MONTGOMERY—Governor Robert Bentley on Thursday released Alabama’s 2015 fiscal year report for the Education Trust Fund (ETF). This report compiled by the Alabama Department of Finance shows an overall increase of 4.23% in the Education Trust Fund revenues as compared to FY2014.
Robert Bentley
“We have seen positive growth in the ETF, and that is good news for our state’s economy,” Governor Robert Bentley said. “Revenues credited to the ETF are used for the support, maintenance and development of public education in Alabama, debt service and capital improvements relating to educational facilities, and other functions related to educating the state’s citizens. Having adequate funding to educate our students is critical to the continued economic development in our state.”
The Education Trust Fund experienced a significant increase in revenue collections during FY2015. The Alabama Department of Finance records show an ending balance of more than $140 million for FY 2015. That amount is double the projected $70 million ending balance expected for FY 2015. Individual income taxes grew by 4.7% and sales taxes increased by 3.25%.
The Education Trust Fund Rolling Reserve Act, as amended during the 2015 Second Special Session, requires that approximately $120 million of the ending balance be transferred to the Budget Stabilization Fund, which is to be used to avoid proration in future years. The remaining $20 million will be transferred to the ETF Advancement and Technology Fund, and will be appropriated in future years for education capital and technology expenditures.
The Education Trust Fund is the largest operating fund of the State.
MEDIA RELEASE/STATE OF ALABAMA
