Statement on Governor Rejecting Use of Rainy Day Fund for 2012-13
Author:
Scott McCown /(512) 320-0222 x 109
March 15, 2011
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F. Scott McCown made the following statement in response to the Governor’s claim that he will not sign a 2012-13 budget that uses any of the $6.2 billion remaining in the Rainy Day Fund after using $3.2 billion to cover the 2011 deficit.
“After covering the 2011 deficit, Texas is at least $23 billion short of the general revenue needed to pay for current services in 2012-13. In other words, the state only has about three-fourths of the money it needs to continue doing what it is doing now. And every single thing the state does now is something that the Governor previously agreed it ought to be doing. Instead of demanding more cuts, the Governor should work with the Legislature to take a balanced approach that includes using the Rainy Day Fund and finding some new revenue.
“Governor Perry has things backwards. Texans aren’t supposed to protect the Rainy Day Fund. The Rainy Day Fund is supposed to protect Texans. Voters created the Rainy Day Fund by constitutional amendment in 1988 to offset unforeseen falls in state revenue just like the state faces in 2012-13. The Legislature and Governor should use the Rainy Day Fund to bridge the revenue hole created by the Great Recession."