2010-11 GOVERNOR’S BUDGET
Powerpoint Presentation
- Identifies a $19.9 billion budget deficit, consisting of a $6.6 billion shortfall in 2009-10, a $12.3 billion shortfall in 2010-11, and rebuilding the reserve of $1.0 billion
- Various factors have contributed to budget deficit:
- Anticipated revenues are lower ($3.4B)
- Expiration of temporary budget solutions, inability to implement prior solutions, effects of adverse court decisions ($7.2B)
- Population and caseload growth ($1.4B)
- Governor has declared a fiscal emergency and has called Legislature into Special Session
- Budget proposes a combination of spending reductions, alternative funding, fund shifts and additional federal funds to close budget gap
- If federal flexibility and funding do not materialize, then additional spending reductions, delays in tax cuts and continued suspension and reduction of tax credits must go into effect
- While the state does not face as serious a cash shortfall as it did 12 months ago, action is necessary this spring to ensure that the state has adequate cash resources
