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Creating a Colorado Kind of Rainy Day Fund

HB 071302 increases the statutory general fund reserve amount up to 8% in increments of .5%. Beginning in FY 0708 the reserve would increase .5% over the prior years reserve amount as long as state general funds were sufficient to make a transfer to the HUTF of an amount equal to 10.3333% of state sales and use tax revenue. The .5% increases would stop when the reserve amount was equal to 8% of general fund spending.

Released March 6, 2007

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