Recent state revenue receipts show that Kentucky’s real income is falling short of projections and will lead to a multi-million dollar budget shortfall.
State Budget Director Jane Driskell says the state will have to raise revenues by about 12 percent to make up for a nearly $28 million hole that could grow larger if revenues continue to under perform.
However, Governor Steve Beshear, who championed a restoration of education funding during this year’s General Assembly, says if spending cuts need to be juggled to make up for the shortfall, education spending should not be disrupted.
“I can assure you, the investments that we are making in the next two years in things like education of our kids are not going to be touched. We’re not going to interfere with what great steps we have taken to move education forward in Kentucky.” –Gov. Steve Beshear
Beshear says his administration is unsure just how big the shortfall will be, but promised that the budget will ultimately be balanced.