On October 31st in the early morning hours I sent this to every state representative in Kentucky. As of today we have the support of several and it's looking hopeful.
Subject: Advocacy for Modification of Kentucky’s Rainy Day Fund Law to Support Temporary SNAP and Federal Assistance Funding
Dear Members of the Kentucky House of Representatives,
On behalf of The Future of Eastern Kentucky (TFEK), an organization dedicated to strengthening communities, supporting economic development, and ensuring the well-being of Kentucky residents, we are writing to advocate for a critical modification to the current Kentucky Rainy Day Fund law.
As you are aware, many Kentuckians rely on federally funded programs such as SNAP, WIC, and other assistance initiatives for basic nutrition and support. In the event of a government shutdown or unforeseen fiscal emergency, lapses in funding for these programs could have severe consequences for thousands of families across our state.
We respectfully request your support to amend the Rainy Day Fund legislation to include a provision allowing the Governor to temporarily allocate funds to maintain SNAP, WIC, and other federally assisted programs during periods of state revenue shortfall or government disruption. This modification would:
1. Ensure continuity of essential services to vulnerable populations, particularly children, seniors, and low-income families.
2. Prevent economic and public health crises by stabilizing access to food and nutrition.
3. Strengthen community resilience by safeguarding the most critical social safety nets.
TFEK believes that this adjustment is not only fiscally responsible but a moral imperative, as it prioritizes the well-being of Kentuckians in times of uncertainty. By codifying this temporary funding authority, Kentucky can lead the way in ensuring that no resident goes without essential support due to administrative or fiscal delays.
We urge the Kentucky House of Representatives to consider this legislative modification and are available to provide policy analysis, community input, and support for drafting the specific statutory language needed. Together, we can ensure that Kentucky remains a state that protects its most vulnerable citizens while responsibly managing its fiscal resources.
Thank you for your attention to this important matter. We look forward to working with you to safeguard the health and stability of Kentucky families.
Here is a rough draft of what we think should be changed.
AN ACT relating to emergency use of the Budget Reserve Trust Fund during a federal government shutdown.
Be it enacted by the General Assembly of the Commonwealth of Kentucky:
Section 1. KRS 48.705 is amended to read as follows:
1. (1) There is hereby created a trust and agency fund to be known as the Budget Reserve Trust Fund, which shall be administered by the Finance and Administration Cabinet.
(2) The Budget Reserve Trust Fund shall consist of appropriations made by the General Assembly and interest earnings as provided by law.
(3) No moneys shall be withdrawn from the Budget Reserve Trust Fund except upon the authority of an act of the General Assembly or as provided in subsection (4) of this section.
(4) (NEW SUBSECTION)
(a) Notwithstanding any provision of law to the contrary, in the event of a federal government shutdown, lapse in federal appropriations, or other temporary suspension of federal funding, the Governor may authorize the limited use of funds from the Budget Reserve Trust Fund to provide for the continuity of essential federally funded state-administered programs.
(b) Programs eligible under this subsection shall include, but not be limited to:
1. The Supplemental Nutrition Assistance Program (SNAP);
2. The Special Supplemental Nutrition Program for Women, Infants, and Children (WIC);
3. Medicaid and Children’s Health Insurance Program (CHIP) administration; and
4. Other federally supported programs providing food, healthcare, or essential assistance to citizens of the Commonwealth.
(c) Any funds used under this subsection shall be considered a temporary loan and shall be repaid to the Budget Reserve Trust Fund from the affected federal funding source within ninety (90) days of the restoration of federal appropriations.
(d) The Governor shall, within ten (10) days of any such authorization, notify the Legislative Research Commission and the State Budget Director, including a statement of:
5. The amount of funds advanced;
6. The program or programs to which the funds were allocated; and
7. The anticipated source and timeline for repayment.
(e) The Governor shall not authorize the use of more than five percent (5%) of the total balance of the Budget Reserve Trust Fund for this purpose without the prior approval of the General Assembly or the State Budget Director and the Capital Projects and Bond Oversight Committee if the General Assembly is not in session.
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Section 2. KRS 48.620 is amended to read as follows:
Add a new subsection (5) to read:
> (5) Nothing in this section shall prohibit the Governor from exercising the limited authority granted under KRS 48.705(4) to ensure continuity of essential government services during a lapse in federal appropriations.
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Section 3. EMERGENCY CLAUSE.
> Whereas the Commonwealth must be able to continue providing food, medical care, and essential services to its citizens during a federal shutdown, an emergency is declared to exist, and this Act shall take effect upon its passage and approval by the Governor.
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