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AUGUSTA — Commissioner Richard Rosen announced today that the State of Maine concluded fiscal year 2015, which ended on June 30, with an unappropriated surplus of $59.1 million. The State carries financial reserves totaling $128 million into the new fiscal year.

Following payments made as part of the statutorily required fiscal year-end “cascade,” the balance of the State’s Budget Stabilization Fund (BSF), a chief concern of both Governor LePage and rating agencies such as Moody’s Investor Services, increased by $23.9 million to a total balance of $111.1 million. In total, the balance of the BSF increased by nearly $43 million in FY15.

“While I’m pleased to see the Budget Stabilization Fund surpass the $100 million threshold, the current balance is too low of a reserve for a state that spends more than $3 billion annually,” said Governor Paul R. LePage. “National credit rating agencies have warned Maine of the importance of increasing available financial reserves, and I am committed to increasing the balance of the budget stabilization fund.”

Last month, the Maine Legislature adopted a number of the governor’s proposals to further improve Maine’s financial footing. Among these were proposals that direct a larger percentage of the fiscal year-end “cascade” to the BSF and increase the targeted balance of the fund to 18 percent of annual General Fund revenues.

According to State Controller Douglas Cotnoir, after all year-end transfers, the State has $25.6 million in unappropriated surplus that will carry forward as budgeted to be used in fiscal year 2016, which began on July 1, 2015.

“An improving economy, reliable revenue forecasting, and conservative cash management have all contributed to putting the State of Maine in a sound financial position entering the new fiscal year,” said Commissioner Rosen. “The citizens of Maine should be proud of the leadership and commitment demonstrated by Governor LePage to restore fiscal discipline to state government.”

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