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Alabama Pays Majority Of Rainy Day Fund Debt

Statewide elections are still more than a year away, but candidates are busy raising money.
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Statewide elections are still more than a year away, but candidates are busy raising money.

Gov. Robert Bentley says the state is about to repay the majority of a big debt it owes.

He said Friday the state will repay $260 million to the Rainy Day Fund for public schools in the next few days. He says the repayment is a sign the economy is picking up in Alabama, including the collection of more income and sales taxes.

The state's Rainy Day Fund was empty when Bentley came into office because $437 million had been removed to shore up the state education budget during the recession in 2009. State law required the repayment of the money by Sept. 30, 2015.

Bentley says $14.4 million was repaid last year, and the state is on schedule to repay the remaining money on time without raising taxes.

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