Rainy Day Fund gets initial OK in Senate

JEFFERSON CITY, Mo. -- With time and state revenue both running short, the Senate gave initial approval Monday to a bill authorizing use of $120 million from an emergency savings account to help fund the current budget.

The legislation, which would let the state pay its bills through June 30, advanced on a 31-2 vote and needs final Senate approval before moving to the House.

Under the Missouri Constitution, borrowing from the so-called Rainy Day Fund requires approval by two-thirds of both the Senate and the House.

The magic number of Senate votes needed on final passage is 23, with 109 votes needed in the House.

The state has a projected shortfall of $230 million in the 2002 fiscal year because of lower-than-expected state income tax revenue.

The bill also would divert $50.7 million in tobacco settlement revenue to help cover the shortfall.

That money originally was appropriated for early childhood programs, life sciences research, anti-tobacco efforts and health-care programs.