Missouri borrows $125 million from reserve fund for cash flow

JEFFERSON CITY | Missouri is borrowing $125 million from a state reserve fund to make sure it has money to pay its bills.

The state's budget year began July 1.

Gov. Jay Nixon's administration said Friday that this is the earliest in a budget year that the state has tapped its reserve fund since July 2005.

Money borrowed from the reserve fund must be repaid within interest by mid-May of 2010.