Fletcher and the Budget Surplus

By Associated Press | 

Kentucky has a budget surplus of $136.5 million.

It's an overrun that Governor Ernie Fletcher announced and he wants to stash away most of the savings to prepare for an emergency.

Fletcher made the remarks in a speech to the Georgetown Chamber of Commerce.

The governor says the allocation would nearly double the state's Budget Reserve Trust Fund, or "rainy day fund," money set aside for unplanned economic needs.

Fletcher says the state has risked having its bond rating dropped in recent years.
Fletcher says a bigger rainy day fund should mean a lower interest rate on borrowed money and the possibility for even more surplus down the road.