Friday, May 1, 2009

House Appropriations Chair Says Budget Even Worse

The size of this year’s state budget shortfall continues to grow. Lawmakers are now saying it will likely top three billion dollars. For months the Rendell Administration had been using a figure of $2.3 billion as the expected budget gap and the General Assembly has been working with that number. However a spokesperson for House Appropriations Committee Chair Dwight Evans, says April tax revenues came in below estimates, and the deficit will likely surpass three billion dollars. Johnna Pro says, “That's a big number to have a shortfall for this year, and we'll go into next year with a similar number. So it gives us a budget situation that's far more complicated than it has been for a decade and a half.” A spokesman for Governor Rendell says the administration is waiting for official revenue figures to come in before revising any estimates. Republican lawmakers say the budget gap is proof Governor Ed Rendell's $29 billion spending plan for next year is too costly, and needs to be scaled back appropriately.

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