Route Fifty: States governments now have a higher level of money saved overall in so-called rainy day funds than they did at the time when the Great Recession hit. But a handful of states lag in the current fiscal year when it comes to socking away these sorts of budget reserves.
That’s according to figures the National Association of State Budget Officers published in a report last week.
States can tap rainy day funds to help cover costs during economic downturns (when tax revenues typically slump and costs tend to rise), or in response to other unexpected events. The savings can provide an alternative to slashing programs when finances get tight.
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