Michigan's 'Rainy Day Fund' may get a boost
Michigan’s Budget Stabilization Fund – more commonly known as the “Rainy Day Fund” is getting a lot of attention in Lansing.
The Budget Stabilization Fund is more simply known as the state’s savings account.
When Governor Rick Snyder took office, Michigan's savings account was nearly empty and only held about $2 million.
Now, there’s about half a billion dollars in the fund, and Snyder wants to add $75 million more this year.
While Snyder has been in office, he has been trying to build up the fund, which he says would help improve the state’s credit rating and allow Michigan to get better interest rates. Additionally, there would be money available to protect against huge budget cuts in emergency situations.
What's the significance of Snyder’s efforts, and how might the sequester affect the Budget Stabilization Fund?
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