February 19, 2003
Posted at: 3:25 p.m. CST
LITTLE ROCK, Ark. -- Acknowledging that Arkansas' economy is not producing enough revenue to maintain state spending, Governor Huckabee announced $62.3 million in budget cuts Wednesday.
Huckabee said there was a ``very realistic possibility'' that services could be cut and state employees laid off since the cuts must come with so little time left in the fiscal year. The state budget year ends June 30.
In its revised state forecast issued today, the state finance office also lowered revenue projections for the next two years by $94 million. That erases most of the $113 million dollars in revenue growth that the Huckabee administration had forecast and increasing prospects for tax increases this legislative session.
Today's cuts bring total budget reductions to $290 million since November 2001.