Opinion handed down October
1, 2013
Thomas A. Schweich, the Missouri State Auditor,
filed a declaratory judgment action to challenge Missouri State Governor
Jeremiah W. Nixon’s announcement to withhold funds from the 2012 fiscal year
(“FY 2012”) state budget for the Missouri legislature, the Supreme Court of
Missouri, and the office of the Auditor.[2] The trial court held that the
Governor had complete discretion to withhold or reduce expenditures provided that
actual revenues were less than the estimated revenues at any time until the
final day of the fiscal year.[3] However, the Governor was not authorized to
increase appropriations based on an “estimated” designation on the line item.[4]
After review, the Supreme Court of Missouri held that the Auditor did not have
standing to seek declaratory judgment and the issue was ripe for review.[5]
Accordingly, the action was dismissed without prejudice pursuant to Missouri
Supreme Court Rule 84.14.[6]