Bigger budget breach than expectedby Dara Kam | December 7th, 2010
State economists gave lawmakers the bad news this morning that Florida’s budget gap is expected to grow by as much as $1 billion.
The News Service of Florida filed this report earlier today:
Amy Baker, executive director of the Legislature’s Office of Eeconomic and Demographic Research, told the Senate budget committee that revenue estimators are likely to downgrade the state’s budget picture when they meet next Tuesday.
“We are starting to show improvement year over year,” Baker said. “It’s just not as strong as we’d hoped for.” Tax collections were $136 million short of expectations for the three months ending in October, with November’s findings still not final but on track to fall another $100 million down, Baker said.
Meanwhile, Medicaid forecasters will meet Friday and Baker warned, “the number is going to be big.” House budget staff on Tuesday told House members that the shortfall was on track to hit about $3.5 billion — up from the earlier $2.5 billion level.