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Perdue lowers revenue estimates — again
Posted at: Thursday, February 26, 2004, 03:48 PM
For the second time in two months, Gov. Sonny Perdue has lowered his estimate of how much money the state will take in from taxes and asked for more spending cuts.
Perdue’s announcement came less than a hour after the Senate Appropriations Committee approved a $16 billion mid-year budget for fiscal 2004 that includes millions of dollars in local construction projects in the districts of Republican leaders.
Perdue lowered the revenue estimate - the amount of money he expects the state to raise and spend - by about $500 million in January and recommended more than $300 million in spending cuts for the second half of the fiscal year, which ends June 30. Many of those cuts were for school and health care programs.
He sent top budget writers of the House and Senate a letter Thursday lowering the revenue estimate from taxes another $109.5 million for the rest of the fiscal year, despite an uptick in the economy.
“Although revenue collections for the month of February are not yet complete, early indications are that they will fall below the amount needed to avoid further budget cuts,” Perdue wrote. “Due to the seriousness of our budget situation, my office has been monitoring revenue day-to-day rather than month-to-month.”
The size of the needed cuts are mitigated by $89 million from a new nursing home tax Perdue’s staff forgot to put into the budget. The Senate’s mid-year budget plan puts that money into a reserve account.
So Perdue is only recommending $20 million in additional spending cuts, with most of it coming from proposed Georgia Ports Authority projects, University System employees health insurance plan reserves and the judicial system.
Still, the second drop in the governor’s revenue estimate shows the state is in a precarious fiscal position. State tax collections were down for two years before picking up last fall. However, they are not growing nearly fast enough to meet the fiscal 2004 budget approved by lawmakers last April. In addition, reserves, which stood at $700 million when Perdue took office in January 2003, were expected to be down to $50 million even before the latest bad news.
“We need to be very, very careful about what we do with the funds we have left,” said Senate Appropriations Chairman Jack Hill (R-Reidsville).
— James Salzer, ajc.com
Permalink | Categories: State Budget
How it went today...
Beth wrote:
Machines worked absolutely perfect, not one problem. Slightly disturbed that the people working the precinct appeared to be about 14 years old though.
March 2, 2004 06:17 PM
Clay Waterfill wrote:
"Nevertheless, I decided to drop by the precinct this afternoon and discuss the situation with the supervisor. To my surprise I received another ballot."
This is very disturbing! One person one vote is how it works.
March 2, 2004 06:13 PM
Ben wrote:
Kudos to all voters in prior posts who reported exemplary service on their computer ballots for the presidential primary. Unfortunately, my experience was much more akin to what happened to Artis, Julie and Jeff. I voted at the Virginia Avenue Baptist precinct at 7 a.m.. I did fill out the proper registration form and the ballot/card given to me offered only the choice of voting on the flag issue before it ejected. After many phone conversations and emails this morning, I was basically told by the Secretary of State's office and the Fulton Country Department of Elections that my ballot was cast and there was nothing to do about it. Nevertheless, I decided to drop by the precinct this afternoon and discuss the situation with the supervisor. To my surprise I received another ballot. In the explaination it was my understanding that only "nonpartisan ballots" were distributed to this precinct and these were passed along to the voters, regardless of registration. While I was delighted to get the chance to vote again this procedure only heightened a feeling that voting by computer iss unreliable and not "tamper-proof". Being provided with a "second-chance" also confirmed my knowledge that I did the right thing and the experience a precinct/ballot problem and NOT a voter issue. I suggest that if you have the time, drop back by the VA/HI precinct and see if you can correct the problem.
March 2, 2004 06:02 PM
Doug wrote:
All these people who are complaining they voted on a ballot that did have a presidential primary are just not smart. There is no such thing as the Non-Partisan Party. There was a Democratic and a Republican presidential primary today.
These are the kinds of voters Winston Churchill had in mind when he said, "The best argument against democracy is a five-minute conversation with the average voter."
March 2, 2004 05:50 PM
Greg wrote:
I'm a Republican but cast my vote for the Rev. Al Sharpton. One less vote for John Kerry. May the Roy Barnes "Rag" disappear forever from the Georgia landscape!
March 2, 2004 05:39 PM
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