From Missouri Digital News: https://mdn.org
MDN Menu

MDN Home

Journalist's Creed

Print

MDN Help

MDN.ORG: Missouri Digital News
MDN Menu

MDN Home

Journalist's Creed

Print

MDN Help

MDN.ORG Mo. Digital News Missouri Digital News MDN.ORG: Mo. Digital News MDN.ORG: Missouri Digital News
Help  

Holden Declares Economic Emergency Amid Rainy Day Controversy

March 04, 2002
By: Brian Connolly
State Capital Bureau
Links: HB 1114

Sponsor: Rep. Tim Green
Description: Appropriations bill to use money from the Budget Reserve Fund
Current Status: House Budget Committee
Next Step: Committee Hearings Tuesday and Wednesday

JEFFERSON CITY - As Gov. Bob Holden moved forward with his proposal to use an emergency fund, the chairman of the Senate Judiciaiary Committee questioned its constitutionality.

Holden signed a proclamation Monday declaring an economic emergency in Missouri, advancing his plan to fund $92.2 million worth of mental health programs with money from the state's Budget Reserve Fund, commonly called the "Rainy Day Fund."

The proposal also includes $42.8 million from the fund to pay for several other programs including home and community services programs, Amtrak, and personal care assistance. The governor declared an emergency as one of the conditions necessary for the General Assembly to use the emergency fund money.

Sen. Dave Klarich, R-St. Louis County, chairman of the Senate judiciary committee, questioned the proposal's constitutionality. The amendment governing use of the Rainy Day Fund says it can be used during the fiscal year that the emergency occurs. Holden declared the emergency today, but proposes using the fund in the fiscal year beginning July 1.

That's a moot point unless the measure passes in both the House and Senate. Holden conceded that right now he doesn't have the 2/3 majority needed, but voiced optimism that the support would come.

"Right now people are just starting to look at this thing," Holden said. "I think they will come to the same conclusion I have that we've got to use the Rainy Day Fund and we will have the support when the vote is taken."

Holden says that mental health programs affecting "the state's most vulnerable citizens" are a part of his Rainy Day Fund proposal because they're a top priority. Some legislators say he placed them there to force the General Assembly to support the controversial use of money reserved for emergencies.

"It's a political effort by the governor to make the General Assembly say you're either in favor or against these projects," Klarich said.

Holden said he'd work with lawmakers to get the budget done this session, but wouldn't rule out calling legislators back for a special session this summer.

Rep. Vicki Riback Wilson, D-Columbia, chairman of the House Appropriations Committee for Mental Health said she supports using the Rainy Day Fund. However, Wilson said the committee felt the government had a responsibility to help the most vulnerable in society, so they recommended that mental health programs, ranging from alcohol abuse treatment to at-home care for developmentally disabled children, be funded from a more "secure" source than the fund.

The House Budget Committee is scheduled to hear testimony on use of the Rainy Day Fund today and Wednesday.