Which of the following is the best definition of a dedicated fund?
A) money that is given to a state or local government through citizens donating extra tax dollars for specific projects
B) the type of funding that requires a state agency to make biannual budget forecasts, rather than just yearly ones
C) spending priorities that are beneficial to specific interest groups, which always have groups of politicians backing them
D) portions of the state budget that are mandated to be spent in specific ways, such as for Medicaid payments
E) money set aside specifically to pay off the state debt

Question

Quizplus · Accepted Answer

A dedicated fund is a portion of the budget that is required by law to be spent on a specific program or service. This could include things like Medicaid payments, education funding, or infrastructure projects. It is separate from general funds, which can be used for a variety of purposes.

Which of the Following Is the Best Definition of a Dedicated