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The Fall 2011 Fiscal Survey of States shows overall general fund spending by state legislatures are still at pre-recession levels. While revenues have declined, demand for core government services like education, transportation, and public safety continues to increase putting states in a difficult position.
Washington is feeling the pinch too. Despite cutting over $10.5
billion from the state’s general fund budget in the
past three years, we are facing another $2 billion budget deficit.
The governor laid out two different plans to address the
budget shortfall – an all-cuts budget and an alternative plan
that would “buy back” some of the cuts with a temporary sales tax increase. The
new revenue would restore about $411 million in cuts to education, $42 million
for long-term care and developmentally disabled services, and $41 million in
public safety.
The Legislature held public work sessions this week to
discuss the governor’s proposals.
To read this blog post in Spanish, go here.