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House leader says Jindal surplus plan violates law

2 years ago October 19, 2012 Oct 19, 2012 Friday, October 19 2012 Friday, October 19, 2012 1:56:08 PM EDT in News
Source: Associated Press

BATON ROUGE - The leader of the House budget committee says Gov. Bobby Jindal's proposal for using a $143 million surplus violates the law and an agreement reached with the House earlier this year to end a budget stalemate.

House Appropriations Committee Chairman Jim Fannin made his comments Friday as lawmakers received a revised estimate of how much was left unspent when the books were closed on the last fiscal year.

The Jindal administration wants to use the leftover cash to help fill a $94 million gap in Louisiana's Medicaid program, to stop a new round of cuts on health care services.

Fannin says that conflicts with a bill he sponsored earlier this year requiring that surplus funding up to $205 million be used to replenish the state's "rainy day" fund.

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