pull of table no amendments/
pull of table no amendments/
TIE
TIE
03:06 PM -- House Concurrent Resolution 06-1002 - Concerning a Constitutional Rainy Day Fund
Representative Gardner, prime sponsor, explained the provisions of the resolution that create a rainy day fund. He distributed amendment L.001 (Attachment I) to committee members. Representative Gardner explained that the resolution would use General Fund revenue retained by the state under Referendum C in excess of the amount estimated to be retained in the Blue Book during state fiscal years 2005-06 through 2009-10 as a funding source. Additional money from any legal source can be transferred or appropriated to the fund. He explained that there is no funding cap in the resolution. Representative Gardner said that beginning in FY 2010-11, money can be transferred from the fund to the General Fund if revenue is insufficient to allow for at least 5 percent growth in General Fund appropriations. The transfer would require an affirmative vote of two-thirds of each house of the General Assembly.
The committee discussed the funding sources in the resolution and the amendment that if adopted would change the funding sources.
The following person testified:
03:18 PM -- Mr. Ben Stein, Deputy State Treasurer, discussed the issue of whether a rainy day fund should be established in the State Constitution or be a statutory fund. Mr. Stein commented on how bond-rating agencies would view a constitutional rainy day fund as compared to a statutory fund. He closed by discussing possible funding sources along with a floor for the fund set at an amount of 5 to 10 percent of the General Fund Budget.
After a brief committee discussion, the bill was laid over.