Illinois House Bill HB5536

Illinois 2023-2024 Regular Session

• Introduced: 2/9/24
• Refer: 3/5/24
• Refer: 2/9/24
• Refer: 4/5/24

Caption

BUDGET STABILIZATION FUND

Impact

This bill significantly impacts state laws regarding fiscal management during emergencies and fluctuations in employment. By providing a clear framework for when and how funds can be accessed, it aims to streamline state responses to emergencies. The provisions encourage a proactive approach to managing financial resources, allowing the government to act when public safety is threatened or when significant economic downturns are anticipated. It reflects an effort to secure financial stability for the state, especially in times of crisis.

Summary

House Bill 5536 amends the Budget Stabilization Act to introduce specific provisions for the withdrawal and appropriation of funds from the Budget Stabilization Fund. It permits financial withdrawals under certain conditions: when the Governor declares a state of emergency due to catastrophic events, when the forecasted employment growth for a fiscal year is below 1%, and allows for general withdrawals by a supermajority vote from both houses of the General Assembly. The bill aims to ensure that funds can be accessed swiftly during emergencies to protect public safety and respond to economic challenges.

Contention

While the bill seems to centralize authority for fund withdrawal, it may also raise concerns about the potential for misuse. Opponents may argue that the provisions allowing withdrawals during emergencies could lead to funding misallocation. It attempts to balance the legislature's control over the funds with the necessity for immediate action in times of crisis, which could spark debates over fiscal responsibility and legislative overreach. The tensions between swift access to emergency funds and checks on government authority will likely be a subject of contention during discussions surrounding the bill.