Fla. transfers $45.6M to courts

TALLAHASSEE, Fla. (Legal Newsline) - Florida Gov. Rick Scott has approved a $45.6 million loan so the state court system can continue to operate until spring.

In a letter Tuesday to Florida Supreme Court Chief Justice Charles Canady, Scott said the money would be transferred from the State Treasury to the State Courts Revenue Trust Fund.

In approving the loan, Scott said he "recognizes the cash flow challenges" that the court system is facing.

Canady had asked Scott for more funding earlier this month, pointing to a projected $108 million budget shortfall for the current fiscal year.

The court system's budget is about $361.2 million.

Revenues from fees were expected to be about $432 million. However, that number has been decreased to $272.9 million.

A spokesman for the state's high court attributed the loss to a reduced number of foreclosure filings.

The $45.6 million should keep the system running through March, Canady says.

The rest, he says, will have to be addressed by the Legislature in January.

In his letter to Canady, Scott said the loan must be repaid "as soon as practical," but no later than June 30, 2012.

From Legal Newsline: Reach Jessica Karmasek by email at jessica@legalnewsline.com.