Louisiana Senate Bill SCR42

Louisiana 2010 Regular Session

• Introduced: 4/19/10
• Refer: 4/19/10
• Report Pass: 4/21/10
• Engrossed: 5/11/10
• Refer: 5/11/10
• Report Pass: 5/12/10
• Passed: 5/18/10

Caption

Provides that monies in the Budget Stabilization Fund be available for appropriation in Fiscal Year 2009-2010. (2/3 - CA7s10.3(C)(1))

Impact

The resolution explicitly allows for the appropriation of the requested funds which is constrained to one-third of the Budget Stabilization Fund. The actions prescribed in SCR42 are designed to mitigate the effects of drastic budgetary reductions that have been primarily felt in discretionary areas like higher education and health care. Through the appropriation of these funds, the legislature aims to balance the budget and avoid catastrophic consequences, including layoffs and the cessation of essential programs.

Summary

SCR42 is a Senate Concurrent Resolution aimed at addressing a critical budget deficit faced by the state of Louisiana for the Fiscal Year 2009-2010. The bill proposes to make available a sum of $198,396,069.63 from the Budget Stabilization Fund due to a revenue forecast reduction of $319,000,000 as determined by the Revenue Estimating Conference. The intent behind this resolution stems from a series of consistent downturns in state revenue, necessitating urgent financial measures to prevent significant cuts to essential state services.

Sentiment

Discussions surrounding SCR42 reflect a sense of urgency and concern regarding financial management within the state. Supporters are likely to view it as a necessary intervention to stabilize the state’s finances amidst challenging economic conditions. However, there may also be apprehension expressed among various stakeholders about the long-term implications of relying heavily on the Budget Stabilization Fund, particularly regarding the sustainability of state funding for critical services.

Contention

A notable point of contention regarding SCR42 revolves around the potential impact of its passage on future fiscal policies. While proponents argue that the immediate need for fund appropriation is vital for maintaining state operations, some critics may view this resolution as a temporary fix that does not address underlying budgetary issues. The broader implications for fiscal responsibility and governance are central to the debate, reflecting divergent views on how best to navigate economic adversity.