Bill Text: MN SF2528 | 2013-2014 | 88th Legislature | Introduced
Bill Title: Budget reserve increase; priorities for additional forecast revenues establishment
Spectrum: Partisan Bill (Democrat 1-0)
Status: (Introduced - Dead) 2014-03-10 - Referred to Finance [SF2528 Detail]
Download: Minnesota-2013-SF2528-Introduced.html
1.2relating to state financial management; increasing the budget reserve; setting
1.3priorities for additional forecast revenues; amending Minnesota Statutes 2012,
1.4section 16A.152, subdivisions 1a, 2; repealing Minnesota Statutes 2012, section
1.516A.152, subdivision 1b.
1.6BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF MINNESOTA:
1.7 Section 1. Minnesota Statutes 2012, section 16A.152, subdivision 1a, is amended to
1.8read:
1.9 Subd. 1a. Budget reserve. A budget reserve account is created in the general
1.10fund in the state treasury. The target amount for the budget reserve account for the
1.11biennium beginning July 1, 2015, is $2,000,000,000. On July 1 of each subsequent
1.12odd-numbered year, the commissioner shall determine the target amount for the current
1.13biennium by adjusting the target amount for the prior biennium by the commissioner's
1.14estimate of the percentage change in general fund spending for the current biennium over
1.15the prior biennium. The commissioner of management and budget shall transfer to the
1.16budget reserve account on July 1 of each odd-numbered year any amounts specifically
1.17appropriated by law to the budget reserve.
1.18 Sec. 2. Minnesota Statutes 2012, section 16A.152, subdivision 2, is amended to read:
1.19 Subd. 2. Additional revenues; priority. (a) If on the basis of a forecast of general
1.20fund revenues and expenditures, the commissioner of management and budget determines
1.21that there will be a positive unrestricted budgetary general fund balance at the close of
1.22the biennium, the commissioner of management and budget must allocate money to the
1.23following accounts and purposes in priority order:
2.1 (1) the cash flow account established in subdivision 1 until that account reaches
2.2$350,000,000;
2.3 (2) the budget reserve account established in subdivision 1a until that account
2.4reaches $653,000,000;
2.5 (3) the amount necessary to increase the aid payment schedule for school district
2.6aids and credits payments in section127A.45 to not more than 90 percent rounded to the
2.7nearest tenth of a percent without exceeding the amount available and with any remaining
2.8funds deposited in the budget reserve;
2.9 (4) the amount necessary to restore all or a portion of the net aid reductions under
2.10section127A.441 and to reduce the property tax revenue recognition shift under section
2.11123B.75, subdivision 5
, by the same amount; and
2.12(5) to thestate airports fund, the amount necessary to restore the amount transferred
2.13from the state airports fund under Laws 2008, chapter 363, article 11, section 3,
2.14subdivision 5 budget reserve account under subdivision 1a until the account reaches
2.15the target amount for the current biennium, but no more than ten percent of the amount
2.16remaining after the requirement in clause (4) is allocated for this purpose.
2.17 (b) The amounts necessary to meet the requirements of this section are appropriated
2.18from the general fund within two weeks after the forecast is released or, in the case of
2.19transfers under paragraph (a), clauses (3) and (4), as necessary to meet the appropriations
2.20schedules otherwise established in statute.
2.21 (c) The commissioner of management and budget shall certify the total dollar
2.22amount of the reductions under paragraph (a), clauses (3) and (4), to the commissioner of
2.23education. The commissioner of education shall increase the aid payment percentage and
2.24reduce the property tax shift percentage by these amounts and apply those reductions to
2.25the current fiscal year and thereafter.
2.26 Sec. 3. REPEALER.
2.27Minnesota Statutes 2012, section 16A.152, subdivision 1b, is repealed.
1.3priorities for additional forecast revenues; amending Minnesota Statutes 2012,
1.4section 16A.152, subdivisions 1a, 2; repealing Minnesota Statutes 2012, section
1.516A.152, subdivision 1b.
1.6BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF MINNESOTA:
1.7 Section 1. Minnesota Statutes 2012, section 16A.152, subdivision 1a, is amended to
1.8read:
1.9 Subd. 1a. Budget reserve. A budget reserve account is created in the general
1.10fund in the state treasury. The target amount for the budget reserve account for the
1.11biennium beginning July 1, 2015, is $2,000,000,000. On July 1 of each subsequent
1.12odd-numbered year, the commissioner shall determine the target amount for the current
1.13biennium by adjusting the target amount for the prior biennium by the commissioner's
1.14estimate of the percentage change in general fund spending for the current biennium over
1.15the prior biennium. The commissioner of management and budget shall transfer to the
1.16budget reserve account on July 1 of each odd-numbered year any amounts specifically
1.17appropriated by law to the budget reserve.
1.18 Sec. 2. Minnesota Statutes 2012, section 16A.152, subdivision 2, is amended to read:
1.19 Subd. 2. Additional revenues; priority. (a) If on the basis of a forecast of general
1.20fund revenues and expenditures, the commissioner of management and budget determines
1.21that there will be a positive unrestricted budgetary general fund balance at the close of
1.22the biennium, the commissioner of management and budget must allocate money to the
1.23following accounts and purposes in priority order:
2.1 (1) the cash flow account established in subdivision 1 until that account reaches
2.2$350,000,000;
2.3 (2) the budget reserve account established in subdivision 1a until that account
2.4reaches $653,000,000;
2.5 (3) the amount necessary to increase the aid payment schedule for school district
2.6aids and credits payments in section
2.7nearest tenth of a percent without exceeding the amount available and with any remaining
2.8funds deposited in the budget reserve;
2.9 (4) the amount necessary to restore all or a portion of the net aid reductions under
2.10section
2.12(5) to the
2.13
2.14
2.15the target amount for the current biennium, but no more than ten percent of the amount
2.16remaining after the requirement in clause (4) is allocated for this purpose.
2.17 (b) The amounts necessary to meet the requirements of this section are appropriated
2.18from the general fund within two weeks after the forecast is released or, in the case of
2.19transfers under paragraph (a), clauses (3) and (4), as necessary to meet the appropriations
2.20schedules otherwise established in statute.
2.21 (c) The commissioner of management and budget shall certify the total dollar
2.22amount of the reductions under paragraph (a), clauses (3) and (4), to the commissioner of
2.23education. The commissioner of education shall increase the aid payment percentage and
2.24reduce the property tax shift percentage by these amounts and apply those reductions to
2.25the current fiscal year and thereafter.
2.26 Sec. 3. REPEALER.
2.27Minnesota Statutes 2012, section 16A.152, subdivision 1b, is repealed.
