Days after Arkansas's biennial fiscal session began last month the CSPAN bus rolled into Little Rock, and Gov. Asa Hutchinson hopped aboard. The very first question moderator John McArdle put to Hutchinson was about a balanced budget — specifically, does Arkansas have one?
"Oh, absolutely. We don’t have a deficit in this state. It’s mandated by the [state] constitution to have a balanced budget, which means that we forecast the revenues, then we spend according to that forecast, and if during the course of a year, we don’t meet forecast then we reduce spending. ... We call it the 'Revenue Stabilization' law, which is a toggle, if you will, but it makes us control spending, reduce spending as needed, to make sure it mirrors our revenue picture. There’s a few things the federal government could learn from this."