This bill establishes a requirement for maintaining a minimum combined balance of the budget reserve fund and the general revenue replacement fund in South Dakota. Specifically, it mandates that if the combined balance of these two funds falls below ten percent of the general fund appropriations for the upcoming fiscal year, the Legislature must enact a law to transfer one-third of the deficit amount from the general fund to the budget reserve fund over the next three fiscal years. This measure aims to ensure fiscal stability and preparedness for future budgetary needs.

The bill introduces a new section to chapter 4-7, detailing the conditions under which the transfers must occur and the timeline for achieving the minimum balance. By implementing this requirement, the legislation seeks to bolster the state's financial reserves and promote responsible budgeting practices.