State Budget Shortfall Expected to Worsen
Bowling Green, KY – A representative of the Governor's Office for Policy
and Management says there is more "bad news"
about the state budget outlook. Bill Hintze told
the Joint Committee on State Government that
Kentucky's budget shortfall is expected to worsen
in 2005 and 2006.
Hintze says this year's projected shortfall of
274.4 million dollars does not include a
Medicaid shortfall of more than 225 million dollars.
He stresses that the 274 million dollar projection
does not allow for inflationary growth, either.
Hintze predicts a significant "structural imbalance"
in the state budget at the start of fiscal year 2005.
He spoke to the Joint Committee on State Government
at a meeting at Natural Bridge State Park today.