ETF Rolling Reserve Act Summary

•Effective beginning in FY 2024 Establishes a secondary spending limit for annual appropriations from the ETF equal to 106.5% of prior year appropriations in FY 2024, reduced by .25% annually to 105.75% in FY 2027 and thereafter •Caps annual appropriations from the ETF to the appropriation cap, or secondary spending limit whichever is less • Drops the high and low growth years from the calculation of the appropriation cap • Creates the Educational Opportunities Reserve Fund and provides for the use of funds •Prescribes a new allocation of annual ETF receipts in excess of expenditures, including: Budget Stabilization Fund - an amount equal to 1% of prior year ETF expenditures • Advancement and Technology Fund - 50% of the remaining balance, not to exceed $1 billion annually • Educational Opportunities Reserve Fund - 20% of the remaining balance ETF Rolling Reserve Act: Act 2023-390 Changes 31

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