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Legislature sends $3.4 billion General Fund budget to Gov. Ivey

The budget includes a 2 percent pay raise for state employees and increases for most agencies.

Governor Kay Ivey delivered the State of the State for 2024 Tuesday February 6, 2024 in Montgomery, Ala. Governor’s Office /Hal Yeager
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Discussions on both General Fund and Education Trust Fund Budgets continued past midnight late in the session last year, but the two chambers of the Alabama Legislature passed the General Fund Tuesday with relatively little problem.

“Here in Alabama, we continue budgeting wisely,” Ivey said in a statement Tuesday. “Despite the tough national economic climate, our financial footing is strong, and we are able to make investments where they count – investments that will pay dividends for generations to come.”

The budget includes a 2 percent pay raise for state employees and increases for most agencies as the general fund remains healthy.

“While being good stewards of taxpayer dollars and ensuring our budgets are prepared for whatever may lie ahead, we are increasing funding in critical services like public safety and mental health care,” Ivey said. “Our General Fund will make possible a pilot program that will start hosting checkups for pregnant women at nine county health departments in areas of need. We are protecting our veterans who have served by investing in Dovetail Landing. This General Fund is solid and will go far in making Alabama the best place to live, work and raise a family.”

Supplemental appropriations of $256 million will go mostly toward prison construction as the state’s costs continue to balloon. The state is currently working on a single 4,000-bed facility in Elmore County that will cost more than $1 billion.

The education budget remains in conference committee with education budget chairs Sen. Arthur Orr, R-Decatur, and Rep. Danny Garrett, R-Trussville, disagreeing over a cost-of-living increase of $5 million for retirees among other minor differences.

“Next year, the education budget is going to start out in this chamber and you bet your bottom dollar we’re going to have a deposit into that retiree trust fund for our retired state educators,” Orr said on the Senate floor.

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Jacob Holmes is a reporter at the Alabama Political Reporter. You can reach him at [email protected]

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