HB99 Summary

• Establishes a maximum fiscal year appropriation cap for the Education Trust Fund beginning with fiscal year 2012, calculated based on recurring revenues from the prior year adjusted by 15-year historical growth averages.

• Creates four new funds within the State Treasury: Education Trust Fund Budget Stabilization Fund, Capital Fund, Pension Liability Fund, and Retiree Health Benefits Liability Fund to receive excess revenues above the appropriation cap.

• Directs excess revenues first to the constitutional Rainy Day Account until prior withdrawals are repaid, then to the Budget Stabilization Fund until it reaches 20% of current appropriations, then distributes 35% to Capital Fund, 30% to Pension Liability Fund, and 35% to Retiree Health Benefits Liability Fund.

• Permits withdrawals from the Budget Stabilization Fund only to prevent proration upon gubernatorial certification, allocates Capital Fund for public education improvements, and directs Pension and Retiree Health Benefits funds to offset unfunded actuarial liabilities in the Teachers' Retirement System and Public Education Employees' Health Insurance Plan.

• Repeals Section 40-1-32.1 and transfers any remaining funds from the Education Trust Fund Proration Prevention Account to the Budget Stabilization Fund.