Idaho House Approves Bill Capping Spending
(AP) – The House has approved a bill that is aimed at capping annual general fund spending at a little more than 5 percent of total personal income in the state. The bill approved 48-21 Monday would set the cap at a rate of 5.3 percent of the total personal income generated by Idahoans, estimated at $54.1 billion for fiscal year 2013.The state’s current cap is 6.3 percent of total personal income. The measure also requires that any revenue above projected spending cap be diverted to state rainy day accounts, with any leftovers used for tax relief. House Republican Majority Leader Mike Moyle says the lower cap signals the GOP commitment to small government. House Minority Leader John Rusche says the lower rate could hamper the state’s ability to provide necessary services.