2000 Legislation
Print Friendly

HOUSE BILL NO. 569 – Budget Stabilization Fund/transfers

HOUSE BILL NO. 569

View Daily Data Tracking History

View Bill Text

View Statement of Purpose / Fiscal Impact



Text to be added within a bill has been marked with Bold and
Underline. Text to be removed has been marked with
Strikethrough and Italic. How these codes are actually displayed will
vary based on the browser software you are using.

This sentence is marked with bold and underline to show added text.

This sentence is marked with strikethrough and italic, indicating
text to be removed.

Daily Data Tracking History



H0569.....................................................by APPROPRIATIONS
BUDGET STABILIZATION FUND - Amends existing law to revise determination of
the method of calculating the amount of money to be transferred into the
Budget Stabilization Fund.
                                                                        
02/15    House intro - 1st rdg - to printing
02/16    Rpt prt - to Approp
02/29    Rpt out - rec d/p - to 2nd rdg
03/01    2nd rdg - to 3rd rdg
03/03    3rd rdg - PASSED - 47-16-7
      AYES -- Alltus, Barraclough, Barrett, Bell, Black, Bruneel,
      Callister, Campbell, Cheirrett, Clark, Crow, Deal, Denney, Ellsworth,
      Field(13), Field(20), Gagner, Geddes, Hadley, Hammond, Hansen(23),
      Hornbeck, Jones, Kellogg, Kempton, Kunz, Lake, Linford, Loertscher,
      Mader, Meyer, Mortensen, Moss, Moyle, Pearce, Pischner, Reynolds,
      Sali, Schaefer(Tiegs), Stevenson, Stone, Taylor, Tilman, Trail,
      Wheeler, Wood, Zimmermann
      NAYS -- Bieter, Boe, Chase, Cuddy, Henbest, Jaquet, Judd, Kendell,
      Marley, Pomeroy, Ridinger, Ringo, Robison, Sellman, Shepherd,
      Stoicheff
      Absent and excused -- Gould, Hansen(29), McKague, Montgomery, Smith,
      Smylie, Mr Speaker
    Floor Sponsor - Clark
    Title apvd - to Senate
03/06    Senate intro - 1st rdg - to Fin
03/14    Rpt out - rec d/p - to 2nd rdg
03/15    2nd rdg - to 3rd rdg
03/29    3rd rdg - PASSED - 23-5-7
      AYES--Andreason, Boatright, Branch, Bunderson, Burtenshaw, Cameron,
      Crow, Darrington, Davis, Deide, Frasure, Hawkins, Ingram, Ipsen,
      Keough, King-Barrutia, Lee, Noh, Richardson, Riggs, Sorensen,
      Wheeler, Williams
      NAYS--Dunklin, Schroeder, Stegner, Stennett, Whitworth
      Absent and excused--Danielson, Geddes, McLaughlin, Parry, Risch,
      Sandy, Thorne
    Floor Sponsor - Ipsen
    Title apvd - to House
03/30    To enrol
03/31    Rpt enrol - Sp signed
04/03    Pres signed - to Governor
04/13    Governor signed
         Session Law Chapter 280
         Effective: 07/01/00

Bill Text


 H0569
                                                                        
                                                                        
  ||||              LEGISLATURE OF THE STATE OF IDAHO             ||||
 Fifty-fifth Legislature                  Second Regular Session - 2000
                                                                        
                                                                        
                              IN THE HOUSE OF REPRESENTATIVES
                                                                        
                                     HOUSE BILL NO. 569
                                                                        
                                BY APPROPRIATIONS COMMITTEE
                                                                        
  1                                        AN ACT
  2    RELATING TO THE BUDGET STABILIZATION  FUND;  AMENDING  SECTION  57-814,  IDAHO
  3        CODE,  TO  REVISE  METHOD OF DETERMINING THE AMOUNT TO BE TRANSFERRED INTO
  4        THE BUDGET STABILIZATION FUND; AND AMENDING SECTION 57-814A,  IDAHO  CODE,
  5        TO CHANGE A REFERENCE FROM THE BUDGET RESERVE ACCOUNT TO THE BUDGET STABI-
  6        LIZATION FUND.
                                                                        
