Bill > SB1040

This bill authorizes the State Treasurer to waive interest, costs, and fees on special short-term investment loans made during specific budget impasse periods in fiscal years 2025-2026 and 2026-2027. The loans, called "budgetary impasse investment loans," can be made to specific loan recipients including county governments, domestic violence entities, Head Start agencies, rape crisis entities, and Pre-K Counts Program providers. These loans are designed to provide temporary funding support to critical service organizations when the state budget has not been finalized, and the State Treasurer can now choose to eliminate any financial burden associated with these loans without violating their fiduciary investment standards. The bill applies retroactively to July 1, 2025, and takes effect immediately, providing the State Treasurer with flexibility to support essential service providers during potential future budget delays by removing the financial penalty of emergency short-term loans.

Budget and Finance

https://www.palegis.us/legislation/bills/2025/sb1040