CBPP - State Budget Troubles Worsen

The Center on Budget and Policy Priorities released a report which discussed the fiscal stress currently being experienced by state governments. Below are some highlights, you can get the entire article here. (PDF is available here)

• At least 48 states addressed or still face shortfalls in their budgets for the upcoming year.


• Even before the new fiscal year starts July 1, new shortfalls of $23 billion have opened up in the adopted 2010 budgets of at least 12 states and the District of Columbia. Shortfalls for fiscal year 2010 – those already addressed and those still open -- total $166 billion.


• At least 29 states have prepared estimates for the 2011 fiscal year. Initial estimates of these shortfalls total almost $38 billion. As the full extent of 2011 deficits become known, shortfalls are likely to equal $160 to $180 billion.


• Combined budget gaps for the remainder of this fiscal year and state fiscal years 2010 and 2011 are estimated to total over $350 billion.