Rainy Day amendment deserves support
posted Wednesday, June 15th, 2011 @ 1:13 pm
A proposed constitutional amendment working its way through the legislative process in the regular session would go a long way in aiding the state's efforts to cope with budget shortfalls in years when the state is strapped for cash.
Senate Bill 147 by Senate President Joel Chaisson would allow the state to repay money withdrawn from the Budget Stabilization Fund – better known as the Rainy Day fund – over a four-year period.
A number of years ago voters approved a constitutional amendment establishing the Rainy Day fund. It was set up for the Legislature to tap when lawmakers struggle to balance the budget in the face of declining state revenues. The constitutional amendment that authorized the Rainy Day fund requires that any money taken from the fund must be replenished the same year the money was withdrawn.