States, which already have closed $40 billion in fiscal year (FY) 2009 budget gaps, face at least an additional $97 billion they must close over the next 18 to 24 months, according to a national report issued this week by the National Conference of State Legislatures.
NCSL said the news will pose difficult decisions for state legislators across the nation as they prepare for the 2009 legislative sessions.
State Budget Update: November 2008, a survey of the nation’s state legislative fiscal officers, reports that states face a $32 billion budget gap after already closing a $40 billion gap since the current fiscal year began. Their projections for the next fiscal year, which begins July 1 for most states, reveal another $65 billion gap.
Fifteen states are forecasting double-digit gaps in FY 2010. The largest are in Arizona (24.2 percent), New York (20 percent), California (18 percent), Wisconsin (17.2 percent), Minnesota (14.7) and Kansas (14.5 percent).
NCSL's State Budget Report Update: November 2008 is a 60-page report that provides information for all 50 states and Puerto Rico. It gives an overview of state fiscal conditions, including state revenue performances, estimated budget gaps in FY 2009 and FY 2010 and actions legislatures are expected to take to close their budget gaps. This report is free only to credentialed members of the media and is available for purchase.