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HJR 5019

Budget Stabilization Fund

2025 Regular Session Introduced by Lawrence McClure

The bill raises the Budget Stabilization Fund cap to 25% of revenue collections and requires annual transfers (up to $750m) to fund the higher cap, with specific withdrawal limits.

Signed by Officers and filed with Secretary of State
#(adopted)
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Bill Summary · HJR 5019

HJR 5019 — Budget Stabilization Fund (Summary)

Purpose

HJR 5019 is a proposed constitutional amendment to change how Florida’s Budget Stabilization Fund (BSF, or “rainy day” fund) is capped and funded. The measure would increase the maximum BSF balance and create an annual funding requirement to build the fund up to the higher cap, subject to limited exceptions.

Key provisions

  • Raises the BSF maximum from 10% to 25% of “revenue collections.”
    • “Revenue collections” is defined as the last completed fiscal year’s net General Revenue Fund collections.
  • Requires an annual transfer into the BSF equal to the lesser of:
    • $750 million, or
    • the amount required to bring the BSF up to 25% of revenue collections.
  • Allows the Legislature to suspend the required transfer for a fiscal year in any of these situations:
    1. Funds are withdrawn from the BSF to cover a General Revenue Fund shortfall or for a declared emergency (existing uses); or
    2. Funds are withdrawn to fund a “critical state need” on a nonrecurring basis, but only if the BSF principal exceeds 15% of revenue collections. Such a withdrawal must be authorized by a separate bill approved by a two‑thirds vote of each house, and cannot reduce the BSF principal below 10% of revenue collections; or
    3. The Legislature determines a critical state need requires General Revenue expenditures larger than that year’s required transfer. A suspension for this reason also requires a separate bill with a two‑thirds vote of each house and may occur no more than once every five years.
  • Leaves existing BSF rules in place where not changed (e.g., current uses to cover revenue shortfalls or emergencies, statutory restoration schedule for expenditures).

Fiscal/economic impact

  • The committee analysis characterizes the overall fiscal impact as indeterminate but likely insignificant. Increasing the statutory maximum does not itself require immediate additional spending; however, the required annual transfers (up to $750 million each year until the 25% cap is reached) would allocate General Revenue to the BSF rather than to other appropriations, which could affect annual budget choices.

Who is affected

  • State government budgeting: the Legislature, Governor (in consultations/withdrawals under existing law), and the Chief Financial Officer (in statutorily defined withdrawal circumstances).
  • General Revenue Fund appropriations: potential reallocation of up to $750 million per year to the BSF until the higher cap is reached.
  • Florida voters: because this is a constitutional amendment, it must be approved by voters to take effect.

Procedure and timeline

  • Introduced: June 4, 2025.
  • Legislative action: Passed both chambers as a joint resolution (House: YEAS 100, NAYS 1; Senate: YEAS 29, NAYS 4). Amendment adopted; enrolled and signed by officers; filed with the Secretary of State (filed June 17, 2025).
  • Because it amends the state constitution, the measure will be placed on the ballot for Florida electors at the next general election: November 2026.
    • Passage requires at least 60% approval of those voting on the measure.
    • If approved, the amendment would become effective January 5, 2027.
  • Publication requirements: The Division of Elections must publish the full text twice in a newspaper of general circulation in each county and provide supervisors of elections with booklets or posters containing the full text, per existing constitutional amendment procedure.

Additional notes

  • The joint resolution is not subject to the Governor’s veto.
  • The amendment adds new flexibility for the Legislature to save for larger reserves and creates a structured, capped approach with strict rules for withdrawing funds for critical needs.

Compiled from official sources — confirm details with the bill’s official record.

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