Rounds announces help for the ailing budget Gov. Mike Rounds today said he appreciates that Congress and the president have agreed to $20 billion in state fiscal relief as part of the Jobs and Growth Tax Relief Reconciliation Act of 2003.
"I applaud President Bush and the Congress working together to reach consensus on providing South Dakota these much needed funds," said Gov. Rounds on the bill passage. "These funds will help as we work to close our long-term structural deficit."
Under current bill, South Dakota is due to receive at total of $71.6 million over the next two years. Of that total, $50 million is in the form of a flexible grant, $9.6 million is earmarked for Medicaid Federal Medical Assistance Percentage (FMAP) in 2003 and $12 million is designated for FMAP in 2004.
On May 22, House and Senate conferees on the Jobs and Growth Tax Relief Reconciliation Act of 2003 (HR 2) reached agreement. Title IV of the bill contains a total of $20 billion in state fiscal relief divided equally between a flexible grant and an enhancement to the federal medical assistance percentage (FMAP) for Medicaid for five federal fiscal calendar quarters.
"This one-time funding source will be very helpful in allowing us additional time to solve our structural deficit, without going back to the South Dakota taxpayers."