Nevada Lawmakers Approve Bigger 'rainy Day' Fund

By CATHY BUSSEWITZ

CARSON CITY, Nev. (AP) — The Nevada Assembly voted unanimously on Wednesday to revamp the state's "rainy day" fund and ensure that more money is set aside in the event of future fiscal crises.

The bill, introduced by Assembly Speaker Barbara Buckley, D-Las Vegas, would require the governor and Legislature to set aside 1 percent of the state's total anticipated revenue in a forced savings account.

"We're experiencing the great recession," Buckley said. "No rainy day fund is going to insulate us from times like these, but we are so unprepared compared to any other state."

"Our rainy day fund doesn't do the job in a small economic downturn, much less give us the cushion in economic times like these."

The bill, now moving to the state Senate for final legislative action, also would increase the credit to the fund at the end of the year, reducing the amount paid out to state agencies for operating costs.

Currently, state's contributions to the rainy day fund are capped at 15 percent of general fund operating appropriations. Buckley's bill would raise that cap to 20 percent. The fund currently is depleted.