By Rob Moritz
Arkansas News Bureau
LITTLE ROCK — The state Legislature completed the first week of its first fiscal session today with the Senate putting the bill to set spending priorities for the next fiscal year back on track.
The Senate also approved House Bill 1002, the proposed General Appropriation Act, which funds the executive, judicial and legislative branches. The $35 million bill, which does not include raises for legislators, constitutional officers, judges and other elected officials, was approved 33-0 and now goes to the governor for his signature.
The Senate voted 32-0 to approve a resolution to introduce the proposed Revenue Stabilization Act, the mechanism to prioritize spending, balance the budget and bar deficit spending by the state for the fiscal year that begins July 1.
The resolution must be approved by a two-thirds vote in both the House and Senate before the non-appropriation bill can be considered by the Legislature during the fiscal session.
It was approved by the House on Wednesday but fell two votes short in the Senate after some senators said they wanted to see the bill before voting on the resolution.
Today, Sen. Gilbert Baker, R-Conway, Senate chairman of the Joint Budget Committee, provided senators with a draft copy of the proposal, which he expects to file next week.
The proposal reflects the governor’s $4.5 billion balanced budget for the 2010-2011 fiscal year, which would restore most of the $206 million cut from this year’s budget but generally hold the line on new spending.
“If you pass this resolution the Revenue Stabilization will be passed, per these numbers,” Baker told Senate colleagues.
Also today, the Senate voted 33-0 to approve House Bill 1001, the bill which appropriates $1.14 million for House operations during the session.
Baker and Rep. Bruce Maloch, D-Magnolia, the budget panel’s House chairman, said a tentative agreement has been reached on how to fund a series of expenses between now and the end of the fiscal year, including $8 million to counties for housing state inmates awaiting bed space in overcrowded prison units.
Under the proposal, to be considered by the budget committee next week, $5 million would come from the House General Improvement Fund, $5 million from the Senate GIF and $3 million from Gov. Mike Beebe’s portion of the fund that captures unallocated state revenues.
The governor originally suggested splitting the cost between the House and Senate GIF, but changed his mind after some lawmakers balked at the idea.
Along with the $8 million reimbursement to counties, the other expenses include $1.6 million for the Department of Community Correction, $200,000 for the purchase of defibrillators for schools, $1.6 million for reapportionment of legislative districts following this year’s census, $1 million for the Department of Human Services’ Division of Youth Services and $600,000 for the Health Department’s information exchange, which is moving toward electronic record keeping.
Baker said he supported the agreement to fund state needs, but Maloch said some House members are not happy with the proposal.
“I do still have some members that have some concerns and still want me to try to look for some other pots of money,” he said.
“But we’re consistent in making certain that we get the counties reimbursed for housing state prisoners.”
Maloch said he would work through the weekend determine whether other sources are available.
The Legislature will take Friday and Monday off, and reconvene Tuesday.
