HARRISBURG, Pa. (WHTM)– Pennsylvania will be getting over $800 million for its Rainy Day Fund.
House Bill 735 allows for the deposit of $898.3 million into the Rainy Day Fund because it clarifies the definition of the word “surplus” in the law that governs the fund. It was unanimously approved by the Senate before being approved by the House.
“The Rainy Day Fund, formally known as the Budget Stabilization Reserve Fund, provides a fiscal safety net for possible economic downturns to help prevent tax hikes and cuts to discretionary programs,” according to a news release.
The money will be deposited in one day after the Treasury gets a requisition for the Governor’s Office, Pennsylvania Treasurer Stacy Garrity announced Wednesday.
“Continuing to build our state’s Rainy Day Fund is a smart, prudent way to plan for the future,” Treasurer Garrity said. “I applaud the General Assembly and the Governor for this substantial deposit, which will strengthen Pennsylvania’s fiscal outlook. With this additional $900 million, our Rainy Day Fund will surpass $6 billion – putting our state above the national median.”
The balance for the fund will increase to more than $6.1 billion, giving Pennsylvania enough money to run for 48 days.