Will lawmakers tap the states rainy day fund? A battle may be looming
The new chief budget writer for the Texas House said Monday that he is looking at tapping the state’s more than $10 billion rainy day fund, setting up what could be the defining conflict in the battle between the House and Senate over how to deal with a tight budget.
Noting that the Economic Stabilization Fund will grow to almost $12 billion by the end of the next two-year budget cycle — which is $4 billion to $7 billion more than the Texas comptroller’s office says is needed to maintain the good will of credit rating agencies — House Appropriations Chairman John Zerwas, R-Richmond, said he is “very open” to allocating some of the money this year.
“That leaves us a lot of opportunity to consider to see what we could do with some of that money to help us bridge this delta that we have with the money in the budget,” Zerwas said after his first hearing as chairman. “It’s $12 billion that frankly far exceeds an amount of money that would have any effect on our bond ratings.”
Zerwas’ comments are no surprise given that last month’s $108.9 billion, two-year state spending proposal from House Speaker Joe Straus, R-San Antonio, exceeded the $104.9 billion that Comptroller Glenn Hegar said is available to lawmakers for 2018 and 2019.
Read more: http://www.statesman.com/news/state--regional/will-lawmakers-tap-the-state-rainy-day-fund-battle-may-looming/O8jyWrvtpinI23iEn66YzJ/