Stumbo: Kentucky Revenue Could Fall Nearly $1 Billion Short of What is Needed in 2015
Kentucky’s budget priorities for 2015 could require nearly $1 billion in revenue that the state doesn’t have.
House Speaker Greg Stumbo told a group of business leaders earlier this month that the cost of funding priority issues like education, public employee raises and more could total an estimated $800 million.
“It would probably be more of a number like $700 to $800 million--and some would argue larger than that. It just depends upon how big a bite of the apple you want to take, but I don’t think we can do that.”
Stumbo says the recession is the driving force behind the shortfall, and Kentucky’s economic growth rate will return to pre-recession levels in about two to three years in the absence of tax reform.
Gov. Steve Beshear will submit his budget proposal to the General Assembly next month.