Stabilization fund transfer wins unanimous support of JFAC

Sen. Dean Cameron, R-Rupert, moved to transfer funds to the budget stabilization fund beyond the statutorily required amount, including “any excess cash balance” beyond a $5 million carry-over at the close of fiscal year 2012. Based on current revenue estimates - and assuming that the proposed $35 million tax cut bill passes - that would transfer $12.2 million in addition to the statutory transfer of $10.9 million, for a total transfer to the budget stabilization fund of $23.2 million. If the tax cut bill didn’t pass, that would transfer $35 million more into the budget stabilization fund.

Cameron said, looking at the with-the-tax-cut numbers, if you add that to the transfer already approved to the public education stabilization fund of $21.5 million, “and then if you add the money that’s still sitting in the Veterans Division if necessary in an economic downturn, you could access about $80.6 million.” The motion, seconded by Sen. Diane Bilyeu, D-Pocatello, passed unanimously.

The way the JFAC motion was structured, it works either way: If the tax cut passes, it accounts for it; if the tax cut doesn’t pass, it routes that money into the reserve account.

Cameron praised members of the joint budget committee for their work this session, which he said set an “austere” budget but one that addresses the state’s critical needs.