Hunting and Fishing: Constitutional Amendments Explained
You may want to see also
Local government stock investing
Wyoming Constitutional Amendment A, the Local Government Stock Investing Amendment, was on the ballot in Wyoming as a legislatively referred constitutional amendment on November 8, 2022. The amendment sought to allow local governments to invest in stocks and equities, removing previous restrictions. The measure was approved by voters with 63.83% in favour and 36.17% opposed.
Prior to the amendment, the Wyoming Constitution prohibited counties and municipalities from investing in equities, with only certain funds such as public employee retirement funds and permanent state funds allowed to be invested in stocks. The amendment adds a new section to Article 16 of the Wyoming Constitution, which previously restricted the investment of state funds in stocks and equities to only permanent funds of the state and public employee retirement systems.
The approval of Amendment A opens a path for local governments to generate greater returns and increase their investment portfolios. Cities and counties now have the option to invest in higher-risk stocks, although they are not required to do so. The Wyoming Legislature will need to pass legislation to explicitly give local governments the right to invest in equities, and any legislation increasing the percentage of funds to be invested will require a two-thirds supermajority vote of the state legislature.
The Master Investment Policy and Sub Investment Policies for the State of Wyoming State Loan and Investment Board are responsible for the state's investment policy, including the approval of investments for local government entities. The board's July 2021 master investment policy update allowed local governments to invest in diversified non-levered investment-grade corporate bonds. The Wyoming County Commissioners Association supported the passage of Amendment A, with counties generally supportive of gaining the option to invest in equities as a way to generate revenue without raising taxes.
In summary, Wyoming Constitutional Amendment A gives local governments the freedom to invest in stocks and equities, providing a new revenue source and the potential for greater returns. However, there are risks associated with investing in higher-risk stocks, and the Wyoming Legislature must pass legislation and safeguards to regulate how local governments can invest.
The Amendment that Completed the Constitution
You may want to see also
Explore related products
Property tax relief
Wyoming's Constitutional Amendment A, also known as the Local Government Stock Investing Amendment, is a measure that allows the state legislature to provide by law for local governments to invest funds in stocks and equities. This amendment gives local governments more flexibility in managing their finances and potentially increasing their revenue.
Prior to the approval of Constitutional Amendment A, the state legislature could only invest funds designated as permanent funds and public employee retirement system funds in stocks. However, with the passing of this amendment, local governments can now choose to invest a certain percentage of their funds in the stock market. This includes counties, cities, townships, towns, school districts, and other political subdivisions.
While this amendment provides new opportunities for local governments to grow their funds, it is important to note that any legislation establishing or increasing the percentage of funds invested in stocks and equities requires a two-thirds supermajority vote of the state legislature. This ensures that any significant changes to investment strategies have broad support and are carefully considered.
One of the key impacts of Constitutional Amendment A is its potential to provide property tax relief. By enabling local governments to invest in stocks and potentially generate higher returns, there may be reduced reliance on property taxes as a primary source of revenue. This could lead to lower property tax rates or at least slow down the rate of property tax increases over time, providing much-needed relief to homeowners, especially in areas with high property values.
However, it is important to consider the potential trade-offs and long-term implications. While providing relief to residents in the form of lower property taxes, there may be negative consequences for small landlords and rental property owners who could be affected by changing tax policies. Additionally, there is a question of whether granting the government increased discretion over taxes could lead to unintended consequences. As State Rep. Daniel Singh, R-Cheyenne, noted, voters must decide whether they trust the legislature to use this additional tool responsibly and in the best interests of the people.
Amending the Constitution: A Simpler Future?
You may want to see also
Changing residential property classes
Wyoming's Constitutional Amendment A, also known as the Local Government Stock Investing Amendment, allows the state legislature to establish residential property as its own distinct class, with a subclass for owner-occupied primary residences. This amendment empowers lawmakers to modify taxation levels specifically for residential properties without inadvertently impacting taxes on agricultural or commercial lands.
Prior to the amendment, the state legislature could only invest certain permanent funds and public employee retirement system funds in stocks. Now, the amendment enables local governments to invest funds in stocks and equities, provided that a two-thirds supermajority vote of the state legislature is secured to establish or increase the percentage of funds allocated for such investments.
The motivation behind this amendment is to provide tax relief to residents, particularly homeowners, in response to rising costs in Wyoming. State Rep. Liz Storer, who represents parts of Teton County, including the affluent area of Jackson, supports the amendment as a means to alleviate the tax burden on homeowners. Storer views it as a positive step towards future tax policy changes.
However, State Rep. Daniel Singh, who initially supported the amendment, has expressed concerns about its potential negative consequences. He cautions that it may adversely affect small landlords and grants the government greater discretion in tax matters. Singh emphasizes that the core question is whether voters trust the legislature to wield their taxation powers responsibly.
Wyoming's Amendment A ultimately places the power of property tax relief in the hands of voters, allowing them to decide whether to grant the legislature additional authority in tax matters.
The States' Rights: The 10th Amendment Explained
You may want to see also
Frequently asked questions
Constitutional Amendment A in Wyoming, also known as the Local Government Stock Investing Amendment, is a legislatively referred constitutional amendment that allows the Wyoming State Legislature to provide by law for local governments to invest funds in stocks and equities.
The Wyoming Constitution provides two mechanisms for amending the state's constitution: a legislative process and a state constitutional convention. A legislatively referred constitutional amendment requires a two-thirds (66.67%) vote in both the Wyoming State Senate and the Wyoming House of Representatives to be placed on the ballot. A convention-referred constitutional amendment requires a two-thirds (66.67%) vote during one legislative session for the Wyoming State Legislature to place a constitutional convention question on the ballot. If a simple majority of voters approve the question, then the legislature needs to call for a convention during its next session.
One argument in favour of Constitutional Amendment A is that it would allow for the diversification of the state's investment portfolio, which is key to economic success. By investing a fraction of the state's non-permanent funds in equities, the state could potentially increase its revenue and keep up with inflation. Additionally, Amendment A has the support of several key figures in Wyoming, including Wyoming Treasurer Mark Gordon, Secretary of State Ed Murray, and Auditor Cynthia Cloud.
One argument against Constitutional Amendment A is that it could expose the state to unnecessary financial risk by investing non-permanent funds in the stock market. Wyoming has experienced significant losses in the stock market in the past, and there is a risk that these losses could recur if the amendment is implemented.