  7    Be It Enacted by the Legislature of the State of Idaho:
                                                                        
  8        SECTION  1.  That  Section  57-814, Idaho Code, be, and the same is hereby
  9    amended to read as follows:
                                                                        
 10        57-814.  BUDGET STABILIZATION FUND. (1) There is  hereby  created  in  the
 11    state  treasury  the budget stabilization fund for the purpose of meeting gen-
 12    eral fund revenue shortfalls and to meet expenses incurred as the result of  a
 13    major  disaster  declared  by  the  governor. All moneys in the budget reserve
 14    account at the date of approval of this act shall be transferred to the budget
 15    stabilization fund. Interest earnings from the investment of  moneys  in  this
 16    fund  by  the  state  treasurer  shall  be  credited to the permanent building
 17    account subject to the provisions of section 67-1210, Idaho Code.
 18        (2)  Subject to the requirements of section 63-3203, Idaho Code, the state
 19    controller shall annually transfer moneys from the general fund to the  budget
 20    stabilization fund subject to the following criteria:
 21        (a)  An  amount  equal  to  one percent (1%) of the total original general
 22        fund appropriations made for the fiscal year just ending, shall be  trans-
 23        ferred  to  the  budget  stabilization fund in any year in which the state
 24        controller certifies that the receipts to the general fund  for  the  just
 25        concluded  fiscal  year  have exceeded the receipts of the previous fiscal
 26        year by more than four percent (4%) If the state controller certifies that
 27        the receipts to the general fund for the  fiscal  year  just  ending  have
 28        exceeded  the  receipts of the previous fiscal year by more than four per-
 29        cent (4%), then the state controller shall transfer all general fund  col-
 30        lections in excess of said four percent (4%) increase to the budget stabi-
 31        lization  fund,  up to a maximum of one percent (1%) of the actual general
 32        fund collections of the fiscal year  just  ending.  The  state  controller
 33        shall  make  the  transfers  in  four  (4) equal amounts during September,
 34        December, March and June of the next fiscal year.
 35        (b)  The amount of moneys in  the  budget  stabilization  fund  shall  not
 36        exceed five percent (5%) of the total general fund appropriations receipts
 37        for  the  fiscal  year beginning July 1, following the legislative session
 38        just ending.
 39        (c)  The state controller shall transfer moneys in the  budget  stabiliza-
 40        tion fund in excess of the limit imposed in subsection (2)(b) of this sec-
 41        tion to the general fund.
 42        (3)  If  a  majority  of  the  membership of each house of the legislature
 43    adopt a concurrent resolution  requesting the amount of the transfer specified
                                                                        
                                           2
                                                                        
  1    in subsection (2) of this section  be  reduced,  the  state  controller  shall
  2    reduce the amount of the transfer.
  3        (4)  Appropriations  of  moneys  from the budget stabilization fund in any
  4    year shall be limited to fifty  percent  (50%)  after  the  fund  balance  has
  5    reached five percent (5%).
                                                                        
  6        SECTION  2.  That  Section 57-814A, Idaho Code, be, and the same is hereby
  7    amended to read as follows:
                                                                        
  8        57-814A.  TRANSFER FROM BUDGET RESERVE ACCOUNT STABILIZATION FUND TO  GEN-
  9    ERAL  FUND.  At  the  end  of the fiscal year, if the state board of examiners
 10    determines that insufficient general fund moneys are  available  to  meet  the
 11    level  of  general  fund appropriations authorized by the legislature for that
 12    same fiscal year, the board is hereby authorized to transfer certain  unencum-
 13    bered moneys from the budget reserve account stabilization fund to the general
 14    fund. Such transfers will be the final accounting adjustment to close the fis-
 15    cal  year  and shall be limited to the amount of the insufficiency or one-half
 16    of one percent (.5%) of the original general fund appropriations made for  the
 17    fiscal year just ending, whichever is less. Any transfer made pursuant to this
 18    section from the budget reserve account stabilization fund to the general fund
 19    shall be specifically addressed in the governor's executive budget recommenda-
 20    tion  for  the following year which is then subject to review or action by the
 21    legislature.

Statement of Purpose / Fiscal Impact


       
                   STATEMENT OF PURPOSE 
                         RS 09995 
  
  The purpose of this legislation is to adjust the trigger that determines when the state controller transfers
  general fund revenues to the budget stabilization fund (BSF) and to change the basis for calculation from
  appropriations to revenues. Currently, if general fund revenues for the fiscal year just ending exceed the
  general fund revenues for the previous year by more than 4% then the state controller transfers an amount
  equal to 1% of the original general fund appropriations from the general fund to the budget stabilization fund
  (until the BSF equals 5% of the general fund appropriation). This causes a problem if the budget is set based
  on revenues of more than 4% and less than 5% because of the need to set aside a full 1%. This legislation
  allows the legislature to set aside for transfer only the amount over 4% in years when the revenue projection
  for the current year is between 4% and 5%. Furthermore, the change in the basis from appropriations to
  revenues automatically adjusts the calculation to transfer more revenues to the BSF during good years and
  less when revenues fall below budgeted levels. 
  
  
                        FISCAL NOTE 
  
  Assuming a 5.2% increase in general fund receipts from FY 1999 to FY 2000, this legislation would move
  $336,500 more to the Budget Stabilization Fund (BSF) than under current law. 
  
                                                                           Original         General Fund   Additional     %Change                                Transfer to BSF
                    Appropriation                 Revenues                     Revenue                  in Revenue                     Current Law           Proposed    
  
                                                                                                              Previous 1999   1,610,815,500        1,624,432,900     87,590,100                                      
       What if
                                                                        Just Ending 2000   1,674,713,100     1,689,410,216        64,977,316  4.0%                   
                                                                                                           Just Ending 2000   1,674,713,100     1,692,659,082        68,226,182  4.2%           16,747,131          3,385,318
                                                                                                      Just Ending 2000   1,674,713,100     1,697,532,381        73,099,481  4.5%           16,747,131                      8,487,662
                                                                                                      Just Ending 2000    1,674,713,100    1,702,405,679        77,972,779  4.8%           16,747,131                     13,619,245
                                                                                                      Just Ending 2000    1,674,713,100    1,705,654,545        81,221,645  5.0%           16,747,131                     17,056,545
                                                                                                                     Just Ending 2000    1,674,713,100    1,708,360,001        83,927,101              5.17%             16,747,131                     17,083,600
                                                                                                           Just Ending 2000    1,674,713,100    1,721,898,874           97,465,974    6.0%           16,747,131                     17,218,989
                                                                                                                     Just Ending 2000    1,674,713,100    1,738,143,203          113,710,303              7.0%           16,747,131                     17,381,432
                                             
                                                       
  
  
  
  Contact:
                                     Representative Jim Clark 332-1000
  
                                                         STATEMENT OF PURPOSE/FISCAL NOTE                       H56